UNIT 4 OVERVIEW OF ORGANISATIONAL

BEHAVIOUR
Structure

4.0 Objectives
4.1 Introduction
4.2 Concept of Organisational Behaviour
4.3 Genesis of Organisational Behaviour
4.4 Needs for Study of Organisational Behaviour
4.5 Goals of Organisational Behaviour
4.6 Traditional and New Approaches to OB
4.7 Individual Perspective
4.8 Small and Large Group Perspective
4.9 Organisational Perspective
4.10 Integrative Perspective
4.11 Let Us Sum UP
4.12 Key Words
13.13 Terminal Questions

4.0 OBJECTIVES
After studying this unit, you should be able to:
• discuss the meaning, needs, and goals of Organisational Behaviour;
• correlate the study of Organisational Behaviour to its root-subjects;
• identify direction, and degree of changes taking place in the field of Organisational Behaviour;
• explain scope of Organisational Behaviour in basically three dimensions: individual, group, and
organisational;
• integrate Organisational Behaviour with overall effective management of an organisation; and
• develop a sense of sequencing of various issues discussed in subsequent units in this subject.

1.1 INTRODUCTION
In a simple term organisational behaviour refers to the behaviour of persons in an organisation. Everybody
wants to understand others behaviour. Understanding others behaviour help the persons to influence them.
As you must be aware that human behaviour is guided by the internal and external forces. The analysis of
these forces provides an insight for understanding the behaviour. Moreover, managers have been grappling
with the idea of the channelisation of human energy towards the attainment of the organisational goals. The
understanding of human behaviour play very important role in this endeavour as well. Thus the study of
organisational behaviour provides guidelines for influencing the behaviour of the persons in the organisation.
In this unit, you will learn the concept, genesis, needs and goals of the organisational behaviour. You will be
familarised with the approaches of the organisational behaviour. You will further learn various perspectives
of the study of organisational behaviour.

4.2 CONCEPT OF ORGANISATIONAL BEHAVIOUR

Before we begin discussion on the content of this chapter, you should be clear that understanding of
organisational behaviour and understanding of organisation and management developed side by side.
Therefore, it would be beneficial for you to keep in mind the contents of Unit 1 and Unit 2, before
you proceed to understand this chapter. After reading those Units you have understood how
organisation/management theories developed from classical era to modern era. Development of
various schools of thought in various era, throw light on development of behavioural issues in
organisations.

Thorough understanding of this chapter would make your task easier, i.e., you can understand
subsequent chapters in a synchronized way. To understand Organisational Behaviour, let us first take the
two terms involved: organisation and behaviour.

Organisation is a place where two or more people work together in a structured way to achieve a specific
goal or set of goals. Goals are fundamental elements of organisations. According to Gary Johns,
organisations are social interventions for accomplishing goals through group efforts. Various environmental
forces influence organisations. There are two types of environmental forces: direct and indirect. Some of the
main direct forces are: customers, suppliers, competitors, labour market, and regulatory agencies. Some of
the main indirect forces are: economic, technological, socio cultural, political, and international. Behaviour
is anything that the human does. Behaviour is response to stimulation that can be observed, thus it is any
response or reaction of an individual. The basic unit of behaviour is activity. According to Luthans, in
understanding the variable it is extremely important to separate the actual behaviour events from the
outcomes of the events. Specific observable behavioural events and their patterns provide useful data in
order to analyze the interaction, which precedes the behaviour and the consequences that follow the
behaviour.

Running a large company, or even a small one, is no easy task. The field of Organisational Behaviour
provides many helpful insights into understanding the complexities of people’s behaviour on the job.
Organisational Behaviour is the study and application of knowledge about how people act within
organisations. The key elements in an organisation are: people, structure, technology, and external
environment in which the organisation operates. When people join together in an organisation to accomplish
an objective, some kind of structure is required. People also use technology to get the job done. So there is
an interaction of people, structure, and technology. In addition, these elements are influenced by the external
environment, and they influence it.

According to Keith Davis, Organisational Behaviour is an academic discipline concerned with understanding
and describing human behaviour in an organisational environment. It seeks to shed light on the whole
complex human factor in organisations by identifying causes and effects of that behaviour. According to Joe
Kelly, Organisational Behaviour is the systematic study of the nature of organisations: how they begin, grow,
and develop, and their effect on individual members, constituent groups, other organisations, and large
institutions. According to Luthans, Organisational Behaviour is directly concerned with the understanding,
prediction, and control of human behaviour in organisations. According to Robbins, Organisational
Behaviour is a field of study that investigates the impact that individuals, groups, and structure have on
behaviour within organisations for the purpose of applying such knowledge towards improving an
organisation’s effectiveness.According to Baron and Greenberg, Organisational Behaviour is the field that
seeks knowledge of behaviour in organisational settings by systematically studying individual, group, and
organisational processes.

On the basis of definitions stated and various other definitions, we can draw following conclusions related to
nature and scope of Organisational Behaviour:

• Interdisciplinary Approach: Organisational Behaviour integrates knowledge from various relevant

disciplines. This issue will be clear to you after reading the section on genesis of Organisational
Behaviour in this unit.
• An Applied Science: Organisational Behaviour is oriented towards understanding the forces that
affect behaviour so that their affects may be predicted and guided towards effective functioning of
organisation. This issue will be clearer to you after reading the section on goals of Organisational
Behaviour in this section.
• Behavioural Approach to Management: Organisational Behaviour is directly connected with the
human side of management, but it is not the whole of management. Organisational Behaviour is
related with the conceptual and human dimensions of management.
• Concern with Environment: Organisational Behaviour is concerned with issues like compatibility
with environment e.g. person-culture fit, cross-cultural management etc.
• Scientific Method: Organisational Behaviour follows the scientific method and makes use of logical
theory in its investigation and in answering the research questions. It is empirical, interpretive,
critical and creative science.
• Contingency Approach: There are very few absolutes in Organisational Behaviour. The approach is
directed towards developing managerial actions that are most appropriate for a specific situation.
• A Systems Approach: Organisational Behaviour is a systematic vision as it takes into account all the
variables affecting organisational functioning.
• Value Centred : Organisational Behaviour is a value-centred science.
• Utilizes two Kinds of Logic: It utilizes both objective and subjective logic. Objectivity is concerned
with reaching a fact through empirical analyses. Subjectivity is concerned with deciding about an
issue through intuition, common sense, experiences, gut feeling, metaphors, learning from stories
and cases, persuasive literature etc.

Organisational Behaviour focuses on five levels of analysis. They are :

• Individual behaviour
• Inter-personal behaviour
• Group behaviour and group dynamics
• Organisational issues
• Environmental issues.

4.3 GENESIS OF ORGANISATIONAL BEHAVIOUR

Behavioural Science or Organisational Behaviour is not an elemental subject, rather than it is like a
compound subject, with integrated weaving of various disciplines. In modern terminology, Organisational
Behaviour is an interdisciplinary approach to the study of human behaviour in organisations. The study of
behaviour can be viewed in terms of various main disciplines. All disciplines have made an important
contribution to the field of Organisational Behaviour. These disciplines are:

Psychology: Psychology is broadly speaking concerned with the study of human behaviour, with traits of the
individual and membership of small social groups. The main focus of attention is on the individual as a
whole person. Organisational Behaviour learns a great deal in issues like personality, perception, emotions,
attitude, learning, values, motivation, and job satisfaction etc. from the field of psychology.

Sociology: Sociologists are more concerned with the study of social behaviour, relationships among social
groups and societies, and the maintenance of order. The main focus of attention is on the social system.
Organisational Behaviour has developed by taking many issues from sociology. Some of them are: group
dynamics, communication, leadership, organisational structures, formal and informal organisations,
organisational change and development etc.

Social Psychology: Social Psychology examines interpersonal behaviour. The social psychologists are
concerned with intergroup collaboration, group decision making, effect of change on individual, individual’s
responsiveness to change, and integration of individual needs with group activities.

Anthropology: Anthropologists are more concerned with the science of mankind and the study of human
behaviour as a whole. Issues like, individual culture, organisational culture, organisational environment,
comparative values, comparative attitudes, cross-cultural analysis, are common to the fields of anthropology
and OB. As far as OB is concerned, one of the main issues demanding attention is the cultural system, the
beliefs, customs, ideas and values within a group or society, and the comparison of behaviour among
different cultures. People learn to depend on their culture to give them security and stability, and they can
suffer adverse reactions to unfamiliar environments.

Political Science: Political Science as a subject has many ingredients, which directly affect human
behaviour in organisations since politics dominates every organisation to some extent. Many themes of
interest directly related to OB are, power and politics, networking, political manipulation, conflict resolution,
coalition, and self-interest enhancement.

Economics: Economic environment influences organisational climate. OB has learned a great deal from such
economic factors as labour market dynamics, cost-benefit analysis, marginal utility analysis, human resource
planning, forecasting, and decision making.

Engineering: Industrial Engineering area has contributed a great deal in the area of man-machine
relationship through time and motion study, work measurement, work flow analysis, job design, and
compensation management. Each of these areas has some impact on OB.

Medicines: Medicines is one of the newest fields which is now being related to the field of OB. Issues like
work related stress, tension and depression are common to both: the area of medicine, and OB.

Semantics: Semantics helps in the study of communications within the organisation. Misunderstood
communication and lack of communication lead to many behaviour related problems in the organisation.
Accordingly, adequate and effective communication is very important for organisational effectiveness.

4.4 NEEDS FOR STUDY OF ORGANISATIONAL BEHAVIOUR

A study of OB is beneficial in many ways. Some of the benefits of studying OB are following:

• It helps an individual understand oneself. It is a systematic study of the actions and attitudes that people
exhibit within organisation.
• It helps managers in getting the work done through effective ways.
• It emphasizes the interaction and relations between the organisation and individual behaviour, thus
making an attempt to fulfil psychological contract between individuals and the organisation.
• It helps to develop work-related behaviour and job satisfaction.
• It helps in building motivating climate.
• It helps in building cordial industrial relations.
• It helps in the field of marketing through deeper insight of consumer behaviour, and managing and
motivating field employees.
• It helps in predicting behaviour and applying it in some meaningful way to make organisations more
effective.
• It implies effective management of human resources.
• It helps to improve functional behaviour leading to productivity, effectiveness, efficiency, organisational
citizenship, and also helps to reduce dysfunctional behaviour at work place like absenteeism, employee
turnover, dissatisfaction, tardiness etc.

Study of OB can be said to be most important contributor towards building managerial skills. After studying
this whole subject you would realize that contributions of OB towards building the following skills and
values are unparalleled:

• Self development
• Personality development
• Development of human values and ethical perspective
• Managing stress and achieving mental hygiene
• Creative use of emotions
• Creating learning individual and learning organisation
• Managing creativity and innovation
• Motivation and morale
• Job satisfaction
• Effective communication
• Interpersonal effectiveness including persuasion, coaching, counselling, mentoring, goal setting, decision
making, politicking, negotiation, conflict handling
• Team building
• Leadership
• Creating effective organisational culture
• Managing change
• Continuous development through behavioural interventions.

Activity A

Meet a training manager working in an organisation, who is responsible for providing behavioural training to
executives. Discuss two issues with him/her: a) What are the five behavioural issues on which training
programmes have been arranged for employees during past one year? b) In his/her opinion how these
training programmes help employees to acquire human skills?
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4.5 GOALS OF ORGANISATIONAL BEHAVIOUR

Field of OB faces a special challenge. In the areas of physical science, accounting, mathematics etc. if you
do not know a concept, you would not claim that you know it. However in the field of human behaviour,
though we may not know a fact, yet through our accumulated knowledge it may appear that we know it and,
in this long drawn conclusion you may be far away from the fact. For example it appears that high job
satisfaction would necessarily lead to high organisational commitment but most of the studies have stood
against this apparently obvious hypothesis. One of the objectives of a course in OB is to replace popularly
held notions, often accepted without question, with science-based conclusions.

Since 1950s till date hundreds of thousands of research studies have been done on various aspects of OB,
and several hundreds of research studies still continue to investigate facts. OB attempts to test theories
through scientific research process. Once a theory has been formulated, predictions derived from it are tested
through direct research. If these are confirmed, confidence in the theories is increased. If they are
disconfirmed, confidence is diminished. At this point, the theory is either modified and retested, or
completely rejected. Theory building and empirical research co-exist and reinforce each other. A good theory
has to be of practical use and empirical validation would confirm this. Likewise, a good empirical research
should have its foundation in a viable theory and should add to the body of existing knowledge.
There are mainly three goals of OB:

• Understanding behaviour
• Which variables are important?
• How strong are they?
• How do they interrelate?
• Predicting behaviour
• What patterns of behaviour are present?
• What is the cause effect relationship?
• Controlling behaviour
• What solutions are possible?
• Which variable can be influenced?
• How can they be influenced?
Check Your Progress A

1) What is organisational behaviour ?

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2) How can study of OB lead to managerial effectiveness ?

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3) Why is OB called an interdisciplinary field of study ?

