CHAPTER THREE

Group Behavior
 3.1 Foundations of Group Behavior
• Man is by nature a social animal.
• Organizations are a group of many professionals
working together to achieve a common goal.
• Different departments comprise of smaller
groups to work over a project/goal/ objective.
• The behavior of individuals in groups is
something more than the sum total of each
acting in his or her own way.
• In other words, when individuals are in groups,
they act differently than they do when they are
alone.
 Meaning of Group
• Group refers to two or more individuals
interacting and interdependent, who have
come together to achieve particular
objectives
 The Five-Stage Model of Group Development
1. Forming Stage
The first stage in group development, characterized by much
uncertainty
2. Storming Stage
The second stage in group development, characterized by intra-group
conflict
3. Norming Stage
The third stage in group development, characterized by close
relationships and cohesiveness
4. Performing Stage
The fourth stage in group development, when the group is fully
functional
5.Adjourning Stage
The final stage in group development for temporary groups,
characterized by concern with wrapping up activities rather than
performance
 Cont…
Stages of Group Development

Forming Storming Norming Performing Adjourning

 Uncertainty  Marked by  Marked by  Stage where  Involves the

about the conflict cooperation the group is termination
purpose,  Emotionally and fully of group
structure intense collaboratio functional activities;
and stage n disbandmen
leadership t
Cont…
 Formal

Status

Informal
Types of
Group
Large

Size

Small
 Formal Informal

Formally Established Occur Naturally

Work Assignments Friendships

Specific Tasks Common Interests

 Cont…
Formal Group
A designated work group defined by the organization’s
structure.
Informal Group
A group that is neither formally structured nor
organizationally determined; appears in response to the
need for social contact.
 Cont…
Command Group
A group composed of the individuals who report directly to
a given manager.
Task Group
Those working together to complete a job or task.
Interest Group
Those working together to attain a specific objective with
which each is concerned.
Friendship Group
Those brought together because they share one or more
common characteristics.
Security Status

