.

CHAPTER TWO
I N D I V I D U A L B E H AV I O R I N
O R G A N I Z AT I O N S

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 INDIVIDUAL DIFFERENCES AT WORKPLACE

Understanding individual and group

behavior is critical to understand the
behavior of people in the organizational
context.

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DIVERSITY
There are two main types of diversity:
1. surface-level diversity and
2. deep-level diversity.
Surface-level diversity describes the easily
perceived differences between us, such as age
and generation, race and ethnicity, gender and
sexual orientation, and physical and/or mental
ability.

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 DIVERSITY…

This type of diversity can lead to discrimination

when managers or recruiters judge or stereotype
others on the basis of superficial differences.
For example, if they believe performance
declines with age, they will choose a younger
candidate over an older candidate.

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 DIVERSITY…
In contrast, deep-level diversity describes verbal
and nonverbal behaviors that are not as easily
perceived because they lie below the surface.
Deep-level diversity may include attitudes, values,
beliefs, and personality traits.
People first identify surface-level differences in
others, and then become aware of deep-level
differences as they get to know someone.

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 DIVERSITY…

1. Age
Organizations dealing with a multigenerational
workforce need to focus on the strengths and
weaknesses of their individual employees and
should be able foster the transfer of knowledge
across age groups while bridging differences and
building on commonalities in order to create a
cohesive, dynamic workforce.

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DIVERSITY…
2. Race and Ethnicity
Today’s workplace is made up of people from different racial
groups and ethnicities, yet racial and ethnic prejudice still
persist.
Sometimes the terms race and ethnicity are used
interchangeably, but race is related to factors of physical
appearance such as skin, hair, or eye color, whereas ethnicity
is associated with sociological factors such as nationality,
culture, language, and ancestry.

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 DIVERSITY…

3. Gender and Sexual Orientation

Gender diversity is the equal representation of both
men and women in the workplace.
Today, women occupy positions and roles in every
industry, and laws and regulations have been put in place
to counteract discrimination against them.
However, though women have made great strides in
achieving equality, differences in salary and hiring
practices remain.

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 DIVERSITY…

Like race, ethnicity, and gender, the

organizational approach to sexual orientation,
which refers to a person’s sexual identity and
the gender(s) to which she or he is attracted,
has come a long way during the past few
decades, yet achieving equal rights and
protections in the workplace regardless of sexual
orientation have only partially occurred.

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 DIVERSITY…
4. Diversity of Abilities
Ability diversity is the representation of people with
different levels of mental and physical abilities within
an organization
Although people with physical and mental impairments
may not be able to carry out certain tasks, there is still a
huge range of tasks at which they can excel.
Managing ability diversity begins with selecting
employees with abilities that best fit the role. This, in
turn, leads to increased productivity and job satisfaction.

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 DIMENSIONS OF INTELLECTUAL ABILITY

1. Numeric Aptitude: Ability to do speedy and accurate

arithmetic
2. Verbal Comprehension: Ability to understand what is
read or heard and the relationship of words to each other.
3. Perceptual Speed: Ability to identify visual similarities
and differences quickly and accurately.
4. Inductive Reasoning: Ability to identify a logical
sequence in a problem and then solve the problem.

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 DIMENSIONS…

5. Deductive Reasoning: Ability to use logic and

assess the implications of an argument.
6. Spatial Visualization: Ability to imagine how an
object would look if its position in space were
changed.
7. Memory: Ability to retain and recall past
experiences.

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 PHYSICAL ABILITY

The capacity to do tasks

demanding stamina (strength),
dexterity (swiftness or
precision), strength, and similar
characteristics.

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 DIVERSITY TRAINING
Diversity training can help reduce bias and break down prejudices
or psychological barriers among those who struggle to accept
coworkers they perceive as different.
Many organizations institute mandatory diversity training programs
with an emphasis on inclusion, in which each employee is asked
whether he or she feels valued, respected, and welcomed in the
organization.
This provides a safe forum for employees to openly discuss
diversity issues and consider the actions they would take when
presented with different scenarios.

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 MOTIVATION
Motivation is the force within us that activates our
behavior. It is a function of three distinct components:
Intensity, Direction, and Persistence.

Motivation

Intensity Direction Persistence

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 MOTIVATION…

Intensity: the amount of mental and physical effort put

forth by the person.
Direction: the extent to which an individual determines
and chooses efforts focused on a particular goal.
Persistence: the extent to which the goal-directed effort
is put forth over time.