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4.6 TRADITIONAL AND NEW APPROACHES TO OB

Study of human behaviour, being a part of general management, can be traced back to 4,000 B.C., when the
Egyptian pyramids were built or even the dawn of mankind when people hunted in groups and protected their
families or communities against hostile environmental forces. However for the purpose of our study we need
to evaluate how OB developed during last two centuries.
In Unit 2 you have already studied about various theories related to development of organisation as well as
concept of management. We can say here that along with changes in theories of organisation, our
understanding of OB also developed. Before proceeding further you are expected to refresh yourself on
following issues discussed in Unit 2

• The Scientific Management Theories and the School: mainly developed by F.W.Taylor, H.L.Gnatt, Frank
and Lillian Gilberth.
• Classical Organisation Theory School: mainly developed by Henri Fayol, Max Weber, Mary Parker
Follet, Chester Barnard.
• The Human Relations School: mainly developed by Elton Mayo through Hawthorne Experiments.
• The Behavioural Science School: mainly developed by Abraham Maslow, Douglas McGregor, James
March, Herbert Simon.
• The Systems Approach.
• The Contingency Approach.
• Contemporary Approach.

After studying the historical development of organisational theories, you might have noticed that with
passage of time following issues occurred:

• Human factor became more important successively.

• Focus shifted from individual performance to both individual as well as group (team) performance.
• Emphasis given on actualizing the human potential.
• Emphasis on developing managerial and human skills on continuous basis.
• Emphasis on human relationship and informal organisation.
• Emphasis on creating synergy through team work.
• Treating employees with more dignity as a wholesome person.
• Increasing importance to environmental factors influencing organisation.
• Importance to psychological contract between individuals and organisation.
• Increasing concern for people in organisation.
• Continuous effort to establish effective organisational culture and climate.

According to Robert Baron, four major features characterise modern OB:

• It has adopted a somewhat more positive view of human being in work settings than prevailed in the
past.
• By drawing on several related fields, it has attained a high degree of sophistication about human
behaviour.
• It has adopted a contingency approach to behaviour in organisation- assuming that there is nothing like
permanent way of arriving at a particular solution effectively.
• It is integrative in nature. It seeks to comprehend bahaviour in organisations by combining information
from several different levels of analysis.

Apart from the description above, modern OB is concerned with the issues like: managing intelligence
quotient, emotional quotient, and spiritual quotient, improving mental hygiene and overall health of
members, continuous improvement of skills and values through training, managing ethical practices,
accomplishing fulfilment of psychological contract between individuals and the organisation, quest for
quality, behavioural intervention in merger and acquisition as well as in rightsizing, cross-culture
management, managing multinational organisations etc.

According to modern thoughts on OB, it is necessary to understand the interrelationships between human
behaviour and other variables, which together comprise the total organisation. These variables provide
parameters within which a number of interrelated dimensions can be identified - the individual, the group,
the organisation, and the environment- which collectively influence behaviour in work organisations. In the
next four sections, we shall deal in these four issues.

4.7 INDIVIDUAL PERSPECTIVE

OB deals with individual behaviours in organisations, apart from dealing with group behaviours and
behaviours in organisations. You shall get exposure to individual perspective of OB in detail while going
through Block 2 and Block 3, comprising of Units 5, 6, 7, 8, 9, 10, and 11. However it should be clear to you
now that why we study individual perspective in OB, and what are those issues dealing with individual
perspective of OB ?
An organisation is as good as its people. For organisations to grow continuously, there is need for keeping its
individuals growing through following measures:

• Continuous Learning: There are many ways through which an individual learns. Learning is any
permanent change in behaviour, or behaviour potential, resulting from experience. In order to be
effective organisations need to promote that behaviour, which are functional and need to discourage
that behaviour, which are detrimental to effective organisation. The ways learning take place and the
methods through which learning can be converted to desirable behaviour are the subject matters of
Unit 5.

• Creating Right Perception: Perception is the process through which we select, organise, and
interpret input from our sensory receptors. Your five senses (eyes through sight, ears through
audition, nose through smell, mouth or tongue through taste, and skin through touch) are
continuously gathering information from your surroundings. Now, it is your perception, which gives
meaning to various combinations of information those you gather. The field of OB helps us to create
right perception, which is pre-requisite for working effectively with people. This issue will be
discussed in detail in Unit 6.

• Building Positive Attitudes and Values: Attitudes are lasting evaluations of people, groups, objects,
or issues- in fact, of virtually any aspect of the social or physical world. Positive attitudes are
important ingredient of effective relationship. Values are the basic convictions that a specific mode
of conduct or end-state of existence is personally or socially preferable to an opposite or adverse
mode of conduct or end-state of existence. Values are at the base of attitudes and behaviour, hence it
is important to learn values in OB. The issues of attitudes and values shall be more discussed in
Unit 7.

• Having Personality and Emotions Compatible at Work Place: Personality is an individual’s

unique and relatively stable patterns of behaviour, thoughts, and feelings. There is need in
organisations to create a right combination of person and job, so that full potential of an individual
can be utilized. According to the requirements of the work, personality can be also developed.

Emotions are reactions consisting of subjective cognitive states, physiological reactions, and
expressive behaviours. Cognition is the mental activities associated with thought, knowledge, and
memory. An understanding about emotions help for self-development of individuals. You shall come to
know about these issues in more detail while going through Unit 8.

• Maintaining Stress-free Individuals and Environment: Stress is a dynamic condition in which an

individual is confronted with an opportunity, constraint, or demand related to what he or she desires
and for which the outcome is perceived to be both uncertain and important. With growing
competition and survival, and excellence becoming tougher, stress is the managerial discomfort of
modern era. Unit 10 shall help you to know the causes and remedies of stress.

• Keeping Individuals and Teams Motivated and providing Job Satisfaction: Motivation can be
described as perhaps the most important intangible resource of the organisation. Motivation is an
inferred internal process that activates, guides, and maintains behaviour over time. Job satisfaction
is a general attitude towards one’s job. It also depends on the difference between the amount of
rewards workers receive and the amount they believe they should receive. Unit 10 deals in
 understanding motivation and Unit 11 deals in designing jobs, those can boost morale and job
satisfaction.

4.8 SMALL AND LARGE GROUP PERSPECTIVE

In an organisation, an individual does not exist alone. Plurality of people is the essential ingredient of an
organisation. You shall get exposure to small as well as large group perspective of OB in detail while going
through Block 4 comprising of Units 12, 13, 14, and 15. However it should be clear to you now that why we
study group perspective in OB, and what are those issues dealing with group perspective of OB.

An organisation makes continuous effort to create synergy in the group or team, in order to make the team
more productive and more effective. Some of the important measures those OB suggests at group level
interventions are:

• Group Formation and Structure: Group explains the situation where two or more individuals are
interacting and interdependent, who have come together to achieve particular objectives. It deals
with issues like, how groups are formed, how groups develop, when groups become more effective,
what are the undercurrents of group dynamics, and how group decisions are taken. You shall learn
more about groups after going through Unit 12.
• Communication: Communication deals with transference and understanding of meaning.
Organisations make effort through formal structure as well as through informal interaction to
establish sound communication system within and outside organisation. Establishing effective
communication climate through right attitude of people and through modern technology are the
subject dealt in detail in Unit 13.
• Conflict Management : Conflict is a process that begins when one party perceives that another party
has negatively affected, or is about to negatively affect, something that the first party cares about.
Conflict may arise at various levels, like within the person (intrapersonal level), between two
persons (interpersonal level), intradepartmental level, interdepartmental level, interorganisational
level etc. Conflict is not necessarily bad, as it promotes difference of opinions, which may help for
improving quality of decision. Skillful managers make creative use of conflict by turning challenges
to opportunities. You shall learn more about managing conflict effectively through Unit 14.
• Team Building and Leadership: These two are highly sought after issues of OB. Team building
leads to high interaction among team members to increase trust and openness. For team building
effective leadership styles are required. Leadership is the ability to influence a group toward the
achievement of goals. These two issues shall be discussed in detail in Unit 15.

• Power and Politics: Some amount of pushes and pulls are inevitable where more than two persons
exist. Individual tends to exercise power to influence behaviour of others, so that others act in
accordance with the wishes of the individual. Political behaviour deals with use of informal
networking to make an attempt to influence others. When others are influenced for narrow gains,
politics is dysfunctional, when influence is used for achieving overall goals in larger interest,
political behaviour is functional, and also desirable for organisation. You shall enjoy learning more
about power and politics through Unit 16.

4.9 ORGANISATIONAL PERSPECTIVE

Organisational perspective of OB deals with larger issues of the organisations. Such issues influence an
organisation in broader ways. Organisational perspective of OB deal with following issues:
 • Organisational Culture and Climate: Organisational culture explains a common perception held by
the organisation’s members. It depicts a system of shared meaning. A sound culture leads to
conducive organisational climate. For long term effectiveness organisations need to investigate into,
as well as need to take measures for improving organisational climate and culture. You shall learn
about these issues in detail in Unit 17.

• Organisational Change: This is an age of change. It is said that only thing that is permanent is
change. In earlier decades there used to be longer duration of stability with off and on shorter
duration of change in the organisations. Now the mantra itself has changed. We are passing through
an age, where there is longer duration of change interventions in organisations with off and on
shorter duration of stability. In Unit 18 you shall learn about strategies to implement change
management for building effective organisations.
• Organisational Development : Organisational Development explains collection of planned-change
interventions, built on humanistic-democratic values, that seek to improve organisational
effectiveness and employee well being. Such interventions may be applied at individual level, group
level as well as organisational level. Through Unit 19, you would gain insight about managing the
process of organisational development.

Check Your Progress B

1) How views related with managing human factor changed along with changes in concepts of
management?
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2) What is your understanding of flow of sequence of various issues in this subject of OB?
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4.10 INTEGRATIVE PERSPECTIVE

As individuals do not exist in isolation, organisations also do not exist in isolation. There is constant flux of
environmental impact on organisation which in turn stimulate behaviour pattern within the organisation. The
boundaries of organisations are becoming more transparent rather more fragile. If an organisation does not
learn to muster flexibility, it would not perhaps exist for long. In order to integrate it well with the
environmental changes, organisations are required to focus on many emerging issues. Some of them are:
• Continuous improvement of people and process.
• Integrating human factor with grand objectives of the organisation.
• More emphasis on quality of products, services, and process.
• Restructuring to suit requirements of service organisations, task force teams, as well as, in case of
rightsizing and acquisition and merger.
• Managing diversity.
• Product innovation.
 • Managing creativity and innovations.
• Cross-cultural management.
• Managing multinationals.

For combating the challenging situation, OB comes forward with strategies related to people interventions.
Such measures have been debated in Unit 20.

Activity B
Meet with any executive having around 10 years of working experience in organisations. Discuss with him
five changes in the area of human resource management, which took place during last two decades. Also ask
his / her comment on the question: Are we really progressing in the field of Human Resource Management?
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4.11 LET US SUM UP

Organisational behaviour deals with the understanding, prediction and control of human behaviour in an
organisation. It is an interdisciplinary approach to the study of human behaviour. The study of behaviour
can be viewed in terms of various main disciplines like Psychology, Sociology, Social Psychology,
Anthropology, Political Science, Economics, Engineering, Medicines, Semantics; etc. The study of
organisational behaviour helps to improve functional behaviour which leads to productivity, effectiveness,
efficiency and organisational citizenship. At the same time, it also helps to reduce dysfunctional behaviour
at work place like absenteeism, employee turnover, dissatisfaction, tardiness; etc.

The study of OB is the most important contributor towards building managerial skills. The major goals of
OB are : understanding behaviour, predicting behaviour and controlling behaviour. OB basically deals at
individual level, group level, and organisational level. However one more dimension has been added to it,
i.e., integrative dimension, because study of impact of environmental factor on behavioural aspect of
organisation is gaining more importance. This Unit can also be treated as preface of all subsequent Units
those you shall study in this subject. Your proper understanding of this Unit will help you to enjoy reading
remaining Units in this subject.

4.12 KEY WORDS

Behaviour: Anything that the human does.

Contingency Approach: Approach directed towards developing actions that are most appropriate for a
specific situation.

Interdisciplinary Approach: Integrating knowledge from various relevant disciplines.

Organisation: A place where two or more people work together in a structured way to achieve a specific
goal or set of goals.

Organisational Behaviour: The study and application of knowledge about how people act within
organisations.
Systems Approach: Systematic vision taking into account all the variables affecting organisational
functioning.

Variable: A unit or factor of study.

4.13 TERMINAL QUESTIONS

1) What do you mean by organisational Behaviour ? Explain meaning and scope of Organisational
Behaviour.
2) How has study of OB integrated concepts from various fields of knowledge?
3) How is study of OB beneficial for making an organisation effective?
4) How has approach of OB matured over time?
5) Explain individual perspective, group perspective, organisational perspective, and integrative
perspective of OB.

Note : These questions will help you to understand the unit better. Try
to write answers for them. Do not submit your answers to the university for assessment. These
are for your practice only.
UNIT 5 INDIVIDUAL BEHAVIOUR AND LEARNING
Structure

5.0 Objectives
5.1 Introduction
5.2 Individual Behaviour
5.3 Concept of Learning
5.4 Learning and Performance
5.5 Theories of Learning
5.5.1 Classical Conditioning
5.5.2 Operant Conditioning
5.5.3 Cognitive Learning
5.5.4 Social Learning
5.6 Strategies for Change of Behaviour
5.7 Operant Conditioning and Change of Behaviour
5.7.1 Role of Reinforcement
5.7.2 Schedules of Reinforcement
5.8 Social Learning and Change of Behaviour
5.9 Let Us Sum Up
5.10 Key Words
11.11 Terminal Questions

5.0 OBJECTIVES

After studying this unit, you should be able to:

• describe the meaning of individual behaviour;
• explain the concept of learning;
• establish the relationship between learning and performance;
• discuss various theories of learning;
• explain the strategies for change of behaviour;
• examine the role of operant conditioning in change of behaviour; and
• discuss the role of social learning in change of behaviour.

