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MOTIVATION ................................................................................................................................................................1
Mayo’s Hawthorne Studies ..................................................................................................................................2
Maslow’s Hierarchy of needs: ..............................................................................................................................3
Herzberg’s two factor theory: ..............................................................................................................................4
McGregor's theory x and theory y ........................................................................................................................5
William Ouchi's theory z .......................................................................................................................................6
Drucker’s Management by Objectives .................................................................................................................7
Vroom’s expectancy theory: .................................................................................................................................8
LEADERSHIP ..................................................................................................................................................................8
1. The Great Man Theory .....................................................................................................................................9
2. The Trait Theory of leadership..........................................................................................................................9
3. Transactional leadership ..................................................................................................................................9
4. Transformation leadership .............................................................................................................................10
5. The Theory of Contingency .............................................................................................................................10
6. The Situational leadership theory ..................................................................................................................11
7. The Skills theory leadership: ...........................................................................................................................11
8. The Style theory of leadership: .......................................................................................................................12
The Leader - Member exchange theory :............................................................................................................13
Servant Leadership Theory : ...............................................................................................................................13
CULTURE ....................................................................................................................................................................14
1. Power Distance Index (PDI) ............................................................................................................................14
2. Individualism Versus Collectivism (IDV) ..........................................................................................................15
3. Masculinity Versus Femininity ........................................................................................................................16
4.Uncertainty Avoidance Index (UAI) .................................................................................................................16
5. Long- Versus Short-Term Orientation.............................................................................................................17
CONFLICT MANAGEMENT ..............................................................................................................................................17
Early conflict management models ....................................................................................................................21
Khun and Poole's model .....................................................................................................................................21
DeChurch and Marks's meta-taxonomy .............................................................................................................21
Rahim's meta-model ..........................................................................................................................................22
1
The Behavioral Management Theory is often called the human relations movement because it
addresses the human dimension of work. Behavioral theorists believed that a better understanding
of human behavior at work, such as motivation, conflict, expectations, and group dynamics,
improved productivity.
The theorists who contributed to this school viewed employees as individuals, resources, and assets
to be developed and worked with — not as machines, as in the past. Several individuals and
experiments contributed to this theory.
Based on different philosopher contribution, different segments have influenced the Behavioral
Management Theory. These segments are-
• Motivation
• Leadership
• Culture
• Conflict
• Communication etc.
Motivation
Motivational sectors: Different philosophers have contributed to different theories within many
decades. They are mentioned below:
Elton Mayo's contributions came as part of the Hawthorne studies, a series of experiments that
rigorously applied classical management theory only to reveal its shortcomings. The Hawthorne
experiments consisted of two studies conducted at the Hawthorne Works of the Western Electric
Company in Chicago from 1924 to 1932.
The first study was conducted by a group of engineers seeking to determine the relationship of
lighting levels to worker productivity. Surprisingly enough, they discovered that worker
productivity increased as the lighting levels decreased - that is, until the employees were unable to
see what they were doing, after which performance naturally declined.
A few years later, a second group of experiments began. Harvard researchers Mayo and F. J.
Roethlisberger supervised a group of five women in a bank wiring room. They gave the women
special privileges, such as the right to leave their workstations without permission, take rest
periods, enjoy free lunches, and have variations in pay levels and workdays. This experiment also
resulted in significantly increased rates of productivity.
In this case, Mayo and Roethlisberger concluded that the increase in productivity resulted from
the supervisory arrangement rather than the changes in lighting or other associated worker benefits.
Because the experimenters became the primary supervisors of the employees, the intense interest
they displayed for the workers was the basis for the increased motivation and resulting
productivity. Essentially, the experimenters became a part of the study and influenced its outcome.
The general conclusion from the Hawthorne studies was that human relations and the social needs
of workers are crucial aspects of business management. This principle of human motivation helped
revolutionize theories and practices of management. The Hawthorne effect can help improve
employee motivation. According to this effect employees perform better when they feel special by
all the attention or feel that the management is concerned about their development. Mayo’s
researchers noted that workers productivity increased not from changes in environment, but when
being watched.
