SYLLABUS

Course Title : ORGANIZATIONAL BEHAVIOUR

Course Code : MCOS-24
Course Credit :3

COURSE OBJECTIVES (CO)

CO1. Enable the learners’ basic aspects of organizational behaviour in
current scenario
CO2. Help learners’ perceptions, learning, attitude and approaches of
the organization
CO3. Furnish personality and motivation
CO4. Discuss the appropriate organizational structure and change to
the organisation
CO5. Improve the ability of learners in the concept of leadership and
communication which are essential to the growth of the
organization

COURSE SYLLABUS

BLOCK I: Introduction to Organizational behavior

Organizational behavior - Definition, Nature and Importance Historical
Background of Organizational Behaviour - Relationship between
Organizational Behaviour and the individual - theoretical framework
(Cognitive, behaviouristic and cognitive) Limitations of Organizational
Behaviour – cotemporary development in OB

BLOCK II: Perception, Learning and Attitude

Perception - importance and factors influencing Perception,
Interpersonal Perception - Learning – Classical, Operant & Social
Cognitive Approaches, Managerial Implications - Emotions – Emotional
Intelligence - Attitudes – Values and Attitudes, Behaviour Relationship –
Sources, Importance, Components of Attitude - Relationship Between
Behaviour and Attitude - Job Attitude - Barriers to Change Attitude

BLOCK III: Personality & Motivation

Personality – Types-Factors Influencing Personality Theories – Trait
Theories – Big Five Personality Model - Significant Personality Traits
Suitable to the Workplace (Personality & Job Fit Theory) Personality
Test & Their Practical Applications - Motivation – Definition & concept of
Motive & Motivation- Theories of Motivation - Contemporary Theories –
Equity Theory of work motivation.
BLOCK IV: Organizational Change
Organizational Structure Formation – groups in Organizations - Influence
Group Dynamics - Organizational Change – Meaning, Definition and
Nature of Organizational Change - Types of organizational change -
Resistance to Change - Overcome the Resistance to Change -
approaches to Organizational Change - Kurt Lewins three step model -
Kottlers 8 steps plan for implementing change

BLOCK V: Leadership & Communication

Leadership – Concept of Leadership, Styles and Trait Approach -
Contingency Approach Contemporary Leadership - Meaning and
Significance - Communication – Function, Process and Barriers - Stress
Management – Stressors in Work Place – Managing Workplace Stress

REFERENCES
1. Aswathappa, Organizational Behaviour, Himalaya Publishing
House, Mumbai
2. Ghanekar,Anjali, Organizational Behaviour, Everest Publication
3. Mishra, Organizational Behaviour, Vikas Publishing House Pvt Ltd.,
New Delhi
4. Pardeshi.P.C . Organizational Behaviour, Everest Publication
5. Prasad, Organizational Behaviour, Sultan Chand & Sons, New
Delhi
6. Robbins&Stephen, Organizational Behaviour, Pearson Publication
7. Sekaran, Organizational Behaviour, Text & Cases Tata McGraw
Hill
8. Uma Sekaran, Organizational Behaviour, Tata McGraw Hill
WEB RESOURCES
1. Organizational Behavior | Download book (freebookcentre.net)
2. BUS 727 Organisational behaviour.pdf (nou.edu.ng)
3. ORGANIZATIONAL BEHAVIOUR - Bing video
COURSE OUTCOMES (CLO)
On completion of this course, learners would be able to:
CO1. Gain a comprehensive understanding of the concept of
Organizational Behaviour and Relationship to other fields
and Learning.
CO2. Develop the knowledge the Attitude, changing of attitude and
aspects of learning and personality
CO3. Demonstrate knowledge and understanding of the methods
used to assess personality and motivation theory.
CO4. Discuss change management as it functions in
organizational behaviour and organizational structure and
change
CO5. Improve their ability in leadership and communication which
operates in organizational behaviour
BLOCK CONTENTS PAGE
/UNIT
BLOCK I INTRODUCTION TO ORGANIZATIONAL
BEHAVIOUR
UNIT 1 ORGANIZATIONAL BEHAVIOUR - 2
CHARACTERISTICS, ELEMENTS AND
IMPORTANCE
1.1 Organizational Behaviour – Meaning and 3
Definitions
1.2 Characteristics of Organizational Behaviour 3
1.3 Elements of Organizational Behaviour 7
1.4 Importance of Organizational Behaviour 8
UNIT 2 HISTORICAL BACKGROUND OF 14
ORGANIZATIONAL BEHAVIOUR
2.1 Classical Era 15
2.2 Behavioural Era 21
2.3 System Theory Management 23
UNIT 3 APPROACHES AND MODELS TO 28
ORGANIZATIONAL BEHAVIOUR
3.1 Approaches to Organizational Behaviour 29
3.2 Relationship with other Fields 30
3.3 Relationship with OB and an Individual 33
UNIT 4 FRAMEWORK/MODELS OF ORGANIZATIONAL 37
BEHAVIOUR
4.1 Framework of Organizational Behaviour 37
4.2 Limitations of Organizational Behaviour 39
BLOCK II PERCEPTION, LEARNING AND ATTITUDE
UNIT 5 PERCEPTION 44
5.1 Perception – Meaning and Definitions 45
5.2 Nature of Perception 46
5.3 Importance of Perception 46
5.4 Factors Influencing Perception 48
5.5 Issues Involved in or Barriers to Perception 51
5.6 Ways for Improving Perceptual Skills 54
5.7 Interpersonal Perception 55
UNIT 6 LEARNING 58
6.1 Learning - Meaning and Definitions 59
6.2 Characteristics of Learning 59
6.3 Factors Affecting Learning 61
6.4 Principles of Learning 63
6.5 Learning Theories 65
6.6 Managerial Implications of Learning 72
UNIT 7 EMOTIONS AND EMOTIONAL INTELLIGENCE 76
7.1 Emotions – Meaning and Definitions 77
7.2 Components of Emotions 77
7.3 Types of Emotions 78
7.4 Functions of Emotions 79
7.5 Emotional Intelligence – Meaning and Definitions 81
7.6 Difference between EQ and IQ 82
7.7 Importance of Emotional Intelligence 82
UNIT 8 ATTITUDES AND VALUES 86
8.1 Attitudes – Meaning and Definitions 88
8.2 Components of Attitude 88
8.3 Characteristics of Attitude 90
8.4 Importance of Attitude 91
8.5 Formation/Sources of Attitudes 92
8.6 Types of Attitudes 94
8.7 Attitude and Organizational Behaviour 95
8.8 Values – Meaning and Definitions 96
8.9 Types of Values 97
8.10 Values and Attitudes 98
8.11 Formation of Values 98
8.12 Values and Organizational Behaviour 99
8.13 Attitude and Behaviour 100
8.14 Differences between Attitude and Behavior 100
8.15 Relationship between Attitude and Behaviour 101
8.16 Determinants of Attitude-Behaviour Relationship 101
8.17 Job Attitude 103
8.18 Major Job Attitudes 103
8.19 Changing Attitude 104
 8.20 Barriers to Change 104
8.21 Ways to Change Attitudes 106
BLOCK III PERSONALITY AND MOTIVATION
UNIT 9 CHARACTERISTICS, TYPES AND FACTORS 111
INFLUENCING PERSONALITY
9.1 Personality - Meaning and Definitions 112
9.2 Characteristics of Personality 113
9.3 Types of Personality 115
9.4 Factors Influencing Personality 116
UNIT 10 PERSONALITY THEORIES, TRAITS AND 122
TESTS
10.1 Theories of Personality 123
10.2 Major Traits Influencing Personality 137
10.3 Personality and Organizational Behaviour 142
10.4 Personality Tests used by Organizations 143
10.5 Importance of Personality Tests in the Workplace 147
UNIT 11 MOTIVATION AND MOTIVES 151
11.1 Motivation - Meaning and Definitions 152
11.2 Nature of Motivation 152
11.3 Motives 154
11.4 Classification of Motives 154
11.5 Importance of Motivation 154
UNIT 12 THEORIES OF MOTIVATION 159
12.1 Theories of Motivation 160
BLOCK IV ORGANIZATIONAL CHANGE
UNIT 13 ORGANISATIONAL STRUCTURE 181
13.1 Concept of Organizational Structure 182
13.2 Importance of Organizational Structure 183
13.3 Types of Organizational Structure 184
UNIT 14 GROUPS AND GROUP DYNAMICS 191
14.1 Meaning and Definitions of Groups 192
14.2 Characteristics of Groups 193
14.3 Why do People Join Groups? 194
14.4 Types of Groups 196
14.5 Stages of the Group Development 198
 14.6 Meaning and Definitions of Group Dynamics 199
14.7 Factors Influencing Group Dynamics 200
14.8 Meaning and Definitions of Group Cohesiveness 200
14.9 Factors Influencing Group Cohesion 201
UNIT 15 ORGANISATIONAL CHANGE – NATURE, 205
TYPES AND FORCES
15.1 Meaning and Definitions of Organizational Change 206
15.2 Levels of Change 206
15.3 Nature of Organizational Change 207
15.4 Types of Organizational Change 208
15.5 Change Process 210
15.6 Forces of Change in Organizations 211
UNIT 16 ORGANISATIONAL CHANGE – RESISTANCE 218
AND APPROACHES
16.1 Resistance to Change – Meaning 219
16.2 Sources of Resistance to Change 219
16.3 Ways to Overcome Resistance to Change 222
16.4 Organizational Change Models and Approaches 224
BLOCK V LEADERSHIP AND COMMUNICATION
UNIT 17 LEADERSHIP – CHARACTERISTICS, 235
IMPORTANCE AND STYLES
17.1 Meaning and Definitions of Leadership 236
17.2 Characteristics of Leadership 237
17.3 Importance of Leadership 239
17.4 Qualities of a Goo Leader 240
17.5 Styles of Leadership 242
UNIT 18 LEADERSHIP THEORIES 250
18.1 Theories of Leadership 250
UNIT 19 COMMUNICATION 266
19.1 Meaning and Definitions of Communication 267
19.2 Communication Process 267
19.3 Types of Communication 270
19.4 Barriers to Communication 273
19.5 Ways for Improving Communication 278
UNIT 20 STRESS MANAGEMENT 283
20.1 Meaning and Definitions of Stress 284
20.2 Causes or Sources of Stress 285
20.3 Consequences of Stress 291
20.4 Stress Management 292
Plagiarism Report 300
 BLOCK I

INTRODUCTION TO ORGANIZATIONAL BEHAVIOUR

UNIT 1 ORGANIZATIONAL BEHAVIOUR -

CHARACTERISTICS, ELEMENTS AND
IMPORTANCE

UNIT 2 HISTORICAL BACKGROUND OF

ORGANIZATIONAL BEHAVIOUR

UNIT 3 APPROACHES AND MODELS TO

ORGANIZATIONAL BEHAVIOUR

UNIT 4 FRAMEWORK/MODELS OF ORGANIZATIONAL

BEHAVIOUR

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UNIT 1

ORGANIZATIONAL BEHAVIOUR-
CHARACTERISTICS, ELEMENTS AND
IMPORTANCE
STRUCTURE

Overview

Learning Objectives

1.1 Organizational Behaviour – Meaning and Definitions

1.2 Characteristics of Organizational Behaviour

1.3 Elements of Organizational Behaviour

1.4 Importance of Organizational Behaviour

Let us sum up

Check your progress

Glossary

Suggested Readings

Answer to Check Your Progress

OVERVIEW
An organization is often defined as a group of people who work together
to achieve a common goal. The organization is formed with the goal of
fulfilling business objectives, which may differ from one company to the
next. However, any business needs organization. Individuals and groups
in the workplace act in a variety of ways. A number of factors influence
such conduct, which in turn has an impact on the organization's
operation. As a result, "organizational behaviour" has become a distinct
science referred to the study and analysis of human behaviour in
organizations. It is a burgeoning interdisciplinary subject, that attracts
the talents of psychologists, sociologists, and anthropologists, together
known as behavioural scientists.

LEARNING OBJECTIVES
After completing this unit, you will be able to:
• define organizational behaviour

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 • understand organizational behaviour's characteristics and
elements
• examine the importance of organizational behaviour

1.1 ORGANIZATIONAL BEHAVIOUR - MEANING AND DEFINITIONS

People's ideas, attitudes, emotions, and actions in the workplace are
referred to as organizational behaviour. Understanding an individual’s
behaviour is difficult enough but understanding group’s behaviour in an
organizational setting is a monumental managerial task. The study of
human behaviour in an organization, both as a group and as an
individual, is known as organizational behaviour. As we all know, various
aspects of a person's behaviour are linked to specific tasks and duties.
Therefore, generalizations based on their actions have been made to
assist us in predicting what people do and should do.
Organizational behaviour is "a field of study that investigates the impact
that individuals, groups, and structures have on behaviour within the
organization for the goal of applying such knowledge toward improving
an organization's effectiveness," according to Stephen P. Robbins.
Organizational behaviour, according to Fred Luthans, is “directly
concerned with understanding the production and control of human
behaviour in the organization."
Organizational behaviour, according to Moorhead and Griffin, is the
study of human behaviour in organizational contexts, the interface
between human behaviour and the organization and the organization
itself.
1.2 CHARACTERISTICS OF ORGANIZATIONAL BEHAVIOUR
In the study of human behaviour, the behaviour of groups of people
working in an organization, and the impact of situational factors are all
important. Organizational behaviour is now a distinct field of study. The
following considerations will help you better understand the
characteristics of organizational behaviour.
1. A distinct field of study: Organizational behaviour is a distinct area
of study. In this field, a lot of research and analysis has been done.
However, it is not yet recognized as a science. Therefore, rather than
calling it a discipline, it will be more appropriate to refer to it as a field of
study. Organizational behaviour, unlike other subjects, lacks a
theoretical base. Organizational behaviour has been elevated to the
status of a distinct field of study that represents a behavioural
management approach.

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2. An interdisciplinary orientation: Organizational behaviour has a
multi-interdisciplinary focus and so is not based on a single theoretical
framework. It attempts to bring together pertinent knowledge from
adjacent fields including psychology, sociology, and anthropology in
order to apply it to the study and analysis of organizational behaviour.
Organizational behaviour has become a very strong and unique
approach to concepts drawn from other fields. Personality and
motivation, for example, are derived from psychology; teamwork and
team process are derived from sociology; power and influence are
derived from political science; stress and its effects are derived from
medical science; attitude change and group process are derived from
social psychology; decision-making is derived from economics; and
individual and organizational culture are derived from anthropology.
3. Applied science: The very nature of organizational behaviour is
applied research. The application of diverse research to tackle
organizational challenges relating to human behaviour is what
organizational behaviour is all about. Hence, organizational behaviour
can be classified as both a science and an art form. The study of
organizational behaviour encompasses not just cause and effect, but
also how research findings might be implemented in the workplace.
Human and organizational behaviour study findings are used to tackle
organizational issues involving human behaviour.
4. A normative science: Organizational behaviour is also a normative
science. Organizational behaviour dictates how the results of applied
research might be applied to socially acceptable organizational goals,
whereas positive science solely deals with cause and effect. Therefore,
organizational behaviour is concerned with what individuals and society
in an organization accept. In fact, the growth of management theories
demonstrates that the organizational behaviour is normative as well.
5. Humanistic and optimistic approach: Organizational behaviour
applies a humanistic approach to the individuals who work for the
company. It is concerned with how people think and feel. Organizational
behaviour is concerned with the organization's human capital, which
must be treated with great care and attention. The concept that people
have a natural drive to be self-sufficient, creative, and productive
underpins organizational behaviour. Employee morale and its efficiency
are increased by keeping them psychologically and physically fit, as well
as financially satisfied. It adopts a humanistic approach to the personnel
rather than a simply mechanistic one. Thus, from a humanistic

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standpoint, organizational behaviour concentrates attention on the
"people" part of the organization.
6. Total system approach: Behavioural scientists developed the
systemic approach to study human behaviour in relation to its socio-
psychological context. Because it considers all of the elements that
affect organizational functioning, organizational behaviour is a
systematic approach. The system approach considers all of the factors
that influence the organizational performance.
7. Evolution of models: The autocratic model, the custodial model, the
supportive model, the collegiate model, and the stimulus-organism
behaviour consequences model are all examples of organizational
behaviour models. Organizations are increasingly using these models to
better understand human behaviour and prepare employees to be more
productive.
8. Aims to improve organizational effectiveness: Organizational
behaviour is the study of the impact of individuals, groups, and structure
of organization with the goal of applying this knowledge to improve an
organization's success.

9. Science as well as an art: Organizational behaviour is both a

science and an art. It is a science to have a systematic understanding of
human behaviour, and it is an art to put that knowledge and expertise
into practice. However, organizational behaviour is not an exact science
since it cannot properly predict people's behaviour in organizations.
10. Behavioural approach to management: The behavioral approach
to management is represented by organizational behaviour, which is an
aspect of overall management. Because of the importance of human
behaviour in organizations, organizational behaviour has become its
own field of study. Organizational behaviour is inextricably linked to the
human side of management, yet it is not management in its whole.
11. Concern with environment: Organizational behaviour is concerned
with issues such as environmental compatibility, e.g. person-culture fit,
multicultural management, and so on.
12. Contingency approach: In terms of organizational behaviour, there
are relatively few absolutes. The approach is aimed at determining the
best appropriate managerial actions for a given situation.
13. Value centred: Organizational behaviour is a value-based science.
It is a useful behavioural science that has been applied. To understand

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and modify human behaviour in the workplace, it employs research
theories and experiments.
14. Employs two kinds of Logic: It employs two different types of logic:
objective and subjective logic. The goal of objectivity is to arrive at a
conclusion based on empirical evidence. Subjectivity is the process of
solving an issue using intuition, common sense, experiences,
metaphors, learning from stories and instances, persuasive literature,
and other methods.
15. Individuals' similarities and differences are studied: When it
comes to likes, dislikes, professions or occupations, interests, and so on,
people are both similar and distinct. Within the broader parameters, we
find persons with similar physical, psychological, social, and religious
abilities. Individuals are similar to one another within specific limitations
of genetic inheritance in humans, according to Sir Francis Galton's
research. Individuals in the broad spectrum differ from one another.
Hence, organizational behaviour derives concepts and principles from
other behavioural disciplines to guide human behaviour in the
workplace.

16. Cause and effect relationship: Human behaviour is usually

analysed in terms of cause and effect, rather than philosophically. It
helps in the prediction of individual behaviour. It offers generalizations
that managers might use to predict how specific activities would affect
human behaviour.
17. Three levels of analysis: Individual behaviour, inter-individual
behaviour, and the behaviour of organizations themselves are all studied
in organizational behaviour. All of these levels are included in the field of
organizational behaviour as complementary to one another.

18. A body of theory, research and application: Organizational

behaviour is a collection of theories, studies, and applications that help
in the comprehension of human behaviour in organizations. All of these
methods support managers in resolving human issues in their
organizations.
19. Beneficial to both Organizations and individuals: It attempts to
meet employee and organizational goals and, as a result, improve
efficiency and effectiveness. It is beneficial to both organizations and
individuals. Organizational behaviour fosters an environment in which
both the organization and individuals’ benefit. Employees will receive the
satisfaction they require, and the organization will achieve its goals, if an
acceptable climate is formed.

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20. Rational thinking: Rational thinking about people and their
behaviour is provided by organizational behaviour. The basic goal of
organizational behaviour is to understand and predict human behaviour
in organizations in order to create settings that produce desired
outcomes.
1.3. ELEMENTS OF ORGANIZATIONAL BEHAVIOUR

People, structure, technology, and the environment in which the

company functions are the key elements of organizational behaviour.

Figure 1.1: Elements of Organizational Behaviour

1. People / Employees: People are live, moving objects within an
organization. The organization's internal and social system is made up of
people. Individuals and groups make up these entities. Large or small,
formal or informal, groups might exist. Employees are one of the most
crucial aspects of any company. The employee and the company are
inextricably intertwined and will remain so in the future. Personality,
perception, attitudes, values, job satisfaction, learning, and motivation
are all studied behavioural elements of an individual. Unlike machines,
they have feelings, reasoning abilities, feelings, and so on. All
employees should be treated fairly and judged based on their job and
other things that affect the business in order to create a healthy
environment.
2. Structure: The work is complicated, and different people must
execute different tasks. Different types of positions have been formed to
carry out duties in the organization. Different people are allocated
different responsibilities in an organization, and they are all linked to a
certain relationship with others. The formal relationships of people in
organizations are defined by structure. Power and responsibilities are
related to organizational structure. Different employees execute different
types of jobs within the organization, and they must be structurally linked
in order for their work to be efficiently coordinated. Thus, it leads to
division of labour so that people can perform their jobs or work in order
to fulfil the organizational goal.

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3. Technology: Technology is the application of scientific knowledge to
practical use. Technology equips employees with the resources and
equipment they need to execute their jobs well. Organizations use
technology to develop buildings, prepare device designs, decide work
processes, and assemble resources. Buildings, machinery, tools,
equipment, and other resources help people in their work. The kind of
technology is largely determined by the nature of the organization, and it
has an impact on the work and working conditions. This signifies that the
organization's technology has an impact on the organization's
performance and efficiency. Thus, technology plays an important role in
the study of organizational behaviour.
4. Environment / social system: The work environment and the extent
to which the organization can operate are determined by the social
system. No organization can function without the support of society.
Every business operates within a certain internal and external
environment. The internal environment of a firm can be defined as the
conditions, factors, and aspects that impact the organization's actions,
decisions, and, in particular, employee behaviour. The external
environment, on the other hand, might be defined as external elements
that affect a company's ability to operate. Employee morale, culture
changes, and financial changes or challenges are examples of internal
environmental factors, while political factors, economic changes, and the
industry itself are examples of external environment factors.
1.4 IMPORTANCE OF ORGANIZATIONAL BEHAVIOUR
Managers must be able to recognize and understand organizational
behaviour. It becomes challenging for managers to use organizational
behaviour concepts. Change is a constant in today's organizations and
their environments. People and organizations are continually challenged
by changing times. In present turbulent times, knowledge and
understanding of organizational behaviour is especially vital for people
who manage or desire to manage. Because of the globalization and
privatization processes, today's organizations must function in a very
turbulent and uncertain environment. The following points will illustrate
why organizational behaviour is becoming increasingly important in
modern times.
1. Understanding the relationship between an organization and its
employees: The study of organizational behaviour contributes to the
development of better human resource strategies in creating a better
working environment, retaining employees, and increasing productivity

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by helping to better understand the relationship between an organization
and its employees.
2. Employee motivation: The study of organizational behaviour helps
managers in better understanding and motivating their employees by
utilizing various motivational methods based on individual needs,
resulting in improved overall performance.

3. Improving industrial relations: Understanding the root of an issue,

predicting its future growth, and controlling its effects are all aided by
organizational behaviour. Therefore, managers may establish stronger
relationships with their employees by addressing any issues early on.
4. Effective use of human resources: Through a greater
understanding and analysis of human behaviour, managers may
manage their employees more effectively and efficiently, inspiring and
encouraging them to raise their efficiency and production.
5. Predicting human behaviour: Knowledge of organizational
behaviour enables employees to be better managers by allowing them to
become elements of human behaviour from a managerial standpoint,
resulting in increased organizational efficiency and profitability.
6. Explain individual and group behaviours: When we strive to
understand why people or groups act the way they do, we pursue the
goal of explanation. For example, if an organization's turnover rate is
extremely high, we want to know why so that we may take actions to
rectify the situation in the future.
7. Predict certain behavioural responses to change: A thorough
understanding of organizational behaviour will help the manager in
anticipating specific behavioural responses to change. Therefore, the
manager may forecast which techniques will elicit the least resistance
from employees and make decisions based on this information.
8. Control behaviour: Managers can use their knowledge of
organizational behaviour to control behaviour. The control aim is often
viewed by managers as the most important contribution that
organizational behaviour contributes to their work effectiveness.
9. Provides a roadmap for our life in the workplace: People bring
their goals and dreams to work with them, as well as their anxieties and
frustrations. Members of organizations can appear to operate sensibly,
do their fair share of work, and carry out their responsibilities in a
respectful manner most of the time. Several people appear to be
distracted, their work suffers, and they even withdraw. Those who know

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what to look for and have sophisticated views about how to deal with
demands, on the other hand, are more likely to respond in a productive,
less stressful manner and even improve their careers.

10. Others: The importance of organizational behaviour is further

highlighted by the following points.
a. Organizational behaviour is beneficial to both the organization and
the individual. Employees can apply their knowledge and talents
more effectively with people-centered management approaches.
Their interpersonal relationships have improved, their disputes
have decreased, and their team spirit has grown.
b. Organizations now employ people from other countries as a result
of globalization. Therefore, the workforce structure has changed,
and people from many cases, ethnicities, age groups, cultures,
and countries are now working together. Managing workforce
diversity has become a major concern for today's managers.
c. The service industry now employs more people than the
manufacturing sector. The service sector in India accounts for
around 55 per cent of the country's GDP and employs 35 per cent
of the workforce. Jobs in the service industry necessitate a high
level of customer interaction and a customer-satisfying mentality.
Many suggestions for fostering a customer-focused culture in the
workplace may be found in organizational behaviour.
d. Organizational behaviour enables managers to respond to
economic demands in the most effective way possible. Companies
must deal with issues such as diminishing demand, growing
expenses, and difficult decisions during poor economic times.
Managers can use organizational behaviour strategies to minimize
stress, improve employee morale, and prepare employees for pay
cuts, among other things.
e. Everything in today's world is constant except change.
Organizations must modify their goods, business practices,
technology, structure, and other aspects of their operations.
Employees, on the whole, are resistant to change. Organizational
behaviour, on the other hand, can aid seamless change
management with the right direction, training, and other strategies.
f. Employees can achieve a better work-life balance through
organizational behaviour. Because of multinational companies,
work continues without interruption, and employees work at all
hours of the day and night. At initially, they had no objections to

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 this type of work. However, they gradually find that the line
between work and spare time is blurring, compromising their
personal lives and missions. Employees in the information
technology industry are dissatisfied with the impact of work on
their personal lives. Today, we have a lot of suggestions for
managers who want to arrange flexible working hours, operate
from home, and yet have time for personal works.
g. Organizational behaviour can improve ethical behaviour and foster
a strong organizational culture in which organizations’ essential
principles are vigorously defended and widely shared. A strong
culture provides stability to the organization, decreases employee
turnover, and promotes a positive image. Tata Steel, for example,
has a strong culture that places a premium on 'values.'
LET US SUM UP
Understanding, forecasting, and managing human behaviour in an
organization is the subject of organizational behaviour. Individual, group,
and organizational behaviour are all aspects of organizational behaviour.
Employment related issues such as employment; leaves, turnover,
productivity, human performance, and management are the focus of
organizational behaviour. Managers can use organizational behaviour to
assist them build an ethical work environment. Organizational behaviour
study helps in the development of functional behaviour that leads to an
increased productivity, effectiveness, efficiency, and organizational
citizenship. Simultaneously, it helps in the reduction of dysfunctional
workplace behaviors such as absenteeism, turnover, dissatisfaction,
tardiness, and so on. Drawing on principles and concepts from
psychology, sociology, anthropology, and social psychology,
organizational behaviour has been enriched. Globalization, advances in
information technology, total quality management, business process
reengineering, benchmarking, diversity of human resources, competitive
pressure, the rapid growth of global business, and the desire to have
diverse and changing points of view have all contributed to the
importance of organizational behaviour.
CHECK YOUR PROGRESS
Choose the correct answer
1. __________ is a study of human behaviour in organizational contexts.

a. Individual behaviour b. Group behaviour

c. Organizational behaviour d. None of these

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2. Today’s organization is ________.
a. Open system b. Closed system
c. Open as well as closed d. None of these

3. Organizational behaviour is referred to as ________.

a. An interdisciplinary approach b. A humanistic approach
c. Total system approach d. All of these

4. Organizational behaviour is influenced by________.

a. People b. Environment
c. Technology d. All of the above
5. Organizational behaviour is _________.
a. A science b. An art
c. A science as well as an art d. None of the above
GLOSSARY

Behaviour : It encompasses those entire humans do.

Organization : A structured environment in which, two or more

individuals collaborate to achieve a specified
goal or set of goals.

Organizational : The study and application of the knowledge

behaviour regarding how individuals behave in groups

Organizational : The way individuals and groups are organised in

structure terms of delegating, controlling, and coordinating
roles, duties, and power, as well as how
information moves across levels of management.

Employee : An employee is someone who has been

engaged by a company to do a certain task.

Technology : Buildings, machinery, equipment, and tools

utilized by personnel to generate various goods
make up an organization's technological side.

Environment : The totality of all external and internal factors

that influence a business is referred to as the
environment.

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SUGGESTED READINGS
1. Aswathappa, K. Organizational Behaviour. New Delhi: Himalaya
Publishing House.

2. Mishra, M.N. Organizational Behaviour. New Delhi: Vikas Publishing

House.
3. Prasad, L.M. Organizational Behaviour. New Delhi: Sultan Chand &
Sons.
4. Stephen P. Robbins., Timothy A. Judge., and Neharika Vohra.
Organizational Behavior. New Delhi: Pearson Education India.
5. Uma Sekaran. Organizational Behaviour: Text & Cases. New Delhi:
Tata McGraw Hill.
WEB RESOURCES
1. organizational Behaviour | Meaning | Definition | Explained in
Tamil | @Study Riderz - Bing video
2. Organizational Behavior | Importance of Organizational Behavior
| Management Notes - YouTube
3. What is Organizational Behavior and Why It Is Important -
YouTube
4. ORGANISATIONAL BEHAVIOUR- Definition, Nature, Elements
& Approaches - Bing video
ANSWER TO CHECK YOUR PROGRESS
1. c 2.a 3.d 4.d 5.c

13
UNIT 2

HISTORICAL BACKGROUND OF
ORGANIZATIONAL BEHAVIOUR
STRUCTURE

Overview

Learning Objectives

2.1 Classical Era

2.1.1. Scientific Management

2.1.2. Administrative Theory

2.1.3. Bureaucratic Approach

2.2 Behavioural Era

2.3 Systems Theory of Management

2.3.1. Systems Theory of Management

2.3.2. Contingency Theory

Let Us Sum Up

Check Your Progress

Glossary

Suggested Readings

Answer to Check Your Progress

OVERVIEW
Looking back on the history of organizational behaviour can help you
understand how the field came to be where it is now. Three important
people advocated concepts that had a significant impact on the direction
and boundaries of organizational behaviour. Adam Smith, Charles
Babbage, and Robert Owen are their names. In his presentation in
1776s "The Wealth of Nations," Adam Smith articulated the economic
benefit that the division of labour would bring to an organization and
society. He demonstrated it with an example from the industry world. He
came to the conclusion that the division of labour increases production
by improving each worker's ability and dexterity; reducing time spent

14
switching activities and promoting the development of labour-saving
technologies and machines. In his book "The Economy of Machines and
Manufacturers," published in 1832, Charles Babbage, a British
mathematician, added the benefits of division of labour to Smith's list.
Babbage further claimed that the economy of specialization applies
equally to mental as well as physical work. Specialization in accounting,
taxation, marketing, and organizational behaviour reflects this in the
industry. One of the first industrialists to understand how the growing
factory system harmed employees was Welsh entrepreneur Robert
Owen. He claimed that spending money on training employees was one
of the best investments that business executives could make. He
advocated for all workers' working hours to be regulated, as well as child
labour, public education, company-provided meals at work, and
corporate involvement in community projects. The historical context of
organizational behaviour is extensively explored in this unit.
LEARNING OBJECTIVES
After completing this unit, you will be able to:
• understand the historical background of organizational behaviour

• explain classical and behaviour era in organization behaviour

Introduction
Organizational theories are offshoots of organizational practices that
simultaneously improve those practices. However, as organizations
operate in a dynamic environment that forces them to constantly adapt
their design and activities to survive, organization theory has changed to
meet their contemporary needs. The evolution of organization theory is
documented as follows:
2.1 CLASSICAL ERA

The classical era spanned the years 1900 to 1930, when the first
general management theory emerged. Fredric Taylor, Henri Fayol, Max
Weber, Mary Parker Follett, and Chester Barnard were the main
contributors.
2.1.1. Scientific Management
F.W. Taylor developed the concept of scientific management and put the
scientific techniques into practice. This theory called for the use of
specific steps in the scientific study of each part of a job, the selection
and training of the best workers for the job and ensuring that workers
follow the job's prescribed method. FW Taylor realized the importance of
providing financial incentives to employees, and as a result, he devised

15
incentive plans. He paved the way for the subsequent evolution of
organizational behaviour with the improvements he brought to
managerial thinking. By establishing principles for enhancing production
efficiency, Taylor sparked a mental revolution among workers and
managers. F.W. Taylor, popularly known as the "Father of Scientific
Management," demonstrated that a scientific method may be applied to
the management through his practical theories. Taylor concentrated on
the operational level of management oversight and the performance of
managers and workers. Let us discuss in detail the principles of scientific
management of F.W Taylor.
1. Science, not the rule of thumb: This principle focuses on increasing
an organization's effectiveness through scientific work analysis rather
than the "rule of thumb" strategy. Even a simple task like loading sheets
of paper onto boxcars, according to Taylor, could be organised
scientifically. This saves both time and human energy. Rather than the
manager's own decision, this decision should be based on scientific
analysis and cause-and-effect relationships.
2. Harmony, not discord: Taylor suggested and felt that the interaction
between employees and management should be friendly and amicable.
The disparity between the two will never be advantageous to any party.
To attain absolute concord, Taylor advised a mental revolution for
management and the employees.
3. Mental revolution: This principle necessitates a change in
management and employee attitudes toward one another. Both parties
must recognize the importance of the other and work together. The goal
of both should be to improve and raise the organization's profitability.
4. Cooperation, not individualism: He prefers peace to strife, and he
believes in mutual cooperation between employees and management.
Managers and employees must work together and have mutual trust and
goodwill. The major goal is to eliminate internal competition and replace
it with cooperation.
5. Development of every person to his greatest efficiency: A
company's efficiency is partly determined by the competencies and
capabilities of its employees. So, the scientific approach to updating staff
abilities is to implement training, understand best practices, and use
technology. When screening and hiring applicants based on scientific
selection, the necessary steps must be followed to ensure that the
training is given to the right employee.

16
Techniques of Scientific Management
Taylor led a number of scientific management techniques, including the
following:

1. Work study: Work study entails a systematic approach. The

efficiency of a company's numerous operations is objectified and
systematized in this way. This approach scans the entire system from all
angles. This technique is also used in the overall assessment of human
work, which leads to a systematic investigation of all elements.
2. Standardization of tools and equipment: Taylor standardized the
tools and couplings, as well as the cost system and a number of other
aspects. As a result, efforts are undertaken to offer workers a uniform
work environment and manufacturing methods. The standardization
approach helps in the reduction of material deterioration and waste, as
well as the improvement of work quality and hence the reduction of the
production expenses.
3. Scientific task setting: This is necessary in order to identify a
standard task that an average worker will do during the course of the
day. Taylor described it as a fair day's work. He emphasized the
importance of establishing a fair day's work schedule, as this will prevent
workers from working below their capacity.
4. Differential piece-rate plan: Wage rates should be set so that the
average worker is compelled to produce at a standard level above his
current level. Therefore, Taylor proposed that the differential piece-rate
system be implemented. According to Taylor, the goal of this plan is to
attract highly efficient workers. There are two-piece rates in this plan,
one lesser and one greater.
5. Scientific selection and training: The management must devise a
scientific selection procedure to ensure that the right persons are chosen
for the right jobs. The first stage in this scientific process is to identify the
jobs that demand workers. The employees are then adequately
qualified, trained, and experienced, and the position's level of efficiency
is determined. Employees must be selected based on predefined criteria
and in a fair manner.
6. Functional foremanship: Taylor states that specialization must be
implemented in a factory. For this, he supported "functional
foremanship." A functional foreman is a type of organization in which a
worker is supervised through a series of specialized foremen. In this
situation, matters connected to working speed and machine repairs, for

17
example, should be overseen by the speed boss and the repair boss,
respectively.
2.1.2. Administrative Theory

Henri Fayol developed administrative management theory in the early

1900s, and it is still widely used today. Fayol devised a set of fourteen
principles that he feels form the basis for great and successful
companies. Fayol agreed with many of Taylor's concepts and ideals; the
primary difference is that Taylor concentrated on the most efficient job
completion process, whereas Fayol focuses on the whole organizational
structure of a company. Fayol believed that a company's organizational
structure was important to its success and productivity. Planning,
organizing, commanding, coordinating, and controlling are the five
managerial functions proposed by Fayol. Furthermore, he distinguished
management from accounting, finance, production, and distribution,
among other things. The 14 management principles that Fayol
advocates are listed below.
1. Division of work: Specialization, according to Henri Fayol, increases
employee efficiency and productivity. Furthermore, the workforce's
expertise improves accuracy and speed. Employees are skilled in
different disciplines and have distinct talents in their practice. Within the
knowledge fields, several levels of expertise can be identified.
2. Authority and responsibility: Management has the authority to
issue orders to employees in order to get things done in an organization.
Henri Fayol claims that accompanying power or authority gives
management the authority to issue orders to the subordinates. Because
performance may be traced back to responsibility, it is vital to reach
agreements on it. To put it another way, authority and responsibility are
two sides of the same coin.
3. Discipline: In the form of good conduct and courteous interactions,
this is frequently part of a mission statement's and vision's fundamental
principles. This management principle is important and is seen as the oil
that keeps an organization's engine running smoothly.
4. Unity of command: The management principle of "Unity of
Command" states that an individual employee must obey the orders
from a superior and is responsible to that superior. When an employee's
tasks and related obligations are assigned by more than one manager, it
can cause confusion, which can lead to employee conflict.
5. Unity of direction: All activities must be performed by a group of
people working together as a team. An action plan must be developed to

18
describe these activities. The manager is ultimately in charge of this plan
and keeps track of how the defined and the planned actions are
progressing.

6. Subordination of individual interest: Personal interests, according

to Henri Fayol, must be put aside in order for an organization to function
effectively. The focus is on the organization's objectives rather than the
individual's. This is true at all levels of the company, including
management.
7. Remuneration: Compensation should be sufficient to keep people
engaged and productive, according to this management principle. Non-
monetary and monetary payments are the two categories of
remuneration. Ultimately, it is about recognizing and rewarding the
efforts that have been done.
8. Centralization: The concentration of decision making power at the
management level is referred to as centralization. Henri Fayol used the
term "decentralization" to describe the sharing of decision making
capabilities with lower levels. In this regard, he stated that an
organization should strive for a good balance.

9. Scalar chain: According to Henri Fayol's "hierarchical" management

principle, there must be a clear line of power from top to bottom, with all
managers at all levels. This can be thought of as a managerial structure.
In an emergency, any employee can contact a management or a
supervisor without involving the hierarchy.
10. Order: Employees of an organization must have the appropriate
resources at their disposal in order to work properly in the organization,
according to this principle. Aside from maintaining social order, the
workplace should be safe, clean, and orderly.

11. Equity: Employees must be treated with kindness and equality,

according to Henri Fayol. To do things correctly, employees must be in
the right place within the organization. Managers are responsible for
overseeing and monitoring this process, as well as treating the
employees fairly and impartially.
12. Stability of tenure: This management principle refers to personnel
deployment and management, which must be balanced with the
organization's service offerings. Management seeks to keep employee
turnover to a minimum and to have the right people in the right jobs.
Priority areas, such as frequent job changes and enough training, must
be effectively managed.

19
13. Initiative: Employees should be permitted to express fresh ideas,
according to Henri Fayol. This increases interest and participation while
also adding value to the organization. Employee initiatives, he believes,
are a source of strength for the company. Employees are more engaged
and intrigued as a result of this.
14. Esprit de corps: The search for employee involvement and unity is
a management principle. Managers are in charge of improving morale at
work, both individually and in terms of communication. Esprit de corps
contributes to the advancement of culture by fostering mutual trust and
understanding.
The 14 management principles are essential tools for forecasting,
planning, process management, organization management, decision
making, coordination, and control in organizations.
2.1.3. Bureaucratic Approach
Max Weber (1864-1920), a German sociologist, described the
bureaucratic management approach, often known as Weberian
bureaucracy, as a philosophy for running an organization efficiently. He
advocated a "bureaucratic model" of organization that he, said would
work for all types of organizations. The ideal bureaucracy, according to
Weber, was logical, rational, and efficient. He made the naive
assumption that a single structure would work best for all the
organizations. Max Weber's work has frequently been seen as a satire of
modern bureaucracies, complete with all of their flaws. The bureaucratic
management approach, according to Max Weber, emphasized the
necessity for organizations to function rationally rather than following the
"arbitrary whims" or irrational emotions and objectives of owners and
managers. Max Weber outlined the following six bureaucratic
management principles.
1. Proper division of labour: There must be a division of labour or
specialization, as well as a balance of authority and duties.
2. Chain of command: The organizational structure or chain of
command must be built in such a way that the information about
decisions and activity may flow effectively from top to bottom.
3. Separation of personal and official property: Owners and the
organization's assets are separate and can be treated as such by the
owner or the organization.

4. Application of consistent and complete rules: The organization's

administration should be guided by proper rules and regulations. These

20
regulations must be obeyed at all the times within the organization, and
they apply to all members equally.
5. Qualifications-based selection and promotion: Workers must be
selected and promoted on the basis of equalization, such as skills,
experience, and age.
Evaluation: Weber believed that bureaucracy would provide the most
efficiency, logic, and worker satisfaction. In fact, he thought bureaucracy
was so logical that it would change society as a whole. Unfortunately,
Weber overlooked the possibility that each of the bureaucratic features
could have a negative impact. The division of labour, for example, might
result in specialized and highly competent personnel, but it can also
result in tedium and boredom. Formal rules and regulations promote
consistency and predictability, but they can result in unnecessary
procedures and "red tape." Despite its drawbacks, bureaucracy is still
the dominant method of governance in most of the large organizations
today. Max Weber's bureaucratic management approach is appropriate
for government organizations.
2.1.4. Social Man Theory

Taylor, Fayol, and Weber may be criticized for overlooking the fact that
humans are social animals and that they are at the centre of any
organization. The relevance of the social side of organizations was
recognized by Mary Parker Follett and Chester Barnard. Despite their
origins in scientific management, their ideas did not gain widespread
acceptance until the 1930s. Mary was the first to understand that
organization could be regarded from both an individual and a group
standpoint. His humanistic concepts shaped how we think about
motivation, leadership, power, and authority today. Barnard, on the other
hand, saw organizations as social systems that required human
interaction. Barnard stated that success depends on maintaining positive
interpersonal relationships, and he proposed that managers examine the
environment before adjusting the organization to maintain a stable state.
2.2 BEHAVIOURAL ERA
During what is known as the behavioural era, the human side of the
organization comes into its own. The human relations movement and the
widespread use of behavioural research characterized this era. The era
saw the rise of personnel officers as well as the development of
industrial psychology. In the United States, the Wages Act of 1935,
sometimes known as the Magna Carta of Labour, was passed. It
legitimized unions' position and spurred rapid union membership growth,

21
opening up new options for better labour management. The concept that
enhancing job satisfaction is the path to enhanced productivity is at the
heart of the human relations movement, according to this approach.
There are three individuals who are significant in conveying the concept
that human relationships are the most essential. Dale Carnegie,
Abraham Maslow, and Douglas McGregor were their names.

Dale Carnegie: Dale Carnegie's book "How to Make Friends and

Influence People" emphasized the importance of obtaining others'
cooperation in achieving success. His major piece of advice was:
a. Make others feel valued by appreciating them for their work.
b. Establish an effort to make a positive first impression.
c. Convince others of their point of view by allowing others to speak
for them and never telling a man he is wrong.
d. Influence individuals by complimenting their positive
characteristics and allowing the leader to seek coping
mechanisms.
Maslow: Physiological, safety, social, esteem, and self-actualization are
the five needs Maslow established as a theoretical hierarchy. He argued
that everyone has to be satisfied before moving on to the next step. Self-
actualization, or fulfilling one's full potential, he believed, was the apex of
a human being's existence. Managers that believe in his theory make
changes to their organizations and management practices.
McGregor: McGregor is best known for coining the terms "Theory X"
and "Theory Y" to describe two sets of assumptions. The first assumes
that people lack ambition, dislike work, want to escape responsibility,
and require close supervision in order to work well. People can exercise
self-direction, accept responsibility, and see work as natural as rest or
play, according to Theory Y. Theory Y assumptions, according to
McGregor, better account for the underlying nature of workers and
provide a better guide.
Jacob Moreno: To analyse group interactions, Jacob Moreno
developed goniometry, an analytical technique. He devised a sociogram
that revealed group members' tendencies of attraction, repulsion, and
apathy.
BF Skinner: His work has influenced the design of organizational
training programmes as well as the reward system. People are more
likely to engage in the desired behaviour if they are rewarded for it,
according to his findings. These rewards are more effective if they are

22
given right after the intended reaction, and non-rewarded or penalized
behaviour is less likely to be repeated.
David McMillan: His research findings have helped firms in better
matching people to positions and redesigning work for high-performing
employees in order to rekindle their motivational potential. He was able
to tell the difference between people who have a high need for success
and people who have a strong desire to succeed or succeed against a
set of standards.
Fred Fiedler: A comprehensive leadership theory has been developed
by Fred Fiedler. He developed a questionnaire to assess an individual's
inherent leadership traits and determine the most effective leadership
style.
Fredrick Herzberg: His work aimed to provide an answer to the topic of
what people anticipate from their jobs. He came to the conclusion that
individuals are interested in the job. People may not be motivated by the
creation of new jobs. Managers must adapt jobs to allow people to
accomplish more and different tasks if they wish to motivate them.
Herzberg's research is responsible for the current interest in job
enrichment and improving the quality of work life.
J. Richard Hackman and Greg Oldham: Employee motivation and
satisfaction are influenced by work-related factors, according to Richard
Hackman and Greg Oldham in 1970. The key dimensions of work, such
as skill variety, task identity, task importance, authority, and feedback,
were also revealed through their research.
2.3 MODERN APPROACHES
Over the years, we have learned that organizational behaviour needs to
be understood and applied in a contingency framework. The most
prominent themes in current organizational behaviour study have been
theories of motivation and leadership, job design, and/or satisfaction.
Currently, the emphasis should be on improving existing theories,
clarifying earlier assumptions, and finding key contingency variables.
Organizational management in today's context is examined using
modern management approaches. There are various current
approaches to management, such as systems theory and contingency
theory, in addition to classical and behavioural approaches to
management. These two approaches have influenced modern
management thinking significantly.

23
2.3.1. Systems Theory of Management
A systemic approach holds that an organization cannot exist in isolation.
Management must consider the external environmental factors that
influence the organization in order to operate effectively. There are four
key components to an organizational system:
1. Inputs: Money, materials, people, machines, and other sources
of information are all the inputs into a system. These inputs are
required for the production of goods and services.
2. Transformation processes: Managerial and technological
capabilities are used to inputs into outputs through
transformation processes or flows.
3. Outputs: The organization's outputs are its products, services,
benefits, and other outcomes.
4. Feedback: Information concerning the organization's results and
position in respect to the environment in which it operates is
referred to as feedback.
Types of systems: Closed and open systems are the two basic types of
systems.
1. Open system: An open system is one that interacts with the
environment. All organizations are open systems since they rely on
interactions with their external environment. Whether it is a decision
about a new product or a decision about the organization's personnel,
the role and influence of environmental factors must be considered.
2. Closed system: A closed system is a system that does not interact
with its environment. A closed system is a self-contained, self-
maintaining unit that interacts or exchanges little with its environment.
Because its everyday functioning is independent of external forces, an
assembly line can be termed a closed system.
2.3.2. Contingency Theory
The assumption behind a contingency management approach is that the
best course of management action is contingent on the internal and
external situation. Because there is no better to organise a company,
management actions must evolve and adapt to various scenarios.
Rather of prescribing a precise solution, the contingency approach gives
a framework for solving problems based on external factors. Situational
theory is another name for this theory. In recent years, it has been
frequently employed to integrate management theory with the increasing
complexity of organizations. When managers, consultants, and

24
researchers attempted to apply the major management schools'
precepts to real-life circumstances, they realized that there was no best
way to manage all situations. Managers should only make company
decisions after carefully weighing all available options. The task of
managers, according to the contingency approach, is to determine which
decision will best contribute to the achievement of management
objectives, given the specific situation and time. As a result, this theory
is applicable to a variety of management situations.
LET US SUM UP
Organizational behaviour is an old concept, as all civilizations have been
fascinated by how people behave in groups. According to Rikki and
Susan Phelps, what is presented as fundamentally a "new management
practice" is essentially the re-adaptation of existing "old management
truths." "There is little doubt that the early pioneers of management,
such as Henri Fayol, Henry Ford, Alfred P. Sloan, and even late
nineteenth-century scientific management giants like Frederick W.
Taylor, acknowledged the behavioural side of management," Fred
Luthans noted. They did not, however, place a premium on the human
dimension, allowing it to play only a minor role in comparison to the roles
of hierarchical structure, specialization, planning and control
management functions. Organizational behaviour has played an
important role in the development of business and management studies
as a whole. However, it was not until 100 years ago that the people
started interested in studying organizational behaviour, and it has only
been extensively acknowledged in the last 50 years. In summary,
throughout four important periods of its evolution, we can look for the
origins of modern organizational behaviour and the most influential
forces in its development.
CHECK YOUR PROGRESS
Choose the correct answer
1. _____________ is the father of modern management theory.
a. Henry Fayol b. F.W.Taylor
c. Henry Gantt d. None of these
2. The principle of unity of command is diametrically opposed to Taylor's.
________.
a. Rule of thumb b. Unity of Direction

c. Functional foremanship d. None of these

25
3. F.W. Taylor is associated with__________.
a. Scientific Management b. Future management
c. Modern management d. Principles of management.

4. The administrative theory of organization is given by__________.

a. Elton Mayo b. Henry Fayol
c. F.W. Taylor d. Max Weber

5. The father of "human relations" is known as _________.

a. William Gilbreth b. Hendry Fayol
c. F.W.Taylor d. Elton Mayo
GLOSSARY

Scientific : Scientific management is a management

management paradigm, those analyses and synthesizes the
workflows. Its primary goal is to increase
economic efficiency, particularly labour
productivity.

Administrative : The act of administering and maintaining a firm or

management organization is referred to as "administrative
management."

Systems : Systematic vision that takes into accounts all of

approach: the factors that influence an organizational
performance.

Open system: : Systems that interact with other systems or the

external environment are referred to as open
systems.

Closed system: : Closed systems are systems that have little or no

interaction with other systems or the external
environment.

Bureaucracy: : The term bureaucracy refers to both a body of

unelected executives and a policy making
administrative group.

SUGGESTED READINGS
1. Aswathappa, K. Organizational Behaviour. New Delhi: Himalaya
Publishing House.

26
2. Mishra, M.N. Organizational Behaviour. New Delhi: Vikas Publishing
House.
3. Prasad, L.M. Organizational Behaviour. New Delhi: Sultan Chand &
Sons.
4. Stephen P. Robbins., Timothy A. Judge., and Neharika Vohra.
Organizational Behavior. New Delhi: Pearson Education India.

5. Uma Sekaran. Organizational Behaviour: Text & Cases. New Delhi:

Tata McGraw Hill.
WEB RESOURCES
1. Behavioural Approch Herbert Simon Part A - YouTube
2. What is Organizational Behavior Management (OBM)?
(INFORMATIONAL VIDEO) - Bing video
3. neo classical theories - Bing video
ANSWER TO CHECK YOUR PROGRESS
1. a. 2.c 3.a 4.b 5.d

27
UNIT 3
APPROACHES AND MODELS TO
ORGANIZATIONAL BEHAVIOUR
STRUCTURE
Overview
Learning Objectives
3.1 Approaches to Organizational Behaviour
3.2 Relationship with other Fields
3.3 Relationship between OB and the Individual
Let Us Sum Up
Check Your Progress
Glossary
Suggested Readings
Answer to Check Your Progress

OVERVIEW
The relationship between employees and employers in an organization
is referred to as organizational behaviour. Both work to fulfil the goals of
any business, and one of the most important components in achieving
these goals is close and effective coordination between the two. Experts
in this field did research that resulted in organizational behavioural
techniques. These specialists investigated to quantify research on
employees' actions and reactions in relation to their work settings.
Because each of these approaches deals with complex human
behaviour, they have different elements. The motivational techniques
are the most significant. All of them are focused on a pushing
organization members to maximize their performance and so obtain
better and improved results.

LEARNING OBJECTIVES
After completing this unit, you will be able to:
• understand different approaches to organizational behaviour

• relate organizational behaviour with other fields

• examine the relationship between organizational behaviour and
the individual

28
3.1 APPROACHES TO ORGANIZATIONAL BEHAVIOUR
Human resources approach, contingency approach, productivity
approach, and systems approach are the four approaches to
organizational behaviour studies.
1. Human resources approach: This approach aims to help employees
improve and become more responsible before attempting to create an
environment in which they can contribute to the best of their ability. As
the manager's primary job changes from managing people to actively
supporting their growth and performance, this technique is also known
as the "supportive approach." This approach recognizes that an
organization's human resources are its most important asset. Their
development will contribute to the organization's success. Superiors and
managers should adopt a management style that encourages and allows
workers to work under close supervision. Organizations can increase
productivity while meeting individuals' desires for independence and
progress, according to this approach, by treating them as mature adults.
2. Contingency approach: Instead of the usual one best way approach
for all situations, a contingency approach to organizational behaviour
argues that different contexts require diverse behavioural practices for
effectiveness. Each case must be thoroughly examined to identify the
major variables that exist in order to decide the most successful
techniques. This approach's strength is that it forces us to think about
each situation before acting. The approach highlights that there is no
single strategy to manage in all situations. In some cases, behavioural
methods that work well in one situation may not work in another. In
different situations, effective management practices will vary depending
on the persons and groups in the company, the type of work and
technology, the organization's environment, and its structure. The
manager's job is to figure out which strategy will contribute the most to
the organization's goals in a given situation. Therefore, before acting, the
manager must examine each situation, and the varied management
approaches and styles are required for effective management.
3. Productivity approach: A ratio that compares units of output to units
of input is called productivity. The higher this ratio's value is, the more
efficient and effective management is. The traditional definition of
productivity focused solely on economic inputs and outputs. Human and
social inputs and consequences are, nevertheless, just as essential
anymore. Productivity is recognized and explored in depth as an
important aspect of organizational behaviour decisions. These decisions
are based on human, societal, and economic considerations. An output

29
or the people benefit occurs, for example, if better organizational
behaviour can minimize labour turnover or absenteeism.
4. Systems approach: "People" within the organization use
"technology" to do the "tasks" for which they are accountable, while the
organization "structure" serves as the basis for organizing all of their
varied operations. An organization receives a variety of inputs from its
environment, including material, human, and financial inputs, according
to this approach. The final output in terms of products or services is
created by transforming these inputs. Organizations are dependent on
their environment and there are two ways: first, they require "inputs"
from the environment in the form of raw materials, people, money, ideas,
and so on. Second, the organization's output, i.e. its products/services,
is dependent on the environment, i.e. the public. The organization's
systemic vision thereby emphasizes the major interdependencies that
must be managed. The relationship is depicted in the diagram below:

Figure 3.1: Systems Approach

The public and government were invited to participate, with the
organization's relationship to the outside world in mind. The other sub-
systems are important to the overall organization's success.
3.2 RELATIONSHIP WITH OTHER FIELDS
Organizational behaviour is a type of applied behavioural science that is
used in the workplace. It is based on input from psychology, sociology,
social psychology, and anthropology, among the other behavioural
sciences. Political science, technology, management, and economics
are some of the other fields that have influenced organizational
behaviour. Below is a brief summary of various disciplines.
1. Psychology: Organizational behaviour is a scientific field that studies
human behaviour, with a focus on individual psychology. Personality,

30
motivation, learning, leadership, job satisfaction, job stress, training, and
other theories have all been influenced by psychology. Employee traits,
training needs, motivating tactics, learning needs, job pressures, and job
satisfaction can all be determined using these theories. "A scientific
study of people, workplaces, organizations, and organizational
behaviour" is how industrial psychology is defined. It helps in the
improvement of workplaces, employee satisfaction, and motivation, as
well as the organization's overall productivity.
2. Sociology: Sociology is "a science that attempts the interpretative
understanding of social behaviour in order to arrive at a causal
explanation of its cause and effects," according to Max Weber.
Organizational behaviour study is highly influenced by sociology.
Sociology is the study of people as a "group." Organizational behaviour
has been enriched by sociologists' study into interpersonal behaviour in
the workplace. Organizational behaviour has been influenced by
sociology in areas such as groups, group conflict, group dynamics,
formal organizational theory, and organizational culture.
3. Anthropology: Anthropology is the study of humanity, according to
the University of Florida. Only anthropology, among all the disciplines
that study human existence and achievement, covers the entire
spectrum of human experience, from human origins to present forms of
culture and social life. It has helped organizational behaviour in
understanding the values, attitudes, and the cultures of people from
other countries and companies. Anthropology is concerned with people's
interactions with their surroundings, and it helps understand the cultural
impact on organizational behaviour, as well as the impact of value
structures, expectations, emotions, unity, and interaction.

4. Social psychology: Social psychology is a discipline of psychology

that combines psychological and sociological concepts. It focuses on
how people in the organization influence one another. Change, or how to
implement change and lessen resistance to change, is an important field
of social psychology. Behaviour change, attitude transformation, group
process, group decision making, and communication are some of the
other fields.
5. Political science: Political science has significant implications for
organizational behaviour study since it helps in understanding how and
why people assume control, political acts, decision making, conflict,
interest group activity, and coalition formation. The same can be said for
organizational behaviour in general. Political parties and the government

31
have consistently stated that they actively participate in many of the
organizational activities.
6. Economics: Economics deals with the problem of scarcity of
resources and unlimited uses vs. restricted resources and infinite
demands. Understanding labour market dynamics, efficiency, human
resource planning and forecasting, and cost analysis are all examples of
how the study of diverse economic sub-fields can help demonstrate
organizational activities in a highly beneficial way. Understanding the
economic needs of the organization's employees and identifying how to
address those needs can be possible by studying economics.
7. Science: The organization's actions are based on scientific
approaches. The systematized examination of facts, activities, their
relationships, and forecasts underpins organizational behaviour.
Learning and implementing current analytical tools and methodologies is
aided by modern analytical approaches.
8. Technology: Technology is rapidly disseminating across countries
and industries. Job design, skill requirements, the human-machine
interface, organizational structure, and, ultimately, human behaviour in
organizations are all influenced by technology. Team dynamics,
knowledge management, and operations management are among the
contributions of general and information technology. As humans are
affected by technological growth, understanding organizational
behaviours requires a study of technological development.
9. Engineering: In the study of organizational behaviour, engineering
plays a significant role. In both engineering and organizational
behaviour, there are some topics that are particularly prevalent.
10. Management: Management influences organizational behaviour by
establishing decision making models, organizational structures,
motivational approaches, change management, and communication
channels, among other things. The decision cannot be accomplished
without organizational behaviour.
11. Medicine: As stress has become a very prevalent problem in
organizations as well as among persons employed in organizations,
medicine has a connection with the study on human behaviour in the
workplace. It is important for the individual's and organization’s well-
being to control the sources and repercussions of stress. Medicine can
assist in the treatment of emotional diseases and issues.