5.1 INTRODUCTION

You must have visited to schools, colleges, offices, markets and other places several times. Sometimes you
come back to your home and share your experiences with your family members and friends saying that the
behaviour of dealing persons or sales persons was very impressive. Have you ever thought what behaviour is
and what makes behaviour impressive or unimpressive? Behaviour is the most common word used in all
walks of life. It refers to the response made by a person. The response of a person may be guided by the
environmental stimulus. The identification and study of the environmental variables becomes very
important for understanding the behaviour of an individual. In this unit, you will learn the meaning of
individual behaviour, concept of learning, learning and performance and the theories of learning. You will be
acquainted with detailed strategies for change of behaviour and the role of operant conditioning and social
learning in change of behaviour.

5.2 INDIVIDUAL BEHAVIOUR

Behaviour refers to the response made by an individual. The response may be the result of influence of
external factors. The external factor is termed as stimulus and the action taken by the individual is known as
response. Both heredity and environment determine the behaviour of an individual. The psychologists say
that man’s heredity determines what kind of person he/she can be and the environment determines what he/
she becomes. Behaviour of an individual is determined by both the heredity and environmental factors.
Heredity refers to the characteristics transmitted by parents to the next generation. Human beings acquire
biological characteristics through genes, which control the development of tissues and organs of the body.
They are determined at the time of the conception. Parents influence hereditary characteristics through the
transmission of genes. Children acquire certain features of physique and psychic qualities out of this genetic
transmission. Research in genetic engineering also suggests that heredity determines physical, mental and
emotional states of the individuals. Physical stature, gender, colour, intelligence etc. are influenced by the
hereditary factors.

The individuals are brought up in a particular environment like family, society, culture, etc. These
environmental factors influence the behaviour of the individuals. Children’s socialisation process start in the
family. Children are made to follow the behavioural pattern of the family. Members of the family compel
children to conform to certain acceptable behaviour and avoid unacceptable behaviour. Thus children
acquire knowledge of acceptable and unacceptable behaviour from their family. Children further start
socialising with a number of social groups like friends, school and other members of the society. Thus they
acquire socially acceptable behaviour and try to avoid socially unacceptable behaviour as a result of their
interaction with these groups. The culture in which children are brought up, determines the decision making
styles, attitudes, independence v/s dependence, soberness v/s aggression, competition v/s cooperation etc. As
a member of a particular culture, children learn norms, values and attitudes which are prescribed by the
culture. Individuals are compelled to behave in conformity to the cultural norms established by the society.
Thus society and culture exert greater influence on the behaviour of individuals.

Individual Differences

Now, it is clear to you that as soon as a child is born, he/she is exposed to a variety of environmental forces.
The biological characteristics clubbed with the environmental forces determine the behaviour of an
individual. The question arises why the behaviour of one person differs from other?

When you visit an organisation, you find that somebody is very polite; someone is sensitive, someone
aggressive, talkative, etc. Thus you realise that the behaviour of one person differs from the others. The
understanding of individual differences helps the managers to analyse the strengths and weaknesses of the
subordinates and their attitude towards the works and the organisation. The manager can examine the
performance pattern of the employees as a result of the individual difference and chalk out the strategy to
exploit the positive behaviour of the employees. A number of factors influence the behaviour of an
individual in the organisation.

John Ivancevich and Michael Matteson have identified major factors influencing individual difference in
behavioural pattern as : demographic factors, abilities and skills, perception, attitudes and personality. Let us
learn them briefly.
Demographic Factors: These factors are socio economic background, education, nationality, race, age, sex,
etc. The persons belonging to good socio-economic background, well educated, young etc. may be preferred
by the organisation because they are likely to perform better. You must be aware that the young
professionals having good academic background and communication skills are in great demand. For
example, a call centre prefers the young professional having excellent command on communication. Thus
the study of demographic factors helps the manager to identify the suitable persons for a particular job.

Abilities and Skills: Ability refers to mental or physical capacity of an individual to do something whereas
skill refers to an ability to act in a way that allows a person to perform well. Ability and skills play very
important role in individual’s behaviour and performance. If a person’s abilities and skills match the job
requirement, he/she is likely to perform better in the organisation. Therefore, the manger has a challenging
job of matching the abilities and skills of the employees to the job requirement.

Perception: Perception refers to the cognitive process meant for interpreting the environmental stimuli in a
meaningful way. Every individual may organise and interpret environmental stimuli based on his/her own
reference. Several factors influence the perception of an individual so their study may be very crucial for the
manager. The manager must create the favourable work environment so that the employees perceive them in
a favourable way. If the employees perceive them in a positive way, they are likely to perform better.

Attitude: Psychologists have defined attitude as a tendency to respond favourably or unfavourably to certain
objects, persons or situations. The formation of attitude is influenced by the family, society, culture, peers
and organisational factors. In an organisation, manager requires to study the variables related to job and
create the work environment in such a favourable way that the employees are tempted to form positive
attitude towards the job. If the employees form positive attitude, he/she may perform better in the
organisation.

Personality: Personality refers to 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. Several factors like heredity, family, society, culture and situation influence the personality of an
individual. As a result, individuals differ in their manner of responding to organisational environment. It is
the most complex aspect of human beings and influences their behaviour immensely. Therefore, the study of
personality traits provides an opportunity to understand the individuals, properly direct their effort and
motivate them for the accomplishment of the organisational goal.

This means that different environmental factors may generate different responses. The study of these
responses is vital for the organisation. Every organisation demands a particular type of behaviour from the
employees. These behaviours can be learnt through observation, learning, exposure, training, etc.
Psychologists have been striving for accurate study of appropriate behaviour of an individual in a particular
situation. How to shape the desired behaviour has been a challenging task before them ? The favourable
circumstances may evoke favourable responses and unfavourable circumstances may evoke unfavourable
responses. The favourable responses may facilitate the performance of an individual in the organisation.

The organisation requires identifying those factors which elicit favourable responses from the employees.
They must create congenial work environment to get the best responses from the employees. Most of the
successful and best-managed organisations have started considering their employees as key assets of the
organisation. The productivity of these organisations has improved significantly as a result of creating
employees oriented working environment. It must be clear to you that the understanding of individual
behaviour is very helpful in creating such working environment. It also helps in improving the performance
of the employees. Most of the best managed organisations have been emphasizing on the continuous
improvement of their employees through learning, adaptation and application of the best practices for the
achievement of the goals. The business environment has been witnessing enormous change. New strategies
are needed to cope up with these changes. Moreover, the expectation of the organisation regarding the
performance of the desired behaviour of the employees has been also increasing. The question arises how to
shape the desired behaviour of the employees? Proper learning strategies may be extremely helpful in
shaping the behaviour of the employees. Thus understanding of individual behaviour may be very helpful in
formulating learning and behaviour modification strategy of the organisation. Employee’s motivation
strategy may also be chalked out based on the analysis of the individual behaviour.

Check Your Progress A

1) What is individual behaviour?

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2) How one individual differ from others?

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3) Enumerate the factors influencing individual difference.

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5.3 CONCEPT OF LEARNING

Different Jobs may require different skills to complete them. The changing dimensions of the job demand
change in skills as well. Learning new skills and upgrading the earlier skills on continuous basis throw
major challenges to the employees. In an article the Future of work written by Paroma Roy Choudhary
(Business Today, January 21, 2001, pp 59 –66) focused that the work of tomorrow will demand a high degree
of formal education or foundation skills, on the Job learning, and more of cutting edge knowledge
accumulation. An organisations competitiveness will lie not in its ability to source raw materials, cheap
capital, or good workers but in its ability to build, enhance, share, and leverage knowledge, in knowing how
to do things better than its competitors. Those employees would be able to match the work scenario who
acquires new skills required for the work. These days most of the best managed organisations encourage
continuous upgradation and development of skills of their employees. These skills can be acquired by
learning. The book Learning Paradox written by Jim Harris also focuses that thriving in the future requires
willingness to being flexible and adaptable, and constantly questioning, learning, and meeting new
challenges. It gives the messages that learn continuously or die. Thus learning is the most vital part of
human behaviour.

Institute for Employment Studies (IES) United Kingdom (1988) investigated the links between industrial and
organisational learning and whether the linkages are more likely to occur within certain kinds of
development intervention in others (Learning to Manage by P. Tampkin and L. Barber, Institute for
Employment Studies, Report 345, 1998). The study examined five UK’s best known organisations and found
that as a result of learning experiences, the managers showed change in the following cognitive areas.
• Strategic overview : A broader view of business.
• Thinking Style : Clear and more informal thinking.
• Action orientation: Became more proactive and started taking more initiative.
 • Reflection : Learning from mistakes.
• Personal Style : More sensitive and caring.
• Self Awareness : Toning down aggressive behaviour as a result of feedback.
• Way of dealing with others : More honest, more team worker and follow more human democratic
management style.
These changes frequently occurred as a result of feedback from peers and subordinates. The study reflects
how learning is important for people.
India’s Best Managed Company – Business Today – AT Kearney study by Devinder, Anshuman and Satyajit
(Business Today, June 22, 2003) shows that conscious steps are taken by companies striving to be amongst
the best managed companies which can be learned and applied. Every one of the 16 best managed
companies in the study holds its position because it has moved consciously and with great deliberation. Each
has necessarily striven to formulate, reformulate and achieve its vision and improve the internal organisation.
The best managed companies believe they control their own destiny and shy away from blaming external
factors. They are focused on achieving certain goals, learn, adapt and apply best practices and take
conscious steps to ensure execution of the vision and strategies. This is one of the key messages for CEOs
intent on improving the overall functioning of their organisation.

The above studies reflect that learning is the most important ways of acquiring new knowledge and skills.
Now the question arises what is learning? Since the very beginning of childhood you keep on learning
different activities at home at the school and at the work place. You learn how to dress yourself, how to
conduct well, how to solve a problem and so on. It can be said that the human beings continue to learn
throughout their life. Have you ever thought what is learning? Psychologists have defined learning as
relatively permanent change in behaviour, which occurs as a result of experience or practice. If you
analyse this definition, you find that learning is a change in behaviour. This change may be favourable or
unfavourable. You may learn how to increase output in your organisation or you may also learn how to
decrease output in the organisation. The second feature of this definition is that the change must be
relatively permanent. It must last for a longer period of time. This means that some times, the change may
be due to fatigue, adaptation, motivation etc. which may be a temporary change. Learning involves
permanent change in behaviour. The third feature involves the change takes place through experience or
practice. The changes through growth and maturation are not considered as learned behaviour. The
experience or practice is required for the purpose of learning to take place. The experience may be acquired
through interaction with the environment in the forms of observation, personal exposure, repetition, etc. The
reinforcement of experience or practice facilitates the learning. Having learnt the concept of learning, the
question arises how performance can be changed through learning. This is the most challenging task before
the managers.

5.4 LEARNING AND PERFORMANCE

Performance is the most important outcome of learning. It refers to the action made by an individual in a
particular situation. All over the world managers have been struggling with the idea that how to make
employees perform better on the job?

BT – Hewitt Study the Best Employers in India (Business Today, January 21, 2001 p 227 –234) found that:
• Almost all surveyed company positioned themselves above market compensation levels; 78% positioned
themselves in the fourth quartile (75% -100%).
• 80% of companies preferred to pay as per internal pay scales and bands and not on the basis of Pay the
person.
• All companies used some method of variable pay.
• All companies conducted formal performance planning and feedback; 80% used multi-source feedback.
• All linked performance management directly to employee development; 90% linked it to pay decisions.
• Individual performance was rewarded to every 12 months at all companies; typically, 25% of base pay
was the average payment amount; typical increase for the top performers could be 2-3 times the overall
performers increase.
• 50% companies used broad based option plan.

All companies recognized achievements of employees; 70% awarded cash.

The above study shows how performance is related to reward. Moreover, the performance is directly related
to learning and upgrading of knowledge and skills. There are several factors which forces the employees to
perform their jobs. Steven and Mary Annvon identified four factors i.e., ability, role perceptions, motivation
and situational contingencies; which influence employee’s voluntary behaviour and their performance. Let
us discuss them in detail :

Ability: This refers to capability of a person to perform the job. It involves aptitudes and skills required for
completion of the work. For example, when you appear in the competitive examination, you are tested for
your aptitude, skill, comprehension, knowledge, etc. These tests are meant for assessing your capability
which is required for the completion of the Job. Thus, the ability of the person must match the performance
requirement of the Job. Therefore as a learner you must keep on trying to develop your ability for meeting
the challenges of the changing environment.

Role Perceptions: Every task involves appropriate behaviour for successful completion. This appropriate
behaviour is termed as role perception. The identification and learning of this appropriate behaviour is a
great challenge for the employees. This means that what are you expected to do in a given situation? You
must understand them in such a way that your behaviour satisfies the requirement of the situations. For
example, communication strategy and convincing power of salespersons may result in successful completion
of sale. This appropriate behaviour of sales persons is known as role perceptions. In order to introduce role
perceptions, the manager requires defining the jobs clearly and providing adequate training and appropriate
feedback to the employees. The proper understanding of role perceptions certainly facilitates the
performance of the job.

