Organisational Behaviour Notes

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1.

Formation of attitude

1) Direct experience
● One’s past experience with person, object, or situation
● Powerful, stronger, durable, and more difficult to change due to availability in
our cognitive processes

2) Social learning
● Deriving attitudes from family, peer groups, religious organisations, culture
● Learn by observing their models- processes-
○ Attention
○ Retention
○ Reproduction
○ Motivation
● Individual’s association with others, shapes the attitude of others about them

2. Contributing disciplines

1) Sociology-group dynamics- communication, formal, formal/informal


organisations
2) Psychology- understanding and predicting human behaviour. Intrapersonal
aspects such as personality perception, attitudes, etc.
3) Anthropology- study of societies, differences in values, attitudes and
behaviour between people from different regions. Contributes to
organisational cuture
4) Other social sciences- economics, political science, history- power, politics,
authority, decision-making

3. Models of man

1) Rational economic man


● Man strives to earn more money in a rational manner
● He can be motivated to produce more by providing him with economic
incentives(follows marginal utility theory)
● Organisation continues giving benefits as long as reciprocal
contribution is received

2) Self-actualising man
● Based on McGregor’s theory- assumption that man is self-motivated
and controlled
● Needs in hierarchical order, as per Maslow
●If man is induced to make efforts, the sense of achievement gives him
satisfaction
3) Complex man
● Needs are not uniform across individuals, there may be overlapping
● Two people with the same needs behave differently due to the
unknown variable of human behaviour, which is unpredictable
● Managers should tale clues, cannot apply single action across all
situations, depend on complexities of variable affecting human
behaviour

4) Social man
● Assumption that man is influenced and motivated by social variables
● Induced by desire to maintain social relationships rather than
economic motives
● More responsive to group pressure and sanction
● Managers should focus on people’s feelings about their belongingness
within groups and society

5) Organisation man
● Assumes that man attaches high loyalty to his organisation and cordial
relationship with co-workers
● Sacrifices individuality for the sake of the organisation
● Organisation itself takes care of individual interests, management
should design various functions to fulfill organisational needs

4. Determinants of personality

● Heredity
● Environment
● situation

5. Foundations of human behaviour

It means the response of an individual to certain stimuli, which can be observed


directly or indirectly:
1) Personal biographical factors- sex, age, education, abilities, marital status
2) Psychological factors- personality, perception, attitudes, values, learning
3) Environmental factors- economic conditions, political situations, cultural
values, social norms
4) Organisational factors- physical facilities, structure, design, leadership style,
rewards system

6. Hawthorne studies- Elton Mayo


1) Illumination experiments(24-27)
● Output decreased with decreased illumination, but no positive linear
relationship was established
2) Relay assembly test room experiment(27-28)
● No relationship between humidity, work schedul, etc and efficiency
● Researchers realised importance of employee attitude and sentiments
3) Experiments in interviewing workers(28-30)
● Discovery of formal and informal organisation through conversation with the
workers about their issues and opinions
● Understanding of social and interpersonal dynamics
4) Bank wiring room experiments(30-32)
● Behavioural norms set by the group had stong influence on productivity-
effects of peer group and group pressure

7. Individual differences

● Rewards vs. challenging jobs


● Type of compesation plan
● Style of leadership
● Power to deal with stress
● Method of expressing grievances
● Personal characteristics

8. Development of personality

1) Freud’s four stages


a) Oral- dependent upon others to satisfy biological needs- thumb
sucking/ biting
b) Anal- toilet training
c) Phallic stage- psychosexual development
d) Latency- disinterested in sexual matters, interested in knowledge
e) Genital- sexual drive and interest are revived

2) Erikson’s eight life stages


a) Infancy- trust/mistrust
b) Early childhood- independence/shame and doubt
c) Play age- self-confidence
d) School age- sense of industry/inferiority
e) Adolescence- gain identity
f) Young adulthood- intimacy/isolation
g) Adulthood- generativity/self-absorption
h) Old sunset age- integrity/despair

3) Argyris immaturity to maturity stages


a) Passivity to activity
b) Dependence to independence
c) Selective to diverse behaviour
d) Shallow to deep interest
e) Short-time to long-time perspective
f) Subordinate to superiorate position
g) Lack of self-awareness to self-awareness and control

4) Sheldon’s personality development


a) Endomorph-fleshy
b) Mesomorph-athletic
c) Ectomorph-thin

9. Types of values

● Terminal/instrumental
● Theoretical
● Economic
● Aesthetic
● Social
● Political
● Religious

PERCEPTION

The selection and organization of environmental stimuli to provide meaningful experiences


for the perceiver. A cognitive or knowing process, based on physical stimuli.

