WORK BASED

ASSIGNMENT-
ORGANIZATIONAL
BEHAVIOUR

PREETHI B
39
 CONTENT
Introduction to OB
Abstract
Chapter 1- Introduction
1.1- Introduction
1.2- Research question
1.3- Research organization
Chapter 2- Literature Review
2.1- Introduction
2.2- Values
2.3- Tata Steel Code of Conduct
2.4- Work Culture
2.5- Human Relation Model
Chapter 3- Methodology
Chapter 4- Result
Chapter 5- Discussion
Chapter 6- Conclusion
Chapter 7- Limitations
Chapter 8- Reference
 INTRODUCTION
The study of organizational behavior is very interesting and
challenging too. It is related to individuals, group of people working
together in teams. The study becomes more challenging when
situational factors interact.
Organizational behavior can be defined as a field of study that
investigates the impact that individuals, groups and organizational
structure have on behavior within the organization, for the purpose of
applying such knowledge towards improving an organizational
effectiveness. The above definition has three main elements; first
organizational behavior is an investigative study of individuals and
groups, second, the impact of organizational structure on human
behavior and the third, the application of knowledge to achieve
organizational effectiveness. These factors are interactive in nature
and the impact of such behavior is applied to various systems so that
the goals are achieved.
The study of organizational behavior relates to the expected behavior
of an individual in the organization. No two individuals are likely to
behave in the same manner in a particular work situation. It is the
predictability of a manager about the expected behavior of an
individual. There are no absolutes in human behavior. It is the human
factor that is contributory to the productivity hence the study of
human behavior is important. Preemptive actions need to be taken for
human behavior forecasting. The value system, emotional
intelligence, organizational culture, job design and the work
environment are important causal agents in determining human
behavior. Cause and effect relationship play an important role in how
an individual is likely to behave in a particular situation and its impact
on productivity. The field of the organizational behavior does not
depend upon deductions based on gut feelings but attempts to gather
information regarding an issue in a scientific manner under controlled
conditions. It uses information and interprets the findings so that the
behavior of an individual and group can be canalized as desired.
Employee performance and job satisfaction are determinants of
accomplishment of individual and organizational goals. Organizations
have been set up to fulfill needs of the people. In today’s competitive
world, the organizations have to be growth-oriented. This is possible
when productivity is ensured with respect to quantity of product to be
produced with zero error quality. Employee absenteeism and turnover
has a negative impact on productivity. Employee who absents
frequently cannot contribute towards productivity and growth of the
organization. In the same manner, employee turnover causes
increased cost of production. Job satisfaction is a major factor to
analyze performance of an individual towards his work. Satisfied
workers are productive workers who contribute towards building an
appropriate work culture in an organization. Organizations are
composed of number of individuals working independently or
collectively in teams, and number of such teams makes a department
and number of such departments make an organization. It is a formal
structure and all departments have to function in a coordinated
manner to achieve the organizational objective. It is therefore
important for all employees to possess a positive attitude towards
work. They need to function in congenial atmosphere and accomplish
assigned goals. It is also important for managers to develop an
appropriate work culture. Use of authority, delegation of certain
powers to subordinates, division of labor, efficient communication,
benchmarking, re-engineering, job re-design and empowerment are
some of the important factors so that an organization can function as
well-oiled machine. This is not only applicable to manufacturing
organizations but also to service and social organizations.
 ABSTRACT
The purpose of the study is to compare the workings of the company
‘Tata Steel’ to the human relation model developed by Elton Mayo.
The values and the work culture of the company was assessed. These
were compared to the features of the human relations model. The
findings were then analyzed. It was reveled that Tata Steel mostly
works in accordance to the human relations model.
 CHAPTER ONE-INTRODUCTION
1.1 INTRODUCTION
This chapter outlines the main research question and objectives of this
research. The background based upon which the research was
formulated and conducted will be presented. The chapter concludes
with an overview of the remaining chapters which make up the
research.