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 Two Types of Motivation:
Intrinsic vs. Extrinsic

Intrinsic Extrinsic
When rewards such
When doing the job is
as pay and formal
inherently motivating
recognition act as
motivators

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BASIC CATEGORIES OF REWARDS

Compensation Rewards:
Those given in return for acceptable
performance or effort, i.e., Financial
or/and non-financial compensation rewards

Non-Compensation Rewards:
Those beneficial factors related to the work
situation and well-being of each person.

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 .
.

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 EARLY THEORIES OF MOTIVATION

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 THEORIES OF NEEDS…

The best-known theory of motivation is

Abraham Maslow’s hierarchy of needs,
which hypothesizes that within every
human being there is a hierarchy of five
needs.

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 THEORIES OF NEEDS…
These are:
1. Physiological: Includes hunger, thirst, shelter, sex, and other bodily needs.
2. Safety-security: Security and protection from physical and emotional harm.
3. Social-belongingness. Affection, belongingness, acceptance, and friendship.
4. Esteem. Internal factors such as self-respect, autonomy, and achievement,
and external factors such as status, recognition, and attention.
5. Self-actualization. Drive to become what we are capable of becoming;
includes growth, achieving our potential, and self-fulfillment.

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 THEORIES OF NEEDS…

According to Maslow, as each need becomes

substantially satisfied, the next one becomes
dominant.
So if you want to motivate someone, you need to
understand what level of the hierarchy that
person is currently on and focus on satisfying
needs at or above that level.

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 ALDERFER’S ERG THEORY

• Alderfer’s ERG theory compresses Maslow’s five

need categories into three: existence, relatedness,
and growth
1. Existence needs include physiological and
material safety needs. These needs are satisfied by
material conditions and not through interpersonal
relations or personal involvement in the work
setting.

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 ERG…

2. Relatedness needs include all of Maslow’s social

needs, plus social safety and social esteem needs.
These needs are satisfied through the exchange of
thoughts and feelings with other people.
3. Growth needs include self-esteem and self-
actualization needs. These needs tend to be satisfied
through one’s full involvement in work and the
work setting.

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 ERG…
Four components:
- satisfaction progression,
- frustration,
- frustration regression, and
- aspiration are key to understanding Alderfer’s ERG theory.
The first of these, satisfaction progression, is in basic
agreement with Maslow’s process of moving through the
needs. As we increasingly satisfy our existence needs, we
direct energy toward relatedness needs. As these needs are
satisfied, our growth needs become more active.

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 ERG…
The second component, frustration, occurs when we
attempt but fail to satisfy a particular need. The
resulting frustration may make satisfying the unmet need
even more important to us—unless we repeatedly fail to
satisfy that need.
In this case, Alderfer’s third component, frustration
regression, can cause us to shift our attention to a
previously satisfied, more concrete, and verifiable need.

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 ERG…
Lastly, the aspiration component of the
ERG model notes that, by its very nature,
growth is intrinsically satisfying. The
more we grow, the more we want to grow.
Therefore, the more we satisfy our growth
need, the more important it becomes and
the more strongly we are motivated to
satisfy it.

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 Herzberg’s Two-Factor Theory

(Dual structure approach to motivation)

The two-factor theory is a concept that states the

factors that affect an individual's satisfaction and
motivation level. These two factors are:
 Job satisfaction (affective/hygiene) &
 Job dissatisfaction (motivational)

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 HERZBERG…

He (Herzberg) believed that two factors impacted

employees’ performance in different ways.
Intrinsic factors such as advancement, recognition,
responsibility, and achievement seem related to job
satisfaction. Respondents who felt good about their
work tended to attribute these factors to their situations,
while dissatisfied respondents tended to cite extrinsic
factors, such as supervision, pay, company policies, and
work conditions.

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 HERZBERG…
To Herzberg, the opposite of satisfaction is not
dissatisfaction, as was traditionally believed. Removing
dissatisfying characteristics from a job does not
necessarily make the job satisfying. For him, the
opposite of “satisfaction” is “no satisfaction,” and the
opposite of “dissatisfaction” is “no dissatisfaction”

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 HERZBERG…

The managers who seek to eliminate factors that

can create job dissatisfaction may bring about
peace, but not necessarily motivation. They will
be placating rather than motivating their
workers.

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 HERZBERG…

Conditions such as quality of supervision, pay,

company policies, physical work conditions,
relationships with others, and job security are
hygiene factors. When they’re adequate, people
will not be dissatisfied; neither will they be
satisfied.