1. Features of perception

● An intellectual process
● Affects behaviour
● Diff. people perceive diff.tly
● Adds to or subtracts from the sensory inputs

2. Process of perception(Input-Throughput-Output)

a. Receiving of stimuli
● Through the 5 organs- physiological aspect of this process
b. Selection of stimuli
● Based on external and internal factors(selective perception).
Principles-
i. Figure-ground principle
ii. Relevancy
c. Organisation of stimuli
i. Grouping- based on continuity, proximity, and similarity of stimuli
ii. Closure- filling gaps in incomplete information by guessing,
assumptions, etc. to make it more meaningful
iii. Simplification- subtract less salient information to make it more
meaningful
d. Interpretation
Factors influencing interpretation-
i. Halo effect
ii. Attribution
iii. Stereotyping
iv. Personality
v. Situation
vi. Perceiver
e. Action

3. Ways to improve perception

● Improving Self-awareness –interaction with peers, frank and open communication,


mutual trust helps in understanding self accurately
● Improving Self concept-accomplishing develops self regard and esteem.
● Empathy-putting your feet into other shoes
● Positive attitude
● Perceptual distortions to be avoided-like halo effect, stereotyping, attribution, first
impression etc.
● Communicating openly
4. Factors affecting perception

Internal-
● Needs and desires
● Personality
● Experience
External-
● Size
● Intensity
● Frequency/repetition
● Contrast
● Status
● Movement

5. Role of perception in OB and HRM

● Interview – candidate are seen different by different interviewers-early impression


weighs.
● Performance appraisal-objective & subjective(hear comes perception)
● Performance expectation-leads to absenteeism & turnover if there is difference
● Employee performance-decides his/her future in the organisation.
● Organisational loyalty
LEARNING
A change in behaviour acquired through experience.

1. Characteristics

● Involves change, whether good or bad


● Change in behaviour must be relatively permanent
● Change in behaviour acquired through experience
● Experience is necessary for learning- whether acquired directly or indirectly
● Learning is a life-long process

2. Determinants of learning

● Motive- primary energisers of behaviour. Determine general direction of behaviour.


● Stimuli- Increase the probability of eliciting a specific response from a person.
a. Generalisation- when similar new stimuli repeat and elicit specific response
b. Discrimination- responses vary to different stimuli
● Responses- in physical form of terms of attitudes or perception. Need to be
operationally defined and physically observable.
● Reinforcement- anything that increases the strength of response or induce repetitions
of behaviour.
● Retention- remembrance of learned behaviour over time. Return of response
strength after extinction without reinforcement- spontaneous recovery.

3. Theories of learning
a. Classical Conditioning- Pavlov
● Modifying behaviour so a conditioned stimulus is paired with an unconditioned
stimulus and elicits an unconditioned behaviour
● One stimulus serves as reward

b. Operant Learning- B.F Skinner


● Behaviour is a function of its consequences, which may be either positive or
negative.
● The consequences of behaviour are used to influence or shape behaviour
through three strategies- reinforcement, punishment, extinction.
● Reward is presented when the organism gives the correct response.

c. Cognitive Theory- Kohler


● Cognition refers to an individual’s thoughts, knowledge, interpretations,
understandings or views about oneself and the environment.
● Person tries to form their cognitive structure in memory, which preserves and
organises all info relating to events that may occur in the learning situation.

d. Social Learning Theory


● A person starts displaying behaviour similar to someone else, eg. their
models.
● Learning through both observation and direct experience.
● Based on attention process, retention process, motor reproduction process,
reinforcement process.