Self-
Self- Why People Affiliation
Esteem Join Groups

Power Goals
 Cont…
• Security – by joining a group, individuals can reduce the
insecurity of “standing alone”.( Security Need)
• Status – inclusion in a group that is viewed as important
provides recognition & status for its members.(Social Need)
• Self-esteem – groups can provide people with feelings of self-
worth.(Esteem Need)
• Affiliation – groups can fulfill social needs.
• Power – what cannot be achieved individually often becomes
possible through group action. There is power in numbers.
• Goal Achievement – when there is a need to pool talents,
knowledge, or power in order to complete a job. In such
cases, management will rely on formal groups.
 Group Properties
The workgroup has properties that shape the
behavior of members. Some of these
properties are the following:
Roles
Norms
Status
Size
Cohesiveness
 Group Properties
Role
• The role is a set of expected behavior patterns
attributed to someone occupying a given position in
a social unit.
Norms
• Norms is an acceptable standard of behavior within
a group that are shared by the group members.
• It tells the member what they ought and ought not
to do under certain circumstances.
 Group Properties
Status
• It is socially defined position or rank is given to
group member by others other group members.
• It assesses the worth and respect accorded to an
individual by their fellow members
Size
• The size of a group affects the group’s overall
behavior.
• The size of the group can have impact on
performance
• Different tasks require different group size
 Cont…
Smaller group:
• They are faster at completing tasks .
• Those are better at doing something productive with
that input.
Large group:
• They are good for gaining diverse input.
 If the goal of the group is fact-finding, large groups
should be more effective.
 If the group engaged in problem-solving, large groups
consistently get better marks than their smaller
counterparts.
 Cont…
Cohesiveness:
• It is the degree to which members are attracted to each other
and are motivated to stay in the groups.
To encourage cohesiveness suggestions are given
below:
• Make the group smaller.
• Encourage agreement with group goals.
• Increase the time members spend together.
• Increase the status of the group
• Stimulate competition with other groups.
• Give a reward to the group rather than to individual member.
• Physically isolated the group.
Group Cohesiveness Vs Productivity
 Characteristics of Effective Groups
• Atmosphere is relaxed, comfortable, and friendly.
• Task to be executed are well understood and
accepted.
• Members listen well and actively participate in
given assignments.
• Assignments are made clear and are accepted.
• Group is familiar of its operation and function.
• People express their feelings and ideas openly.
• Consensus decision-making process is followed.
• Conflict & disagreement center regarding ideas
or method.
 Group Decision-Making
• Group decision-making commonly known as
collaborative decision-making.
• It is a situation faced when individuals
collectively make a choice from the
alternatives before them.
• The decision is then no longer attributable to
any individual group member as all the
individuals and social group processes like
social influence contribute to the decision
outcome.
 Advantages of Group Decision-Making
Synergy
• The whole is greater than the aggregate of its
parts.
• When a group makes a decision collectively, its
judgment can be powerful than that of any of its
members.
Sharing of Information
• Group decisions take into account a wider scope
of information as each group member may
contribute distinct information and expertise.
• Sharing information increases understanding,
clarifies issues, and facilitates movement towards
a collective decision.
 Disadvantages of Group Decision-Making
Diffusion of Responsibility
• Distribution of responsibility that results in the
accountability for outcomes. In this way, everyone is
responsible for a decision, and no one really is.
• Make it easier for members to refuse personal
responsibilities and blame others for bad decisions.
Lower Efficiency
• Group decisions can sometimes be less efficient than
individual decisions. It takes additional time because
there is a need of active participation, discussion, and
coordination among group members.
• Without good facilitation and structure, meetings can
be dominated by few members.
 Cont…
Groupthink
• It is a psychological phenomenon that occurs
within a group of people in which the wish for
harmony or conformity results in an illogical or
dysfunctional decision-making outcome.
• By refraining themselves from outside influences
and actively suppressing opposing viewpoints in
the interest of minimizing conflict, group
members reach a consensus decision without
critical evaluation of substitute viewpoints.
• Groupthink sometimes produces dehumanizing
actions against the out-group.
 3.2 Communication
Communication is the process by which
information is exchanged and understood by
two or more people, usually with the intent to
motivate or influence behavior.
 Cont…
For an organization to function, individuals
and groups must carefully coordinate their
efforts and activities.
communication is the key to these
attempts at coordination.
Communication is the social glue ... that
continues to keep organizations tied
together
 Organizational effectiveness depends
upon the quality of communication
Process of Communication
 Defining Group Communication
The interaction of three or more
interdependent members working to achieve a
common goal
Components of Group Communication
 Defining Group Communication
Three or more members
• Why is three the minimum size for a group?
• How are groups limited when there are less than 5
members?
• How are groups limited when there are more than 12
members?
• What is the ideal size for a problem-solving group?
 Defining Group Communication
Interaction
• Group members use verbal and
nonverbal messages to generate
meanings and establish relationships.
• Group communication requires
interaction.
 Defining Group Communication
Common Goal
• Defines and unifies a group
• A clear, elevated goal:
– separates successful from unsuccessful groups
– guides action
– helps set standards
– helps resolve conflict
– motivates members
 Defining Group Communication
Interdependence
• Each group member is affected and
influenced by the actions of other members.
Working
• Group members work together to achieve a
common goal.
 Organizational Communication
• Formal Communication Channels = flow
within the chain of command.
Downward communication
Upward communication
Horizontal communication
• Informal communication channels
 Downward Communication
1. Implementation of goals, strategies, and
objectives
2. Job instructions and rationale
3. Procedures and practices
4. Performance feedback
5. Indoctrination.
 Upward Communication
1. Problems and exceptions
2. Suggestions for improvement
3. Performance reports
4. Grievances and disputes
5. Financial and accounting information
 Horizontal Communication
1. Intradepartmental problem solving
2. Interdepartmental coordination
3. Staff advice to line departments.
 Informal Communication Channels
• Management by wandering around (MBWA)
• The Grapevine (informal, personal, unofficial)
 Managing Organizational Communications
• Barriers to communication
• Managing organization communications
 Barriers to Communication
• Interpersonal barriers
- Selecting the wrong channel for sending a
message
- Semantics
- Sending inconsistent cues between verbal
and nonverbal.
 Cont…
Organizational Barriers
• Status and power differences between lower
and higher levels
• Differences across departments of needs and
goals
• The communication flow may not fit the
group's or organization's task
• Formal channels may not be available for
upward, downward, and horizontal
communications.
 Overcoming Communication Barriers
• Individual Skills
- Active listening
- Select the appropriate channel for the message
- Make a special effort to understand each other's
perspective
 Cont…
• Organizational Actions
- Create a climate of trust and openness
- Develop and use formal information channels in all
directions
- Encourage the use of multiple channels including
formal and informal communications
- The organizational structure should fit
communication needs.
 Potential influences
• Body Language/ Non- • Attitudes
Verbal Communication • Stress
• Language used • Clarity
• Existing knowledge • Culture
• Assumptions • Listening skills
• Context • Writing skills
• Memory
 3.3 Leadership, Power & Politics
Leadership
o It is the process by which a person use influence
over others and motivates and directs their activities
to achieve group or organizational goals.
Leader
o An individual who is able to employ influence over
other people to help achieve group or organizational
goals
 Cont…
Power
o Ability to get someone else to do something you
want done or make things happen the way you
want
o Power should be used to influence and control
others for the common good rather seeking to
exercise control for personal satisfaction
Sources of Leadership Power
 Cont…
Reward Power - agent’s ability to control the
rewards that the target wants
Coercive Power - agent’s ability to cause an
unpleasant experience for a target
Legitimate Power - agent and target agree that
agent has influential rights, based on position and
mutual agreement
Referent Power - based on interpersonal attraction
Expert Power - agent has knowledge target needs
 Cont…
• Two sources of managerial power:

Position
power Personal
power
 Cont…
Position Power
• Based on a manager’s official status in the
organization’s hierarchy of authority
Sources of Position Power:
Reward power Coercive power Legitimate power
• The ability of a • Capability to punish or • Organizational
manager to give or withhold positive position or status
withhold tangible and outcomes confers the right to
intangible rewards. control those in
subordinate positions
 Cont…
Personal power
• Based on the unique personal qualities that a
person brings to the leadership situation

Sources of Personal Power:

Expert power Referent power
• Capacity to influence others • Capacity to influence others
because of one’s special because they admire you and
knowledge and skills want to identify positively
with you
 Key Leadership Variables
o Characteristics of the leader
o Characteristics of the followers
o Characteristics of the situation
 Leadership Process
• Creates uncertainty
• Creates change
• Components
Setting organizational direction
Align people with the direction via
communication
Motivate people to action
• Empowerment
• Need gratification
Leader Vs Boss
 3 Main Types of Leadership Styles
1. The Autocratic or Authoritarian Leader
2. The Democratic or Participative Leader
3. The Laissez-faire or Delegative Leader
 2 Other Styles
• The Charismatic Leader
• The Servant Leader
 The Autocratic or Authoritarian Leader
• Given the power to make decisions alone, having total
authority.
• Closely supervises and controls people when they perform
certain tasks.
 The Democratic or Participative Leader
• Includes one or more people in the decision
making process of determining what to do and
how to do it.
• Maintains the final decision making authority.
 The Laissez-faire or Delegative Leader
• Laissez-faire is a French phrase meaning “let do”
• Allows people to make their own decisions.
• Leader is still responsible for the decisions that are
made.
• This style allows greater freedom and responsibility for
people.
• However, you need competent people around you or
nothing will get done.
 The Charismatic Leader
• Leads by creating energy and eagerness in people.
• Leader is well liked and inspires people.
• Appeals to people’s emotional side.
 The Servant Leader
• The highest priority of
this leader is to
encourage, support and
enable people to fulfill
their full potential and
abilities.
• Helps people achieve
their goals.
• Works for the people.
 Organizational politics
•Organizational politics involves adopting
either informal, unofficial or behind-the-scene
efforts in order to sell ideas, influence an
organization, increase power, or achieve other
targeted objectives.

• Simply put, it is the pursuit of individual

agendas and groups-interest in an
organization without regard to the resulting
effect on the organization’s efforts to achieve
its goals.
 Cont…
•The term “politics” has been described as a
social process characterized by activity
involving rivalry and cooperation in the
exercise of power and culminating in
decisions making for a group.
 Nature of Organizational Politics
•Politics are a part of organizational life,
because organizations are made up of
different interests that need to be aligned.
• Typically, organizations often have limited resources
that must be allocated in some way.
• Individuals and groups within the organization may
disagree about the allocation of those resources.
• Subsequently, they are inclined to gain those
resources for themselves or their interest groups,
which ultimately gives rise to organizational politics.
 Factors Contributing to Political Behavior
Individual Factors
•High Self-monitor
•Internal Locus of Control
•Organizational Investment
•Perceived Job alternatives
•Expectation of Success

Political
Behavior
Organizational Factors
•Reallocation of Resources
•Promotion opportunities
•Low trust
•Role ambiguity
•Unclear performance & evaluation system
•Zero-sum reward practice
•Democratic decision making
 Political Tactics
 Attacking or blaming others.

 Using information as a political tool

 Creating a favorable image.

 Developing a base of support.

 Praising others (ingratiation).

 Forming power coalitions with strong allies.

 Associating with influential people.

 Creating obligations (reciprocity).

 Consequences of Organizational Politics

Organizational politics may give rise to:-

• Threatened employees

• Decreased job satisfaction

• Anxiety

• Stress

• Reduced performance level

 Overcoming Ineffective Organizational Politics
•Effective politics is not about winning at all costs, but
it is about maintaining relationships while achieving
results.