The Hawthorne Effect can be used in modern workplaces such ways-
The Hawthorne effect can result in many positive outcomes when used in the right way, especially
in the current conditions of work. There has some learning that have been drawn using the
Hawthorne effect such as:
Using the teachings of the Hawthorne effect managers can better manage employees so they feel
more like an integral part of their business. Managers can try to put themselves in the shoe of their
employees and observe the business operation from their perspective. Managers can benefit from
the fact that employees tend to be more productive when they feel that their efforts are being
watched and that their performance is being noticed.
➢ Physiological needs - These are biological requirements for human survival. Examples
include air, food, water, shelter, clothing, warmth, sex and sleep.
➢ Safety needs – Examples include protection from elements, security, order, law and
stability.
➢ Love and belongingness needs – These are the first of social needs, involving the desire
for interpersonal relationships and being part of a group. Examples of these needs include
friendship, intimacy, trust, acceptance, receiving and giving affection and love.
➢ Esteem needs - Classified into two categories:
▪ Self-esteem, stemming from dignity, achievement, mastery and
independence.
▪ The desire for reputation or respect from others, including status and
prestige.
➢ Self-actualization needs – Examples include realizing personal potential, self- fulfillment
and seeking personal growth and peak experiences.
Maslow broke down the first four levels of his hierarchy into deficit needs that generally must be
satisfied before moving on to being or growth needs of the self-actualization level of the hierarchy.
A notable difference in growth needs is that achievement increases motivation where achievement
of deficit needs causes a decrease in motivation.
Hygiene factors: Hygiene factors are those job factors which are essential for existence of
motivation at workplace. These do not lead to positive satisfaction for long-term. But if these
factors are absent at workplace, then employee led to dissatisfaction. These factors describe the
job scenario. The hygiene factors symbolized the physiological needs which the individuals
wanted and expected to be fulfilled. Hygiene factors include:
▪ Pay - The pay or salary structure should be appropriate and reasonable. It must be equal.
▪ Company Policies and administrative policies - The company policies should not be too
rigid. They should be fair and clear. It should include flexible working hours, dress code,
breaks, vacation, etc.
▪ Fringe benefits - The employees should be offered health care plans, benefits for the
family members.
▪ Physical Working conditions - The working conditions should be safe, clean and
hygienic. The work equipment’s should be updated and well-maintained.
▪ Status - The employees’ status within the organization should be familiar and retained.
▪ Interpersonal relations - There should be no conflict or humiliation element present.
▪ Job Security - The organization must provide job security to the employees.
• Recognition- The employees should be praised and recognized for their accomplishments
by the managers.
• Sense of achievement - The employees must have a sense of achievement. This depends
on the job. There must be a fruit of some sort in the job.
• Growth and promotional opportunities - There must be growth and advancement
opportunities in an organization to motivate the employees to perform well.
• Responsibility- The employees must hold themselves responsible for the work. The
managers should give them ownership of the work.
• Meaningfulness of the work - The work itself should be meaningful, interesting and
challenging for the employee to perform and to get motivated.
The Two-Factor theory implies that the managers must stress upon guaranteeing the adequacy of
the hygiene factors to avoid employee dissatisfaction. Also, the managers must make sure that the
work is stimulating and rewarding so that the employees are motivated to work and perform harder
and better. This theory emphasizes upon job-enrichment so as to motivate the employees. The job
must utilize the employee’s skills and competencies to the maximum. Focusing on the motivational
factors can improve work-quality.
(i) Theory X are generally lazy, not ready to take up the challenge unless motivated
through punishments and/or strict controls.
(ii) Theory Y assumes that people are generally motivated, self-starters who are
ready to take up the challenges without too much supervision, direction, and
control.
Theory X
Theory X is based on assumptions regarding the typical worker. This management style assumes
that the typical worker has little ambition, avoids responsibility, and is individual-goal oriented. In
general, Theory X style managers believe their employees are less intelligent, lazier, and work
solely for a sustainable income. Management believes employees’ work is based on their own self-
interest. Managers who believe employees operate in this manner are more likely to use rewards
or punishments as motivation. Due to these assumptions, Theory X concludes the typical
workforce operates more efficiently under a hands-on approach to management.