4. Learning principles

a. Retention
● anything that increases the strength of response or induces repetitions of
behaviour.
● Attempt to develop or strengthen desirable behaviour by bestowing positive
consequences or withholding negative consequences.
● Schedules of reinforcement-
○ Continuous
○ Intermittent- Fixed Ratio, Variable Ratio, Fixed Interval, Variable
Interval

b. Learning curve
c. Extinction principle
d. Spontaneous recovery
e. Generalisation
f. Discrimination

5. Punishment

● To eliminate or weaken undesirable behaviour


● By withholding a positive consequence or applying a negative consequence
● Hot stove rule- Should be immediate, with warning, consistent, impersonal.
6. Learning and behaviour

● Reducing absenteeism
● Substituting well-pay for sick-pay
● Improving employee discipline
● Developing training programmes

OCB- ORGANISATIONAL CITIZENSHIP BEHAVIOUR

1. Definition

● Discretionary behaviour which employees are neither explicitly rewarded for


exhibiting, nor are punished for not exhibiting, for which they are not imparted training
to perform and is not a part of their job description.
● It goes beyond formally prescribed behaviour but contributes to overall organisational
effectiveness
● Dimensions:
○ Extra-role or going beyond the call of duty
○ Discretionary or voluntary in nature
○ Not necessarily recognized by formal reward system

2. Determinants of OCB
● Courtesy
● Altruism
● Sportsmanship
● Conscientiousness
● Loyalty
● Civic Virtue
● Extra-role behaviour
● Commitment

3. Predictors of OCB

● Personality variables
● Job satisfaction
● Duration of employee relation with organisation
● Psychological contracts
● Leadership ability
● Organisational culture

MOTIVATION
The willingness to exert toward the accomplishment of goals or needs

1. Nature of motivation

● Internal to man
● Single motive can cause different behaviours
● Diff. motives can result in single behaviour
● Motives come and go
● Interact w the environment

2. Motivation cycle/process

● Motives- activating thrust towards reaching a goal


● Goals- attaining the goal fixes the physiological or psychological imbalance created
by motives
● Behaviour- series of activities to be undertaken towards achieving a goal

3. Need for motivation

● Concern with human behaviour in people in organisations


● Enables managers to understand why people behave as they do
● Shows the managers how to motivate their employees
● Organisations need to have employees with the capability and willingness to use
advanced complex tech to accomplish organisational goals
● To develop employees as future resources

4. Theories of motivation

a. Maslow’s need hierarchy theory


● All human needs classified in a hierarchical manner from lower to
higher order.
● Physiological needs, safety needs, social needs, esteem needs, self-
actualisation needs
b. Herzberg’s two-factor theory
● Motivators(job satisfiers) -achivement, recognition, growth, nature of
job
● Maintenance factors(job disssatisfiers)- supervision, working
conditions, status, security
c. McGregor’s Theory X and Theory Y
● Theory x- indolent, lazy, lak ambition, dislike responsibility, self-
centred, indifferent to org goals, gullible, not sharp or bright
● Theory Y- need for achivemnt,can direct own behaviour, want org to
succeed, are not passive or resistant by nature
d. Urwick’s Theory Z
● Adoption of various japanese management practices
● Individual should know org goals, required contributions, and that
realisation of org goals will satisfy personal needs
● Postulates: Strong bond between org and employees, Employee
participation and involvement, no normal organisational structure, HR
development
e. Alderfer’s ERG Theory
● Existence needs- baisc material needs fo survival or existence
● Relatedness needs- desire to establish, maintain, develop
interpersonal needs
● Growth needs- intrinsic desire for one’s development
f. McClelland’s three-need theory
● Believed that needs are acquired by the nautre of events people
experience- closely associated with learning theory
● Need for achievement- competition w a standard of excellence:
assume personal resp, moderate goals and calc risks, desire for
feedback
● Need for power- need to influemce and change others: influence amd
direct, exercise cntrol, maintaining leader-follower relations
● Need for affiliation- establish and maintain warm relations: acceptance
and approval, conform to others’ wishes, value others’ feelings.
g. Argyris’s Theory
● Based on how mgmt practices affct individual behaviour and growth
● Changes to personality from immature to mature
● Shift to more flexible and participative management
h. Vroom’s expectancy theory
● Cognitive process theory
● People will be motivated to exert effort when they believe there are
relationships between the effort they put in, performance they achieve,
and outcomes/rewards they receive
● Valence=value on particular reward, expectancy=relates efforts to
performance, instrumentality=that performance is related to rewards
● Motivation = Valence x Expectancy x Intsrumentality
i. Porter and Lawler’s expectancy theory
● Motovation does not equal satisfaction or performance
● Proposed multi-variate model to explain relationship between
satisfaction and performance
● Performance to satisfaction mediated by abilities, traits, role
perceptions.
● Main elements:
○ Effort- value of reward, effort-reward probability
○ Performance- 1&2 may or may not be equal. amount of
performance is determined amount of labour and the ability
and role perception. if an employee possesses less ability and
makes wrong role perception, performance may be low in spite
of great efforts.
○ Satisfaction- depends upon the amount of rewards one
achieves. If the amount of actual rewards meet or exceed
perceived equitable rewards, the employee will feel satisfied.
○ Rewards- may be intrinsic or extrinsic. intrinsic rewards are
much more likely to produce attitudes about satisfaction that
are related to performance.
j. Adam’s equity theory
● An individual’s subjective judgements about the fairness of rewards
received relative to the inputs, in comparison with the rewards of
others.
● There should be a balance of the outcomes/inputs relationship
● If rewards are perceived as equitable, they will probably continue at
the same level of output.