These results can be achieved in 4 steps:

o Create a Thematic Goal
o Create a Set of Defining Objectives
o Create a Set of Ongoing Operating Objectives
o Create Metrics to Measure Them
 Positive Effects of Organizational Politics
• Although organizational politics has been deemed an
antisocial behavior, it in fact acts as a positive tool.

• Positive organizational politics results from the

amalgamation of shared goals and stimulating
collaborations which serves as a social function that is
important for organizations to survive.
 Cont…
•Positive organizational politics moderates the
relationship between employee engagement and
behaviors such as:
Knowledge sharing
Creativity

 Pro-activity

 Adaptivity
3.4 Conflict, Negotiations, & Inter group behavior
Organizational Conflict
A process that occurs when a person or group
believes that others have or will take action that is
at odds with their own goals and interests.
 Views on Conflict
A. Traditional View
The early approach to conflict
It assumes all conflict was bad; conflict is viewed
negatively
Seen as a dysfunctional outcome resulting from
poor communication, lack of openness & trust
between people, and the failure of mangers to be
responsible to the needs & aspirations of their
employees.
All conflicts assumed to be avoided
 Cont…
B. Human Relations View
Conflict is considered as natural occurrence in all
groups & organization
It can not be eliminated
There are times even when conflicts are benefits
for group’s performance
 Cont…
C. The Interactions View
Encourages conflicts on the grounds that a
harmonious, peaceful & cooperative group is
prone to becoming static, apathetic, & non-
responsive to needs for change & innovation
 Functional & Dysfunctional Conflict
Functional Conflict
oConstructive form of conflict
oSupports the goals of the group
oImproves performance
oStimulate innovation & change
oFacilitates employee motivation
oHelp individuals & group members grow &
develop self identity
 Cont…
Dysfunctional Conflict
oDestructive form of conflict
oCan have negative consequences for both
individuals & organization
oDivert energies away from performance & goal
attainment
oRequire resolving the conflict
 Types of Conflict
Task Conflict
Conflict regarding the goals & content of the
work
Process Conflict
When the parties agree on the goals & content
of work, but disagree on how to achieve the goals
& actually do the work
Relationship Conflict
Conflicts that occurs when the parties have
interpersonal issues
 Levels of Conflict
Intrapersonal Conflict
Conflict within one person
Self conflict or conflict with oneself
Interpersonal Conflict
It is conflict between two individuals who disagree on
some matters
Intergroup Conflict
Conflict between groups
Inter-organizational Conflict
It is the disputes between two companies in the same
industry
 Organizational Sources of Conflict

Group Differences in
Identification Power, Status,
Culture

Conflict

Competition over
Ambiguity over
Scarce Resources Jurisdiction
 Interpersonal Causes of Conflict

Faulty
Faulty
Attribution
Communication

Conflict

Competitive
Reward Personal
Systems Characteristics
 Costs & Benefits of Conflict
Costs of Conflict Benefits of Conflict
• Negative emotions and • Discussion of problems
stress • Basis for change
• Stereotyping • Increase in motivation
• Faulty decision making and loyalty
 Managing Conflict
• Bargaining & Negotiation - the process in
which the parties in dispute make offers and
counter offers
• Mediation and Arbitration - third party
intervention
• Super ordinate Goals -commonality is seen in
goals and the solution is greater than either
parties’ initial goal
 Five Conflict-Handling Styles

High Integrating Obliging

Concern for Others

Compromising

Low Dominating Avoiding

High Low
Concern for Self
 Cont…
• Integrating
– Interested parties confront the issue and
cooperatively identify the problem, generate and
weigh alternative solutions, and select a solution
– Appropriate for complex issues plagued by
misunderstanding
• Obliging (Smoothing)
– Tends to minimize differences and highlight
similarities to please the other party
– Appropriate when it is possible to get something
in return
 Cont…
• Dominating (Forcing)
– Relies on formal authority to force compliance
– Appropriate when an unpopular solution must be
implemented
• Avoiding
– Involves either passive withdrawal from the problem
or active suppression of the issue
– Appropriate for trivial issues
• Compromising
– Give-and-take approach involves moderate concern
for both self and others
– Appropriate when parties have opposite goals
 The Conflict Process
Stage 1. Potential opposition or Incompatibility
o The first step in the conflict process
o The presence of conditions that create
opportunities for conflict to arise
Stage 2. Cognition & Personalization
o Conflict is perceived
o Individuals become emotionally involved
o Parties experience anxiety & tension
 Cont…
Stage 3. Behavior
o Conflict become visible
o Includes the statement, action & reactions made
by the conflicting parties
o Usually overt attempts to implement each party’s
intension
Stage 4. Outcomes
o The action-reaction interplay between the
conflicting parties results in consequences
o The outcome could be functional or
dysfunctional
 Negotiations
• It is a give-and-take decision-making process
involving interdependent parties with different
preferences.
• It is the process in which two or more parties
exchange goods or services and attempt to agree
on the exchange rate for them.