According to McGregor, there are two opposing approaches to implementing Theory X: the hard
approach and the soft approach:
The hard approach depends on close supervision, intimidation, and immediate punishment. This
approach can potentially yield a hostile, minimally cooperative workforce that may cause
resentment towards management.
The soft approach is characterized by leniency and less strict rules in hopes of creating high
workplace morale and cooperative employees. Implementing a system that is too soft could result
in an entitled, low-output workforce. McGregor believes both ends of the spectrum are too extreme
for efficient real-world applications. Instead, McGregor feels that an approach located in the
middle would be the most effective implementation of Theory X.
Because managers and supervisors are in almost complete control of the work, this produces a
more systematic and uniform product or workflow. Theory X can benefit a workplace that utilizes
an assembly line or manual labor. Using this theory in these types of work conditions allows
employees to specialize in particular work areas which in turn allows the company to mass-
produce a higher quantity and quality of work.
Theory Y
Theory Y managers assume employees are internally motivated, enjoy their job, and work to better
themselves without a direct reward in return. These managers view their employees as one of the
most valuable assets to the company, driving the internal workings of the corporation. Employees
additionally tend to take full responsibility for their work and do not need close supervision to
create a quality product. It is important to note, however, that before an employee carries out their
task, they must first obtain the manager’s approval. This ensures work stays efficient, productive,
and in-line with company standards.
Theory Y managers gravitate towards relating to the worker on a more personal level, as opposed
to a more conducive and teaching-based relationship. As a result, Theory Y followers may have a
better relationship with their boss, creating a healthier atmosphere in the workplace. In comparison
to Theory X, Theory Y incorporates a pseudo-democratic environment for the workforce. This
allows the employee to design, construct, and publish their work in a timely manner in co-
ordinance with their workload and projects.
Management by objectives (MBO) is a strategic management model that aims to improve the
performance of an organization by clearly defining objectives that are agreed to by both
management and employees. According to the theory, having a say in goal setting and action
plans encourages participation and commitment among employees, as well as aligning objectives
across the organization.
Characteristics:
Example: A company can set various goals with its employees. In the case of a call center, an
MBO could be to increase customer satisfaction, say, by 10%, while reducing call times by one
minute. The onus is now on finding ways to achieve this goal. Once that’s decided on, it’s
important to get employees on board and then monitor their progress, provide feedback, and
reward those who do a good job.
Vroom’s expectancy theory:
Vroom’s expectancy theory assumes that behavior results from conscious choices among
alternatives whose purpose it is to maximize pleasure and to minimize pain. Vroom realized that
an employee’s performance is based on individual factors such as personality, skills, knowledge,
experience and abilities. He stated that effort, performance and motivation are linked in a person’s
motivation. He uses the variables Expectancy, Instrumentality and Valence to account for this.
Expectancy is the belief that increased effort will lead to increased performance i.e., if I work
harder than this will be better. This is affected by such things as:
Instrumentality is the belief that if you perform well that a valued outcome will be received. The
degree to which a first level outcome will lead to the second level outcome. i.e., if I do a good job,
there is something in it for me. This is affected by such things as:
1. Clear understanding of the relationship between performance and outcomes – e.g., the rules
of the reward ‘game’
2. Trust in the people who will take the decisions on who gets what outcome
3. Transparency of the process that decides who gets what outcome
Valence is the importance that the individual places upon the expected outcome. For the valence
to be positive, the person must prefer attaining the outcome to not attaining it. For example, if
someone is mainly motivated by money, he or she might not value offers of additional time off.
Thus, Vroom’s expectancy theory of motivation is not about self-interest in rewards but about the
associations people make towards expected outcomes and the contribution they feel they can make
towards those outcomes.
Leadership
Theories of leadership explain how and why specific individuals become leaders. They emphasize
the character characteristics and actions that people might adopt to improve their leadership skills.
Here are ten of the best-known leadership theories:
• Glamour
• Decisive
• Wisdom
• Daring
• Assertiveness
• Appeal
This viewpoint emphasizes the fact that individuals cannot be taught to be effective leaders. It's a
quality that either you have or you don't. These abilities come naturally, thus you cannot learn
them or receive training in them.