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 HERZBERG…
If we want to motivate people on their jobs, we should
emphasize factors associated with the work itself or
with outcomes directly derived from it, such as
promotional opportunities, personal growth
opportunities, recognition, responsibility, and
achievement. These are the characteristics people find
intrinsically rewarding.

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McClelland’
s Theory of
Needs
1. Need for Achievement (nAch):
is the drive to excel, to achieve in relationship to a set
of standards. is how much people are motivated to
excel at the tasks they are performing, especially tasks
that are difficult.
When nAch is being expressed, making it a manifest
need, people try hard to succeed at whatever task they’re
doing. We say these people have a high achievement
motive. A motive is a source of motivation; it is the need
that a person is attempting to satisfy.

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 MCCLELLAND’S …
McClelland describes three major
characteristics of high-nAch people:
1. They feel personally responsible for
completing whatever tasks they are assigned.
They accept credit for success and blame for
failure.

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 MCCLELLAND’S …

2. They like situations where the probability of

success is moderate. High-nAch people are not
motivated by tasks that are too easy or extremely
difficult. Instead, they prefer situations where
the outcome is uncertain, but in which they
believe they can succeed if they exert enough
effort. They avoid both simple and impossible
situations.

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 MCCLELLAND’S …
3. They have very strong desires for feedback
about how well they are doing. They actively
seek out performance feedback. It doesn’t matter
whether the information implies success or
failure. They want to know whether they have
achieved or not. They constantly ask how they
are doing, sometimes to the point of being a
nuisance.

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 MCCLELLAND’S …
The nAch is important to organizational as the
success of many organizations is dependent on the
nAch levels of their employees.This is especially
true for jobs that require self-motivation and
managing others. Today’s flexible, cost-conscious
organizations have no room for top-heavy
structures; their high-nAch employees perform
their jobs well with minimal supervision.

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 MCCLELLAND’S …
2. Need for Affliation (nAff):
This need is the second of McClelland’s
learned needs. The need for affiliation
(nAff) reflects a desire to establish and
maintain warm and friendly relationships
with other people. As you would expect,
high-nAff people are very sociable.

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 MCCLELLAND’S …
The nAff has important implications for organizational behavior. High-nAff
people like to be around other people, including other people at work. As a
result, they perform better in jobs that require teamwork.
Maintaining good relationships with their coworkers is important to them, so
they go to great lengths to make the work group succeed because they fear
rejection. So, high-nAff employees will be especially motivated to perform
well if others depend on them.
In contrast, if high-nAff people perform jobs in isolation from other people,
they will be less motivated to perform well. Performing well on this job
won’t satisfy their need to be around other people.

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 MCCLELLAND’S …
3. Need for Power:
The third of McClelland’s learned needs, the
need for power (nPow), is the need to control
things, especially other people. It reflects a
motivation to influence and be responsible for
other people.
An employee who is often talkative, gives
orders, and argues a lot is motivated by the need
for power over others.

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 MCCLELLAND’S …
Employees with high nPow can be beneficial to
organizations. High-nPow people do have effective
employee behaviors, but at times they’re disruptive. A
high-nPow person may try to convince others to do
things that are detrimental to the organization.
So, when is this need good, and when is it bad? Again,
there are no easy answers. McClelland calls this the
“two faces of power.”

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 MCCLELLAND’S …

A personal power seeker endeavors to

control others mostly for the sake of
dominating them. They want others to
respond to their wishes whether or not it is
good for the organization. They “build
empires,” and they protect them.

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 MCCLELLAND’S …
McClelland’s other power seeker is the social power
seeker. A high social power seeker satisfies needs for
power by influencing others, like the personal power
seeker. They differ in that they feel best when they have
influenced a work group to achieve the group’s goals,
and not some personal agenda.
High social power seekers are concerned with goals that
a work group has set for itself, and they are motivated to
influence others to achieve the goal. This need is
oriented toward fulfilling responsibilities to the
employer, not to the self.

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 MCCLELLAND’S …
McClelland has argued that the high need for social power is the
most important motivator for successful managers. Successful
managers tend to be high in this type of nPow. High need for
achievement can also be important, but it sometimes results in
too much concern for personal success and not enough for the
employer’s success.
The need for affiliation contributes to managerial success only in
those situations where the maintenance of warm group relations
is as important as getting others to work toward group goals.
.