FOUNDATION OF GROUP BEHAVIOUR

1. Characteristics of a group
● Two or more persons
● Collective identity
● Interaction
● Common purpose

2. Why do people form and join groups?


● Safety and security needs
● Belongingness needs
● Esteem needs
● Power
● Identity

3. Types of groups
● Formal groups- established by organisation
○ Command group
○ Task group
○ Project group
○ Committees
● Informal groups- natural formations in the work environment
○ Friendship groups
○ Inter
○ est groups
○ Reference group
4. Stages of group development

a. Forming stage:- members seek to get to know each other & seek to establish
ground rules.
b. Storming stage:- members come to resist control by group leaders & show
hostility
c. Norming stage :-work together developing close relationships & feelings of
camaraderie
d. Performing stage:- group members work toward getting their jobs done
e. Adjourning stage:- groups separate after meeting their goals members leave

5. Group Norms

● It explain the characteristics of a group


● Serve as the basis of behaviour
● Predict and control the behaviour of members
● Norms are applied to all the members of the group.

6. Group cohesiveness

Extent to which the members of a group are attached to each other and willing to
remain within the group
● Inducing agreement of group goals
● Membership homogeneity
● Interaction
● Downsizing the group
● Encouraging competition with rival groups
● Group rewards not Indiduals.
● Keeping the members isolated from other groups

7. Group role
● Types of group roles
○ Work role
○ Maintenance role
○ Blocking role
● Role identity
● Role ambiguity
● Role conflict
● Role expectations

8. Group decision-making

● It is the process of selecting one alternative from number of alternatives available


through consensus mode or majority vote.(based on size of the group)
● Process of decision making:
○ Diagnosing the problem
○ Developing alternatives
○ Evaluating alternatuves
○ Implementing and monitoring the decision

9. How do groups make decisions?

● Group size
● Group compsition
● Unnimity of group consensus
● Risky shift

LEADERSHIP

1. Manager vs. leader


2. Characterisics f leadership
● Continuous process
● Personal quality
● Success of a leadr depepnds on the acceptance fohs leadership
● Relationship between leaders an followers arising out of common goals

3. Functions of leadership
● Developing team work
● Representing the team
● Counselling the workmen
● Managing time
● Using proper power
● Securing group effectiveness

4. Qualities of a leader

● Honesty and integrity


● Confidence
● Inspire Others
● Commitment and Passion
● Good Communicator
● Decision Making Capabilities
● Accountability
● Creativity and Innovation
● Empathy
● Resilience
● Humility
5. Studies on leadership

a. Hawthorne studies
● Increase in productivity of wokers was attributed to positude attitude of
workers towards each oter and feelings of togetherness
● A leader not only has to plan, orgaise, lead, and control, but also
consider the human element which needs recognition and well-being

b. Iowa leadership studies


● Studied three leadership styles of ten year old boys in three groups
● Authoritarian-democratic-laissez faire
● Leaders assumed different styles as they shifted groups each six
week
● 19/20 democratic, one- army officer’s son
● 7/10- laissez faire

c. Michigan studies on leadership styles


● Employe orientation- aspects of individuals job, leader offers trust and
confidence, free discussion, initiatives, suggestions are welcomed
● Production orientation- emphasisi on production and technucal
aspects, seen as tools to accomplish goals, work, working conditions,
work methds, seen in detail
● Employee-oriented style resulted in higher performance

d. Ohio state studies on leadership styles


● Two indepedent dimensions- consideration and initiating structure
● Air force and navy commanders and crew
● Two questionnaires- LBDQ and LOQ
● Studied relationship w subordinates and define and structure own role
and subordinates roles towards goal accomplishment

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