• Emotional equilibrium
• Acknowledging one's duty
• Competence
• Recognizing obstacles
• Thinking with action
• Motivational abilities
• Talents in communication
• Tenacity and flexibility
• Making decisions with assurance.
3. Transactional leadership
Well during Industrial Revolution, this transactional theory was developed to boost company
productivity. Managers who practice transactional leadership keep an eye on their staff, making
sure they are rewarded for reaching milestones and disciplined when they fall short. Leaders Who
Practice Transactional Leadership:
4. Transformation leadership
The relationship between leaders and staff can help the organization, according to the
transformational theory of management. This leadership theory contends that effective leaders
inspire workers to go above and beyond what they are capable of. Leaders develop a vision for
their team members and motivate them to realize it.
Employee morale is raised and inspired by transformational leaders, which helps them perform
better at work. These managers encourage staff members by their deeds rather than their words
because they specialize in setting an example.
• Self-manage
• Set an example
• Give interaction a high priority
• Be proactive in your work
• Promote the development of employees
• Receptive to fresh concepts
• Take chances and make difficult choices
Transformational leaders, as opposed to transactional leaders, prioritize failed processes and gather
personnel who get along well to accomplish shared corporate objectives. Additionally, effective
executives prioritize the requirements of the organization and its employees over their own.
The following elements influence the leadership style, based on contingency theory:
• Management approach
• Work speed
• Organizational policies and culture
• Employee spirit
• Employees' level of maturity
• Relationship between coworkers or members of a team
• Organizational objectives
• Environment and routine at work
The management strategy that will help the organization achieve its objectives in a particular
situation is decided by the leader.
According to this view, situations determine whether or not leaders are effective. No matter how
successful a leader is, the idea explains, difficult situations will always arise. It emphasizes that
the leaders are aware that the conditions in combination with their abilities have a role in their
achievement.
The theory lists a few essential traits of a situational leader, such as problem-solving abilities, trust,
adaptability, insight, and coaching.
The theory outlines three types of skills most useful for an effective leader. They are as follows:
Conceptual
Conceptual skills are those that help leaders create solutions to important problems and theories
and measure a leader's ability to work with new ideas. They include skills such as:
• Innovation
• Decision-making
• Critical thinking
• Abstract and creative thinking
• Persuasiveness
Technical
Technical skills are the specific skills required to perform the day-to-day tasks of a position.
Technical skills measure a leader's ability to work with the tools that help them perform their tasks
effectively. These skills vary depending on a particular job but often include:
Human
Human skills are interpersonal skills that help a leader manage a team. These skills measure a
leader's ability to work with others. Though the definition of human skills is broad, these skills
often include:
• Effective communication
• Motivational skills
• Social judgment
• Active listening
• Compassion.
Task behavior: These behaviors can help a team achieve its goals and focus on the concrete
actions a leader can take to increase their effectiveness. Some strengths of task behaviors include:
Relationship behaviors: These behaviors help improve rapport and morale among team members
and enable each individual to feel more comfortable within their work environment.
• Encouraged communication
• Close observation of team members' progress
• Active listening and effectively solve people's issues
• Coach and mentor team members to optimize their performance.
The model assumes that leadership consists of several dyadic (two-way) relationships that connect
the leader to the members. The quality of the relationship is measured by means of the level of
trust, respect, support, loyalty, job satisfaction and job performance.
Furthermore, the Leader Member Exchange Theory suggests that leaders automatically develop a
relationship with each of their subordinates, and that the quality of this relationship strongly
influences the responsibility, decision making, access to resources and performance of
subordinates.
This gives rise to two sides of employees, the in-group and the out-group (exchange relationships).
The in-group members are given more space to fulfill the work they do, more responsibility, more
attention and greater rewards. They work within the personal circle of the leader. On the other
hand, there are the out-group members. They receive less attention, responsibility and fewer
rewards. Exchanging leadership can cause friction and displeasure among the out-group, but it
could also create opportunities to give capable employees room for development.