Motivation: This is the most important aspect of performance. Robbins has defined motivation as the
process that account for an individual’s intensity, direction and persistence of effort toward attaining a goal.
Here, intensity refers to how much effort a person makes to perform the job. Moreover, the effort must be
made in a proper direction. If the effort produces desired result, the person tends to sustain his behaviour.
The manager requires identifying the reinforcing factors which encourages the employees to make strong
effort for the completion of the job and sustain them over a longer period. Thus the effort in a right direction
and desired result motivate the employees to perform well.

Situational Contingencies: Every Job is performed in a particular situation. The situation may be
favourable or unfavourable for the completion of the task. If the manager provides favourable environmental
condition, the employee may perform better. Favourable working condition, well structured task, better
resources, good marketing strategy, etc. may facilitate the performance of the employees.

These factors are important determinants of performance. If they are favourable, the action of the persons
leads to success. Moreover, except the inherent capabilities, other factors may be learnt. Learning facilitates
the performance. Therefore, the managers must explore the ways and means of making the employees learn.
Learning theories may provide good insight in this direction.

5.5 THEORIES OF LEARNING

Several learning theories have been propounded by the psychologists which explain the process of learning.
Let us learn some important theories of learning.
5.5.1 Classical Conditioning
You must be aware about the stimulus and response. In classical conditioning, learning takes place through
the connection between unconditioned stimulus and conditioned stimulus. These two stimuli are paired to
elicit the desired response. Let us take an example of food which elicits the response of salivation. The food
is termed as unconditioned stimulus and the salivation is known as unconditioned response. A conditioned
stimulus is a mental stimulus that does not elicit the response. A response which is elicited by the
conditioned stimulus is termed as conditioned response. When conditioned stimulus is paired with
unconditioned stimulus, the conditioned stimulus also starts eliciting the response. In this process a stimulus
– response bond is developed between a conditioned stimulus and a conditioned response through the
repeated linking of a conditioned stimulus with an unconditioned stimulus.

Pavlov conducted this experiment on the dog. He presented the food to the dog and the dog salivated. Here
the food is the unconditioned stimulus and the salivation of the dog is the unconditioned response. Pavlov
used a bell as conditioned stimulus. When he rang the bell, the dog did not do any thing. Pavlov started
paring of the conditioned stimulus (bell) with the unconditioned stimulus (food). He presented the food to
the dog and rung the bell. This was repeated several times. After some time, he found that the bell also
elicited the same response as the food. Here the conditioned stimulus (bell) elicited the response of
salivation even when the unconditioned stimulus (food) was not present. He rings the bell and the dog
salivates without the presentation of food as well. Thus the dog learnt the ringing of the bell with the
salivation. The focus of this theory is building up an association between an unconditioned stimulus and
a conditioned stimulus.

The training of airplane pilot regarding the use of a newly installed warning system is a good example of
classical conditioning. In this training, whenever the plane drops below critical altitudes, the warning light is
shown and the pilot increases the plane’s altitude. Over the period, the pilot learns to adjust the plane’s
altitude in response to the warning light without the presence of the trainer.

This theory has been criticised on the ground that it considers the learner as a passive element. The learner
notices the connection between the unconditioned stimulus and the conditioned stimulus and forms an
association. Another noticeable point is that it explains the simple reflexive behaviour. In most of the
organisation, people are not passive; they are actively involved in executing their behaviour. Moreover,
behaviours are also not elicited, they are emitted. These behaviours are under worker’s control. Despite
these limitations, the principles of association, as an important phenomenon of learning can not be
undermined.
5.5.2 Operant Conditioning
Skinner gave the theory of operant conditioning. This theory advocates that a learner’s response is
instrumental in producing a reinforcing stimulus. This means that the response which produces the
reinforcement becomes stronger and the response which does not produce reinforcement becomes weaker.

Skinner box was used for demonstrating the operant learning. It is a simple box having a liver fitted at the
end of the box. The liver is a switch which operates as a food-delivery mechanism. A hungry rat is placed
inside the box. Initially the rat sits idle in the box, gradually it starts exploring inside the box to search for
food. While exploring inside the box all on a sudden it presses the liver. As the liver is pressed it releases a
piece of food. After pressing the liver a number of times, the rat realises that it releases the pieces of food
and the rat starts eating them. Now the rat presses the liver and eats the food. The delivery of food
constitutes the reinforcement and reinforcement is contingent upon the operation of the lever.

The box can be arranged in such a way that every response i.e., pressing of liver may not release the food.
Some response may release the food and some may not release. This is termed as partial reinforcement. It
may also be arranged in such a way that pressing of lever may result in a shock to the rat. This is termed as
negative reinforcement. Thus the response which fulfils the desired need of the rat is known as positive
reinforcement. At the same time, the response may also lead to escape from the painful situation which is
known as negative reinforcement.
The focus of this theory is the reinforcement follows a response. So the response becomes instrumental in
achieving the appropriate goal. The manipulation of response and reinforcement may increase, reduce or
lead to the extinction of the behaviour.

You must be aware of Thorndike’s law of effect which states that the responses which are accompanied or
closely followed by reinforcement will be more likely to occur. At the same time, the responses which are
accompanied or closely followed by discomfort will be less likely to occur. This means that the behaviour
which leads to positive outcome will be likely to be repeated whereas behaviour which leads to
negative outcome will be avoided.

Hull proposed three components of learning theory i.e. drive, habit and reinforcement. A drive refers to the
internal state of disequlibrium which becomes a motive for learning. A drive stimulates the person to
perform the desired act. Habit refers to the association between stimulus and the response. The appropriate
link is formed between environmental stimulus and behaviour of a person. The formation of this connection
play very important role in learning.
Reinforcement refers to the feedback received by the person as a result of his behaviour.

Thus appropriate understanding of connection between behaviour and consequences by the person makes
him to learn about the situation. The focus of the operant theory is to make the learner to operate in the
environment to acquire reinforcement. This means that the behaviour may be directed by appropriate
reinforcement. For example when ever you perform well in the office, your boss appreciates you. This
appreciation helps you in strengthening the behaviour of performing well in the office.
5.5.3 Cognitive Learning
The cognitive theory was given by Tolman. It focuses on the fact that learning takes place by thinking about
the problem, from insight of the individual and from integrating different cues or pieces of information.
Acquisition of information plays important role in the learning process. The cognitive theory advocates that
the association between cognitive environmental cues and expectations lead to learning. According to
cognitive theory, learning takes place as a result of stimulus –stimulus association. Here, two stimuli are
repeatedly paired. The presentation of one stimulus arouses an image, idea or some process representing the
second stimulus, even when it is not presented. When more than two stimuli are presented, whole stimuli
may become associated. The process of association leads to formation of cognitive map. This cognitive map
is especially applicable to the learning of spatial relationships of objects in the environment. Tolman tested
the cognitive learning phenomenon on rats through a complicated maze structure in the laboratory. He found
the rats ran through the maze structure towards the food. Rats developed expectations at every point of the
maze and reached to the goal. Thus the relationship between cues and expectancy got strengthened and
cognitive map was formed. The formation of cognitive map was the result of the learning. In day to day life
also you form a cognitive map of the way you go to the college, market and other places or about the
persons, things etc.
5.5.4 Social Learning
This theory advocates that the people learn through observation and direct experience. It emphasizes an
interaction among cognitive, behavioural and environmental determinants of behaviour. People learn by
observing others behaviour. They model those behaviours that lead to favourable outcomes. At the same
time, they try to avoid those behaviours that lead to unfavourable outcomes. If you analyse your behaviour,
you will find that your behaviours are influenced by your parents, friends, teachers, movies, television,
achievers, successful persons, etc. you try to imbibe their behaviour because their behaviour lead to positive
consequences. This theory focuses on learning the consequences of behaviour and self reinforcement.

Check Your Progress B

1) How does learning influence the performance of an individual?

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2) Distinguish between classical conditioning and operant conditioning

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3) What is cognitive learning?
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4) What do you mean by social learning?

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5.6 STRATEGIES FOR CHANGE OF BEHAVIOUR

Several scholars have applied theories of learning for modification of behaviour. In fact, the principle of
operant conditioning has been widely applied for modification of employee’s behaviour in an organisation.
Jennifer and Gareth have identified following steps for modification of behaviour. Let us learn them in
detail.

Identify the Behaviour to be Learnt: The first step of behaviour modification requires identification of the
behaviour which the organisation wants to learn by the employees. The behaviour to be learnt must be
specified and clearly defined by the management. In fact, there are specific determinants of performance of
the job. These determinants required to be studied in depth. For example, if the manager realizes that
salesmen are not able to increase the sale. Now, the manager wants the salesmen to increase the sale. Here,
the manager identifies that the sales are to be increased hence the steps involved in increasing the sales
requires to be learnt by the salesmen.

Baseline Performance: The manager analyses the present status of the behaviour. He studies the job
performance of the salesmen. The manager finds out that the salesmen are able to sell less number of
quantities than the standard decided by the organisation.

Functional Analysis: In this step, a detailed analysis of existing behaviours and their consequence is
undertaken. Here the manager evaluates the impact of existing behaviour on the output of the salesmen. The
manager finds that the output of salesmen is 25% less than the standard output. The manager evaluates the
pre behaviour circumstances, actual behaviour on the job and the consequences at great length. Lack of
encouragement or poor working environment, inadequate training etc. may be the pre behaviour
circumstances which may have resulted in the poor performance of the salesmen.

Intervention Strategy: In this step, the manager devices the strategy for strengthening the desired
behaviour and weakening of the undesired behaviour. The manager chooses positive reinforcement strategy
like praise, appreciation, bonus, additional benefit for enhancement of output. For example, if the salesmen
conform to the standard sale or closer to it, they get appreciation, bonus, or additional benefit. Thus they are
reinforced to complete their work. At the same time they are also discouraged for their poor performance.

Evaluation of Performance: The manager evaluates the performance of the salesmen. He finds that the
salesmen have started to perform up to the standard sales norms. Thus the manager realizes that the
introduction of positive reinforcement makes the worker learn the desired behaviour of the organisation. In
order to maintain the behaviour of the salesmen, the manager keeps on introducing positive reinforcement to
the salesmen.

Several Organisations have used behaviour modification programme for improving the performance of the
employees. In fact, managers require undertaking the depth analysis of job and the factors which encourage
performance of the job by the employees. They have to choose appropriate reinforcement which encourage
the workers to complete the work. Now it must be clear to you that the behaviour modification strategy
helps in improving the performance of the employees.

There are several limitations for the behaviour modification programme. First the observable behaviour like
good attendance, punctuality, selling work etc. may be modified than the non-observable behaviour like
decision making strategy. Second the employees are trapped into the re-inforcement cycle. They tend to
perform that behaviour which is reinforced. Third ethical issues involved in modification of behaviour
which is concerned with the manipulation of the worker’s behaviour. This manipulation may curtail the
freedom of employees. Despite these limitations, positive reinforcement strategies have been considered as
an important means of behaviour modification programme.

5.7 OPERANT CONDITIONING AND CHANGE OF BEHAVIOUR

Every employer wants that the employee should conform to the required behaviour in the organisation. This
raises the question that can the behaviour of a person may be modified? Several studies have shown that the
behaviour may be modified through the detail study of antecedents, behaviour and consequences.
Antecedents are activities which precede the behaviour. For example if the manager informs the
subordinates that those persons who complete the tasks same day would get the recognition of high
performer. Here the instruction of task completion is the antecedent, the completion of task is the behaviour
and the recognition of high performer is the consequence. This means that the manager requires analysing
the pre behaviour condition, during the behaviour condition and after the behaviour condition. The
circumstances which influence the execution of these three stages of behaviour required to be analysed at
great length. Moreover, reinforcement is introduced to elicit the desired behaviour. The reinforcement play
very important role in changing the behaviour of the person.

1.1.1 Role of Reinforcement

If you recall the theory of law of effect which stresses that the repetition of behaviour depends on its
consequences. This means if the behaviour is followed by pleasant consequences, the behaviour tends to be
repeated. On the other hand, if behaviour is followed by unpleasant consequences the behaviour may be
avoided. Thus, it must be clear to you that reinforcement plays important role in strengthening or weakening
of the behaviour. Let us now learn about the reinforcement in detail.

Positive Reinforcement: Positive reinforcement refers to providing favourable outcome of a desired

behaviour. If a person’s behaviour matches the expectation of the organisation, the person is rewarded.
Here, the favourable outcome helps in repeating the behaviour of the person. For example, if you perform
job well, your boss appreciates you. As a result of the appreciation you try to perform well so that you get
appreciation. This means that positive reinforcement reinforces you to do the job in the best possible way.

Negative Reinforcement: In negative reinforcement, an unpleasant outcome is introduced after performing

a desired behaviour so that the person avoids performing the behaviour. The person learns to avoid
unpleasant outcome by behaving in a desired way. For example, if an employee follows the order of his boss
and completes his work in time he may not be harassed or criticised by his boss. Here harassment or
criticism works as a negative reinforcement which the employee learns to avoid by completing his task and
following the order of his boss.

Extinction: When reinforcement is not introduced as a result of performing undesired behaviour, this
behaviour may decline or leads to extinction. Some of the scholars have called it do nothing strategy. For
example, if one student keeps on telling story in your counselling session and others stop paying any
attention towards his story, he may be refrained to narrating the story further. Lack of praise or
reinforcement abstains the student in narrating the story in the counselling session.