32
3.3 RELATIONSHIP BETWEEN OB AND THE INDIVIDUAL
1. Individual behaviour: Individual behaviour can be defined as a
combination of external and internal stimulation responses. It is how a
person behaves in various situations and shows various emotions such
as anger, happiness, love, and so on. It examines a person's
personality, learning, attitudes, motivation, and job satisfaction.
Personal interviews, for example, are used to interact with candidates
and verify their talents beyond those listed on their resume. As they are
put in different physical situations, time periods, or social conditions,
each person is markedly different from the others in terms of
personality, needs, demographic factors, and past experiences.
Organizations should value diversity and acknowledge it as a valued
asset. The following are the four major factors that influence an
individual's behaviour:
a. Individual characteristics: Personality, attitudes, perceptions,
and values are examples of individual traits.
b. Individual motivation: Individual motivation interacts with one's
ability to work to determine one's level of performance.

c. Reward/punishment: Using behaviour modification approaches to

improve performance and control misbehaviour falls under this
category.
d. Stress: A sensation of emotional or bodily tension is referred to as
stress. Any event or thought that makes you annoyed, furious, or
nervous can trigger it.
2. Organizational behaviour: The study of an organization’s collective
and individual performance and activities is known as organizational
behaviour. It assesses its impact on work structure, productivity,
communication, motivation, leadership, and decision-making ability,
among other things. There are two viewpoints on how a person and a
group behave, namely internal and external. The study of group
behaviour focuses on the formation, structure, and effectiveness of
organizations. Group behaviour is defined as a group's efforts to fulfil
the organization's aim. In a nutshell, it is how a group acts. Different
characteristics of organizational behaviour are highlighted, such as:
a. Way of thinking: This refers to determining the level of analysis.
b. Multidisciplinary: It incorporates psychological, sociological, and
cultural anthropological concepts, theories, and models.

33
 c. Humanistic orientation: Assumes that individual feelings,
attitudes, perceptions, and goals matter to the company.
d. Performance oriented: It examines if and why an individual,
group, or organization performs well, moderately, or poorly.
e. External environment: The external environment has a significant
impact on organizational behaviour.

f. Scientific method: It is important in the study of organizational

behaviour.
g. Application oriented: The goal is to deliver useful/applicable
solutions to management problems.
LET US SUM UP
Globalization, advances in information technology, total quality
management, business process reengineering, benchmarking, diversity
of human resources, competitive pressure, the rapid growth of global
business, and the desire for diverse views and evolution have all
contributed to the growth of organizational behaviour. Psychology,
sociology, social psychology, anthropology, political science, technology
and information technology, management, and the economy have all
contributed to the growth of organizational behaviour as a separate
discipline. The study of individual and group behaviour in the context of
organizations is what organizational behaviour is all about. It is wrong to
presume that one model is better than another because the best model
relies on what is known about human behaviour in a given environment.
A manager's model choice is influenced by a variety of factors. The
prevailing ideology, vision, and aims of the manager have an impact on
his organizational behaviour model.
CHECK YOUR PROGRESS

Choose the correct answer

1. The organizational behaviour model(s) is/are________.
a. Autocratic b. Custodial
c. Supportive d. All of the above
1. Organizational behaviour is referred to as _________.
a. An interdisciplinary approach b. A humanistic approach

c. Total system approach d. All of these

3. In the development of the overall model of organizational behaviour,
which of the following frameworks is used?

34
 a. The cognitive framework b. The behaviouristic framework
c. The social learning framework d. All of the above
4. "Might is right" is the motto of ________.

a. Autocratic model b. Custodial model

c. Supportive mode d. Collegial model
5. Edward Tolman is related to________.

a. Behavioristic framework b. Cognitive approach

c. Social cognitive framework d. None of these
GLOSSARY

Human resource : Because people are the most valuable resource

approach in any organization, the human resource
approach focuses on their growth and
development to higher levels of competence,
creativity, and fulfilment.

Contingency : Instead of the usual one best way approach for

approach all situations, a contingency approach to
organizational behaviour argues that different
situations require diverse behavioural practices
for effectiveness.

Productivity : A ratio that compares units of output to units of

input is called productivity. Economic inputs and
outputs are frequently used to measure it.

Systemic : An organization receives a variety of inputs from

approach its environment, including material, human, and
financial inputs, according to this approach.
These inputs are then processed to create the
ultimate output, which might be either products
or services.

Individual : Individual behaviour can be defined as a

behaviour combination of external and internal stimulation
responses. It is how a person behaves in various
situations and shows various emotions such as
anger, happiness, love, and so on.

Group behaviour : The attitude, feeling, and thinking of a group of

35
 individuals that can be observed or noted are
referred to as group behaviour.

SUGGESTED READINGS

1. Aswathappa, K. Organizational Behaviour. New Delhi: Himalaya

Publishing House.
2. Mishra, M.N. Organizational Behaviour. New Delhi: Vikas Publishing
House.
3. Prasad, L.M. Organizational Behaviour. New Delhi: Sultan Chand &
Sons.
4. Stephen P. Robbins., Timothy A. Judge., and Neharika Vohra.
Organizational Behavior. New Delhi: Pearson Education India.
5. Uma Sekaran. Organizational Behaviour: Text & Cases. New Delhi:
Tata McGraw Hill.
WEB RESOURCES
1. Approaches To organizational behavior - Bing video
2. Key Elements of Organisational Behaviour | 4 elements of
Organisational Behaviour | eLearning Video - YouTube
3. Models of Organizational Behavior - Bing video
4. The Big Five Personality Model | Organisational Behavior |
MeanThat - Bing video
ANSWER TO CHECK YOUR PROGRESS
1.d 2.d 3.d 4.a 5.b

36
UNIT 4

FRAMEWORK OF ORGANIZATIONAL
BEHAVIOUR
STRUCTURE
Overview
Learning Objectives
4.1 Framework of Organizational Behaviour
4.2 Limitations of Organizational Behaviour

Let Us Sum Up
Check Your Progress
Glossary
Suggested Readings
Answer To Check Your Progress
OVERVIEW
Cognitive, behavioural, and social learning frameworks are the three
basic theoretical frameworks for organizational behaviour. An
organizational behaviour model is built on these frameworks. Models are
theoretical frameworks or explanations for why people act in certain
ways at work. Organizations have as many frameworks as there are
frameworks. The differences in performance between organizations are
primarily due to variances in the organizational behaviour framework.
Starting with the cognitive framework, we will go over the other two
frameworks.
LEARNING OBJECTIVES
After completing this unit, you will be able to:
• understand the framework of organizational behaviour

• examine the limitations of organizational behaviour

4.1 FRAMEWORK OF ORGANIZATIONAL BEHAVIOUR
The framework explains how things function. The framework depicts a
number of important variables in organizational behaviour, as well as
their interrelationships and outcomes. Different frameworks have been
developed by experts in the field to describe what relevant variables in
organizational behaviour go through and how they interact. Every

37
organizational behaviour framework makes assumptions about people's
characteristics. Managers' thoughts and behaviours are influenced by
these frameworks, which shape their behaviour.

Figure 4.1: Framework of Organizational Behaviour

1. Cognitive framework of behaviour: The act of knowing information
is simply characterized as cognition. The cognitive concept of
expectation means that an organism considers or is aware of the aim
and outcome of behaviour. It signifies that a person has a desire for a
goal and is aware of the behaviours that will lead to that goal's
achievement. Cognitive behaviour dominates units of study in the field of
organizational behaviour, such as perception, personality and attitudes,
motivation, behavioural decision making, and goal setting. Cognition is a
contribution to a person's thinking, perception, problem solving, and
information processing in the cognitive framework. The cognitive
theoretical framework can be represented through Edward Tolman's
work. Tolman defines learning as the expectation that a specific event
will result in a specific outcome.
2. Behaviouristic framework: Ivan Pavlov and Jon B. Watson, two
pioneering behaviourists, highlighted the importance of examining
observable behaviours rather than the illusive mind. They studied the
stimulus' impact and concluded that learning happens when the
relationship between the stimulus and the response is established.
Modern behaviourism, which can be traced back to B.F. Skinner, holds
that how we respond to a stimulus is influenced by the environment. It is
vital to remember that the behaviourist framework is based on
observable behaviours and observable environmental variables.

38
3. Social cognitive framework: According to the social learning
framework, behaviour is best described by the constant reciprocal
interaction of cognitive, behavioural, and environmental variables. The
person and the environment do not function as separate entities, but
rather interact with one another to influence behaviour. This means that
cognitive and contextual variables are important, but past behaviour
experiences also have a role in determining who a person becomes and
what they can do, which influences subsequent behaviour. The
experience of the repercussions of past behaviour modifies a person's
cognition or knowledge.
4.2 LIMITATIONS OF ORGANIZATIONAL BEHAVIOUR
Organizational behaviour is not an exact science that will vary
depending on the company. When it comes to leadership that does not
aim to improve workplace culture, job satisfaction, or employee
retention, organizational behaviour has limits as part of the whole
company. The following are some of the drawbacks of organizational
behaviour.
1. Behavioural bias: The majority of workplace biases are unconscious,
influencing decisions in subtle ways that the decision maker is unaware
of. Therefore, some employees are regarded and treated unfairly in
comparison to the rest of the company's workforce. These biases
unfairly consider irrelevant factors like age, gender, and ethnicity into
performance-based evaluations. This can have a negative impact on the
employee's future at the organization and outside. To prevent
establishing and fuelling biases, the best strategy to lessen biased
influence is to recognize it and be actively aware of it. It also leads to
dependency, dissatisfaction, indiscipline, and irresponsibility.

2. Law of diminishing returns: This economic term refers to

organizational behaviour based on the principle of equilibrium, which
states that once a desirable point has been reached, such as the optimal
relationship between employee satisfaction and productivity, increasing
the desirable facet will result in a decrease in production. Increasing the
desirable thing will result in a decline in production until it hits zero, or
even negative returns. To put it another way, having too much of a good
thing is still having too much. Adding more of the same item will produce
an imbalance, resulting in a decline in all elements of the company.

3. Unethical practices and manipulation of people: While

organizational behaviour provides significant information, tools, and
tactics for helping employees within an organization grow and develop to
their full potential, unethical exploitation of this information is a major

39
concern. This is a concern about people in positions of authority
manipulating others in the workplace to undertake unethical, illegal, or
unjust actions. This could include abusive behaviour, time or resource
theft, or other policy violations. Manipulative managers can use
knowledge obtained in motivation and communication to manipulate
subordinates in a company.

4. Failure of individual on the domestic front: Only in the workplace

does the subject enable an individual to better understand human
behaviour; at home, he or she may be a failure. People with a broad
understanding of behavioural sciences have occasionally turned out to
be total complete wrecks in their personal lives.
5. Failure to contribute to the improvement of interpersonal
relations: The subject of organizational behaviour has failed to
contribute to the improvement of interpersonal relationships in
organizational contexts. Interpersonal relationships are influenced by
jealousy, backstabbing, tugging, intrigues, harassment, and unequal
rewards, as well as brilliant speakers, training programmes, talks,
smiles, assurances, politeness, and more.

6. Organizational behaviour is selfish and exploitative: It simply

serves management's interests. The theme fosters a competitive
atmosphere among employees by emphasizing motivation, efficiency,
and productivity. They are not permitted to work and live in peace with
one another.
7. Expectation of quick fix solutions: A key issue that has plagued the
topic is managers' expectations of quick fixes from behavioural
programmes. Critics of organizational behaviour wonder if theories that
were established and tested during eras of organizational growth and
economic prosperity will hold up under changing circumstances.
Demand will be declining, resources will be scarce, and competition will
be fiercer in the future. When organizations stagnate, deteriorate, or
threat of closure, there will be conflict and stress as a result, which one
of the most is challenging aspects of finding answers to related topics.
8. Conflict and frustration will not be completely eliminated by OB;
it can only be reduced: This implies that organizational behaviour is
not always the best solution to a problem. It is merely a small portion of
an organization's overall structure. Organizational behaviour, on the
other hand, will not solve unemployment. It will not compensate for our
own shortcomings. It cannot make up for a lack of preparation,
organization, or controls. It is just one of several systems that make up a
larger social structure.

40
9. Other limitations: The following are some of the other organizational
behaviour limitations.
a. Organizational behaviour is merely passive knowledge, not a
ready-made answer to all kinds of human issues.
b. The understanding of organizational behaviour is built on
decades of research and experience in Western countries. As a
result, it cannot be immediately implemented everywhere.
c. The majority of the theories and concepts have been around for
a long time. It has limited appropriateness in a completely
different environment.
d. It focuses on only one aspect of the organization, namely the
human dimension, and avoids taking a systematic approach.
e. Many issues arise as a result of the multidisciplinary nature of
organizational behaviour. A manager cannot be educated in all
areas. Therefore, no manager can claim to be an expert on the
subject. Inadequate knowledge can multiply problems.
f. Organizational behaviour, according to experts, is far too
sophisticated to be employed in real life. In reality, it is more
difficult and costly to use.
g. Organizational behaviour knowledge is neither sufficient nor up
to date. The development of knowledge is still in its infancy.
More diverse knowledge is required to analyse and comprehend
man.
h. Organizational behaviour does not ensure the absence of
conflict, job satisfaction, or overall quality of life. In some
circumstances, a manager with no prior knowledge of
organizational behaviour can better manage the organization.

i. Organizational behaviour is a relatively new field of study. To

improve its uncontroversial use and application, more extensive
and global study is required.
LET US SUM UP
Although organizational behaviour is extremely complicated, with
numerous inputs and aspects, theoretical frameworks like cognitive,
behavioural, and social cognitive can be used to construct an
overarching model. It is vital to understand these three types of
frameworks in order to implement the actions that make the entire
organization run smoothly. Systematic study and evidence-based

41
management are associated to intuition in organizational behaviour.
Human psychology and the environment in which the human factor lives
and works influence the behavioural aspect. It is possible that
organizational behaviour is a very recent field of study. Any living object,
and especially the human aspect, moves its behaviour. Organizational
behavioural characteristics have only recently been established, taking
into account cognitive aspects as well as the social networks in which
organizations operate. Organizational behaviour is now a system in
which organizations work, and it is seen as a critical aspect in their
success.
CHECK YOUR PROGRESS
Choose the correct answer
1. Learning is based on cognitive theory, which was developed by
___________.
a. Skinner b. Pavlov
c. Tolman d. Piajet
2. In the construction of the overall model of organizational behaviour,
which of the following frameworks is used?
a. The cognitive framework b. The behaviouristic framework
c. The social learning framework d. All of the above
3. ________ framework is based on the concept of human expectation,
demand and intention.
a. Behaviouristic b. Expectancy
c. Cognitive d. social learning

4. The three theoretical frameworks of OB are __________.

a. Cognitive, social and technical
b. Cognitive, behaviouristic, social
c. Leadership, attribution, motivation
d. Attribution, perception and motivation
5. Which of the following items is not included in the basic framework for
studying organizational behaviour issues__________?
a. The process of management b. Organizational context
d. Gender and ethnic differences d. None of the above

42
GLOSSARY

Framework : A framework is a structure or system that is

used to achieve a specific result or goal.

Cognitive : It takes into account both positive and negative

framework aspects of human behaviour.

Behaviourist : It is primarily concerned with stimuli and

framework response.

Social cognitive : This framework for organizational behaviour

framework takes into account cognitive and environmental
factors.

Behavioural bias : Irrational ideas or behaviours, known as

behavioural biases, might unknowingly influence
our decision-making process.

SUGGESTED READINGS
1. Aswathappa, K. Organizational Behaviour. New Delhi: Himalaya
Publishing House.
2. Mishra, M.N. Organizational Behaviour. New Delhi: Vikas
Publishing House.
3. Prasad, L.M. Organizational Behaviour. New Delhi: Sultan Chand
& Sons.
4. Stephen P. Robbins., Timothy A. Judge., and Neharika Vohra.
Organizational Behavior. New Delhi: Pearson Education India.
5. Uma Sekaran. Organizational Behaviour: Text & Cases. New
Delhi: Tata McGraw Hill.
WEB RESOURCES
1. Framework of Organisational Behaviour | cognitive | Behavioral |
social cognitive - Bing video
2. ORGANISATIONAL BEHAVIOUR - YouTube
3. Scope of Organisational Behaviour | Organisational Behaviour |
eLearning Video - YouTube
ANSWER TO CHECK YOUR PROGRESS
1.c 2.d 3.c 4.b 5.a

43
 BLOCK II

PERCEPTION, LEARNING, EMOTIONS AND ATTITUDE

UNIT 5 PERCEPTION

UNIT 6 LEARNING

UNIT 7 EMOTIONS AND EMOTIONAL INTELLIGENCE

UNIT 8 ATTITUDES AND VALUES

43
UNIT 5

PERCEPTION
STRUCTURE

Overview

Learning Objectives

5.1 Perception - Meaning and Definitions

5.2 Nature of Perception

5.3 Importance of Perception

5.4 Factors Influencing Perception

5.5 Issues Involved in or Barriers to Perception

5.6 Ways for Improving Perceptual Skills

5.7 Interpersonal Perception

Let Us Sum Up

Check Your Progress

Glossary

Suggested Readings

Answer to Check Your Progress

OVERVIEW

Perception is the process by which people organise and interpret their

quantifiable experiences in order to make sense of their situation.
Perception is a critical cognitive mediating activity. People make
interpretations of the stimulus or situation they are faced with through
this intricate process. Perceptual interpretations are influenced by
selectivity and organization. Selectivity is influenced by external factors
such as intensity, size, contrast, repetition, movement, novelty, and
familiarity. Internally, perceptual selectivity is influenced by a person's
motivation, learning, and personality. Cognitive processes are
significantly responsible for individual differences and uniqueness.
Although there are many cognitive processes, it is widely acknowledged
that the perceptual process, which lies between situation and behaviour
and is most relevant to the study of organizational behaviour, is one of

44
the most essential. People's behaviour is based on their perception of
reality, not reality itself, which is why perception is important in the study
of organizational behaviour. It gives meaning to information collected
through all five senses: touch, smell, hearing, sight, and taste.
LEARNING OBJECTIVES
After completing this unit, you will be able to:

• define perception
• comprehend the nature of perception
• describe the importance of perception
• elucidate the factors that influence perception
• identify the issues involved or barriers to perception
• examine ways for improving perceptual skills
• understand interpersonal perception
5.1 PERCEPTION - MEANING AND DEFINITIONS
Perception is the process by which people organise and interpret their
sensory experiences in order to understand their environment. People
select, organise, and interpret sensory stimuli into meaningful
information about their working environment through perception, which is
essentially a psychological process. Let us look at the definition of
"cognitive process" before we go into the concept of perception. The act
of knowing information is referred to as cognition. Cognition is the study
of a person's thoughts and perceptions. Overt and hidden physical
aspects, social and cultural variables, environmental issues,
technological and mechanical factors, and international factors can all be
learned from the stimulus.
Perception, according to Stephen P. Robbins, is the process by which
individuals organize and interpret their sensory impressions in order to
make sense of their environment.
“Perception is an active psychological process by which individuals
organize and interpret their sensory impressions in order to give
meaning to their environment,” according to Luthens Fred.
"Perception can be defined as the process of receiving, selecting,
organizing, interpreting, verifying, and reacting to sensory stimuli or
data," according to Udai Pareek.

45
In simple words, perception is the act of seeing what is there to see.
However, the perceiver, the object, and its environment all have an
impact on what is seen.

5.2. NATURE OF PERCEPTION

1. Intellectual process: Perception is the process of selecting,
organizing, and analyzing data from the environment in order to
obtain specific points of view. As a result, it is an intellectual
process.
2. Psychological process: Perception is based on an individual's
psychology. Therefore, the way a person acts, thinks, or feels is
influenced by the perception of his surroundings.
3. Subjective process: The same event can be perceived differently
by two or more persons. It all depends on their capacity to choose
what to grasp, how to categorize the information gathered, and how
to analyse the event. Thus, perception is a subjective process.
4. Lens providing worldview: Perception functions similarly to a lens
in that it provides a person with a perspective on their environment
and reality.
5. Socially connected: Because a person's state of mind changes
over time, everyone needs to grasp another person's nature from
time to time. Therefore, perception is seen to be socially connected.
6. Culturally influenced: People's perspectives on the world might be
shaped by their cultural values. People from many cultures, for
example, speak a variety of languages.
7. Self-fulfilling: When we talk about a person's perception, the
perceiver and the perceived are both people, making the situation
more complicated. During difficult times, for example, people may
assume that the current situation is bad and will worsen in the days
to come. As a result, people begin to act selfishly. They are mainly
concerned with defending themselves and their families.
5.3 IMPORTANCE OF PERCEPTION
Perception is a crucial process that allows the organism to detect and
evaluate information from its surroundings via sensory receptors. We are
able to understand the elements and properties of the environment that
are important to our existence, as well as operate in our environment,
because of this. People's behaviour is based on their perspective of
reality, not reality itself, which is why studying perceptions is important in
the study of organizational behaviour. As people have ideas, goals, and

46
intentions, the assumptions we make about a person's internal state
have a significant impact on our perceptions and judgments. The
following points will help you understand the significance of perception:

1. Understanding human behaviour: As everyone perceives the

world and addresses life differently, perception is important to
understanding human behaviour. Everything we see or feel is not
always the same as what it is in reality. We buy something because
we believe it is the best, not because it is really the best. This is due
to the fact that everyone sees the world and approaches life's
problems in their own unique way. Thus, it is relatively simple to
determine why one person is satisfied with his work while another is
dissatisfied with the same work.
2. Helps in behaviour prediction: Understanding people's
perceptions makes it relatively simple to predict their behaviour.
Two persons can see the same information in different ways. We
can forecast people's behaviour in new circumstances by studying
their existing perspective of the environment, if they behave based
on their perception. A person's perception of the facts may differ
from the perception of another viewer.
3. Determination of people needs: Understanding a person's
perception of a situation might help to comprehend his needs. The
ability to determine people's wants is possible with the use of
perception. Hence, the needs of various people can be determined
using perception, because people's perception is influenced by their
needs.
4. Helps to effectively manage subordinates: If a manager wants to
be productive and avoid mistakes in the workplace, he must first
understand his employees' perceptions. For managers who want to
avoid making mistakes when dealing with people and situations in
their workplace, perception is critical. The fact that various people
interpret the same situation differently adds to the complexity of the
problem. Therefore, managers must be aware of their employees'
perceptions in order to deal with them successfully.
5. Developing new perspectives: Perception helps in the
development of new perspectives. When we see things through the
eyes of others, we obtain new insights that can help us understand
and assist people. Perception is valuable because it provides more
than an objective outcome.

47
 6. Builds character: Perception, whether good or poor, shapes one's
character, defining the various roles that one can play. They go by
the names of clown, victim, self-righteous, hypocrite, and so on.

5.4 FACTORS INFLUENCING PERCEPTION

Perception is influenced by several factors. There are two types of
factors: internal and external.

I. Internal factors: Internal factors relate to the perceiver. For a

manager, perceiving people is important since behaviour is the result of
perception.
1. Personality: The individual's viewpoint shapes his or her personality.
An authoritative boss, for example, sees subordinates as incompetent
and unmotivated to work, but a democratic leader sees subordinates as
productive and able to rely on delegating and empowerment.
Furthermore, the generational gap that has emerged in recent years
undoubtedly adds to differing perspectives.
2. Learning: Employee perspective is heavily influenced by past
experiences and learning. When making decisions, managers in the
organization, for example, are influenced by their functional
backgrounds. Learning has the potential to be the most essential factor
in the formation of the perceptual whole. It is a type of cognitive
awareness in which the mind organizes information and creates images,
then compares them to earlier exposures to similar stimuli. Learning
creates expectation, and expectation causes them to see what they want
to see, which means that people's perceptions and interpretations are
influenced by their previous experience.
3. Motivation: Motivation has a significant impact on perceptual
selectivity because it makes people want to do things and activates their
internal stimuli. At any one time, a person's most pressing needs and
desires might influence perception. A person with a high need for power,
affiliation, or achievement, for example, will be more aware of key
situational variables. People who were kept hungry for a period of time
were shown pictures and asked to describe what they saw in them in
one experiment.
4. Needs and desires: Individuals' perceptions of stimuli are influenced
by a variety of factors, including their needs and desires. Individuals are
energized by unmet needs or reasons, which can have a significant
impact on their perceptions.
5. Experience: Perception is built on the basis of experience and

48
knowledge. Failure erodes one's self-confidence whereas a good
experience strengthens one's ability to perceive. A positive experience
helps the perceiver in better understanding stimuli.

6. Perceptual organization: Perceptual organization is the process

through which people group stimuli into recognizable and identifiable
patterns. When an external stimulus is received, mental processes begin
to organise it into a meaningful and identifiable whole. Perceptual
organization can be best understood by considering the following
factors:
a. Perceptual grouping: The propensity to reduce individual
perceptions into meaningful patterns is known as perceptual grouping.
b. Principle of similarity: Objects of the same size, shape, or colour
are grouped together according to the principle of similarity. For
example, if workers in a manufacturing unit wear yellow hard caps and
visitors are required to wear white hard caps, the supervisor will be
able to easily identify visitors.
c. Principle of proximity: The proximity principle states that a group
of stimuli that are close together will be viewed as a set of parts that
belong together. Workers who work on the same machine, for
example, are viewed as a single group or unit.
d. Principle of closure: The closure principle shows that an individual
can see a whole object even if only a part of it is visible.
e. Principle of continuity: The tendency to see objects as continuous
patterns is known as the continuity principle.
f. Perceptual constancy: Individuals with perceptual constancy can
maintain consistency or stability in a complex world. Shape, size, and
colour consistency are all examples of consistency.

g. Perceptual context: The perceptual environment provides stimuli

meaning and value.
h. Perceptual defence: When confronted with inconsistent,
disagreeable, or threatening stimuli, an individual engages in
perceptual defence.
II. External factors: Here are the external factors that influence people's
perception:
1. Size: As it establishes dominance, height always attracts attention.
Smaller things get less attention than larger ones. A person's height or
weight, a store sign, or the amount of space given to a newspaper

49
advertisement is all examples of size. A full-page ad, for example, will
always get more attention than a few lines in the classifieds section.
2. Intensity: Intensity draws people in and makes them more
discriminating in their perspective. Superiors might use the concept of
intensity to get their subordinates' attention by shouting at them. A loud
noise or a strong odour, for example, will be detected more than a soft
sound or a weak odour. It will be more intense if the office order states,
"Meet the boss immediately," as opposed to "Make it convenient to meet
the boss today."
3. Colour: Darker hues are more noticeable than lighter ones. Color
images or videos, for example, receive relatively more attention than
black and white photographs or films.
4. Contrast: The object's contrast draws in more attention. An object
that stands out in comparison to the surrounding is more likely to be
noticed than one that blends in. When we use a black or red marker on
the whiteboard, for example, it draws greater attention. Because of the
contrast, the woman will be noticed first in a room with twenty males and
one woman.

5. Motion: It means that a moving object gets more attention than a

stationary one. Video clips, for example, are more appealing to us than
images. A flashing neon sign attracts greater attention. A moving train
will attract more attention than one that is standing on the platform.
6. Frequency/repetition: Repetition is a technique for motivating people
to pay attention by activating their inner desire with a series of stimuli.
Hence, supervisors make it a point to provide employees with important
instructions on a regular basis. Similarly, if the same or a similar
advertisement for the same product is shown repeatedly on television, it
will receive more attention than if it is presented only once a day.
7. Nature: The selection of an object is influenced by its nature. Visual
objects draw greater attention than aural objects. This aspect suggests
that images of people or animals, whether visual or audio, will draw
more attention than words. Video attracts greater attention than still
photos, as is generally known. A photograph of people draws more
attention than a photograph of animals.
8. Novelty and familiarity: A unique or familiar external situation might
draw attention, according to this concept. The perceiver's attention will
be drawn to novel objects in familiar contexts or familiar objects in
unfamiliar circumstances. On a busy station, a familiar face will quickly
draw notice. Managers use this approach to shift workers' jobs from time

50
to time in order to increase the amount of attention they devote to their
work.
9. Status: An individual's social status has an impact on how he
perceives things and situations. High-status individuals may have a
greater impact on employee perception than low-status individuals. For
example, different people will react differently to directives from the
foreman, supervisor, or production manager.
5.5 ISSUES INVOLVED OR BARRIERS TO PERCEPTION
It is difficult to perceive and interpret what others are doing. Therefore,
people devise methods for making the task more manageable. These
methods are not without flaws. The following are some of the challenges
or roadblocks to perception:
1. Selective perception: The term "selective perception" is also used to
refer to "selective attention." The personal filtering of what we see and
hear in order to satisfy our own needs is known as selective perception.
It includes an individual's traits and characteristics depending on gender,
age, culture, socio-economic status, and other factors. An employee in
the production department, for example, may concentrate solely on their
skill/work and neglect others. They will notice more vehicles that look
like their own on the road, or in the office, why certain employees are
praised for performing a task that is neglected by others.
2. Stereotype: The term "stereotype" refers to a generalized image of a
group's members' characteristics. For example, consider the prevalent
gender stereotype that men have a strong ego while women are
sensitive. A manager's ability to make sound decisions is hampered by
stereotypes. Due to stereotyping, the management here ignored his
performance and made an incorrect judgement. It causes societal
prejudices, poor decisions, hampers innovation, and has an impact on
human resource utilization, futility, and ineptitude.
3. Contrast effect: The contrast effect means that something that is
dramatically different from everything else will enhance the contrast
between it and everything else. For example, depending on the location
of a candidate's application during an interview with a large number of
applicants, a distortion in their evaluation may arise. If his application is
placed after a somewhat weak candidate, it may get the interviewer's
attention right away, however if it is placed after a very strong candidate,
it may lose its charm. Therefore, the contrast effect has a negative
impact on supervisory decisions.

51
4. Projection: Projection is the tendency to attribute one's own attributes
to other individuals. People who project tend to see others in terms of
who they are, rather than who the person being seen is in fact. Hence,
they are naturally correct when they find someone who looks like them.
The act of projecting one's thoughts onto others has the potential to alter
one's perceptions of others. Managers who project put their ability to
respond to individual differences in jeopardy. They have a tendency to
regard people as more similar than they actually are.
5. Implicit personality theory: Implicit personality theory refers to how
we acquire opinions about other individuals based on our own mini-
theories about human behaviour. These theories help in the organization
of our perceptions and the use of shortcuts rather than constantly
integrating new information. We feel that girls dressed in stylish clothing
will enjoy modern music, whereas girls dressed in traditional clothing,
such as a saree, will enjoy Indian classical music. These implicit
personality theories act as roadblocks because they impede our ability to
assimilate new information when it becomes available.
6. Self-fulfilling prophecies: Self-fulfilling prophesies occur when our
expectations of others influence our interactions with them in such a way
that our expectations are fulfilled. The Pygmalion effect is another name
for the self-fulfilling prophesy. The manager's expectations of an
individual have an impact on both the manager's behaviour and the
individual's response. Assume a manager has a first impression of an
employee who has the potential to grow within the company. Managers
should keep three things in mind to improve the chances of testing
positive for Pygmalion:
a. People behave toward others in accordance with their
expectations of them. Managers who have high expectations for
their employees are usually supportive and provide additional
training and challenging assignments. Managers who have low
expectations of their employees, on the other hand, do not
support them and do not give them training or employees jobs.
b. As one person's actions have an impact on others, individuals
who are treated well will not only profit from particular
opportunities, but their self-esteem will be boosted as well.
c. People behave in ways that are influenced by how they are
treated. High performers are likely to have gotten special
treatment and to be confident in their talents.

52
7. Halo effect: When it comes to appraising subordinates, the halo
effect is a relatively prevalent type of blunder committed by supervisors.
In perception, the halo effect is extremely similar to the stereotype.
Whereas in a stereotype, a person is judged solely on the basis of a
single category, in the halo effect, a person is judged on the basis of a
trait. A perceiver under the influence of the halo effect is unable to
accurately appraise an individual because he does not consider all of his
traits.
8. First-impression error: ‘The first impression is the best impression’.
This first impression will determine the nature of their future relationship.
The tendency to establish long-term relationships about someone based
on first impressions is known as first impression error. If a management
detects that an employee is not working properly, for example. His
parents had recently died in an accident, which was the reason for this.
After some time, he returned to normal and began to perform well, but
the manager's judgement remained unchanged, as he had been badly
influenced by this particular employee's first impression.
9. Perceptual defense: The perceiver is threatened by his or her
inability to perceive. As a result of the perceptual defence, dismissed
employees frequently express shock and claim that they were never
informed of their poor performance. A person who performs poorly at
work, for example, may not be able to receive a warning from their boss.
10. Recency effect: Individuals have a tendency to recall recent events
and draw conclusions about them based on their memories. Recent
incidents remain in our short-term memory and, when perception occurs,
take precedence over other incidents.
11. Illusion: False thinking is an illusion. An improvement will be missed
by the individual, and he or she will perceive it wrongly. A rope, for
example, can be shuffled like a snake in the dark, or vice versa. The
voice of a stranger is blended with that of a friend. A person who does
not return may not be considered a recognized entity.
12. Hallucination: The individual cannot be present in any situation
where he sees stimuli. This mystery is known as hallucination. There
may be an object, person, or voice visible or audible, but there are no
articles or sounds.
13. Similarity: Individuals who are similar to them are frequently sought
out and evaluated more harshly. Evaluators may give higher ratings to
representatives who have similar interests, working procedures,
perspectives, or patterns because of this inclination to assert similarity.

53
14. Horn effect: It refers to the extent to which a person's worth is
primarily determined by an obvious negative trait or major event. In
terms of overall ranking, these outcomes are not acceptable. He cannot
brag in the office, so he might as well walk away.
15. Attributional bias: The method of attribution helps an individual in
determining the causes of their behaviour. People in an organization are
concerned not only with an individual's behaviour, but also with the
rationale for that behaviour. For example, if a factory's productivity rises
after new machinery is built, the newly installed machinery would be
credited rather than the manager's ability to control personnel.
16. Inference: Some people have the urge to pass judgement on others
based on their lack of understanding. An employee, for example, may sit
at their desk all day and do nothing. Nonetheless, he appears to be
dedicated to his work. The employee's interactions with coworkers and
customers, as well as his productivity, must all be considered.
5.6 WAYS FOR IMPROVE PERCEPTUAL SKILLS
Here are ways to improve perception skills.
1. Knowing one accurately: Experiencing oneself is one of the most
effective ways to reduce perceptual distortions. People usually have
a negative perception of others because they have a negative
perception of themselves. A person's ability to see others is
proportional to how well he understands himself. The Johari
Window Model, for example, can assist in determining how
colleagues can improve mutual understanding. According to the
Johari model, an employee should be like an open space, allowing
both the individual and their coworkers to be aware of their
perceptual constraints.

2. Empathize with others: Empathy is the ability to comprehend and

empathize with the feelings of others. Empathy is a natural
phenomenon that develops on its own within an individual. One can
gain a deeper understanding of another person through
empathizing with them.
3. Have a positive attitude: Attitudes have a long-term impact on
perception. Our perception will surely be distorted if we have a bad
attitude toward someone or anything. We must make an effort to
have a positive attitude and not allow our personal prejudices to
interfere with and obstruct our perceptual abilities.

54
 4. Delay impression formation: Making a judgement about someone
based on their first impression or first meeting is completely
incorrect. Postponing the formation of an impression until more
information about the individual and the situation is collected is a
much superior tactic.
5. Communicating openly: Transparency in communication:
Misperception is caused by insufficient or one-way communication.
The message must be delivered to the right person, at the right
time, and in the right manner.
6. Compare one's perceptions with others': Comparing one's
perception with another person's perception of the same thing is
another effective way for reducing perceptual errors. We can learn
about different points of view and potentially obtain a better
understanding of the situation and the thing by sharing our
perceptions.
5.7 INTERPERSONAL PERCEPTION
The process of establishing impressions of others is known as
interpersonal perception. This includes analyzing non-verbal behaviours,
deducing meaning from other people's activities, and making personality
judgments about other people. Because it studies the many judgments
people make about others based on verbal and non-verbal cues, this
theory of perception is considered a crucial aspect of good
communication. Understanding these behaviours can frequently help
you inspire positive responses from others. At least two persons must be
present to observe this form of perception. This theory of perception is
also linked to other sub-categories of social psychology, such as
stereotyping and emphasis. Non-verbal communication, reinforcing,
questioning, reflecting, opening and closing, explanation, listening, and
self-disclosure are all examples of interpersonal perception.
Interpersonal perception is a complicated and often unconscious
process. By becoming aware of our own common perceptual errors and
working to improve them, we can become more proficient
communicators by becoming more aware of typical human perceptual
tendencies.
LET US SUM UP
The process of perceiving, receiving, selecting, organizing, interpreting,
and making meaning of the world is known as perception. The perceiver,
the perceived, and the situation are all aspects that influence perception.
Perceptual inputs are obtained from both internal and external

55
environments, and objects are selected from external environmental
factors based on intensity, size, contrast, repetition, movement, novelty,
and familiarity, as well as internal factors such as learning, motivation,
and personality. Perception is the primary means by which we learn
about our environment and ourselves. The process of evaluating
information about another person is known as social perception. The
way a person perceives other people is intimately related to perception.
CHECK YOUR PROGRESS
Choose the correct answer
1. _________ is the result of processes that develop excitement and
perseverance to pursue a specific course of action, whether internal or
external to the individual.
a. Perception b. Leaning
c. Attitude d. Motivation
2. Perception is referred to as when it is influenced by the group to which
the stimuli belong___________.
a. Attrition b. Projection
c. Halo effect d. Stereotype
3. The process of filtering out information that we do not like or that
violates our views is known as _______.
a. Perceptual context b. Selective perception
c. Halo effect d. Stereotyping
4. ____________ is the first step in the perception process.
a. Selection b. Organization

c. Interpretation d. Response
5. The perception error of being influenced by the most obvious stimuli
refers to stimuli that are ___________
a. Intense b. Repetitious
c. Contrasting d. All of the above
GLOSSARY
Perception : The ability to see, hear, or become aware of
something through the senses is known as
perception.

Stimuli : It is the ability to perceive something through the

56
 senses and become aware of it.
Halo effect : When a trait of a person or object is used to
create an overall judgement about that person or
thing, the "halo effect" occurs. It encourages hasty
decisions, even if they are biased.
Stereotype : A stereotype is a generalized belief about a
specific group of people. It is an expectation that
people may have of each member of a group.
Selective : Individuals use selective perception to perceive
perception what they want in media messages while ignoring
opposing opinions.
Interpersonal : Interpersonal perception is a branch of social
perception psychology that studies how people interact and
form opinions about one another.
SUGGESTED READINGS
1. Aswathappa, K. Organizational Behaviour. New Delhi: Himalaya
Publishing House.
2. Mishra, M.N. Organizational Behaviour. New Delhi: Vikas Publishing
House.
3. Prasad, L.M. Organizational Behaviour. New Delhi: Sultan Chand &
Sons.
4. Stephen P. Robbins., Timothy A. Judge., and Neharika Vohra.
Organizational Behavior. New Delhi: Pearson Education India.
5. Uma Sekaran. Organizational Behaviour: Text & Cases. New Delhi:
Tata McGraw Hill.
WEB RESOURCES
1. Perception - Organisational behaviour, - Bing video
2. What is Perception | Organisational Behavior | MeanThat - Bing
video
3. ORGANISATIONAL BEHAVIOUR ( PERCEPTION ) - Bing video
4. Organizational Behavior: Self perception and social perception -
Bing video
ANSWER TO CHECK YOUR PROGRESS
1.a 2.d 3.b 4.a 5.d

57
UNIT 6

LEARNING
STRUCTURE

Overview

Learning Objectives

6.1 Learning - Meaning and Definitions

6.2 Characteristics of Learning

6.3 Factors Affecting Learning

6.4 Principles of Learning

6.5 Learning Theories

6.5.1. Trial and Error Learning Theory

6.5.2. Learning by Conditioning

6.5.3. Cognitive Theory

6.5.4. Social Learning Theory

6.5.5. Learning by Insight

6.5.6. Learning by Imitation

6.6 Managerial Implications of Learning

Let Us Sum Up

Check Your Progress

Glossary

Suggested Readings

Answer to Check Your Progress

OVERVIEW

The learning process is extremely beneficial to enriching human life in all

areas. All activities and behaviours that contribute to a tranquil and
enjoyable personal, social, and economic existence are learnt. Learning
has a significant impact on human behaviour in organizations. There are
several organizational behaviours that are not affected by learning,
either directly or indirectly. Employees must understand what they

58
should do, how they should accomplish it, the scope of their
responsibilities, and the consequences of excellent or poor performance.
During the 1990s, the concept of a learning organization gained
widespread. The learning organization is a set of structures and policies
that promote individual learning while also benefiting the organization.
For many firms, knowledge has thus become a more valuable asset than
materials and products. Therefore, in order to comprehend the
behaviour of individuals, groups, and organizations, we must first
understand the concept of learning. In this unit, we will look at various
aspects of learning.
LEARNING OBJECTIVES
After completing this unit, you will be able to:
• define learning
• understand the characteristics of learning
• identify the factors that influence learning
• explain the learning principles
• describe the learning theories
• discuss the managerial implications of learning
6.1 LEARNING - MEANING AND DEFINITIONS
Learning is a constant throughout our lives. The process of obtaining
new or changed knowledge and abilities is known as learning. Learning
is the process of changing one's behaviour as a result of new
information, skills, or training. Therefore, it is evident that there must be
a change in behaviour that is lasting; only then can learning be claimed
to have occurred. From an organizational standpoint, behaviour change
can be beneficial or detrimental. The change must be permanent, which
implies there must be a significant difference in behaviour before and
after acquiring particular knowledge or skills, and the difference must be
related to some type of experience or training.
Kurt Lewin said “the learning as the direct cognitive organization of a
situation. Motivation has a significant role and place in learning.”
“Learning is the process by which the individuals acquire various habits,
knowledge, and attitudes that are necessary to meet the demands of life,
in general”, writes G.D. Boaz.
"Learning is the process of more or less permanent modification of one's
behaviour, by what he does and the consequences of his action, or by
what he observes," according to N. L. Munn.

59
6.2 CHARACTERISTICS OF LEARNING
The following are some of the characteristics of learning:
1. Behavioural change: Learning necessitates behavioural change,
which can be beneficial or detrimental to an organization. Although
learning improves behaviour, the change in behaviour does not
have to be an improvement over the preceding behaviour. For
example, smoking is a harmful habit.
2. Changes in behaviour must be long-lasting: Change must be
relatively lasting in order to be considered learning. People's
behaviour changes more or less permanently when information is
translated into knowledge and wisdom. Temporary changes could
simply be reflected and not represent any learning. Temporary
adjustments such as fatigue or drugs, for example, are not covered
in learning.
3. Change must be based on experience, practice or training:
Experience, practice, and training can all influence a person's
behaviour. Direct or indirect experience, firsthand or through
observation or reading, is possible. This change may not be
noticeable until a situation develops that allows for the new
behaviour. Any change in behaviour as a result of physical
maturation, disease, or physical harm, for example, is not
considered learning.
4. Reinforcement: For learning to take place, the practice or
experience must be reinforced. If no reinforcement is given in
conjunction with the practice or experience, the behaviour will
gradually disappear.
5. Learning is reflected in behaviour: Learning is defined as a
change in an individual's mental process or attitude that is not
accompanied by a change in behaviour. Further, learning should
result in the possibility for behaviour, not necessarily the behaviour
itself. For example, if a person is considering using drugs but has
not yet done so and learns that a buddy of his died as a result of
drug usage, he will never use drugs.
6. Learning involves changes: People gain new information, which
is processed in their mind, as a result of learning. This process
generates new information. Their existing pattern of behaviour
changes as a result of this new understanding.

60
 7. Behavioural issues: Different attitudes and values should result
from changes in knowledge and wisdom. Behavior should change
as a result of these new attitudes and values.

8. Reinforcement: For learning to occur or to be repeated, practice

and experience must be prioritized.
9. Stimulus: Everyone requires a source of motivation to complete a
task, and stimulation serves as a motivator or incentive. Because
the learner should be encouraged in the learning process, they
should have a good perception of stimuli. There is no thought when
there are no triggers. Knowledge growth, abilities and skills,
improved job quality, productivity and profitability, effectiveness,
career advancement, and financial and non-financial incentives are
all examples of stimuli.
10. Response: When a result is achieved, the first step in the learning
process is to respond. The learner will respond favourably because
only then will the learning process begin, and only then will he or
she be able to respond positively to certain unfavourable reactions
if he or she is certain of good behavioural improvements.

11. Motivation: As learning cannot take place without motivation,

motivation is the most important catalyst for motivating individuals
to learn. Curiosity and attitude are boosted by a passion for
learning. No one can learn without willingness, and willingness
comes from motivation.
12. Rewards: A clear reward structure should be in place during the
learning process, and it should be simple and predictable.
Employees should be aware of what they can expect as a return or
incentive when learning at various levels. Financial and non-
financial rewards are also possible. For instance, praise might be
used as an incentive or to increase one's salary increment.
6.3 FACTORS AFFECTING LEARNING
Learning is based on a certain basic factor that determines what
changes this experience will bring about. Motivation, practice,
environment, and mental group are the key influences on learning.
Learning is reflected in behaviour, and changes in behaviour are the
result of experience, practice, or training. The following are important
factors that influence learning:

1. Motivation: Motivation is the encouragement and support we

receive in order to perform an activity or achieve a goal. It is an

61
 important aspect of learning since it provides us with the positive
energy we need to perform a task. The coach, for example,
inspired the players to win the game.

2. Practice: "Practice makes us perfect," as we all know. It is

important to practice what we have learnt in order to be a
perfectionist or at the very least complete the task. We can only be
a programmer, for example, if we run the codes we have written.
3. Environment: We learn from our environment and from the
individuals we interact with. Internal and external environments are
the two types of environments. When a child remains at home, for
example, he or she learns from his or her family, which is an
internal environment. Nevertheless, when a child is sent to school,
it is an external environment.
4. Mental group: It defines our mentality based on the persons we
choose to date. Simply said, we are a group of people with whom
we have common interests. It could be for a social cause when the
people with similar mindsets are working together.
5. Motive: A motivation is an individual's inner psychological state
that activates, leads, supports, or inhibits his behaviour toward a
goal. The main drivers of behaviour are motives. They appear and
disappear on a regular basis, determining the general direction of
an individual's behaviour. Learning is impossible without the drive
to learn.
6. Stimuli: Stimuli are objects that can be found in a person's life.
Stimuli increase a person's chances of eliciting a specific response.
There are two types of stimuli:
a. Generalization: The consequences of generalization for
human learning are significant. When similar new stimuli are
repeated in the environment, generalization occurs.
b. Discrimination: When it comes to discrimination, the
responses vary depending on the stimuli. A graduate student,
for example, may learn to respond to video teaching but not to
an oral lecture from their lecturer.
7. Responses: The stimulus produces responses, which can take the
form of physical responses, attitudes, perceptions, or other
phenomena. Because learning is based on the positivity of the
response, responses are the determinants of learning.

62
 8. Reinforcement: A significant factor of learning is reinforcement.
Reinforcement strengthens the response and tends to cause the
behaviour that preceded the reinforcement to be repeated.
Reinforcement can result in measurable changes.
9. Retention: The term "retention" refers to the ability to remember
and reproduce the learned object over time. It is the long-term
memory of a learnt behaviour.
6.4 PRINCIPLES OF LEARNING
The trainer might employ the learning principles to impart knowledge
and skills to the learners. The principles can be applied with caution,
taking into account the learner's specific task and the learning
environment. The majority of the principles were derived from classical
and operant learning theories. The following are the learning principles.
1. Motivation: The basic principal premise is motivation to learn,
because learning does not occur without it. Motivation can be
recognized at various levels of complexity of a situation. A human
behaviour toward learning is directed and controlled by motivation.
It motivates the learner to participate in the learning process.
2. Reinforcement, punishment and extinction: Anything that
promotes a response and encourages it to be repeated is referred
to as reinforcement. Desirable reinforcement of the learnt behaviour
strengthens the response and enhances the likelihood that it will be
repeated in the future, and vice versa. Positive reinforcement and
negative reinforcement are the two types of reinforcement. Positive
reinforcement encourages people to do things they want to do.
When negative reinforcement is used, an unpleasant occurrence
that occurs before the desired behaviour is removed.

3. Whole and partial learning: If the student is actively participating

in the learning process, it can be more efficient and rapid. Breaking
a job down into chunks and learning the parts is preferable to
learning the full job. In partial learning, an individual must learn
each portion independently and be able to combine the parts in
order to complete the whole performance.
4. Learning curves: This is a visual representation of how much you
have learnt over time. On the X axis, time points are plotted, while
the amount of learning is plotted on the Y axis. A typical curve is
displayed based on the time it takes to learn a certain number of
objects, showing in which measures the rate of learning grows or
decreases with practice.

63
5. Meaningfulness of material: The learning material offered to the
learner should be relevant. If the material provided is related to his
prior knowledge, he will be able to comprehend and learn more.
The relationship between learning and the subject learnt is
established by this principle. Learning is made more meaningful by
organizing meaningful units, using a familiar language, and
providing a conceptual foundation and a logical justification for the
subject.
6. Learning styles: The ability to learn is defined by a person's
learning style. There are four different types of learning styles:
accommodating, divergent, convergent, and assimilative. By doing
and feeling, the accommodator learns. He likes to gain knowledge
through practical experience, such as learning about marketing,
politics, public relations, and management. Diverger is a learner
who learns by doing and feeling. The divergent has the ability to
look at specific situations from various perspectives, such as
learning in the arts, entertainment, and service industries.
Convergers gain knowledge through doing and thinking.
Convergers are interested in practical applications of information,
such as learning in engineering, computers, and management.
Assimilator learns through observation and thinking. The style is
useful for understanding and organizing a wide range of material,
such as in education, information, and science learning.
7. Principle of acquisition: According to the principle of acquisition,
people acquire new behaviours in different ways depending on the
situation. The principle works in five different types of situations: a.
various tasks with different acquisition patterns; b. different tasks
with the same acquisition patterns; c. same task with the same
acquisition patterns; d. same task with different acquisition patterns;
e. same or different tasks with varying degrees of improvement.
Experts in the field use four different types of learning curves to
explain the principle that a decreasing return curve, an increasing
return curve, a S learning curve, and a learning plateau.
8. Principle of primary and recency: Learners can recall the things
they learn first and last in order, according to this principle. This
principle does not apply in all situations, and it can even work
against you. For example, when our most recent impressions are
changed or erased by more recent impressions. According to the
principle of spontaneous recovery, people will follow an
unreinforced conditioned response, relax for a while, and then tend

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 to return to a more highly conditioned response even if no
reinforcement has occurred.
9. Principle of generalization: A new stimulus and the old stimulus
are both responded to in the same way, according to the
generalization. It entails the same response to the various stimuli. If
the new stimulus is identical to the conditioned stimulus, the
conditioned response will be elicited.
10. Principle of discrimination: The principles of discrimination and
generalization are diametrically opposed. A varied response to
similar stimuli is the principle.
11. Feedback: When both the instructor and the learner provide
feedback to one other, learning can be more effective. The
instructor requires feedback in order to understand how the learner
is progressing, and the learner requires feedback in order to
understand his own level of performance.
12. Overloading: When a person tries to recall previously learned
content on a regular basis, forgetting is reduced and the material is
memorized in the brain.
6.5 LEARNING THEORIES
Psychologists have attempted to explain how and why humans learn.
Learning theories are what they are called. Learning theories are a set of
principles that explain how people learn, retain, and recall information. It
is possible to have a better understanding of how the learning occurs by
studying various learning theories. The theories' principles can be used
as guidance for selecting learning-promoting teaching instruments,
approaches, and tactics. Many theories exist to explain learning modes.
The following are the most important among them:

6.5.1. Trial and Error Learning Theory

EL Thorndike, an American psychologist, developed this theory (1874-
1949). He claims that learning is accomplished through trial and error.
Learning, he claims, is a lengthy process in which an individual will make
numerous attempts to learn. The basic essence of this theory is that as
the number of trials increases, the number of errors decreases. This is
made possible by the association that is built between sensory
impressions and action impulses. Because these associations develop
stronger or weaker as a result of habit making and breakage, they are
referred to as "bonds" or "connections." When a person is put in a new
situation, he makes a particular number of random movements,

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according to this theory. Those who fail are dismissed, while those who
succeed are retained. Their number is extremely high on the first effort;
however, on the second attempt, the number of errors diminishes and
the scope of activity narrows. The individual gradually learns to eliminate
unnecessary movements and achieves his or her aim. Repetition is the
key to improvement.

Thorndike used a "puzzle box" to study the characteristics of trial-and-

error learning in a series of cat experiments. A hungry cat was placed in
one of the tests, and the door was closed, which could be opened by
pressing a latch. A fish was placed on a plate outside the box. This fish
was visible to the cat. For five days, the cat was put through 100 trials,
ten in the morning and ten in the afternoon. After being fed at the end of
each trial period, the cat was given nothing to eat until the next session.
If, by chance, it managed to open the door in any try, it went to eat food
(fish). During each trial, the cat's behaviour was meticulously recorded.
The cat began by making a series of random movements such as biting,
scratching, rushing, and so on. The cat gradually reduced wrong replies
(errors) in future trials, as it was able to move the latch as soon as it was
put on. The random movements steadily decreased in this experiment,
indicating that as the number of trials increased, the number of errors
decreased. The way to open the door was discovered as the trials went,
and the cat was eventually able to open the door without error. The
amount of time spent on each trial was eventually reduced.
6.5.2. Learning by Conditioning
Conditioning literally means "get used to" or "adapt" to a new situation or
stimulus. It is the process of substituting the original stimulus with a new
one and linking the response to the new stimulus. Conditioning theories
are divided into two types:
6.5.2. 1. Classical Conditioning
Learning is related to both a conditioned and an unconditioned stimulus,
according to classical conditioning. Ivan Pavlov, a Russian psychologist,
undertook the well-known classical conditioning experiments in the early
1900s to teach dogs to salivate in response to the ringing of a bell.
Pavlov noticed a lot of salivation when he handed a piece of meat to the
dog in the experiment. Food is an unconditioned stimulus, and salivation
is an unconditioned response, according to him. The dog salivated when
it saw the meat. The dog, on the other hand, did not salivate when
Pavlov just sounded a bell. When the dog was given meat, Pavlov
introduced the sound of a bell. Even when there was no meat, the dog
gradually learned to salivate in response to the ringing of the bell. The

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dog had been trained to respond to a learnt stimulus by Pavlov. This is
known as Thorndike's "Law of Exercise," which holds that behaviour can
be learned through the repeated association of a stimulus and a
response. The numerous phenomena of this experiment are explained
by classical conditioning sub-principles.
a. Extinction and spontaneous recovery: The term "extinction" refers
to the cessation of a response. When a conditioned stimulus is
presented alone for a period of trials without being followed by an
unconditioned stimulus, the strength of the conditioned stimulus
gradually declines. This is referred to as "extinction." The dog
progressively stopped salivating when merely the bell was provided
without food for a number of trials in this experiment. The response to
the unconditioned stimulus (salivation) was regained when the
conditioned stimulus (bell) was matched with the unconditioned stimulus
(food) for some trials. This is referred to as "spontaneous recovery."
Because the relationship between the conditioned stimulus and the
unconditioned stimulus that remained existed in the animal's brain during
spontaneous recovery, the dog required fewer trials than the first time.

b. Stimulus generalization: Generalization of the stimulus refers to a

tendency to respond to a stimulus that is similar to the original one; the
greater the similarity, the higher the generalization. Even when a buzzer
that sounded like a bell was used in this experiment, the dog began
salivating.
c. Stimulus discrimination: When there is a significant difference
between two stimuli, the animal can tell them apart. If the dog is trained
to salivate when the red-light flashes, it will not salivate when the green
light flashes.

d. Higher order conditioning: The dog will salivate to light up if a "light"

is presented, followed by a bell, and then food for a number of trails. The
higher order condition is the name for this phenomenon.
The laboratory is not the only place where conditioning takes place.
Many examples of this type of learning can be seen in our daily lives.
For example, a small child who does not know what he is doing touches
a lit candle, which causes him pain and causes him to withdraw his
hand. Later on, he will move away from hot objects and avoid them
altogether as a result of this experience. Conditioning is an extremely
efficient psychotherapeutic strategy for treating abnormal behaviours
including phobias, alcoholism, and bedwetting, among others. Watson
and colleagues conducted numerous experiments to demonstrate the
method's usefulness.

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In the study of organizational behaviour, classical conditioning has
limited utility. Classical conditioning, as Skinner pointed out, is a minor
component of overall human learning. The passive conditional is the
most common type of conditional. When a conditioned stimulus is
combined with an unconditioned stimulus, this is known as classical
conditioning. The conditioned stimulus is usually an impartial stimulus,
such as the sound of a tuning fork, the unconditioned stimulus is
biologically effective, such as the taste of food, and the unconditioned
response to the unconditioned stimulus is a reflex response, such as
salivation or sweating. When the conditioned stimulus is offered alone,
an individual shows a conditioned response following repetition of this
coupling process (for example, some learning may already occur with a
single coupling).
6.5.2. 2. Operant Conditioning
This learning theory was developed by Harvard psychologist B.F.
Skinner. "Operant conditioning is a type of learning that occurs through
rewards and punishments for behaviour," according to Skinner (1938).
An individual forms an association between a certain behaviour and a
consequence through operant conditioning. Operant conditioning, often
known as instrumental conditioning or reinforcement theory, is a type of
conditioning theory. This theory describes a learning process in which
behaviour is influenced or controlled by outcomes. Individuals learn to
repeat behaviour for activities that have pleasant consequences and are
less likely to repeat behaviour for actions that have negative
consequences in operant conditioning. Learning occurs as a result of
behaviour, according to operant conditioning. For example, if an
employee receives a promotion as a result of his or her hard work, he or
she will repeat the same behaviour in the future, i.e. he or she will
continue to work hard in the workplace. If the management rewards
employees who work longer hours with a higher wage, the employees
will continue to work longer hours. Reinforcement is the practice of
paying a higher wage. Reinforcement reinforces the behaviour and
makes it more likely that it will be repeated.
Operative conditioning states that an individual's behaviour is influenced
by a variety of factors. People used to behave in a certain way in order
to earn rewards, and they would often avoid doing things for which they
received no reward. The clearest example of this learning theory is B. F.
Skinner's rat experiment, in which "Skinner trained rats to push a lever
for food; a hungry rat was placed in a box with a lever coupled to hidden
food content." Initially, the rat ran around the box at random, pushing the

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lever down and causing the food to fall into the box. The sound of food
falling reinforced the decision to pull the lever. And the rat learned to
push the lever for food as the same things happened over and over
again. People are more likely to engage in such behaviour if they are
favourably reinforced, and rewards that are given soon after the desired
response are more effective.

Operant conditioning is an effective management method for people in

organizations. The majority of organizational behaviours are operant
behaviours, which are taught, controlled, and modified by
consequences. By managing its reward system, management can
successfully use operant conditioning to control and influence employee
behaviour. Managers can use four different reinforcement strategies to
affect employee behaviour: positive reinforcement, negative
reinforcement, extinction, and punishment.
1. Positive reinforcement: A positive reinforcer is a reward that is given
in response to certain behaviour. Positive reinforcement is divided into
two categories: primary and secondary. Food, water, and sex are
biologically important primary reinforcers with effects that are
independent of previous experiences. A primary reinforcer, such as food,
meets the hunger demand while also reinforcing the food-producing
behaviour. Career advancement, recognition, praise, and esteem are
secondary reinforcers that result from a prior interaction with a primary
reinforcer. It is necessary to learn primary reinforcers. Management
must select suitably strong and persistent reinforcers in order to
successfully implement reinforcement methods.
2. Negative reinforcement: Negative reinforcement refers to the threat
of punishment. Negative reinforcers can be used to reinforce desired
behavioural responses, causing them to be suppressed or stopped.
3. Extinction: Extinction is a powerful tool for restraining undesired
behaviour. Non-reinforcement is what it means. It is predicated on the
principle that if a response is not reinforced, it will fade away over time.
Extinction is a behavioural strategy that does not promote good
behaviours but does have the potential to lessen bad ones.
4. Punishment: Punishment is a management tool that is used in
organizations to discourage and reduce problematic employee
behaviour.