1.2 RESEARCH QUESTION
The aim of this research is to compare the human relations model to
the workings of the company Tata Steel.
1.3 RESEARCH ORGANIZATION
For the purpose of this study, the company ‘Tata Steel’ was chosen.
Information about this organization was deemed useful for this
research, it was obtained by doing internet research.
Tata group was found by Jamsetji Tata in 1860 inspired by the spirit
of nationalism. Tata is a pioneer in steel production in India in TISCO
at Jamshedpur. Tata Steel is currently the worlds second most
geographically diversified steel producer. They are one of the few
steel operations that are fully integrated from mining to
manufacturing and marketing of finished products. Today they
operate in 26 countries and have a commercial presence in over 50
countries with employees across five countries. And the numbers are
growing. With the globalization Tata’s have taken over large
companies overseas. It is now a global player.
 CHAPTER TWO-LITERATURE REVIEW
2.1 INTRODUCTION
This literature review discusses the importance of company values
and how initiatives such as Tata Code of Conduct was implemented.
The following sections also examines the work culture, HR practices
of ‘Tata Steel’. The definitions and characteristics of human relation
theory is also stated.
2.2 VALUES
“Values are what influence the decisions and behaviors of people
within an organization. People have differing values, because of this,
it is necessary for organizations to foster common value systems
within their organizations if decisions and behaviors are to be
consistent with the objectives of the organization” (Jaszay, 2002).
“This consistency is only possible if the organization’s values are
identified, people are hired who are willing and able to embrace the
organization’s values, systems of operation support the value system,
and management and staff are trained to honor and follow the rules”.
(Jaszay, 2002).
Tata believes in its ethical values of highest standards. It has returned
wealth to the society. Tata trust which holds nearly two thirds of its
equity has built large national institutions apart from its philanthropic
work. Along with social responsibilities Tata’s have upheld the
principles of corporate governance in practice. It has earned the trust
of stakeholders over decades. They make a difference through:
 People-Fostering teamwork, nurturing talent, enhancing
leadership capability and acting with pace, pride and passion
 Offerings-Becoming the supplier of choice, delivering premium
products and services, and creating value for our customers
 Conduct-Providing a safe workplace, respecting the
environment, caring for our communities and demonstrating
high ethical standards
  Policies-In adherence to the Tata Code of Conduct, Tata Steel’s
policies pertain to active sets of principles in different areas of
operation that help bring uniformity in processes by clearly
defining the company’s approach
 Innovative Approach-Developing leading-edge solutions in
technology, processes and products
2.3 TATA STEEL CODE OF CONDUCT
A code of ethics serves three major purposes in organizations namely:
a) demonstrating a concern for ethics by the organization
b) transmitting ethical values of the organization to its members
c) impacting the ethical behavior of those members
Researchers suggest that employees must be familiar with the code’s
contents before it will impact their ethical awareness and behavior.
Tata Steel is one of the most respected companies in the country for
its values-based practices ethical and dynamic practices and
competitive performances. The name Tata has always been
synonymous with trust. The values and principles that had governed
the compony were articulated for the fist time in 1998. This year the
company formally published its ‘Code of Conduct’. This document
was aimed to guide each employee on the values, ethics and business
principles expected of them. In order to protect, nurture and facilitate
the growth the employees. Tata put out a number of policies. Some of
them are stated below:
1. We provide equal opportunities to all our employees and to all
eligible applicants for employment in our company. We do not
unfairly discriminate on any ground.
2. When recruiting, developing and promoting our employees, our
decisions will be based solely on performance, merit, competence and
potential.
3. We shall have fair, transparent and clear employee policies which
promote diversity and equality.
4. Everyone in our work environment must be treated with dignity
and respect. We do not tolerate any form of harassment, whether
sexual, physical, verbal or psychological.
5. We have clear and fair disciplinary procedures, which necessarily
include an employee’s right to be heard.