Punishment: In punishment, an undesired behaviour is followed by an unpleasant outcome. It decreases

the occurrence of the behaivour. For example, if a salesperson does not complete his target, his boss
withdraws bonus or perks or demotes him. The fear of withdrawal or demotion makes the salespersons to
complete their tasks.
5.7.2 Schedules of Reinforcement
You have learnt that reinforcement strengthens or weakens the behaviour of persons. Now the question
arises whether all responses should be reinforced or some responses should be reinforced : When all
responses are reinforced, it is called continuous reinforcement : When some responses are reinforced, it is
called partial reinforcement. The schedule used for reinforcing a response is termed as the schedule of
reinforcement. The schedule of reinforcement is very helpful for managers to select a reward for enhancing
the performance of his subordinates. You may provide reinforcement after every 5th response; this is termed
as ratio schedule. You may also provide reinforcement after every 5th minute; this is termed as interval
schedule. Let us learn them in detail.

Fixed Interval Schedule: In this schedule, reinforcement is produced after a fixed interval of time. For
example, salary of an employee is paid after working for a week or a month. This technique does not lead to
high levels of performance because it does not provide incentive for higher performance.

Fixed Ratio Schedule: In this schedule, the reinforcement is produced based on the number of responses.
This means that the person is expected to make certain number of responses to get the reinforcement. Here
the rewards are associated with the performance of the person and it is given in a ratio of rewards to
performance. For example in a piece wage rate system, the payment is made based on each unit of output
produced by the employees. The employee knows that if he produces more number of units, he will get more
rewards.

Variable Interval Schedule: In this schedule, the person is reinforced after one interval of time, then after
another interval of time and so on. This means that the reinforcement is provided after a varying length of
time which may be based on an average. For example, you may get your first promotion after 3 years,
second promotion after 4 years and third promotion after one year. You get these promotions after varying
interval of time.

Variable Ratio Schedule: In this schedule, reinforcement is produced after a variable number of responses.
The reinforcement may be produced after four responses, again after twelve responses and again after tenth
responses, and so on. This means that reinforcement is given after varying number of times. The
reinforcement is provided on the basis of a ratio of number of responses to rewards. The reward varies in
relation to the response of the person. For example, a salesperson may get a reward after tenth sale and the
second reward after fifteenth sale.

Several studies have shown that the performance based reward schedules generally lead to better
performance than the time based reward schedule. Moreover, variable schedule also leads to great resistance
to extinction. This schedule also provides steady rates of responses.

5.8 SOCIAL LEARNING AND CHANGE OF BEHAVIOUR

People keep on observing the behaviours of others. They model those behaviours which result in favourable
outcomes. At the same time, they avoid those behaviours that result in unfavourable outcomes. Since the
very beginning of childhood, people observe the behaviour of parents, teachers, achievers etc. They try to
model those behaviours which influence them most. This theory advocates that the people learn their own
behaviour themselves by observing the environment. This theory focuses on cognitive process of learning
where learners integrate the environmental factors and try to select the favourable outcome oriented
behaviour. Steven and Mary Annvon mentioned three features of social learning theory. These features are
behavioural modeling, learning behaviour consequences and self-reinforcement. Let us learn them in detail.

Behavioural Modeling : Individual keeps on observing or interacting with a number of persons in the
environment. He/she observes behaviour and tries to model those behaviours which have favourable
outcomes. The modeling depends on the impact of particular behaviour on the individual. For example, the
oganisation develops the training programme of sales person based on role model. Here, the high performer
sales persons are rewarded in terms of extra bonus, praise, appreciation, recognition, etc. The role of high
performers is highlighted by the organisation. The salesperson observes the behaviours of high performer
and tries to model them.

Learning Behaviour Consequences: In the social learning theory, the cognitive process play very
important role in learning the new behaviour. In fact, individuals actively analyse the situations and learn
those behaviours which result in favourable outcome. Here the thought processing activities get activated.
The person applies logic and evaluates the favourable and unfavourable consequences of the behaviours. In
this way, the desired behaviours may be activated by associating them with the favourable outcomes. For
example, if you complete job target, your boss appreciates you. You learn the consequences of completing
the job in time which brings favourable outcome.
Self Reinforcement: This is the most important aspect of social learning theory. When the individual
analyses the impact of reinforcements on the behaviour and finds the positive outcome, he/she tries to learn
positive outcome oriented behaviours. Gradually he/she may develop self reinforcement technique for his
own behaviour. He may start setting his own goal and reinforcing himself after achieving the goal. The
development of self reinforcement strategy is the most challenging task before the organisation. This
provides freedom and control to the employees to manage his own behaviour. Moreover, he/she recognizes
his/her own ability to complete the job.

Social learning theory is very important in formulating the training programme of the organisation. In the
training programme, the importance of high performer, high achievers etc. is highlighted. These behaviours
are also reinforced. The employees observe their behaviours and also realize that these behaviours lead to
success. Thus, they are encouraged to model the favourable behaviours.

Robbins has identified four processes that determine the influence of a model on the behaviour of a person.
They are discussed below:
Attentional Processes: In order to learn from the behaviour of the model, people need to pay attention on
the behaviour. This means that observable behaviour must be designed in such a way that catches the
attention of the people.

Retention Process: When the person observes others behaviour, the question arises how much he is going
to retain? The process of retention depends on the degree of influence people have on other’s behaviour.
For example, people may easily retain the unique behaviour of the model.

Motor Reproduction Process: This is a technique of converting observed behaviour into action. The
person must learn the process of reproducing the observed behaviour. Therefore, the ideal performance
technique must be shown in such a manner that people learn to reproduce the performance.

Reinforcement Processes: People are encouraged to perform the observed behaviour if they are provided
adequate incentives or rewards. The reinforcement motivates them to act in that fashion. The positive
reinforcement is an important technique for enhancing the attention and retention process and improving the
performance of the people.

Check Your Progress C

1) Enumerate the steps involved in the modification of behaviour.

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2) Distinguish between positive reinforcement and negative reinforcement.

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3) Distinguish between fixed interval schedule and variable interval schedule.

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4) What is behaviour modeling?

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5) What is self reinforcement?

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5.9 LET US SUM UP

Behaviour refers to the response made by an individual. It is determined by both the heredity and
environmental factors. Behaviour of one individual differs from others. Several factors like demographic,
abilities and skills, perception, attitudes and personality etc. influence the individual difference and their
pattern of behaviour. Therefore, understanding of individual’s behaviour is very important for mangers to
elicit favourable response from subordinates.

Learning which refers to relatively permanent change in behaviour and occurs as a result of experience or
practice helps in imbibing favourable behaviour to meet the challenges of the environment. Learning
improves the performance of the persons. Several factors like ability, role perceptions, motivation and
situation contingencies, etc. influence the performance of the employees. The favourable factors may lead
to favourable action from the employees. Several learning theories have been propounded to explain the
process by which an individual acquires behavioural patterns. The major learning theories are classical
conditioning, instrumental learning, cognitive learning and social learning theory. These theories explain the
role of stimulus, response, environmental cues and observation in the process of learning.

Theories of learning are very helpful in modifying the behaviour of employees as well. The steps involved
in behaviour modification include: identify behaviour to be learnt, baseline performance, functional analysis,
intervention strategy and evaluation of performance. The analysis of pre-behaviour, actual behaviour and
consequences help in modifying the behaviour. The theory of operant conditioning has been widely applied
for the change of behaviour. The reinforcement play major role in modifying the behaviour. The positive
reinforcement, negative reinforcement, extinction and punishment are applied for this purpose. The
schedules of reinforcement which are used for strengthening or weakening of behaviour include: fixed
interval, fixed ratio, variable interval and variable ratio. Another learning theory social learning which is
primarily based on observation and modeling has been frequently used for behaviour modification. The
major features of social learning include: behavioural modeling, learning behaviour consequences and self
reinforcement.

5.10 KEY WORDS

Behaviour : Anything a person does.

Classical Conditioning : Building up an association between an unconditioned stimulus and a conditioned

stimulus.

Cognition : A conscious process of acquiring knowledge.

Extinction: Lack of reinforcement leads to extinction.

Fixed interval Schedule: Providing reinforcement after a fixed interval of time.

Learning: A relatively permanent change in behaviour which occurs as a result of experience or practice.
Negative Reinforcement: Introduction of unpleasant outcome after performing a desired behaviour so that
the person avoids performing the behaviour.

Operant conditioning: Recognition of connection between behaviour and its consequences.

Positive Reinforcement: Providing favourable outcome of a desired behaviour.

Punishment: Introduction of unpleasant outcome as a result of undesired behaviour.

Reinforcement: The process by which the probability that a desired behaviour will occur is increased.

Variable Interval Schedule: Providing reinforcement after one interval of time, then after another interval
of time and so on.

Variable Ratio Schedule: Providing reinforcement after a variable number of responses.

5.11 TERMINAL QUESTIONS

1) What is individual behaviour? Discuss various factors influencing the individual
difference.
2) Do you think that learning results in change in behaviour ? Discuss and state how does learning
enhance the performance?
3) Describe the factors which influence employee’s behaviour and their performance.
4) Critically examine the classical conditioning theory of learning.
5) Discuss the operant conditioning theory of learning. How does it differ with the classical
conditioning theory of learning?
6) Describe the strategies for behavioural change. Do you think that these strategies are useful for the
organisation? Discuss.
7) Write notes on :
i) Role of Reinforcement
ii) Schedule of Reinforcement

Note : These questions will help you to understand the unit better. Try to write answers for them. Do
not submit your answers to the university. for assessment. These are for your practice only.
UNIT 6 PERCEPTION
Structure

6.0 Objectives
6.1 Introduction
6.2 Concept of Perception
6.3 Process of Perception
6.4 Factors Influencing Perception
6.5 Barriers to Accurate Perception
6.6 Theory of Attribution
6.7 Managerial Uses of Perception
6.8 Developing Perceptual Skills
6.9 Let Us Sum Up
6.10 Key Words
6.11 Terminal Questions

6.0 OBJECTIVES
After studying this unit, you should be able to:

• define the term Perception;

• analyse the determinants of Perception;
• describe process of Perception;
• identify uses of Perception in the field of human interaction;
• explain the reasons for biases in Perception; and
• identify ways to develop sound perceptual skills.

1.1 INTRODUCTION
Individuals are exposed to varieties of stimuli of the environment. They process these stimuli and interpret
them. The process of receiving information and making sense is known as perception. It refers to the way
the world sounds, looks, feels, smells, tastes to the individual. The individual’s behaviour is determined to a
large extent by the way the environment is perceived by him/her. Therefore, the conducive organisational
environment must be created for favourable perception. The persons who perceived the environment in a
favourable way may contribute their best to the organisation. In this unit, you will learn the concept,
process, the factors and barriers to the accurate perception. You will be exposed to the theory of attribution
and the managerial uses of perception. You will be further familiarised with the process of developing
perceptual skills.

6.2 CONCEPT OF PERCEPTION

We have mainly five sensory organs viz. eyes, ears, nose, tongue, and skin. The basic five sense organs help
us to collect information through their respective tasks. Through eyes we see, through ears we listen, through
nose we can identify smell, through tongue we take taste, and through skin we touch. Through these sense
organs, as an average human being, you collect several thousands of impressions everyday. However you pay
selective attention to particular information collected by your sense organs. Let us have four situations.

Situation-one: Remember one orchestra programme you had visited recently. You were listening attentively
a favourite song of yours, and each word and tune was audible to you. Suddenly you listened your name
pronounced through a familiar voice coming from backside. Lo! There was your fast friend, with whom you
are meeting after a gap of few years. You joined him and both of you got lost in intimate nostalgic talk. The
song of the orchestra was still on, but you were not listening! What happened? You were listening
selectively. In first instance you were listening the song, and in the second instance, you were listening the
words of your friend.

Situation-two: Remember when you were in the mid of your teen age, when most of you were interested in
watching clouded sky. Do you remember, you used to perceive a particular shape (like, a football player, an
elephant, map of a country or a state etc.) in the cloud, but your friend had witnessed some other shape?

Situation-three: Remember, one crucial football/cricket match you were playing sometime back. There was
a garden close to playground. Do you remember, you could realize aggressive smell of manure in the garden
only when the match was over, but not during the tense moment of the match?

Situation-four: Remember, some years back you had developed some misunderstanding with one of your
close friends. Earlier you had completely confided in him, but no more thereafter. You saw him talking with
your friend. You thought he was talking ill about you to your friend. Later on you found it was not so.

The situation-one depicts that we tend to listen what we choose to listen; situation-two depicts, we tend to
see what we choose to see; situation-three depicts, we tend to smell what we choose to smell, and situation-
four depicts, we tend to infer what we are inclined to infer.

All the four examples suggest that our mental focus captures only a portion of sensory stimuli present in the
environment. This capturing depends on our preferences. Thus perception is more than the sum of all the
sensory input supplied by our sense organs. Process of perception helps us to select, organise, and interpret
sensory input to achieve a meaningful grasp of our surroundings. Perception yield final products that differ
from raw, unprocessed sensations in important ways.