6.5.3. Cognitive Theory

The individual's ideas, thoughts, knowledge, interpretations, and
comprehension of the world are referred to as cognition. Learning occurs

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in cognitive learning following conscious contemplation on the problem
or circumstance, which is based on intuition and established facts.
Individuals respond objectively and with a specific aim in mind. In fact,
cognition is the act of knowing information and how that knowledge
impacts a person's behaviour so that the information gives cognitive
cues to the desired goal.

A well-known cognitive theorist is Edward Tolman. He used white rats as

test animals in his experiment. He discovered that a rat could learn to
navigate an intricate maze with purpose and direction in order to reach a
goal (food). The rat has learned to anticipate the possibility that specific
cognitive cues associated with the choosing point will lead to food.
Tolman's approach is referred to as S-S (Stimulus-Stimulus). To put it
another way, learning is the correlation of a cue and an expectation.
Employees expect increased pay, promotions, and a high level of job
satisfaction. Employees learn that working productively allows them to
meet their goals. Cognitive environmental cues the influence and the
performance of productive activity.
Learning is based on one's own perceptions, experience of meanings,
understandings, or ideas about oneself and one's environment,
according to the learning theory of cognition. Learners learn in this
process by employing their own successful and positive mental
processes, as practice, or by recalling information. This learning process
solely involves actions or physical activities within the context of your
own experience and intuition, with no consideration for the external
environment. Cognitive learning theory offered an explanation of
different learning mechanisms by first studying mental processes,
thinking with the help of the positive cognitive processes learning is
easier and new information can be stored in the brain for a long time.
6.5.4. Social Learning Theory
Observational learning or vicious learning is other terms for social
learning theory. Individuals learn by observing others, such as their
parents, teachers, bosses, movies, TV performers, and so on. People
learn in a variety of ways, including by observing others, having direct
experiences, and having indirect experiences. The term "social learning"
refers to the process of learning through these various methods.
Behavioural principles, cognitive concepts, and environmental variables
are all incorporated within social learning theory. The principles of
classical and operant conditioning are combined in this theory. It
recognizes that learning takes place through a variety of methods,
including modelling and self-monitoring. The attention process, retention

70
process, motor reproduction process, and reinforcing process are all part
of this theory.
a. Attentional processes: A learner learns by paying attention to the
model's important features; the more attention a learner pays to the
model, the more effective the learning will be. People pick up on vital
features of role models such as leadership skills, attractiveness, and the
ability to make timely decisions, among other things.
b. Retention processes: The learner should retain the model's
behaviour well after it is no longer available, i.e. how well the learner
remembers the model's action after it is no longer available. The model's
level of influence is determined by how well the individual remembers
the model.
c. Motor reproduction process: The learner must convert the
observation into action, i.e. he must replicate the model's actions. Role
models can be imitated. Children imitate in the footsteps of their parents
and teachers. This is due to the fact that observation leads to action.
d. Reinforcement process: To learn from the model, the learner must
be motivated. Positively reinforced behaviours attract greater attention,
are better learned, and are performed more frequently. Individuals prefer
to demonstrate model behaviour when it is rewarded. People pay closer
attention to role models and learn positive reinforcement behaviours
from them.
6.5.5. Learning by Insight
Wolf Gang Kohler, a Gestalt School of Psychology psychologist,
developed this theory. Gestalt theory states that understanding a
situation as a "whole" provides more insight than the sum of its
components. Kohler's most famous studies were conducted on Sultan, a
chimpanzee. Sultan was placed in a cage and a banana was placed
outside the cage for the experiment. The chimpanzee was then given
two sticks, one of which was designed to be placed into the other,
lengthening the stick. The hungry sultan attempted to get the banana
with his hands first. Then it tried to move the banana closer with one of
the sticks, then with another, but it could not reach it. The chimpanzee
became exhausted as a result of this exertion, and instead of attempting
to reach the banana, it began playing with sticks. By playing in this
manner, one of the sticks will fit inside the other, making the stick longer.
Sultan was overjoyed and pulled the banana with his long stick and ate
it. Kohler named this "sudden flash of idea" for reaching food with a
longer stick "Insight."

71
He conducted numerous experiments to prove that learning may occur
through insight as well as trial and error. The acquisition of knowledge,
abilities, interests, habits, and other personality characteristics can be
explained through trial and error or association through connectionism
and conditioning. However, it is insufficient for solving complex
problems. This is where the method of in-depth learning comes in
handy. Because it entails a variety of higher mental processes such as
logic, intelligence, and so on. When someone has insight, they see the
solution to their problem or difficulty in a flash. He came to the
conclusion that the awareness of the entire circumstance allows for the
emergence of insight to find a solution to a problem.
6.5.6. Learning by Imitation
Imitating others is how we learn a lot of our daily activities. Imitating
others, for example, teaches us how to eat, drink, walk, talk, dress, and
so on. We observe what and how others execute various things by
observing and watching them. We watch, observe demonstrations,
replicate his moves, and learn from them. People avoid wasting time and
effort in the trial-and-error approach of learning by copying the behaviour
of others. For example, a young boy studies how an expert player holds
a cricket bat and moves, then imitates and learns. Millar and Dollard, for
example, have attempted to demonstrate that the desire to mimic is a
learned response, and that if it is reinforced, the individual will be more
likely to imitate in the future. Many people assume that imitation is a
form of learning that is inferior. Others say that imitation will never lead
to new responses and that an individual's creativity or originality will
never be used. However, many educators believe that the individual
imitator is the only way to learn better. Whatever one's point of view, it is
opinion that we learn a great deal by imitating others.
6.6 MANAGERIAL IMPLICATIONS OF LEARNING
People learn in a variety of ways, including by observing others, having
direct experiences, and having indirect experiences. The social learning
theory brings together behavioural, cognitive, and environmental factors.
The theory of classical and operant conditioning is combined in this
theory. It also understands that learning takes place in a variety of ways,
including through the vicarious process, modelling, and self-monitoring.
People learn from a variety of role models, including their parents,
teachers, peers, and leaders. In social learning theory, models have a
significant impact. Change, leadership, and human behaviour are all
topics covered by organizational behaviour research. Its primary function
is to strengthen partnerships by accomplishing organizational, societal,

72
and human goals. Organizations are attempting to strengthen their core
competencies in order to achieve greater success, and their approaches
aim to develop "strong psychological human capital," which will be
significant to attaining their vision and common goals. It is vital for
managers to have technological, interpersonal, and analytical skills in
order to research human behaviour. These interpersonal skills are
important in forecasting what people do in a company and how
behavioural patterns affect company performance, for example.
Human capital is a valuable asset for any company, since it ensures that
employee morale, work ethic, and satisfaction are all positive factors in
the company's success. "One of the UK's richest millionaires and Virgin
Airlines founder, Richard Brandson, says in his own words, 'employees
are first, then customers." He argues that employees must first and
foremost be treated with respect and satisfaction; this, in turn, will lead to
improved customer service, which will benefit the company as a whole.
The basic reality is that the activity is not only unpredictable, but also
that there are basic consistencies that can be used to describe the
behaviour of all people. It emphasizes the importance of learning and
management styles for personal and organizational growth and
development. Organizational behaviour learning is an effective tool for
managers. It recognizes the value of developing specific skills in an
organization.
LET US SUM UP
Any relatively permanent behavioural change as a result of experience is
referred to as learning. Behavioural changes can be used to indicate that
learning has occurred and that the learning has resulted in a change in
behaviour. Three theories have been presented to explain how we learn
to behave in certain patterns. Classical conditioning, operant
conditioning, and social learning are the three types of conditioning. The
law of effect, reinforcement, positive and negative reinforcement, and
the punishments are all learning the principles. As it stresses
understanding the importance of learning and management styles for
personal and organizational growth and development, organizational
behaviour learning is an important tool for managers.
CHECK YOUR PROGRESS
Choose the correct answer

1. Which theory was developed as a result of Ivan Pavlov's experiment?

a. Classical conditioning b. Operant conditioning

73
 c. social learning d. Behaviour shaping
2. Which of the following statements about classical conditioning is not
correct?

a. Classical conditioning is passive

b. Classical conditioning can explain simple reflexive behaviours
c. Learning a conditioned response involves building an association
between a conditioned stimulus and an unconditioned stimulus
d. A neutral stimulus takes on the properties of a conditioned stimulus
3. The principle of operant conditioning is that____________.
a. Behaviour is reflexive
b. Behaviour is unlearned
c. Behaviour is a function of its consequences
d. The tendency to repeat behaviour is very strong
4. The most of what is learned in the classroom is ____________.
a. Classical conditioning b. Operant conditioning
c. Cognitive learning d. Social learning
5. ___________ as a result of the experience is a rather lasting change
in behaviour.
a. Behaviour modification b. Learning
c. Motivation d. Skills
GLOSSARY

Learning : The process of acquiring new understandings, the

knowledge, behaviours, skills, beliefs, attitudes,
and preferences is known as learning.

Motive : Something that inspires a person to act in a certain

way, accomplish a certain activity, etc. is referred
to as motive.

Reinforcement : The action of strengthening or encouraging

something is known as reinforcement.

Stimuli : In financial and economic contexts, a stimulus is

something that triggers a reaction in an organ or
cell; a stimulus can be an incentive.

74
Response : It is a response, whether in words or action.

Operant : Operant conditioning is a type of associative

conditioning learning in which the strength of behaviour is
changed by reinforcement or punishment.

Extinction : It denotes a condition in which something has

ceased to exist.

SUGGESTED READINGS
1. Aswathappa, K. Organizational Behaviour. New Delhi: Himalaya
Publishing House.
2. Mishra, M.N. Organizational Behaviour. New Delhi: Vikas Publishing
House.
3. Prasad, L.M. Organizational Behaviour. New Delhi: Sultan Chand &
Sons.
4. Stephen P. Robbins., Timothy A. Judge., and Neharika Vohra.
Organizational Behavior. New Delhi: Pearson Education India.

5. Uma Sekaran. Organizational Behaviour: Text & Cases. New Delhi:

Tata McGraw Hill.
WEB RESOURCES
1. Management | Organizational Behavior | Learning - Part 1 - Bing
video
2. BBA/B.COM ORGANISATIONAL BEHAVIOUR--LEARNING
THEORIES - Bing video
3. Theories of Learning in Organizational Behavior - YouTube
4. Operant Conditioning: Positive and Negative Reinforcement and
Punishment - YouTube
5. The difference between classical and operant conditioning -
Peggy Andover - YouTube
ANSWER TO CHECK YOUR PROGRESS
1.a 2.d 3.c 4.c 5.b

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UNIT 7
EMOTIONS AND EMOTIONAL
INTELLIGENCE
STRUCTURE

Overview

Learning Objectives

7.1 Emotions – Meaning and Definitions

7.2 Components of Emotions

7.3 Types of Emotions

7.4 Functions of Emotions

7.5 Emotional Intelligence – Meaning and Definitions

7.6 Difference between EQ and IQ

7.7 Importance of Emotional Intelligence

Let Us Sum Up

Check Your Progress

Glossary

Suggested Readings

Answer to Check Your Progress

OVERVIEW
Individual members of the organization have a crucial role in assuring
the organization's future survival. Employees must have interpersonal
skills in addition to technical skills in order to fulfil their roles in the
organization. In order to improve its competitive position and ensure its
survival in a competitive business environment, modern organizations
must be able to adapt quickly to change. Change, instead, has
emotional implications for personnel. The range of emotions
experienced during an organizational change, as well as how they are
reacted to, can have significant implications for the organization.
Managing these emotions effectively is thus a fundamental goal for
managers throughout an organizational change. As it promotes self-
awareness and the individual's ability to control negative emotions,

76
emotional intelligence can have a positive impact on the change
management process. Emotions influence a person's belief of the value
of a job, company, or team. Emotions have an impact on work behaviour
as well.
LEARNING OBJECTIVES
After completing this unit, you will be able to:

• define emotions and emotional intelligence

• understand the components, types and functions of emotions
• distinguish between emotional and intelligence quotients
• discuss the importance of emotional intelligence
7.1 EMOTIONS – MEANING AND DEFINITIONS
Emotions are an important part of our psychological composition, since
they have meaning and function for each of us individually, as well as for
our social relationships and societies as a whole. Emotion comes from
the Latin word "movere," which means "to stir, agitate, disturb, or move."
Emotion is generally characterized in psychology as a complex state of
feeling that causes physical and psychological changes, that affect
thought and behaviour. Emotionality is associated to a range of
psychological phenomena such as temperament, personality, mood, and
motivation.
"Physiological arousal, expressive behaviours, and conscious
experience" are all part of human emotion, according to David G.
Meyers.
"Emotion is an acute disturbance of the organism, as a whole
psychological in origin involving behaviour, conscious experience, and
visceral functioning," writes P.T. Young.
An emotion, according to Don Hockenbury and Sandra E. Hockenbury,
is a complex psychological state that includes three distinct components:
a subjective experience, a physiological response, and a behavioural or
expressive response.
7.2 COMPONENTS OF EMOTIONS
Let us look at the main components of emotions: subjective experience,
physiological response, and behavioural response, to get a better
understanding of what they are.

77
 1. Cognition: This component primarily influences our perception of a
given situation by prompting us to become emotionally involved in
some way, or not at all.

2. Feeling: The most noticeable changes in an aroused individual are

their feelings. Feelings have an instant motivating effect. They
cause a variety of physiological changes in the cardiovascular
system, including an increase in blood pressure and changes in
sexual desire. They stimulate the neurological system and produce
electrochemical activity all across the body.
3. Behaviour: Facial, postural, gestural, and vocal responses are all
part of the behavioural component.
7.3 TYPES OF EMOTIONS
Basic emotions, self-conscious emotions, positive emotions, and
negative emotions are the four types of emotions. These are discussed
in the following order:
1. Basic emotions: Basic emotions are a set of feelings that all
people experience at some point in their lives. Anger, disgust,
happiness, fear, sadness, and surprise are among them. All
humans share these feelings, which can be said to be intrinsic.
Moreover, despite the fact that humans can feel a vast range of
emotions, research on emotions has revealed that all emotions are
the consequence of the combinations of a few basic emotions.
Similar emotional states are represented in terms of similar facial
expressions in all cultures, and even those with the visual
impairments can produce similar facial expressions even if they
have never observed emotional expressions in others, according to
Charles Darwin. Although some emotions are universal across
countries, others are influenced by cultural norms and traditions.
2. Self-conscious emotions: Self-conscious emotions, on the other
hand, necessitate a feeling of self as well as the ability to think
about one's actions. Furthermore, whether or not expectations in
terms of social norms and rules are followed causes similar
emotions. Embarrassment, guilt, pride, shame, and humiliation are
examples of self-conscious emotions. The amount to which an
individual is able to meet their own expectations, the expectations
of others, or social norms causes self-conscious emotions.

3. Positive emotion: Positive emotions indicate an endeavour or

desire to be included. An underlying desire for pleasure and
togetherness fuels positive feelings. Interest, enthusiasm, boredom,

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 laughing, empathy, action, and curiosity are examples of positive
emotions.
4. Negative emotion: Negative emotions indicate a desire or attempt
to exclude others. Negative emotions are motivated by a fear of the
unknown, a fear of others' actions, and a desire to control or stop
them in order to avoid being hurt. Apathy, grief, fear, hatred, shame,
blame, regret, resentment, anger, and hostility are examples of
negative emotions.
7.4 FUNCTIONS OF EMOTIONS
Emotions serve the following functions:
1. Intrapersonal functions: The first is the intrapersonal functions of
emotion, which refers to how emotions affect each of us individually.
a. Help us act fast with minimal awareness: Emotions are fast-
processing information systems that allow us to act with little
thought. Birth, battle, death, and courtship have all occurred at
some point in human evolution, and emotions have evolved to
assist the humans in adapting to these events rapidly and with
minimal conscious cognitive intervention. We would not be able to
make quick decisions like attacking, defending, fleeing, caring for
others, rejecting food, or approaching something useful if we did
not have emotions, which were all functionally adaptive in our
evolutionary history and helped us survive. Drinking spoilt milk or
eating rotten eggs, for example, has serious health implications.
b. Prepares the body for immediate action: Emotions concurrently
activate and deactivate many systems in order to avoid the chaos
of multiple competing systems operating at the same time, allowing
for coordinated responses to the environmental stimuli. When we
are afraid, for example, our body temporarily shuts down
unnecessary digestive processes, resulting in decreased saliva;
blood flows disproportionately to the lower half of the body; the field
of vision widens; and the air is inhaled, all of which are all designed
to prepare the body to flee. Emotions initiate a cascade of
components that comprise subjective experience, expressive
behaviours, physiological responses, action tendencies, and
cognition, all aimed at achieving specific goals. Emotion certainly
prepares the body for action; nevertheless, whether people actually
engage action is determined by a variety of factors, including the
context in which the emotion occurred, the emotion's goal, the
perceived consequences of their actions, previous experiences,

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 and so on.
c. Emotions influence thoughts: Emotions are related to memories
and thoughts. Memories are more than just facts stored in our
brains; they are coloured by the feelings we had at the time of the
events. Therefore, emotions work as the neurological glue that
holds these diverse data together in our minds. That is why
remembering pleasant ideas is easier when you are happy and
remembering angry moments is easier when you are upset.
Emotions have an influence on our mental processes, sometimes
in a positive way and sometimes in a negative way. When we are
overwhelmed by emotions, it is difficult to think critically and clearly,
but it is easy when we are not.
d. Emotions motivate future behaviours: Emotions are key
motivators for future behaviour because they prepare our body for
immediate action, influence our ideas, and can be felt. Many of us
aspire to feel satisfied, joyful, proud, or triumphant as a result of
our accomplishments. Simultaneously, we work hard to prevent
strong negative experiences; for example, once we have
experienced disgust from drinking spoiled milk, we normally work
very hard to avoid experiencing it again. Therefore, emotions not
only influence immediate actions, but they also serve as a powerful
motivator for future actions.
2. Interpersonal functions: The interpersonal functions of emotion, or
the role that emotions play between people within a group, are the
second concerns. Emotions are expressed through facial expressions,
voices, gestures, bodily postures, and movements, as well as verbally
through words. Emotions and their expressions provide information to
others about our feelings, intentions, and relationship with the emotional
target as well as the environment. Emotions help address social
problems by evoking responses from others, communicating the nature
of interpersonal relationships, and offering the incentives for desired
social behaviour since they have this communicative signal value.
a. Facilitates specific behaviours in perceivers: As facial
expressions of emotion are universal social signals; they convey
information about the expressor's psychological state as well as
his or her purpose and subsequent behaviour. People who see
fearful faces, for example, are more likely to engage in
behaviours involving approach, whereas people who see angry
faces are more likely to engage in behaviours involving
avoidance of the amount of drinks people pour and consume, as

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 well as how much they are willing to pay for it; presenting angry
faces reduces these behaviours. Furthermore, emotional
displays elicit specific and complimentary emotional responses in
viewers; for example, anger evokes fear in others, whereas
distress elicits sympathy and assistance.
b. Indicates the nature of interpersonal relationships: Emotional
expressions reveal information about the nature of interactor
relationships. Studies of married couples have produced some of
the most important and provocative findings in this area. After
seeing each other for 24 hours, married couples visited a lab and
engaged in intimate chats about everyday happenings or conflict
issues. Distinct expressions of contempt, especially from males,
and disgust, especially from the women, predicted marital
dissatisfaction and even divorce in the future.
c. Provides incentives for desired social behaviour: Emotional
facial expressions are key social interaction regulators. This concept
has been researched in the developmental literature under the
concept of social reference, which is the process by which infants
seek information from others to clarify a situation and then act on
that information. To date, study on the visual cliff has provided the
strongest demonstration of social referencing.
3. Social and cultural functions: The third function is the social and
cultural functions of emotion, which refers to the role that emotion play in
society's social order. Emotions have a crucial part in the cultural
functioning of human civilizations in order to maintain their
cohesiveness. The social existence of humans is complicated.
Individuals belong to several groups, each with its own set of social
roles, norms, and expectations and people move in and out of them at a
rapid pace. Culture plays a significant role in providing this necessary
coordination and order. It enables the individuals and groups to
negotiate the social complexity of human social life, maintaining social
order and avoiding social chaos. Culture performs this by providing a
shared system of meaning and information to its members, which is
passed down through generations and allows the group to achieve basic
survival needs, pursue happiness and well-being, and draw meaning
from life.
7.5 EMOTIONAL INTELLIGENCE – MEANING AND DEFINITIONS
In recent years, the term "emotional quotient" has become popular. In
order to be effective, a manager must have a high intelligence quotient
as well as emotional intelligence. The ability to manage and control

81
one's own emotions, as well as the ability to control the emotions of
others, is referred to as emotional intelligence. Emotional intelligence is
defined as the ability to recognize and distinguish one's own and others'
emotions, as well as the ability to use the emotional knowledge to drive
thought and behaviour.
In 1990, Peter Salovey and John D. Mayer invented the term "emotional
intelligence," which they define as "a form of social intelligence that
involves the ability to monitor one’s own and others’ feelings and
emotions, to discriminate among them, and to use this information to
guide one’s thinking and action."
Emotional intelligence, according to Goleman, is a person's ability to
manage his feelings so that those feelings are expressed appropriately
and effectively. According to him, emotional intelligence is the largest
single predictor of success in the workplace.
7.6 DIFFERENCE BETWEEN EQ AND IQ
The Emotional Quotient (EQ) is a way that assesses how well a person
detects and handles emotions in themselves and others in order to
improve group or team performance. The Intelligence Quotient (IQ) is a
measure of a person's ability to learn, comprehend, and apply
knowledge and skills in a meaningful way. The main distinction between
EI and IQ is the aspect of a person's mental talents, that they measure
the emotional understanding or information comprehension.
7.7 IMPORTANCE OF EMOTIONAL INTELLIGENCE
1. Self-awareness: A person with a good sense of self-awareness is
aware of his own strengths and weakness, and the impact of his actions
on others. A person who is self-aware is usually a better equipped one
to deal with and learn from constructive criticism than someone who is
not.
2. Self-regulation: In any scenario, being in control of your mood is
critical since your emotions have a significant impact on others. A
person with a high EQ can express their feelings maturely while still
exercising restraint when necessary. He communicates his feelings with
restraint and control, rather than suppressing them.
3. Motivation: The desire to do something is referred to as motivation.
People who are emotionally intelligent are self-motivated. They are not
motivated solely by money or a title. When they are disappointed, they
are often resilient and hopeful, and they are driven by inner ambition.

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4. Empathy: A person who possesses empathy possesses compassion
and an understanding of human nature, allowing them to connect
emotionally with others. A person's ability to empathize allows them to
deliver exceptional service and honestly address others' concerns.
5. People/social skills: A person with great social skills can listen,
speak, and resolve conflict more successfully. Social skills can be used
to advance one's career in the workplace and are crucial tools for
leaders. Emotionally intelligent people may quickly establish rapport and
trust with other team members. They do not engage in power conflicts or
backstabbing. They are generally appreciative of others and are well-
liked by their peers.
LET US SUM UP
This unit has taken on the goal of analyzing the concept of emotional
intelligence in order to emphasize its importance in organizational
behaviour. It began by defining emotions before moving on to the
importance of the emotions to individuals and organizations. Individuals
and organizations benefit from emotional intelligence because it helps to
lessen the negative effects of emotions like stress, anger, and
frustration. Organizations that succeed are multifaceted. Many factors
contribute to a company's ability to differentiate itself from the
competition and function well. One element is to have leaders who are
emotionally intelligent. To distinguish it from IQ, it is sometimes referred
to as EQ. The ability to understand and facilitate emotion is referred to
as emotional intelligence. Bosses with high emotional intelligence know
how to show their employees the appropriate emotions. They are fair
with their employees and act maturely and responsibly. A manager with
low emotional intelligence may be smart and has the necessary
technical skills, but he or she often makes poor decisions as a result of
their inability to control their emotions. Emotionally intelligent managers
are sensitive, empathetic, and great motivators. They do not overreact to
challenges and maintain their composure in the face of adversity. Good
emotional intelligence skills in management have a lot of clout in the
workplace. They attract employees with high emotional intelligence, who
engage well with one another, with clients, and with the other companies
with which they deal in the course of their work.
CHECK YOUR PROGRESS

Choose the correct answer

1. Emotions related to an object, or a task is the__________.
a. Cognitive components of attitudes

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 b. Affective components of attitudes
c. Behavioural components of attitudes
d. None of the above.

2. Which of the following people is related with the phrase "emotional

intelligence"?
a. Goleman b. Weschler

c. Sternberg d. Ekman
3. What emotion is most likely to boost self-esteem among independent
people?
a. A sense of belonging b. Pride
c. Shame d. Anger
4. Emotional intelligence is characterized by ______________.
a. Proficient in problem solving b. Better interpersonal relationship
c. High abstract thinking capacity d. Good sense of humour
5. What is the amygdala?
a. The brain
b. An area of the brain said to be linked to emotion
c. Something that stops us going mad
d. The area of the brain that makes us different from apes
GLOSSARY

Emotions : An intense emotion triggered by one's situation,

mood, or interpersonal relationships.

Emotional : Emotional intelligence is the ability to understand,

intelligence use, and control one's own emotions in a
constructive way in order to reduce stress,
communicate effectively, sympathize with others,
overcome obstacles, and defuse disputes.

Intelligence : A total score resulting from a set of standardized

quotient tests or subtests designed to assess human
intelligence is known as an intelligence quotient.

Cognition : It is a mental action or the process of learning and

understanding something through thought,

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 experience, and the senses.

Self-awareness : Self-awareness is the ability to pay attention to

yourself and how your actions, thoughts, and
emotions correspond to your internal standards.

SUGGESTED READINGS
1. Aswathappa, K. Organizational Behaviour. New Delhi: Himalaya
Publishing House.
2. Mishra, M.N. Organizational Behaviour. New Delhi: Vikas Publishing
House.
3. Prasad, L.M. Organizational Behaviour. New Delhi: Sultan Chand &
Sons.
4. Stephen P. Robbins., Timothy A. Judge., and Neharika Vohra.
Organizational Behavior. New Delhi: Pearson Education India.
5. Uma Sekaran. Organizational Behaviour: Text & Cases. New Delhi:
Tata McGraw Hill.

WEB RESOURCES
1. EMOTIONAL INTELLIGENCE: your Career Accelerator - Bing
video
2. Developing Emotional Intelligence - Bing video
3. EMOTIONAL INTELLIGENCE PART 1 - Bing video
ANSWER TO CHECK YOUR PROGRESS
1.b 2.a 3.b 4.b 5.b

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UNIT 8

ATTITUDES AND VALUES

STRUCTURE

Overview

Learning Objectives

8.1 Attitudes – Meaning and Definitions

8.2 Components of Attitude

8.3 Importance of Attitude

8.4 Functions of Attitude

8.5 Formation/Sources of Attitudes

8.6 Types of Attitudes

8.7 Attitude and Organizational Behaviour

8.8 Values – Meaning and Definitions

8.9 Types of Values

8.10 Values and Attitudes

8.11 Formation of Values

8.12 Values and Organizational Behaviour

8.13 Attitude and Behaviour

8.14 Differences between Attitude and Behavior

8.15 Relationship between Attitude and Behaviour

8.16 Determinants of Attitude-Behaviour Relationship

8.17 Job Attitude

8.18 Major Job Attitudes

8.19 Changing Attitude

8.20 Barriers to Change

8.21 Ways to Change Attitudes

Let Us Sum Up

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Check Your Progress

Glossary

Suggested Readings

Answer to Check Your Progress

OVERVIEW
Attitudes of workers and managers react to one another and determine
mutual relationships. Understanding why employees feel and act the
way they do can assist supervisors in gaining employee cooperation,
which is critical to an organization's success. Personal attitudes provide
a knowledge base or prepare our mental state for interactions with
others and the world around us, which has a direct impact on
organizational behaviour and, as a result, organizational performance.
Organizational leaders who consciously focus on their values have been
proven to be more resilient, long-lasting, and successful than their
counterparts. Organizational leaders understand how important it is to
model organizational values in order to inspire a culture that evolves and
grows so as to deliver on the promise given to stakeholders. When it
comes to hiring individuals, many companies nowadays focus solely on
technical skills, forgetting the relevance of cultural fit and underlying
behavioural competencies. Although technical skill is required for most
roles, the candidate's ability to contribute and make the organization
more resilient is determined by their alignment of values.
LEARNING OBJECTIVES
After completing this unit, you will be able to:
• define attitudes and values
• understand the characteristics and importance of attitude
• explain the functions of attitude

• describe how attitudes and values are formed

• make a list of the types of attitudes
• make a list of the different types of values

• understand the distinctions between attitude and behaviour

• elucidate the factors that influence attitude-behaviour relationship
• Identify barriers to change
• Describe ways of changing attitudes

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8.1 ATTITUDES – MEANING AND DEFINITIONS
Attitudes play a significant role in determining one's personality.
Perception, learning, motivation, and personality are all influenced by
their cognitive judgement. Attitude is a cognitive aspect that a person
possesses at all times. We cannot see the attitude, but we can see the
behaviour that it has triggered. An attitude is an evaluation of people,
objects, events, actions, and ideas that can be positive or negative.
People can be conflicted or ambivalent regarding an object by
concurrently holding the positive and negative attitudes toward the same
object, according to most contemporary perspectives on attitudes.
“Attitude is a mental and neural state of readiness, organized through
experience, exerting a directive or dynamic influence upon the
individual’s response to all objects and situations with which it is related,”
according to Gordon Allport.
"Attitude" refers to "the sum total of human inclinations and feelings,
biases or prejudices, preconceived notions, ideas, fears, threats, and
other specific matters," according to Thurstone.
"Attitude is evaluative statements, either favourable or unfavourable
concerning objects, people or events," writes Stephen P Robbins.
Simply said, an 'attitude' is a person's point of view or way of looking at
something, or, to be clearer, an 'attitude' is a person's mental state that
prepares him to react or cause him to behave in a predetermined
manner. "A learned predisposition to respond consistently favourably or
unfavourably to a particular object" is how an attitude is defined. Attitude
is a significant factor in human behaviour that influences a person's
personality traits, such as whether they are optimistic or pessimistic,
negative or positive, and so on. In our daily lives, we come across a
variety of people, situations, and things, and we create some sort of
perspective on those people, things, or situations.
8.2 COMPONENTS OF ATTITUDE
The affective component, the cognitive component, and the behavioural
component are the three components of the attitudes. Rosenber,
Eagley, and Holand, three well-known psychologists provided these
three components of attitude: These are depicted in the diagram below:

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 Figure 8.1: Components of Attitude
1. Cognitive component: The beliefs, thoughts, and attributes we
associate with an object are referred to as the cognitive component
of attitudes. A person's attitude is often influenced by the negative
and positive attributes that they identify with an object. This
component consists of a combination of ideas, facts, and
knowledge about a person or an object. For example, a job seeker
may learn from his own sources and other employees in the
organization that the chances of promotion are really good in that
particular company. In fact, this could be true or false.
2. Emotional or affective component: Feelings or emotions related
with an attitude object are referred to as the affective component of
attitudes. The affective component of an attitude reflects an
individual's "feelings and emotions" in response to a situation. It is
feelings or emotions toward an object or a person that lead to like
or disliking, favouring or disfavouring in this component. The
emotional component refers to a person's favourable, neutral, or
negative feelings or affects toward a certain object. "I prefer this
work since the company's future prospects are quite good," for
example.

3. Behavioural component: The behavioural component of attitudes

pertains to past behaviours or experiences with an attitude object.
The idea is that people's sentiments may be deduced from their
previous actions. An intention to behave in a certain way toward
someone or something is the behavioural component of an attitude.
It is the behaviour toward an object or a person in this component.
The behavioural component is a person's tendency to act in a
certain way toward an object. For example, the individual in the
above case may opt to accept the position due to favourable future
prospects.

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8.3 CHARACTERISTICS OF ATTITUDE
The following characteristics can be used to describe a person's attitude:
1. Affective cognitive consistency: The attitude-behavior
relationship is influenced by the level of consistency between affective
and cognitive components. Hence, the stronger the attitude-behaviour
relationship is, the more consistent cognition and evaluation are.

2. Strength/intensity: Attitudes based on direct experience with the

object can be held with greater certainty. Whether affect or cognition
played a role in the formation of the attitude has an impact on certainty.
Attitudes created through affect are more reliable than the attitudes
formed through cognition. It relates to the effective component's
strength. We may despise someone, for example, but the level of our
dislike will influence the strength of our feelings toward them.
3. Valence: It refers to the degree of similarity or dissimilarity between
the entity and the incident. A person's attitude toward an object has a
low valence if they are largely indifferent in it.
4. Direct experience: An attitude is a summary of a person's past
experiences; hence, an attitude based on the direct experience is more
accurate in predicting future behaviour. Furthermore, direct experience
provides additional information about the object itself.
5. Multiplicity: It refers to the number of characteristics that go into
forming an attitude. For example, someone may express interest in
becoming a doctor, whereas another not only shows interest, but
actually works hard, is sincere and serious.
6. Relation to needs: Depending on the demands they must meet,
people's attitudes change. Employee attitudes toward the activity can
meet strong expectations for security, achievement, recognition, and
fulfilment, but a person's feelings about pictures are exclusively for
entertainment purposes.
7. Attitudes are learnt Experiences, social interaction, and
encountering an event all help to shape one's attitude. It is not an
inborn phenomenon.
8. Attitudes are predispositions: It is a fixed or predetermined view
based on prior experience or facts. Attitudes are a person's
predispositions to appraise specific objects favourably or unfavourably
based on their purpose, interest, or opinion.

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 9. Attitude has an object: It has an object (which can be an idea, a
person, or a situation) that is favoured or disadvantaged, or analyzed
as positive or negative.

10. Emotional component: A positive or negative attitude has an

emotional component in the form of liking or disliking.
11. Influences human behaviour: Attitude has the ability to positively
or negatively influence a person's behaviour. A favourable attitude
toward something will influence human behaviour toward it in a positive
way, and vice versa.
12. Stable phenomena: Attitude is a relatively stable phenomenon that
lasts a long period. It does not change frequently.
13. Different from values: Values are not the same as attitude. Values
are ideals, whereas attitudes are how we feel.
14. Evaluative statement: Attitudes are evaluative remarks about
objects, people, or events that are positive or negative.
8.4 IMPORTANCE OF ATTITUDE
Understanding why employees feel and act the way they do can assist
supervisors in gaining employee cooperation, which is critical to an
organization's success. Personal attitudes provide a knowledge base or
prepare our mental state for interactions with others and the world
around us, which has a direct impact on organizational behaviour and,
as a result, organizational performance.
1. Career success: Employee performance is used to determine their
success in the workplace. Instead of whining or making excuses for
poor performance, employees with a positive attitude will always think
of the ways to complete their task in a well-defined manner. This leads
to success, either in the form of a promotion or a raise in pay.

2. Productivity: Employees who have a positive attitude are more

interested in what they do and deliver. Therefore, they are able to
produce higher-quality work with fewer errors. This increases both their
overall performance and productivity.
3. Leadership: Managing a diverse workforce is a part of working in
an organization. Some employees are naturally respected, and others
frequently follow and listen to them. This is possible because of the
leaders' positive attitude.
4. Teamwork: Employees who have good relationships with one
another are more likely to form effective teams in which all members

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 are united and working toward a single goal. Instead of becoming too
bothered by team members' inadequacies, a positive attitude lets
employees recognize each other's strengths and work as a team to
achieve common goals.
5. Decision making: Employees who have a pleasant mindset are
more likely to make objective decisions. This stimulates a healthy
mental process, allowing employees to make sensible and rational
decisions.
6. Motivation: Employees with a positive attitude are more likely to
overcome hurdles in the course of their work. It influences how people
perceive the world. They are motivated to move forward as soon as
they have overcome the difficulties.
7. Interpersonal relations: Customers prefer to do business with
people who are upbeat. Employees with a pleasant attitude have a
stronger relationship with clients, earning valuable loyalty.
8. Stress management: Employees' health is negatively affected by
stress. So, what can employees do about it? Positive thinking can help
reduce stress, and employees who are less stressed are healthier and
take fewer sick leaves.
8.5 FORMATION/SOURCES OF ATTITUDES
Developing a positive attitude will propel a company to new heights.
Various factors influence attitude formation, including the internal
organizational environment, including the group to which an individual
belongs, as well as the external factors. A manager's job is to create and
manage a better working environment so that employees have a
favourable attitude toward performing a task. Understanding individual
behaviour in companies requires a learnt, situation-specific mindset. The
following are some of the most important sources of attitude formation:
1. Direct experience with the object: The quality of a person's direct
experience with the attitude object determines his attitude toward it.
For example, if a worker finds his job monotonous, underpaid and
his coworkers uncooperative, he will develop a negative attitude
about it as a result of his poor direct experience with it. The impact
of a person's personal experience, whether favourable or
unpleasant, on his attitude is considerable. Personal experience
makes it difficult to change these attitudes. For example, a person
may begin a new job when a friend suggests it. A personally
rewarding or punitive experience with an object might shape one's
attitude.

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2. Classical conditioning and attitudes: The principles of learning
can be used to describe one of the primary processes underpinning
the formation of attitudes. People form associations between
various objects and the emotional responses they elicit. Positive
associations can emerge as a result of the classical conditioning.
For example, we may have a positive attitude towards a certain
perfume because a favourite model wears it.
3. Association: An old attitude object and a new attitude object can
be associated, and the latter's attitude can be transferred to the
former. If newly hired workers spend most of their time with a
worker who has a positive attitude toward the supervisor, the
supervisor is likely to develop a positive attitude toward the new
worker as well. As a result, the old workers' positive attitude was
passed on to the new ones. An individual may come across a new
attitude object that is related with an old attitude object on occasion.
4. Operant conditioning and attitude acquisition: The acquisition of
attitudes is influenced by another learning process known as
operant conditioning. Attitudes that are reinforced, whether verbally
or non-verbally, are more likely to persist. A person who expresses
an attitude that is ridiculed by others, on the other hand, may
change or discard that attitude. However, attitudes can be
influenced by more than just direct reinforcement or punishment.
Attitudes that are reinforced, whether orally or in writing, are more
likely to be maintained.
5. Vicarious learning: The development of attitude can be explained
by a person learning something through observation of others,
especially when the individual has no direct experience with the
object about which the attitude is held. The preconceptions of their
parents are picked up by children through vicarious learning
processes. Television, movies, and other forms of media also teach
us about vicarious attitudes. We can learn a lot by seeing how other
people behave when they immediately develop a certain attitude.
6. Family and peer groups: Attitudes and values are instilled in
children by their parents, teachers, and peers. Similarly, attitudes
are taught from peer groups in colleges and organizations. Imitating
one's parents can help a person learn attitudes. Accepting or
rejecting the attitudes of our family members influences our
attitudes toward the opposite sex, religion, tolerance or prejudice,
education, jobs, and practically every other area where attitudes

93
 can be expressed. The child will admire his parents if they have a
positive attitude toward a certain phenomenon.
7. Neighbourhood: Our neighbourhood boasts a variety of cultural
facilities, religious groups, and ethnic diversity. Neighbours can
sometimes play a significant role in the formation of a particular
attitude. These people can be from the north, the south, or
anywhere in between. Each of our neighbours has a unique set of
values or cultural characteristics that will have an impact on our
personalities.
8. Economic status and occupations: The individual's economic
and occupational status has an impact on attitude formation. Our
present and future attitudes are influenced by our socio-economic
background. A person's economic situation and the work-related
roles typically play a big part in shaping his or her behaviour, which
in turn shapes his or her attitude.
9. Mass communication: Attitudes are less stable than values in
general. Advertising messages, for example, try to persuade people
to change their attitudes about a product or service. For example, if
the staff at Hyundai Santro can persuade you to like their
automobiles, this attitude can lead to desirable behaviour such as
purchasing a Santro vehicle. Television, radio, newspapers, and
magazines, among other forms of mass communication, deliver a
rich of information to their audiences.
8.6 TYPES OF ATTITUDES
Individuals have hundreds of different attitudes. However, we are mostly
concerned with three types of work-related attitudes:
1. Job satisfaction: When people discuss employee attitudes, they
almost always mention job satisfaction. In fact, the two names are
frequently used interchangeably; however, there is a distinction
between them. It refers to a set of positive and/or negative feelings
that a person feels about their job. A happy person is said to have a
positive attitude toward their work. A dissatisfied employee, on the
other hand, will have a negative attitude about his work.
2. Job involvement: Work involvement is the degree to which a
person psychologically identifies with their job, actively participates
in it, and believes their perceived level of performance to be
significant for their self-worth. Fewer absenteeism and the
resignation rates are associated with a high level of involvement in
the job.

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 3. Organizational commitment: The degree to which an employee
identifies with organizational goals and aspires to stay a member of
the organization is referred to as organizational commitment. The
degree of employment autonomy and freedom, as well as the job
enrichment factor, influence organizational commitment. A person
may be dedicated to their work yet uninterested in the
organization's objectives. When employees are committed to the
organization, turnover and absenteeism are low.
8.7 ATTITUDE AND ORGANIZATIONAL BEHAVIOUR
Employee attitudes are critical to management because of their
influence on behaviour, influences or perceptions of attitudes, job
satisfaction, job involvement, and the organizational commitment.
1. Attitudinal influences on behaviour: Employee behaviour is
influenced by their attitudes. However, some people object to a direct
relationship between attitudes and actions because the attitude does not
lead to any specific action. A manager, for example, may detest some
members of minority groups but treat them properly and courteously in
his office. This discrepancy happens because the manager does not
allow his attitude to interfere with his professional judgement. These
attitudes can present themselves in a variety of ways. Although the
impact of attitudes on behaviour is not always evident, two theories,
cognitive dissonance and self-fulfilling prophecy, can help us understand
how attitudes affect behaviour. When any of the following situations
apply, cognitive dissonance will be more intense:
a. The decision is psychologically or financially significant.
b. There are a number of options that have been ruled out.
c. The foregone options have numerous advantages. In general, a
person will try one of four strategies to reduce dissonance. The
methods are as follows:
i. The person is looking for information to back up their decision.
ii. The person selectively perceives information in support of the
decision.
iii. The person develops a negative attitude about the alternatives
he has chosen not to pursue.
iv. The depressed individual exaggerates the significance of all
the bad aspects of the decision while exaggerating the positive
elements.

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The process by which we try to turn our attitudes, beliefs, and
expectations into reality is known as self-fulfilling prophecy. If we believe
something will happen, we will do everything we can to make it happen.
For example, if we are confident in our abilities, we will take on difficult
activities. Therefore, we gain experience and talents that help us
become more competent, allowing us to achieve even more. We will not
give ourselves the chance to become competent if we have a negative
attitude toward ourselves.
2. Attitudinal influence on perception: Past experiences and
perceptions influence how we perceive stimuli. "Beauty is in the eye of
the beholder" and "one person's trash is another person's treasure" are
examples of sayings that emphasize the importance of attitudes in how
we perceive the world around us. Things will appear brighter to us if we
have a positive attitude than if we have a negative attitude.
8.8 VALUES – MEANING AND DEFINITIONS
A "concept of the desirable, an internalized criterion of evaluative
standard that a person holds" is characterized as a value. Values are
morally tinted; involving a person's assessment of what is right, good, or
desirable. Values are significant in the study of human behaviour
because they influence people's attitudes and behaviours in
organizations. Individual differences in behaviour can be identified using
values. Values describe an individual's standards, faith, goals, or even
events and activities. A person's values are their beliefs about what is
fair, equitable, just, and desirable. Values are opinions on what is
"desirable or good" and "undesirable or bad." If a person values non-
violence and equality, for example, he will always strive to live in peace,
preach peace, and treat his subordinates equally. A person's attitude
and behaviour are shaped by their values. Values include obedience,
truth, non-violence, freedom, and salvation.
“A value is a belief that something is good and desirable,” M.
Haralambos says.
“Values are socially approved desires and goals that are internalized
through the process of conditioning, learning or socialization and that
become subjective preferences, standards, and aspirations," writes R.K.
Mukherjee.
"Values are the ideas in the minds of men compared to norms in that
they specify how people should behave,” Zaleznik and David write.
Values also attach degrees of goodness to activities and relationships.

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A shared idea of how something is categorized in terms of desirability,
worth, or goodness is referred to as a value. It has been construed to
signify standards by which ends of action are chosen in some cases.
Therefore, values are collective conceptions of what is deemed good,
desirable, and legitimate in a society, as opposed to bad, undesirable,
and improper.

8.9 TYPES OF VALUES

Milton Rokeach and Schermerhorn have classified the types of values.
Milton Rokeach stated two sets of basic values: terminal values and
instrumental values, as part of his Rokeach Value Survey. There are 18
values in each of these sets.
1. Terminal values: The goals to be achieved, or the final states of
existence, are represented by terminal values. As terminal values,
Rokeach identified a comfortable life, an exciting life, a sense of
accomplishment, a world of peace, a world of beauty, equality, family
security, freedom, happiness, inner harmony, mature love, national
security, pleasure, salvation, self-respect, social recognition, true
friendship, and wisdom.

2. Instrumental values: Instrumental values indicate the means for

achieving goals, i.e. the acceptable behaviour that can be employed to
obtain a desired outcome. Ambition, openness, capability,
cheerfulness, cleanliness, courage, forgiveness, helpfulness, honesty,
imagination, independence, intelligence, logic, love, obedience,
politeness, feeling of duty, and self-control, etc. were listed by Rokeach
as the instrumental values.
According to John Schermerhorn, there are six different types of values.
a. Theoretical values: A desire to learn the truth through reasoning
and systematic thinking.
b. Economic values: Interest in utility and practicality, as well as
accumulation of wealth.
c. Aesthetic values: A passion for beauty, form, and artistic
harmony.
d. Social values: People's interests and love as a human
relationship
e. Political values: The desire to gain power and influence others.
f. Religious values: A desire for oneness and a comprehensive
understanding of the universe.

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8.10 VALUES AND ATTITUDES
Attitudes and values are two phrases that are often used
interchangeably. Attitudes have a cognitive component called values.
They are essential components in the formation of attitudes. Attitudes
are an expression of core values. Value can be defined in two ways: as
an attribute of an object or as an attribute possessed by a person that is
deemed desirable. Values and attitudes differ from one another.
Attitudes are basically predispositions to respond. Values are concerned
with determining what should be. This judgement could be a specific
manifestation of a deciding propensity lurking behind the surface of the
behaviour. Attitudes are a collection of beliefs about a given object or
event. Value, on the other hand, is a single belief that transcends objects
and contexts to drive actions and judgments. Finally, a value is related to
societal or cultural norms, whereas attitudes are mostly based on
personal experiences.
Values and attitudes have some similarities. Both are effective tools for
influencing the people's cognitive processes and behaviours. They are
both learnt and acquired from the same sources, namely, personal and
object experience. Values and attitudes, on the other hand, are relatively
stable and resistant to change. Finally, values and attitudes are
intertwined and frequently used interchangeably.
8.11 FORMATION OF VALUES
Values are mostly learned and acquired via interactions with individuals
and institutions. Parents, for example, will have a significant impact on
their children's values. The way parents react to everyday events shows
what is good and bad, acceptable and unacceptable, significant and
insignificant. In schools, religious organizations, and social groups,
values are also taught and promoted. The formation of values is
influenced by cultural movements. The basic belief in what is good or
bad originates from one's satisfaction with one's own culture.
1. Parents: The values of one's parents are instilled in them from a
young age. Parents have a significant impact on their children's
values. The way either parent reacts to everyday events reveals
what is good and what is bad, what is acceptable and what is not,
as well as what is significant and what is not.
2. Schools: Schools are equally important in moulding a person's
values. The school environment, teachers, and the classmates all
of contribute to the formation of different values.

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 3. Religious organizations: Religious groups instill a variety of
religious and spiritual values.
4. Socio-cultural groups: The socio-cultural environment in which a
person is raised has an impact on the formation of values.
5. Workplace: Individual experiences with friends or colleagues also
help in the formation of specific values.

8.12 VALUES AND ORGANIZATIONAL BEHAVIOUR

A manager's understanding of values is beneficial in the following ways:
i. Values are significant in the study of organizational behaviour
because they help us understand attitudes and motivation, as well
as how we see things. A person enters an organization with
preconceived notions about what "should" and "should not" be done.
These ideas are, of course, not without value. They, on the other
hand, contain a perception of what is right and wrong. Furthermore,
they imply that some behaviour is preferable to others. As a result,
objectivity and rationality get muddled.
ii. Attitudes and behaviours are influenced by values in general.
Assume someone joins an organization with the idea that paying
people based on performance is reasonable, but paying people
based on seniority is wrong or inferior. If the organization rewards
seniority and merit, he will be disappointed, which will lead to
dissatisfaction and lower interest performance. If these values were
in line with the organization's salary policies, his attitude and
behaviour would be different.
iii. The current management revolution around the world is based on
challenging and exploring the relationships of the accepted work
values. Therefore, understanding values becomes essential.

iv. Cultures have different values. What is allowed in the United States
could be a simple consideration. Surprisingly, the majority of
organizational behaviour principles and concepts were developed
by Americans, using American subjects in a domestic setting. This
means that organizational behaviour experts must keep in mind that
no single theory or approach can be applied uniformly to people
management wherever in the world. When attempting to understand
the different people's interest behaviours in other countries, they
need take cultural values into account.

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8.13 ATTITUDE AND BEHAVIOUR
Attitude: The way we think or feel about something is defined by our
attitude, which is a person's mental outlook. It is a theoretical
construction, which means that it cannot be observed directly. It is a
predisposition to respond to a person, an event, an opinion, an item, etc.
in a determined manner, which is represented in our body language. It
has a significant influence on our decisions, activities, and responses to
stimuli, among other things. The key variables that influence a person's
attitude are education, experience, and environment. A person's attitude
can reflect their likes and dislikes for someone or something, and it can
be positive, negative, or neutral. As we step into that atmosphere and
give a message to those around us, the type of attitude we have says a
lot about us. There is no ideal attitude for a given situation because it is
spontaneous, and we always have the choice of selecting the right
attitude for ourselves.
Behaviour: The term "behaviour" refers to a person's manner of
conduct. It is a style of behaving or managing oneself in relation to
others. It is the set of actions, responses, and the mannerisms that an
individual, system, or organization exhibits in respect to itself or its
environment under all circumstances. In a nutshell, behaviour is an
individual's or a group's response to external or internal, deliberate or
involuntary, conscious or subconscious inputs such as an action,
environment, or stimulus.
8.14 DIFFERENCES BETWEEN ATTITUDE AND BEHAVIOUR
Many individuals mistakenly believe that a person's attitude is the same
as their behaviour. Although they are connected in some ways, they are
distinct in that attitude refers to a person's thoughts or feelings towards
someone or something. Behaviour, on the other hand, is an individual's
response to a certain action, person, or environment. "A person's
attitude influences his thought, while his behaviour influences his
actions," it has been claimed. On the following basis, the distinction
between attitude and behaviour can be clearly drawn:
1. Attitude is defined as a person's mental propensity that
determines how he thinks or feels about someone or something.
The acts, motions, conduct, or functions of a person or group
toward other people are referred to as behaviour.

2. A person's attitude is primarily dependent on the experiences

and observations he has had throughout his life. On the other
hand, a person's behaviour is influenced by circumstances.

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 3. A person's inner thoughts and feelings are referred to as attitude.
Behaviour, on the other hand, expresses a person's attitude.
4. A person's attitude reflects their way of thinking or feeling. On the
contrary, a person's actions reflect his behaviour.
5. How we see things determines our attitude, whereas societal
norms dictate our behaviour.

6. While attitude is a human trait, behaviour is an inborn attribute.

8.15 RELATIONSHIP BETWEEN ATTITUDE AND BEHAVIOUR
The relationship between attitude and behaviour is complicated and
predicting one's attitude from their behaviour can be challenging. How
often have you heard individuals say they want to be fit but do not
exercise, or that they are concerned about global warming but drive a
large automobile that consumes lots of gas? People say one thing but
do not always follow through with the appropriate actions. Studies have
shown that attitudes can predict behaviour under certain circumstances.
When attitudes are strong and consistent, that is, when the three
components of attitude are distinct and consistent, they are better able
to predict behaviour. Attitudes that are weak, insignificant, or vague are
less likely to predict behaviour.
It is easier to remember and predict behaviour when one has a strong
attitude or is conscious of one's attitude. The prediction of behaviour is
more accurate when attitudes are developed through direct experience.
When acting under social pressure, one's attitude might express itself in
a variety of ways. Because smoking and drinking are damaging to one's
health, a teenager may not wish to do so. However, peer pressure may
compel him to drink. Therefore, his thinking differs from his behaviour.
The attitude-behaviour relationship becomes strong and when the
external influences are low. It is crucial to determine whether the
behaviour was spontaneous or preplanned. These considerations
become essential when behaviour is intentional and planned, such as
which college to attend or when and whom to marry, and rash decisions
are avoided. The attitude-behaviour relationship will be strong when we
have time to reflect and it is personally relevant.
8.16 DETERMINANTS OF ATTITUDE-BEHAVIOUR RELATIONSHIP
Following that, La Pierre identified many reasons for the inconsistency
between expressed attitudes and observed behaviour.

1. Specificity: Both attitudes and behaviours must relate to the same

level of specificity in order to predict behaviour. The examined

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 behaviour in La Pierre's study was specific, while the subsequent
assessed attitude was broader. Therefore, it's not unexpected that
these broad sentiments are unrelated to individual behaviours.
Consider your personal perspective about psychology, for example:
Is it safe to assume that if you like psychology in general, you will
do well on all of your psychology exams? You are more likely to
excel in one aspect of psychology than another. You may, for
example, be better at social psychology than child psychology while
yet believe that you are a good psychologist. As a result, your
general attitude toward your abilities in psychology does not always
predict your performance in a particular area of psychology. Thus,
observing a relationship between attitudes and behaviours
necessitates assessing both at the same level of specificity.
2. Time: The longer the gap between the attitude and behaviour
measurements, the more probable the attitude will change and the
two will become out of sync. A study conducted by Fishbein, and
Coombs found that the association between attitudes and voting
behaviour was stronger one week before an election than one
month before an election.
3. Self-awareness: People can have various levels of self-awareness,
which can have an impact on the strength of the relationship
between attitudes and behaviour. People who are privately self-
aware act in line with their own attitudes, but those who are publicly
self-aware act in accordance with the attitude they perceive the
majority of other people to have. For example, you may have a
personal belief that people should not litter in public places. When
you are alone, you have the freedom to act as you choose, as long
as you do not throw trash on the floor. In other words, your personal
attitude will influence your behaviour. When you are in a group of
friends, though, you might act differently, especially if the group
norm is that it is uncool to follow the societal norms, such as not
littering. As a result of the pressure to comply, you may become
more publicly conscious of yourself and act in accordance with the
public attitude, i.e. polluting the streets, thereby confronting your
private attitude. Thus, the consistency of your attitude-behaviour
depends on the social context: whether your private or public
attitudes are more accessible.
4. Attitude accessibility: In the sense that it comes to mind quickly,
an attitude is accessible. Furthermore, a very accessible attitude is
more likely to elicit behaviours that are consistent with it. Response

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 times for answering questions regarding the attitude object can be
used to test the accessibility of attitudes; the speed of these
responses predicts subsequent behaviour. Because accessibility
shows the strength of a belief, high accessibility attitudes will be
better predictors of behaviour than low accessibility attitudes.
5. Attitude strengthens: The concept of attitude accessibility is
related to the concept of attitude strength. The stronger the
attitudes, the more likely they are to impact behaviour, as expected.
While one might assume that strong attitudes are equally
accessible, this is not always the case. A news item, for example,
might bring euthanasia issues to the forefront, igniting public debate
not only in the media but also among friends. People's attitudes
toward this issue have thus been contextually accessible, but
people still differ in that they either have strong opinions on the
subject or have little interest or a particular opinion in some way.
Information, personal involvement, and direct experience with the
attitude object are three factors that can influence attitude strength
and consistency. More information about an attitude object can lead
to greater attitude strength and behavioural consistency. The more
personally involved someone is in an issue, the more likely they are
to act in accordance with their attitudes. Finally, those who have
established attitudes based on direct experience are more likely to
have a stronger attitude and demonstrate greater consistency in
their behaviour.
8.17 JOB ATTITUDE
A job attitude is a set of evaluations about one's work that combine to
form one's feelings, beliefs, and attachment to one's work. There are two
ways to think about overall job attitude. Employees evaluate their
advancement prospects by observing their job, occupation, and
employer. This job attitude takes into account both the cognitive and the
affective aspects of these assessments, while also recognizing that the
cognitive and emotive aspects do not have to be in perfect alignment.
8.18 MAJOR JOB ATTITUDES
Consider a farmer, a doctor, an insurance salesperson, and a cab driver
for a moment. Despite the fact that these positions are vastly varied,
each person who works in one of them has an attitude toward the job as
a whole. Regardless of the occupation, though, we all have attitudes
toward our work. These attitudes are largely concerned with the job's
function, but they can also be concerned with the people we work with
and the company's culture. The entire work environment, culture, and

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job functions are all influenced by our attitudes toward our occupations.
We can talk about three different types of general attitudes about work
and the workplace environment.

1. Job lovers: The simplest definition of a job lover is someone who

enjoys their job. In many ways, this attitude is as much a reflection of
the individual as it is of the organization. Some people simply fit into a
company or do not allow things to upset or affect them. It is quite
beneficial to cultivate a "loving" attitude toward your job.
2. Job haters: There are many who hate their jobs. In any case, these
people hate their jobs and are unlikely to change their minds. People
hate their jobs for more reasons than they like them. We may, for
example, consider the organization as a whole, your supervisor, or
your coworkers as sources of dissatisfaction. Those who hate their
jobs may have problems accomplishing the work that they feel is
beneath them or not being adequately recognized for the work they
do, in their opinion. Hence, the reasons why people hate their jobs are
often considerably more complex and broader than those who enjoy
them.

3. Job doers: These are the individuals that are caught in the middle.
They show up, do their work, and act as if they have no feelings about
it. There is nothing positive or negative about these people. They
simply consider work to be a necessary part of life and go about their
job.
8.19 CHANGING ATTITUDE
Employee attitudes can be changed, and it is in the organization's best
interests to attempt. However, change is difficult due to the presence of
obstacles. Employees' behaviours within an organization can be
changed if it is in the organization's best interests. Change, on the other
hand, is difficult since it entails specific challenges. Congruent and
incongruent changes are two types of attitude change. A congruent
attitude change is continuing in the same direction while lowering the
intensity of feelings. A boss's negative or positive attitude toward his
subordinate, for example, will stay, but the degree of like or dislike will
be reduced. An incongruent change is one in which one's attitude about
the same individual changes from positive to negative. This change can
be seen in behaviour, such as a change in retail store purchases,
resignation from or membership of an organization.

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8.20 BARRIERS TO CHANGE
Because of the attitude balance and consistency theory, most people
resist changing their attitudes. When people's attitudes or behaviours
are inconsistent, they often try to decrease the inconsistency by praising
themselves. The following are some of the barriers to change.
1. Cognitive dissonance: Cognitive dissonance is a theory
developed by Leon Festinger to support attitudinal coherence.
According to Festinger's theory, dissonance makes people uneasy.
This feeling pushes the person to try to alleviate the dissonance.
When a person's actions contradict their beliefs, it is called
cognitive dissonance. To relieve tension and discomfort, the person
tries to change his or her mood, modify his or her behaviour, or
falsify his or her view of the situation. Cognitive dissonance
happens in the workplace when an employee decides to leave their
current job since it is no use to continue working hard. The
individual can explain their stay by saying things like "the
organization isn't all horrible" or "what is the alternative?"
2. Prior commitments: Prior commitments can make it difficult to
change one's attitude. It happens when people are adamant about
sticking to a particular course of action and are unwilling to change.
Because every organization has a value system, protocol, and so
on, it is extremely difficult to change a person's attitude when they
are bound by a certain commitment or policy. For example, if a
company's president has an MBA from IIM, he may employ a
marketing manager from the same institution. Unfortunately, things
are not going so well, and the marketing manager is not doing a
particularly excellent job. However, because the president hired this
individual himself, he refuses to admit his mistake. Using the
defensive ego function of attitudes, the president distorts all of the
unfavourable facts about the marketing manager and maintains his
belief that everything is well and that the right selection decision
was made.
3. Strong commitment: It is difficult to change an employee's attitude
if they are deeply committed. To put it another way, the stronger the
belief in an attitude, the more difficult it is to change it.
4. Publicly expressed attitudes: It is harder to change publicly
expressed attitudes. This is due to the fact that admitting one's
mistake requires a lot of work.