• Negotiation is a method by which people settle

differences. It is a process by which compromise
or agreement is reached while avoiding
argument and dispute.
 Characteristics of Negotiations
• Two or more parties are involved.
• There exists a perceived conflict of interest between
those parties.
• Parties chose to negotiate because they believe they
can influence each other to get a better deal.
• Parties prefer to work together for resolution rather
than fight.
• Parties expect to experience “give and take” during
their negotiations as each side compromises positions.
• Parties expect that negotiations will allow them to
manage both the “tangibles” and the “intangibles”
contained in their issues.
 Barriers to Successful Negotiations
• Parties may not be open about their desired
outcomes.
• Parties may not be clear in their own minds about
what they actually want to accomplish with their
proposals.
• Parties may not reveal all of the truth regarding their
positions to each other.
• Parties may not be willing to believe all that they
hear from each other.
• Parties may not have the right negotiators.
• Parties may not be ready to settle.
 Aim of Negotiation
• To reach a desired and durable result by including
the interests of both parties

• To reach agreement efficiently and fairly using talents

of all participants to solve problems

• To develop a shared sense of satisfaction from

working together successfully
 Stages of Negotiation
Stage1. Preparation
Stage 2. Discussion
Stage 3. Clarification of goals
Stage 4. Negotiate towards a Win-Win outcome
Stage 5. Agreement
Stage 6. Implementation of a course of action
 Stages of Negotiation
Stage1. Preparation
Before any negotiation takes place, a decision needs to
be taken as to when and where a meeting will take
place to discuss the problem and who will
attend. Setting a limited time-scale can also be
helpful to prevent the disagreement continuing.

Stage 2. Discussion
During this stage, individuals or members of each side
put forward the case as they see it, i.e. their
understanding of the situation.
 Stages of Negotiation
Stage 3. Clarification of goals
• From the discussion, the goals, interests and
viewpoints of both sides of the disagreement need
to be clarified.

Stage 4. Negotiate towards a Win-Win outcome

This stage focuses on what is termed a 'win-win'
outcome where both sides feel they have gained
something positive through the process of
negotiation and both sides feel their point of view
has been taken into consideration.
 Stages of Negotiation
Stage 5. Agreement
Agreement can be achieved once understanding of
both sides’ viewpoints and interests have been
considered.

Stage 6. Implementation of a course of action

From the agreement, a course of action has to be
implemented to carry through the decision.
 Key elements of Successful Negotiations
1. Attitudes
o All negotiation is strongly influenced by underlying
attitudes to the process itself, for example attitudes to
the issues and personalities involved in the particular
case or attitudes linked to personal needs for
recognition.
2. Knowledge
o The more knowledge you possess of the issues in
question, the greater your participation in the process
of negotiation. Good preparation is essential.
3. Interpersonal Skills
o Good interpersonal skills are essential for effective
negotiations, both in formal situations and in less
formal or one-to-one negotiations.
CHAPTER FOUR
The Organization System and
Dynamics
 4.1. Foundations of Organization Structure
• Organizational Structure defined how job
tasks are formally divided, grouped, and
coordinated.
• There are six key elements that managers
need to address when they design their
organizational structure.
 Cont…
Key Elements of Organizational structure:
1. Work specialization
2. Departmentalization
3. Chain of command
4. Span of control
5. Centralization and decentralization
6. Formalization
 1. Work Specialization
• The degree to which tasks in the organization
are subdivided into separate jobs
• Division of Labor
– Makes efficient use of employee skills
– Increases employee skills through repetition
– Less between-job downtime increases
productivity
– Specialized training is more efficient
– Allows use of specialized equipment
• Can create greater economies and efficiencies
 2. Departmentalization
Functional