The dictionary meaning of the word ‘perceive’ is- to take in mentally, to become aware through the senses. In
simple language Perception may be defined as the way a person sees the universe, he feels about certain
elements in a situation. Baron defines Perception as the process through which we select, organise, and
interpret input from our sensory receptors. Robbins defines Perception as a process by which individuals
organise and interpret their sensory impressions in order to give meaning to their environment. Nord
defines Perception as the manner in which a person organises, interprets, and processes various stimuli that
are transmitted into a psychological experience. Each person gives meaning to stimuli, different individuals
will see the same thing in different ways.
Reitz defines Perception as those processes by which an individual receives information about his
environment- seeing, hearing, feeling, tasting, and smelling. The study of these perceptional processes shows
that their functioning is affected by three classes of variables- the objects or events being perceived, the
environment in which perception occurs, and the individual does the perceiving.
Importance and Uses of Perception

As a concept, perception has important place in the subject of Organisational Behaviour (OB). OB deals with
human behaviour at work place, and perception is an important determinant of behaviour. People behave on
the basis of their perception of the reality, not on the basis of the reality itself. We may say, the world does
not appear to us as it is, but it appears as painted by our perception of the world. This statement establishes
the importance and uses of perception on the one hand, and limitations of perception on the other. We shall
first examine importance and uses of perception.

Perception helps us adapt to a complex and ever-changing environment through perceptual constancies.
Constancies refer to our tendency to perceive physical objects as unchanging despite shifts in the pattern of
sensations these objects induce. Perceptual constancies suggest that our perception of the world doesn’t
change as much as variations in the sensory information registered by our receptors might lead us to expect.
Three types of constancies are more common: size constancy, shape constancy, and brightness constancy.
The principle of size constancy relates to the fact that the perceived size of an object remains the same when
the distance is varied, even though the size of the image it casts on the retina changes greatly. The principle
of shape constancy refers to the fact that the perceived shape of an object does not alter as the image it casts
on the retina changes. The principle of brightness constancy refers to the fact that we perceive objects as
constant in brightness and colour even when viewed under different lighting conditions. These three
principles suggest that the gap between sensations and the perceptions provided by the constancies is clearly
beneficial.

Limitations of Perception

Unfortunately, perception can provide false interpretations of sensory information. Incorrect perceptions are
called illusions. Illusions may take place in two ways: due to physical processes (e.g. mirages), and due to
cognitive processes. For our purpose illusions through cognitive processes are more relevant. Illusions
through cognitive processes fall in two categories: illusions of size, and illusions of shape or area.

Check Your Progress A

1) What is your understanding of the term Perception?

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2) What are uses and misuses of Perception?

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6.3 PROCESS OF PERCEPTION

The model of process of perception describes four stages. The model has been shown in Figure 6.1, depicting
the four stages. The model can be understood through input-throughput-output approach.

Stage 1: It describes perceptual inputs. Perceptual inputs encompass all stimuli that exist in our environment
including information, objects, events, people etc. The perceiver receives these inputs.
Stage 2: It describes perceptual mechanisms or throughputs. This is the transformation of perceptual inputs
to outputs. It involves the three processes of selecting, organising, and interpreting the stimuli that are in the
environment. Though all individuals go through the same three steps, while transforming the perceptual
inputs to outputs, they differ in how do they select, organise and interpret stimuli based on their own
personality predispositions and biases.

Figure 6.1: A Model of Process of Perception

Stage 1: Perceptual Inputs of Stimuli-

Information, Objects, Events, People etc.

Stage 2: Perceptual Mechanisms-

Selection, Organisation, Interpretation

Stage 3: Perceptual outputs-

Attitudes, Opinions, Feelings, Values

Stage 4: Pattern of Behaviour

Stage 3: Perceptual outputs are derived through the processing of perceptual throughputs. These include
one’s attitudes, opinions, feelings, values, and actions. Perceptual errors may adversely affect the outputs.
Hence, managers should enhance their perceptual skills.

Stage 4: Behaviour is a resultant factor. The perceiver’s behaviour, in turn, generates responses and these
reactions give rise to a new set of inputs.

Out of four stages of process of perception, stage 1 and stage 4 are simpler to comprehend which describe
inputs and final outcomes respectively. You need to gain more insight with respect to stage 2, and stage 3 of
the process. You shall understand stage 2, and stage 3 in better way after going through sections 6.3 and 6.4
respectively.

6.4 FACTORS INFLUENCING PERCEPTION

Perception is influenced by mainly three sets of factors:

i) Factors in the perceiver (perceiver variables);

ii) Factors in the target (subject characteristics);
iii) Factors in the situation (situational variables).

Factors in the perceiver include following issues:

• Self-concept of the perceiver;
• Attitudes of the perceiver;
• Motives of the perceiver;
• Interests of the perceiver;
• Experience of the perceiver;
• Expectations of the perceiver.
Factors in the target include following issues:

• Physical appearance;
• Verbal and Nonverbal Communication;
• Status;
• Occupations;
• Personal characteristics;
• Novelty of the target;
• Motion of the target;
• Sounds of the target;
• Size of the target;
• Background of the target;
• Proximity of the target.

Factors in the situation include following issues:

• Social context;
• Organisational role;
• Work setting;
• Location of event;
• Time.

Collectively, these three sets of factors determine our perceptions about others.

Activity A

In your living room, for a minute look for everything that is black in colour. Now stop reading this unit, just
look for everything that is black in colour for a minute. After a minute of watching black things, write about
few things those were black in colour.
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Now come out of your living room and write about those things in the living room, which were brown in
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Congratulations for writing about something, which were brown. However if you got stuck, do not worry. It
is a natural phenomenon. We tend to perceive anything according to our pre-decided preferences. However
we should make attempt to come out of preconceived notion if we want to become more effective at work
place.
6.5 BARRIERS TO ACCURATE PERCEPTION
The perceiver’s own mindset and tendency to use shortcuts in judging others may become the barriers to
accurate perception. Barriers to accurate perception create wider gap between ‘what things actually are’, and
‘what you think the things are’. Hence you should be vigilant about such barriers. Some of the important
barriers to accurate perception are following:
• Stereotyping: It is judging someone on the basis of one’s perception of the group to which that
person belongs. Though such generalisations help to simplify complex world, its overuse mostly
leads to wrong conclusion.
• Halo Effect: This perceptual bias means, drawing a general impression about an individual on the
basis of single characteristics.
• Similar-to-me Effect or Projection: It is another common type of perceptual bias, which involves
the tendency for people to perceive more favourably others who are like themselves than those who
are dissimilar.
• Selective Perceptions: It explains that people selectively interpret what they see on the basis of their
interests, background, experience and attitudes.
• Distortion: It is distorting what we see (or even totally avoid seeing what actually exists) if we
encounter data, which is threatening or incongruent to our self-concept.
• Contrast Effects: It is evaluations of a person’s characteristics that are affected by comparisons with
other people recently encountered who rank higher or lower on the same characteristics.

6.6 THEORY OF ATTRIBUTION

Attribution is an important concept for understanding perception, as it is related to judging the causes of
others’ behaviour. An inaccurate attribution may lead to inaccurate perception. Our perceptions of what is
happening in the environment depend very much on the attributions we make.

Attribution theory describes that when individuals observe behaviour, they attempt to determine whether it is
internally or externally caused. Internally caused behaviour is those that are believed to be under the personal
control of the individual. Externally caused behaviour is seen as resulting from outside causes over which the
individual has no control.

Kelly’s Theory of Causal Attribution explains that in determining whether others’ behaviour stems mainly
from internal or external causes, we focus on three types of information: a) Distinctiveness; b) Consensus;
and c) Consistency.

Distinctiveness is extent to which a person behaves in the same manner in other contexts. If one behaves the
same way in other situations, distinctiveness is low; if one behaves differently, distinctiveness is high. If a
particular behaviour is unusual, an observer is likely to give the behaviour an external attribution. If the
action is not unusual, it will be perhaps judged as internal.

Consensus is the extent to which other people behave in the same manner as the person we are judging. If
others do behave similarly, consensus is considered, high; if they do not, consensus is considered low. If
consensus were high, you would be expected to give external attribution, and if consensus is low, you tend to
give internal attribution.

Consistency is tendency to respond the same way over time. Consistency also may be high or low. The more
consistent the behaviour, the more the observer is inclined to attribute it to internal causes and vice-versa.
When we make judgements about the behaviour of other people, we have tendency to underestimate the
influence of external factors and overestimate the influence of internal factors, in case of less than optimum
performance by the others. This is called the fundamental attribution error. There is also a tendency for
individuals to attribute their own successes to internal factors such as ability or effort while putting the
blame for failure on external factors such as luck. This is called the self-serving bias.

6.7 MANAGERIAL USES OF PERCEPTION

Perception is an important concept for managers or for any decision maker. There are many situations in
which a proper understanding of perception and its various uses help a decision maker to take quality
decision. Now we shall examine some important managerial activities where concept of perception can be
applied.

Advertising: Advertisers use the concept of perception to draw attention of the prospective customers.
According to concept of perception, selective attention helps us to maximize information gain by reducing
inference from irrelevant sensory sources. Therefore you find hoarding of advertisements are so designed
with respect to shape, size, and brightness, that they should be able to attract attention of prospective
customers.

Maintaining Safety: Concept of perception is used to draw proper attention towards message of warning,
through proper design of content and proper display of the message. Message content should include: signal
word, hazard statement, consequences, and instructions. Message characteristics should have characteristics
such as: attention getting, comprehensible, concise, and durable.

Managing Impression: Everyone attempts to make favourable impression of self in the mind of others. This
business of impression management becomes more important when you face employment interview. While
facing an interview if you happen to create positive impression in the beginning, most likely you happen to
establish an early lead. In the beginning, if you do not help experts to create a positive perception or
impression for yourself, it becomes difficult to turn the table in later part of the interview. Hence during
employment interview it is in your favour to create positive first impression. On the other hand, evidence
indicates that interviewers make perceptual judgements that are often inaccurate. However, more matured
experts or evaluators do not give undue importance to first impression.

Impression management is done in various other organisational activities. Whereas efforts at impression
management may improve the quality of social functioning, overdoing of such actions may occur at the cost
of information accuracy and high quality decision making.

Building Corporate Image: Not only individuals, but organisations as a whole also, attempt to manage
positive impression. This is termed as corporate image. Organisations, just like individuals, stand to benefit
by positive impressions.

Managing Performance: Theories suggest that people start behaving as you expect them to behave. The
result is that the expectations become reality. Concept of Self-fulfilling Prophecy or Pygmalion Effect
characterizes the fact that people’s expectations determine their behaviour. Self-fulfilling Prophecy states
that when one person inaccurately perceives a second person the resulting expectations cause the second
person to behave in ways consistent with the original perception. The message is: if you want people to
achieve high performance, do expect high performance of them, and let them know your level of
expectations. Substandard perceptions tend to produce substandard performance.

Evaluating Performance: In organisations, performance is evaluated against both objective and subjective
criteria. Perception particularly plays its role when performance is evaluated against subjective criteria.
Future career of a manager depends considerably on performance evaluation, so perception plays important
role in advancing in career and getting right deployment. For you the point of caution is that if you are
evaluating a person merely on your perception, challenge the base of your own perception, and ensure that
your perception is as far as possible free of any bias.

Judging Employees’ Loyalty: Whether an employee is ultra-loyal, just loyal, or sub-loyal, may depend on
the perception of the perceiver. One may perceive a person who does not think beyond one’s organisation as
very loyal, but the other may think of the person as conformist. A whistle-blower (who reports unethical
practices by their employer to outsiders) may be perceived as ethical and person of guts by one, but may be
perceived as troublemaker by the other.

Self-Assessment and Development: Our values, attitude, and perception, influence each other. For
development of self as a manager, you should have your correct self-assessment picture, intelligently verified
through multiple sources. Some of the checks you should do for yourself are:
• Are you perceived as person having positive attitude or negative attitude?
• Are you perceived as aggressive, or as submissive, or as a balanced assertive?
• Are you perceived as a person who respects others’ views?
• Are you perceived as a person having own pivot yet having required flexibility?
• Are you perceived as a person respecting high effort or as a happy-go-lucky?

Thus, concept of perception is a strong tool for self-development. If there is congruence between how you
perceive yourself, and how others perceive you, it is an indication that you are going effective way, and vice-
versa.

Building Relationship: Positive perception helps to build effective communication and trust, leading to high
performing relationship within managerial group, within employees, and between managers and junior
employees.

Check Your Progress B

1) What are the five main characteristics of a person who can be called as matured perceiver?

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2) How can the concept of perception be gainfully used in managerial activities?
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6.8 DEVELOPING PERCEPTUAL SKILLS

We have already observed that when our perceptions are distorted, our judgement of the objects, persons, or
of the situations may go wrong. Therefore there is need to develop our perceptual skills, so that the gap
between our perceptions and the actual facts may be minimized. Now, we shall discuss some of the
techniques to enhance our perceptual skills.
Giving Feedback and Receiving Feedback: Perceptual skills can be improved by knowing about ourselves
through receiving feedback, and let people know how do you feel about them through giving feedback. Joe
Luft and Harry Ingham developed the technique of Johari Window (Johari representing the combination of
their first names). The techniques explain that there are four aspects of the self:
• I know the self
• I do not know the self
• Others know the self (about me)
• Others do not know the self (about me).