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 5. Low credibility: The words "credibility" imply "trustworthiness,"
"expertise," and "objectivity." Employees are less likely to react to
someone who is disliked, has a low level of credibility, and is
unconvincing. People are less likely to embrace your message if
they hate you.
6. Insufficient information: People do not always see why they
should change their attitude. Although the boss may not approve of
the subordinate's negative attitude, the subordinate may be quite
pleased with his own behaviours. He will continue to have negative
feelings until his manager shows him that his bad attitude is
impeding his career advancement and salary raise. This is
especially true if the attitude stems from poor managerial treatment.
7. Degree of fear: When there is a low degree of fear, people tend to
reject the warnings because they are not strong enough to warrant
their attention. People reject the message and refuse to be
persuaded when a high level of fear is used because the warnings
are too threatening and hence untrustworthy. In each of these
situations, changing employee attitudes is difficult.

8.21 WAYS TO CHANGE ATTITUDES

The following are some methods for changing attitudes:
1. Providing new information: Providing new information will help in
the change of attitudes. Negative attitudes are formed mostly as a
result of a lack of or insufficient amount of information. Workers
become pro-union because they are unaware of management's
good intentions. They can change their attitude and become
supportive of the management once they understand how
management cares about the well-being of employees. When a
person has all of the most up-to-date and accurate information
about a specific object, they will adjust accordingly.
2. Use of fear: The degree of change, however, is dependent on the
level of fear. When low levels of fear are used, for example, people
tend to ignore them. The warnings are not loud enough to get
people's attention. People often become aware of the issue and
change their attitude when moderate levels of fear arousal are
used. When high degrees of fear arousal are used, however,
individuals generally ignore the message as being excessively
dangerous and not believable. High amounts of fear, on the other
hand, can be counterproductive. People become stubborn when
they are threatened excessively.

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 3. Influence of friends or peers: Persuasion from friends or peers
can help you change your attitude. Others' credibility, particularly
that of peers, is critical in effecting change. Peers with a high level
of credibility must have a major impact on change. The same
cannot be said for peers with a low level of credibility.
4. The co-opting approach: Another method for changing attitudes is
co-opting. It involves bringing people who are dissatisfied with a
situation into the process of improving it. Co-opting can be a good
strategy to break bad habits. When individuals are dissatisfied with
a situation, they should be involved in making changes.
5. Others: A person's private attitude is more likely to change than
one expressed publicly. Therefore, it is important to avoid a
situation in which an individual's attitude is made public before
attempting to change. When given educational opportunity, a
person from a culturally disadvantaged background with a variety of
negative attitudes can change. Because of a bad experience, a
person from a privileged sub-culture who has always had a
democratic attitude may become unfavourable towards a group.
Again, one might be influenced in a favourable or bad direction by
continuing to associate with individuals who share similar attitudes.
The attitudes of the reference group as well as the social climate
are crucial in this case.
LET US SUM UP
In the workplace, one's attitude is really important. Organizations that
foster positive work attitudes among their employees increase
communication effectiveness, as well as teamwork and collaboration at
work. Therefore, their employees' morale has skyrocketed, they are less
stressed, and they are more productive. Employees' fatigue and stress
levels are lowered as a result of their positive attitude since they are
driven and innovative in their work. To motivate employees,
organizations should attempt to foster positive work attitudes among
employees. Teams of highly motivated people work well together,
provide excellent service, and enable the company to compete on the
cutting edge of quality products and services for its customers. Individual
behaviour is inextricably influenced and shaped by their attitudes.
Additional information, the use of fear, the resolution of differences, the
influence of friends and peers, and the strategy of coopting are all
examples of the measures that can be used to change one's attitude.

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CHECK YOUR PROGRESS
Choose the correct answer
1. Which of these is not an inherent factor of human behaviour?

a. Intelligence b. Attitude
c. Height d. Skin colour
2. Which of the following is not a component of a person's attitude?

a. Cognitive b. Affective
c. Negative d. Behavioural
3. Job-related attitudes were defined by Stephen Robbins in _____ways.
a. Two b. Three
c. Four d. Five
4. Which of the following is a challenge in changing employees'
attitudes?
a. Escalation of commitment b. Providing new information
c. Use of fear d. Influence by friends and peers

5. _________ is the value attribute that determines importance.

a. Mode of conduct b. End state
c. Intensity d. Freedom
GLOSSARY

Attitude : Someone's views or thoughts on a subject; proud

behaviour; physical positioning.

Values : Principles that guide you in determining what is

good and wrong, as well as how to respond in
different situations.

Job attitude : A job attitude is a set of assessments of one's job

that make up one's feelings, beliefs, and devotion
to it.

Ego-defensive : By concealing the "real" self and any socially

function undesirable feelings and wants, the ego-defensive
function protects the individual from threats.

Behaviour : Individuals, organisms, systems, and artificial

entities engage in a variety of the activities and

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 mannerisms within a given context, which is
referred to as behaviour.

Change : A change in one's attitude toward someone or

attitude something.

SUGGESTED READINGS
1. Aswathappa, K. Organizational Behaviour. New Delhi: Himalaya
Publishing House.
2. Mishra, M.N. Organizational Behaviour. New Delhi: Vikas Publishing
House.
3. Prasad, L.M. Organizational Behaviour. New Delhi: Sultan Chand &
Sons.
4. Stephen P. Robbins., Timothy A. Judge., and Neharika Vohra.
Organizational Behavior. New Delhi: Pearson Education India.
5. Uma Sekaran. Organizational Behaviour: Text & Cases. New Delhi:
Tata McGraw Hill.

WEB RESOURCES
1. ORGANISATIONAL BEHAVIOUR - 5.Values and Attitudes
(English) - YouTube
2. Attitudes And Job satisfaction - organizational behavior
(Chapter3) - Bing video
3. Different Types of Attitudes of People | Organizational Behavior |
- Bing video
4. Attitude Values and Ethics - Bing video
ANSWER TO CHECK YOUR PROGRESS

1.b 2.c 3.b 4.a 5.c

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 BLOCK III

PERSONALITY AND MOTIVATION

UNIT 9 CHARACTERISTICS, TYPES AND FACTORS

INFLUENCING PERSONALITY

UNIT 10 PERSONALITY THEORIES, TRAITS AND TESTS

UNIT 11 MOTIVATION AND MOTIVES

UNIT 12 THEORIES OF MOTIVATION

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UNIT 9

CHARACTERISTICS, TYPES AND FACTORS

INFLUENCING PERSONALITY
STRUCTURE

Overview

Learning Objectives

9.1 Personality - Meaning and Definitions

9.2 Characteristics of Personality

9.3 Types of Personality

9.4 Factors Influencing Personality

Let Us Sum Up

Check Your Progress

Glossary

Suggested Readings

Answer to Check Your Progress

OVERVIEW
Personality can be described as the totality of an individual's reactions
and interactions with others and their surroundings. Based on its diverse
psychophysical aspects, personality varies from person to person. The
phrase "personality" is frequently used in discussions about career
prospects, achievements, marriage, and other events. Personality is a
multifaceted and complicated construct of a human being. Personality is
defined by a variety of factors, including traits and physical appearance.
Personality is a stable set of characteristics and tendencies that define
commonalities and differences in psychological behaviour such as
thoughts, feelings, and actions of people throughout time. It is not simply
understood as the sole outcome of the social and biological moment.
The personality attributes of a manager are significant in modern
organizations since they influence the person's entire behaviour.
Personality, in common parlance, refers to the impression an individual
makes on others through their personal characteristics, which makes a
view appealing or unappealing.

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LEARNING OBJECTIVES
After completing this unit, you will be able to:
• define personality

• understand personality characteristics

• describe personality types
• elucidate the factors influencing personality

9.1 PERSONALITY - MEANING AND DEFINITIONS

The word "personality" comes from the Latin word "per sona," which
means “speak through." It originally refers to the masks worn by actors
in ancient Greek dramas on stage. Thus, the early understanding of
personality was that of a superficial social image that a person assumes
by acting out life roles. Personality is defined as the distinctive patterns
of behaviour and thinking that determine a person's ability to adjust to
their environment. Personality is defined as a person's ability to influence
others, their understanding and the perception of themselves, and their
pattern of inner and outside measurable traits. A person's personality is
defined by repeating psychological patterns such as emotions, feelings,
beliefs, and behaviour. It denotes a person's overall profile, or a set of
stable features that captures their distinct personality.
Both internal and exterior components make up a person's personality.
External characteristics, also known as physical characteristics, are
observable actions from which we can infer the information about a
person's personality. Internal or cognitive characteristics are feelings,
thoughts, ideas, beliefs, and interests that are basically more complex.
One of the most important determinants of an individual's behaviour is
his personality. The term "personality" refers to a person's "unique
qualities" that distinguish them from others. There is no single
universally accepted definition of "personality" as it is interpreted
differently by different people. The term "personality" is understood in
light of the definitions given by some experts.
Gordon Allport defined personality as “the dynamic organization within
the individual of those psychophysical systems that determine his unique
adjustments to his environment”. “Personality is a broad, amorphous
designation relating to fundamental approaches of persons to others and
themselves”, writes Kolasa. The term refers to the study of the
characteristic traits of an individual, relationships between these traits
and the way in which a person adjusts to other people and situations,
according to most psychologists and students of behaviour.

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 “Personality refers to more or less stable, internal factors that make one
person’s behaviour consistent from one time to another and different
from the behaviour of other people would manifest in comparable
situations,” according to Child.
Personality traits are primarily influenced by two types of characteristics:
inherited and learnt characteristics.

a. Inherited characteristics: Inherited traits are characteristics that

an individual inherits from his or her parents or ancestors, such as
gifted features that an individual possesses at birth. The colour of a
person's eyes, their religion/race, the shape of their nose, and the
shape of their earlobes are all inherited characteristics.
b. Learned characteristics: Nobody learns while being born. Our
school is our first home, followed by our society, and finally
educational institutions. Learned traits are the characteristics that a
one learns by observing, practicing, and learning from others and the
environment. Perception, values, personality, and attitude are just a
few examples of learned characteristics.
9.2 CHARACTERISTICS OF PERSONALITY
1. Uniqueness: Internal and exterior qualities, some of which are
extremely universal, are referred to as personality. However, it is
unique to each person. It is impossible for one person to imitate or
copy the personality traits of another.
2. Qualities of an individual: Each person has a certain feeling as
well as other permanent traits and characteristics. Personality is
mostly made up of persistent or permanent qualities that exhibit
themselves in social behaviour and an attempt to adapt to the
environment.

3. Dynamic orientation to the environment: The learning process

is represented by personality. It occurs in the context of the
environment. We do not develop all of our personality traits at the
same time.
4. It impacts behaviours and actions: Personality not only
influences how we move and respond in our environment, but it
also influences how we act.
5. Multiple expressions: More than mere behaviour reveals one's
personality. It shows up in our thoughts, feelings, close
relationships, and other social interactions as well.

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6. Adaptability to environment: People usually adapt to new
situations and challenges. Each person is defined by a dynamic
combination of psychological characteristics that determines his fit.
The reason for this is that each person's experiences are unique,
so is their reaction to the environment.
7. Goal oriented: Motive is the result of desires and needs. The
desire of an individual leads the behaviour for the realization of the
same. Physiological and socio-cultural factors cause behavioural
changes.
8. Integration of personality: The personality functions in
coherence by combining numerous activities. The way a person's
personality is integrated varies. Values and experiences are
deeply embedded in people with developed personalities. It all
relies on the values they instilled in them as children.
9. Psychophysical systems: Personality is a complex system with
psychological and physical components. Traits, emotions,
intelligence, temperament, character, and motives are the key
elements of this system, which interact with one another. All of
these elements are psychological, but they are all dependent on
the body's neurology and endocrinology.
10. Dynamic organization: This means that different elements of the
psychological system are self-contained, but they are connected
and changeable. This change, on the other hand, can occur
gradually over time. Various qualities are not combined in the
personality. They are, in reality, one and the same. This
integration is the result of an organization that can differ from one
individual to the next. The behaviour of one person toward a
certain individual may differ from that of another.
11. Consistency: The behaviours usually have a recognizable order
and consistency. By consistency, we mean that an individual acts
consistently in different situations, and that behavioural
consistency may be found when the same situation is repeated
over time. Consistency is classified into four categories by
psychologists.
a. Type “A” consistency: The situation and behaviour are the
same in this category. For example, a football player is invited to
play a game against team X, and after ten days, he requests to
play against the team again.

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 b. Type “B” consistency: When the same behaviour occurs in
two different situations. For example, a person may have an
interview in front of a selection board and then a final round
interview in front of another board for the same position.
c. Type “C” consistency: When a person is asked to act in a
different way in the same situation. For example, when an actor
is imitating different actors.
d. Type “D” consistency: Because he is impacted by a specific
set of features, a person might behave in a variety of situations
based on the demands of the situation. A person is required to
treat his students differently than his coworkers, for example. His
behaviour with his parents would be different from that of his
friends.
12. Development of personality structure: A growing organism's
natural quality is personality development. The path progresses from
basic variables and situations to increasingly complicated problems
that an individual must face. The infant's mental organization
develops slowly at birth, according to Heniz Werner. Parts of the
child's mental structure eventually crystallize and separate from one
another as a result of interactions with the environment. When the
differentiated elements are grouped functionally, the analytical stage
is followed by a synthesis or integration.
13. Consciousness: There is a big gap between human beings and
other species. His unique trait is "self-awareness," which allows him
to be aware of his environment and identity. In the sense that it
evolves through our interactions with the environment, personality is
aware. The self-concept is formed as a result of this interaction. The
term "self" refers to who we are and what we stand for.
14. Potentiality for change: The personality was once thought to be a
fixed structure, according to psychoanalysis. Modern humanistic
theories, on the other hand, have demonstrated that not only does
the human being have the ability to reorganize, but that the
environment also favours change. Integration or organization is a
characteristic of human personality that appears naturally and
ordinarily in people.
9.3 TYPES OF PERSONALITY

Different types of personality are identified based on those features, as

follows.

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 1. Extrovert: This personality type prefers to live alone the majority of
the time. Individuals are highly sociable and interact with people
from many walks of life. They desire to be a part of larger groups.
Drivers, heavy drinkers, smokers, robbers, thieves, bad guys, and
so on are examples of this type of person. Personality emerges as
a creative process, according to Carl Jung. There are four phases
to it: thinking, feeling, sensation, and intuition. These factors
combine to form an individual's personality.
2. Introvert: Introverts are less risk-taking and directive-oriented than
extroverts. These individuals require strong motivation and clear
instructions. Introverts are the opposite of extroverts. These people
prefer to stay in their rooms and do not wish to go out. They live in
their own little universe. They are educators, scientists,
philosophers, and thinkers.
3. Ambivert personality: There is a third personality type called
ambivert that exists between extroverted and introverted
personalities. This personality enjoys and participates in groups.
They are of average intelligence and wish to live in both parties.
They occasionally associate with others, but they have their own
quarters.
4. Type ‘A’ personality: Type "A" personalities are fiercely involved in
a long-term, never-ending quest to do more and more in less time.
Type "A" personalities are always on the move, walking, and eating.
They are irritated by the rapidity with which events unfold. They are
bothered by other people's slow motions. They are constantly
attempting to perform two or three things at once and are unable to
cope with the hobbies.

5. Type ‘B’ personality: The need for more and more things is rarely
an issue for type "B" personalities. People with a type "B"
personality never feel rushed, never feel the need to display their
accomplishments, and only play for fun and leisure. They have a
tendency to unwind without feeling guilty.
9.4 FACTORS INFLUENCING PERSONALITY
Various thinkers have highlighted several personality determinants.
McClelland, for example, divided them into four categories: traits,
schema, motives, and self-schema. Others, such as Scott and Mitchell,
have grouped personality determinants into two categories: inheritance
and cultural factors. However, numerous personality factors can be
divided into two categories: heredity and environment. After much

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debate, it has been decided that leaders are both born and created, i.e.
heredity. Similarly, whether personality is determined at birth or is the
outcome of an individual's interaction with the environment has been a
point of contention. Furthermore, it is argued that situation is another
component that influences personality. The following factors influence an
individual's personality.

1. Heredity: Heredity is the biological mechanism that transmits qualities

from parents to children through the chromosomes of germ cells.
Physical stature, face attractiveness, gender, temperament, muscle
composition, and even thinking is all influenced by heredity. According to
the hereditary approach, the molecular structure of genes found in
chromosomes is the ultimate explanation for an individual's personality.
Physical and psychological qualities can be passed down across
generations, according to animal research. Shyness, fear, and distress
are all traits that parents pass down to their children. Physical size, face
attractiveness, temperament, sex, muscular composition, and the
biological rhythms are only a few of the hereditary features that are
usually impacted by parents. In personality theory, the importance of
inheritance in personality formation is an old argument. All humans are
considered to inherit the following characteristics.
a. Physical structure: For instance, how tall or short you are,
whether you have a long or short nose, tall or short feet, and how you
are put together are all factors to consider.
b. Reflexes: It describes a direct response to stimuli, such as
withdrawing away from a pinprick or blinking when something comes
close to the eye.
c. Innate drives: It refers to urges to act based on physiological
stresses; nevertheless, these must be linked to activities that relieve
tension through learning.
d. Intelligence: It refers to the ability to adapt and learn new things.
e. Temperament: This refers to predictable and recurring responses
that are related with a basic emotional nature, such as phlegm,
excitability, and/or lethargy.
2. Brain: The human brain appears to have well-defined pleasure and
pain centres. That being the case, electrical stimulation of the brain may
be used to physically manipulate one’s personality. Electrical stimulation
of the brain and split-brain psychology are two of the most recent and
fascinating possibilities. According to findings from brain electrical
stimulation research, a closer examination of the brain may lead to a

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greater understanding of human nature and behaviour. Although no
definitive evidence on the involvement of the brain in personality
formation exists at this time, brain shape determines personality.

3. Biofeedback: Physiologists and psychologists believed that certain

biological activities like brain waves, gastric secretions, blood pressure
changes, and skin temperature were beyond conscious control until
recently. Some experts now believe that by using biofeedback, these
involuntary functions can be consciously controlled. Through the
feedback of electronic signals from equipment wired to the area of the
body, the individual learns the internal rhythm of a certain physical
process. The person can learn to manage the biological process in
question with the help of biofeedback.
4. Physical features: A significant element of personality is an
individual's biologically determined exterior appearance. Whether a
person is tall or short, fat or thin, or black or white, their impact on others
will influence their self-concept. "A child's physical traits might be tied to
his approach to the social environment, the expectations of others, and
their reactions to him," writes Paul H Mussen. These, in turn, can have
an impact on the formation of one's personality. Physical traits, most
people would agree, have at least some influences on personality.
II. Environment: The term "environment" refers to the surroundings in
which people grow up. Culture, family, and situational environment all
have a role in the creation of personalities. A doctor's son is frequently
perceived as preferring his father's career. The norms, attitudes, and
values that are passed down from generation to generation are
established by culture. There is evidence to suggest that, the cultural
environment in which people are reared has a significant impact on the
personality development.
1. Family factors: The familial setting in which a child is raised has a
significant influence on the development of his personality. The socio-
economic level of the family, as well as the education of parents and
other family members, has a significant influence on an individual's
personality. In fact, in a desperate attempt to personify their own beliefs,
responsibilities, and so on, family members try to influence children's
behaviour. Siblings, in addition to parents, have an influence on
personality development. For the younger ones, the elders act as role
models. Parents play a critical role in the identification process, which is
crucial for a child's early development. The process, according to
Mischel, can be viewed from three different perspectives.

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 i. Identification can be defined as a child's and a role model's
similarity in behaviour, including feelings and attitudes.
ii. ii. Identification can be defined as the motivations or aspirations of
the youngster to like the role model.
iii. It can be thought of as the process by which the youngster
absorbs the model's characteristics.

IV. Cultural factor: In general, cultural factors are considered to have a

greater impact on personality. Independence, hostility, competition,
cooperation, and a variety of other human reactions are all heavily
influenced by culture. Culture creates stability through time by
establishing the norms, attitudes, and values that are passed down from
generation to generation. Each culture has its own subcultures, each
with its own perspectives on moral values, hygiene standards, dress
style, and success definitions. "Every culture expects and trains its
members to behave in ways that are acceptable to the group," writes
Paul H Mussen. The range of experiences and situations that a
youngster is likely to encounter, as well as the values and personality
qualities that will be reinforced and thus taught is largely determined by
his cultural group. As a result, a person brought up in a Western society
has a different personality than someone brought up in our Indian
culture. Although culture has a significant influence on the personality
development, a linear relationship between personality and a given
culture cannot be established for two reasons: a. the effects of culture on
an individual are not uniform because they are transmitted by certain
person-kin and others who are not all alike in their values and practices,
and b. the individual has unique experiences.
3. Situational factors: Situational factors have an impact on human
personality. Different components of personality are called upon by the
various demands of different situations. "The situation imposes immense
strain on the individual," Milgram writes. It imposes constraints and can
give a push. In certain cases, the kind of person a man is determines his
behaviour rather than the kind of scenario he finds himself in." In a given
situation, the individual must deal with a variety of issues that change
throughout time. Therefore, personality is situational; the uniqueness of
each situation, as well as any personality assessment, must be
considered. The individual, for example, changes his behaviour in
response to situations. When a person visits the temple, he is sober and
normally dresses in basic garments with bows. When the same person
goes in for an interview, he will be well-informed about the company.

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LET US SUM UP
The sum of an individual's reactions and interactions with others is their
personality. Reserved, intelligent, sympathetic, submissive, shy, and
other personality traits are examples. Heredity and environment are both
predictors of personality. Organizational behaviour is influenced by
concepts like locus control, self-monitoring, and type "A" and type "B"
personalities. Based on its diverse psychophysical elements, personality
varies from person to person.
CHECK YOUR PROGRESS
Choose the correct answer
1. ________ refers to a person's unique set of characteristics and
behaviours.
a. Personality b. Punishment
c. Perception d. Person
2. People who have which personality attribute are prone to making poor
decisions because they act too quickly?
a. Type A b. Type B
c. Self-monitors d. Extroverts
3. Which of the following is a personality-shaping environmental force?
a. Gender b. Height
c. Experience d. Brain size
4. Who was the first to classify introvert and extrovert personalities?
a. Freud b. Jung
c. Munn d. Allport
5. Which of the following is not an attribute of an introvert personality?
a. Self-centred b. Conservative
c. Sociability d. Submissive
GLOSSARY
Personality : Individual differences in distinctive patterns of
thinking, feeling, and behaviour are referred to as
personality.
Heredity : The sum of all biological mechanisms by which
certain characteristics are passed down from
parents to their offspring is known as heredity.
Biofeedback : Biofeedback is a technique for learning to control
certain aspects of your body, such as your heart
rate. You are connected to electrical sensors
during biofeedback to assist you get information
about your body.
Extrovert : An extrovert is a person who enjoys socializing
and conversing with others. Extroverts like social

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 gatherings, phone conversations, and meeting new
people.
Introvert : Reserve, passivity, contemplation, and a penchant
for keeping emotional states secret are all features
associated with introversion. Introverts thrive in
small groups and one-on-one connections, and
they invigorate themselves by spending time
alone.
Ambivert : An ambivert is a person who has a personality type
that is in between that of an introvert and that of an
extrovert.
SUGGESTED READINGS
1. Aswathappa, K. Organizational Behaviour. New Delhi: Himalaya
Publishing House.
2. Mishra, M.N. Organizational Behaviour. New Delhi: Vikas Publishing
House.
3. Prasad, L.M. Organizational Behaviour. New Delhi: Sultan Chand &
Sons.
4. Stephen P. Robbins., Timothy A. Judge., and Neharika Vohra.
Organizational Behavior. New Delhi: Pearson Education India.
5. Uma Sekaran. Organizational Behaviour: Text & Cases. New Delhi:
Tata McGraw Hill.
WEB RESOURCES
1. Organizational Behavior (Robbins and Judge) Chapter 05 --
Personality and Values - Bing video
2. Personality - Part I |Organisational Behaviour - YouTube
3. Personality - Part II | Organisational Behaviour - YouTube
4. The Big Five Personality Model | Organisational Behavior |
MeanThat - Bing video
ANSWER TO CHECK YOUR PROGRESS
1.a 2.a 3.c 4.b 5.c

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UNIT 10

PERSONALITY THEORIES, TRAITS

AND TESTS
STRUCTURE

Overview

Learning Objectives

10.1 Theories of Personality

10.1.1. Type Theory

10.1.2. Trait Theories

10.1.3. Freudian Stages or Psychoanalytical Theory

10.1.4. Erikson’s Theory

10.1.5. Chris Argyris’s Immaturity-Maturity Theory

10.1.6. Socio-Psychological Theory

10.1.7. Social Learning Theory

10.1.8. The Humanistic Approach

10.1.9. Personality - Job Fit Theory

10.2 Major Traits Influencing Personality

10.3 Personality and Organizational Behaviour

10.4 Personality Tests Used by Organizations

10.5 Importance of Personality Tests in the Workplace

Let Us Sum Up

Check Your Progress

Glossary

Suggested Readings

Answer to Check Your Progress

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OVERVIEW
Personality refers to a person's distinctive patterns of thoughts, feelings,
and behaviours. Personality theories create a more conducive
environment for understanding the principles of human development that
explain the numerous changes in individual behaviour. They serve as
the basis for most of our understanding of personality. Trait theories,
behavioural theories, humanistic theories, and psychodynamic theories
are some of the most popular personality theories. Personality tests are
useful because they reveal individual strengths, enable professionals to
choose where their skills are best utilized. Individuals who have a better
awareness of their personality might find careers and places that are a
good fit for them.
LEARNING OBJECTIVES
After completing this unit, you will be able to:
• understand various personality theories
• enumerate the major traits influencing the personality
• elucidate personality and Organizational behaviour
• describe the types of personality tests used by Organizations
• discuss how important personality tests are in the workplace.
10.1 THEORIES OF PERSONALITY
Personality theories have been developed by psychologists and other
human behaviour theorists based on research findings. Psychoanalytic
theories, socio-psychological theories, trait theories, and holistic theories
are the four types of personality theories. The way people affect others,
according to Luthans, is determined by their personality traits. Height,
weight, facial characteristics, colors, dimensions, and other personality
qualities are examples. Shyness, submissiveness, laziness, loyalty,
drive, aggression, creativity, and other personality qualities are
permanent characteristics. There are various personality theories;
however, the following are the most important:
10.1.1. Type Theory
The psychological classification of different types of persons is known as
personality type. Personality types are distinct from personality traits,
which can present in various ways. Meyer Friedman and his colleagues
coined the terms Type A and Type B behaviour patterns in the 1950s.
According to this theory, type A people are more competitive, outgoing,
ambitious, impatient, and/or aggressive, whereas type B people are

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more easygoing. Personalities are classified into distinct types according
to type theories. The goal of type theories was to find a link between
facial or bodily features and personality. Personality classification based
on physical characteristics is subjective. Type theories are simple and
popular, yet they lack substance. The second basis for type personalities
is psychological elements. Carl Jung, a Swiss psychologist and one of
Freud's students, classified all people as introverts or extroverts. These
phrases are frequently used to describe a person's sociability and
interpersonal orientation. Introverts are shy, quiet, and reserved,
whereas extroverts are gregarious and sociable. Thus, despite their
appeal as a simple way of looking at personality, type theories, whether
physical or psychological, do not convey all of personality's complexities.
10.1.2. Trait Theories
Trait theory is a quantitative concept that pertains to the measuring of
psychological characteristics. An individual can be defined in terms of a
constellation of traits such as affiliation, achievement, anxiety, hostility,
and dependency, according to trait theory. A trait is hence any relatively
long-lasting manner of distinguishing one person from another. The traits
that each person possesses, as well as the amount of each trait that
each person possesses, are regarded to be generally stable, and
personality and behavioural differences between two people are thought
to be the result of differences in the amount of each trait that each
person possesses. A trait of an individual is derived from an individual's
behaviour and acts as a valuable "unit of analysis" for determining
personality. Trait theories try to explain personality and differences
between persons by looking at their personal qualities. Trait theorists
believe that a person's personality can be characterized by where they
fall on a series of continuous dimensions or scales, each of which
represents a trait. As a result, we might rate someone on a scale of
intelligence, emotional stability, aggression, creativity, or any number of
other dimensions. It is vital to remember that traits are a result of a
person's behaviour, not something he or she has. One does not have
shyness; rather, one feels and acts shy in specific situations.
Theories, for example, consider the personal attributes and
characteristics that distinguish leaders from non-leaders. Margaret
Thatcher, the former Prime Minister of the United Kingdom, has always
been admired for her ability to lead. She's been described as confident,
strong-willed, determined, and decisive. The media is a big supporter of
leadership trait theories that emphasize personal qualities and
characteristics. Ambition and drive, honesty and integrity, self-

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confidence, intelligence, and job relevant knowledge are all
characteristics of distinct leaders and non-leaders. When Apple
Computer CEO Steve Jobs was labelled as charismatic or passionate,
these adjectives reflected leadership trait theory, which aims to seek
unique personal qualities and characteristics of leaders in order to
explain their success. Effective leaders have distinct personalities. The
goal of personality trait theory is to figure out how a group of personality
traits influences a person's behaviour. However, this theory has the
drawback of being mostly descriptive rather than analytical. In fact, there
is no concrete evidence that trait theory is a valid measure of
personality. Here are the different trait theories.
10.1.2.1. Gordon Allport’s Personality Trait
Personality traits are real entities that are physically located somewhere
in the brain. Each of us is born with our own set of raw materials for
certain traits, which are subsequently shaped by our life experiences.
Traits indicate how we respond to the environment and how consistent
that reaction is. If we are shy, we react to strangers differently than if we
are pleasant; if we are confident, we approach tasks differently than if
we are inferior. Allport divided traits into two categories:
1. Common traits: The traits that we share or have in common with the
majority of people in our own society are known as common traits.
2. Individual traits: Individual traits are grouped into three categories,
according to Allport: cardinal, central, and secondary traits.
a. Cardinal traits: A cardinal trait is so pervasive and obvious in a
person's life that it appears to influence every action practically. It is
such an important aspect of a person's personality that they can
identify with it or be recognized for it.

b. Central traits: The central traits, according to Allport, are those that
we would "include when writing a careful letter of reference."
c. Secondary traits: Secondary traits are less evident, obvious, and
important in determining our personalities. Secondary traits are far
more common than the cardinal or central traits. Food and music
preferences are examples of secondary traits.
10.1.2.2. Raymond Cattell’s 16 Personality Factors
The Sixteen Personality Factor Questionnaire, sometimes known as the
"16 P.F. Test," is a personality profile developed by Cattell. The Cattell
Personality Profile can be used to gain a better knowledge of one person
or to compare one's personality profile to that of others. Raymond Cattell

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saw personality as a set of traits that might be used to explain and
predict a person's behaviour. Cattell distinguished two sorts of traits:
a. Surface traits: These are attributes that can be observed in a
person, such as honesty, helpfulness, kindness, generosity, and so on.
These are called "surface traits" by Cattell.
b. Source traits: These traits make up the most fundamental
personality structure and are the ones that actually cause behaviour.
Even if we all have the same source traits, we do not all have them to
the same extent. Intelligence is a source trait, and everyone has some,
but not everyone has the same quantity or type of trait. Cattel found 23
source traits in healthy people, 16 of which he researched in depth.
10.1.2.3. The Big Five Personality Traits
Lewis Goldberg, an American psychologist, is regarded as one of the
most influential researchers in the subject of personality psychology. His
significant study reduced Raymond Cattell's personality's 16 "basic
components" to five main factors, identical to the five factors established
by his fellow psychologists in the 1960s. Two other renowned
personality psychologists, Paul Costa and Robert McCrae, were drawn
to this five-factor model and validated its validity. The "Big Five"
personality model has been used to initiate thousands of personality
explorations across many countries, cultures, and demographics. The
five-factor model divides a personality into five components: openness,
conscientiousness, extroversion, agreeableness, and neuroticism/stress
tolerance.
1. Openness: This trait is sometimes referred to as a person's mental
experiences or imagination depth. It refers to a person's willingness to
try new things, be open, and think creatively. People that score well in
this area are usually creative and curious, whilst those who score poorly
are usually conservative and stick within their comfort zones. Openness
is a measure of how imaginative and creative a person is, as opposed to
how practical and conventional they are.
2. Conscientiousness: Conscientiousness is a measure of a person's
foresight, resolve, self-discipline, and organization. Employee
productivity is generally predicted by employee conscientiousness,
especially in lower-level roles. Someone who scores higher in this
category is more goal-oriented, has better impulse control, and is more
structured in general. Those who score poorly in this category are more
prone to be impulsive and procrastinate on their homework.

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3. Extroversion: Extraversion is a personality trait that assesses a
person's sociability, openness, and energy. Those with a high
extraversion score are more assertive, socially confident, and energized
by social engagement, whereas those with a low extraversion score are
more prone to seek seclusion and introspection. People who score lower
on the extroversion scale are thought to be introverted, or deliberate,
quiet, and independent. People who fall on one side or the other of the
spectrum are better suited for certain types of positions.
4. Agreeableness: Agreeableness is a measure of a person's
tendencies for social harmony. This trait represents how well the
individual gets along with others, how cooperative they are, and how
well they can communicate within a team. People with a high score in
this trait are generally likeable, sympathetic, and affectionate, whereas
those with a low score are perceived as blunt, rude, and sarcastic.
5. Neuroticism / stress tolerance: It measures a person's ability to
control negative emotions such as anxiety and sadness. Individuals'
stress tolerance is measured by how they react to stress. Emotional
instability is a term used to describe a tendency to readily experience the
unpleasant emotions such as anger, anxiety, melancholy, or
vulnerability. A high score in this category suggests that a person is
likely to experience these feelings and has low self-esteem. Those who
earn a low score are more likely to be confident and daring.
Evaluation of trait theory: Type theories make an unrealistic attempt to
categorize people into discrete, discontinuous groups. Trait theory, on
the other hand, recognizes that people's personalities are not static. In
behavioural science, the theory has influenced personality tests and
factor analysis approaches. Trait theory, on the other hand, has a
number of drawbacks. The following are some of the drawbacks in trait
theories.
a. The terminology is difficult to define, there are inconsistencies, and
the scientific validity of the results is questioned.
b. A major criticism of trait theories is that they are more descriptive
than analytical, and they are far from comprehensive personality
theories.
c. Some trait theories tend to focus on individual features without
addressing how these traits are organized within the personality.

d. Behaviour is abstracted from traits. However, we cannot use the

same traits to describe behaviour.

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 e. While there are no universal traits that indicate leadership in all
contexts, the trait does appear to predict leadership in relative
situations.

f. In weak situations, the trait predicts the behaviour more than in

strong situations. When behavioural norms are strong incentives
for a specific type of behaviour and clear expectations about what
behaviour is rewarded and what behaviour is punished, there are
powerful situations. Leaders have the opportunity to speak up in
certain strong situations. Strong cultures fulfil the criteria of a
strong situation, but the trait's power to predict leadership is limited
in this case.
g. The inability to distinguish between cause and effect, such as
whether self-confidence leads to leadership or whether success as
a leader lead to self-confidence.
h. Finally, rather than distinguishing between effective and ineffective
leaders, the attribute helps predict the appearance of leadership.
10.1.3. Freudian Stages or Psychoanalytical Theory
The unconscious nature of personality is at the heart of Sigmund Freud's
psychoanalytic theory of personality. It is based on the idea that man is
more motivated by unseen forces than by conscious and rational
thoughts. Most things in life, according to Freud, are present on an
unconscious level rather than a conscious level. Freud observed that his
patient's behaviour could not always be explained consciously. The id,
ego, and superego are three incompatible psychoanalytic concepts in
this theory.
1. The id: The id is the mental agency that contains everything that is
inherited, present at birth, and fixed in the individual's constitution,
particularly instincts. It is raw, animal, misunderstood, knows no laws,
obeys no rules, and is essential to the individual throughout his or her
existence. According to Freud, the id is responsible for removing
tensions, reflex behaviours, and primary processes from the personality.
The basic step is when a person tries to conjure up a mental image of
the thing that will help them relax. ID is the root of libido drives and is the
foundation of unconscious behaviour. In simple terms, Id is a psychic
energy source that seeks immediate fulfilment of biological or innate
desires. Sexual pleasure and other biological pleasures are among
these demands. It is the element of the human personality that is not
conscious. It necessitates immediate pleasure at any cost.

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2. The ego: Needs are not met by mental images. The hungry man will
not be satiated by eating pictures. The reality must be taken into
account. This is the ego's function. Because of the necessity to engage
with the real world, the ego emerges from the id. It comes from id and
helps in dealing with the external world. It also helps in the translation of
the inner wants into outward expressions. It is concerned with the
process of practical and sensible cognition. Example: We are having a
disagreement with a friend, and we expect the friend to speak first,
despite the fact that both of us want to talk. Because it is preoccupied
with the reality of the external environment, the ego is the conscious and
logical element. The ego governs the id with logic and intellect, ensuring
that the pleasures unconsciously desired by humans are delivered at the
appropriate time, place, and in the appropriate manner.
3. The superego: A person must adopt a set of values, norms, ethics,
and attitudes that are reasonably consistent with that culture in order to
perform constructively in society. According to societal standards, the
superego determines whether an activity is good or bad. The id seeks
pleasure, the ego attempts to understand reality, and the superego
seeks perfection. However, in the average person, the three work as a
team, resulting in integrated behaviour. It includes our parents'
interpretations of society's conventional ideals. The superego is an
ethical restraint on the behaviour that represents the individuals,
families, and society norms. Because awareness is developed by the
cultural values placed in a person by society's norms, a person may not
be aware of the superego's workings. A proper balance in the interplay
between these factors is required to establish a normal personality.
Evaluation of psychoanalytic theory: This theory has a significant
impact on people's psychological and philosophical beliefs. This theory
indicated that people's unconscious mental processes have a significant
impact on their thoughts and actions. The fact that it gave rise to an
essential and long-lasting way of treating psychiatric problems
emphasizes the significance of this theory. All human events, according
to Freud, are legitimate and determined by tremendous instinctive
drives, such as aggression. Therefore, human beings are regarded as
inherently mechanical, subject to the same natural laws that regulate the
behaviour of other organisms. The theory has been criticized since it is
not based on empirically verifiable facts. The psychoanalytical elements
are mostly hypothetical constructions that are not measurable or
observable enough to be subjected to scientific verification. According to
some detractors, Freud's personality theory is virtually exclusively based
on his observations of emotionally unstable people.

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10.1.4. Erikson’s Theory
The personality is groomed throughout one's life, according to this
theory. It has eight different stages, each with two different results. A
healthy personality is the result of successfully completing each stage.
These are the stages:
1. Infancy: This is the time span from 0 to 1 year. Children develop the
ability to trust others based on their caretakers at this age. If you do not
do this, you will feel anxious and insecure. Children of this age, for
example, are more at ease with faces that they see frequently than with
strangers.
2. Early childhood: This is the time span between one and three
years. Children learn to be independent at this age. They gain
confidence if they receive support; else, they become dependent on
others. Children at this age, for example, are beginning to walk, talk,
and do other things.
3. Play age: This is a three-to-six-year span. Children are frequently
assertive at this age. They develop a sense of guilt as a result of their
failure. Children in this age group, for example, must learn how to
behave and concentrate.
4. School age: This is the time between the age of six and puberty.
Children grow more inventive at this age. They are confident and eager
to attain their objectives. They may feel inferior if they are not
encouraged. Teenagers, for example, need to be protected, and
parents should understand and patiently treat them.
5. Adolescence: This stage marks the beginning of the transition from
childhood to adulthood. Children find their own identity here, and they
should be guided and supported to help them choose the best path for
them. Choosing a career path, such as science or commerce, is one
example of a decision made during this stage.
6. Early childhood: young adulthood is another name for this stage.
They start to open up and get more intimate with others at this point.
Making close friends, for example.
7. Adulthood: They focus on their work and important relationships at
this stage. Apply for jobs, for example.
8. Mature adulthood: When a person reaches this stage, his or her
productivity begins to decline. Take care of the family, for example.

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10.1.5. Chris Argyris’s Immaturity-Maturity Theory
Chris Argyris has recognized unique elements of the human personality
as it develops, departing from the strict stage approach. Argyris
proposes that a human personality develops along a continuum from
immaturity as a child to maturity as an adult, rather than going through
precise stages. People's levels of development can be mapped along
the seven dimensions at any age, as demonstrated in the table below:
The Argyris’s Immaturity-Maturity Continuum
Immaturity Characteristics Maturity Characteristics
Passivity Activity
Dependence Independence
Few ways of behaving Diverse behaviour
Shallow interests Deep interests
Short-time perspective Long-time perspective
Subordinate position Super ordinate position
Lack of self-awareness Self-awareness and control

Argyris has made it clear that this model does not mean that everyone at
the mature end of the continuum achieves or strives for all dimensions.
He continued by saying:
i. The seven dimensions are merely one facet of a person's whole
personality. Much depends on the individual's perception, self-
concept, adaptation, and adjustment.
ii. From the infant to the adult end of the continuum, the seven
dimensions fluctuate.
iii. Because the model is just a construct, it cannot provide specific
behaviour. It does, however, provide a way for describing and
measuring the growth of every individual.
iv. The seven dimensions are based on latent personality traits that
differ significantly from observable behaviour.
10.1.6. Socio-Psychological Theory
Individuals and societies cannot exist in isolation. These two things
interact with one another and are interdependent. Individual
psychological elements and societal socio-cultural factors interact with
one another. Therefore, the personality is shaped by societal needs as
well as psychological considerations. Similarly, society assists the
individual in meeting his wants. Society's demands for competitively
priced petroleum products, telecommunications need for truthful
communications at the lowest prices, and his psychological needs for

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achievement, involvement, and so on shaped the late Dhirubhai
Ambani's personality. Thus, social and psychological factors are
included in this theory. In this theory, social elements are important,
whereas biological factors are important in psychoanalytic theory.
Sociopsychologists have made the following contributions:
Fomm: The importance of social environment was underlined by Fomm.
Building social interactions, making work more socially relevant, and
having employees experience social sets in their work and output are
examples.
Sullivan and Horney: Interpersonal behaviour was emphasized by
Sullivan and Horney. Developing transactional skills, seeing others
positively, developing a positive mindset, and so on are examples of
these contributions.
Adler: Different variables were highlighted by him. Career, networking,
religious beliefs, balancing family and work demands, and so on are all
examples of contributions.
Horney: Horney emphasized common intrapersonal behaviours such as
competence, aggression, and detachment. People who are complaining
are dependent on the others, while aggressive people are motivated by
a desire for power, and people who are detached are self-sufficient.
Through the interaction and interdependence of social psychological
needs, managers must mould their employees' personalities.
10.1.7. Social Learning Theory
The social learning approach focuses on the behavioural patterns that
people develop to deal with their environment. The reality of
observational learning and the role of perception in learning are
acknowledged by social learning theory. The study of patterns of
behaviour and cognitive activity in connection to the specific situations
that elicit their maintenance or modification is the focus of social learning
theory. The emphasis is on what a person does in a certain situation. It
suggests that new behaviours can be learned through observation and
an imitation of the others. Much of what we learn, for example, comes
from observing role models such as parents, teachers, peers, and
bosses. Learning entails watching rewards and punishments in addition
to observing behaviour, a process called vicarious reinforcement.
Learning, according to the theory, is a cognitive process that occurs in a
social context and can only be accomplished through observation or
direct instruction, even in the absence of muscular reproduction or direct

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reinforcement. Some of the personal variables that determine what a
person acts in a given situation are as follows:
i. Competencies: Intellectual ability, social skills, and other abilities,
for example.
ii. Cognitive strategies: Ways of paying selective attention to
information and structuring it into meaningful units that have become
habitual.
iii. Outcome expectations: This refers to expectations about the
outcomes of various behaviours as well as the significance of certain
stimuli.
iv. Self-regulatory systems and plans: Individual differences in self-
imposed objectives, behavioural standards, self-imposed rewards for
success or punishment for failure, and the capacity to organise and
execute the processes leading to a goal will result in behavioural
differences.
To determine what an individual will do in a given situation, all of the
above variables interact with the situation's conditions. Reciprocal
patterns of behaviour are also believed by social learning theorists.
Individuals' behaviour may undoubtedly be elicited, maintained, or
modified in response to the situation. Individuals, in turn, have the ability
to shape the conditions of a situation. In addition to being influenced by
life's "situations," our behaviour reflects them and the relationship is
reciprocal. Changes in behaviour toward others are typically followed by
reciprocal changes in others' behaviour, which we can partially generate
through our actions. There are four processes that can be used to
determine how influential a model is on an individual. They are as
follows:

1. Attentional processes: Models who are appealing and significant

to us have a greater influence on us. They learn from the role model by
paying great attention to the role model as they are influenced by the
role model.
2. Retention processes: When the model is no longer available, the
individual's ability to remember the model's actions and their
behaviours will determine the model's effect.
3. Motor reproduction processes: After seeing a new behaviour
using the model, the observation must be translated into action. The
individual's ability to accomplish the modeled actions is then
demonstrated through this process.

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 4. Reinforcement processes: If positive incentives are offered,
people will be more likely to adopt the modeled behaviour. Reinforced
behaviours will be given more attention, will be better taught, and will
be practiced more frequently. The reinforcement that controls the
expression of the learnt behaviour might take the following forms:
a. Direct: It relates to social approval or disapproval, as well as the
easing of unpleasant circumstances and other tangible rewards.
b. Vicarious: It is when you observe someone else being rewarded
or punished for comparable behaviour.
c. Self-administered: It refers to using self-praise to evaluate one's
own performance. In social learning theory, self-administered
reinforcement theory is crucial.
Evaluation of social learning theory: Clinical psychology and
personality theory have benefited greatly from social learning theory. As
a result, we decided to take a closer look at the situation to see whether
it might be used to change behaviour. Learning principles' ramifications
have been shown to be particularly useful in modifying maladaptive
habits. Individual differences have been criticized by social learning
theorists for overemphasizing the role of context circumstances in
behaviour. A person is thought to be flexible, malleable, and a passive
recipient of external stimuli. Human nature is regarded as inferior to
environmental conditions.
10.1.8. The Humanistic Approach
Although distinct in some ways, the humanistic approach to the study of
personality encompasses a variety of ideas that have a common
emphasis on the human potential for self-direction and freedom of
choice. They are concerned in the "self" and subjective experiences of
individuals. The theories highlight man's positive nature, namely, his
desire for self-actualization and growth. They place a greater emphasis
on the "here and now" than on early childhood events, that may have
shaped a person's personality. The humanistic theory of personality is
credited to Carl Rogers and Abraham Maslow.
10.1.8.1. Holistic Theory/ Self-Theory
This is also known as self-theory or organismic theory. Rogers takes a
phenomenological approach to personality. Phenomenology is the study
of a person's subjective experience, feelings, and private conceptions,
as well as their world and self-perception. According to Rogers,
behaviour is fully determined by one's perception of the environment, i.e.

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behaviour is the result of immediate events as viewed and processed by
the individual. Rogers' ideas about human nature arose from his work
with emotionally disturbed people. It sees the individual as a self-
directed force of energy, rather as a creature pushed and pulled by
factors outside their control. Rogers acknowledges that people
occasionally engage in a variety of bitter and antisocial actions, but he
contends that they do not act in accordance with their inner character.
Differentiation, self-responsibility, cooperation, and maturity are all the
natural tendencies for the human organism. Self-actualization is the
underlying motivational factor that represents the organism's inherent
tendency to develop all of its capacities in order to preserve or better the
individual. There are four self-concept factors in the theory:
1 Self-image: How we see ourselves is referred to as self-image. Each
person has a set of ideas about whom or what they are, and which
combined make up their self-image. It is a series of self-beliefs.
Who/what is he, he responds?
2. Ideal self: The ideal self is the person one wishes to be. Thus, the
ideal self is the perception, while the self-image is the reality. Hence,
there may be a discrepancy between these two images. It shows
desirable or expected behaviour. It shows a desire to be. Is this what
you're looking for?
3. Looking glass-self: The perception of the other's perception is the
glass self. It is the difference between how people think they see him
and how they actually see him. It is a person's perception of how others
see their attributes and qualities.
4. Real self: Our real self is who we really are. Perceptions are the first
three components of self-concept, and they might be the same or
different from the real self. This is how reality is defined. It reveals real
personality traits, values, and attitudes. One adjusts to oneself in
response to others and the demands of the environment.
This personality theory emphasizes the individual as the initiating,
creating, and influencing determinant of behaviour within the
environment. Human nature, according to Rogers, is basically good. We
each live in our own subjective reality, which Rogers refers to as the
phenomenological field. We act, think, and feel in this personal and
subjective sphere. Part of the phenomenological field gradually
differentiates itself. Self-concept emerges over time as a result of
repeated experiences with terminology like "I," "me," and "myself." The
need for favourable regard grows with the emergence of the self.
Warmth, love, acceptance, sympathy, and respect from the people in our

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lives are essential. The self-concept is particularly essential in the
analysis of organizational behaviour. A person's self-concept influences
how he perceives a situation, which has a direct influence on his
behaviour. This means that the different forms of management
approaches are required for people with varied self-concepts.
10.1.8.2. Maslow’s Self-actualization Theory

In American psychology, Abraham Maslow is regarded as the spiritual

father of humanism. Maslow's humanistic psychology posits man as a
self-actualizer. Maslow intended the development of full individuality,
with all aspects of the personality in harmony, via self-accusation.
Maslow's humanistic psychology is influenced by European existential
philosophers and psychologists such as Kierkegard, Camus,
Binswanger, and Boss. Existential philosophy is concerned with man as
a unique individual who is totally responsible for his own survival. It is
never static, contrary to popular belief. He is always morphing into
something new. He attempts to make the most of his potential in order to
contribute to society and live a really true and fruitful life. Self-
actualization is the term for a man's intrinsic motivation.

In relation to a person's existence in the world of others, existential

philosophy emphasizes human consciousness, subjective sensations
and moods, and personal experiences. In the study of human nature,
existentialists and humanists emphasize the subjective experience as
the primary phenomenon. The experience itself and its meaning to the
individual experiencing it come first, followed by theoretical explanations
and excessive behaviour. Thus, the central elements of the humanist
approach are: i. The individual is a complete unit, ii. Animal study has
little bearing on human behaviour, iii. Human nature is essentially good,
iv. Man has creative capacity, and v. Man's psychological health is more
important.
10.1.9. Personality - Job Fit Theory
Personality-job fit theory is a branch of organizational psychology that
claims that a person's personality traits provide information about their
ability to adapt within a company. If the fit is "excellent," employees are
more likely to stay involved with the company. According to the
personality-job fit theory, organizations and the individuals have distinct
personality features, and when employees in organizations share those
traits, the organization becomes more productive, and the employees
are happier. The more closely a person's and a company's traits fit, the
higher the odds of productivity and job happiness. Employee turnover,
stress, absenteeism, and low job satisfaction will all be reduced as a

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result of a better personality fit. A match between a worker's abilities,
requirements, and values and the demands, rewards, and values of the
company is known as personality-job fit or person-environment fit theory.

The personality-job fit theory holds that analyzing a person's personality

will reveal information about their capacity to adapt in a workplace. In
other words, how well they will fit and function. You may achieve better
synergy and prevent pitfalls like a high turnover and low job satisfaction
by matching the appropriate personality to the right organization. The
person-environment fit examines whether a person and a job are a good
match, as well as how well the individual will fit into the larger
organization. Organizational competencies are defined in order to
assess the needs of the firm for which a person is applying. The
individual is then evaluated on these skills, and the individual's and
company's skill match is determined. Competencies can be measured
using a variety of tools, including psychological testing, competency-
based interviews, situational analysis, and so on. They will be able to
adapt to the corporate environment and work culture and will be able to
perform at their highest level when appropriate.

10.2 MAJOR TRAITS INFLUENCING PERSONALITY

There are different personality traits, but authoritarianism, locus of
control, machiavellianism, introversion-extraversion, achievement
oriented, self-esteem, risk taking, self-monitoring, and type A personality
are some of the most essential for the organizational behaviour.
1. Authoritarianism: During World War II, psychologist Adorn
developed this concept to assess vulnerability to authoritarian, fascist, or
antidemocratic appeals. The degree to which an individual believes that
distinctions in power and rank are legitimate within hierarchical social
institutions such as organizations is known as authoritarianism. A highly
authoritative employee, for example, may accept without question his
superior's commands or orders with greater authority. A person who
lacks authority may agree to carry out his boss's reasonable directions,
but he is also likely to ask questions, express disagreement, and even
refuse to carry out requests if they are objectionable for any reason.
Authoritarians are known for their strict opinions, high moral importance
placed on their beliefs, and a strong desire to follow rules and
regulations. They naturally prefer work situations that are secure and
structured, with their own set of rules and procedures. Authoritarians, on
the other hand, are more inclined to prefer an autocratic or directive
leadership and have a great respect for those in positions of power.

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2. Locus of control: The locus of control refers to an individual's overall
belief regarding internal and external control. The locus of control is
where an individual's code of behaviour is controlled. The degree to
which an individual believes their actions have a direct impact on the
outcomes of their actions is known as locus of control. Interns and
externs are the two types of people who work at the same company.
Internals believe they are in charge of their own fate, whilst externals
believe their lives are controlled by other factors.
They are believed to have a locus of control within themselves. Interns
aggressively seek information before making a decision; they are
motivated by achievement and desire to understand their environment.
Some people, on the other hand, feel that their circumstances are the
consequence of fate, chance, luck, or other people's actions, rather than
a lack of talent or poor performance. These people are said to have an
external locus of control because they feel the forces beyond their
control are directing what happens to them. Externals, on the other
hand, are more obedient and eager to follow directions, so they excel at
structured, monotonous tasks. Individuals with an internal locus of
control may have a strong desire to participate in the management of
their organizations and have a degree of autonomy in how they carry out
their duties. People with an external locus of control, on the other hand,
are more likely to choose a centralized organization in which they are
not required to make decisions.
3. Machiavellianism: The manipulation or influence of others as a
primary means of attaining one's aim is referred to as Machiavellianism.
Machiavellianism is then a psychological trait that denotes a readiness
to go to any length to attain one's goals. Machiavellianism teaches you
to be pragmatic, keep emotional detachment, and feel that the end
justifies the means. If a person is cool, logical in judging the system
around them, willing to twist facts to influence others, and tries to take
control of people, events, and the circumstances by manipulating the
system to one's benefit, they are likely to be Machiavellian.
Machiavellians have a strong desire to win and are excellent
persuaders. The manipulative behavior of High-Machs is likely to be
justified as ethical. High-Mach person acts in accordance with
Machiavelli's principles, such as the belief that it is preferable to be
feared than liked. High-Machs are prone to dishonesty in relationships,
have a cynical attitude toward human nature, and have little regard for
traditional conceptions of right and wrong. High-Machs are best suited to
tasks that require negotiation skills or when the stakes are high.

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4. Introversion and extroversion: Introversion is a personality trait that
drives people to turn inside and experience and process their own
feelings, thoughts, and ideas. Extraversion, on the other hand, describes
a person's tendency to look outward in search of external stimuli with
which to interact. People tend to be prominent as extroverts or introverts,
despite the fact that we all have some introversion and extroversion.
Extroverts are sociable, gregarious, friendly, and seek external
stimulation or interaction. These individuals thrive in environments where
they may contact others face to face, such as the sales department,
advertising office, or personal relations unit. These individuals thrive in
environments where they may contact others face to face, such as the
sales department, advertising office, or personal relations unit.
Introverts, on the other hand, are people who like to communicate with a
small, personal group of friends. They are quiet, thoughtful,
introspective, and cerebral. Introverts and extroverts have extremely
distinct career goals and require quite different organizational cultures to
maximize their performance. Extroverts are better suited to jobs that
demand a lot of social engagement, whereas introverts are better at jobs
that involve a lot of thinking and analysis.
5. Achievement orientation: Employees who have a strong desire to
succeed are constantly striving to improve wants to conquer challenges,
but they also want to believe that their success or failure is the result of
their own actions. This suggests they choose projects that are
moderately demanding. A simple work should not pose any difficulties,
and so is disliked by high achievers. Similarly, these people are not
constrained by high-risk work because failure rates are higher. Given
that high performers prefer tasks where the outcome can be directly
attributed to their efforts, the top performer seeks work challenges with a
50-50 chance of success; top performers will perform better when the
task is moderately difficult, feedback is provided quickly, and there is a
direct relationship between effort and reward.
6. Self-esteem: Self-esteem is a significant personality trait that
influences how managers perceive themselves and their function in the
organization. Self-esteem is vital for self-concept, which is how people
determine who they are and how they get their feeling of identity. High
self-esteem leads to a positive self-concept, and a high self-concept
fosters high self-esteem. As a result, the two reinforce each other.
Situations can have a significant impact on one's self-esteem. Failure
tends to diminish self-esteem, whilst success tends to boost it. The
following are the self-esteem levels and personality traits:

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a. High self-esteem: People with high self-esteem believe they have
more of the skills they need to thrive at work; they are more willing to
take risks in job selection and choose unconventional job; and they are
more satisfied with their jobs.
b. Low self-esteem: People with a poor self-esteem are more
vulnerable to external influences; they rely on positive feedback from
others; they prefer to please others and are thus less likely to take
unpopular positions; and they are dissatisfied with their work.
7. Self-efficacy: People with high self-efficacy feel they have the ability
to complete tasks, that they can put out the necessary effort, and that
they can overcome any impediments to their achievement. Prior
experiences, behavioural patterns, persuasion from others, and an
appraisal of current physical and emotional capabilities are all sources of
self-efficacy. Self-efficacy is linked to great performance in a number of
physical and mental tasks, according to research findings. Managers
can assist employees in increasing their self-efficacy. This can be
accomplished by giving ways of demonstrating performance and
rewarding an employee's accomplishments.