The successful implementation of this code of conduct was not a
matter of choice to Tata Steel. To implement the Code of Conduct,
the company created a new position of ‘Ethics Counsellor’ at the
senior management level. Ethics Counsellor was internally identified.
The person was made to report to the Managing Director of the
company for day-to-day functioning. In every department, one person
was identified by the head of the department to additionally look after
the implementation of code of conduct in the department. These
Ethics Coordinators reported to Ethics Counsellor directly on ethics
related matters. Ethics Coordinators in consultation with the Ethics
Counsellor organized large number of awareness programmes every
year. Such programmes were extended to other stakeholders like
suppliers and dealers of the company. Having succeeded to create
awareness among the employees, the Ethics Counsellor organized
nearly 15 awareness programme for the families of the executives.
The family members were made to feel proud that one of them was
part of a ‘value based’ organization.
It was observed by the researchers during their interaction with the
managers in the company that the employees took pride in their
association with a company that believed in the code of conduct that
had wide social acceptance. Such pride enhances the commitment of
employees (Bhat and Maheshwari, 2004) which influences the
performance of the company.
2.4 WORK CULTURE
From its inception, Tata Steel has been a showcase for worker welfare
scheme. They believe that people are their greatest assets and adopt
best practices to ensure healthy employee relation, employee growth
and development as well as work satisfaction. Tata Steel was declared
as the ‘Best Place to Work in the Core Sector’ in the Business Today,
India Survey 2016.
They conduct programmes like health management workshops,
weight management programmes, smoking cessation programmes etc.
they organize an bi annual holistic health checkup. Tata Steel
provides specialized training to canteen staff to improve service levels
and has committees in place that are responsible for continuous
improvement. The company has provided a mobile application called
‘Mobi-Safe’ which allows employees to report any unsafe
condition/act in the work place. There is also creches called
‘Muskaan’ at Indian workplaces which supports young parents whose
work keeps them away from their children. Tata Steel prides on being
an equal opportunity employer, not discriminating on any grounds.
They encourage high performance culture and support it through
various rewards and recognitions. Tata Steel takes care of all its
employees like a family. Career growth for employees has been a key
focus at Tata Steel. To ensure learning and growth, various training
institution’s for skill and competency building have been set up. It
imparts behavioral management training. There are innumerable
examples of people who have been able to carry forward their
interests here, always being encouraged to lead life in their own
unique way. Quality living are two words that most appropriately
describe life at Tata Steel.
2.5 Human Relation Theory
Human Relations theory was introduced by Professor Elton Mayo
with the aim of proving the significant of employee for productivity
but not machines. It was developed to address the problem that was
faced by Taylors’ ‘scientific management theory’. Human Relations
theory emphasis employee as a human being and should be treated as
human beings not machines. The features of Human Relations theory
are the individual employee, informal organizations, and participative
management. Individual employee refers to the recognition and
appreciation of individual employees within the workplace.
Employees are considered as the main s of the organization in terms
of their skills. Hence, Human relations theory suggest that individual
employee should be respected and treated well and that will link with
the high productivity of the organization. Informal organizations are
another aspect of Human Relations theory that focus on “informal
social aspects of workers who’s overriding need that seen as a desire
to belong, to be accepted by his/her work group’ (Chand, 2017). It
means here that the manager should encourage the formation of
groups as a supplementary to strengthen the formal organization, as
well as building a communication channel with worker. The last
features of Human Relations theory are participative management,
means that individual employee is involved in decision-making
process. In Human Relations theory, the involvement of individual
employees through their group and informal leader is the most crucial
part that was produce an effective decision whereby employees aware
what they might affected from the decision. Hence, Mayo introduced
‘Human relations theory’ to promote the idea that employee is human
and they should treated as a human being, and also it promotes
working as a group.
The main characteristics of human relations are as follows:
 Human relations are an important process through which an
individual’s attitude and work are integrated with a view to
achieving a willing cooperation on their part in the achievement
of the interests of an organization as a whole.