Product
Major
Types
of Customer
Department
Organization
Geographic

Process
© 2005 Prentice Hall Inc. All
rights reserved.
 3. Chain of Command
• Authority
– The rights inherent in a managerial position to
give orders and to expect the orders to be obeyed
• Chain of Command
– The unbroken line of authority that extends from
the top of the organization to the lowest echelon
and clarifies who reports to whom
• Unity of Command
– A subordinate should have only one superior to
whom he or she is directly responsible
 4. Span of Control
• The number of subordinates a manager can
efficiently and effectively direct
– Wider spans of management increase organizational
efficiency
– Narrow span drawbacks:
• Expense of additional layers of management
• Increased complexity of vertical communication
• Encouragement of overly tight supervision and discouragement of
employee autonomy
 5. Centralization and Decentralization
• Centralization
– The degree to which decision making is
concentrated at a single point in the organization.
• Decentralization
– The degree to which decision making is spread
throughout the organization.
 6. Formalization
• The degree to which jobs within the
organization are standardized.
– High formalization
• Minimum worker discretion in how to get the job done
• Many rules and procedures to follow
– Low formalization
• Job behaviors are nonprogrammed
• Employees have maximum discretion
 Organizational Designs & Employee Behavior
• Work specialization contributes to higher employee
productivity, but it reduces job satisfaction.
• The benefits of specialization have decreased rapidly as
employees seek more intrinsically rewarding jobs.
• The effect of span of control on employee performance
is contingent upon individual differences and abilities,
task structures, and other organizational factors.
• Participative decision making in decentralized
organizations is positively related to job satisfaction.
 4.2. Technology, work design and stress
Technology
• It is how an organization transfers its inputs into outputs.
• It is the application of scientific knowledge for practical
purposes, especially in industry
Characteristics of routine (standardized or customized) in
activities:
•Routine technologies are associated with tall,
departmentalized structures and formalization in
organizations.
•Routine technologies lead to centralization when
formalization is low.
•Non-routine technologies are associated with delegated
decision authority.
 What is Stress ?
• Stress is the reaction people have to excessive
pressures or other types of demand placed upon
them. It arises when they worry that they can’t
cope.
• Stress is the “wear and tear” our minds and
bodies experience as we attempt to cope with
our continually changing environment

•S = P > R
• Stress occurs when the pressure is greater than
the resource
 STRESS FEELINGS
• Worry
• Tense
• Tired
• Frightened
• Elated
• Depressed
• Anxious
• Anger
TYPES OF STRESSORS
• External

• Internal
 EXTERNAL STRESSORS
• Physical Environment
• Social Interaction
• Organisational
• Major Life Events
• Daily Hassles
 PHYSICAL ENVIRONMENT
• Noise
• Bright Lights
• Heat
• Confined Spaces
 ORGANISATIONAL
• Rules
• Regulations
• “Red - Tape”
• Deadlines
 TYPES OF STRESS
• Negative stress

• Positive stress
 NEGATIVE STRESS
It is a contributory factor in minor conditions,
such as headaches, digestive problems, skin
complaints, insomnia and ulcers.
 Excessive, prolonged and unrelieved stress
can have a harmful effect on mental, physical
and spiritual health.
 POSITIVE STRESS
Stress can also have a positive effect, spurring
motivation and awareness, providing the
stimulation to cope with challenging
situations.
 Stress also provides the sense of urgency
and alertness needed for survival when
confronting threatening situations.
 Stress at Work
Work provides an income and fulfils a variety
of other needs; - mental and physical exercise,
social contact, a feeling of self-worth and
competence.
 Factors Influencing Work Stress
• The drive for success
• Changing work patterns
• Working conditions
• Overwork
• Under-work
• Uncertainty
• Conflict
• Responsibility
• Relationships at work
• Change at work
 Stress Management Techniques
• Change your thinking

• Change your behaviour

• Change your lifestyle

 Change your Thinking
• Re-framing
• Positive thinking
 Re-framing
• Re-framing is a technique to change the way
you look at things in order to feel better about
them. There are many ways to interpret the
same situation so pick the one you like. Re-
framing does not change the external reality,
but helps you view things in a different light
and less stressfully.
 Positive Thinking
Forget powerlessness, dejection, despair, failure
Stress leaves us vulnerable to negative
suggestion so focus on positives;
• Focus on your strengths
• Learn from the stress you are under
• Look for opportunities
• Seek out the positive - make a change
 Change your Behaviour
• Be assertive
• Get organised
• Ventilation
• Humour
• Diversion and distraction
 Change Your Lifestyle
• Diet
• Smoking & Alcohol
• Exercise
• Sleep
• Leisure
• Relaxation
 4.3. Organizational culture
What is Culture?