8. Risk-taking: A manager who takes a lot of risks is likely to try out new
ideas and drive the company in new ways. A manager with a low risk
tolerance, on the other hand, may lead to stagnant and too conservative
organization. High-risk managers made decisions more quickly and with
less knowledge than low-risk managers. While it is correct to generalize
that organizational differences are risk adverse in general, there are still
individual disparities on this dimension. It is important to understand
these differences and even consider matching risk appetite to specific
job requirements. This work necessitates immediate decision-making.
Someone with a low propensity for taking risks could be best suited for
the latter position. Hence, it is critical to notice these differences and to
link the risk-taking propensity with certain professional requirements that
make sense.
9. Self-monitoring: By adapting their behaviour to external and
situational conditions, people who self-monitor the most can display
tremendous adaptability. They are extremely sensitive to external stimuli
and may act in a variety of ways depending on the situation. Self-
monitors with high self-awareness might display dramatic
inconsistencies between their public, personal, and private selves. Self-
monitors with low self-control are unable to change their behaviour. High
self-monitors are more observant of others' behaviour and more willing
to conform than low self-monitors. We could further hypothesize that

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persons who self-monitor will be more successful in leadership situations
where they are expected to perform many, often conflicting
responsibilities. Therefore, low self-monitors' behaviour is consistent in
all contexts. Because their behaviour varies based on the situation, high
self-monitors appear to be more unpredictable and inconsistent.
10. Positive/negative affect: Positive affect is defined as people who
focus on the positive aspects of themselves, others, and the world at
large. Negative affect is defined as those who exaggerate the negative
aspects of themselves, others, and the world. Employees with a positive
effect are less likely to miss work. Negative effects make people are
more stressed up at work. Negative individual affect leads to negative
group affect, which results in less cooperative work behaviour.
11. Type of personality: Personality type is a psychological
classification of different types of people used in psychology. Personality
traits, on the other hand, are a narrower range of behavioural patterns
that are sometimes distinguished from personality traits. Type A
personality and Type A personality are the two categories of personality.
a. Type A Personality: A person with a type A personality is always in a
hurry, exceedingly competitive, and frequently aggressive and
unpleasant. Type A people have a chronic sense of urgency, are goal-
oriented, competitive, and impatient when their work is slowed for any
reason. Competitiveness, time urgency, social status, insecurity, anger,
hostility, and achievement-seeking are just a few of the psychological
and behavioural qualities that make up the Type A behaviour pattern.
The Type A personality is relentless in their pursuit of more and less
time, if necessary, against the opposing efforts of other things or other
people.

b. Type B Personality: Type B persons are easy-going individuals who

are unconcerned with the passage of time or the competitive spirit. The
Type B personality is relaxed, incompetent, and easygoing. People with
type B personalities are less likely to exhibit type A traits and
behaviours. The drive to acquire more and more things, or to participate
in an infinite succession of endless events in an ever-decreasing period
of time, is rarely a source of stress for Type B personalities.
12. Need pattern: For the needs of the four personalities that manifest
in the workplace, Steers and Braunstein devised a scale. The needs for
achievement, affiliation, autonomy, and dominance are the four of them.
High achievers take joy in their efforts and successes by proactively
engaging in work behaviours. People who have a strong need for

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affiliation appreciate cooperation with others. Those who have a high
need for autonomy perform best when they are not overly monitored.
13. Tolerance for ambiguity: This personality trait indicates the level of
uncertainty that people can take without being overly stressed and yet
perform well. Managers must be able to function effectively in the face of
severe ambiguity and limited information, especially when the
organization's external environment is constantly changing. These
conditions are best handled by the managers who have a high tolerance
for ambiguity. Managers with a poor tolerance for ambiguity can be
productive in organised work contexts, but they struggle to do so when
things are changing quickly and there is a lot of knowledge regarding the
future direction of things. Thus, ambiguity tolerance is a personality trait
required for managerial success.
14. Dogmatism: People who are more or less dogmatic in their beliefs
are referred to be "close-minded" or "open-minded." A boss, for
example, may be unwilling to listen to a new idea in order to perform
something more efficient. In the same situation, a manager who is open
to hearing about and trying new ideas may be seen as more open-
minded or less dogmatic. Individuals who are not dogmatic are more
likely to be valuable and productive members of the organization, given
the degree of change in the nature of organizations and their
environment. Dogmatism can benefit or harm organizations.
15. Work-ethic orientation: The person with a strong work ethic is
really involved in their job. Extreme work ethic ideals may lead to
"workoholism" tendencies, in which work is considered as the single
primary motivation for living with little outside interests. Turning to work
as a coping mechanism for non-work-related concerns can be a valid
option for the workaholic. While a high level of work ethic focus from
members is beneficial to the organization's success, too much
"workoholism," which can lead to premature burnout and health
problems, is unhealthy for both the company and the workaholic
members.
10.3 PERSONALITY AND ORGANIZATIONAL BEHAVIOUR
The endeavour to comprehend human nature has taken numerous
paths, including astrology, philosophy, and life sciences. Therefore, it is
perhaps no exaggeration to state that a better understanding of human
nature may well determine the quality of human life in the future.
Personality study has a significant impact on how people behave in the
workplace. Understanding the major elements of personality traits is
important for an employer who wants to operate their firm efficiently and

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smoothly. Personality and its qualities play a crucial part in many
decisions made in a business, and personality is an important
determinant of employee behaviour. If an employee likes monotonous or
boring work If he stubbornly refuses additional responsibilities in the
form of promotion; if a supervisor fails to reprimand an unruly
subordinate; or if a mid-level manager tries to move you up the
organizational ladder by ruthlessly ignoring ethical considerations, the
explanation for such behaviour in each case depends on the individual
personality, which predisposes an individual to certain patterns of
behaviour.
Through the subjective, the thoughtful application of personality
concepts helps us understand distinct persons and groups with similar
personality characteristics. The focal point that influences motivation is
one's personality. It is impossible to give a comprehensive analysis of a
leader's behaviour without asking why they act the way they do. Why do
effective managers, for example, devote so much attention to personnel
matters? Why don't they concentrate their efforts on production? When
we inquire about the behaviour of leaders, we are attempting to explore
issues of motivation. The center of the organism is the personality,
around which people's motivations form a cohesive and integrated
system. A successful sales manager must possess the characteristics
that are distinct from those required of a production executive.
Personality is a term that is not just understood in the workplace. In the
context of organizations, understanding human characteristics in general
is more important than understanding personality.
10.4 PERSONALITY TESTS USED BY ORGANIZATIONS
A personality test is a tool for determining a person's personality.
Personality tests can help in the clarification of a clinical diagnosis, the
direction of therapeutic interventions, and the prediction of how people
would react in various situations. Understanding a potential recruit's
personality can give employers insight into their work style and how they
might fit into the company's culture. Personality tests, which originated in
the discipline of psychology, have been used to better understand
character traits in a range of setting and including the workplace. They
can help with psychological diagnosis, personal development, and the
building of positive relationships with others. Many personality tests have
become popular over the years, and many of them are still circulating or
readily available online. Employers frequently use several personality
tests to better understand their employees' character traits. The following
are the most common personality tests:

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1. Myers-Briggs Type Indicator: The Myers-Briggs Type Indicator,
sometimes known as MBTI, is a popular tool used by employers during
the hiring process. Its questions determine a candidate's extraversion
versus introversion, judgement versus perception, intuition versus
sensing, and thinking versus feeling preferences. Candidates are
classified into one of 16 personality types based on the results of these
groupings. It is a lengthy test, with 93 questions in all.
2. Caliper Profile: For recruitment, team development, and succession
planning, the Caliper profile is invaluable. The Caliper profile uses 22
attributes to find prospects for leadership roles, including assertiveness,
empathy, discernment, and flexibility. The test successfully predicts
career success in supervisory and leadership positions because it
reveals managerial strengths. The Caliper Profile is divided into five
sections, each with 180 multiple-choice and true/false questions.
Choosing statements that most or least reflect’s one's career orientation
is referred to as the majority. Candidates usually finish the assessment
in 1.5 hours. Employers can customize the test to target major traits
necessary for certain jobs to improve job matching. The Caliper
personality profile measures the relationship between a candidate's
personality traits and their job performance. During employment
interviews, this personality test is widely utilized. This assessment
considers both a candidate's potentially bad and good attributes in order
to have a better idea of how they might perform in a given role.
3. 16 Personality Factor Questionnaire: The 16 Personality Factor
Questionnaire, often known as 16PF, was first published in 1949 by
Raymond B. Cattell, Maurice Tatsuoka, and Herbert Eber, however it
has been revised. This test predicts how people will react in specific
situations at work. Its ideology is that every one of us possesses 16
personality traits, such as boldness, sensitivity, and warmth. 16PF has
185 multiple-choice sections that take about 30 minutes to complete on
average. Each section, contains many statements with a five-point scale
indicating one's level of agreement. The test analysis then assigns a low
or high score to each trait. Employers use 16PF to find excellent
candidates with potential for progression. It helps in the measurement of
individual behaviours and has a wide range of applications, including the
career development and employee progression. It assesses dominance,
rule awareness, sensitivity, emotional stability, perfectionism, self-
reliance, and openness to change, among other personality traits.
4. Hogan Personality Inventory: Robert and Joyce Hogan, the first
psychologists to illustrate the association between personality and job

144
performance, created the Hogan Personality Index (HPI). HPI identifies
someone is talented based on two factors: their brilliant behaviour and
their professional strengths. To begin, HPI highlights seven desirable
traits: ambition, adaptability, sociability, empathy, discretion, curiosity,
and openness to learning. It also looks at professional abilities. Being
reliable, level-headed, and service-minded, as well as having clerical,
sales, or managerial skills, are all desirable qualities. HPI makes the
interview process by matching individuals with roles that best suit their
talents. Teamwork is more likely to occur when people who are adapted
to the company's culture are included. Furthermore, training
programmes can be tailored to meet the needs of employees and help
them develop in their careers. HPI asks you to answer true or false to
206 questions. Despite its length, the test is only 20 minutes duration.
This personality test takes the lead since the name Hogan is well-known
among industrial and organizational psychologists.
5. The SHL Occupational Personality Questionnaire: The SHL
Occupational Personality Questionnaire, often known as the OPQ32,
elucidates how a person's personality traits and behaviour influence
work performance. It consists of 104 questions that assess 32 essential
qualities that are divided into three categories that influence an
individual's work behaviour, emotions, cognitive style and feelings, and
interpersonal relationships. Each question has many statements, and
the taker chooses the one that best describes them and the one that
least accurately describes them. The results are presented in the form of
a customized report for each test taker that details their strengths and
weaknesses and includes a graphical summary that can be used to
compare candidates.
6. HEXACO Personality Inventory - Revised: Researchers developed
the HEXACO Personality Inventory more than two decades ago to
measure the many dimensions of a person's personality and how they
apply their own theoretical interpretations to the diverse situations. It
assesses six important personality traits: honesty/humility, emotional
stability, extroversion, agreeableness, conscientiousness, and openness
to experiences, among others. The candidate can choose from three
assessment length options in the new version: full-length (200
questions), half-length (100 questions), and HEXACO 60 (60 questions).
7. Revised NEO Personality Inventory: In 2005, the most recent
edition of the updated NEO Personality Inventory was finalized. It
assesses and measures the five key personality traits specified in the
Five Factor Personality Model: neuroticism, openness to experience,

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agreeableness, conscientiousness, and extraversion, with each of these
sub-categories. Neuroticism, for example, is characterized by a
vulnerability to stress, anxiety, depression, impulsivity, and self-
consciousness. Because many of the traits are significant in the job, it is
becoming more popular as an employment screening tool.
8. Eysenck Personality Inventory: The Eysenck Personality Inventory
measures two major dimensions of personality: neuroticism vs. stability,
and extraversion vs. introversion. The results include three primary
scores: "E" (level of extraversion), "N" (level of neuroticism), and "lie,"
which measure honesty in the evaluation based on the motivation to get
better scores. There are 100 questions in the complete evaluation, but
there is also a shorter version with 57 yes/no questions.
9. Occupational Personality Questionnaire: This tool determines
whether a person is a good fit for a particular job, team, or work
environment. OPQ32 is the most comprehensive of the various test
versions available. The questions are meant to examine 32 personality
traits that are relevant to the workplace. The responses show his
working approach in three areas: thought, feelings, and relationships.
The OPQ32 is a 104-questions test that takes 45 minutes to an hour to
complete. Each question has four assertions about workplace behaviour.
The job seeker chooses the trait that most closely resembles him and
the trait that least closely resembles him. "Which of these characteristics
best and least describes you as sociable, confident, team player,
leader?" is an example question. This test design is referred to as
"ipsative" by industrial psychologists since it forces particular choices
rather than ranking on a scale. The questionnaire is used by employers
to hire, build teams, and train future leaders. Industrial-organizational
psychologists use the OPQ because it has a 25-year track record of
success.
10. DISC personality test: This questionnaire assesses a person's
personality based on four different types of behaviour: dominance,
influence, stability, and conscientiousness. Specific characteristics
distinguish each type of behaviour, as follows: Dominance: firm, willful,
results-oriented, direct; Influence: optimistic, energetic, enthusiastic,
gregarious; Conscientiousness: analytical, logical, exact, reserved; and
Stability: calm, patient, accommodating, tactful. The acronym "DiSC" is
formed by the first letters of these behaviours. Its core premise is that
everyone possesses all the four behavioural patterns, but one is more
operational than the others, as this test reveals. Employers can benefit
from DiSC in three ways: hiring, training, and resolving interpersonal

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conflicts. The DiSC format is simple, with only 28 statements. A person
chooses two adjectives for each sentence, one that best describes them
and the other that least describes them. It only takes 20 minutes to
complete the assessment. This personality test is popular among
industrial and organizational psychologists because of its ease of use
and concise results.

10.5 IMPORTANCE OF PERSONALITY TESTS

Taking a personality test could be beneficial to us in the following ways:
1. Understand your own skills and interests: Knowing your
personality type will reveal strengths you may highlight on your resume
while also highlighting skills you could improve.
2. Identify viable career paths: A personality test can be useful in
directing your professional development when contemplating potential
training, academic specialization, or possible career changes.
3. Present oneself in a good light to employers: During the interview
process, personality assessments may be made. Knowing your
personality type ahead of time may be advantageous in terms of being
prepared to speak confidently about you.
4. Identify ideal work environments and relationships: You probably
already know if you are more introverted or extroverted in the larger
context, but understanding how your personality ranks can help you
figure out which situations or relationships are most likely to help you
thrive.
5. Understand candidates better: Employers can better understand
candidates by using objective personality evaluations to detect required
personality traits in candidates. A recruiter can use underlying
personality traits to screen candidates from a pool for a given role. If you
are searching for a business analyst, for example, you will be looking for
analytical skills, curiosity, fast thinking, perseverance, great spoken
English skills, empathy, and the capacity to remain calm. For a seamless
recruitment process, talent acquisition specialists can take advantage of
using personality tests in the hiring process.
6. Faster recruitment process: It makes the hiring process more
efficient and convenient. It is an online way of evaluation, so good
candidates can be weeded out, decreasing the number of unnecessary
interviews. Because personality test results may be obtained in real
time, time spent on hiring applicants is reduced.

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7. Eliminate bias: Recruiters can make more objective selections if
they examine candidates' scores on the required personality skills. The
greatest applicant for the job is someone who possesses the needed
skills. The personality evaluation examines candidates on a variety of
criteria and provides transparent results so that they may be compared
on the same scale when applying for jobs.

8. Spot the dark personality traits: Employers can use the personality
test to detect dark personality traits including opportunism, self-
obsessiveness, insensitivity, temperament, and impulsiveness, and
make hiring judgments based on that information. There are high-risk
jobs where an employee may be responsible for a customer's life or the
security of property, and there are organizations and the sectors that
require extreme prudence, such as education and commerce. In taxi
services, it is possible that a taxi driver will act inappropriately with a
customer or speed up the car. The personality test revealed how each
dark trait would cause the taxi driver to behave differently toward the
customer.
9. Cost-effective: Personality tests are inexpensive and simple to
implement. A reliable personality test can reveal information about a
person in hours that might otherwise take months to validate for an
organization. These tests help you avoid undesirable hiring and provide
a good return on investment. A bad hire is not only a waste of money,
but it can also have a negative impact on your other employees'
productivity and morale.
10. Thorough understanding of a candidate's potential: A person
may be placed in a strategic leadership job if they have high degrees of
presence of mind, critical thinking skills, stress management skills, and
so on. The advantages of personality testing are not limited to that. In
reality, they can be used to assess employees' adaptability, preferred
learning style, and reaction to change, among other things. All of this
information can be put to good use in making decisions about
organizational planning, promotions, and the leadership development,
and other areas.
LET US SUM UP
Psychologists have found that understanding personality is a
complicated and challenging task, and no single theory can provide all of
the answers. However, several personality theories account for the
majority of our knowledge of how personality works. A person's
personality is defined by his behaviour toward others, his attitude, his
attributes, and his state of mind. Characteristic patterns of the people’s

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thoughts, feelings, and behaviours are reflected in personality traits.
Personality tests are beneficial since they reveal an individual's
strengths, allowing employees to evaluate where their skills are best
utilized. Individuals who have a better awareness of their personalities
are better able to choose careers and places that are a good fit for them.
CHECK YOUR PROGRESS

Choose the correct answer

1. Which of the following is/are included in the human mind's
structure____________.
a. Id b. Ego
c. Super ego d. All the above
2. People with what type of personality trait usually make bad decisions
because they make them too quickly?
a. Type A b. Type B
c. Self-monitors d. Extroverts

3. __________ proposed the self-theory of personality.

a. G. Allport b. R. Cattel
c. C. Rogers d. S. Freud
4. In the Big 5 personality traits, which of the following is not a trait
dimension?
a. Extroversion b. Agreeableness
c. Ego d. Culture
5. The term "person-job fit" refers to ___________.
a. Person’s physical fitness match with the job

b. Person’s skills match with the job

c. Person's contributions match the incentives that are offered by
the firm
d. Person’s education match with the job
GLOSSARY
The Id : The id is a component of the unconscious that
contains all of one's desires and impulses,
including the libido, a form of generic sexual
energy that is employed for anything from survival

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 instincts to pleasure.
Ego : Our conscious decision-making process
represents the ego, which is a psychological
component of our personality.
Superego : The superego is the ethical component of
personality and provides the moral standards by
which the ego acts. A person's consciousness is
formed by the superego's critiques, prohibitions,
and inhibitions, while his positive ambitions and
ideals represent his idealized self-image, or "ideal
ego."
Personality : A personality test is a tool used for determining a
test person's personality. Personality testing and
evaluation are ways for determining the patterns of
traits that people exhibit in different situations.
Personality : A personality trait is a quality or characteristic that
trait identifies a person's, animal’s or geographic
location's character, action, and attitude.
SUGGESTED READINGS
1. Aswathappa, K. Organizational Behaviour. New Delhi: Himalaya
Publishing House.
2. Mishra, M.N. Organizational Behaviour. New Delhi: Vikas Publishing
House.
3. Prasad, L.M. Organizational Behaviour. New Delhi: Sultan Chand &
Sons.
4. Stephen P. Robbins., Timothy A. Judge., and Neharika Vohra.
Organizational Behavior. New Delhi: Pearson Education India.
5. Uma Sekaran. Organizational Behaviour: Text & Cases. New Delhi:
Tata McGraw Hill.
WEB RESOURCES
1. Trait Theory - History of Personality Psychology - Bing video
2. Measuring Personality: Crash Course Psychology #22 - Bing
video
3. Introduction to Theories of Personality | Taglish - Bing video
4. Personality Assessment | Psychology - Bing video
ANSWER TO CHECK YOUR PROGRESS

1.d 2.a 3.c 4.c 5.c

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UNIT 11

MOTIVATION AND MOTIVES

STRUCTURE

Overview

Learning Objectives

11.1 Motivation - Meaning and Definitions

11.2 Nature of Motivation

11.3 Motives

11.4 Classification of Motives

11.5 Importance of Motivation

Let us sum up

Check your progress

Glossary

Suggested Readings

Answer to Check Your Progress

OVERVIEW
It is an undeniable fact that people are the most crucial aspect that can
be used to help an organization grow. They are an inexhaustible source
of strength that, when correctly managed, not only helps enterprises to
survive in a competitive market, but also to expand and thrive. The
human factor is unlike any other physical resource, including money,
machinery, materials, and so on. To get work done through his
subordinates, the manager must change his behaviour in such a way
that it is directed toward the attainment of the organization's goals. A
man has various ambitions and needs, but only deeply felt needs,
referred to as "motives," direct him toward achieving the certain goals. A
management will provide specific incentives, such as impulses or stimuli,
to satisfy the motives. However, no two people react in the same way to
the same stimuli. Even the same person reacts to the same stimuli in
various ways at different situations. A manager must find answers to
various questions in order to motivate employees, such as what
motivates people to work? Why do some people seem to have more

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success than others? Why does a single person behave differently at
different situations? What are their needs? What is it that drives them?
Managers can use the answers to these questions to assess one’s
behaviour, identify motivations, and motivate employees.
LEARNING OBJECTIVES
After completing this unit, you will be able to:

• define motivation and motives

• understand the nature of motivation
• describe the classification of motives
• examine the importance of motivation
11.1 MOTIVATION - MEANING AND DEFINITIONS
Motivation is an important factor that drives employees to give their all-in
order to help the company achieve its objectives. Employees with strong
positive motivation perform better, whereas those with negative
motivation perform worse. Motivation is the outcome of the interaction of
the conscious and unconscious factors such as the intensity of the want
or need, the goal's incentive or reward value, and the individual's and
peers' expectations. All human action stems from a desire or a need.
Therefore, the manager's job is to create the stimulus that causes a
need, which then leads to an action that results in fulfilment.
Researchers have defined motivation in a variety of ways, including:
"The stimulation of any emotion or desire operating upon one’s will and
promoting or driving it to action," Lillis defined motivation.
"Motivation as the willingness to exert high levels of effort toward
Organizational goals, conditioned by the effort’s ability to satisfy some
individual needs," says Stephen P Robbins.
"Motivation is the desire within an individual that stimulates him or her to
action," says George R. Terry.
In a nutshell, motivation is the effort made by a manager to persuade his
employees to perform in the desired manner by meeting their needs and
desires. It is the process of directing one's inner desires and actions
toward certain goals and committing one's energy to accomplishing
those goals.

11.2 NATURE OF MOTIVATION

Motivation is primarily concerned with aligning employees with the
organization's aims and mission. The following is nature of motivation:

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1. Continuous process: Human wants are limitless. Even God, it is
said, cannot satisfy all human wants. When one want is satisfied,
another wants, preferably of a higher order, emerges. Thus, when
present wants are satisfied, new wants emerge. Furthermore, all of
one's wants cannot be met at the same time. Wants must be met
one after the other in a continuous sequence. Thus, motivation is a
never-ending process.
2. Psychological concept: Motivation is concerned with the
psychological aspects of a person. Using the same
reward/incentive, the level of satisfaction, contentment, and so on
differs from person to person. This is related to individual
differences in aspirations, attitudes, feelings, and perceptions.
Hence, motivation is the reaction of the human body's organs to the
inducements offered.
3. The entire individual is motivated: Motivation is a psychological
concept that interacts with an individual's whole organs. Each
individual is a complete and comprehensive system. Motivation
affects an individual's complete system. Hence, the entire person is
motivated.
4. Frustrated individuals fail to be motivated: Some people are
dissatisfied despite receiving rewards because their ambitions and
rewards are so far apart. Some of the discontented individuals
become mentally unwell, and they are unable to be motivated.
5. Goals motivate people: Goals are an important aspect of the
motivating process. The fulfilment of the need occurs when the
objectives are met. Goal achievement reduces the number of drives
and fills in the gaps. The process of motivation comes to an end
when goals are met. Therefore, motivation entails activating,
guiding, and maintaining behaviour in the direction of a goal.
6. Self-motivated: A person's self-concept is the view of himself that
he develops during childhood. Throughout his life, he thinks of
himself in the same way until something significant happens in his
life. Thus, those who had a positive self-image as a child will be
self-motivated throughout their lives. In the event of a negative self-
concept, the opposite is true.
7. Individual’s internal feeling: Individual motivation is a
psychological process. Individual needs/wants are the feelings a
person has about his or her shortcomings. Physical, social, and
psychological deficiencies are all present.

153
 8. Anticipated values x perceived probability: Motivation is the
product of an action's anticipated values and the perceived
probability that these values will be achieved. "Valence" refers to
the expected value, while "expectation" refers to the perceived
probability. Hence, motivation equals valence x expectation.
9. The willingness to exert: Motivation is related to high levels of
effort toward organizational goals, and it is conditioned by effort and
ability to meet specific individual needs.
11.3 MOTIVES
The word motivation comes from the Latin word "movere," which means
"to move." It literally means "to move." "Motive" is described as an inner
condition that energizes, activates (or moves), and directs (or channels)
an individual's behaviour toward a specific objective. Motivation is
among the most basic desires of humanity. A strong need or motive
causes a person to become tense or unbalanced, making them restless
until the need is met. The desire for professional recognition, for
example, makes a physician anxious until his co-physicians and patients
recognize him as an effective physician. The doctor treats critical cases
in order to relieve their anxiety. Individuals are motivated to direct their
behaviour toward acts that will help to correct the imbalance. Motives
are hence drives that energize people to follow directions. For example,
the great desire to make a lot of money motivates students to enroll in
courses that will pay off quickly.
11.4 CLASSIFICATION OF MOTIVES
Primary and secondary motives can be identified in humans:
a. Primary motives: Physiological/biological motives are the most
common, and they are not learnt. Food, water, clothing, shelter,
sleep, and sex, are among them.
b. Secondary motives: Majority of these is psychological and
learned. Belonging, prestige of power, skill recognition, and
achievement are among them.
Primary motives give place to secondary motives as society grows
economically and becomes more complicated.
11.5 IMPORTANCE OF MOTIVATION
Motivation is an important managerial function. The relevance of
motivation is discussed below.

154
1. Utilization of human resources: Management can make the best
use of its human resources by employing motivational techniques. It
helps managers to increase employee output. Employees can grasp the
organizational culture through motivation. Employees may be utilized to
their greatest potential only if they are motivated. This will assist the
organization in making the most efficient use of its human resources.

2. Optimum utilization of resources: Material resources may be used

more effectively when employees are motivated, which increases
organizational efficiency. To fulfil its goals, each company needs
physical, financial, and human resources.
3. Willingness to work: Employees who are physically and
psychologically capable of performing a job but do not want to work may
exist in an organization. Employees may be more eager to work in such
a situation, if they are motivated.
4. Industrial relations: Motivation helps in the development of good
industrial relations in a company. Motivation can help to reduce
absenteeism, turnover, indiscipline, and grievances, among other
issues. Thus, both management and people benefit from motivation.

5. Develops cooperation: Team spirit can be strengthened by

motivation. Motivation boosts employees' combined effort for the
company. Thus, motivation serves as the foundation for the cooperation
in order to achieve the organization's goals.
6. Improves skills and knowledge: Employees who are motivated
strive to be as efficient as possible while also improving their skills and
knowledge. Because motivated employees are constantly determined to
carry out their duties to the best of their abilities.
7. Boosts morale: Employees' attitudes and feelings about their work,
as well as the work environment, are referred to as morale. Employees'
attitudes and feelings toward work can be improved through motivation.
Thus, motivation can improve employee morale.
8. Facilitates changes: Employees who are adequately motivated are
more responsive to change. Thus, motivation helps employees in their
adaptation to a changing environment.
9. Sense of belongingness: Employees' sense of belonging can be
improved with an effective motivating technique. As a result, the
employees may feel as if the company is theirs. Employees become
more concerned about the organization's well-being as a result.

155
10. Achieve organizational objectives: Managers use motivation to
drive employees toward the attainment of organizational objectives. The
following factors must come together for a company's goals to be met a.
the best possible use of resources; b. a cooperative working
environment; c. employees who are goal-oriented and act deliberately;
and d. goals can be met if coordination and cooperation occur
simultaneously, which can be attained effectively through motivation.
11. Improves employee efficiency: Employee's performance is not
solely determined by his or her credentials and talents. The gap between
talent and will must be bridged in order to get the most out of one's job
performance, which helps increase employee's performance. As a result,
a. production will grow, b. operational costs will decrease, and c. overall
efficiency will improve.
12. Workforce stability: Workforce stability is critical to a company's
reputation and goodwill. Employees can only stay loyal to a firm if they
feel like they have a say in how it is run. Employee efficiency and skills
will always be beneficial to both employees and companies. This will
provide a company with a positive public image, which will attract the
competent and the skilled employees.
LET US SUM UP
The term motivation is derived from the word motive. Employee
motivation is important for a successful organization, which is why the
firm should place a premium on it in order to stay competitive in the
market and avoid concerns like as high employee turnover, which can
have a negative impact on the bottom line. Hence, effective motivational
tools should be used at the workplace. Companies will have a better
understanding of how to motivate employees and the value of motivation
in the workplace. As a result, employee job satisfaction will rise, and
they will become more motivated at work. Achievement, recognition,
responsibility, and advancement are all the essential motivating factors
for people in the workplace.
CHECK YOUR PROGRESS
Choose the correct answer
1. The set of forces that stimulate, direct, and sustain behaviour is
known as ___________.
a. Motivation b. Expectancy

c. Empowerment d. Socialization

156
2. Which of the following is not a motivating force from within?
a. Goals b. Needs
c. Attitudes d. Feedback

3. Which of the following is not a "push" force of motivation?

a. Security needs b. Career advancement goals
c. Attitude about the supervisor d. The amount and timing of feedback

4. Which of the following is not a “pull” force of motivation?

a. availability of training b. performance-level goals
c. rewards and compensation d. pressure for high levels of output
5. Pay, grades, rewards, commitments, and approval are all external
influences that influence__________.
a. Intrinsic motivation b. Extrinsic motivation
c. Motivation d. All of the above
GLOSSARY

Motivation : It is the process of stimulating individuals to take

action in order to attain a common objective.

Primary : Primary motives are described as anything that

motives motivates us to do something simply for the sake of
doing it; the satisfaction comes from the process
rather than the end result.

Secondary : Achievement, power motivation, and other

motives secondary drives are commonly researched in
humans. These are not biologically grounded and
must be learnt from the society.

Intrinsic : Intrinsic motivation is described as performing an

motivation activity for its own sake rather than for a tangential
benefit.

Extrinsic : Extrinsic motivation refers to doing something or

motivation acting in a certain way due to external causes, such
as avoiding punishment or receiving a reward.

157
SUGGESTED READINGS
1. Aswathappa, K. Organizational Behaviour. New Delhi: Himalaya
Publishing House.

2. Mishra, M.N. Organizational Behaviour. New Delhi: Vikas Publishing

House.
3. Prasad, L.M. Organizational Behaviour. New Delhi: Sultan Chand &
Sons.
4. Stephen P. Robbins., Timothy A. Judge., and Neharika Vohra.
Organizational Behavior. New Delhi: Pearson Education India.
5. Uma Sekaran. Organizational Behaviour: Text & Cases. New Delhi:
Tata McGraw Hill.
WEB RESOURCES
1. What Is Motivation In Management? Definition, Process & Types
- Bing video
2. Motivation #1 - Organizational Behavior - Bing video
3. What is Motivation, Meaning Definition, Nature, Scope,
Importance and ways to motivate employee. - Bing video
4. What Is Motivation - Bing video
ANSWER TO CHECK YOUR PROGRESS
1.a 2.d 3.d 4.b 5.b

158
UNIT 12

THEORIES OF MOTIVATION
STRUCTURE

Overview

Learning Objectives

12.1 Theories of Motivation

12.1.1 Expectancy Theory

12.1.2. Maslow's Hierarchy of Needs Theory

12.1.3 Herzberg’s Two Factor Theory

12.1.4 McGregor’s Theory X and Theory Y

12.1.5. Theory Z

12.1.6. Alderfer’s ERG Theory

12.1.7. McClelland’s 3 Needs Theory

12.1.8. Goal-setting Theory

12.1.9. Equity Theory

12.1.10. Reinforcement Theory

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Glossary

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Answer to Check Your Progress

OVERVIEW
The study of what motivates a person to work toward a specific goal or end
is known as motivation theory. It is crucial in all aspects of society, but it is
more so in business and management. A motivated employee is, indeed,
more productive, and a more productive employee is more profitable.
Organizations are interested in the motivation theory because motivated
people are more productive, resulting in more efficient resource utilization.
It is critical to make sure that every member of a company's workforce is

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motivated. Many psychologists have studied human behaviour and
formalized their findings into various motivational theories. These theories
shed light on how individuals behave and what drives them.

LEARNING OBJECTIVES
After completing this unit, you will be able to:
• Describe various motivation theories

12. 1 THEORIES OF MOTIVATION

12.1.1. Expectancy Theory
Expectancy theory, developed by Victor Vroom, is one of the most
widely accepted incentive theories currently in use. It has the strength of
a predisposition to act in a particular way, which is determined by the
attractiveness of the outcome for the individual. This theory is based on
the basic assumptions that people desire specific behavioural outcomes,
which can be considered as rewards or consequences of behaviour, and
that they believe there is a relationship between their efforts, their
performance, and the outcomes they receive. For example, if a person
believes that hard work will lead to promotion to a higher position, they
will work more. In its most basic version, expectancy theory states that a
person's motivation to behave in a given way is determined by two
factors: The person's desire for certain outcomes, as well as his or her
belief that these desires may be achieved. According to Vroom,
motivation, expectation, instrumentality, and valence are all related and
can be represented as follows: Motivation = (E) (I) (V). Vroom's theory's
three variables are briefly discussed here.
1. Valence: The value or importance a person places on a particular
reward is referred to as valence. When an individual desires something,
it has a positive valence; when he wants to avoid it, it has a negative
valence. Therefore, balances can be scaled across a wide range of
positive and negative values. The valences form a scale ranging from -1
(very undesirable outcome) to +1 (very desirable outcome). The valence
will be high if the available rewards may attract a person, and vice versa.
It is only when the employee attaches a high overall valence to the
situation that the rewards offered motivate him.
2. Expectancy: Various people have different expectations for an
outcome. Individuals who are competent and confident have a more
positive outlook on expectations than those who are incompetent and
pessimistic. An employee's self-assessment of whether or not he can
actually perform the specified job is known as expectation. Its probability

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ranges from 0 to 1. For example, if a person believes it is impossible to
achieve a specific level of performance, their expectancy will be zero,
whereas if they are 100 per cent certain of achieving the level of
performance, their expectancy will be one.
3. Instrumentality: The relationship between the performance (first level
result) and the consequence of the performance is known as
instrumentality (second level result). Its probability ranges from 0 to 1.
For example, if a person believes that if he does a good job, he will be
promoted to a higher position, the instrumentality will be one, and if he
believes that even if he does a good job, he will not be promoted, the
instrumentality will be zero.
Three types of relationships are the emphasis of the theory.
i. Efforts-performance relationship: The individual is in charge of
determining the likelihood that putting up a specific level of effort will
result in performance.
ii. Performance-reward relationship: The degree to which people
believe that achieving a certain level of performance will result in a
desired outcome.
iii. Rewards-personal goals relationship: It is about how well
organizational rewards meet individual goals or wants, as well as how
attractive these potential rewards are to individuals.
Individual objectives, as well as the relationship between one's efforts
and performance, performance and rewards, and lastly rewards and
achieving personal goals, are all important components of the
expectancy theory. Because the fulfilment of each individual's goals
cannot be clearly expressed or fulfilled, the usefulness of this theory has
been proven with a high degree of priority. Perhaps there are not any
known means to find out the truth. Furthermore, the organization's rules,
particularly where seniority is the rule, may not support this idea.
12.1. 2. Maslow's Hierarchy of Needs Theory
The hierarchy of needs theory was proposed by Abraham Maslow in
1943. This theory depicts human motivation in a traditional way. Human
needs, according to Maslow, tend to follow a basic hierarchical pattern,
going from the most basic to the most complex. People are motivated to
meet five levels of needs, according to Maslow's Hierarchy of Needs:
physiological, safety, belongingness, esteem, and self-actualization. The
person will not seek to achieve their higher-level requirements until their
basic needs are met. The five needs are depicted in the figure below:

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 Figure 12.1: Maslow's Hierarchy of Needs
i. Physiological needs: These are human beings' primary needs, and
they have to do with the body's survival. These needs are, for the most
part, universal. These are referred to as the lowest level needs, and they
must be addressed initially in order to exist and survive. A person's
actions will be at that level unless these needs are addressed to the
extent essential for the efficient functioning of the body, and other wants
will give little motivation. Physiological needs, according to Maslow, are
food, housing, clothing, water, air, sleep, sex, and other basic aspects of
survival. Most physiological needs are satisfied in the organizational
contexts by adequate remuneration and the work environment itself,
which includes rest facilities, adequate lighting, comfortable
temperatures, and ventilation.
ii. Safety or security needs: These needs are concerned with their
physical and financial safety. Because life is full of uncertainty, man is
always concerned about his safety. Thus, people anticipate physical
safety, job security, and financial security at all times. Management may
encourage employees in a company by offering assurance in the form of
secured jobs, insurance plans, and pension plans. Protection against
deprivation, danger, and threat at or outside of work, such as
employment, protection against physical harm, ill health, old age, or any
other reason are all examples of security needs.
iii. Social needs: As a social animal, man is always looking for a society
or group that loves him the most. He is looking for love, either to give or
to receive. Affection, love, companionship, recognition, conversation,
sociability, the exchange of feelings and grievances, acceptance, and
friendship must all be translated. When a person's social needs take

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dominant, he or she will make an effort to create meaningful
relationships with others. Allowing social interaction and having
employees feel like they are part of a team or work group can assist
managers ensure that these important needs are addressed.
iv. Esteem needs: These needs are related to the individual's prestige
and respect. Self-confidence, independence, achievement, competence,
knowledge and control, prestige, power and control, status, approval,
appreciation, lack of control, acknowledgment, other people's self-
respect, and so on are examples of esteem needs. Esteem needs are
divided into two categories: self-esteem and public esteem. Self-esteem
concerns an individual's belief that they are accomplishing something
valuable, whereas public esteem concerns an individual's public image,
such as praise, public admiration, and appreciation, among other things.
Where appropriate, organizations can help address esteem needs by
giving a variety of external symbols of accomplishment, such as job
titles, spacious offices, and other rewards.
v. Self-actualization needs: "Becoming everything that one is capable
of becoming" is essential. This need, according to Maslow, can be
expressed as a desire to become more and more of who one is in order
to become everything one is capable of. The need for self-development,
self-actualization, self-advancement, and the desire to take on additional
responsibilities are all examples of the desire for self-actualization. An
organization can help in meeting these needs by allowing employees to
participate in decision-making.
Managerial implications: In terms of physiological needs, managers
should pay employees enough salaries to buy the necessities of life.
Employees should be given breaks and the opportunity to eat. Managers
must provide job security, a safe and sanitary work environment, and
retirement benefits to retain the employees when security needs
emerge. Management should encourage teamwork and organise social
events in order to meet social needs. Managers can recognize and
reward employees who achieve and exceed their goals when it comes to
esteem needs. Management has the option of promoting the deserving
employee to a higher rank or position within the company. Managers can
provide challenging jobs that fully utilize employees' abilities and
competences in order to meet self-actualization needs. Furthermore,
opportunities for advancement can be provided to them so that they can
reach the top. Managers must determine the employee's level of need,
and these needs can subsequently be used as motivational incentives.

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Evaluation: Maslow's theory has gained a lot of traction in the business
world. For the following reasons, it was greatly appreciated.
a. It is a simple and logical theory.

b. It is consistent with demand theory in economics.

c. It explains why a person behaves differently in two situations that
are otherwise comparable.

d. The theory elucidates what all human beings have in common.

e. Some essential truths are contained in the theory.
f. According to Maslow, human behaviour is influenced by more
than just needs.
g. Human motivations and desires are oversimplified.
h. Maslow says that needs are not the only factor that influences
human behaviour.
i. There is an oversimplification of human needs and motivation.
j. The need hierarchy is not always rigid. Varied people may have
different tastes when it comes to their needs.
k. The theory is based on a small sample. This is a clinically
derived theory. It does not have a large, stratified sample base.
l. Individuals, not groups, are the unit of analysis.
m. There is no evidence that a need loses its driving force once it is
met.
n. It is doubtful that satisfying one need instantly triggers man's
ability to meet the following need in the hierarchy.
12.1.3. Herzberg’s Two Factor Theory

The two-factor theory of motivation was developed by Fredrick Herzberg

and his associates, an American behavioural scientist. The two-factor
theory is also known as the maintenance theory of motivation and the
hygiene theory of motivation. Frederick Herzberg and his associates
interviewed 200 engineers and accountants from 11 different
organizations in the Pittsburgh area of Pennsylvania in the United States
in the late 1950s. They were asked to describe work-related aspects that
made them exceedingly happy or extremely unhappy. Herzberg defined
work dissatisfaction and work satisfaction as being caused by two
different sets of factors based on their responses. There are factors that
affect motivation as well as factors that affect hygiene or maintenance.

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1. Motivating factors: Employees are pushed to work hard when
motivational factors are present. They are in the work itself. The
following are some motivating factors:

a. Achievement: A job should make an employee feel achieved. It will

give you a sense of pride for accomplishing something difficult yet
worthwhile.

b. Recognition: Employees should be praised and recognized for their

accomplishments at work. This recognition must come from their
superiors as well as their peers.
c. The work itself: The work itself should be interesting, varied, and
challenging enough to keep employees motivated.
d. Responsibility: Employees must take responsibility for their work.
They must hold themselves responsible for this achievement rather than
feeling micromanaged.
e. Advancement: Employees must have opportunities for advancement.
f. Growth: Employees should be able to learn new skills as part of their
employment. This might occur on the job or through more formal
training.
2. Hygiene factors: Because they are required to avoid dissatisfaction,
hygiene factors are also known as dissatisfiers or maintenance factors.
Hygiene factors are those factors of a job that, when adequate/
reasonable, pacify people and prevent them from being dissatisfied.
These are factors that are not related to work. Employees will work less
hard if there are not enough hygienic factors. Hygiene factors do not
exist in the work itself, but they do exist in the environment. These do
not result in long-term satisfaction. Individuals' physiological needs were
represented by the hygiene factors, which were supposed to be
addressed. Factors affecting hygiene include:
a. Pay: The compensation or salary structure must be reasonable and
appropriate. It must be on an equal footing and competitive with others
in the same industry and field.
b. Company policies: The policies of the company should not be overly
strict. They must be fair and clear. Flexible working hours, dress code,
breaks, vacations, and other factors should all be considered.
c. Fringe benefits: Employees should have access to health care plans,
family benefits, employee assistance programmes, and other perks.

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d. Physical working conditions: Workplaces should be safe, clean,
and hygienic. Updated and well-maintained equipment is required.
e. Status: Employee status within the organization should be familiar
and maintained.
f. Interpersonal relations: Employees must have proper and
acceptable relationships with their peers, superiors, and subordinates.
There should be no conflict or humiliation in the situation.
g. Job security: Employees must be given job security by the company.
Critical appraisal of Herzberg’s Theory: Herzberg's theory was a
pioneer in removing misconceptions regarding money and drive. Money
does not have the capacity to gratify people, but it does have the power
to displease them, according to his theory. The theory drew a lot of
attention and gained popularity among the executives. The theory has
helped managers gain a better understanding of human behaviour at a
basic level. The theory's most surprising conclusion was that improving
salaries and working conditions alone would not improve performance.
Work, according to Herzberg, is an intrinsic motivator. He highlighted
that job enrichment is the key to job satisfaction and better performance.
It provides managers with concrete actions to boost motivation and
performance. According to Herzberg's research, dissatisfaction is not
merely the polar opposite of satisfaction. Satisfaction and dissatisfaction
are not opposite endpoints of a continuum, but rather independent
states. Criticism of this theory, as shown below, could be one of the
factors now reducing its importance.
i. The theory is based on only 200 accountants and engineers, which
is a relatively small sample size. As a result, the theory is not
universally applicable.

ii. There is no quantifiable satisfaction statement suggesting that an

employee may detest a portion of their job if they believe it is
acceptable.
iii. The theory is thought to be contradictory with the early studies,
since it ignores situational elements.
iv. As researchers must expend extra effort in understanding the
results, this theory does not have a high reliability profile.
v. Herzberg assumed a relationship between satisfaction and
productivity; however his research methodology focused solely on
satisfaction rather than productivity.

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 vi. Only knowledge professionals, such as accountants and
engineers, are covered. It does not apply to those who work in
manual or physical workers.

vii. The information was gathered through an interview method that is

biased. Therefore, the theory's empirical validity is debatable.
viii. Employee satisfaction receives far more attention than employee
performance.
ix. The theory simplifies the motivation process significantly.
x. The distinction between maintenance and motivating factors is not
always clear. For example, what is the maintenance factor for
American workers can be incredibly motivating for Indian workers.
12.1.4. McGregor’s Theory X and Theory Y
Douglas McGregor, a well-known psychologist, developed Theory X and
Theory Y in 1960. These theories are based on human beings' dual
nature. All management decisions, according to these theories, are
based on two assumptions. One is negative and is referred to as Theory
X, while the other is positive and is referred to as Theory Y.
12.1.4.1. Theory X
This is a traditional management theory. A set of negative assumptions
about human behaviour is contained in Theory X. The following are the
assumptions of Theory X:
i. The ordinary person is inherently lazy and has a dislike for
working. If he can, he will avoid working.
ii. ii. A lot of people are lacking in ambition. They are uninterested
in achievement. They like being directed.
iii. When it comes to solving organizational problems, most people
lack creativity.
iv. The majority of people are indifferent about the organizational
objectives.
v. To achieve the organization's goals, most people must be closely
controlled and often threatened.
vi. Average people are motivated at the psychological and safety
levels.

Managerial implications of Theory X: The implications of Theory X on

human motivation are significant. To encourage individuals to
accomplish their duties, managers who believe in Theory X's

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assumptions use direction and control. Theory X is based on erroneous
assumptions about human nature. The following are the characteristics
of the organization, according to Theory X.

i. It is necessary to keep a careful eye on and control subordinates.

ii. Concentration of authority at high levels.
iii. Autocratic leadership.

iv. Minimum worker participation in the decision-making process

v. Use of "Carrot and Stick" approach.
vi. Emphasis on meeting the economic needs of the employees.
12.1.4.2. Theory Y
Theory Y emphasizes the importance of job satisfaction in motivating
workers and encourages them to approach tasks without direct
supervision. Theory X's assumptions are given below
a. Work is inherently disliked to the average person. If the
conditions are favourable, he considers work to be as natural as
play.
b. External control and the threat of punishment are not the primary
means of motivating the employees to achieve organizational
objectives.
c. Self-control and commitment to organizational goals are
frequently essential to achieve organizational objectives.
d. Under the appropriate conditions, the average person not only
accepts but actively seeks responsibility. Avoidance of
responsibility, a lack of desire, and a focus on safety are general
outcomes of an experience that is not inherent in human
characteristics.
e. Employees' ability to cooperate with the management to solve
organizational problems is widespread.
f. Employees' intellectual capacity has been partially utilized in the
modern industrial system.
Managerial implications of Theory Y: Managers who hold in Theory Y
assumptions, according to McGregor, believe that most people enjoy
their jobs and want to contribute to the firm. Managers may use the
human potential of all employees with this positive approach. Based on
Theory Y, the following are the characteristics of the organization.

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 i. Decentralization of authority.
ii. ii. Job enrichment.
iii. Participatory or democratic leadership.

iv. Two-way and open communication system.

v. Focus on self-control and responsible jobs.
Evaluation of Theory X and Theory Y: These theories are important
for understanding human behaviour. It can be used to design incentive
schemes to motivate employees in a company. These two theories, of
course, do not apply equally to all situations and types of personnel. The
Theory X is suitable for personnel who are unskilled and uneducated.
Theory Y, on the other hand, is appropriate for personnel who are skilled
and educated. Therefore, management should integrate these theories
for the various types of employees.
Criticism of Theory X and Theory Y: The following are some of the
criticisms leveled towards McGregor's Theory X and Theory Y.
i. This is a generalized and overly simplistic view of human
behaviour. Their behaviour is classified as either one-way or the
other. People cannot, in fact, be classified into two extreme models
or stereotypes.
ii. The theory ignores the complexity of human nature. No one can be
solely associated with either Theory X or Theory Y. He has
characteristics of both.
iii. It reduces all management styles and philosophies to only two
extremes of behaviour, which is far from the reality.
iv. While not everyone seeks motivation in their work, any job may be
made intrinsically challenging and rewarding.
12.1.5. Theory Z
Theory Z was proposed by Lyndall F. Urwick. Urwick claims that a new
Theory Z, rather than X or Y, better reflects human behaviour. However,
this theory adds nothing new to the contribution. Various authors have
simply used it to describe a state of affairs in the organization and
human behaviour, as with theories X and Y. The manager must direct
the efforts of others who work with him to achieve this goal. People
would be willing to express their behaviour toward the organization's
goals if two goals were met: i. each individual must understand the
organization's goals and the contributions that their efforts make to those
goals; and ii. Each individual must be confident that the achievement of

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the organization's goals will have a positive impact on their needs, and
that none of their needs will be threatened or hindered by organization
members. Theory Z is distinguished by the following characteristics:

1. Mutual trust: The basic characteristics of an effective organization,

according to this theory, are trust, integrity, and openness. Employees
cooperate fully to achieve organizational goals when there is trust and
openness between employees, work groups, unions, and management.
2. Strong organization-employee bond: There are several methods
for establishing a strong bond between the company and its personnel.
Employees may be given the opportunity to work for the company for the
rest of their lives, which encourages loyalty. In difficult economic times,
shareholders may choose to forego dividends in order to avoid layoffs.
Promotions might be deferred. Employee career planning should be
done to ensure that each employee is properly placed. Hence, the
working atmosphere would be more stable and conducive.
3. Employee involvement: Employee involvement in related issues,
according to Theory Z, promotes commitment and performance.
Employee involvement refers to their active participation in the decision-
making process, particularly in matters that directly affect them. This
type of participation instills a sense of accountability and boosts an
enthusiasm for decision making. Instead of making decisions, senior
managers work as facilitators.
4. Integrated organization: Rather than a flowchart, divisions, or any
other formal structure, Theory Z focuses on sharing knowledge and
resources. Job rotation is emphasized in an integrated organization,
which enhances knowledge of task interdependencies. Team spirit
emerges as a result of such understanding.

5. Coordination: The role of the leader should be to gather individuals

and coordinate their efforts. To create a unified culture and a feeling of
class in the company, the leader must use communication, debate, and
analysis techniques.
6. Informal control system: The organizational control system should
be made more informal. Instead of superior-subordinate relationships,
the focus should be on mutual trust and cooperation for this purpose.
7. Human resource development: Employees must be taught new
skills by their managers. Each person's potential is recognized under
Theory Z, and efforts are made to develop and utilize it through job
enlargement, career planning, training, and other means. Thus, Theory
Z is a mixed system that combines the best aspects of both American

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and Japanese management systems. Theory Z has been employed
successfully by Japanese corporations operating in the United States.
Theory Z is used by Maruti Udyog in India, which has collaboration with
Suzuki Motors of Japan.
Limitations of Theory Z: Theory Z suffers from the following limitations:
1. Fails to motivate employees: Offering employees lifetime
employment in order to foster a strong bond between the company and
its employees may not be enough to encourage individuals with higher
needs. It merely ensures job security and may not be enough to retain
employees. When another company offers him a better position, an
employee may leave the company. Furthermore, for many individuals,
complete job security can lead to lethargy. Employers also dislike
keeping inefficient personnel on the job for an extended period of time.
2. Issues in participating in decision-making: Participation may be
unappealing to managers since it may infringe on their ego and freedom.
Employees may be hesitant to participate out of fear of being judged or
lacking motivation. They cannot do much until they understand the
issues and take the initiative, even if they work alongside management.
Employee participation might potentially slow down the decision-making
process.
3. Organization without structure: Theory Z proposes a non-
structured organization. However, without structure, the organization
may become chaotic since no one knows who is responsible to whom.
4. Developing a common culture is difficult: It may be impossible to
create a unified culture in the firm because people have diverse views,
habits, languages, faiths, customs, and so on.
5. Difficult to apply in different cultures: Theory Z is based on
Japanese management practices. These practices were developed as a
result of Japan's distinct culture. Hence, the theory may not be
applicable across cultures.
Theory Z does not give a comprehensive answer to the motivating
issues faced by all organizations functioning in various environments. It
is, however, more than a motivation theory; it is a management
philosophy.
12.1.6. Alderfer’s ERG Theory
ERG Theory is a motivation theory developed by Yale University's
Clayton P. Alderfer. Maslow's five levels of needs were divided into three

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categories by him: existence needs, relatedness needs, and growth
needs.
I. Existence needs: These needs are similar to Maslow's physiological,
safety and security needs. Material incentives, such as air, water, food,
housing, sexual gratification, job security, fair working conditions,
suitable working hours, salary, and adequate benefits, are used to meet
these needs. According to this theory, a person can only satisfy his
relatedness wants when his existence needs have been met to a
reasonable degree.
ii. Relatedness needs: These needs are related to Maslow's social and
external esteem needs. Relatedness needs include all needs that
include interpersonal relationships, such as those with family members,
superiors, coworkers, subordinates, friends, and others. It involves open
communication and exchange of ideas with other members of the
organization.
iii. Growth needs: These needs are similar to Maslow's self-
actualization and the internal self-esteem needs. These are the needs
for a person to develop and grow in order to realize his or her full
potential in the current environment. Making the most of one's strengths
and capabilities is at the heart of personal development.
ERG theory portrays needs as a continuum rather than a hierarchy,
implying that they are not always sequential. Needs are not activated
solely as a result of their deprivation. Through a process known as
frustration-regression, ERG theory allows people to move down the
hierarchy. This indicates that even if a lower-level need has already
been met, if a person becomes dissatisfied while attempting to meet a
higher level need, they may revert to focusing on that level.

12.1.7. McClelland’s 3 Needs Theory

David C. McClelland and his associates at Harvard University
researched three needs in depth: power, affiliation, and achievement. He
assesses these needs using the Thematic Apperception Test, which
asks test takers to construct stories about purposefully confused photos.
The stories are then graded based on the achievement, affiliation, and
the power themes that appear in them, presuming that people are writing
about topics that are important to them. Every person, according to
McClelland, possesses all three needs, but the level to which the various
motives influence people's behaviour varies. The following are the
needs:

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1. Need for power (nPow): The individual who satisfies this need as
dominant derives satisfaction from being able to control others. The
means by which the goals are reached are of crucial importance to the
high nPow individual; rather, the actual achievement of desired goals is
of secondary concern. Individuals with high nPow derive satisfaction
from being in positions of influence and control. Organizations that
promote power motives are more likely to attract people who have a
strong desire for power.
2. Need for affiliation (nAff): Individuals who have this need as their
primary motivation find satisfaction in social and interpersonal pursuits.
You must develop strong interpersonal relationships and become
mentally "closer" to others. If given the choice between working on a
task with technically capable people and working with their friends, high
nAff people will select their friends.
3. Need for achievement (nAch): nAch-rich people get satisfaction
from achieving their objectives. For the high achiever, the satisfaction of
successfully achieving a task is important. High performers like fast
feedback on their work and choose jobs that are somewhat demanding
rather than ones that are extremely simple or difficult. They also prefer to
work independently so that the task's success or failure can be attributed
to their own efforts rather than those of others. Initially, he believed that
people with a strong desire for success would make the best managers.
His later research reveals that, on the contrary, high-nAch people are
more concerned with their own personal development and successes
than with the development and accomplishments of others. Therefore,
people with a high nAch typically become successful entrepreneurs
because initial success is often based on individual achievement.
Individuals with a personal power orientation also struggle as managers
since they frequently try to use the efforts of others for their own gain.
The following are the characteristics of people with a high demand for
achievement:
i. A desire to outperform competitors.
ii. Willing to take moderate risks.
iii. Mechanical work, rather than research work and sales over
marketing, are preferred activities for these people.
iv. Completing a task is self-satisfying in and of itself, even without
the material rewards that come with it.
v. High achievers are usually completely focused on the task until it
is accomplished effectively.

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 vi. They are dedicated and committed, and as a result, they can be
hostile and boastful at times.
vii. They become excited when they achieve or surpass a
challenging goal and when they solve difficult and complex
difficulties.
viii. They are creative and like coming up with new methods to do
things.
ix. They are capable of taking personal responsibility.
12.1.8. Goal-setting Theory
At work, the intention to achieve a goal is a crucial source of motivation.
Employees can use goals to determine what needs to be done and how
much work will be required. While goal setting was once considered of
as a skill, it is now being studied as a theory of motivation as academics
try to figure out what factors influence success. Edwin A Locke and Gary
P Latham, goal-setting experts, claim that goal setting works by focusing
attention and action, mobilizing effort, improving persistence, and
encouraging the development of strategies to attain objectives. Setting
goals with the appropriate characteristics is critical to goal setting's
success in inspiring performance. Goals should be specific and
measurable, challenging, attainable, related to the organization's main
work, and time-bound in the sense that they must be accomplished
within a defined time frame. Hard specific goals yield higher level of
output than the generalized goal of "doing your best." Internal stimulus is
provided by the goal's specificity. We also claim that the harder the goal,
the higher the degree of achievement, if other aspects such as ability
and acceptance are held constant. People will perform better if they
receive feedback on their progress toward their goals, because feedback
helps them identify gaps between what they have done and what they
want to accomplish. The goal-setting theory assumes that an individual
is dedicated to the goal, i.e. determined not to lower or give up on the
goal. When goals are made public, the individual has an internal locus of
control, and the goals are self-set rather than imposed, this is more likely
to happen.
12.1.9. Equity Theory
One of the most common theories of social exchange is Adam's Equity
Theory, which is likely the most rigorously developed statement of how
people value social exchange relationships. It is about how people feel
about how they are treated in comparison to others. Individuals should
try to reduce any injustice they may suffer as a result of this exchange

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relationship, according to equity theory. People will be more motivated if
they are treated equitably, and demotivated if they are treated
inequitably, according to this theory. Equity can be divided into two
types. The fairness with which people would feel compensated based on
their contributions and relative to others is referred to as distributive
equity. Procedural equality, on the other hand, refers to employees'
perceptions of the justice with which the organization's procedures in
areas like performance appraisal, promotion, and discipline are
implemented. In 1990, five factors were found as related to perception of
procedural equity. They are as follows:
i. Adequate consideration of an employee's perspective.
ii. Elimination of personal biases towards the employee.
iii. Apply the criteria to all employees in the same way.
iv. Provide employees with early feedback on the outcome of
decisions.
v. Give employees a thorough explanation of the decision you
made.
Assumptions of the Theory: This theory is based on the following
assumptions about human behaviour:
1. Individuals provide inputs for which they expect specific results or
benefits. The person's past training and experience, special knowledge,
personal attributes, and so on are all inputs. Salary, recognition,
promotion, status, and benefits are all examples of outcomes.
2. Individuals determine whether a particular exchange is good or not by
calculating a ratio that compares their inputs and outputs to those of
others. When an individual determines that his own output/input ratio is
equal to that of others, equity exists.

3. According to the theory, our perception of inequity causes us to feel

tense. The greater the perceived inequity, the greater the tension and
our motivation to reduce it. When striving to reduce perceived inequity, a
person is likely to take a variety of alternatives, including:
i. The person can alter their own or others' inputs or outcomes.
ii. ii. The person can subjectively distort perceptions of their own or
others' inputs or outcomes.
iii. The person can change to a different comparison.
iv. The individual has the option to exit the situation.