Combining the four aspects differently produce four windows (areas) of the self:
• Public Area: The aspects of me which I know as well as others also know
• Blind Area: The aspects of me which I do not know but others know
• Private Area: The aspects of me which I know but others do not know
• Dark Area: The aspects of me that I do not know as well as others also do not know.
Public area does not create problem in perceptual process, but other three areas do, hence these should be
reduced. Receiving feedback from others can reduce blind Area, and giving feedback and information about
self to others can reduce Private area. Reducing dark area is concerned more with self-purification.
Having Empathy: Empathy is not sympathy. Sympathy to some extent is to feel pity about others, whereas
empathy means rising above our perceptual frame and making an attempt to comprehend the issues from
others’ perspective.
Having Positive Attitudes: Positive attitudes create right perspective, and helps perceiver to perceive
without distortion.
Enhancing Self-Concept: Enhancing self-concept and self-esteem help one to treat others with respect and
with right perspective.
Avoiding Common Biases: A conscious effort to get rid of common biases helps to get rid of distorted
perceptions.
Communication: Lack of communication is a common cause of distorted perception. Creating an
atmosphere of open and authentic communication help to develop perceptual skills of individuals.
Correct Use of Attribution: Wrong attributions lead to distorted perception. Attributing success and failures
correctly to internal or external factors, lead to right judgements for future course of action.
Thus, understanding the perceptual process and dealing with perceptual biases are essential aspects for
taking right decision in any walk of life.
Activity B
List your own plan of actions for improving your perceptual skills. Suggest the activities those you would do
and also suggest a timeframe for developing such skills. You may discuss this issue with one of your friends.
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6.9 LET US SUM UP

Perception refers to the process by which individuals organise and interpret their sensory impressions in
order to give meaning to their environment. It is an important determinant of human behaviour. The process
of perception includes : perceptual inputs of stimuli, perceptual mechanisms, perceptual outputs and pattern
of behaviour. Perception is influenced by mainly three sets of factors which are : factors in the perceiver,
factors in the target and factors in the situation. As the perception facilitates the understanding of human
behaviour in the organisation; the perceiver’s own mindset and tendency in judging others may become the
barriers to accurate perception. Some of the important barriers to accurate perception are : stereotyping, halo
effect, similar to me effect or projection, selective perceptions, distortion and contrast effects.

Attribution is an important concept for understanding perception. The attribution theory describes that when
individuals observe behaviour, they attempt to determine whether it is internally or externally caused.
Perception is an important concept for managers. Some important managerial activities where concept of
perception can be applied include : advertising, maintaining safety, managing impression, building corporate
image, managing performance, evaluating performance, judging employee’s loyalty, self assessment and
development and building relationship. The techniques involved in enhancing perceptual skills are : giving
feedback and receiving feedback, having empathy, having positive attitudes, enhancing self concept,
avoiding common biases, communication and correct use of attribution.

6.10 KEY WORDS

Attribution: Judging the causes of others’ behaviour- external and internal causes.
Consensus: Extent to which other people behave in the same manner as the person we are judging.
Consistency: Tendency to respond the same way over time.
Constancies: Our tendency to perceive physical objects as unchanging despite shifts in the pattern of
sensations these objects induce.

Corporate Image: Creating positive impression of an organisation.

Distinctiveness: Extent to which a person behaves in the same manner in other contexts.
Fundamental Attribution Error: Tendency to underestimate the influence of external factors and
overestimate the influence of internal factors, in case of less than optimum performance by others.
Illusions: Incorrect perceptions.
Managing Impression: Attempts to make favourable impression of self in the mind of others.
Perception: The way a person feels about certain elements in a situation.

Stereotyping: Judging someone on the basis of one’s perception of the group to which that person belongs.
Self-fulfilling Prophecy: People start behaving as you expect them to behave.
Stimuli: External triggers those exist in our environment including information, objects, events, people etc.
Whistle Blowing: Reporting unethical practices of employer to outsiders.

6.11 TERMINAL QUESTIONS

1) What do you mean by perception? What are the uses of studying about perception?
2) What are uses and misuses of perception?
3) Explain process of perception. What are the factors those influence perception?
4) What are the barriers to accurate perception? How those barriers can be removed?
5) Explain Theory of Attribution.
6) Describe managerial situations in which concept of perception can be applied.
7) Explain techniques for developing perceptual skills.

Note : These questions will help you to understand the unit better. Try to write answers for them. Do
not submit your answers to the university for assessment. These are for your practice only.
UNIT 7 ATTITUDES AND VALUES
Structure

7.0 Objectives
7.1 Introduction
7.2 Concept of Attitude
7.3 Process of Formation of Attitude
7.4 Process of Change in Attitude
7.4.1 Changing Attitude through Persuasion
7.4.2 Changing Attitude through Cognitive Dissonance
7.4.3 Methods of Effecting Attitude Change
7.5 Relationship between Attitude and Behaviour
7.6 Work Related Attitudes
7.7 Values: Meaning and Importance
7.8 Types of Values
7.9 Designing Value-Based Organisation
7.10 Let Us Sum Up
7.11 Key Words
7.12 Terminal Questions

7.0 OBJECTIVES
After studying this unit, you should be able to:

• describe concepts of attitudes;

• analyse the components of attitudes;
• describe importance of attitudes in behavioural science;
• explain process of formation of attitudes;
• explain process of change of attitudes;
• establish relationship between attitudes and behaviour;
• discuss the work related attitudes;
• describe the concept of values;
• examine the bases for formation of values; and
• develop a design for value-based organisation.

1.1INTRODUCTION
Attitudes refer to tendency to respond to certain objects, persons or situations. They are the feelings and
beliefs that determine the behaviour of the persons. They provide framework for responding in a particular
fashion. The attitudes may be positive or negative. The positive attitudes yield favourable behaviour and the
negative attitudes yield unfavourable behaviour. Therefore all variables must be identified and analysed
which help in the formation of favourable attitudes. The persons having positive attitudes towards the job
and organisation may contribute their best to the organisation. Another important indicator of behaviour is
value which provides basic foundation for understanding a person’s attitude, perception and personality. It
contains judgmental element of right, wrong, good, bad, etc. The individuals having high value system may
be involved in constructive activities and refrained to the destructive activities. Therefore the organisations
must inculcate high value system to their members. In this unit, you will learn the concept of attitude, the
process of formation and change in attitude. You will be exposed to various work related attitudes. You will
further learn the meaning, importance and types of values and the values across the culture. You will be
familiarised with the process of designing the value based organisation.

7.2 CONCEPT OF ATTITUDE

Consider following three statements:
Statement 1 : Male executives are high achievers in comparison to female counterparts;
Statement 2 : Anything with a tag “Made in Japan” is reliable;
Statement 3 : Discipline can be established through coercion only.

You might have heard the statements mentioned above, or you might have yourself used such statements
sometime in recent past. In all the three statements you are inclined to evaluate something. The first, second,
and third statements are attempts to evaluate groups (male versus female), objects (anything made in Japan),
and an issue (maintaining discipline) respectively. These statements may or may not be true in overall sense.
However a person giving such statements is revealing his/her own attitude towards the groups or objects or
the issue.

There are three basic components of Attitudes:

• evaluative component (how do you feel)

• cognitive component (what do you believe)
• behavioural component (a predisposition to act in a certain way).

Attitudes reflect past experience, shape ongoing behaviour, and serve essential functions for those who hold
them. Attitudes lead individuals to react in certain ways to events or situations they encounter. Gordan and
Allport opine that Attitude is Social Psychology’s most central concept.

Definition of Attitude

According to Baron, Attitude is defined as, lasting evaluations of people, groups, objects, or issues- in fact,
of virtually any aspect of the social or physical world.
Petty and Cacioppo state, Attitudes are general evaluations people make about themselves, other persons,
objects, or issues. Breckler and Wiggins state, Attitudes are enduring mental representations of various
features of the social or physical world. They are acquired through experience and exert a directive influence
on subsequent behaviour.
Functions of Attitude
According to Katz, Attitudes serve four important functions for individuals:
• Adjustment Function: People tend to develop favourable attitude towards rewarding and beneficial
functions as well as relationship. Similarly people develop negative attitude towards such functions and
relationships, which shall attract punitive actions.
• Ego-defensive Function: Attitude can serve as devise for protecting self-image.
• Value-expressive Function: Attitude supports expression of core values.
• Knowledge Function: Attitude serves as standard or frame for understanding and interpreting people and
events around them.

7.3 PROCESS OF FORMATION OF ATTITUDE

There are basically two sources of formation of attitude: a) Social Learning, and, b) Direct Experience:
a) Social Learning : It is acquiring attitudes from others. There are broadly three processes of
acquiring attitudes through social learning: Classical Conditioning, Instrumental Conditioning, and
Modeling.

• Classical Conditioning is a basic form of learning in which one stimulus regularly precedes another. It is
learning based of association, that when first stimulus is present, the second would follow. Prejudices
and preferences are created through classical conditioning. Classical Conditioning can play a role in the
development of attitudes.

• Instrumental Conditioning is concerned with learning to express the “right” views. Instrumental
Conditioning is created through rewarding a desirable behaviour and discouraging an undesirable
behaviour. Thus a particular type of attitude is created towards a particular type of action through
Instrumental Conditioning.

• Modeling as a concept, deals with individuals acquiring new behaviours through observing the actions of
others. Individuals tend to do what others do, not what others say. Thus attitudes may be transmitted from
one person to another, or from one group to another, or from one generation to another.

b) Direct Experience : Attitudes are also formed through real life experience, which may be also called
as direct experience or personal experience. Various studies suggest that strength of the attitudes
acquired through direct experience is stronger than the strength of attitudes acquired indirectly. Attitudes
acquired through direct experience are held more confidently and are more difficult to be subjected to
change. If you hold strong attitude about an object, issue, or a person, and you want others to properly
understand your stand, it is better to let others have direct experience with the attitude object.

7.4 PROCESS OF CHANGE IN ATTITUDE

There is continuous effort around us to change the attitude of individuals, so that there may be possible effect
on their behaviour. Advertisements, publicity, appeals, announcements etc. in various media are attempts to
change our attitude towards objects, people, or issues, so that our behaviour towards them may be directed in
desired direction. There are broadly two processes of change in attitude: a) Persuasion, and ii) Cognitive
Dissonance. Persuasion influences us from outside, and Cognitive Dissonance influences us from within.
7.4.1 Changing Attitude through Persuasion
Changing attitude through persuasion is a difficult task. Our ability to resist persuasion is considerable due
to three factors. These factors are: i) Reactance, ii) Forewarning, and iii) Selective Avoidance. Reactance
refers to the negative reactions we experience whenever we feel that someone is trying to limit our personal
freedom. In some cases individuals shift away from a view advocated even if it is one they might normally
accept. Forewarning refers to tendency of building counter-arguments against a persuasive argument. These
help receivers resist the conclusions recommended by the message. Selective avoidance refers to a tendency
to direct our attention away from information that challenges our existing attitudes.

However, persuasion is a fact of modern life. Every day we are exposed to countless attempts at persuasion.
Persuasion is effort to change attitudes through various types of communications such as advertisement or
speeches. We shall examine issues like, factors those influence success of persuasion efforts, and, the extent
to which such efforts are effective. There are two approaches of analysing effect of persuasion on attitudes: i)
Traditional Approach, and ii) Cognitive Approach.

The Traditional Approach : According to this approach, there are three elements of persuasion:

• Source: the communicator or sender;

• Message: the communication;
• Target audience: the receiver.

The traditional approach focussed on a basic question: “Who says what to whom and with what effect?” The
most notable findings of this approach are:

• Experts are more persuasive than non-experts;

• Messages which do not appear to be designed to change our attitudes have more impact than those
appearing to be designed so;
• Popular and attractive communicators are more effective in changing attitudes than unpopular or
unattractive ones;
• Individuals with relatively low in self-esteem tend to get persuaded more easily than those high in self-
esteem, especially by persuasion from high-status or attractive sources;
• Two-sided approach is more successful than one-sided approach;
• Persuasion can be enhanced by messages that arouse strong emotions in the audience.

The Cognitive Approach : Cognitive approach attempts to explain what do people think about when
exposed to persuasive appeals. Several theoretical models have emerged to explain this phenomenon, but the
most widely known among them is Elaboration Likelihood Model (ELM).

ELM explains that there are two distinct routes to persuasion, depending on how important or relevant the
issues are to the persons who are the targets of persuasions. The two routes are called- Central Route, and
Peripheral Route. If we focus considerable attention on a message and its argument, because persuasive
message appears to be important, persuasion occurs through central route. In this case degree of attitude
change depends on quality of arguments. To the contrary, if we find the persuasive message to be of little
interest, we may not pay considerable attention on the message. Yet such messages can change our attitude, if
we find that message or the argument was more balanced rather tilted one-sided, or if we find that the source
(communicator) has expertise and commands high status. In such case, persuasion occurs through peripheral
route. There are two implications of ELM. First, attitude may or may not change either through central route
or through peripheral route. Second, attitude is more likely to change if persuasions come from multiple
sources as well as the arguments are strong, because in this case information receives greater scrutiny by the
receivers.

Another model that explains the cognitive approach to persuasion is the Heuristic Model of Persuasion. This
model deals in one question: When individuals overhear the reactions of an audience to a persuasive
message, does this influence the extent to which they, too, are persuaded? Studies on this model suggested
that audience reaction would be influential when the individuals in question had little involvement in the
issue. In contrast, when the issue is important to the persons involved, audience reactions would make little
difference- in this case systematic processing would occur and persuasion would depend on quality of
arguments.
Cognitive approach provides insight for choosing message in advertisements for different types of products.
Some products serve utilitarian function- people buy and use them because they are required to be used. In
contrast, some products serve social identity function- people buy and use them because they boost the
personal image of the users. For the utilitarian products, users are more persuaded by advertisements, which
describe features of the products. For the social-identity products, they are more influenced by
advertisements, which have glamorous appeal.