 Members of the organization contribute their bit to get
individual and group satisfaction.
 The satisfaction desired by employees may be economic, social
and psychological.
 Human relations in an organization are a process of improving
motivation by proper working condition, training programmes,
timely payment of wages and incentives etc.
 Human relations are an integrated approach derived from
different disciplines such as psychology, sociology, economics
and management.
 Human relations are all pervasive; they are required in business
and non-business organizations, small and large organizations,
and at all levels.
 Human relations are a continuous activity.
 Human relations are a goal-oriented and focused approach.
 CHAPTER 3- METHODOLOGY
The methods that was used were web-based methods. Internet
research was on done on the company Tata Steel; their workings,
values, organizational culture, HR practices and Tata Code of
Conduct. Research was also done human relation theory; Elton mayo,
features and characteristics.
 CHAPTER 4- RESULT
Tata Steel had a lot of similarities with the Human Relations Theory
developed by Elton Mayo.
 CHAPTER 5- DISCUSSION
The aim of the study was to compare human relations theory and the
workings of the company Tata Steel. It was found that Tata Steel
mostly worked in accordance with the human relation theory.
Nearly a century old Tata Iron and Steel Company Ltd (TISCO) more
popularly known as Tata Steel is one of the India’s oldest companies.
Since its inception, the company has focused on customers,
operational excellence, employee welfare, organizational leadership
and social responsibilities.
Human relations theory can be defined as a school of organizational
thought which focuses on worker satisfaction, informal workplace
organizations, and a means of influencing employee productivity. The
theory says that if employees feel important and being part of
something, they work hard and try to achieve personal as well as
company goals.
Human relations theory gave emphasis to human beings. In the
company Tata Steel, we see that importance is given to human beings
as well, more specifically their employees. They believe that their
employees are their greatest asset. Human relation theory gave
emphasis on employees and little on their productivity, whereas Tata
Steel increases productivity by keeping their employees motivated. It
was said that if they are respected and treated well, there would be
high productivity.
According to the theory each individual must give recognition and
appreciation to each individual in the workplace, which is exactly
what the company does. There are policies that ensure all decisions
relating to promotion, compensation and any other form of reward
and recognition are based entirely on merit. Various training
institutions for skill and competency are set up. At Tata Steel, each
individual is not just an employee but is considered a member of the
Tata family.
Human Relations theory encourages the formation of groups as a
supplementary to strengthen the organization, as well as building a
communication channel. The managers in the company also
encourages the formation of such groups. There are many committees
in place such as employee committee, welfare committee etc, to
improve renumeration and facilities. There are knowledge sharing
session to build workforce capability and there is continuous
emphasis on feel good initiatives to keep the morale high. Tata Steel
engages its workforce in celebrations of professional and personal
milestones, rewards and recognition events and team get together,
One of the features of human relations theory is that the satisfaction
desired by the employees may be economic, social and psychological.
In Tata Steel, the company tries to ensure that all its employees are
satisfied. It tries to ensure healthy employee relations, employee
growth and development as well as work satisfaction.
Thus, we can see that Tata Steel mostly follows human relation
theory.
 CHAPTER 6- CONCLUSION
This study found out that Tata Steel company mostly woks in
accordance with the human relation theory. In the opinion of the
researcher, other companies should take note from what the ‘Tata
Steel’ company is doing to increase adoption to their values and how
they can better communication their vision, identity, principles and
philosophy to their employees.
 CHAPTER 7- LIMITATIONS
Throughout this research, there was only 1 limitation identified. It is
related to the web-based methods. The views of the employees, were
gathered through internet research and not directly.
 REFERENCE
1. https://www.tatasteel.com/corporate
2. https://www.yourarticlelibrary.com/case-studies/tata-steel/case-
study-on-tata-steel-company/99559
3. https://www.yourarticlelibrary.com/human-resources/
4. https://www.academia.edu/12893864/
Ethics_in_Organizations_The_Case_of_Tata_Steel?sm=b