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12.1.10. Reinforcement Theory
Behavioural science is a complex field in and of itself. Each expert
focuses on a different area of interpersonal relationships. Several
behaviourists have offered several human resource development
training strategies. Organizations should identify behaviour modification,
according to Luthans. The differences are as follows: a motivational
approach to organizational behaviour means that the practicing manager
should strive to identify and manipulate internal states as nebulous as
desire. The management defines the organizational goals that they want
participants' behaviour to attain, the organizational stimuli accessible to
affect the behaviour, and the types and timings of reinforcement that can
be achieved using the organizational modification strategy.
Operating conditioning and positive reinforcement is other terms for
behaviour change. It is based on learning theory and geared toward
changing individual behaviour rather than that of a group or an
organization as a whole. Incentives such as money, social approval, and
responsibility can promote an individual's desired behaviour. Thus,
organizational participants' behaviour can be steered toward desired
results, such as effective productive efforts. These are becoming more
and more productive endeavours. It is gradually being used by a wide
range of organizations, including business enterprises. There are three
stages to reinforcement. First, the superior provides frequent positive
reinforcement based on feedback on the subordinate's performance;
nevertheless, constructive suggestion and praise are rarely used to
shape the subordinate's performance. In the second stage,
reinforcement occurs infrequently and at unpredictable times. Finally,
supervisory reinforcement is reduced significantly, allowing task
completion to become the primary source of reward for subordinates.
Types of Reinforcement: Positive reinforcement, negative
reinforcement, extinction, and punishment are four types of
reinforcement that can be used to help managers influence behaviour.
Positive reinforcement and extinction, according to Skinner, promote
individual progress, but negative reinforcement and punishment are
more likely to foster immaturity in individuals and perhaps contaminate
the entire organization. Types of reinforcements are discussed here.
1. Positive reinforcement: To encourage behaviour, positive
reinforcement involves providing a pleasant and gratifying outcome.
Managers should evaluate the impacts of a particular reinforcer to
assess if it is effective in encouraging the intended behaviour, because
individuals differ in what they find fun and rewarding. Because people

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rarely perform a new behaviour exactly as required the first time they try
it, managers often find it helpful to shape new behaviours to promote
them. Shaping is the process of rewarding behaviours that are near to
the desired response until the desired response is provided.
2. Negative reinforcement: Negative reinforcement involves presenting
a noxious stimulus in order for a person to participate in the desired
behaviour in order to avoid the noxious/unpleasant stimuli. Negative
reinforcement occurs when the noxious stimulus is either present or has
a high probability of occurring unless the individual engages in the
desired behaviour. Although negative reinforcement can help to drive
desired behaviour, it also has the disadvantage of making the person
receiving the negative reinforcement feel bad about them. Individuals
may react under such situations by completing only what is required,
refusing to devote extra time when it would be beneficial or even leaving
the organization.
3. Extinction: Extinction is defined as the removal of any reinforcement
that keeps a behaviour going. When behaviour is not reinforced, it falls
out of favour. Professors who want to discourage their students from
asking questions in class, for example, can do so by ignoring pupils who
raise their hands to ask questions. When the hand lift confronts a lack of
reinforcement, it will become extinct.
4. Punishment: Punishment creates an unpleasant situation in order to
deter unwanted behaviour, such as suspending an employee from work
for two days without pay for arriving at work while intoxicated.
Punishment and negative reinforcement differ in two ways.
i. Negative reinforcement strives to boost or encourage desirable
behaviour while punishment aims to lessen or discourage undesirable
behaviour.
ii. Negative reinforcement, on the other hand, happens when noxious
stimuli stop or are avoided when the desired behaviour occurs,
whereas punishment is usually applied after the individual has
engaged in undesirable behaviour.
Criticism: Although reinforcement has a significant influence on
behaviour, few studies are prepared to assert that it is the only factor.
Reinforcement theory ignores an individual's inner state and focuses
solely on what occurs when they act. It is not strictly speaking a theory of
motivation because it is not concerned in what causes the behaviour.
However, it does provide a powerful means of analyzing what affects
behaviour, which is why it is frequently discussed in motivational talks.

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The repercussions of your behaviour have an impact on your work
behaviour and the amount of effort you put into each activity.
LET US SUM UP

Different authorities have developed different motivation theories.

Physiological needs, safety needs, social needs, esteem needs, and
self-actualization needs are among the five human needs identified by
A.H. Maslow's hierarchy of needs theory. These human needs, he
claims, tend to follow a basic hierarchical pattern, ranging from
physiological to self-actualization demands. McGregor, on the other
hand, introduced Theory X and Theory Y. These theories are based on
human beings' dual nature. According to Theory X, the average person
is basically lazy and dislikes work. The person does not despise the job
inherently, according to Theory Y. Management can formulate multiple
incentive schemes based on these two assumptions. There are a variety
of theories for motivating employees at work. Establishing only the
minimum number of rules and policies necessary to legally protect the
organization and create order in the workplace, publishing rules and
policies and educating all employees, developing guidelines for
supervisors and educating them on the fair and consistent application of
the few rules and policies, and so on are a few techniques that can
motivate people at work.
CHECK YOUR PROGRESS
Choose the correct answer
1. Clayton Alderfer proposes which of the following theories?
a. Theory X and Theory Y b. Hierarchy of Needs
c. ERG Theory d. Z Theory
2. Maslow classified the five needs into two groups_________

a. Higher-order needs and lower-order needs.

b. Supreme needs and local needs
c. Self needs and others needs
d. Luxurious needs and comfort needs
3. The attribution theory indicates that a person's behaviour is
manifested if they respond in the same manner over time.

a. Distinctiveness b. Consensus
c. Consistency d. Continuity

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4. The ERG theory of motivation was proposed by _____________
a. Maslow b. F. Herzberg
c. Alderfer d. McGregor

5. Who was the one who came up with the equity theory of motivation?
a. Porter Lawler b. McClelland
c. Stacy Adams d. Vroom

GLOSSARY

Power : The ability to influence people is referred to as

power.

Need : A need is anything that an organism requires in

order to live a healthy life.

Extinction : Extinction refers to keeping the previously available

favourable outcomes of behaviour in order to
reduce that behaviour.

Reinforcement : The attempt to develop or reinforce desired

behaviour by the application of positive
consequences or the absence of negative
consequences.

Negative : Negative reinforcement involves providing a

reinforcement noxious stimulus in order for an individual to
participate in the desired behaviour in order to
avoid receiving the noxious (unpleasant) stimulus.

Positive : Positive reinforcement involves offering a

reinforcement pleasurable and rewarding outcome in order to
encourage this behaviour.

Punishment : Punishment is a method of attempting to reduce

bad behaviour by causing an unpleasant condition.

SUGGESTED READINGS
1. Aswathappa, K. Organizational Behaviour. New Delhi: Himalaya
Publishing House.

2. Mishra, M.N. Organizational Behaviour. New Delhi: Vikas Publishing

House.

179
3. Prasad, L.M. Organizational Behaviour. New Delhi: Sultan Chand &
Sons.
4. Stephen P. Robbins., Timothy A. Judge., and Neharika Vohra.
Organizational Behavior. New Delhi: Pearson Education India.
5. Uma Sekaran. Organizational Behaviour: Text & Cases. New Delhi:
Tata McGraw Hill.

WEB RESOURCES
1. MASLOW'S THEORY OF MOTIVATION IN TAMIL - Bing video
2. Understanding the Impact of Vroom’s Expectancy Theory | Talent
and Skills HuB - YouTube
3. Theories of motivation - Maslow, Herzberg, McGregor - Bing
video
4. Theories of Motivation - Bing video
ANSWER TO CHECK YOUR PROGRESS
1.c 2.a 3.c 4.c 5.c

180
 BLOCK IV

ORGANIZATIONAL CHANGE

UNIT 13 ORGANIZATIONAL STRUCTURE

UNIT 14 GROUPS AND GROUP DYNAMICS

UNIT 15 ORGANISATIONAL CHANGE – NATURE,

TYPES AND FORCES

UNIT 16 ORGANISATIONAL CHANGE – RESISTANCE

AND APPROACHES

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UNIT 13

ORGANIZATIONAL STRUCTURE
STRUCTURE

Overview

Learning Objectives

13.1 Concept of Organizational Structure

13.2 Importance of Organizational Structure

13.3 Types of Organizational Structures

Let us sum up

Check your progress

Glossary

Suggested Readings

Answer to Check Your Progress

OVERVIEW
An organization is a group of people working toward a common purpose
that develops and maintains relatively stable and predictable patterns of
behaviour. Organizations are usually described in terms of their
differences among the three aspects of complexity, formalization, and
centralization. The existence of policies, procedures, and rules that limit
member choices is referred to as formalization. The discretion and
freedom of action of members of a highly formalized organization are
constrained by the organizational arrangements. There is more flexibility
of action and decision in less formalized organizations. The distribution
of power and authority is referred to as centralization. Those in higher
positions in the centralized organization maintain power and influence.
Decisions, rights, and responsibility are delegated to the lower levels of
the organization in decentralized organizations. Two factors reflect the
combination of complexity, formalization, and centralization:
organizational structure and organizational culture.

LEARNING OBJECTIVES
After completing this unit, you will be able to:
• define the organizational structure

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 • describe the importance of organizational structure
• discuss various types of organizational structures
13.1 CONCEPT OF ORGANIZATIONAL STRUCTURE

The "structure" of an organization is a network of horizontal and vertical

dimensions designed at achieving common goals. It is the system or
framework that allows people and facilities to work together to achieve
predefined objectives. The division, group, and coordination of tasks in
organizations are defined by the organizational structure. Every
organization has a structure that defines the roles and responsibilities of
its members so that everyone is aware of their responsibilities to the
group.
According to Pradeep N. Khandwalla, “organizational structure is the
formal or quasi-formal net-work of reporting or controlling relationships in
an organization and powers and duties associated with each role in this
net-work.”
According to George Terry “it is the establishing of effective authority
relationships among selected work, persons, and the work-places in
order for the group to work together effectively.”
According to Peter Drucker, organizational structure is an indispensable
means, and a wrong structure will seriously impair business
performance and may even destroy it. Organizational structure must be
so designed as to make possible the attainment of the objectives of the
business for five, ten or fifteen years hence.
In a nutshell, organizational structure refers to the relationship between
the responsibilities that each member of the organization performs,
which include:
i. Division of labour. The work must be divided and subdivided in such
a way that the subdivided components can be assigned to the person
who has special components for the task's performance. By doing so,
the organization implements the principles of specialization and
motivation, as well as the elements of efficiency, such as avoiding waste
caused by duplication and overlapping of efforts, and the principle of
control, which holds the person accountable for his own failings.
ii. Identify authority sources: Each person should act as a cog in the
organization's wheel. Everyone's efforts must be focused on the
organization's common goal. Power or authority stems from the
governed instinct of consent, superior physical strength, knowledge, or

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other influence, in addition to the authority-responsibility structure of a
formal organization.
iii. Relationship: Relationship types present a unified whole in every
organizational structure in order to achieve the organization's common
goal. These relationships can be official or informal, administrative or
operational, vertical, horizontal, or diagonal. Some may work on an
equal footing with others in this process, while others may be either
above or below them.
iv. Coordination: An organization's goal cannot be fulfilled without
coordination. It is the executive in charge of this crucial role who must
perform the function of direction. He must coordinate the work of the
individuals and groups so that the organization's goal is met as efficiently
as possible by avoiding waste while also ensuring that each individual's
ego is satisfied to the greatest extent possible.
13.2 IMPORTANCE OF ORGANIZATIONAL STRUCTURE
A strong organizational structure can help ensure the enterprise's long-
term existence and stability. The following points can help us better
understand the importance of organization and organizational structure:
1. Better operational efficiency: Structuring a company into teams
ensures that tasks and responsibilities are distributed clearly. This helps
the various divisions in achieving their objectives greater efficiency. They
have the ability to work fast and efficiently.
2. Quick decision making: Everyone knows what to anticipate when
responsibilities are clearly stated. Because everyone knows who is
responsible for what, the organization's overall communication is bound
to improve. Better information flow helps different teams to communicate
and collaborate, which improves decision making.

3. Improves performance: Feedback loops and performance reviews

can be implemented in organised teams. When everyone is given the
correct instruction, they are motivated to improve their performance. In a
structured organization, employees have more faith in their talents.
Improved productivity is a result of increased motivation and morale.
4. Eliminates duplication of work: An organizational structure
eliminates the possibility of responsibilities roles and activities. This is
due to the fact that teams are divided based on the skills and roles are
clearly defined, preventing two people from working on the same thing.

5. Reduces employee conflict: One of the most significant

advantages of organizational structures is the reduction of workplace

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conflict. When there are no overlapping roles and different teams work
independently employees try to attain clearly defined goals.
6. Facilitates administration: Planning, staffing, directing, and
controlling functions are all aided by a good organization. Inadequate
organization can result in duplication of effort and work, as well as the
omission of some important tasks. Through division of labour, consistent
delegation or description of tasks, and clarity of authority and
responsibility relationships, a healthy organization makes it easier to
perform various managerial functions.
7. Promotes growth and diversification: A well-designed
organization based on scientific principles can help to establish the
conditions for planned expansion and diversification.
8. Coordination: The importance of organization in establishing
coordination between the company's different departments cannot be
overstated. It helps to establish clear departmental relationships and to
place a balanced emphasis on various activities.
9. Optimal use of technological innovations: A sound organizational
structure is flexible enough to allow for technological improvements. It
makes it easier to implement changes in the firm by adjusting the power
and responsibility relationships in response to changes.
10. Optimal use of human resources: A good organization matches
people with jobs and vice versa. It guarantees that each person is
placed in the most appropriate position for them. This contributes to a
better usage of the company's employees.
11. Stimulates creative thinking: A clear demarcation of authority, a
broader range of responsibilities, discretionary freedom for employees,
and the rewards for specialized work, among other things, would
undoubtedly enhance the spirit of constructive and innovative thinking.
12. Training and development: Delegation of authority is a vital tool for
training and developing employees, and good organization makes it
easier to do so. This helps employees to be ready to take on greater
responsibility when the time comes.
13.3 TYPES OF ORGANIZATIONAL STRUCTURES
Every system in the world has a structure that governs its operation. A
company's overall culture is defined by its organizational structure.
Productivity, employee relations, and marketing strategies are all
influenced by organizational structure. It is important for a firm to
develop the most strategic organizational structure that will enable it to

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achieve its objectives successfully. One company's organizational
structure may differ from that of another. Let us take a look at some of
the most common organizational structures.

1. Line organization: In a line organization structure, power flows from

the top to the bottom of the organization, and there are no specialized
services or support. In small firms, line organization structure is the
simplest and most prevalent style of organization. Each department has
its own manager with power over its workers, and the organization is
normally organised into departments controlled and directed by a
general manager. The line organization structure embeds authority,
which flows in a direct path from the top of the management hierarchy
down through the various levels of managers and the subordinates, and
finally to the operational levels of workers.
2. Staff organization: The improved version of line organization is line
and staff organization. Functional specialists are added to the line and
staff organization, offering the line the advantages of specialists. The
staff is responsible for assisting the line members in achieving the goal.
This is the most common type of organization structure, especially
among large companies. Staff members are basically advisory in nature
and have little influence over the line managers. There are two types of
staff:
a. General staff: This staff works as an assistant to top management
and has a background that is similar to that of executives. They are not
experts and, in most cases, do not have any authority or duty of their
own. They are known as special assistants, assistant managers, or
deputy chairpersons at colleges.
b. Specialized staff: Unlike general staff, who often support only one
line manager, specialist staff gives expert advice and services to all
employees within the organization. This staff has specialized knowledge
in specific functional areas and could serve in the following roles:
i. Advisory capacity: This staff's major goal is to give management with
expert advice and help as needed. Law, public relations, and economic
development are some of the common fields addressed by the advisory
staff.
ii. Service capacity: This staff serves the organization as a whole, not
just a particular division or function. The personnel department, for
example, is at the service of the company by obtaining the necessary
staff for all departments. Research and development, purchasing,
statistical analysis, insurance issues, and other services are available.

185
iii. Control capacity: Quality control staff who may have the authority to
control quality and enforce standards are included in this category.
3. Functional organization: The organization is divided into groups by
tasks, responsibilities, or expertise in a functional structure. A functional
organization might be advantageous since departments can be confident
that their employees have the necessary skills and knowledge to fulfil
their objectives. Functional organizations are a larger scale version of
functional departments, with separate hierarchies for each function. The
basis for grouping jobs that are related to the same organizational
function or a specialized expertise, such as marketing, finance, or
production, is functional departmentalization. Due to the engagement of
specialists in each functional area and the allocation of resources by
function rather than being duplicated or scattered across, the functional
structure increases operational efficiency as well as product quality. One
of the drawbacks of the functional structure is that it emphasizes narrow
specialization rather than general managerial skills, resulting in
functional managers who are unprepared for leadership roles.
Furthermore, business units may be so focused on their particular areas
that they are less receptive to the demands of the entire firm.
4. Committee organization: A committee is a group of people who
work together. The committee, not an individual, makes all of the
decisions. Members of the committee have the same decision-making
authority. The fact that there is a committee for each function or
department distinguishes committee organization. The advantages of
the committee structure are: a. balanced decisions; b. greater
coordination; c. involvement of multiple interest groups; d. less fear of
authority centralization; e. improved motivation; f. management
development technique; g. reduced conflict; h. flexible form; i.
managerial strategy tool; and j. appropriate for strategic decisions
5. Divisional organization: People or activities with similar qualities are
grouped together into a single division or unit in a divisional organization.
These divisions, also known as self-contained structures, operate as if
they were small organizations within a larger organization, achieving
divisional goals as set forth by organizational policies and plans.
Organizations are divided into divisions based on specialized products,
services, or geographic locations under a divisional structure. A large
software company, for example, might divide its workforce by product
category. A cloud software division, an enterprise software division, and
a personal computer software division are all present. Decentralized
decision-making allows divisions to direct their own activities. This

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improves communication, coordination, and control, all of which
contribute to the organization's success. Furthermore, because the units
are self-contained and semi-autonomous, the managers are satisfied,
which improves effectiveness and efficiency. The following criteria are
used to classify this division and concentration of related activity into
integrated units:

a. Departmentalization by product: The units are formed according to

the type of product in this case, which is more effective in multi-line
organizations where product expansion and diversification, as well as
manufacturing and marketing features, are the primary considerations.
b. Departmentalization by customers: Organizations that deal
differently with different types of customers use this type of
departmentalization. Thus, the key to business consolidation is
customers. Customers who deposit a specified amount of money with
the bank for a certain period of time receive priority services from
several banks. Similarly, business customers are given priority at banks
over non-business customers.
c. Departmentalization by area: A geographic division can be used if
an organization serves different geographic locations. Large,
geographically spread enterprises, such as banks, insurance,
department store chains, or a nationally distributed product, benefit
greatly from these divisions.
d. Departmentalization by time: Hospitals and utility companies that
operate 24 hours a day, such as telephone companies, are frequently
divided into departments depending on time shifts. For example, a
telephone company may have a day shift, an evening shift, and a night
shift, each with its own department, despite the fact that they all serve
the same purpose.
6. Project organization: They are temporary organizational structures
that are formed for specific tasks for a specific period and then
dismantled after the goal is met. A company's purpose, for example,
could be to develop a new automobile. Specialists from the many
functional departments will work together on this project. These
structures are very useful when:
1. The project is clearly defined in terms of the goals to be attained,
and a deadline for completion is set. The project to build a new
airport is one example.
2. The project is distinct and unique from the organization's
everyday work routine.

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 3. Different types of activities requiring different skills and
specializations must be coordinated to reach the desired goal.
4. The project must be temporary in nature and not extend with
other projects.
7. Matrix organization: In some ways, a matrix structure is a
combination and interaction of project and functional structures, and it is
suggested to solve problems associated with project and functional
structures separately. Employees with similar talents are placed together
and report to many managers in the matrix organizational structure,
which resembles a grid. This usually includes a functional manager who
monitors projects and their progress, as well as a product manager who
is in charge of the company's product strategy and success. Large
multinational corporations commonly employ the matrix structure, which
encourages departments to share talents and expertise in order to
achieve goals. Functional and project lines of authority overlap and are
shared by functional and project managers, which is one of the major
characteristics of a matrix structure. The functional structure is primarily
responsible for: 1. giving project technical guidance; 2. providing highly
skilled and specialized functional staff; and 3. completing the project
according to the technical specifications.
LET US SUM UP
The established pattern of relationships between components or parts of
an organization is known as organizational structure. It describes the
relationships between the company's various positions and activities. It
is primarily concerned with the proper delegation of authorities as well as
the distribution of various tasks and activities. Many firms choose an
organizational structure that best suits their size and the business goals
to keep operations running smoothly. Organizational structure helps
employees in understanding their responsibilities and roles, as well as
guiding goal setting. In this unit, we outline seven common types of
organizational structures, as well as their benefits and drawbacks, to
assist you in selecting the best one for your company.
CHECK YOUR PROGRESS
Choose the correct answer
1. The relationships between organizational units and lines of authority
are depicted by organizational _________.

a. Charts b. Channels
c. Structures d. Paradigm

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2. Military organization is also known as ___________.
a. Line organization b. Functional organization
c. Line and staff organization d. None of the above

3. What organizational structure do major steel plants typically follow?

a. Line organization b. Functional Organization
c. Line and staff organization d. All of the above

4. Departmentation is a process in which ___________

a. Tasks are grouped into jobs
b. Jobs are grouped into effective work groups
c. Work groups are grouped into identifiable segments
d. All of the above
5. Which organizational structure features specialization?
a. Matrix b. Divisional
c. Multi-divisional d. Functional
GLOSSARY

Organizational : The way activities like task assignment,

structure coordination, and supervision are oriented
toward the attainment of organizational goals
is defined by the organizational structure.

Hierarchical : It is the basic framework of the entire

organization company. It denotes a direct vertical
relationship in which power is transferred.

Departmentalization : It is the process of organizing jobs into

departments and sub-departments and
delegating authority for task completion in
order to increase efficiency and coordination
in a firm.

Matrix organization : A matrix organization is one in which line

managers are organised along many lines. In
practice, this means that the organization's
employees have more than one boss.

Hierarchy : It is a system that places individuals or things

189
 to different levels or ranks based on their
importance.

SUGGESTED READINGS

1. Aswathappa, K. Organizational Behaviour. New Delhi: Himalaya

Publishing House.
2. Mishra, M.N. Organizational Behaviour. New Delhi: Vikas Publishing
House.
3. Prasad, L.M. Organizational Behaviour. New Delhi: Sultan Chand &
Sons.
4. Stephen P. Robbins., Timothy A. Judge., and Neharika Vohra.
Organizational Behavior. New Delhi: Pearson Education India.
5. Uma Sekaran. Organizational Behaviour: Text & Cases. New Delhi:
Tata McGraw Hill.
WEB RESOURCES
1. Types of Organizational Structure | 7 Types | Explained | Learn It
In Tamil | தமிழ் - YouTube
2. Organizational Structure|Formal & Informal|Tamil|Sakthi's
Knowledge Hub|SKH Knowledge Hub|SKH - Bing video
3. Organization Structure - Organizational Behavior 2 - Bing video
4. Organization Structure 1 - Organizational Behavior - YouTube
ANSWER TO CHECK YOUR PROGRESS
1.c 2.a 3.c 4.d 5.d

190
UNIT 14

GROUPS AND GROUP DYNAMICS

STRUCTURE

Overview

Learning Objectives

14.1 Meaning and Definitions of Groups

14.2 Characteristics of Group

14.3 Why do People Join Groups?

14.4 Types of Groups

14.5 Stages of the Group Development

14.6 Meaning and Definitions of Group Dynamics

14.7 Factors Influencing Group Dynamics

14.8 Meaning and Definitions of Group Cohesiveness

14.9 Factors Influencing Group Cohesion

Let us sum up

Check your progress

Glossary

Suggested Readings

Answer to Check Your Progress

OVERVIEW
Man is a social animal by nature. It would be impossible for him to work
in isolation from the rest of the world. In today's society, it has virtually
become imperative for an individual to work with others. Organizations
are nothing more than a collection of people working together to achieve
a common goal. Thus, it is clear that organizations exist and succeed
only as a result of the many working groups and project teams that exist
within them. We define a "group" as more than two people who interact
and influence each other's behaviour and performance on a regular
basis. Individuals' behaviour in groups is more than the sum of everyone
acting in their own unique way. Formal and informal groups exist. By

191
formal, we mean defined by the organization's structure, with clearly
defined work assignments, tasks, and work groups. In formal groups, the
appropriate behaviour is prescribed by and aimed toward organizational
goals. Informal groups, on the other hand, are informal alliances that are
neither structured nor organised. Informal groups fulfil an important
societal function by satisfying the needs of their members.

LEARNING OBJECTIVES
After completing this unit, you will be able to:
• define groups, group dynamics and group cohesiveness
• understand the characteristics of the group
• explain why people join groups
• make a list of different types of groups
• describe the stages of development of the group
• elucidate the factors that influence group dynamics
• discuss factors influencing group cohesion

14.1 MEANING AND DEFINITIONS OF GROUP

A group is made up of two or more interdependent and interacting
individuals who have come together to accomplish a common purpose.
Thus, a group is a collection of people who communicate with one
another, know one another, share a similar aim, and perceive
themselves as a group. A group cannot be formed simply by a gathering
of people. A crowd outside a store in the market watching a one-day
cricket match between India and Pakistan on TV, for example, will not be
referred to be a group because no one is interacting with each other, no
one knows each other, and no one has a shared aim. A group is any
number of people who have common goals, communicate often
throughout time, and are small enough that each member can
communicate with everyone else on a one-on-one basis.
“A group is an organized system of individuals who are related to one
another so that it performs some functions. It has a standard of role
relationship and has a set of norms that regulate the function of the
group,” Mc David says.
According to MacIver and Page, group means any collection of the
human beings who are brought into social relationship with one another.
“Whenever two or more individuals come together and influence one
another, called social group,” according to Ogburn and Nimkoff.

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14.2 CHARACTERISTICS OF GROUP
The following characteristics of the group can be enumerated based on
the preceding definitions:

1. Interdependence: Interdependence is defined as members of a

group recognising their need for other members of the group. Assume
you are playing a basketball game, against the five members of another
team as an individual. Even if you are the best basketball player in the
world, winning a game against five other individuals is extremely
unlikely. To win the game, you will need the help of four other
teammates.
2. Interaction: The key characteristic of group contact is that it is done
with a specific goal in mind. They go on to categorize purposeful
interaction into four types: problem solving, role playing, team building,
and trust building. A real group does not exist without purposeful
interaction. Interaction creates roles, norms, and relationships amongst
members.
3. Synergy: The whole is greater than the sum of its parts. Synergy is
based on this concept. Each member of an orchestra or band is there to
contribute to the greater unit's ability to generate music in a way that
cannot be achieved without everyone working together.
4. Common goals: People who form groups are brought together for a
specific purpose. Although there may be differences over the group's
individual aims or how to reach the shared objectives, a group is mostly
characterized by its common objectives. Members share a commitment
to the group's mission and use their diverse skills to achieve its
objectives.
5. Norms: The behaviour of group members is governed by norms.
Written rules, such as attendance, or just recognized expectations, such
as punctuality, may be in place. Norms are the group's expectations of
its members, which might be conscious and formal or unconscious and
informal. The expectation that all members show up at group meeting
times, that all group members focus on the group rather than the
personal problems, and that all group members do their part of the work
by the due date are examples of group norms
6. Cohesiveness: When members have a sense of cohesion with other
group members, it helps them understand the concept of group and
team communication. The willingness of members to stick with the group
is referred to as cohesion. The higher the group's cohesion, the more its
members are attached to belonging. Cohesive groups have charismatic

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leaders that encourage each member's development. Teams with strong
bonds can persevere through conflicts that would frustrate teams with
weaker bonds.

7. Roles: Each member of the group has a certain role. Formally or

informally, roles might be assigned. Task-based roles are associated to
how members contribute to the group's success. Clarifier, information
seeker or seeker, informant, initiator, reality tester and synthesizer are
some examples. The way members engage with one another is defined
by relationship-oriented roles. Compromise, consensus tester,
encourager, protector, and harmonizer are some examples. Individual-
oriented roles are concerned with how a team member acts.
Aggressor, avoider, blocker, rider and dominator are some of these
roles.
8. Status: The status of a member can be determined by both their
position within the group and their position within the organization. For
example, a manager will be seen as having a higher status than one of
his employees. When the highest-ranking members of a group
contribute the most, they set an example for the rest of the group.

9. Two or more people: A group cannot be formed by a single person.

At least two persons are necessary to form a group. The maximum
number of members who can form a group has no specific limit.
10. Collective identity: Each member of the group is acquainted with
the others. Each group member believes he is a part of the group.
14.3 WHY DO PEOPLE JOIN GROUPS?
The following are some of the reasons why people join groups.
1. Security: When people are part of a group, they feel stronger, have
less self-doubt, and are better able to withstand dangers. Individuals are
provided with various types of security, including job security, economic
security, physical and psychological security. New employees are more
prone to emotions of loneliness and seek advice and support from the
group. Employees are more likely to turn to unionization to reduce their
emotions of insecurity if management fosters an environment where they
feel insecure.
2. Self-esteem and status: Members of a group receive recognition and
status as a result of their membership. Being a part of one or more
groups might make us feel important. Similarly, many employees in firms
place a great priority on addressing their esteem needs and seek
fulfilment through membership in formal and informal groups. Intrinsic

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needs can also be met by groups. People can gain a sense of self-worth
by participating in groups. Belonging can provide a greater sense of
worth to the group members themselves, in addition to expressing
prestige to people outside the group.
4. Affiliation: Groups can help people meet their social needs. People
like the regular interaction that comes with being a member of a group.
For many people, these job interactions are their primary source of
affiliation. Almost everyone works in that work groups help them meet
their needs for friendships and social relationships.
5. Power: One of the things that attract people to groups is the fact that
they represent power. What is impossible to do on one's own becomes
possible with the help of others. Individuals in informal groups can also
use their power to exert control over others. Individuals who want to
influence others can use groups to gain power without having to have a
formal position of authority.
6. Goal achievement: There are times when more than one person is
needed to do a task; in order to perform a job, it is necessary to pool
abilities, knowledge, or power. Management will rely on the use of a
formal group in such situations.
7. Performance: Because it allows employees to specialize and
contribute a variety of talents, group activities can be more efficient and
productive than solo efforts. Employees are divided into functional and
task groups so that they can gain expertise in the specific functions,
products, problems, or clients.
8. Cooperation: No single person can achieve an organization's
objective on their own. However, in order for a group of people to attain
a common goal, they must work together. Employee cooperation can be
boosted by group dynamics and characteristics, especially when
members identify with and as a group and are rewarded for group
success.
9. Satisfaction: Employee satisfaction resulting from group membership
can benefit both organizations and individual employees if it improves
motivation. People's need to be with others and to be loved by them is a
source of satisfaction. People meet this kind of need by participating in
groups that focus on social activity.
10. Personal characteristics: The group satisfies the need for
companionship. People join the group because they have similar ideas,
values, and attitudes.

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11. Information: The members of the group can quickly get a wide
range of information because they communicate frequently.
14.4 TYPES OF GROUPS

Groups can be classified in two ways: formal and informal.

1. Formal group: Formal groups are those formed by an organization to
meet organizational goals. When management brings together two or
more people of an organization for the aim of achieving a specific goal,
formal groups are formed. An accounting department, an executive
committee, and a product development team are all examples. Within a
formal group, there are rules and regulations, as well as an official
leader who is responsible for enforcing the laws and the regulations
while also offering direction and guidance to the group. Formal groups
can be divided into the following categories:
a. Command group: Command groups include many functional
departments such as production, sales, finance, and human resources.
A command group is made up of the employees who report to the boss.
The president of the academic division and the faculty members within
that department are an example of a command group.
b. Task group: Task forces and task groups are two terms that are
frequently used interchangeably. The organization appoints the
members and assigns the goals and duties that must be met.
Developing a new product, refining a manufacturing process, or
establishing a motivational contest is examples of assigned tasks. Task
groups are temporarily formed to complete a particular task or project.
c. Project group: Project teams are organised to carry out a specific
project. The project group's lifespan usually corresponds to the project's
duration. A project group is formed when the University Grants
Commission assigns a research project to a university professor.
d. Committees: To handle reoccurring problems, committees are
generally formed outside of the usual command group structure. A
committee's lifespan might be either long or short. A university's
Examination Discipline Committee, for example, was formed to resolve
the disciplinary matters related to examinations. Committees are formed
for certain purposes. They might be either permanent or temporary.
e. Functional group: A functional group is formed with the help of the
organization to fulfil the goals in an unspecified time frame. Until existing
goals and priorities are met, functional groups stay in existence.

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Advertising and marketing department, a customer service department,
or an accounting department are examples of functional groups.
2. Informal group: Groups that are not formal are called informal
groups. In other words, these are the groups that the organization does
not formally create or control. Cliques are another name for these types
of groups. Two or more people join informal groups with the goal of
meeting their personal and psychological needs. In an organization,
informal groups evolve to address social, or affiliation needs by bringing
people together over shared interests or friendship. The following are
examples of informal groups:
a. Friendship group: Friendship groups are formed when group
members share common features such as age, marital status,
common values, and college affiliations. Members who share common
social events, political ideas, oral values, or other regular bonds affect
friendship groups. Members enjoy each other's company and come
together frequently for these after-work events. These groups are
formed primarily to meet the needs of belonging and security.
b. Interest group: A group of people who share a common interest is
known as an interest group. Individuals who may or may not be
members of the same organization but who share a common interest
in a topic form interest group. An interest group is a group of college
students who work together to establish a community learning
environment for a particular class. A group of university professors
organizing a seminar is an example of an interesting group.
c. Reference group: A reference group is a type of informal group
that people use to evaluate their own performance. According to
Cherrington, the primary functions of reference groups are social
validation and social comparison. Members' actions are influenced by
reference groups. A reference group may or may not be a real group;
it can also be a made-up group. Members of these groups serve as a
point of comparison or reference for others.
d. Membership groups: When a person joins a group, the group is
referred to as a membership group or affiliate group. A group's
members have a set of benefits and responsibilities that extend
beyond the group's function as a point of reference. In a membership
group, each member should contribute to the group's well-being while
also reaping the benefits of the group's relationship.

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 e. Small groups: They are particularly useful for making short-term
decisions. There is a maximum of 5 people in this group. The
members of this group communicate quickly.

f. Self-managed team: A self-managed team is a group of people

who work together in their own unique ways to achieve a common
goal.

g. Vertical clique: This group is made up of people who work in the

same department and is open to people of all ranks.
h. Horizontal clique: This group consists of persons who are more or
less the same rank and work in the same field.
14.5 STAGES OF THE GROUP DEVELOPMENT
The way a group develops is influenced by factors such as the
frequency with which group members interact and the group members'
personal traits. The formation of a group can be divided into five stages:
1. Forming: The first stage of group development is formation,
which is characterized by an uncertainty about the group's goal,
structure, and leadership. When the members begin to see
themselves as part of a group, this stage is complete. When a
group first forms, its members cannot do much unless they agree
on its mission, how they will operate together, and so on. The
group's norms and standards are defined at this stage. This
stage is often manifested by hesitancy or even anxiety on the
part of the participants. Members assess one another on their
trustworthiness, emotional comfort, and evaluative acceptability.
2. Storming: Intergroup conflict emerges at this stage as a result of
a lack of role clarity and behavioural expectations. When this
stage is over, the organization will have a relatively clear
hierarchy of leadership. Members accept the group's existence
but object to the group's restrictions on individuality. In addition,
there is a dispute over who will be in charge of the group. The
group may split into supporters and opponents of the leader. If
the group gets stuck in this stage, members can participate in
battles and focus their resources on a variety of political tactics.
The remaining members of the group must sort out where they fit
in once a group leader has emerged.
3. Norming: The stage of normalization occurs when the group is
fully constituted and organised. "Becoming personal" is the term
for this stage. Close relationships form between group members

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 at this stage, demonstrating group cohesion. Members of the
group recognize their roles and agree on how they will be carried
out. A new leader may emerge, or an existing leader may
become more conscious of other group members' contributions.
When the group structure has solidified and the group has
assimilated a common set of expectations about what constitutes
proper behaviour for members, the normalization stage is
complete.
4. Performing: "Working together" is the name of this stage. The
members of the group are in a state of harmony at this stage.
There is teamwork, role clarity, and task fulfilment at this stage.
The group's focus changed from getting to know and understand
each other to achieving the task at hand. The members' attention
is focused on self-motivation as well as the motivation of the
other members of the group to accomplish the tasks. The group
has matured to the point where it can meet its own needs in
terms of tasks and relationships.
5. Adjourning: "Transference" is another name for this stage. Once
the group activity is completed, the group disperses at this stage.
Adjournment is the final stage for temporary committees, teams,
working groups, and similar groups. At this stage, the group is
preparing for dissolution or the cessation of its operations. The
group's top priority is no longer high task performance. Instead,
attention is focused on the completion of tasks.
14.6 MEANING AND DEFINITIONS OF GROUP DYNAMICS
The processes that take place amongst group members are referred to
as group dynamics. Internal thoughts and sentiments, articulated
thoughts and feelings, non-verbal communication, and the relationship
between group members all influence group dynamics. Group dynamics
is a branch of social psychology concerned with the development and
change of psychological groups' overall structure and function into self-
directing groups. The study, analysis, and understanding of the
behaviours and psychology underlying group interactions are known as
group dynamics.
"Group dynamics "is the social process by which people interact face to
face in small groups is called group dynamics,” according to Keith Davis.
It is concerned with the interaction of individuals in a face-to-face
relationship. It focuses on teamwork; wherein small groups are
constantly in contact with each other and share their ideas to accomplish
the given tasks.

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“Group dynamics is concerned with the interactions and forces among
group members in a social situation. When the concept is applied to the
study of organizational behaviour, the focus is on the dynamics of
members of formal and informal groups and teams in the organization”
according to Fred E Luthans.
“Group dynamics is viewed from the perspective of internal nature of
groups, how they form, their structure and processes, and how they
function and affect individual members, other groups, their formation,
and structures. It explains how and why groups are formed, and the way
they affect individuals, and other groups and the organization,”
according to Kurt Lewin.
14.7 FACTORS INFLUENCING GROUP DYNAMICS
1. Organizational factors: The following organizational factors
have an influence on group dynamics: a. organizational structure
or design, b. organizational strategy, c. leadership style, d.
decision-making process, e. communication, f. authority
structures, g. organizational resources, h. formal regulations, i.
system of performance evaluation and reward, j. process of
human resource selection, and k. organizational culture, etc.
2. Member related factors: The following member-related factors
influence group dynamics: a. member characteristics and
behaviour, b. member objectives and expectations, and c.
member prior experience.
3. Group-related factors: The following group-related factors have
an influence on group dynamics: a. group norms, b. group
objectives, and c. group cohesion
4. Work related factors: The following work-related factors have
an influence on group dynamics. a. the type of work, b. the
physical working environment, c. the type of supervision, d. the
risk and facilities, and e. the necessity for a group effort to
complete the task.
14.8 MEANING AND DEFINITIONS OF GROUP COHESIVENESS
Cohesion literally refers to the group's "solidarity" or "attractiveness" to
its members. Emotional attachment to the group and shared group goals
are powerful motivators for members to stay in a group. In business,
group cohesion refers to how closely members of a group remain together
and how committed they are to one another. The affinity that members
have for one another is what holds the group together as a unit. It

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expresses the members' sincerity and desire to stay in the group. It is
defined as the degree to which members are attracted to one another and
share a group's goal. The more cohesive a group is, the more likely it is
to have shared common values and norms. Cohesion has a direct
impact on a group's behaviour.
“Group cohesion is the degree to which group members are attracted to
each other and are motivated to stay in the group,” says Stephen
Robbins.
14.9 FACTORS INFLUENCING GROUP COHESION
The following factors usually have an influence on group cohesion.
1. Group size: large groups have less cohesion, but small groups are
more cohesive and effective. There are only a few people in small
groups. As a result, there is constant face-to-face contact and a
high level of interaction and conversation among all members.
Communication among members may be disrupted in large groups.
Interaction with all members gets difficult when the group grows in
size. Furthermore, multiple sub-groups might form within large
groups, resulting in a loss of group cohesion.
2. Status: The degree of group cohesion is determined by the group's
status. The group's cohesion can be strengthened if the group's
status is high.
3. Time spent: The more time the members of the group spend
together, the more they will get to know each other and get closer.
This improves the cohesiveness of the group. Thus, the amount of
time people spend together has an influence on cohesion. The
ability of members of a group to spend time together is determined
by their physical proximity.

4. Location/proximity: Proximity, or working in close together, helps

in group cohesion. Face-to-face communication is made easier. A
small, isolated work group will be more cohesive and work harder to
meet its objectives. Cohesion is more difficult when there is no clear
demarcation between one group and another.
5. Interdependency: When the activity of one member is dependent
on the activity of another, the group's cohesion is strengthened.
Cohesion is reduced when each member of the group engages in
independent activity.

6. Homogeneity and heterogeneity: There will be high group

cohesion when the group is made up of members with similar

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 personality traits, intellects, abilities, and experience. Cohesion will
be weak if there are large differences in personalities, intellect,
experience, values, or status.

7. Previous success: When a group achieves a meaningful goal

earlier, it increases group cohesion since the success is shared by
all members of the group. Failure to meet group objectives weakens
group cohesion. Attracting and hiring new employees is easier for
successful companies. Successful research groups, well-known
and prominent universities, and winning sports teams are all
examples of this.
8. External threats: The external threat is a powerful factor that
keeps the group cohesive and united. If a group is influenced by
outside sources, the group's cohesion will increase. Threats from
management might bring a dismayed union together. There will
likely be a decline in cohesion if members believe the influence is
directed against the group just because of its existence and will end
if the group is abandoned or broken up.
9. Stability: When members of a group are changed regularly, group
cohesion affected. The lower the group's cohesion, the higher the
rate of member turnover. On the contrary, if stable relationships are
maintained in the long-term, cohesiveness will be strong.
10. Severity of initiation: The more difficult it is to join a group, the
more cohesive it becomes. The hazing that fraternities usually
subject their pledges to is designed to screen out those who are
unwilling to "pay the price" and increase the desire of those who are
to join fraternities. However, group initiation does not have to be as
blatant as hazing.

LET US SUM UP
A group can be defined as a collection of people who have a common
aim or objective, interact with one another to attain those goals, and
perceive themselves as members of the group. The group's behaviour is
a reflection of its members' behaviour, which is influenced by them.
When a group makes a decision, it can do it by majority vote or by
consensus. Organizations are nothing more than a collection of many
employees working together to achieve a common goal. Individuals'
behaviour in groups is more than the sum of everyone acting in their
own unique way. There are five stages to group development: formation,
storming, normalization, performance, and adjournment.

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CHECK YOUR PROGRESS

Choose the correct answer

1. __________is a group formed by a company to achieve a specific set

of objectives in a specified time frame.

a. Formal group b. Task group

c. Interest group d. Functional group

2. The members' attraction to the group or their resistance to quit it is

referred to as________.

a. Group norms b. Group behaviour

c. Group cohesiveness d. Group structure

3. Group members' common beliefs, attitudes, customs, and

expectations that are referred to as __________

a. Group norms b. Group communication

c. Group cohesiveness d. Group structure

4. For the members of the group, the group__________ is more

essential than any financial incentive.

a. Norms b. Values

c. Both ‘A’ and ‘B’ d. None of the value

5. In the five-stage group formation model, what is the first stage?

a. Norming b. Storming

c. Forming d. Performing

GLOSSARY

Group : The term "group" refers to a group of more

than two employees who interact and
influence each other's behaviour and
performance on a regular basis.

Formal group : The organization forms a formal group to

carry out activities in support of the
organization's objectives.

Informal groups : Informal groups are alliances that are not

formally structured or organised.

Norm : A norm is a set of rules of conduct that

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 members of a group have agreed to follow in
order to ensure consistency in their
behaviour.

Role : A role is a set of activities that a person in a

specific position within the group is expected
to perform

Group dynamics : A system of behaviours and psychological

processes that occur inside or between social
groups is known as group dynamics.

Group development : Group development is the process through

which members of newly established work
teams get to know their team-mates, define
their roles and responsibilities, and learn the
work and teamwork skills they will need to
function.

Group : It relates to how attracted group members are

cohesiveness to one another and how motivated they are to
stay in groups.

SUGGESTED READINGS
1. Aswathappa, K. Organizational Behaviour. New Delhi: Himalaya
Publishing House.
2. Mishra, M.N. Organizational Behaviour. New Delhi: Vikas Publishing
House.
3. Prasad, L.M. Organizational Behaviour. New Delhi: Sultan Chand &
Sons.
4. Stephen P. Robbins., Timothy A. Judge., and Neharika Vohra.
Organizational Behavior. New Delhi: Pearson Education India.
5. Uma Sekaran. Organizational Behaviour: Text & Cases. New Delhi:
Tata McGraw Hill.
WEB RESOURCES
1. Management | Organizational Behaviour | Groups and Teams
Part 1 - Introduction to Groups - Bing video
2. Group Dynamics - I - YouTube
3. Group Dynamics - II - Bing video
4. Organizational Behavior - Group Dynamics - Bing video
ANSWER TO CHECK YOUR PROGRESS

1.b 2.c 3.a 4.a 5.c

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UNIT 15
ORGANIZATIONAL CHANGE – NATURE,
TYPES AND FORCES
STRUCTURE

Overview

Learning Objectives

15.1 Meaning and Definitions of Organizational Change

15.2 Levels of Change

15.3 Nature of Organizational Change

15.4 Types of Organizational Change

15.5 Change Process

15.6 Forces of Change in Organizations

Let us sum up

Check your progress

Glossary

Suggested Readings

Answer to Check Your Progress

OVERVIEW
Change is the only constant in life. It has become an unavoidable
feature of life, as well as a crucial aspect of historical development.
Whether it is intended or not, changes occur in every organization.
There are two types of changes that might occur in an organization are
planned and unplanned changes. When it comes to planned changes,
the organization may have spent years preparing for it. Unplanned
change, on the other hand, may not be anticipated by the organization.
Individuals, people, and organizations engage in the coping process of
moving from their current state to a desired one in response to the
internal and the external factors that affect current reality. In the fields of
politics, science, technology, and institutions, revolutions are taking
place. Organizations are unable to completely isolate themselves from

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the effects of environmental change. Internal and external forces drive
change. The major responsibility of the management is to meet the
challenge of change. Good management necessitates adapting to
change.
LEARNING OBJECTIVES
After completing this unit, you will be able to:

• define organizational change

• understand the levels and nature of organizational change
• list the many types of organizational change
• describe the change process
• identify the forces that drive change in organizations
15.1 MEANING AND DEFINITIONS OF ORGANIZATIONAL CHANGE
Any change that occurs in an organization's overall work environment is
referred to as change. Change is defined as an occurrence when an
organizational system is disturbed by an internal or external source,
according to the organizational point of view. Change is merely a
modification of a system's structure or process as a process. It does not
matter if it is good or awful; the concept is merely descriptive. In a
nutshell, change is defined as the act of making something different. Any
modification that occurs in the workplace is referred to as change. Here
are some more comprehensive definitions of change:
"The process, tools, and techniques to manage the people side of
change to achieve a required business outcome," says Prosci.
Change management, according to John Kotter's Consultancy, is a set
of basic tools or structures intended to keep any change effort under
control. The goal is often to minimize the distractions and the impacts of
the change.
Change is "the practice of applying a structured approach to transitioning
an organization from a current state to a future state to achieve expected
benefits," according to the Association of Change Management
Professionals.
15.2 LEVELS OF CHANGE
Individual, group, and organizational change are all possible:

1. Individual level change: Change is reflected at the individual level in

events such as changes in a job assignment, a physical move to a new
area, or a person's maturation over time. Changes at the individual level,

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it is argued, rarely have a significant impact on the whole organization. A
significant change in an individual's behaviour will have ramifications for
the group, which could have an impact on the company as a whole. A
manager who desires to make a significant change at the individual
level, such as transferring an employee, must be aware that the action
will have far-reaching consequences.

2. Group level change: The majority of organizational changes have

severe effects at the group level. Because most activities in
organizations are structured in groups, this is the case. Departments or
informal working groups are examples of groups. Workflows, task
design, social structure, influence and status systems, and
communication patterns can all be affected by changes at the group
level. When implementing changes, managers must take into account
the needs of the entire group.
3 Organization level changes: At this level, major programmes that
affect both individuals and groups are implemented. Senior management
normally makes these decisions, and they are rarely implemented by a
single manager. They often occur over lengthy periods of time and
necessitate extensive planning prior to execution. Reorganization of the
organization's structure and duties, a redesign of the employee
compensation system, or major changes in the organization's objectives
are examples of such changes. Organizational change is the term used
to describe change at the organizational level.
15.3 NATURE OF ORGANIZATIONAL CHANGE
It is important to distinguish between 'change' and 'innovation' while
discussing the concept of change. Any modification of the status quo is
referred to as a change, but innovation is a more specific type of
change. A new idea used to the start-up, or the improvement of a
process, product, or service is known as innovation. An organization's
adoption of a new idea or behaviour is referred to as organizational
change. The nature of organizational change is as follows.
1. The organization is under pressure from both internal and
external forces to change. It disturbs the organization's existing
balance or status quo.
2. Any change in one component of an organization has an impact
on the whole organization.

3. Different parts of the organization will be affected at different

rates and to differing degrees of importance.

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 4. Organizational changes can affect people, structure, technology,
and other elements.
5. Change might take place in a reactive or proactive manner.
When change is prompted by external forces, it is referred to as
reactive change. To improve organizational effectiveness,
management initiates proactive changes.

15.4 TYPES OF ORGANIZATIONAL CHANGE

In organizations, there are two types of change: planned change and
unplanned change.
1. Planned change: A planned change is one that occurs as a result of
a deliberate decision to modify the organization. It is a purposeful, goal-
oriented activity. The goals of the planned change are to improve the
organization's ability to respond to changes in the environment and to
modify employee behaviour. To improve methods of operation, a
planned or developed change is undertaken. Employee communication
skills and the technical competence are improved, teams are formed, the
organization is restructured, new technologies are introduced, new
products and services are introduced, the incentive system is
challenged, and employee well-being measures are improved.
2. Unplanned change: Not every change is planned. Changes are
placed on the organization, and they are often unplanned.
Organizational flexibility and adaptation are required to respond to
unanticipated changes. Changes in government rules and changes in
the economy are examples of unforeseen changes. Unexpected events
necessitate action, which is referred to as an unplanned change.
Unexpected changes cannot be predicted, but they can be managed in a
systematic manner.

Other types of changes are described in detail under:

3. Organizational wide range change: A large-scale transformation
that affects the entire organization is referred to as organizational wide
range change. This may entail restructuring leadership, enacting the
new policies, or implementing new enterprise technologies.
4. Transformational change: A company's organizational strategy is
the focus of transformational change. Cultural trends, social climate, and
technical advancement are just a few of the numerous factors that the
company has prioritized.

5. Personnel change: When a firm expands rapidly, personnel changes

are inevitable. The company must move forward, which is why it is

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essential to hire new personnel. Hiring new employees implies that the
company will continue to grow.
6. Remedial change: When a leader notices a problem with the
organization's performance, he or she makes improvements. To be
effective, remedial change efforts to a specific problem still require
effective organizational change techniques.

7. Happened change: This type of change is rather unpredictable and

occurs as a result of external factors. Because it is beyond direct control
and causes a largely unknown future condition, it is deep and terrible.
When an organization reaches a point in its life cycle where it is unable
to meet the needs of the environment, this type of change occurs.
Political and societal changes can also be unpredictable.
8. Reactive change: Reactive changes are those that occur as a result
of an event or series of events. When the demand for a company's
products/services increases or drops, or when a problem/crisis starts or
develops, these modifications are undertaken. Technological
advancements, for example, compel the company to invest in cutting-
edge technology. Adaptive changes are those that are performed
incrementally in response to an external stimulus and are limited to a
subsystem or part of a subsystem.
9. Anticipatory change: Anticipatory change is defined as a change
done in expectation of an event or series of events. It is all about getting
the organization from where it is now to where it wants to be in the future
and managing the change. In terms of anticipating future demands,
organizations might adopt or reorient themselves. Moving from "here" to
"there" in preparation of a changing environment is referred to as
reorientation.

10. Incremental change: Incremental changes are changes that are

directed at the micro level and focused on units/sub-units/components
within an organization. It is thought that these small changes will lead to
a larger change, gradually moving the system toward a healthy state. It
also provides an opportunity for the organization to learn from its own
experience. A failed incremental change will have a smaller impact on
the overall system than a failed large-scale change.
11. Operational change: When an organization wants to improve the
quality of its products or services owing to external competition,
changing customer demands, or internal organizational dynamics, this is
required. Quantity, quality, timeliness, cost savings, and other similar
factors could all be considered while improving production and service

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capabilities. The planned change drives organizations to think about how
to improve existing operations in order to perform better because the
organization's aims remain the same. New technologies, redesigned
work processes, quality management, enhanced product distribution and
delivery, and greater interdepartmental coordination are all examples of
operational changes.

12. Strategic change: Strategic change refers to any change that

affects the entire organization or the majority of its components,
including the strategy. Toyota has recently taken attempts to change its
entire corporate management philosophy, with the goal of establishing a
less hierarchical, leaner, more flexible, decentralized company that has
a high degree of autonomy. Toyota's decision will have an impact on the
entire company and its performance.
13. Directional change: Due to stiff competition or frequent changes in
government policy and control, a change in direction may become
necessary for a company. When a company adopts a new strategy or is
unable to effectively execute its current plan, a change of direction is
also required. Research and development, competitive analysis,
information management, and an adequate management control system
could help answer the question of "quo vadis," or where the company is
headed.
14. Fundamental change: This necessitates a redefinition of the
organization's current purpose or mission. It may be required due to
significant changes in the business environment, failure of the
company's current management, low staff morale, or a sharp drop in
turnover.
15. Total change: For a total change, the organization must build a new
vision and a strong link between its strategy, its workers, and the
company's performance. To pull the organization out of the rot that has
set in as a result of the long-term failure of the business, the
inconsistency of values between the employees and the organization,
the estrangement of operators from the reality of the business
environment, and the concentration of power in the hands of a few who
may pursue their personal interests at the expense of the organization,
total change is required.
15.5 CHANGE PROCESS

The steps in the change process are as follows:

1. Clearly define the change: The value of the change, which will
quantify the effort and inputs, must be determined in this step. What

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should change always answer is, "What do we need to change?" Why is
it necessary to make this change?
2. Determine impact: This step focuses on the formation of a master
plan, which is where the most training and support is required to offset
the effects. What are the changes' impacts? Who will be the most
affected by the change? How will people react to the change?

3. Develop a strategy: Determine the most effective ways of

communication for the group or individual at this stage. What methods
will be used to communicate the change? What will be done with the
feedback?
4. Provide training: It is important to train employees within the
company so that they do not resist change. Business growth will be
enhanced by on-the-job and off-the-job training. What traits and abilities
are required to achieve business objectives? What are the most effective
training methods?
5. Establish a support structure: It is essential to assist people
emotionally and practically adapting to change, as well as developing
the behavioural and technical abilities required to accomplish the desired
business outcomes. Where is the most help required? What forms of
assistance will be most beneficial?
6. Measure the process: A structure should be in place throughout the
change management process to measure the business impact of
changes and to guarantee that chances for continual reinforcement to
build skills are available. Was the adjustment beneficial to the company's
objectives? Was the process of change management a success? Is
there anything that could have been done differently?
15.6 FORCES OF CHANGE IN ORGANIZATIONS

To survive, organizations must move forward with these forces. Some

are external, originating from outside the company, while the others are
internal, originating from within the company.
1. External forces: When the organization's general or task
environment changes, the organization's ability and willingness to
change is often put to the test. Modern organizations are bombarded by
a slew of external forces that compel them to change. The social,
economic, legal, political, and technological components of the external
environment are all present. Far-reaching forces of change in recent
years have included advances in information technology, globalization of
competition, and demands that organizations take greater responsibility

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for their environmental impact. The following external forces are
discussed:
a. Technological change: Rapid technological innovation is a primary
driver of change in organizations. When a company adopts a new
technology, it has an impact on its work structure, and a new balance
must be established. According to C. Handy, the rate of technical
development today is faster than it has ever been, and technological
change is responsible for changing the nature of work performed at all
levels of the organization. Technological advancements result in
significant changes since they change not only the method people work,
but also how they work. Rather, the innovation process fosters changes
in working relationships and organizational structures.
b. Globalization: Multinational and transnational corporations are the
most powerful participants on the global market. Rethinking the most
effective methods to employ resources, disseminate and gather
information, and develop people is part of globalizing an organization.
This necessitates not only structural changes, but also changes in the
minds of employees. Organizations that can change in reaction to
competition will be successful. They will be quick, able to develop new
products quickly and quickly bring them to the market.
c. Social, legal and political changes: Environmental factors such as
social, legal, and political changes also have an impact on a company's
fate. The degree of education, urbanization, the sense of autonomy and
the international impact owing to new sources of information has all
contributed to social change. People's behaviour in the organization is
affected by these social changes. Political and legal factors play a major
role in determining what activities an organization can engage in and
how it will carry out those activities. Any change in these political and
legal factors could have an impact on the organization's operations.
d. Workforce diversity: Globalization has exacerbated the problem of
workforce diversity. In organizations, workforce diversity is a powerful
force for change. Workforce diversity will be contributed by demographic
trends such as increased female participation as the majority of new
workers will be women; the workforce will be more culturally diverse than
before; and the workforce will be ageing. There will be fewer young
workers and more workers are middle-aged.

e. Managing ethical behaviour: Employees are confronted with ethical

challenges on a regular basis. Organizations have undergone many
changes as a result of the requirement to govern ethical behaviour.
Society expects organizations to act ethically both internally and in their

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interactions with other organizations. In relationships with customers, the
environment, and society, ethical behaviour is expected. These
expectations can be informal or formalized in the form of increased legal
obligations. These challenges are forces that put pressure on companies
to adapt. In the face of external pressures,
f. Marketing conditions: Because every organization exports its
products to the environment, it must compete in the marketplace. Other
companies selling the same products and purchasers purchasing the
product are two sorts of influences that might affect an organization's
competitive position. Any change in these forces may necessitate
organizational changes.
g. Changing customer needs and preferences: The needs and
desires of customers are always changing. To address these changing
needs, organizations must constantly adapt and innovate their product
offerings.
h. Government forces: Change is also fueled by government
interventions in the form of regulations. Here are some examples of
changes that are governed by the government:

i. Deregulation: It is a weakening of government regulations and a

growing decentralization of state-level economic interventions. The
maintenance of what used to be largely public sector services and
industries is now outsourced to private corporations.
ii. Foreign exchange: International business transactions are
influenced by foreign exchange rates. Payments are often made in the
currency of one country, US dollars, or the currency of a third country in
these transactions. Forecasting exchange rate fluctuations is difficult
since it is dependent on a number of factors such as a country's balance
of payments, interest rates, supply and demand. Many countries set
import restrictions on particular items as well as deregulate their
economy in order to attract foreign currency for investment purposes
due to foreign exchange constraints.
iii. Anti-trust laws: Antitrust laws are used by most countries to prevent
unfair trade practices in one form or another. In India, the government
passed the Monopolies and Restrictive Trade Practices Act in 1971 to
stop trade houses from acting unfairly.
iv. Suspension agreements: Anti-dumping agreements are
agreements between governments to eliminate anti-dumping duties.
According to the latest suspension agreement between the US and

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Japan, Tokyo is required to keep a record of the prices and volume of all
chip shipments to the US.
v. Protectionism: Intense competition has pushed governments to
enact policies that predict the threat of some of their industries and
business enterprises. For example, the United States tried to safeguard
its motorcycle industry from Japanese competition, whereas Japan (local
markets), Canada (wood sector), and Mexico (cement and oil industries)
all worked to protect domestic enterprises from international competition.
Tariffs or import duties, quantity restrictions, anti-dumping laws, and
government subsidies are all examples of trade barriers used to protect
local industries.
2. Internal forces: An organization may change not only in response to
or anticipation of external factors, but also because someone on the
inside believes a new way of doing things will be useful or even
necessary. Within the organization, pressures for a change that is
usually recognized as signs that something has to be changed. The
following are the internal forces:
a. Changes in managerial personnel: Changes in management staff
are a perpetual source of pressure for change. Due to retirement,
promotion, transfer, or dismissal, old managers are replaced by new
managers. Each new manager adds his or her own ideas and methods
to the organization. A change in an organization's leadership can result
in a change in views, strategies, actions, and outcomes.
b. Declining effectiveness: There is a lot of pressure to change when
your effectiveness is declining. A company that is losing money is
unquestionably compelled to make things right. Organizations respond
by adopting mass layoffs and cost-cutting measures, while others
perceive the loss as a sign of a major problem and seek to solve it.
c. Changes in work climate: Changes in the working environment of an
organization can also spur change. A sluggish, unmotivated, and
dissatisfied workforce is a symptom that must be addressed. This is a
common sign in companies that have had layoffs. Workers who have
avoided a layoff may find it difficult to maintain their productivity. They
may be concerned that they will be laid off as well, and they may feel
insecure about their jobs.
d. Deficiencies in the existing system: The system's flaws are another
source of internal pressure for organizational change. Unmanageable
spans of control, a lack of coordination between the departments, a lack

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of policy uniformity, non-cooperation between line and staff, and so on
are all examples of system's flaws.
e. Crisis: Strikes or walkouts may force management to change the
wage structure as a result of a crisis. A crisis occurs when a major
decision maker resigns, forcing the company to reconsider its
management team's composition and role in the organization.

f. Employee expectations: Organizational changes might be triggered

by changes in employee expectations. Employees' want to participate in
decision making; employee demand for an effective organizational
mechanism; increased employee expectations for pleasant employment
and work environments; and employees' desire for a greater
compensation are examples of these influences.
g. Nature of workforce: Over time, the nature of the workforce has
changed. The new generation of workers has a higher educational
value; they regard human values more and challenge managers'
authority. Because of death, retirement, transfer, promotion, dismissal,
or resignation, some employee profile changes are unavoidable. Women
are working more than ever before. Employees are also recruited from a
variety of national and cultural backgrounds in today's globalized
economy. To accommodate the diversity of the workforce, human
resource policies and practices must be reoriented.
h. Deficiency in organization: A shortcoming in the current
organizational arrangement and procedure may need changes.
Unmanageable management, a large number of management levels, a
lack of coordination between departments, communication barriers, the
multiplicity of committees, a lack of uniformity in policy decisions, a lack
of cooperation between management and employees, and so on are
examples of these flaws.
i. Avoid developing inertia: Changes in organizations are made only to
avoid inertia or rigidity. Thus, the changes are implemented such that
the staff develop a preference for change and there is no unnecessary
resistance when the company undergoes a major change.
j. Change in employee morale and motivation: Employee morale and
motivation can be affected by changes in leadership, policies, and
practices, resulting in lower productivity, production, and revenues.
k. Union Influence: Despite the implementation of liberalization policies
by many countries, the union's impact on many organizations in terms of
recruiting, working conditions, wage rates, and so on is still noticeable.