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 MCCLELLAND’S …

The implication of McClelland’s research is that

organizations should try to place people with high needs
for social power in managerial jobs.
It is critical, however, that those managerial jobs allow
the employee to satisfy the nPow through social power
acquisition. Otherwise, a manager high in nPow may
satisfy this need through acquisition of personal power,
to the detriment of the organization

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 GOAL SETTING THEORY OF MOTIVATION

Founder of the theory: Edwin Locke (1960's)

It focused on the task performance

It states that specific & challenging goals along with

appropriate feedback contribute to higher and better
task performance.

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GOAL…

As Locke and Latham, the five goal setting principles that

can improve employees’ chances of success were:
 Clarity
 Challenge
 Commitment
 Feedback
 Task complexity

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EXPECTANCY THEORY OF MOTIVATION
Victor Vroom’s expectancy theory of motivation is the belief
that an individual chooses their behaviors based on what they
believe leads to the most beneficial outcome.

This theory is dependent on how much value a person places

on different motivations.

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EXPECTANCY THEORY….
According to this theory, people work harder
when they believe the added effort will help them
to achieve a goal and be rewarded.
1. If I give maximum effort, will it be recognized in my
performance appraisal?
2. If I get a good performance appraisal, will it lead to
organizational rewards?
3. If I’m rewarded, are the rewards attractive to me?

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 EXPECTANCY THEORY

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LEARNING

What is learning?
Any relatively permanent change in behaviour
that occurs as a result of experience.
Theories of Learning
B. F Skinner’s Operant Conditioning Theory
Social Learning

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 OPERANT CONDITIONING

Operant conditioning argues that

people learn to behave to get
something they want or to avoid
something they don’t want.

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 OPERANT…
B. F. Skinner demonstrated that people will most
likely engage in desired behaviors if they are
positively reinforced for doing so; rewards are
most effective if they immediately follow the
desired response; and behavior that is not
rewarded, or is punished, is less likely to be
repeated.

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 OPERANT…
The concept of operant conditioning was part of
Skinner’s broader concept of behaviorism, which
argues that behavior follows stimuli in a relatively
unthinking manner.
Skinner’s form of radical behaviorism rejects feelings,
thoughts, and other states of mind as causes of
behavior. In short, people learn to associate stimulus
and response, but their conscious awareness of this
association is irrelevant.

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 SOCIAL LEARNING

Social-learning theory and reinforcement

Individuals can learn by being told or by observing
what happens to other people, as well as through direct
experience. Much of what we have learned comes from
watching models—parents, teachers, peers, film and
television performers, bosses, and so forth.
The view that we can learn through both observation
and direct experience is called social-learning theory.

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 FOUR METHODS OF SHAPING BEHAVIOR

1. Positive reinforcement: Following a response

with something pleasant, e.g., boss praises an
employee for job well done.
2. Negative reinforcement: Following a response
by the termination or withdrawal of something
unpleasant.

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 FOUR METHODS…

3. Punishment: Causing unpleasant condition in an

attempt to eliminate an undesirable behavior, e.g.,
giving an employee a two-day suspension from
work without pay for being late is an example of
punishment.

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 FOUR METHODS…

4. Extinction: Eliminating any reinforcement that is

maintaining a behavior, the absence of any
consequences, which reduces the likelihood that the
behavior will be repeated in the same or similar
situations.
Somebody making a joke; people not paying
attention to.

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 BEHAVIORAL MODIFICATION
OB Modification is the application of reinforcement
concepts to individuals in the work setting.
Five step Model
Problem-solving Identify critical behaviors
• Develop baseline data
• Identify behavioral consequences
• Apply intervention
• Evaluate performance improvement

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 EQUITY THEORY

Equity theory says that individuals compare their

job inputs and outcomes with those of others and
then respond to eliminate any inequities.

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 EQUITY…
According to equity theory, employees compare what they
get from their job (their “Outcomes,” such as pay,
promotions, recognition, or a bigger office) to what they
put into it (their “Inputs,” such as effort, experience, and
education).
They take the ratio of their outcomes to their inputs and
compare it to the ratio of others, usually someone similar
like a coworker or someone doing the same job.

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 EQUITY…
organizational justice: An overall
perception of what is fair in the
workplace, composed of distributive,
procedural, informational, and
interpersonal justice.

Distributive justice: Perceived fairness of

the amount and allocation of rewards among
individuals.

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 EQUITY…
Procedural justice: The perceived fairness of the
process used to determine the distribution of
rewards.

Informational justice: The degree to

which employees are provided truthful
explanations for decisions.

Interpersonal justice: The degree to

which employees are treated with dignity
and respect.

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