Servant leadership leads employees to put an optimal effort in achieving the objectives of the
organization as they feel included and valued.
This form of leadership raises trust between leaders and followers, which fallouts in amplified
productivity, creativity, innovation, customer satisfaction, and loyalty. In a nutshell, servant
leadership crafts thriving teams who are enthused to be their best selves. Besides, servant leaders
are compromisers rather than dominators.
Culture
Psychologist Dr. Geert Hofstede published his cultural dimension model at the end of the 1970s,
based on a decade of research. Since then, it's become an internationally recognized standard for
understanding cultural differences.
Hofstede studied people who worked for IBM in more than 50 countries. Hofstede collected data
on employee attitudes and values for more than 1000 individuals from 1967-1973.These data
enabled him to compare dimensions of culture across 40 countries. Initially, he identified four
dimensions that could distinguish one culture from another. These are:
• Power Distance Index (high versus low).
• Individualism Versus Collectivism.
• Masculinity Versus Femininity.
• Uncertainty Avoidance Index (high versus low).
• Long- Versus Short-Term Orientation
Hofstede scored each country on a scale of 0 to 100 for each dimension. When Hofstede analyzed
his database of culture statistics, he found clear patterns of similarity and differenc ealong the four
dimensions. And, because his research focused solely on IBM employees, he could attribute those
patterns to national differences, and minimize the impact of company culture.
Countries with a long-term orientation tend to be pragmatic, modest. They behave in a modest
way. Avoid talking too much about yourself. People are more willing to compromise, yet this may
not always be clear to outsiders; this is certainly so in a culture that also scores high on PDI.
Application: Norway, Sweden, Denmark, Netherlands are the countries who follow long term
orientation.
In short-term oriented countries, people tend to place more emphasis on principles, consistency
and truth, and are typically religious and nationalistic. Sell yourself to be taken seriously. People
are less willing to compromise as this would be seen as weakness.
Application: The U.S. has a short-term orientation. This is reflected in the importance of short-
term gains and quick results (profit and loss statements are quarterly, for example). It is also
reflected in the country's strong sense of nationalism and social standards.
Conflict Management
The word “conflict” tends to generate images of anger, fighting, and other ugly thoughts that leave
people bruised and beaten. Conflict isn’t uncommon in the workplace.
A conflict arises:
▪ When one or more parties have desires, they are not willing to give up,
▪ When they feel that someone else is obstructing fulfillment of these desires.
▪ When this obstruction of important unfulfilled desires remains, frustration arises.
▪ This compels at least one of the parties to act in some way in relation to the other Party.
The fruitful three approaches considered for conflict management are: power, right and have
played a prominent role in working life in the West: the power-based approach, the rights-based
approach and the needs-based approach.
The ABC model, also known as the conflict triangle, is a simple method for obtaining an overview
of various aspects of a conflict. The model was developed by the Norwegian peace researcher
Johan Galtung in the late 1960s. Since then, it has been used in many contexts. According to the
ABC model, a conflict can be depicted as a triangle the respective corners of which represent three
important aspects inherent to all conflicts. The A corner stands for attitude, the B corner for
behavior, and the C corner for conflict or contradiction.
Experience suggests that it is useful to talk about five common themes and, consequently, that
there are five common types of conflicts. These are distribution conflicts, position conflicts,
structure conflicts, behavioral norms conflicts, and conviction conflicts.
• Distribution conflict, the parties are competing for something that can be divided. This
may, for instance, involve money, workload. Distribution conflicts concern how the
available resources are divided up between parties.
• Position conflict, the parties are competing for a resource that is indivisible, a position
within a system. Position conflicts may be informal in nature; they may concern who is the
most competent and should, therefore, have the last word, or who has a central position in
the group.
• Structure conflicts concern what order is to prevail in the organization. This may be, for
instance, a matter of organizational structure or it may concern delegation, authority,
decision-making processes, goals, routines, priorities, choice of methods, or distribution of
roles. Choices that concern structural issues often have consequences for the distribution
of time and other resources, such as when new routines force staff to dedicate more time
to administrative duties.