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In response to union demands, management will need to make suitable
changes.

LET US SUM UP
Organizations must often endure considerable changes at various
stages of development in order to grow. When a company goes through
multiple life cycles, it undergoes organizational change. When an
organization changes its main strategy for success, adds or removes a
major department or the activity, or desires to change the fundamental
character of its operation, significant organizational change occurs.
Others are generally the first to protest changes that lead to a thorough
redesign. It is important that employees comprehend the need for
change. There are numerous methods for guiding change. Different
people often have extremely strong opinions on how change should be
implemented. Managers must find a means to strengthen the forces of
change, reduce resistance to change, or do both at the same time to
bring an organization to face change.
CHECK YOUR PROGRESS
Choose the correct answer
1. What are the differences between the two methods of change
management?
a. Real change and superficial change
b. Incremental change and circular change
c. Radical change and transformational change
d. Incremental change and transformational change
2. Transformational change occurs frequently________.
a. By middle managers b. Top down
c. Bottom up d. After extensive consultation
3. Organizational change is heavily influenced by external forces. An
external force can be defined as which of the following?
a. People b. Systems
c. Leadership d. Technology
4. What type of environmental change drives is changing human
resource efforts to recruit and retain healthcare professionals as a result
of rising demand for these workers?

216
 a. Marketplace b. Technology
c. Labor markets d. Economic
5. Organizational change is normally caused by which of the following?

a. Technological development b. Change in labour characteristics

c. Merger, acquisitions, etc. d. All of the above
GLOSSARY

Organizational : A modification or transformation of an

change organization's structure, processes, or goods
is referred to as organizational change.

Planned change : A planned change is one that occurs as a

result of a deliberate decision to modify the
organization.

Refreezing : This is the stage where people are

transferred from a transitional state to a
stable, productive state.

Unfreezing : This is the stage of change when people go

from not wanting to change to actually
wanting to change.

Unplanned change : Changes are placed on the organization, and

they are often unplanned.

SUGGESTED READINGS
1. Aswathappa, K. Organizational Behaviour. New Delhi: Himalaya
Publishing House.
2. Mishra, M.N. Organizational Behaviour. New Delhi: Vikas Publishing
House.
3. Prasad, L.M. Organizational Behaviour. New Delhi: Sultan Chand &
Sons.
4. Stephen P. Robbins., Timothy A. Judge., and Neharika Vohra.
Organizational Behavior. New Delhi: Pearson Education India.
5. Uma Sekaran. Organizational Behaviour: Text & Cases. New Delhi:
Tata McGraw Hill.

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WEB RESOURCES
1. Types of Change - Bing video
2. Organizational change| Organizational Behavior unit 4| MBA first
semester | G.B.R - Bing video
3. Organizational Change - Bing video
4. Factors Influencing Organizational Development | Change
Management| Types of Change | Role of Change - Bing video
ANSWER TO CHECK YOUR PROGRESS
1.d 2.b 3.d 4.c 5.d

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UNIT 16

ORGANIZATIONAL CHANGE –
RESISTANCE AND APPROACHES
STRUCTURE

Overview

Learning Objectives

16.1 Resistance to Change – Meaning

16.2 Sources of Resistance to Change

16.3 Ways to Overcome Resistance to Change

16.4 Organizational Change Models and Approaches

16.4.1. Lewin’s Three Stage Model

16.4.2. Kotter’s Eight-Step Change Model

Let us sum up

Check your progress

Glossary

Suggested Readings

Answer to Check Your Progress

OVERVIEW
One phenomenon that is quite likely to emerge at any time in the change
process as the management envisions and initiates change in the
organization is resistance to change. People often resist change as a
logical self-interested response. Resistance to change may not always
present itself in a predictable manner. Overt, implicit, imminent, or
deferred resistance is all the options available. When resistance is
obvious and immediate, it is easier for management to deal with it.
Managing implicit or deferred resistance is a challenging task. It is
important to avoid employing irrelevant or random methods while
managing change and executing change strategies, and instead focus
on an appropriate action plan. An organization must first understand why
it needs the changes and how those changes will benefit it before

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implementing any of the numerous effective and popular change
management approaches and models.
LEARNING OBJECTIVES

After completing this unit, you will be able to:

• define resistance to change
• understand the sources of resistance to change

• examine ways to overcome resistance to change

• describe various models and approaches of Organizational change
16.1 RESISTANCE TO CHANGE – MEANING
As resistance to change can take many forms, it can be one of the most
perplexing issues a manager faces. The act of resisting or fighting
against alterations or transformations that affect the status quo is known
as resistance to change. It can be covert or overt, organized or
individual. Employees may be uncomfortable about the changes being
implemented and express their dissatisfaction through their actions,
language, and the stories and conversations they share in the
workplace, sometimes unknowingly. Employees resist change for a
variety of reasons, one of which is that they believe in frequent
Organizational changes will adversely impact their position.
16.2. SOURCES OF RESISTANCE TO CHANGE
Individual and organizational resistance to change can be defined as two
different sources of resistance.
1. Individual resistance: The resistance to change is one characteristic
of humans that has stayed relatively constant. Individuals are resistant to
change because they wish to keep things as they are. Basic human
characteristics such as perceptions, personalities, and needs are all
sources of individual resistance to change. Individual resistance can
exist for a variety of reasons:
A. Economic reasons: The following are some of the most common
economic causes for fear of change:
i. Obsolescence of skills: When a man or a woman believes that his or
her abilities will simply become outdated as a result of the introduction of
new processes, he will resist change. A twenty-year-old professional
accountant, for example, is more likely to be faced with setting up a
computer to plan the payment of the salaries because he is concerned
about his salary and status.

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ii. Economic loss: People are apprehensive about change because it
raises the possibility of a reduction in their income, either directly or
indirectly.

iii. Changes in job tasks: Changes in job tasks or established work

routines can induce economic anxiety if people are worried that they will
not be able to accomplish the new tasks or routines to their previous
standards, especially when compensation is related to productivity.
B. Personal reasons: The following are some personal reasons for
resisting organizational change:
i. Defensiveness to the ego: A sales manager may honestly refuse a
salesperson's advice if the manager believes that accepting the
suggestion will deflate their ego.
ii. Status quo: Most humans are content with the status quo and resist
change because it can bring with it uncertainties and risks. The status
quo may be the primary source of resistance to change. The existing
comfort of the status quo can be disrupted by change. This tendency to
react in habitual ways becomes a source of resistance in the face of
change.
iii. Fear of the unknown: Transition comes with unknown and
unanticipated threats, and people are frequently hurts as a result.
Change is frequently accompanied by a high level of uncertainty.
Employees who are confronted with a technological change, such as the
introduction of a new computer system, may resist the change since it
adds ambiguity into what was previously a familiar environment.
iv. Fear of loss: When change is on the horizon, some employees may
be concerned about losing their employment, particularly if advanced
technology is implemented. Employees may also be concerned about
losing their status as a result of a change. Another concern is that the
changes will detract from the positive aspects of the individual's work.
The computerization of customer service positions, for example, puts
salespeople's autonomy at jeopardy.
v. Security: People who have a strong desire for security are more
inclined to resist change since it threatens their sense of security.
vi. Peer pressure: Individual employees may be willing to accept
change, but they will not accept it for the good of the group. When peers
do not want a change, they drive those who wish to accept the change
to resist it.

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vii. Disruption of interpersonal relationships: Employees may resist
change that threatens to limit the significant workplace interpersonal
interactions.

C. Social considerations: Social consideration comprises peer issuing

and social displacement. When it comes to social displacement, the
introduction of change often causes established social relationships to
be disrupted. Workgroups can also be disbanded as a result of change.
People try to maintain social bonds and avoid social displacement by
fighting change when they form.
II. Organizational resistance: At the organizational level, resistance
can also exist. Many organizations are built to be resistant to innovation.
Organizations are conservative by their very nature. Change is
aggressively resisted by them. The following are some of the
organizational resistances:
a. Threats to power and influence: When their organization's function,
impact, and effect change, many people, especially at the top levels, are
faced with change. Any redistribution of decision making authority has
the potential to threaten long-standing power dynamics within the
organization. Because they feel intimidated, managers may reject a
reform that introduces participatory decision making.
b. Structural inertia: A built-in mechanism for resisting change exists in
some organizational structures. Change would be difficult under a
bureaucratic organization where occupations are carefully defined, and
lines of authority are well defined. This is because formalization provides
individuals with job descriptions, rules, and procedures to follow. Many
organizational structures include resistivity-altering processes.
c. Resource constraints: Access to finance, content, and human
resources can all contribute to change resistance. For many
organizations, resources are major constraints. The organization may
not have the appropriate financial, material, or human resources to make
the essential changes. Furthermore, change is usually viewed as a
threat by those in the organization that controls significant resources.
They are usually comfortable with the status quo.
d. Sunk costs: Heavy capital is blocked in some companies by constant
or permanent assets. When such an organization needs to make
improvements, problems develop as a result of the reduced
expenditures. Some organizations put a significant amount of capital into
fixed assets. Because of these sunk costs, it is difficult for a company to
make changes.

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d. Politics: Changes in an organization's power structure can affect the
existing power balance. Individuals or groups with power under the
current setting may lose their political advantages if the situation
changes.
f. Threat to expertise: A change in organizational patterns may
jeopardize the expertise of specialized groups. Therefore, experts are
often resistant to change.
g. Group inertia: Group norms might function as a constraint on people
who seek to change their behaviour. For example, if union norms
mandate that any unilateral change made by management be met with
resistance, an individual union member who would normally accept the
changes may do so.
16.3 WAYS TO OVERCOME RESISTANCE TO CHANGE
Although change resistance is a typical occurrence in organizations, it
should be highlighted that not all changes are opposed. In fact, if we
examine any organization closely, we would likely found that many more
changes are accepted than are resisted. To deal with change resistance,
some strategies were suggested.
1. Education and communication: Employees must be informed about
imminent changes in order to adapt efficiently. Informing individuals
about the potential consequences of change is also beneficial. The
greatest way for an employer to communicate change to employees is to
tell them what is going on. The message will get across to the entire firm
via all forms of communication, including e-mail, corporate intranets,
town halls, and face-to-face meetings. Using several methods to convey
the change helps in explaining the vision, goals, and expectations for
what must happen and why.

2. Participation: When people are not consulted and changes are

imposed on them, resistance is more likely. People will be more
engaged in the change and in recognising potential problems and
solutions if they work together. Those who are opposed to a change can
be included in the decision-making process before it is implemented.
Participation lessens resistance to change and leads to good outcomes
such as increased preparedness for and acceptance of change, a sense
of competence, control, and trust. People's desire to change will be
shattered if they do not participate.

3. Empathy and support: Another strategy for overcoming resistance is

to provide empathy and support to employees who are struggling to
cope with change. Active listening is a terrific way to figure out why

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people are resisting and what they are afraid of. Concerns about the
change might provide valuable feedback to managers, allowing them to
strengthen the change process. Organizational transformation is
frequently accompanied by a change in routine, forcing employees to
step outside of their comfort zones. They must be given the appropriate
support to enable the development of new skills and avoid change
fatigue. Providing proper support takes time as well, necessitating the
use of coaching tactics by the qualified managers and leaders to be
more effective when managing change in an organization.

4. Negotiation: Negotiation and agreements are effective when certain

people in a group are clearly losers in a change, and when groups have
significant power of resistance. Negotiation makes it relatively easy to
avoid serious resistance. When people believe they will be negatively
affected by the implications of change, they become resistant to it. This
could be due to a fear of losing their job or career opportunities, or a
belief that the benefits of change are not worth the effort. An
organization may consider offering incentives to overcome this form of
change resistance. To obtain an agreement, this technique necessitates
negotiation.
5. Manipulation and cooptation: Covert attempts at influence are
referred to as manipulation. Manipulation includes twisting and
misrepresenting facts to make them more appealing, concealing
unwelcome information, and spreading false rumours to encourage staff
to accept a change. This entails providing people with a desirable role in
the design or implementation of change. Employees who were at least
partially responsible for the development of processes and procedures
typically have significant emotional attachments to them. This can get
support from potential resistances for a low cost, but it comes with a
caveat by putting persons who are known to be resisted to change in
positions like these could provide them a platform from which to
influence a larger audience.
6. Coercion: The use of direct threats or force against resisters is
known as coercion. They essentially force people to accept change by
threatening them with losing their jobs, promotions, and transfers, either
openly or implicitly. Using the threat on people adhering to the needed
behaviours and actions is one way to effect change.
7. Overcome opposition: Organizations should work with individuals
who are opposed to change. They will be able to actively identify what
their issues are and potentially address the situation in a timely manner
as a result of doing so. When communicating with employees, it is

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important to communicate early and often. When it comes to substantial
workplace changes, the best advice a company can give is to be honest,
straightforward, and timely. Making it easy for employees to understand
why a change is vital to the company makes it easier to engage them in
the change and encourages them to become change advocates.
8. Effectively engage employees: If there is one piece of advice that a
firm should follow, it is to listen to and respond to employee feedback.
Using an employee engagement survey as a starting point is a great first
idea. These responses can be used to change the plan and demonstrate
to employees that their suggestions and concerns are being taken into
consideration. Another key strategy to use while trying to grasp the
employee's problem is to recognize that no two employees are alike. It is
important to recognize that there will be a variety of causes for
opposition based on the individual, so that managers can adapt the
methods for resolving these issues.
9. Implement change in several stages: Change does not occur all at
once. Companies must first prepare for change, then react to it and
develop a plan to manage it, and last, support it and guarantee that
everything happens as planned.
16.4 ORGANIZATIONAL CHANGE MODELS AND APPROACHES
Change is difficult for most people. Even when we know things could be
better, a familiar environment, familiar people, and familiar methods of
doing things provide some comfort. As a result, managers that follow a
well-thought-out path to implementing change are more likely to
succeed.
16.4.1. Lewin’s Three Stage Model
The concept of force field analysis underpins Lewin's model. The model
focuses on influencing people's/employees' behaviour. Kurt Lewin's
model of force field analysis is a useful methodology for understanding
changing situations. This method discusses and examines the many
forces that act in social systems in order to maintain equilibrium or
change. According to Lewin's model, any system is governed by two
sets of forces: forces that drive change (driving forces) and forces that
oppose change (resisting forces). The system is in equilibrium when the
two sets of forces have equal intensity. The pressures that keep the
status quo in place must be overcome in order for behaviour change to
occur. This can be done by strengthening the forces of change,
weakening the forces of status quo, or a mix of both. Three stages are
identified in Lewin's concept.

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 Figure 16.1: Steps in the Change Process
1. Unfreezing: Unfreezing refers to the melting of resistance to change;
those who will be affected by the change will eventually accept its
necessity. People are averse to change because it causes anxiety and
stress and may threaten their personal interests. People understand
something is about to change at this stage, and they experience intense
emotions such as denial, frustration, uncertainty, and doubt. It is
essential for a company to thoroughly reveal its current situation and
explain why a change process is being implemented. Employees should
be included at this stage so that they may take a constructive attitude to
the change process. Unfreezing entails encouraging individuals to
abandon old habits by disrupting the equilibrium that maintains the
status quo in place. Individuals must unfreeze if they are to recognize
that change is necessary.
2. Change or moving: People want to change if the unfreezing is
successful, but they need to see a way to a better state. New attitudes,
values, and behaviours replace old ones throughout the transformation
period. It is important that the change be implemented in a timely
manner. Because it generates a ripple effect within an organization, this
stage is also referred to as the "move stage." Organizations make the
move by introducing new options and explaining why the change is
required, as well as giving training to assist employees master the
necessary new skills. The change stage necessitates changing one or
more aspects of the work environment, including the organization's
structure and systems; social elements such as personnel
characteristics, how they interact, and organizational culture; technology
and/or the physical settings. The idea is that changes in the workplace
will result in changes in individual behaviour, which will improve
organizational results.

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3. Refreezing: The goal of this stage, refreezing the change, is to
consolidate it. Employees are prone to reverting to their previous habits
once the change is implemented in the change phase. New attitudes,
values, and behaviours are entrenched as the new status quo at this
stage. Therefore, it is a good idea to make the necessary arrangements
and conduct interim evaluations, monitoring, and modifications. Those
who are affected by the change will definitely benefit in some situations.
The benefits that result will reinforce the change. In other circumstances,
the management must actively participate in the change's reinforcement.
Managers must make sure that the company's culture and formal reward
structure encourage new behaviours while avoiding rewarding old ones.
Criticism of the model: The following are some of the criticisms leveled
about Lewin's change management model.
a. Not detailed enough: Some people believe Lewin's change
management model is overly simplistic. Each phase's steps can be
interpreted in a variety of ways; therefore it is common to have to "fill in
the blanks" with another change management model.
b. Overly rigid and not reflective of modern times: Some argue that
Kurt Lewin's model's freezing stage is too rigid since it "freezes"
behaviours that will only need to be unfrozen in the near future due to
how quickly technology is evolving and requiring firms to adjust to keep
up. The final stage, they argue, should be more flexible. Kurt Lewin's
change model may be a little out of date, as it was formed in 1947 over
Max Weber, long before technology became a major factor in today's
workplaces.
c. Can be construed as confrontational instead of nurturing: Lewin's
three-step model might be perceived as aggressive because it
emphasizes upsetting the equilibrium throughout the unfreezing phase
and, in essence, "shaking things up." Some argue that Lewin's model of
change lays too much emphasis on the two conflicting forces competing
for advantage, rather than developing a nurturing change environment
regarding the benefits and drawbacks of the model.
16.4.2. Kotter’s Eight-Step Change Model
In his book "Leading Change," John Kotter (1996), a Harvard Business
School professor and renowned change expert, introduced the 8-step
change model he built based on studies from 100 organizations going
through a change process. He found the success elements, isolated
them, and merged them into a model. Creating a sense of urgency,
forming powerful guiding coalitions, developing vision and strategy,

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communicating the vision, removing obstacles and empowering
employees, creating short-term wins, consolidating gains, and
reinforcing change by embedding change in the culture are the eight
steps of the change process. The basic principle that individuals see,
feel, and then change is present in each step of the model. One of the
best change management models in the world is Kotter's eight-step
change model. He reduced the change process to the point that he
determined that every successful change endeavour is messy and full of
surprises. The figure below illustrates Kotter's eight-step model:

Figure 16.2: Kotter’s Eight-Step Change Model

1. Creating a sense of urgency: The process should begin with

managers and employees feeling a sense of urgency. Everyone involved
must believe that change is necessary for the organization's progress. It
will be difficult to maintain the momentum of the change endeavour and
achieve long-term transformation without their help. The purpose of this
stage should be to prepare employees for the upcoming change and to
encourage them to participate. For this step to be successful, the
change project must have the support of around 75% of the
organization's leadership. To create an environment where everyone is
aware of the situation, follow these steps:
a. Identify the organization's existing threats and opportunities.

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 b. Have an open discussion with employees about what is going on
and why change is necessary right now.
c. Create a forum where problems, threats, and potential solutions
may be discussed.
d. Seek the assistance of stakeholders and industry professionals to
support your position.

2. Form guiding coalition: This step focuses on building a capable

team with the necessary abilities, qualifications, reputation, connections,
and authority to lead change activities and influence stakeholders. The
size of the team will be determined by the proposed change's nature. An
effective team, on the other hand, should comprise the following
supporters.
i. The sponsor: This is usually a top executive who is in charge of the
change programme. Providing leadership support and resources to
complete the change endeavour is one of the responsibilities.
ii. The senior guiding team: The members of this group are chosen by
the sponsor. It is made up of leaders with the power to make decisions
and gather the resources and support needed for the project. The team
will be in charge of developing the vision and strategy, as well as
supplying resources, removing roadblocks, directing the organization
through the process, resolving issues, and interacting with stakeholders.
iii. Filed guiding team: This includes persons who are highly credible
and respected among the organization's constituency and have a stake
in the change. Their job is to articulate the organization's vision and
guide it through the process.
iv. Change teams: These are the teams of managers and supervisors
tasked to ensure that tasks are executed successfully and on time. They
will also be involved in the planning and implementation of the change
agenda.
Once you have put together a team, concentrate on establishing clear
objectives and cultivating a culture of trust and dedication. A good team
should be able to:
a. Have a common understanding of why change is necessary.
b. Have a common understanding of the team's mission and
purpose, as well as the goals and objectives it is trying to
accomplish.

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 c. Understand everyone's duties and responsibilities, as well as
performance measures.
d. Understand the risks and challenges of the change endeavour, as
well as the success factors.
e. Establish explicit processes for evaluating success, making
decisions, tracking issues, and resolving conflicts.

f. Have clear communication channels.

3. Develop strategic vision: The aim of this step is to generate a clear
vision for the initiative and effective strategies to help the team. This
helps in the creation of a picture of the organization's future when the
change is executed. By inspiring and guiding team activities and
decisions, the correct vision can help achieve change. It should also
define clear and realistic objectives to make it easier to realistic and
engage organizational stakeholders. To define a clear and attractive
vision, consider the following:
a. Align it with the organization's core values and the change
initiative.
b. When developing the vision, consider employee ideas.
c. Make sure it can be simply expressed and understood by
everyone.
d. Include data like forecasts, market research, and company
trends, among other things.
e. Make sure it is easy to understand in five minutes or less.
4. Convey vision for buy-in: The goal at this stage is to successfully
communicate the vision and strategies in such a way that the rest of the
organization accepts and supports the change initiative. The goal is to
win employees' hearts and minds, persuade them to make sacrifices to
support the change, and make them that change is achievable and that
the results will benefit both the organization and them. To do so
effectively, follow these steps:
a. As often as feasible, communicate the vision and strategies,
including them into everyday decision making, problem-solving,
and activities.
b. Walk the talk. It is important that senior management demonstrate
the behaviour that they expect from the rest of the workforce.
c. Encourage employee feedback and respond to their anxiety,
issues, anger, and concerns in an open and honest manner.

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 d. When communicating the message, use simple terms to avoid
ambiguity and doubt.
e. Spread the word through all organizational communication
channels. Email and newsletters, as well as the company intranet,
are examples of platforms.
5. Empowers actions: Obstacles might arise regularly when executing
organizational change. Inadequate processes, employee reluctance to
change, loss of power from management, corporate policies and
structure, and so on are all examples of barriers. The guiding coalition
and senior management should concentrate on removing roadblocks on
the organization's path to realizing the change vision. Here,
a. Clearly understand the internal obstacles that prevent change from
being implemented. This process can be helped by the guiding
coalition, which is made up of personnel with various expertises.
Open communication with the employees and stakeholders can
help in the detection of bottlenecks.
b. Make sure that organizational processes, structures, policies, and
reward systems, among other things, are in line with the new
change vision.
c. Recognize and reward employees who work diligently to bring
about change.
d. Provide the required training, coaching, and mentoring to enable
people to perform at their best and overcome challenges
successfully.
6. Create short-term wins: Employees may become discouraged if
they have not had a win to celebrate in a long time. It is important to
establish short-term goals to achieve and celebrate early in the change
process in order to maintain momentum and urge them to maintain and
to continue supporting the programme. A short-term win is an
enhancement to an organization that can be executed quickly. A quick
win needs to be visible throughout the organization, unambiguous and
related to the change initiative.
a. Identify short-term gains that are feasible; for example, activities
that can help decrease costs, improve processes, and raise
profitability, and so on. It is important to weigh the benefits and
drawbacks of the goal you choose, as failing an early goal can
discourage the team.

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 b. Break down the change project into smaller parts with short-term
objectives.
c. Recognize and reward people who are responsible for the quick
wins in order to motivate other employees.
7. Sustain acceleration: This step is about ensuring that the change is
sustained by ensuring that teams are consistently working toward the
change vision while measuring progress. It is important that the team
does not declare victory prematurely after a few quick wins. To keep the
momentum of change going:
a) After each win, evaluate what worked and what did not in order to
determine what needs to be improved.
b) Consolidate quick wins and continue to work on major change
implementation across the organization.
c) Identify and eliminate unnecessary processes and
interdependencies.
d) Continue to communicate the vision and provide benefits.
8. Incorporate changes: Change leaders work to create a new culture
where change may flourish in this step. This includes changing
organizational norms and values, as well as processes, reward systems,
and other infrastructure elements, to ensure that everything is in line with
the new direction. To successfully execute change, follow these steps:
a) Discuss the significance of the new changes, emphasizing the
advantages they provide.
b) Identify and embed change-reinforcing norms and values.
c) Apply these new norms and values when recruiting and hiring the
new employees, promoting existing employees, and so on.
d) Develop new training and development programmes to assist
employees in acquiring new skills and competencies that are
relevant to the changing environment.
e) Improve or eliminate organizational processes that are
incompatible with the new culture. People who are hindering
progress should also be removed.
Evaluation of the model: It is a simple, step-by-step model that
explains and guides the entire change process and is relatively easy to
execute. The importance of employee participation and acceptance is
emphasized for the entire process's success. Rather than focusing on
the change process itself, the focus is on preparing for and increasing

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acceptance of change. The Kotter 8-Step Model is a methodical, people-
centric approach that helps companies overcome employee resistance,
which is the most prevalent roadblock to digital transformation. Kotter's
8-step model, on the other hand, is risky if it is not based on employee
feedback.
LET US SUM UP

Managers can cope with change in a number of ways, all of which aim to
improve business performance and competitiveness. Many approaches
are extremely process-oriented, and instead of involving employees,
they focus on hard facts like data, profit analysis, and so on. These
methods are widely used, although they rarely produce the intended
long-term outcomes. The "Force Field Analysis" by Kurt Lewin is
mentioned as part of a planned change process in this unit. It is also
important for an organization to go through an "emergent change"
process. This technique encourages the participants to identify all of the
forces that keep the company in its current state. Lewin's "unfreezing"
stage is represented by Kotter's first four steps. Lewin's "moving" stage
is represented by steps 5 through 7. Lewin's "refreezing" step
corresponds to the final step. Kotter's contribution provides a more
complete approach to successfully managing change for leaders and
change agents.
CHECK YOUR PROGRESS
Choose the correct answer
1. A change agent is someone who___________
a. Supports change b. Opposes change
c. Initiates change d. Helps implement change
2. Give the reason(s) for individual resistance.

a. Personal reasons b. Economic reasons

c. Social reasons d. All of the above
3. In Kurt Lewin's three-stage model of prescriptive change developed in
the 1950s, which of the following is not one of the stages?
a. Refreezing attitudes at the new level
b. Melting resistance

c. Unfreezing current attitudes

d. Moving to a new level

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4. One of the many reasons why people resist change is which of the
following?
a. Fear of the unknown b. Habit

c. Threat to job or income d. All of these

5. Which of the following must occur in order for change to be
implemented and sustained over time?

a. Change status quo b. Unfreeze and refreeze

c. Unmold and remold d. Increase and decrease
GLOSSARY

Refreezing : The third of Lewin's transitional stages of change

is refreezing, in which people are taken out of a
transitional state to a stable, productive state.

Unfreezing : Unfreezing is the first of Lewin's transitional

stages of change, in which the people go from
not being ready to change to being ready and
willing to do so.

Resistance to : The reluctance to adapt to new conditions is

change known as resistance to change. It might be
hidden or obvious, organised or individual.

Coercion : The use of threats, including force, to compel a

party to perform involuntarily is known as
coercion.

Status quo : It refers to the current state of affairs at a specific

point in time.

SUGGESTED READINGS
1. Aswathappa, K. Organizational Behaviour. New Delhi: Himalaya
Publishing House.
2. Mishra, M.N. Organizational Behaviour. New Delhi: Vikas Publishing
House.
3. Prasad, L.M. Organizational Behaviour. New Delhi: Sultan Chand &
Sons.
4. Stephen P. Robbins., Timothy A. Judge., and Neharika Vohra.
Organizational Behavior. New Delhi: Pearson Education India.

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5. Uma Sekaran. Organizational Behaviour: Text & Cases. New Delhi:
Tata McGraw Hill.
WEB RESOURCES

1. Chapter 11 - Managing Organizational Change, Resistance, and

Conflict - Part 1 - Bing video
2. Resistance to Change - YouTube
3. Chapter 11 Managing Organizational Change, Resistance, and
Conflict Part 3 - YouTube
4. 7 Strategies for Overcoming Resistance to Change - YouTube
5. Resistance to Change - Bing video
ANSWER TO CHECK YOUR PROGRESS
1.d 2.d 3.b 4.d 5.b

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 BLOCK V

LEADERSHIP AND COMMUNICATION

UNIT 17 LEADERSHIP – CHARACTERISTICS,

IMPORTANCE AND STYLES

UNIT 18 LEADERSHIP THEORIES

UNIT 19 COMMUNICATION

UNIT 20 STRESS MANAGEMENT

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UNIT 17

LEADERSHIP - CHARACTERISTICS,
IMPORTANCE AND STYLES
STRUCTURE

Overview

Learning Objectives

17.1 Meaning and Definitions of Leadership

17.2 Characteristics of Leadership

17.3 Importance of Leadership

17.4 Qualities of a Good Leader

17.5 Styles of Leadership

Let Us Sum Up

Check Your Progress

Glossary

Suggested Readings

Answer to Check Your Progress

OVERVIEW

Effective leaders are required in all successful organizations and

businesses. Effective and well-trained leadership is paramount to
achieving a common goal for business success. When it comes to
formulating and communicating new strategic directions, as well as
engaging with and encouraging employees to increase their involvement
to the organization's goals, leaders are important. Continuous leadership
skill development is necessary to ensure the leaders are on track.
Individuals use leadership as a concept in their personal and
professional life. Individuals must develop a grasp of the meaning and
relevance of leadership in order to implement this concept effectively
and usefully. The primary goal of leaders is to provide knowledge,
support, and assistance to their subordinates in carrying out their tasks
in a systematic and orderly manner in order to achieve the desired
goals.

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LEARNING OBJECTIVES
After completing this unit, you will be able to:
• define leadership

• understand the characteristics of leadership

• explain the importance of leadership
• describe the qualities of a leader

• discuss various leadership styles

17.1 MEANING AND DEFINITION OF LEADERSHIP
The ability of management to make sound decisions and motivate
people to perform effectively might be defined as leadership. It is the
process of influencing the others' behaviour in order to attain a common
purpose. "The process by which an individual inspires other members of
a group toward the attainment of defined goals for the group or
organization" is how leadership is defined. In a nutshell, leadership is all
about getting things done through others. From the concept of "born
leader" to "situational leader" and effective leader, the concept of
leadership has changed dramatically. The degree of corporate success
is determined by the quality of leadership provided by managers. Some
people are born leaders who do not require much in the way of training
or development. However, many managers are not born with exceptional
leadership skills. To acquire and develop leadership skills, these
managers require training and development. Born leaders, on the other
hand, can improve their effectiveness with training. Let us take a look at
some of the leadership definitions given by management experts.
“The process of influencing and supporting others to work
enthusiastically toward achieving objectives,” says John Newstrom and
Keith Davis. It is the critical factor that helps an individual or a group
identify its goals and then motivates and assists in achieving the stated
goals.”
Leadership, according to George Terry, is essentially a continuous
process of influencing behaviour. A leader breathes life into the group
and motivates it towards goals. The lukewarm desires for achievement
are transferred into a burning passion for accomplishment.
Leadership, according to Koontz and O'Donnell, is the ability of a
manager to induce subordinates to work with zeal and confidence. This
definition reflects that the primary job of a leader is to build a team for
the achievement of organizational goals.

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17.2 CHARACTERISTICS OF LEADERSHIP
The following are the characteristics of leadership.
1. Process of influencing behaviour: Leadership is essentially an
influencing process. It is the ability to influence others' behaviour,
attitude, or belief. As a leader, the manager directs his employees'
behaviour, attitudes, and beliefs toward the attainment of common goals
by controlling, modifying, and directing them. Leadership entails the
ability to influence followers or subordinates as well as the ability to offer
legitimate directives to those followers or subordinates.
2. Existence of followers: There is no such thing as a vacuum when it
comes to leadership. The existence of followers is essential for
leadership. The followers of a leader must obey him. The manager is a
leader in a business organization, and his subordinates are his followers.
Leaders are also followers in an organization, for example, a supervisor
reports to a branch manager. Therefore, in a formal organization, a
leader must be able to lead and follow, as well as relate both upwards
and downwards.
3. Working relationship: A leader and his followers have a working
relationship. The leader is always in the spotlight. He motivates his
subordinates to reach new heights. The leader awakens the followers'
emotional and rational powers, and they obey his orders and devote
dedication to attaining common goals.
4. Different from bossism: Bossism is not the same as leadership.
True leadership does not elicit warm collaboration from followers through
compulsion, but rather through mutual help and with conviction. A boss
dictates to his or her subordinates, whereas a leader instructs them.
Under the direction of a leader, followers work diligently and joyfully.

5. Common objective: A leader and his followers work together to

accomplish a common goal. Furthermore, the leader reconciles the
difference between individual and organizational goals. In other words,
the leader's and his followers' goals are the same. If the leader is
pursuing one goal while his team is pursuing a different goal, that is
hardly a sign of leadership.
6. Sets ideals: Leadership is all about influencing others' behaviour.
Therefore, followers often emulate the leader's behaviour, whether
knowingly or unknowingly. His behaviour motivates people to work hard
and honestly, which is a leader's expertise. Hence, a leader sets
behavioural standards and demonstrates talent, knowledge, expertise,
skills, and insight. Leaders need to be role models for their followers.

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7. Individual traits and personal qualities: Leadership is a complex
blend of individual traits and personal qualities, such as a presentable
personality, drive, integrity, self-confidence, emotional stability,
decisiveness, communication, social and interpersonal skills, and so on.
In fact, these traits differentiate one leader from others.
8. Continuous process: Leadership is a continuous process rather than
a one-time activity. The leader must continuously act to influence his
subordinates' behaviour.
9. Mental and emotional maturity: A leader is a mature and
emotionally stables someone who is considerate and responsible when
working with and through the subordinates.
10. Different leadership styles: Different leadership styles have
emerged as a result of different blends of authority and autonomy
granted to subordinates. Authoritarian or autocratic leadership refers to
the leader's increased use of power, whereas democratic leadership
refers to the followers' active engagement in the decision-making
process. Followers who are led by a free-rein leader have more freedom
or autonomy in their jurisdiction. The leader chooses the proper
leadership style based on the prevailing situation.
11. Leadership is situational: Leadership is based on the
circumstances. It is influenced by the current situation. According to the
situational dimension, the leadership style evolves. Leadership is
considered as contingent in this way. Effective leadership, in fact, is a
result of three variables: the leader, the followers, and the situation.
12. Leaders have unequal authority over group members: Leaders
can direct some of the activities of group members, implying that group
members are compelled or willing to obey the majority of the leader's
instructions. Members of the group cannot direct the activities of the
leader in the same manner that they affect those activities in a variety of
ways.
13. Stimulus function: The job of leadership is to inspire people to work
together to achieve organizational goals. A competent leader empowers
subordinates to choose their own personal goals that do not conflict with
the organization's goals and, ideally, complement them.
14. A leader must set an example: As George Terry puts it; a leader
"shows the path by his own example." He is not a pushy person; instead,
he pulls. According to L. G. Urwick, what a leader says, let alone what
he writes, has no bearing on his subordinates. Before his followers, a

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leader must set an example. It must energize, stimulate, and enable
people to achieve their full potential.
15. A leader ensures absolute justice: A leader must be objective and
unbiased in order to secure absolute justice. He must not engage in
unfair behaviours such as favouritism and nepotism. In all of his
decisions and acts, he must act with complete fairness and justice.

17.3 IMPORTANCE OF LEADERSHIP

Effective leadership is required to motivate people to attain specific
objectives. Success can be attributed in great part to leadership,
whether in a war, a political movement, a corporation, or a team game.
Good leadership, according to P. F. Drucker, is vital to business
success, but business executives are the scarcest resource in any
company. Leadership is important in a company because it increases
team member performance, enhances member motivation and morale,
and helps in the response to change. The importance of leadership in a
business is substantiated by the following points.
1. Goal setting: A leader's creative function is to set his followers' goals
and policies.
2. Organization of activities: To limit the potential of conflict between
employees, a smart leader divides organizational activities among
people in a systematic way. The leader is the person who gets the job
done by communicating the policies and strategies to the subordinates.
3. Coordination: A leader directs and unifies the work of all individuals
in a group to achieve the organizational goals. Personal interests and
organizational goals can be reconciled to achieve coordination. This
synchronization can be achieved by proper and effective coordination,
which should be a leader's primary goal.

4. Provide guidance: In addition to guiding his employees, a good

leader offers advice whenever they face a problem. A leader's role
should include not only supervising but also guiding subordinates.
Guidance in this context refers to instructing subordinates how to do
their jobs effectively and efficiently.
5. Increase employee morale: A good leader is a source of employee
morale development, which assures high productivity and organizational
stability. Employee morale refers to their willingness to cooperate in their
work, as well as their confidence and trust. A leader can increase morale
by securing complete cooperation from his or her team so that they can
work to their full potential while pursuing their goals.

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6. Facilitate change: The cornerstone of organizational change is
dynamic leadership. Because he can overcome the resistance to
change, a dynamic leader can help people change.

7. Employee motivation: Employee motivation is an essential element

in determining how well they perform at work. A good leader inspires
employees to work hard in order to attain the organizational goals.
Individual motivation is supported by effective organizational leadership.
A leader encourages people to use monetary and non-monetary
incentives, resulting in more work from subordinates.
8. Build trust: Expressing work efforts to subordinates, clearly
describing their function to them, and giving them direction to attain
goals efficiently are all essential ways to build trust. It is also important to
hear from employees about their grievances and problems.
9. Establishes a working environment: Management works with
individuals to get things done. Healthy and sustained growth is
contributed by a pleasant work environment. Therefore, a leader should
keep human interactions in mind. He must maintain personal contact
with the employees and listen to and resolve their problems. Employees
should be treated in humanitarian terms.
10. Basis of cooperation: Effective leadership encourages the
cooperation between subordinates and management by increasing
understanding and cooperation between them.
11. Assisting authority: Relying alone on authority may not always
yield the desired results. By influencing, encouraging, and initiating
action, leadership assists authority.
12. Necessary at all levels of management: Effective leadership is
required at all levels of management since no management can
accomplish the desired goals without it.
17.4 QUALITIES OF A GOOD LEADER
A leader must have the following essential qualities to be effective:
1. Empathy: A good leader should be able to look at things objectively.
Others' rights, opinions, and feelings must be respected by him. He
should prepare himself to face the challenges posed by others' actions
and reactions. The leader must empathize with his followers in order to
analyse their talents, flaws, and objectives and provide them with the
attention they need.

2. Objectivity: In relations with his subordinates, a good leader is fair

and impartial. While engaging emotionally with his followers, he should

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be free of bias and prejudice. He must tackle any subject or problem
objectively, without regard for pressures, preconceptions, or
preconceived ideas. Objectivity is a crucial part in making analytical
decisions. Any good leader is supposed to operate with honesty,
fairness, justice, and moral integrity.
3. Communication skills: A leader must be able to persuade,
enlighten, motivate, guide, and convince his subordinates. A leader must
be able to communicate effectively in order to do this. Because they
communicate more effectively with the others and can make greater use
of available resources, a strong communicator appears to find it easier
to carry out their tasks.
4. Technical skill: A leader must be able to demonstrate how to carry
out a specific task. Technical competence refers to a leader's ability to
manage specific managerial responsibilities such as planning,
organizing, analyzing, advising, decision making, controlling, and
winning cooperation, among other things. The leader's technical skill can
help him in gaining the support of his followers.
5. Social skill: A leader must be aware of his or her supporters. He
must be kind, compassionate, and helpful. He should be able to gain his
followers' trust and loyalty by doing so.
6. Emotional and mental maturity: A leader must be self-assured,
avoid rage, make rational decisions, and think clearly and maturely.
Leaders, according to Koontz and O'Donnell, cannot afford to be
panicked, unsure of them in the face of conflicting forces, or to doubt
their principles when challenged or influenced. He must be consistent in
his conduct and incapable of becoming enraged. He must be able to
adapt to any situations, especially when they are challenging or tough.

7. Self-motivation: This involves instilling in the leader a desire to

complete a task. Only by being enthusiastic can one achieve his or her
goals. Leaders are driven by a strong sense of achievement. He should
work harder for the fulfilment of the inner drives rather than for monetary
gain.
8. Integrity: Integrity, according to F.W. Taylor, is "the straightforward
honesty of purpose that makes a man truthful, not only to others but to
himself; that makes a man high-minded and gives him enormous
aspirations and ideals."

9. Flexibility of mind: A leader needs to be able to change his mind in

response to changing circumstances. "A stupid consistency is the
hobgoblin of a small mind," stated Thomas Carlisle. Leadership styles

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change depending on the circumstances, giving rise to three distinct
types: authoritarian, democratic, and free-rein leadership.
10. Intelligence: Despite the fact that intelligence is a natural quality of
an individual, that is, it is inherent in nature, many psychologists believe
that an individual's level of intelligence may be increased through
various training methods.

11. Initiative and creative ability: During times of uncertainty and

unrealized hope, people look to the leader for guidance. Leadership
requires a high level of intellectual capacity. Leaders have an average
intelligence that is slightly higher than that of their followers.
12. Judgment: A good leader must have the ability to judge something
analytically. By keeping the key aims or objectives in mind, he is able to
split the total scenario into manageable sub-parts for closer inspection.
Hence, a good leader moves the organization closer to its key goals.
13. Vision and foresight: An effective leader must be able to predict
future trends as well as appraise the current situation. And accordingly,
he plans ahead of time with logical programmes in mind while
developing policies and programmes.
14. Self-confidence: To be a good leader, one must first have self-
confidence and the ability to lead and direct others in the desired
manner. Thus, a leader's self-confidence helps them in leveraging the
trust and best efforts of team members to successfully complete tasks.
15. Human relations attitude: A successful leader must have thorough
knowledge of human relations, or how to interact with people. Because a
leader's task is to get people's will and full cooperation in order to
achieve a goal, he must endeavour to get a deep understanding of
people and their relationships with one another. For a leader, knowledge
of human behaviour and how it reacts to various situations is important.
17.5. LEADERSHIP STYLES
The leadership style of a leader differs from the personality trait of a
leader. Leadership behaviour is influenced by the leader's personality
trait, but it is more influenced by the conditions that emerge around him.
The culture and mission of a company determine which leadership style
is most suited. Depending on the duties to be performed and the needs
of the department, some organizations offer several types of leadership
within an organization. The following are the various leadership styles
used in the corporate sector.

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1. Autocratic leadership: A leader who has a tendency to concentrate
power imposes, work methods, takes unilateral choices, and restricts
employee participation. The autocratic leadership style is characterized
by little or no participation of subordinates in decision making. The
leader may even use force or deny his subordinates of their legitimate
right to express themselves on labour issues, genuine grievances, and
issues stemming from the decision's implementation. The team cannot
express its opinions, even if they are in the best interests of the team or
the organization. They are unable to critique or question the leader's way
of getting things done. This style has the advantage of allowing for
quicker decision making and increased productivity. An autocratic leader
makes the following assumptions:
a. The average person has a natural dislike to work and will avoid it
if they can.
b. His subordinates would not be in subordinate positions if they
were smart enough.
c. He believes that non-intelligent subordinates are immature,
unreliable, and irresponsible.

d. As he has no respect for his subordinates, he uses negative

incentives, such as the threat of punishment, to get them to
execute the work.
e. There may be very little time for participation, and any delay may
jeopardize the achievement of the stated goal.
f. Participation carries the risk of confidential information being
leaked.
g. By its very nature, style can elicit a lot of backlashes from
subordinates, as men want to be consulted by their superiors
before making decisions that affect them.
Types of autocratic leaders: The following are the various styles of
autocratic leaders.
a. Strict autocratic leader: A strict autocratic leader uses negative
influence and issues orders that must be obeyed by his or her
subordinates. He can use his power to bestow rewards to his group.
b. Benevolent autocratic leader: In many instances, a benevolent
autocratic leader can achieve great productivity and build effective
human relationships. His approach to encouragement is usually upbeat.

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c. Incompetent and manipulative autocratic leader: An incompetent
autocratic leader conceals his incompetence and lack of knowledge by
being harsh with his subordinates. To put it another way, he hides his
weakness by wielding dictatorial authority.
This leadership style has the downsides of increasing resentment,
absenteeism, and employee turnover. When employee dissatisfaction
reaches a peak level, it can lead to collective disobedience, which can
lead to a dispute between workers and management, resulting in a work
stoppage. This leadership style is only effective when the leader is at his
or her best, when the task is tedious, unskilled, and routine, or when the
project is short-term and high-risk.
2. Democratic leadership: A democratic leader tends to involve
employees in decision making in order to delegate authority, to
encourage participation in the decisions of work techniques and goals,
and to utilize feedback as an opportunity to coach employees. To get a
thing done, the leader mostly avoids using power. He assigns his
employees a reasonable workload and rewards them for a job well done.
He understands the human importance of showing more concern for his
subordinates. The advantages of this leadership style are that it results
in more satisfied, motivated, and qualified personnel. This creates a
positive work environment and promotes creativity. Before a final
decision is reached, there is a free flow of communication between
superiors and subordinates. Subordinate participation in this manner is
desired in order for leadership to solve problems and make meaningful
decisions on specific issues. Subordinates have the ability to participate
effectively, which the effective and competent leader systematically
harnesses to assist them in making the best decision possible. It
promotes a cooperative atmosphere and even the growth of
subordinates to help them execute their tasks better. It also works as a
motivator since it satisfies the basic urge to participate. The following
assumptions are made by a participatory leader:
a. If given the opportunity and incentives, subordinates can work
independently and assume responsibility for successful execution.
b. Instead of being threatened and told to work, subordinates are
overseen, guided, and assisted.
c. Mistakes are not taken seriously. The belief is that disciplinary
action generates employee dissatisfaction and frustration, resulting
in a toxic work environment.

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3. Free rein or laissez-faire leadership: The leader's system of least
interference can be defined as the laissez-faire style. The group was
generally given complete autonomy to make decisions and complete the
work as they saw fit by the leader. Here, the leader has entire faith in his
employees/team to achieve the task. Employees who are competent,
loyal, experienced, and intellectual are the only ones who can carry out
this kind of leadership. These leaders are averse to authority and
accountability. They rely on the group to set objectives and goals, as
well as devise policies and programmes. With the abdication of the
formal leadership role, the leader accepts a passive role as a
subordinate, whatever leadership function may be informal or emergent.
The leader refrains from wielding power and instead delegated decision-
making authority to his subordinates. Members of a group operate
independently and are responsible for their own motivation. The
manager's role is to act as a facilitator and buffer between the team and
outsiders, while also offering knowledge and resources to their team. A
free-rein leader works as follows:
a. He adheres to the principle of minimising liability exposure.

b. He fulfills his obligations and is willing to place blame on his

subordinates if something goes wrong.
c. He has no clear understanding of the goals that must be met.
d. He is more concerned with security than with status.
4. Bureaucratic leadership: Leaders strictly follow the organization's
rules and policies. They also make certain that the employees/team
adhere to the norms and procedures. Promotions are made based on an
employee's ability to obey the organization's regulations. When safe and
high-quality working conditions are necessary, this leadership style is
more appropriate. However, this leadership style limits creativity and
does not make employees feel happy about them.
5. Paternalistic leadership: The leader assumes a fatherly or paternal
role in this form of leadership. His mentality is to treat the leader's
relationship with his groups as if it were a family, with the leader as the
head of the family. The leader's goal is to assist, guide, defend, and
keep his followers happy so that they can work together as a family. He
ensures that they have good working conditions, benefits, and services.
Employees under such leadership are reported to work harder, out of
sheer gratitude and emotional bonding.
6. Transactional leadership: This leadership style is an excellent
motivator for getting things done while also keeping the workers

245
satisfied. It is a very directive technique for a company's fair rewards and
recognition programme. The transactional leadership style has the
following characteristics:

a. This leadership style is built on performance based on different

sources of motivation. Intrinsic and extrinsic sources of employee
motivation are used by leaders in this category to get the best out of
a team. These can include things like rewards, incentives, and
employee promotion considerations, among other things.
b. Micromanagement is a problem with transactional leadership. This
is due to the fact that management's tasks and processes are
simple. This attracts attention, which might lead to operating under
the supervision of micromanagers.
c. Leaders in this category have a realistic approach to their work.
They understand how to get things done, motivate others, and solve
problems in a practical manner.
d. Because its structure is so straightforward, a transactional approach
might hinder creativity at work. It takes away workers' ability to think
creatively.
Because the leader quotes everything, transactional leadership reduces
ambiguity and guesswork. Employee performance is fully dependent on
these two elements, according to transactional leaders. When there is
an incentive, employees perform at their best, and the bonus is usually
monetary. They will be given a negative appraisal if they do not meet the
desired goal. Employees' physical and safety needs are more important
to transactional leaders.
7. Transformational leadership: Through the returns the organization
receives in the form of human capital advantages, transformational
leadership has the ability to impact employee perspectives. By
establishing knowledge management systems, increasing interpersonal
communication among employees, and creating a healthy organizational
culture, these leaders can gain larger rewards. By fostering a
participatory environment, it helps in the flourishing of organizational
innovation. It fosters a culture in which employees are encouraged to
speak openly about their experiences and knowledge. This leadership
style is focused on the idea of improving existing processes. This type of
person is continuously on the viewpoint for new ideas to implement into
their business processes. Employees are inspired and empowered by
transformational leaders to empower themselves and the company. The
following are characteristics of transformational leadership:

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 a. This type of leader is a great visionary in their field. They are
frequently the pioneers of different sectors due to their eagerness to
seek out new ideas.

b. This style is based on improved workplace communication. A perfect

example of communication can be seen in this leadership. This is
due to the fact that this type relies on brainstorming to come up with
better solutions and giving everyone equal importance.
c. Using transformational leadership to mobilize employees is also a
great idea. It has positive effects on employee contribution, career
advancement, and satisfaction, among other things.
This type of leadership style has a certain appetite for risk. This is due to
the fact that leaders are continuously looking for better ways to do
things. It is forcing him to step outside of his comfort zone. This
leadership style fosters employee confidence in their talents and
encourages them to come up with fresh ideas to achieve a common
goal. Transformational leadership allows for the release of creativity.
This can lead to a lot of uncertainty in the workplace and among
employees.

8. Charismatic leadership: Leaders in this style excel at

communication and persuasion while maintaining a charming
demeanour. In both expanding a business and facing a crisis,
charismatic leaders are a tremendous asset. They may easily tilt things
in their favour by developing a profound awareness of the people around
them. It assists leaders in being aware of their team and finding
solutions to problems. This enables these types of leaders to be very
persuasive in their leadership style. Some of the industry's greatest
visionaries have emerged as a result of the charismatic leadership style.
The will of these leaders to move forward and produce outcomes, along
with their authoritative personality, sets them distinctly. A charismatic
attitude can make an organization's employees feel at ease. This is due
to the fact that these types of leaders are excellent from the standpoint
of their employees. They pay attention, take risks, think beyond the box,
and so on. Creative leadership, teamwork, employee motivation, and a
strong sense of unity are all promoted by charismatic leadership.
LET US SUM UP
The question of whether a leader is born or made, or born and made,
has long been discussed. Because leaders have power, there are
differences between them and managers. Leadership is the process of
one person influencing the beliefs, attitudes, and actions of others.

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Autocratic, democratic and free-rein are examples of leadership styles.
The inspiration, transaction, and development styles are all
contemporary. We learnt how to define leadership, its characteristics
and importance, and the qualities of a leader in this unit. Thus, we found
that a leader can assist a business in achieving its specified goals by
earning the support of its human resources. To do so, the leader must
influence human resource behaviour in the desired direction. Leaders
guide the rest of the group and help them to see what is ahead. A group
that lacks leadership devolves into non-performers.

CHECK YOUR PROGRESS

Choose the correct answer
1. The ability to persuade individuals to work together to achieve
common goals is known as _____________.
a. Motivation b. Control
c. Leadership d. Supervision
2. Free-rein leadership is also known as_____________.
a. Democratic b. Autocratic
c. Laissez-faire d. Bureaucratic
3. What are the values that a good leader prioritizes?
a. Trust and respect of individuals b. Openness
c. Teamwork d. Disintegration
4. ________ is a leadership style in which the leader solicits advice from
people who report to him or her.
a. Indirect style of leadership b. Consultative style of leadership
c. Direct style of leadership d. Delegating style of leadership
5. If a leader acts more like a boss, then his or her leadership style is
_____________.
a. Positive style b. Negative style
c. Autocratic style. d. Democratic style
GLOSSARY
Leader : A leader is a person who directs and guides
others. By influencing his followers' behaviour,
he gives their efforts direction and purpose.
Leadership : Leadership is defined as a relationship between
an individual and a group that revolves around a
common interest and acts in a manner that is
directed or determined by that interest.
Leadership style : A leader's method of offering guidance,

248
 implementing plans, and motivating others is
referred to as their leadership style.
Autocratic : Autocratic leadership, often known as
leadership authoritarian leadership, is defined by individual
authority over all decisions and little involvement
from group members.
Democratic : Democratic leadership is a type of leadership in
leadership which members of a group are more involved in
the decision making process.
Free-rein : Free-rein leadership, also known as laissez-faire
leadership leadership, a type of leadership style in which
leaders take a back seat and let group members
make decisions.
SUGGESTED READINGS
1. Aswathappa, K. Organizational Behaviour. New Delhi: Himalaya
Publishing House.
2. Mishra, M.N. Organizational Behaviour. New Delhi: Vikas Publishing
House.
3. Prasad, L.M. Organizational Behaviour. New Delhi: Sultan Chand &
Sons.
4. Stephen P. Robbins., Timothy A. Judge., and Neharika Vohra.
Organizational Behavior. New Delhi: Pearson Education India.
5. Uma Sekaran. Organizational Behaviour: Text & Cases. New Delhi:
Tata McGraw Hill.
WEB RESOURCES
1. Lesson 7: Leadership and Power (Organizational Behavior) -
Bing video
2. 10 different types of leadership styles in organization behavior
with examples - Bing video
3. Management | Organizational Behavior | Leadership Part 2 -
Effective Leadership - YouTube
4. Leadership Styles - Bing video
ANSWER TO CHECK YOUR PROGRESS
1.c 2.c 3.d 4.b 5.b

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UNIT 18
LEADERSHIP THEORIES
STRUCTURE

Overview

Learning Objectives

18.1 Theories of Leadership

18.1.1. Trait Theory

18.1.2. Behavioural Theories

18.1.3. Contingency Theory of Leadership

Let Us Sum Up

Check Your Progress

Glossary

Suggested Readings

Answer to Check Your Progress

OVERVIEW
There are numerous approaches to thinking about leadership, ranging
from highlighting the personality traits of leaders to emphasizing the
situation that influence how people lead. Leadership, like most things, is
a multi-faceted subject that is influenced by a variety of factors that help
decide why some people become great leaders. From one facet of
leadership to the next, leadership theories show the evolution of
thoughts and the development of the thought process. Leaders are
generally defined by their characteristics or style, according to
leadership theories. Some theories assume that the leaders possess
certain qualities that qualify them for the position of leader. The following
are the most important leadership theories:

LEARNING OBJECTIVES
After completing this unit, you will be able to:
• describe various theories of leadership

18.1 THEORIES OF LEADERSHIP

Leadership has been viewed in a variety of ways by various authorities

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and academics. Some people place a premium on personal choices,
while others consider leadership to be situational. "Leadership theories"
are the outcome of behavioural scientists' research on what makes a
good leader. The condition in which the leader evolves has recently
gained great importance. The effectiveness of leadership is thought to
be dependent on the context in which the leader functions. We will
approach leadership theories by asserting that any theory will be
complete only if it addresses three key dimensions of leadership: 1. the
leader and his psychological characteristics; 2. followers and their
problems and needs; and 3. the group situation in which followers and
leaders interact. The following are the important leadership theories:
18.1.1. Trait Theory
The goal of trait theory is to identify the personal qualities of effective
leaders. It emphasizes that a person's personal traits or characteristics
determine whether or not they are a successful or an effective leader.
Charles Bird looked at twenty lists of traits assigned to leaders in
different surveys and found that none of the traits were present on all of
the lists. Leaders were known for a range of characteristics ranging from
neatness to nobility. Leaders are expected to make better decisions and
participate in social activities. People with the following traits or personal
characteristics, according to trait theory, may be successful leaders:
1. Good personality: An individual's personality is determined by
his or her physical qualities and level of maturity. A leader's
personality is an important aspect in his or her success.
2. Intellectual capacity: A leader's intelligence must be higher
than that of the average follower. A leader must appropriately
assess the situation before making a decision.

3. Initiative: A leader must take the initiative to undertake relevant

initiatives at the appropriate times.
4. Imagination: A leader must be able to imaginatively visualize
trends and design policies and initiatives.
5. Maturity: A leader must be emotionally mature and have a
temper that is well-balanced. They must also have a high level
of frustration tolerance.
6. Acceptance of responsibility: A leader must be willing to bear
responsibility for the outcomes of any action he or she takes.

7. Self-confidence: A leader must be self-confidence. Self-

confidence is necessary for encouraging and increasing morale

251
 among followers.
8. Flexibility: A leader must be willing to listen to other people's
opinions and change their minds. He must have an open mind
and be willing to accept and adopt new ideas and views from
others.
9. Objectivity and fairness: In dealing with his subordinates, a
good leader is fair and objective. Any good leader is supposed
to operate with honesty, fairness, justice, and moral integrity.
10. Considerate: A good leader is considerate of his or her
followers because his or her success as a leader is heavily
reliant on their cooperation.
11. Physical traits: Physical traits include good physique and
appearance, height, weight, vigour, and health.
12. Intelligence: A high level of intellectual ability and knowledge.
13. Integrity: Complete adherence to duty and purpose, as well as
a commitment to the highest personal and professional
standards.
14. Energy: Enthusiasm and initiative are two characteristics of
energy.
15. Decisiveness: The willingness to act and the firmness with
which one acts.
16. Technical skill: Technical competence, conceptual
competence, and technical knowledge applicable to the position.
17. Honesty and loyalty: Loyalty to superiors, peers, subordinates,
and the organization.
18. Will to accomplish: A strong inner determination to
accomplish.
19. Decision making skill: The ability to assess a situation and
make the best decision possible at the right time.
20. Motivating skill: The ability to inspire subordinates to work with
passion and dedication.
21. Communication skills: Excellent communication skills.
22. Social competence: The ability to form and sustain friendly
relationships, to form and maintain social networks, to manage
and build partnerships.