 Commonly held values within a group of people

 Set of norms, customs, values, and assumptions

 Guides behaviors

 Makes a group unique

 Makes a group different from other groups

 Cont…
What is Organizational Culture?
 The values and behaviors that individuals in the
organization exhibit and the meanings that people
attach to their actions
 Includes values, visions, norms, systems, beliefs &
habits, attitudes, written and unwritten rules,
interactions with outside world, and future
expectations
 Shown in the way the organization conducts its
business, treats employees, volunteers, clients,
and the community
 Affects productivity, performance and interactions
 Cont…
• Organisational culture refers to “the way” in which
tasks are completed, and organisational climate
relates to “how it feels” to work in that organisation
• Interpersonal relationships are core to the
development of an organisation’s climate
• Climate is prone to more variability across the
organisation, with climate varying between different
subsidiaries, departments or units
• Organisational culture is very difficult to change in a
short period of time
• Organisational climate has a more immediate impact
on employees and is something which can be adjusted
more easily than organisational culture
 Cont…
• A healthy organisational climate is one where support, cooperation
and democratic decision-making are strong and contribute towards
greater work effectiveness

• Stressful organisational climates are characterised by limited

participation in decisions, use of punishments, conflict avoidance
and non-supportive group and leader relations

• A variety of dimensions have been found to impact on employees’

perceptions of organisational climate, these include:
– Support
– Fairness
– Autonomy
– Recognition
– Trust
 Components of Organizational Culture
Routine ways of communicating
Norms shared by individuals and teams
Dominant values held by an organization
Guiding philosophy for management’s policies
and decision making
Rules of the game for getting along in the
organization
Climate of the organization
 Cont…
What are Core Values?
• The core values of an organization are those values
we hold which form the foundation on which we
perform work and conduct ourselves.
• In an ever-changing world, core values are constant.
• Core values are not descriptions of the work we do
or the strategies we employ to accomplish our
mission. The values underlie our work, how we
interact with each other, and which strategies we
employ to fulfill our mission.
• Core values are the basic elements of how we go
about our work. They are the practices we use (or
should be using) every day in everything we do.
 Core Values - Examples
• Professionalism • Flexibility/Adaptability
• Creativity/Innovation • Respect
• Customer Focus • Honesty
• Teamwork • Courage
• Open Minded • Trust
• Integrity • Positive Attitude
• Strong Work Ethic • Passion
• Enthusiasm • Problem Solving
• Dedication • Respect
• Creative Problem • Accountability
Solving
 Types of Organisational Culture
Strong Culture Weak Culture
A clear philosophy with regard to how the No clear philosophy exists to guide how
business is operated the business should operate
Emphasis on the communication of core Core values are not clearly defined or well
values and beliefs of the organisation communicated
The existence of statements, symbols and
Few if any indicators of the values and
traditions which explicitly describe the
traditions of the organisation
values of the organisation
Only limited or no evidence of alignment
A shared sense of values and norms of
between the way things are done and the
behaviour exist among members
espoused values of the organisation
Attention is paid to the importance of
maintaining organisational culture when No efforts made to retain organisational
recruiting new employees, for example culture and a greater need for procedures
selection of new members involves and policies in order to get to achieve
screening to ensure they fit with the desired results
culture
 Subcultures
A subculture is one which holds the core assumptions of the
dominant culture, as well as supplementary assumptions unique
to members of that particular section of the organisation

Subcultures tend to develop in different sections of the

organisation - for example, different departments or geographic
locations - and reflect common issues faced by members of
those sections

The larger an organisation grows, the more diffused the

culture becomes and this typically results in more subcultures
Layers of Organizational Culture

Cultural
Symbols

Shared
Behaviors

Cultural
Values

Shared
Assumptions
Methods of Maintaining Organizational Culture

Methods of Maintaining Organizational Culture

•What managers and teams pay attention to
•Reactions to organizational crises
•Managerial role modeling
•Criteria for rewards
•Criteria for selection and promotion
•Organizational rites, ceremonies, stories