• Behavioral norms conflicts concern the interpersonal order, this is the type of conflict that
the parties most commonly need help with if they are to identify it and put it into words.
Behavioral norms conflicts often concern how the interrelations between the involved
party’s function., how they communicate with each other, what kinds of attitudes they have
toward each other, how much they stand up for each other, and so on.
• Conviction conflicts are special in nature. They have their roots in the parties’ personal
convictions bout what is morally right and wrong, in ideological value systems, and in
deeply rooted Beliefs about what does and does not work. The conflict itself concerns
which outlook should serve as a guide in the organization.
Conflict management is the approach and strategies geared towards achieving a positive outcome
and resolution amongst the parties involved in matters relating to conflicts. These strategies and
approaches are dependent on the type of conflict that exist, organizations, or institutions involved.
It could be a systematic or unordered method that is task-specific, research-oriented, and requires
proper attention. A conflict could be an outcome of Workplace Incivility.
According to the definition provided earlier, conflicts are situations involving one or more parties
who have desires they are unwilling to give up, feel they are being obstructed by someone else,
and act so as to fulfill their desires. We can say that, in such situations, there are four main
approaches to doing away with the obstruction: dialogue, discussion, rule-based procedures and
steamrollering.
Dialogue:
Trust: The hope that the other party is willing to try to understand what I mean and to find a
mutually acceptable solution.
Discussion:
Trust: The hope that the other party is receptive to objective arguments.
Rule-based procedures:
Trust: the other party is prepared to adhere to the rules of the game.
Power/Steamrollering:
▪ One of the parties forces his/her stand- point against the other party’s will: exercise of
coercive power, refusal, creating faiths accomplish.
▪ Can be done more or less skillfully.
Lost trust: No point in trying to reach consensus with the other party.
Conflict resolution:
Conflict resolution involves the process of the reducing, eliminating, or terminating of all forms
and types of conflict. Five styles for conflict management, as identified by Thomas and Kilmann,
are: competing, compromising, collaborating, avoiding, and accommodating.
➢ The lose-lose orientation is a type of conflict that tends to end negatively for all parties
involved.
➢ A win-lose orientation results in one victorious party, usually at the expense of the other.
➢ The win-win orientation is one of the most essential concepts to conflict resolution. A win-
win solution arrived at by integrative bargaining may be close to optimal for both parties.
This approach engages in a cooperative approach rather than a competitive one.
In the 1970s and 1980s, researchers began using the intentions of the parties involved to classify
the styles of conflict management that they included in their models. Both Thomas (1976) and
Pruitt (1983) put forth a model based on the concerns of the parties involved in the conflict. The
combination of the parties' concern for their own interests (i.e. assertiveness) and their concern for
the interests of those across the table (i.e. cooperativeness) yielded a particular conflict
management style.
Integrative – Groups utilizing the integrative model see conflict as a chance to integrate the needs
and concerns of both groups and make the best outcome possible. This model has a heavier
emphasis on compromise than the distributive model. Khun and Poole found that the integrative
model resulted in consistently better task-related outcomes than those using the distributive model.
• Activeness :"The extent to which conflict behaviors make a responsive and direct rather than
inert and indirect impression". High activeness is characterized by openly discussing
differences of opinion while fully going after their own interest.
• Agreeableness: "The extent to which conflict behaviors make a pleasant and relaxed rather
than unpleasant and strainful impression". High agreeableness is characterized by attempting
to satisfy all parties involved.
In the study DeChurch and Marks conducted to validate this division, activeness did not have a
significant effect on the effectiveness of conflict resolution, but the agreeableness of the conflict
management style, whatever it was, did have a positive impact on how groups felt about the way
the conflict was managed, regardless of the outcome.
Rahim's meta-model
Rahim (2002) noted that there is agreement among management scholars that there is no one best
approach to how to make decisions, lead or manage conflict.
In a similar vein, rather than creating a very specific model of conflict management, Rahim created
a meta-model (in much the same way that DeChurch and Marks, 2001, created a meta-taxonomy)
for conflict styles based on two dimensions, concern for self and concern for others.
Within this framework are five management approaches: integrating, obliging, dominating,
avoiding, and compromising.