Cognitive approach to persuasion explains why are people in a good mood easier to influence. It states that
perhaps when people are in a good mood, they are less able to engage in careful, systematic processing than
when they are in a neutral mood. Therefore, they may be more easily influenced, particularly by strong and
convincing arguments.

Cognitive approach to persuasion also explains the relation between individual differences and its influence
on persuasion. Take one aspect of personality, self-monitoring. Persons high in self-monitoring tend to make
an attempt for creating positive impression in the minds of others. Such persons are more likely to be
persuaded, if the message is coming from attractive sources, and get relatively less effect of persuasion if the
message is coming from expert sources. On the other hand, persons low on self-monitoring are less interested
in creating positive impressions on others, and, more concerned with reflecting their true and inner feeling.
They are persuaded less by attractive sources, and, more by expert sources.

7.4.2 Changing Attitude through Cognitive Dissonance

Cognitive Dissonance is the internal state that occurs when individuals notice inconsistencies among their
attitudes or between their attitudes and their overt behaviour. Such inconsistencies create unpleasant feeling,
which produces pressures that may result in change in attitudes. The weaker the reasons for acting in
attitude-discrepant ways, the stronger these pressures are. Dissonance is a motivational state- people who
experience it want to reduce it. Earlier, inconsistency was identified as the basic feature of cognitive
dissonance. However, recent studies suggest that inconsistency is not the essential ingredient in dissonance.
Rather, dissonance- and the motivation to reduce it- stems primarily from feelings of responsibility for
negative events or outcomes.

7.4.3 Methods of Effecting Attitude Change

Richard M. Steers has described the following methods of effecting attitude change.

• Providing New Information: New information, especially coming from accurate sources, may alter belief
structure, subsequently leading to expected attitude changes.
• Fear Arousal and Reduction: Both can lead to change in attitude. However excessive arousal of fear may
lead to rejection of message by the individuals. Studies suggest that fear reduction is more appropriate
for changing attitudes than fear arousal.
• Dissonance Arousal: Dissonance leads to inconsistencies among individual’s attitude or between his/her
attitudes and overt behaviour. This creates unpleasant feeling which results in change in attitudes.
• Position Discrepancy: The greater the discrepancy between the individual’s own position and the position
advocated by others, the more the individual will move towards the position held by others.
• Participation in Decision Making: Attitude change can be brought about by involving the individual in
the process by which decisions are made.

Kelman has identified three processes that act as instruments of change in attitude.

• Compliance: It is application of subtle pressure either through reward or punishment in order to change
the behaviour, and expecting this change to be lasting.
• Identification: It is identification with the person who is affecting the change and is acting as a change
agent.
• Internalisation: This means that the new attitude is integrated with the other attitudes and becomes a part
of the person’s total personality. It is more permanent in nature. This change may occur due to desire to
change that comes from within.

Check Your Progress A

1) What do you mean by attitude ?

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2) How are attitudes towards a person formed?

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3) Can attitudes be changed? If so, how?

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7.5 RELATIONSHIP BETWEEN ATTITUDE AND BEHAVIOUR

The basic purpose of your studies on attitudes is to know the degree of impact of attitude on work behaviour.
Early research works suggested that attitudes simply influence behaviour. However in the late 1960s,
researchers had different tone. They opined that behaviour is far from simple, but it is understandable, and
certainly not random. It was found that attitudes and behaviour are at best only weakly related. Now the more
recent research works suggest that the influence of attitude on behaviour is significant, provided that we
choose to focus on specific, relatively narrow attitudes (well defined) rather than more general ones. In other
words, in presence of certain moderating variables (conditional factors), impact of attitude on behaviour is
significant. Following are the factors, which determine degree of influence of attitudes on behaviour.

• Attitude Specificity: Specific attitudes are much better predictors of behaviour than general ones.
• Attitude Strength: Intense or strong attitudes are generally much better predictors of overt behaviour than
weak ones.
• Attitude Relevance: It means the extent to which attitude objects actually have an effect on the life of the
person holding various attitudes. The stronger such effects, the stronger the link between attitudes and
behaviour.
• Attitude Accessibility: It is the ease with which specific attitudes can be brought into consciousness from
memory. The greater such accessibility, the stronger the effect of various attitudes on behaviour.
• Existence of Social Pressure: When social pressures hold exceptional power, individuals’ overt behaviour
follows the pattern set by such pressures, though there may be discrepancies between attitudes and
behaviour.
• Direct Experience: Attitude may influence behaviour more strongly if an attitude refers to something with
which the individual has direct personal experience.

So, do attitudes influence behaviour? Systematic research on this question indicates that they do.
Researchers have shown interest in other direction also- whether or not behaviour influences attitudes?
Interestingly higher correlation has been found in this direction, and it has been concluded that behaviour
influences attitudes more strongly than attitudes influence behaviour. This view is called Self-perception
theory. This theory proposes that attitudes are used after the fact to make sense out of an action that has
already occurred, rather than as devices that precede and guide action. This concept appears to be in opposite
tune with respect to the theory of Cognitive Dissonance. However, it may be beneficially used to shape the
attitudes of individuals by encouraging them to participate in certain actions. For example if students are
made to visit an institution engaged in providing vocational training to handicapped, students’ attitude
towards handicapped may be positive in future. Taking help of our understanding on influence of attitudes on
behaviour, as well as, influence of behaviour on attitudes- and making best use of both- we can say that in
formative years (when experience is limited) there is significant influence of behaviour on attitudes. Once
attitudes are formed after exposure to sufficient experience, attitudes start influencing behaviour in
significant way.

7.6 WORK RELATED ATTITUDES

Field of Psychology deals in hundreds of attitudes. Organisational Behaviour is concerned with work-related
attitudes and behaviour. There are primarily three work-related attitudes which have significant influence on
the organisation.

• Job Satisfaction: The various attitudes people hold towards their jobs are referred to as job satisfaction. It
is individuals’ cognitive, affective, and evaluative reactions towards their jobs.
• Job Involvement: It indicates how far individuals identify themselves with the job, and whether outcome
of the work is attached to self worth.
• Organisational Commitment: It explains how people feel toward their organisations. It is an attitude,
which reflect the extent to which people identify with and are involved with their organisations and are
unwilling to leave them.
Organisations should attempt to continuously gauge the attitudes of personnel at work place, so that
corrective measures may be taken in proactive manner, for ensuring desirable behaviour at work place.

It is important to study attitudes, as attitudes influence behaviour. Now we shall focus our attention toward
another issue -values- that influences attitudes, and in turn also determine choice of action as well as
behaviour.

Activity A

Ask about your attitude towards a junior employee (or a younger family member) while talking to the person
directly. Get the feedback about your behaviour towards the person. Such feedback would give you
indications about your attitude towards that person. Also discuss with the person what he expects of you for
building effective relationship. You may also express, what you expect of him / her for building effective
relationship.
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7.7 VALUES : MEANING AND IMPORTANCE

Values provide the basic foundation for understanding a person’s attitudes, perceptions and personality.
Values contain judgmental element as to what is right, good, or desirable. Values have both content and
intensity attributes. Content attribute describes- what is important; intensity attribute describes- how much is
it important. When individual’s values are ranked in terms of their intensity, we obtain that person’s value
system. Value system is a hierarchy based on a ranking of an individual’s values in terms of their intensity.
All of us have a hierarchy of values that forms our value system. However everyone does not hold the same
values. Edward Spranger defines the values as the constellation of likes, dislikes, viewpoints, shoulds, inner
inclinations, rational and irrational judgements, prejudices, and association patterns that determine a person’s
view of the world. M. Rokeach defines values, as a specific mode of conduct or end-state of existence,
personally or socially preferable to an opposite or converse mode of conduct or end-state of existence.

It is important to study values, as it influences attitudes, perceptions, motivation, evaluations, interpersonal

relationships, behaviour, conflict handling styles, leadership patterns etc. In nutshell, values are at the core of
bahaviour pattern of an individual.

7.8 TYPES OF VALUES

G.W. Allport and his associates have identified six types of values.

• Theoretical: high importance to discovery of truth through critical and rational approach.
• Economic: Emphasis on useful and practical.
• Aesthetic: Highest value on form and harmony.
• Social: Highest value to the love of people.
• Political: Emphasis on acquisition of power and influence.
• Religious: Concerned with the unity of experience and understanding of the cosmos as a whole.
Jones and Gerard have broadly identified two types of values- positive and negative. According to them
anything for which the individual strives, or approaches, extols, embraces, voluntarily consumes, incurs
expense to acquire is a positive value. Anything that the individual avoids, escapes from, deplores, rejects, or
attacks is a negative value.

M. Rokeach identified two sets of values. One set is called terminal values, which refers to desirable end-
states of existence. These are the goals that a person would like to achieve during his or her lifetime e.g. a
sense of accomplishment, family security, self- respect, social recognition etc. The other set, called
instrumental values, which refers to preferable modes of behaviour or means of achieving one’s terminal
values.

Several studies suggest that values differ across culture. Various cultural factors influence values of a
particular society; in turn they also influence perceptions, attitudes, motivation, behaviour, relationship
patterns, leadership styles etc. of the people of the society. As far as findings of cross-cultural studies are
concerned, they are more indicative than deterministic, at a particular point of time. You shall study about
cross-cultural values in detail in Unit 20.

Check Your Progress B

1) What is the degree of influence of attitude on behaviour?

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2) Do values of a person influence his / her behaviour? If so, how?
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7.9 DESIGNING VALUE BASED ORGANISATION

Organisations should be so designed that they ensure high productivity, high satisfaction of all stakeholders,
and low negative factors such as absenteeism, employee turnover etc.

A value-based organisation promises sustainability and prosperity to its endeavours. For designing value-
based organisation, based on suggestions of Tannenbaum and Davis, following points may be useful.

• Treat people with trust.

• Be respectful to human being.
• Treat people as dynamic entity.
• Accept and utilise human differences.
• Treat individual as a whole person.
• Encourage appropriate expression of feelings.
• Promote authentic behaviour.
• Use authority and networking for benefit of organisation.
• Encourage appropriate confrontation.
• Encourage willingness to take calculated risks.
• Set process which shall take care of effective accomplishment.
• Emphasise collaboration.

Activity B

Discuss with your three friends about two issues: a) what do they want to achieve in next one decade? b)
how do they like to achieve? You also share your own views on two issues.
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7.10 LET US SUM UP

Attitudes are enduring mental representations of various features of social or physical world. They are
acquired through experience and exert a directive influence on subsequent human behaviour. The attitudes
are formed by the process of social learning and direct experience. There is continuous effort around us to
change the attitude of the persons in an organisation. The attitude can be changed through persuation and
cognitive dissonance. The methods of effecting attitude change include : providing new information, fear
arousal and reduction, dissonance arousal, position discrepancy, participation in decision making,
compliance, identification and internalisation. The factors which determine the degree of influence of
attitude on behaviour are: attitude specificity, attitude strength, attitude relevance, attitude accessibility,
existence of social pressure and direct experience. There are three primarily work-related attitudes which
have significant influence on the organisation. They are : job satisfaction, job involvement and
organisational commitment.

Values provide the basic foundation for understanding a person’s attitudes, perception and personality. It
contains judgmental element as to what is right, good, or desirable. There are six major types of values.
They are : theoretical, economic, aesthetic, social, political and religious. Values differ across culture.
Various cultural factors influence values of a particular society. Organisations should be so designed that
they ensure high productivity, high satisfaction of all stakeholders, and low negative factors such as
absenteeism, employee turnover, etc. A value based organisation must be designed which promises
sustainability and prosperity to its endeavours.

7.11 KEY WORDS

Attitudes: General evaluations people make about themselves, other persons, objects, or issues.
Classical Conditioning: A basic form of learning in which one stimulus regularly precedes another.
Cognitive Approach: Attempts to explain what do people think about when exposed to persuasive appeals.
Cognitive Dissonance: Internal state that occurs when individuals notice inconsistencies among their
attitudes or between their attitudes and their overt behaviour.
Compliance: Application of subtle pressure either through reward or punishment.
Instrumental Conditioning: Learning to express the right views.
Instrumental Values: Preferable modes of behaviour or means of achieving one’s terminal values.
Modeling: Acquiring new behaviours through observing the actions of others.
Persuasion: Process of influencing.
Self-Monitoring: Tendency to make attempt for creating positive impression.
Self-perception Theory: Behaviour influences attitudes more strongly than attitudes influence behaviour.
Terminal Values: Desirable end-states of existence.

7.12 TERMINAL QUESTIONS

1) What do you mean by the term attitude? Describe process of formation of attitude.
2) How attitude can be changed? Is it easy to change attitude? Discuss with suitable examples.
3) Explain how attitudes influence behaviour, and how behaviour influence attitudes?
4) For a manager, what are the uses of learning about attitudes?
5) What do you mean by values? How value-based organisation can be created?

Note : These questions will help you to understand the unit better. Try to write answers for them. Do
not submit your answers to the university for assessment. These are for your practice only.