Recruitment of Removal of
employees who Organizational employees who
fit the culture Culture deviate from
the culture
 Process of Changing Organizational Culture
 Understand the old culture first
 Support employees and teams who have ideas for a better
culture and are willing to act on those ideas
 Find the most effective subculture in the organization and
use it as a model
 Help employees and teams do their jobs more effectively
 Use the vision of a new culture as a guide for change
 Recognize that significant cultural change takes time
 Live the new culture
 Organizational Uses of Culture
Organizational culture has the potential to enhance
organizational performance, individual satisfaction,
and a variety of expectations, attitudes, and
behaviors in organizations
If an organization’s culture is not aligned with the
changing expectations of internal and/or external
stakeholders, the organization’s effectiveness can
decline
Organizational culture and performance are
related, although the evidence regarding the exact
nature of this relationship is mixed
 Cont…
Organizational culture affects employee behavior
and performance
Assessing which attributes of an organization’s
culture need to be preserved and which ones need
to be modified is a constant organization need
 Relationship Between Culture & Performance
Organizational culture can have a significant impact
on a firm’s long-term economic performance
Organizational culture will probably be an even more
important factor in determining success or failure of
firms during the next decade
Organizational cultures that inhibit strong long-term
financial performance are not rare; they develop
easily, even in firms that are filled with reasonable
and intelligent people
 Cont…
Although tough to change, organizational cultures
can be made more performance enhancing if
managers understand what sustains a culture
 Culture Change
• Organisational culture is difficult to change, or at the
very least, cultural change takes a long time to
achieve
• Culture is developed, transmitted and reinforced
through a system of rituals, communications,
symbols and values. These facets of an organisation
are deep rooted, and therefore require enormous
effort to change
• While organisational changes affect the culture of
the organisation, the existing culture also affects or
constrains the process and impact of any changes
 4.4. Organizational change and development
Organizational change
• It refers to the actions in which a company or
business alters a major component of its
organization, such as its culture, the underlying
technologies or infrastructure it uses to operate,
or its internal processes.
• Change is the alteration of status quo or making
things different than before.
• Change is the disturbance of equilibrium
presently prevailing.
• It is any alternation that occurs in the overall
work environment of an organization.
 Cont…
• Change is a part of life and provides opportunity
for growth.
• It is a conscious decision by the management of
organization.
 What is Organizational Development?
• It is the application of social science
techniques to plan change in organizational
settings for the purpose of enhancing
organizational effectiveness and the
development of individuals.
• A planned system wide effort, managed from
the top with the assistance of a change agent,
that uses behavioural science knowledge to
improve organizational effectiveness.
 Types of Organizational changes
1. Reactive Changes:
• Reactive changes occur when forces compel
organization to implement change without delay. It
occurs when demands made by the forces are
compiled in a passive manner.
2. Proactive Changes:
• Proactive changes occur when some factors make
realize organization think over and finally decide that
implementation of a particular change is necessary.
Then, the change is introduced in a planned manner.
 Cont…
o Reactive change involves a reflexive behavior
whereas proactive change involves purposive
behavior.
o Reactive change covers a limited part of the system
but proactive change co-ordinates the various parts
of the system as a whole.
o While reactive changes respond to immediate
symptoms, proactive changes address to under­lying
forces creating symptoms.
 Cont…
1. Planned Change
- It is a change resulting from a deliberate decision to
alter the organization

2. Unplanned Change
- It is a change that is imposed on the organization and
is often unforeseen
 Forces of Change
1. External Reasons
• Government Rules and Regulations
• Competition
• Technological Advances
• Change in People Requirements
o Globalization
o Change in Business/Market Conditions
o Change in resource availability
o Change in political situation
 Cont…
2. Internal Reasons
o Change in Leadership
• Introducing New Technology
• The Domino Effect-The domino effect means one
change triggers off a series of related changes
• For Meeting Crises
• Organizational Life-Cycle
• Organizational structure change
• Organizational climate change
• Change in organizational goals
 Scope of Change
Incremental Change - change of a relatively
small scope, such as making small
improvements
Strategic Change - change of a larger scale, such
as organizational restructuring
Transformational Change - change in which the
organization moves to a radically different,
and sometimes unknown, future state
 The Change Agent’s Role
Change Agent - the individual or group who
undertakes the task of introducing and
managing a change in an organization
 Internal Change Agents

Advantages Disadvantages
 Know past history,  May be associated

political system, and with factions, accused

culture of favoritism
 Must live with  May be too close to

results of change so the situation to be

will move carefully objective
 External Change Agents
Disadvantages
Advantages  Limited knowledge of
 Outsider’s objective organization’s history
view  May be viewed with
 Impartiality suspicion
 Resistance to Change
Resistance to Change Change:: an emotional/
behavioral response to real or imagined work
change.
The leading reasons why people resist change
are:
• Fear of the unknown
• Fear of loss status
• Fear of failure
• Disruption of interpersonal relationships
 Cont…
• Personality conflicts
• Politics
• Cultural assumptions and values
• Peer pressure
• Disruption of cultural traditions and/or
group relationships
• Personality conflicts
• Lack of tact and/or poor timing
• Non-reinforcing reward systems
 Overcoming Resistance to Change
• Education & communication
– details
– rationale
• Participation in the process
– ownership
– commitment
• Empathy and support
• Facilitation & support
• Negotiation
• Manipulation & Cooptation
• Coercion