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 23. Empathy: The ability to observe things from someone else's
point of view. Others' rights, beliefs, values, and feelings must
all be respected.

24. Emotional stability: A leader should not be unduly moved by

his or her sentiments or emotions.
People are born or made with certain qualities that enable them to
flourish in leadership roles, according to trait theory. That is to say,
certain qualities such as intelligence, responsibility, creativity, and other
values that qualifies anyone to be a good leader. In fact, an American
psychologist named Gordon Allport has found nearly 18,000 English
phrases related to personality. Trait theory has centred on the analysis
of mental, physical, and social characteristics in order to better
understand what trait or combination of traits is shared by all leaders.
Gordon Allport's research is among the first to use a behavioural
approach to the study of leadership, according to a personality
psychology approach. People like Mahatma Gandhi, Indira Gandhi,
Margaret Thatcher, and Nelson Mandela are described as charismatic,
enthusiastic, and courageous by trait theorists. In addition, certain
personality traits tend to be linked to ineffective leadership.
Evaluation of the trait theory: Few systematic studies of the personal
traits of unsuccessful leaders have been conducted. Bad temper, self-
centeredness, inability to get along with others, lack of vision, lack of
character, and mental health disorders such as aggression, depression,
disorganization, paranoia, neurosis, and procrastination are all
associated with ineffective leadership. Many people have been criticizing
of the trait theory. The following are some of the theory's limitations:
a. The list of personality traits that good leaders possess is simply too
long and looks to go on forever. Hundreds of traits have been
identified, but no common pattern has emerged.
b. Fear is not the appropriate reaction for a successful leader.
Furthermore, psychological ones are impossible to quantify.
c. According to the theory, a leader is born rather than trained.
Contemporary thinkers on the subject disagree with this premise.
d. Despite what the theory assumes, leadership effectiveness is not
completely dependent on the leader's personality. Other variables
such as the situation, task, organization, and follower traits will all
influence a leader's effectiveness.

253
 g. People who fail as leaders and people who never achieve
leadership positions often share many of the same traits as successful
leaders. Hence, while taller people are more successful as leaders in
general, many tall people lack the desire and capacity to lead. At the
same time, many short persons rose to positions of leadership.
f. There is little consensus on what the terminology used to label
qualities mean.
Merits of the trait theory: Despite its shortcomings, individuals still
think in terms of leadership traits. For example, the decision maker
selects people in various hiring and promotion decisions; he or she must
have "leadership potential." When valid systems are used to pick
personnel, they are more likely to be of higher quality than when
decisions are made based on personality traits that are unrelated to the
job. This is not to say that theories about leadership traits are not
irrelevant. The theory remains relevant due to certain merits.
a. The qualities of effective leaders are referred to as merit. A study
conducted between 1900 and 1957 found that leaders are consistently
better adjusted, more dominant, more extroverted, more masculine,
and more conservative, as well as having greater interpersonal
sensitivity than non-leaders.
b. "A person's personality, who they fundamentally are as a person,
has a widespread and huge influence on how successfully they
function as a manager," says the second merit. Background, life
history, beliefs, life experiences, attitudes, prejudices, self-image,
anxieties, loves, hates, hopes, and philosophy of life are all part of a
person's personality.
c. Leaders are born, not made, as is commonly believed. After a
lifetime of reading popular novels and watching movies and TV shows,
it is likely that most of us believe to some degree that some people are
born leaders that they are naturally braver, more aggressive, more
decisive, and more articulate than others.
d. The theory has practical implications. Nations and organizations
would become considerably more sophisticated in their selection of
leaders if leadership traits could be identified. Politicians, officers, and
managers would only be chosen if they possessed the necessary
leadership qualities. Organizations and societies would, presumably,
work more efficiently as a result.
Limitations of the trait theory: Here are some of limitations of the trait
theory.

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 1. It is assumed that leadership is an inborn quality. This is not
always the case, leadership traits can be developed via training.
2. A leader's effectiveness in one situation may be attributed to
specific characteristics, but he or she may fail in another.
3. The theory ignores the traits that are required to maintain
leadership. After a person has become a leader, the
measurement of a trait is frequently done.
4. There cannot be a list of personal traits in all successful leaders.
5. Personal traits are merely a small component of the whole
environment. By focusing solely on personal traits, other
leadership traits are ignored.
6. The trait theory is unable to prove a causal link. It is uncertain
whether self-confidence leads to effective leadership or whether
effective leadership leads to self-confidence.
7. There are also some limitations: i. There is no scientific basis for
trait theory; ii. Environmental elements are ignored; iii. It fails to
explain the precise causes for leadership failure; and iv. The
process of leadership through traits is not explained.
18.1.2. Behavioural Theories
According to behavioural theory, a leader's specific behaviour causes
followers to be more satisfied, and as a result, they identify him as a
good leader. The idea behind behavioural theory is that effective
leadership is the outcome of effective role behaviour. To influence his
employees' behaviour, a leader employs intellectual, human, and
technological talents. Behavioural theory encourages the study of
leaders' activities in order to determine their patterns of behaviour, rather
than focusing on their traits. Ohio State University and the University of
Michigan did research based on this emphasis from the late 1940s to the
early 1960s. Researchers have moved their focus from traits to leader
behaviours. In at least two ways, this behavioural approach varied from
trait theory. The focus was initially on actual leader behaviours rather
than personal traits. Second, most trait studies attempted to distinguish
leaders from non-leaders. The goal of behaviour research was to figure
out how different sorts of specialized behaviours affect follower
performance and satisfaction.
18.1.2.1. The Ohio State University Studies: The Bureau of Business
Research at Ohio State University, USA, undertook leadership research
in 1945 under the guidance of Edwin A. Fleishman. The research aimed

255
to pinpoint the factors that influence leadership behaviour. The study's
goal was to: a. identify leadership behaviours, b. measure the impact of
these behaviours on employee satisfaction and performance, and c. find
the best leadership style. To do so, questionnaires assessing leadership
styles were designed. The Leader Behaviour Description Questionnaire
was developed to assess subordinate perceptions of leader behaviour,
whereas the Leader Opinion Questionnaire assessed the leader's own
style. Two significant leadership behaviours have been isolated after an
investigation of the leader's actual behaviour in a range of situations:

i. Initiating-structure behaviour (IS): The behaviour of the leader who

defines and organizes group tasks, distributes tasks to personnel, and
monitors their activities is referred to as initiating structure. It clearly
outlines the roles of leader and follower so that everyone is on the same
page. Establishing formal lines of communication and specifying how the
activities should be performed are all part of this process.
ii. Consideration behaviour (C): Consideration refers to leadership
behaviours like as friendliness, respect, support, openness, trust, and
concern for the well-being of employees. Concern for followers and
efforts to create a friendly and helpful working environment based on
mutual trust.
Findings: The following are some of the findings from the Ohio State
study on leader behaviour and leadership styles:
i. Although consideration was positively associated with low
absenteeism and grievances, it was negatively or neutrally
associated with performance. Hence, each of the unique leader
behaviours had both positive and negative outcomes.
ii. ii. While having structure in place was related to improved
employee performance, it was also linked to negative outcomes
such as absenteeism and grievances.
iii. Performance and satisfaction tend to be high when consideration
and structure are high. But, increased production was sometimes
coupled by absenteeism and dissatisfaction. The terms
"consideration" and "initial structure" are not used interchangeably.
Rather of being low on one dimension and high on the other, a
leader could be high on both, low on both, or high on one and low
on the other.

iv. These two types of behaviour were considered as independent,

which means that a leader might excel at one, the other, or both.

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 v. Leaders who scored highly on initiating structure behaviour tended
to lead high-performing groups and received positive feedback
from their bosses. Subordinates of these leaders, on the other
hand, had poorer morale, more grievances, and more turnovers.
18.1.2.2. University of Michigan Studies: Researchers at the
University of Michigan conducted in-depth interviews with managers and
employees under Rensis Likert's supervision. The behavioural
characteristics of leaders have been investigated in connection to
performance measurements. Researchers concluded that two
leadership styles, namely employee-centric and production or task-
centric, influence employee performance and satisfaction after
researching a variety of industrial circumstances. The study was carried
out by a team of researchers in a variety of companies, including the
food, electronics, automotive, rail, and paper. The team compared the
top and worst firms' leadership styles. Two dimensions of leadership
have been identified from a list of leadership behaviours in a range of
situations.
a. Task-centered leader behaviour: Task-centred leaders establish
rigid work standards, plan tasks to the smallest detail, prescribe work
methods to be followed, and regularly monitor subordinate performance.
This leader focuses on his subordinates' tasks. Employees, like
equipment and machinery, are considered as resources in the
production process. The manager keeps a careful eye on the workers,
uses coercion when necessary, and analyses their performance
critically. The task-centred leader pays great attention to employees'
work, explains work procedures, and is concerned about their
performance. Task-centered leaders directed groups with lower
productivity and morale, according to the Michigan study.
b. Employee-centered leader behaviour: Employee-centered leaders,
on the other hand, encouraged employees to participate in goal-setting
and other work-related decisions, as well as ensuring good performance
by instilling respect and trust in them. This leader sees his or her
subordinates to be the most important component of the organization,
and he or she places a high value on supportive relationships. He
encourages workers to participate as much as possible in the decision
making process. He stresses employee happiness at work as well as
advancement and personal growth. Employee development, according
to the leader, leads to organizational development. Instead, than
focusing on the tasks that employees complete, the employee-centered
leader focuses on their well-being. Employee-centric leaders contribute

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to improved morale and productivity in groups, according to Michigan
studies. These findings led to the conclusion that employee-centered
leadership was superior to task-centered leadership.

Evaluation of behavioural theories: Behavioural theories, unlike trait

theories, focused on what leaders did, such as how they delegated
tasks, engaged with and attempted to motivate their subordinates, and
carried out their duties. The theories highlighted that behaviours can be
learnt, and that a person who has been trained in suitable leadership
behaviours may lead more effectively. Behavioural theorists have yet to
identify a consistent relationship between leadership behaviour and
group performance. It was impossible to make general statements
because the results would vary depending on the circumstances.
18.1.3. Contingency Theory of Leadership
18.1.3.1. The Fred Fiedler Model: The contingency theory of leadership
was developed by Fred Fiedler and his colleagues at the University of
Illinois in 1960. It is a situational or contingent leadership theory.
According to Fiedler's theory, effective leadership requires a right fit
between the leader's style and the degree to which the situation provides
the leader control. Fiedler's contingency model is one of the most
thoughtful and elaborate situational theories. Fiedler is likely the first
researcher to notice the need for a more comprehensive explanation of
leadership phenomena based on situational factors. In some scenarios,
a particular leadership style will not be beneficial; it is dependent on the
company's current surroundings. Even the universally accepted style of
democratic leadership that emphasizes subordinate participation in
decision making may not work in all situations. Effective groups,
according to the theory, require a good match between a leader's
interaction styles with his followers and the degree to which the situation
offers the leader control and influence. Task-oriented and people-
oriented leaders, he says, are the two types of leaders. Fiedler feels that
a situation with a clearly defined scope, great positional power, and good
leader-follower relationships is the most favourable. He found that task-
oriented leaders are more effective in situations that are extremely
favourable or unfavourable, whereas relationship-oriented leaders are
most effective in situations that are moderately favourable. The four
components of the contingency model are as follows: 1. three elements:
the leader-member relationship, the leader's positional power, and the
task structure; 2. the overall favourable nature of the situation; 3.
leadership traits; and 4. group effectiveness

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a. Three elements: It involves the leader-member relationship, the
leader's position power, and the task structure.
i. Leader-member relations: It relates to the followers' level of trust,
confidence, and respect for their leader. It shows how much the group
members appreciate the leader and are willing to accept his or her
behaviour as a form of influence on them. If followers are willing to follow
because of the leader's charisma, expertise, competency, or mutual
regard, the task structure or position power are not as important. The
situation is less favourable if, on the other hand, the leader is
untrustworthy and is perceived negatively by the followers. By far the
most essential aspect of leadership is the relationship between the
leader and the members. If the leader and the members of the
organization are estranged, the leader will have a difficult time
implementing a strategy or policy to fulfil the group's goal. Therefore, a
mutually beneficial and reciprocal atmosphere of trust and harmony
should emerge between the leader and the followers.
ii. Power position: If subordinates have done a poor job despite
previous advice and warnings, the leader should have the authority to
punish them. In the contingency model, position power refers to the
power that comes with the leader's organizational position. It relates to
the level to which the leader is rewarded and sanctioned, as well as his
control over group members and the organization's support for that
authority. Expert authority, legitimate authority, reward authority, and
coercive authority are the four types of authority that a leader might
exercise. A leader who lacks the necessary skills and is incapable of
outperforming his subordinates will not elicit a spontaneous response
from his subordinates. If he believes the subordinate has performed well
in accordance with the objective standard of performance, he has the
authority to adequately reward him in order to raise his morale, which
will not only urge other subordinates to put their minds and hearts into
the task.
iii. Task structure: It determines how routine or non-routine the task
performed by subordinates is. The extent to which task requirements are
clearly defined, the validity of a choice can be easily validated, and there
are alternate solutions to task problems is referred to as task structure.
In other words, task structure refers to the working group's task's routine
and predictability. Effective leadership is supported by task structure.
The more efficient the task structure, the better the situation for the
leader. If a task fits the following conditions, it is said to be better
structured: Task decisions may be objectively assessed, and the group

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has a clear understanding of the goal. It refers to the degree to which the
group's task has been described as structured or unstructured, as well
as the degree to which it has been well defined and can be carried out
using detailed instructions.
b. Situational favourableness: Fiedler developed eight possible
combinations ranging from very favourable to unfavourable based on the
"high" and "low" categories of these situational variables. A favourable
situation is one in which the leader-member relationship is positive, the
task is well-defined, and the leader has significant power over
subordinates. An unfavourable situation is one in which the leader's
authority is weakened, member relations are strained, and the task is
unstructured and unpredictable. A condition of intermediate difficulty
exists between these two extremes. When the situation is relatively
favourable or moderately unfavourable, according to Fiedler, a
permissive, relationship-oriented attitude is best. A task-oriented style
generates the desired performance whether the situation is very
favourable or very unfavourable.
c. Leader’s trait: Fiedler developed the "Least Preferred Co-worker"
(LPC) scale to examine leader attitudes; in which leaders are questioned
about the person they dislike working with the least. The measure is a
16-item survey that reflects a leader's overall attitude toward others. LPC
scale items are pleasant / unpleasant, friendly / unfriendly, rejecting /
accepting, unenthusiastic / enthusiastic, tense / relaxed, cold / warm,
helpful / frustrating, cooperative / uncooperative, supportive / hostile,
quarrelsome / harmonious, efficient / inefficient, gloomy / cheerful,
distant / close, boring / interesting, self-assured / hesitant, open /
guarded. Each item on the scale is assigned a unique score ranging
from one to eight points, with eight being the highest possible score.
According to Fiedler, leaders with high LPC scores are relationship-
oriented, while those with low scores are task-oriented. Leaders with a
high LPC score get the most satisfaction from an interpersonal
relationships; therefore they have a favourable opinion of their less
preferred coworkers. Low LPC score leaders get satisfaction from
completing tasks and attaining goals, and only after those duties are
completed do they focus on building good social and interpersonal
relationships.
d. Group effectiveness: The effectiveness of the group is the only way
to achieve the group's goal. In order for a group to be effective, it must
have a climate of trust and harmony, as well as healthy interaction
between superiors, subordinates, and peers. By subordinating his

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personal goal to the group's goal, everyone attempts to attain the
group's goal. The leader functions as a teacher and the followers provide
spontaneous support, to the point where the leader can gain their
followers' cooperation and participation by encouraging them to join in
the decision making process. Suggestions from subordinates are
considered for acceptance or rejection based on logic and rationale. The
leader has an open mind and a rational attitude when it comes to
accepting suggestions and making changes in his thoughts and
behaviour. When such environments exist within a group, it will become
more effective.
18.1.3.2. Path Goal Theory: Martin Evans and Robert House developed
this theory using a contingency approach based on the expectancy
theory of motivation. The path-goal theory states that it is the leader's
responsibility to offer followers the information, support, or other
resources they require in order to attain their goals. The term path-goal
comes from the concept that good leaders explain the path to help their
followers get from where they are to go in their careers, as well as to
make the journey easier by removing obstacles.

a. Leader behaviours: House identified four types of leadership

behaviours: directive, supporting, participatory, and achievement
oriented. The directive leader explains what is required of his or her
followers, prepares work to be done, and provides specific instructions
on how to perform tasks. The supportive leader is approachable and
concerned about the needs of his or her followers. Before making a
decision, the participative leader discusses his or her followers and
considers their suggestions. The achievement-oriented leader sets high
expectations for his subordinates and expects them to achieve them.
The House argues that leaders are adaptable, and that a same leader
may display any or all of these behaviours depending on the situation.
b. Contingency variables and predictions: The path-goal theory
proposes two contingency variables that moderate the relationship
between leadership behaviour and outcome: those in the environment
that are beyond the employee's control, such as task structure, formal
authority system, and working group, and those that are part of the
employee's personal characteristics, such as locus of control,
experience, and perceived ability. If follower outcomes are to be
maximized, environmental factors also determine the type of leader
behaviour necessary. While the employee's personal characteristics
influence how the leader's environment and behaviour are perceived.
According to the theory, when a leader's behaviour is redundant with

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sources of environmental structure or incongruent with employee
characteristics, it will be ineffective.
18.1.4. The Managerial Grid: Robert R Blake and Jane S Mouton have
designed an organizational development programme that emphasizes
the relevance of the two basic leadership behaviours: concern for people
and concern for production, which were first identified in Ohio and
Michigan studies. The managerial grid indicates range management
behaviour based on the many interactions between production-oriented
and employee-oriented styles. Leadership behaviour is divided into two
categories by the managerial grid: concern for people and concern for
production. The managerial grid, on the other hand, places each type of
concern on two independent continuums rather than treating it as an
absolute measure. The leader's concern for production indicates that he
prioritizes performance, adherence to processes and work standards, as
well as the quantity and quality of his subordinates' work. Concern for
people entails establishing and maintaining cordial relationships with
subordinates, resolving their problems and difficulties, and respecting
their feelings, among other things. On a scale of 1 to 9, each type of
concern is ranked, resulting in five key combinations of leader
behaviour. The grid, as illustrated below, includes a few possible
positions along each axis.

1. Improvised management (1, 1): Low concern for both production

and people is a characteristic of impoverished leadership. The leader
takes a back seat and stays away from controversial matters. He
disregards the value of importance relationships and avoids taking on
responsibilities. The leader is aware of his subordinates' errors in task
execution. It requires little effort to do the essential work and is suitable

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for maintaining organizational membership. This managerial approach
assures that employees only do the minimum required.
2. Authority-compliance management (9, 1): This leadership style is
characterized by a high concern on production and a low concern on
people. Work assignments, close supervision, conformity to work
standards, and compliance to work orders are more important to the
leader. People's feelings and satisfaction are put on the back burner.
Suggestions and creativity are suppressed. This leadership style is
similar to Douglas McGregor's Theory "X" leader. This management
approach tends to provide efficient operations. This means that efficient
operations are the consequence of arranging working conditions in such
a way that human factors interfere as little as possible.
3. Country Club management (1, 9): This style is characterized by a
high level of concern for people and a low level of interest for production.
The leader places a high value on his subordinates' attitudes and
feelings, as well as maintaining amicable and harmonious relationships
with them. This management approach fosters a positive work
atmosphere for employees. It entails paying close attention to people's
needs in order to build meaningful relationships, as well as a pleasant
and welcoming organizational environment and speed of work.
4. Middle-of-the road management (5, 5): This style is characterized
by a moderate concern for both production and people. This
management style achieves a satisfactory level of performance by
balancing needs through compromise. This entails adequate
organization and performance while balancing the need to get out of
work with maintaining a suitable level of morale among employees. Such
a leader lacks a strong commitment to either productivity or people. The
leader strikes a balance between adequate performance and
effectiveness while maintaining a reasonable level of morale.
5. Team management (9, 9): This leadership style is characterized by a
strong concern for both production and people. It depicts a successful
leader who strives to establish a sense of teamwork and commitment
among his employees. These leaders are believed that through working
toward organizational goals; a situation can be created in which people's
needs are addressed. Theory "Y" is followed in this approach. This
approach leads to great productivity as well as high employee
satisfaction and morale. This means that the task is done by committed
people, and that interdependence is achieved through a "common
state."

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LET US SUM UP
By winning the support of the organization's human resources, a
manager can help in achieving the organization's stated goals. However,
the leader must first influence human resource behaviour in the desired
direction. Leadership style refers to the art or process used by a leader
to influence others. The question of whether a leader is born or made, or
born and made, has long been discussed. Because leaders have power,
there are distinctions between them and managers. Traditional theories
such as trait theory, group and exchange theory; behavioural theories
managerial grid, contingency/situational theories; and modern theories
such as charismatic leadership theory, transactional theory, and
transformational leadership theory are all examples of leadership
theories. Leaders guide the rest of the group and help them to see what
is ahead. They assist the team in visualizing what it can achieve and
motivate and inspire the entire group to reach its full potential.
CHECK YOUR PROGRESS
Choose the correct answer
1. The managerial grid was developed by_______________.
a. Blake and Mouton b. Elton Mayo
c. F W Taylor d. Max weber
2. Which of the following leadership theories is/are?
a. Trait theory b. Behavior theory
c. Contingency theory d. All of these
3. What will leaders with a low LPC score is satisfied with, according to
Fiedler's LPC scale?
a. Achieving objectives b. Developing team relationships
c. Both of the above d. Neither of the above
4. __________has used the terms "employee-centered" and
"production-centered" to characterize leader behaviour.
a. Blake and McCanse b. Fiedler
c. Likert d. McGregor
5. __________ are approaches to leadership research that place a
strong emphasis on the leader's personality.
a. Contingency theories b. Trait theories
c. Inspirational theories d. Group theories
GLOSSARY
Managerial grid : The managerial grid model is a self-assessment

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 tool that may be used by individuals and
organizations to determine a manager's or
leader's style.
Authority- : Concern for productivity is high, but concern for
compliance people is low.
management
Country club : Country club management has a great concern
management for people but a low concern for productivity.
Improvised : This management style assures that employees
management do the minimum required.
Middle-of-the : Concerns about people and production are
road moderate.
management
Team : This is the most effective leadership style, in
management which the leader leads both people and
production.
SUGGESTED READINGS
1. Aswathappa, K. Organizational Behaviour. New Delhi: Himalaya
Publishing House.
2. Mishra, M.N. Organizational Behaviour. New Delhi: Vikas Publishing
House.
3. Prasad, L.M. Organizational Behaviour. New Delhi: Sultan Chand &
Sons.
4. Stephen P. Robbins., Timothy A. Judge., and Neharika Vohra.
Organizational Behavior. New Delhi: Pearson Education India.
5. Uma Sekaran. Organizational Behaviour: Text & Cases. New Delhi:
Tata McGraw Hill.
WEB RESOURCES
1. Leadership Theories - Bing video
2. Nine Theories of Leadership | University of Aberdeen - Bing
video
3. Leadership Theories vs Management Styles - Bing video
4. Contingency Theory of Leadership | Situational Leadership and
Path-Goal Theory of Leadership - Bing video

ANSWER TO CHECK YOUR PROGRESS

1.a 2.d 3.a 4.c 5.b

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UNIT 19

COMMUNICATION
STRUCTURE

Overview

Learning Objectives

19.1 Meaning and Definitions of Communication

19.2 Communication Process

19.3 Types of Communication

19.4 Barriers to Communication

19.5 Ways for Improving Communication

Let Us Sum Up

Check Your Progress

Glossary

Suggested Readings

Answer to Check Your Progress

OVERVIEW
For managers in companies to perform the basic functions of
management, such as planning, organizing, directing, and controlling,
effective communication is important. Managers benefit from
communication in order to perform their tasks and obligations. The basis
for planning is communication. All important information must be
conveyed to managers, who must then explain the plans in order to put
them into action. Effective communication with others about their work
task is also required by the organization. Similarly, in order to achieve
team goals, leaders as managers must communicate effectively with
their employees. Without written and oral communication, control is
impossible. Managers devote a significant amount of time on
communication. They spend a lot of time communicating with their
supervisors, subordinates, coworkers, clients, and suppliers in person or
over the phone. When oral communication is not possible, managers
employ written communication in the form of letters, reports, or memos.

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LEARNING OBJECTIVES
After completing this unit, you will be able to:
• define communication

• understand the communication process

• describe the different types of communication
• elucidate barriers to communication

• discuss steps to improve communication

19.1 MEANING AND DEFINITIONS OF COMMUNICATION
People use various forms of communication virtually every second of
their lives, and communication is an essential component of their lives.
Although communication styles differ from person to person, clear
communication is necessary for sharing information effectively. The
word "communication" comes from the Latin word "communis," which
literally means "common." Thus, communication refers to the exchange
of common ideas. Communication is the process of conveying
information and understanding from one person to another. All types of
information are exchanged from person to person through
communication, which is a two-way process. Thus, communication
requires the transmission of information and the presence of two or more
persons, one to give the message and the other to receive it.
Communication, according to McFarland, is “the transfer of information
and understanding from person to person.
Communication, according to Louis Allen, is a bridge of meaning. It
involves a systematic and continuous process of telling, listening and
understanding.
Communication, according to Keith Davis, is the process of passing
information and understanding from one person to another.
19.2 COMMUNICATION PROCESS
Establishing and maintaining human relationships at work requires
communication. Communication can be thought of as a flow or a
process. A goal expressed in the form of a message to be transmitted is
required before the communication may take place. It travels back and
forth between the sender and the receiver. As a result, information is
transferred from one person to another. Communication is a dynamic
process that begins with the sender's conceptualization of ideas, which
is then transmitted across a channel to the receiver, who subsequently

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provides feedback in the form of a message or signal within the given
time frame. There are seven steps in the communication process.

Figure 19.1: Steps in Communication Process

1. Source/sender: The sender, source, or communicator is the

individual who starts the communication process. The sender is a
person who has a need or desire to communicate with others. The
sender has information he wishes to share with another person in order
to achieve a goal. It might be an individual, a group, or an inanimate
object, and it is the source of communication. The characteristics of the
source have a significant impact on the effectiveness of communication.
Acceptance of the source's message, according to Aristotle, might be
increased by: Pathos: appealing to the receiver's emotions; Logos:
formulating logical arguments; or Ethos: requesting that the message be
accepted because the source is reliable.
2. Encoding: The sender begins the encoding process by translating
information into a message using certain words or non-verbal methods
such as symbols, signs, body gestures and so on. The sender's
knowledge, perception, background, skills, and so on has a significant
impact on the message's success. The content of the communication
must be put into a form that the receiver can understand once the
source has decided on the message to be transmitted. The sender
employs its own frame of reference as a backdrop for encoding
information. It encompasses the individual's perspective on the
organization or issue as a result of personal education, interpersonal
relationships, attitudes, knowledge, and experience.
3. The message: The message is the physical manifestation of the
source encoding. The message conveys the communicator's intended
feelings and thoughts to the receiver. When we speak, our speech is
the message, according to D.K Berlo. When we write, the message is
the writing. The picture is the message when we paint. The message is
conveyed through gestures, arm motions, and facial expressions. The
sender receives the message he intended to transmit once the encoding

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is completed. The message can be written, spoken, symbolic, or non-
verbal, such as body gestures, silences, signs, sounds, or any other
indication that prompts a response from the receiver.

4. Media/channel: The channel is the actual means through which the

message is transmitted to the receiver. The medium through which the
message passes is referred to as the channel. The sender selects the
medium via which he wants his message to be delivered to the recipient.
It must be properly chosen in order for the message to be effective and
appropriately understood by the receiver. The sender's selection of a
channel conveys additional information beyond that included in the
message. Documenting an employee's poor performance in writing, for
example, shows that the manager was concerned about the situation.
Oral, virtual, written, sound, gesture, and other communication channels
are all commonly used.
5. Receiver: The receiver is the individual who is intended to receive the
communication. More significantly, the receiver will interpret the
communication in the same way that they have in the past.
Communication that does not meet expectations is likely to be rejected.
He makes every effort to comprehend it as completely as possible in
order to meet the communication goal. The receiver's ability to decode
the message is determined by their knowledge of the subject, prior
experience, trust, and relationship with the sender.
6. Decoding: The term "decode" refers to the process of determining
the meaning of a message. The degree to which the message is
effectively decoded, i.e. the degree of accuracy with which information is
transferred to the receiver, is highly dependent on the senders and
receivers individual characteristics. The majority of messages can be
decoded in multiple ways. Perception is the process of receiving and
processing a message. Therefore, the decoding process is vulnerable to
perceptual biases and is thus a subjective process, which implies that
the perception of a message's content is heavily influenced by internal
components as well as a variety of personal influences and experiences.
7. Feedback: The final phase in the communication process is
feedback, which confirms that the receiver received the message and
understood it correctly, as intended by the sender. It improves
communication effectiveness by letting the sender know how effective
their message is. The response of the receiver can be verbal or non-
verbal. In effect, feedback is communication going in the opposite
direction. If the sender pays attention to the feedback and correctly
analyses it, the feedback can assist the sender determine whether the

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original communication was correctly decoded. One-way communication
occurs between managers and their employees when feedback is not
provided. Employees may be discouraged from providing necessary
feedback to their supervisors due to power differentials, a lack of time,
and a desire to save face by not passing on negative information.
19.3 TYPES OF COMMUNICATION

1. Based on the organizational structure: There are two types of

communication based on the organizational structure: formal
communication and informal communication.
a. Formal communication: In an organization, formal communication is
the flow of information through formally established channels. Oral or
written communication can be used in this type.
b. Informal communication: Informal communication is defined as
communication that occurs in the context of personal relationships. It is a
type of communication that is unstructured, unofficial, and unplanned.
2. Depending on the direction: There are four types of communication
based on directions.
a. Downward communication: Downward communication is the
communication that occurs in a chain of command from superiors to
subordinates. Orders, instructions, policies, and programmes are
examples of this type of communication. It could be written or oral.
b. Upward communication: Upward communication refers to the
transmission of messages from the bottom to the top of an
organizational hierarchy. Upward communication's main purpose is
to provide information to management. It is essentially participative
in nature, and it can only thrive in a democratic organizational
setting. This can be in the form of a status report, suggestions,
grievances, or complaints, among other things.
c. Horizontal communication: Horizontal communication occurs when
two or more people working at the same level communicate with
one another. This type of communication is the most common
during committee meetings and conferences. This communication's
primary goal is to develop inter-departmental coordination.
d. Diagonal communication: Diagonal communication is the
exchange of information across departmental lines between
personnel at various levels. This method of communication is used
to communicate information to various levels of an organization in
order to promote understanding and coordination in order to meet

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 organizational objectives. Diagonal communication occurs when
people who do not work in the same department or at the same
level communicate.

3. Based on mode of expression: Communication can be classified

into two forms based on the way of expression: non-verbal
communication and verbal communication.

a. Verbal communication: The sharing of information, whether written

or oral, is known as verbal communication. Speaking, listening, writing,
and reading are all examples of verbal communication. This is the most
common method of communication. It is a type of communication in
which the message is delivered verbally. Oral and written
communications are two methods of verbal communication.
i. Oral communication: It is considered to be the first form of
communication. Oral communication can take the form of face-to-face
conversations or electronic media such as telephone, mobile phone, and
so on. It can also take the form of a casual conversation, a group
discussion, a meeting, or something else entirely. It is a more effective
method of communication since the receiver not only hears the message
but also observes the speaker's physical gestures. Face-to-face
communication, speech, telephone conversations, video, radio,
television, voice over the internet, and so on is all examples of this. The
pitch, loudness, speed, and clarity of speech all have an impact on the
oral communication. Clarity of message, brevity of message, choice of
precise and most appropriate words, sequence of message, avoidance
of jargon, and so on are all principles of effective oral communication.
Maintaining a friendly atmosphere, using personal greetings, showing
appreciation and personal interest, opening speech with a smile,
empathizing with listeners, using appropriate language, appropriate
personal appearance, ensuring actions do not contradict words, using
aids, using sense of humour, and so on are examples of oral
communication techniques.
ii. Written communication: Written communication refers to the
exchange of opinions in writing rather than through spoken language.
Charts, images, and diagrams can all be used to explain it. Letters,
postcards, emails, faxes, social media platforms or forums,
advertisements, brochures, proposals, telegrams, newspapers, reports,
circulars, magazines, and other kinds of written communication are
examples. Because the messages communicated cannot be changed,
the words used in written communication must be carefully chosen.

iii. Visual communication: The use of visual actions and activities to

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convey information to the target audience is referred to as visual
communication. It may include artwork, images, videos, charts, graphs,
designs, banners, and sketches, among other things. Aside from that,
visuals are frequently used in presentations to provide context for the
project. Facebook, for example, is a platform that allows for visual
communications in addition to videos, photographs, and text. When
communicating, however, it is important to choose effective visuals.
Visual communication may be more effective and advantageous for
some people to assimilate ideas and information because different
people have various learning styles.
b. Non-verbal communication: "Actions speak louder than words."
Non-verbal communication, often known as manual language, is the
process of transmitting and receiving messages without using words,
either spoken or written. Non-verbal communication includes
communicating through facial expressions, gestures, and posture. It
refers to the transmission of information via facial expressions, voice
tone, and other bodily movements. Non-verbal communication is
essential for complete and effective communication. Communication
was non-verbal even before verbal communication was invented. When
non-verbal communication is present alongside verbal communication,
communication is more effective. Non-verbal communication covers
things like dressing style, maintaining physical distance, and so on, in
addition to body language. The term "kinesic" refers to these body
movements, which include gestures, face configurations, and other
movements. Here are some examples of non-verbal clues that can
either support or detract a sender's message.
i. Body language: A simple rule is that sincerity is conveyed by
simplicity, directness, and warmth. A firm handshake with a warm, dry
hand is an excellent method to establish trust. Unreliability is indicated
by a shaky, clammy handshake. Biting your lower lip is a sign of
insecurity. A direct smile gives confidence.
ii. Eye contact: The proper style and duration of eye contact in business
differs widely among cultures. Looking someone in the eye for about a
second is considered a sign of trust in the United States.
iii. Facial expressions: Thousands of diverse expressions are possible
on the human face. Experts have decoded these expressions to
represent hundreds of distinct emotional states. To the outside world,
our faces provide basic information. An upturned lips and slightly closed
eyes are connected with happiness, while an open mouth and wide eyes
are associated with fear. Unreliability is shown by floating eyes and

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pursed lips. In communication, the impact of facial expressions is
instantaneous.
iv. Posture: Another powerful silent messenger is our body's position in
respect to a chair or another person, which indicates curiosity, distance,
professionalism, or lack thereof. With his head held high and his back
straight, he exudes an erect demeanour. Experts advise reflecting an
interviewer's tendency to lean over and settle into their seat during an
interview. We are listening and responding by the subtle repetition of the
other person's position.
v. Touch: Individuals, genders, and cultures all have different
interpretations of what a simple touch means. When doing business in
Mexico, males may find themselves being grabbed by the arm by
another man. It is impolite to pull away. Touching someone on the head
or touching anything with your foot is regarded very disrespectful in
Indonesia. "It is considered improper for a woman to shake hands with a
male" in the Far East, according to business etiquette author Nazir
Daud. A firm handshake is highly valued in the United States. However,
as a competitive sport, the handshake can feel needlessly forceful, both
at home and abroad.
vi. Space: The term proxemics was coined by anthropologist Edward T.
Hall to describe the various sorts of distance that people experience.
These distances differ from one culture to the next.
19.4 BARRIERS TO COMMUNICATION
Factors that severely obstruct or distort effective communication are
known as communication barriers. Barriers to communication can be
classified as follows:
1. External barriers: External barriers commonly take the following
forms:
a. Semantic barriers: These barriers appear during the communication
process's encoding or decoding stages. The sender's and receivers
linguistic capacities are frequently the cause of these barriers.
b. Badly expressed message: If the message is not expressed clearly
and precisely, and the appropriate term is not used in the right context, it
may not communicate the meaning intended.
c. Faulty translations: Managers are frequently needed to interpret
messages into a format that is suitable to their superiors and
subordinates. You will not be able to accomplish this work properly
unless you have excellent language skills.

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d. Technical jargon: Technical people and other experts are
accustomed to using their own technical jargon that is unfamiliar to
others outside their group. Communication is severely hampered as a
result of this.
e. Emotional or psychological barriers: A person's emotional or
psychological state has an impact on their ability to communicate.
Emotional or psychological barriers include premature evaluation, the
presence of preconceived notions, and inattention due to a lack of
interest.
f. Distrust of communication: If the receiver does not trust the sender
for any reason, he will not pay attention to the message and will not
believe what he hears.
g. Fears: Fear of the receiver misinterpreting the message; fear of
distortion, which occurs when the sender's message is filtered when it
reaches the receiver. This is also known as transmission loss. The
sender withholds information out of fear of being judged if he expresses
his views candidly, resulting in communication barriers.
h. Poor retention: Due to his inability, the receiver has poor retention.
i. Defensive behaviour: When employees feel threatened, they get
defensive. In such situations, they are less likely to pay attention to the
sender's message.
2. Organizational barriers: Organizational barriers are communication
barriers that arise within an organization. Communication effectiveness
is influenced by organizational policies, rules and regulations, and status
relationships. Because of the existing superior-subordinate relationship,
for example, feedback from the subordinate cannot be expected. These
barriers can take the following forms:

a. Negative organizational climate: The negative attitude of top

management is the most important feature of the organizational climate
that obstructs communication. Top management's negative attitude
hinders employee communication initiatives.
b. Absence of communication policy: A well-designed
communication policy supports communication within the organization.
Employees fail or hesitate to communicate when such policies are not in
place.
c. Excessive layers of authority: When there is an excess of authority,
the information passes through numerous hierarchical levels before

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reaching its final destination. As a result, data may become corrupted or
lost. Excessive layers of power also cause communication delays.
d. Filtering: Filtering is the intentional distortion of data. This issue is
most common in upward communication. Employees prefer to only
communicate messages that make others think well of them in upward
communication.

e. Organizational rules and policies: Organizations often have rules

on which message, medium, and mode of communication should be
used. Employees are also able to avoid sending any messages due to
the strict rules. If a company's policy is that every communication must
be done in writing, then even a simple message must be done in writing.
This causes a delay in the message's transmission and, as a result, a
delay in decision making.
f. Status or hierarchical positions: People at the top of the hierarchy
are superior to those at the bottom, so communication between them
would be formal. Effective communication is often hampered by formal
communication. For example, a lower level employee may be hesitant to
send a message to his superior because he is afraid of delivering a
faulty or incorrect message.
g. Organizational facilities: Employees have access to telephones,
stationery, translators, and other organizational resources to help them
communicate more effectively. Communication is stated to be prompt,
exact, and suited to demands when these facilities are appropriately
supplied to employees. Communication can suffer as a result of the lack
of these facilities.
h. Complex organizational structure: When there are more levels of
administration in an organization, communication suffers. With more
levels, communication takes longer to reach the intended receiver and
may change.
3. Personal barriers: Personal barriers are factors that are unique to
the sender and receiver and act as stumbling blocks in communication.
Personal barriers can be categorized into two groups: superiors' barriers
and subordinates' barriers. The following are some of the personal
barriers that exist between supervisors and subordinates:
a. Lack of awareness: Sometimes superiors are unaware of the value
and relevance of communicating in multiple directions on complex or
time-consuming subject matters. Communication is hampered or
obstructed under this situation. If the manager does not recognize the

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importance of communication with the subordinate, he does not
understand it.
b. Racial barriers: Prejudice, rigid beliefs, and even education can
create personal barriers between people from various cultures. Because
of their colour or customs, these barriers have the power to bind healthy
communication between people.

c. Religious barriers: Ideological differences have long led to conflict,

cultural and social dysfunction as a result of religious barriers. Spiritually
and mentally, religious barriers to personal growth and progress can be
tough to overcome.
d. Lack of listening skills: When the receiver merely hears with their
ears and does not listen with their mind, the communication process is
disturbed. Frequently, the receiver just hears what they want to hear and
ignores the rest of the information, creating a barrier to effective
communication.
e. Selective attention: This problem emerges when a person is
impatient and prioritizes their objective over above all else. It just pays
attention to the parts of the information that are relevant to its goals and
ignores the rest.
f. Lack of knowledge: When the sender and receiver are unfamiliar with
the subject, the communication process suffers.
g. Lack of vocabulary: When the sender employs terms that are
difficult for the receiver to grasp, a communication difficulty sometimes
emerges.
h. Lack of faith in subordinates: Superiors often lack trust in
subordinates and hence mistrust their capacity to deliver relevant
information. Subordinates' thoughts and opinions are purposefully
ignored, and they are discouraged from communicating further.
Employee morale suffers as a result, and communication is hampered.
i. Fear of challenge of authority: Superiors are afraid that if they do not
act in accordance with their authority, they may be demoted to lower
ranks. Therefore, in order to maintain their status, they purposefully
conceal their weaknesses by refusing to share their ideas with others.
j. Attitude of superiors: Adequate information cannot flow from the
subordinate to the superior if the superior has a negative attitude about
the subordinate's act of giving a message.

k. Insistence on proper channel: Superiors always insist that

subordinates provide information via the proper channel, which

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discourages him from delivering accurate information.
l. Lack of incentives: Subordinates often make comments and
recommendations in order to be rewarded. Subordinates are provided
with incentives to encourage them to submit suggestions and to
recognize their contributions as critical to the organization's success.
When there are not enough incentives, the subordinate is less likely to
communicate, and the communication process suffers as a result.
m. Unwillingness to communicate: Often, subordinates refuse to
speak with their superiors in order to keep information that is negative in
nature and could have a negative impact hidden from them. If the
subordinate is forced to inform his superior, he alters the information
such that it has no negative consequences. Hence, the communication
process is tempered by not delivering the information in its true form.
4. Technological barriers: Organizations face a number of
technological communication hurdles. Some are self-evident, such as a
slow internet connection or obsolete technology. Here are some of the
most typical technological communication barriers:
a. Outdated technology: Organizations may be using an out-of-date
technology that delays, does not allow more than a specific number of
individuals to join a call, or lacks video capabilities. This might cause
communication problems because it limits an employee's capacity to
engage with the coworkers, conduct public events, and deliver client
presentations.
b. Limited communication access across functions and levels: Most
organizations restrict communication access based on authority levels.
Unless the organization is flat and the positions are flexible, this is
usually required. However, it can also serve as a technological
impediment. When some employees are unable to access the
communication channel while others are able to, it has a negative
influence on their work and demotivates them.
c. A jam-packed inbox: A jam-packed inbox is another obvious
example of technological barriers. Although it may not appear so, an
overloaded inbox might have a negative impact on our work. Some
urgent emails or messages from a colleague or senior may be missed by
managers or associates. A junior may require additional information on a
task that a management may overlook. Unless they keep their emails up
to date, this might have catastrophic implications.

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19.5 WAYS FOR IMPROVING COMMUNICATION
Managers can reduce a range of communication barriers in a number of
ways. Effective communication can be achieved by employing the
following ways.
1. Information clarity: The sender's thoughts must be clear on the
message to be given. The communicator must first be clear in his
thinking about the information he wishes to convey. Communication
should always be in a common and easy-to-understand language so that
it is not misunderstood by the receivers.
2. Completeness: As incomplete information is dangerous from a
business standpoint, the message to be transmitted must be adequate
and complete in all areas. Facts and observations must be used to back
up the message being given. It must be meticulously planned and
executed. The receiver should not make any assumptions.
3. Conciseness: The message must be brief. It should not contain any
extraneous information. It should be concise and complete.
4. Consistency of message: The message to be conveyed should not
be contradictory; instead, it should be consistent with the organization's
objectives, policies, programmes, and procedures. Self-contradictory
statements cause turmoil and cause confusion in the workplace, which is
damaging to the company's efficient operation.
5. Feedback: Feedback is a critical component of good communication.
Feedback should be given in a timely and personal manner. Rather of
being general, it should be specialized. Communication becomes a two-
way process as a result of the feedback process. The sender should
endeavor to become sensitive to facial expressions and other indicators
that indicate how the message is being received in face-to-face
situations. When more formal contact is required, the sender may set
precise response forms and time frames to assure feedback.
6. Understanding the receiver: In the receiver's view, communication
must build a good comprehension. "Communicate with an awareness of
the complete physical and human setting in which the information will be
received," Killian suggested. Consider the workplace, the level of
receiver receptivity and comprehension, the social climate and customs,
and the timeliness of information.
7. Change the message to fit the audience: The information that
different people in the company require varies depending on their needs.
What is important to middle managers may not be significant to senior

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executives. Jargon should be avoided as much as possible because it
might lead to misunderstandings and misinterpretations. The message
should be tailored to the target audience's specific needs and wants.

8. Multiple communication channels: After you have decided on a

subject, you will need to figure out the best way to convey your
message. Multiple channels should be employed for good
communication because they enhance the odds of message clarity. The
message is reinforced through the use of several channels, and the
chance of the message being misinterpreted is reduced. Personal
interactions, meetings, conferences, telephone calls, letters, reports,
minutes, notices, manuals, journals, balance sheets, organizational
charts, attitude, gestures, expression, inflection, and other ways of
communication will help in effective communication.
9. Use of grapevine communication: Grapevine does not always have
to be discouraged by employees and management. They should put the
grapevine to good use. Managers can use the grapevine to
communicate formal messages to employees and to identify issues that
are relevant to them. Managers can learn about their employees'
problems and work to solve them.
10. Parallel channels and repetition: Providing parallel channels of
communication that reinforce each other is a key principle of
communication technology. A memo can thus be sent in response to a
verbal request. This way, the sender has ensured that the receiver's
attention is captured, as well as having a record to go to in the event that
their order contains a lie or oversight.
11. Timing and timeliness: The timing and timeliness of
communication should be given careful attention. At one time, different
individuals and groups will receive or respond to the same message
differently, while at other times, the same individuals and groups will
receive or respond to the same message differently. Management can
take two types of actions to ensure that employees receive
communication in a timely manner: a. they can standardize the timing of
specific messages; and b. many organizations set up "retreats," or time
away from normal work pressures, to relay materials, ideas, and
instructions to employees.
12. Consultation: When planning communication, it is usually desirable
to consult with others. The message will get more depth and objectivity
as a result of this. One of the most essential outcomes of the
consultation will be active support from people who were trusted during
the communication planning process.

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13. Tone and content: When speaking or writing, the communicator
must pay attention to the words he uses. His tone, expression, and
emotion will all play a role in whether or not what he is attempting to say
is understood.
14. Support with action: It is important that the communicator's
behaviours support his words. This is due to the fact that actions speak
louder than words. It should be highlighted that the most convincing
communication is not what you say, but what you do.
15. Listening: Managers and supervisors must be good listeners as one
of the most critical aspects of effective communication. When others are
trying to communicate, it is dangerous to be inattentive or uninterested.
16. Environment of trust and confidence: According to F.E. Fischer,
"communication develops best in an atmosphere of trust." Therefore,
every effort should be made to earn confidence by accurately conveying
the facts. Employees must be persuaded and have the impression that
the company is honest and sincere in its dealings.
17. Keep the system always alive: The communication system must
be kept open and operational all year. Only by making sincere efforts the
good communication relationships can be established.
LET US SUM UP
Communication is the process of conveying various types of information
from one person to another. Formal and informal communications are
both possible. Grapevine is another term for informal communication.
External, emotional, psychological, organizational, personal, and
technological communication barriers might all exist. To make
communication more effective, organizations must take actions to
remove barriers. The glue that ties an organization together is, and
always has been, communication. Many managers fail to consider the
communication implications of their decisions, which have a detrimental
impact on the organization's effectiveness. The study, analysis, and
critique of the role of communication in organizational environments are
referred to as organizational communication.
CHECK YOUR PROGRESS
Choose the correct answer
1. Which of the following is not a communication process element?
a. Feedback b. Reinforcement

c. Medium d. Interaction

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2. It is__________ when communication improves learner interaction.
a. Physiological b. Psychological
c. Artistic d. Transient

3. Which of the following is not a physical communication barrier?

a. Noise b. Verbalism
c. Ill health d. Invisibility

4. _________ are issues that arise as a result of expression.

a. Cultural barriers b. Semantic problems
c. Wrong assumptions d. Selecting perception
5. Posters are classified as ____________ communication
a. Oral b. Visual
c. Written d. Spoken
GLOSSARY

Communication : Communication is the process of conveying

information and understanding from one person
to another.

Formal : Formal communication is the transmission of the

communication official information through predetermined
channels and methods.

Informal : It is informal in character, and it is based on the

communication informal social interactions that develop in the
workplace outside of the usual corporate
hierarchy.

Grapevine : Grapevine communication is defined as

communication communication that occurs in an organization
without adhering to a prescribed structure.

Communication : A communication channel is a form of media that

channel allows a message to be sent and received.

SUGGESTED READINGS
1. Aswathappa, K. Organizational Behaviour. New Delhi: Himalaya
Publishing House.

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2. Mishra, M.N. Organizational Behaviour. New Delhi: Vikas Publishing
House.
3. Prasad, L.M. Organizational Behaviour. New Delhi: Sultan Chand &
Sons.
4. Stephen P. Robbins., Timothy A. Judge., and Neharika Vohra.
Organizational Behavior. New Delhi: Pearson Education India.

5. Uma Sekaran. Organizational Behaviour: Text & Cases. New Delhi:

Tata McGraw Hill.
WEB RESOURCES
1. Communication: Meaning, Definition, Types of Communication in
Tamil (part 1) UGC NET Paper 1 - Bing video
2. Organizational Behavior (Robbins and Judge) Chapter 11 --
Communication - Bing video
3. Chapter 19 Organizational, Interpersonal, and Group
Communication - Bing video
4. Organizational Communication #BPSU #CSBS
#IndustrialnadOrganizationalPsychology - Bing video
ANSWER TO CHECK YOUR PROGRESS
1.b 2.b 3.b 4.b 5.b

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UNIT 20

STRESS MANAGEMENT
STRUCTURE

Overview

Learning Objectives

20.1 Meaning and Definitions of Stress

20.2 Causes or Sources of Stress

20.3 Consequences of Stress

20.4 Stress Management

Let us sum up

Check your progress

Glossary

Suggested Readings

Answer to Check Your Progress

OVERVIEW
The adverse physical and emotional reactions that might arise when
there is a contradiction between the job demands placed on an
employee and the degree of control that the individual has over meeting
those demands are referred to as work stress. Workplace stress can
stem from a variety of sources or be caused by a single event. Both
employees and employers may be affected. Some stress is considered
to be acceptable and is sometimes referred to as 'challenging' or positive
stress,' but when stress is inordinately high, it can cause mental and
physical changes. Long working hours, a heavy workload, job insecurity,
and conflict with coworkers or superiors are some of the reasons of
work-related stress. Reduced job performance, depression, anxiety, and
sleeping problems are all symptoms. Employers must acknowledge
work-related stress as a significant health and safety issue.
LEARNING OBJECTIVES

After completing this unit, you will be able to:

• define stress

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 • identify the causes and sources of stress
• describe the consequences of stress
• discuss about stress management

20.1 MEANING AND DEFINITIONS OF STRESS

Stress is an unavoidable element of life that cannot be completely
avoided. Stress becomes more likely when organizations get more
complicated. People are stressed because they can no longer control
everything that happens in their lives. In their daily lives, many people
suffer high or moderate levels of stress. Individuals experience
significant stress as a result of feelings of frustration, unhappiness,
psychosomatic, and psychological problems. In modern world, there is
no way to avoid stress. The reason for this could be short-term or long-
term, and it could differ from place to place and person to person. It is
best understood in terms of the internal and environmental conditions
that must exist for it to awaken, as well as the symptoms that identify it.
It has both psychological and physiological symptoms that can be
identified. Hans Selye invented the term 'stress,' as we know it today, in
1936, and defined it as "the body's non-specific response to any demand
for change." The following are some definitions of stress:
"Stress, or the stress response," says J.C. Quick “is the unconscious
preparation to fight or flee a person experience when faced with any
demand”.
“Job stress is a condition arising from the interaction of the people and
their jobs, and characterized by changes within people that force them to
deviate from their normal functioning according to Beehr and Newman
Wolf and Goodell defined stress as a dynamic state within an organism
in response to a demand for adaptation.

Stress is a state in which a person is confronted with an opportunity, a

constraint, or a demand that is related to what he desires, and the
outcome is viewed as both uncertain and important. When a situation
allows a person to gain something, stress is beneficial. It serves as a
motivator for achieving maximum performance. Constructive stress, also
known as eustress, refers to a situation in which an individual is in
balance or behaving within acceptable limits. A modest or moderate
amount of stress can be beneficial or energizing. Moderate stress can
help people put in more effort, be more creative, and be more diligent at
work. It is comparable to the tension of working for exams, paying
attention in class, and completing projects/homework on time.

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20.2 CAUSES OR SOURCES OF STRESS
Sources of stress include both work-related and non-work-related
factors.

1. Work-related factors: Work-related health disorders, both physical

and mental, can create a significant financial liability for an organization.
It has been estimated that 95 per cent of workers' compensation claims
stemming from mental stressors are created by the cumulative
psychological trauma in the workplace, which is caused by the
responsible party's abuse of employees. The most significant work-
related stressors are listed below.
a. Occupational factors: Some occupations are more stressful than
others. Because many of their tasks are largely physically hazardous or
expose them to more harmful substances, blue collar employees are
more likely to be exposed to working conditions that lead to physical
health concerns. Workplace routines have been linked to high levels of
work alienation and boredom, while machine-paced work has been
linked to higher levels of tension, anxiety, anger, depression, and fatigue
than non-paced work. High-risk jobs demand a lot of mental energy and
provide little control over our decisions.
b. Role pressure: The extent of role conflict and role ambiguity in
organizations, their causes, their relationship to personal adjustment,
and how personality can modify the effects of role strain were
investigated by Robert Kahn and a group of researchers from the
University of Michigan's Institute for Social Research. This study is
based on the assumption that people are more effective in their
professional roles when they know exactly what is expected of them and
do not have a lot of conflicting demands.

c. Role conflict: When people have competing demands, role conflict

occurs. Inter-role and intra-role conflicts are the two types of role
conflicts. Inter-role conflict occurs when a person's responsibilities in two
or more roles conflict, causing the person to struggle. Work-family role
conflict is the most common type of inter-role conflict. Intra-role conflict,
also known as person-role conflict, refers to a person's internal
discourse, behaviours, values, and attitudes, and how they may or may
not be consistent with a specific role. In intra-role conflict, just one role is
involved, and the problem is an incompatibility between the person and
that role rather than a contradiction between roles.
d. Role ambiguity: When an individual is unsure about the varied
expectations that others have of their function, they are said to be in role

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ambiguity. Role ambiguity can also be caused by a lack of knowledge
about how to accomplish the required responsibilities of the role. This
leads to mental confusion and tension in the worker. It is the uncertainty
of others' expectations. Task ambiguity is one type of role ambiguity that
pertains to uncertainty regarding the job requirements themselves. The
second type of socio-emotional ambiguity is uncertainty about how one
is perceived by others, such as when a person starts a new work and
attempts to learn how to accomplish it. When job expectations are so
high that they surpass time and/or capacity restrictions, this is known as
role overload.
e. Lack of participation: In reality, before making a decision, superiors
rarely question the employees involved. This creates a sense of
abandonment, which can lead to stress. Managers who claim higher
levels of decision making involvement are less stressed, anxious, and
threatened at work than those who indicate little participation. It is
important to participate for two reasons. First, it is related to other
stressors. Lower role conflict and ambiguity are connected with
participation. Second, high engagement gives a person a sense of
control over environmental stressors, which reduces the impact of
stresses as compared to when a person has real or perceived control.
f. Responsibility to people: Workplace stress can be caused by a
person's responsibility to others. Effectiveness as a manager is
determined by those who work for you. If you do not trust them for any
reason, you may feel stressed since you do not feel in control of the
situation. In addition to this responsibility to others, one must make
decisions about others' pay, promotions, and career pathways, and have
a significant influence on their life.

g. Workload: Excessive workload causes stress because it places a

person under a great deal of stress. Work overload might manifest itself
in two ways: a. Qualitative work overload occurs when an individual is
asked to do work that is difficult or beyond his or her capabilities. b.
Quantitative work overload occurs when a large number of activities are
completed in a short period of time. In this instance, the employee is
expected to do too little or very easy work.
h. Organizational factors: Stress is influenced by the organization.
Many people believe that a mechanistic organizational structure is too
constraining and does not maximize human performance potential,
whereas an organic structure is more likely to release human productive
capacity. Stressors were found to be four characteristics of
organizations. 1. Stress is related to a person's level of organization. In

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the executive position, there is a lot of role overload, executives are
responsible for others, and there is a lot of tension and uncertainty. Due
to the introduction of conflicting demands from superiors and a lack of
resources, workers at lower levels are more prone to experience the role
overload and role conflict. 2. The complex rules, requirements, and
networks that exist in large organizations are referred to as
organizational complexity. As work grows more specialized, more layers
of supervision are implemented, and more complexity is added, role
strain becomes more of a concern. 3. Organizational change can be a
substantial source of anxiety. In order to respond to changing external
forces, organizations in unstable settings must regularly restructure roles
and employee responsibilities. A person's job security and authority may
be harmed as a result of such changes. 4. Organizational boundary
roles are stressful because the incumbent is vulnerable to internal and
external causes of role conflict. Salespeople, for example, must respond
to consumer expectations while also following organizational regulations.
i. Career concern: Stress can be caused by under-promotion, over-
promotion, demotion, and transfers. Employees who believe they are far
behind in the corporate ladder may be stressed. He may become
stressed if it appears that there are no prospects for personal growth.
Unmet employment expectations, as a result, are a key source of stress.
j. Rotation of shifts: People who work different shifts may experience
stress. Employees should expect to work the day shift for a few days
and then the night shift for the rest of the week. This might make it
difficult to adjust to shift timings, and it can have an impact on the
employee's personal as well as family life.
k. Occupational demands: Some jobs need more effort than others.
Dangerous and high-risk jobs are more stressful. Working in a stressful
environment requires regular monitoring of equipment and devices, as
well as unpleasant physical conditions, decision-making, and so on.
l. Poor working conditions: Employees may face poor working
conditions. Poor lighting and ventilation, unhygienic sanitary facilities,
excessive noise and dust, toxic gases and fumes, insufficient safety
measures, and so on is examples of this. These unpleasant conditions
cause physiological and psychological imbalance in humans, resulting in
stress.

m. Lack of group cohesion: Employees may experience stress as a

result of a lack of group cohesion, which can lead to conflict and tension.
At work, a person must maintain three important relationships: those
with supervisors, subordinates, and coworkers. Employees may

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experience stress as a result of these relationships. When there is a lack
of unity among the members of a work group, people become stressed.
In groups, there is mistrust, jealousy, frequent quarrels, and so on, which
causes stress among employees.
n. Interpersonal and intergroup conflict: When colleagues' needs and
values differ, interpersonal conflict arises. Intergroup conflict arises when
groups disagree on their aims and objectives. Stress can be caused by
dysfunctional conflict. Conflicts emerge when two or more individuals or
groups have different perspectives, attitudes, values, and beliefs. Group
members may experience stress as a result of such conflicts.
o. Organizational changes: People must adapt to changes as they
occur, which can result in stress. When major or unusual changes occur,
such as transferring or adopting new technologies, stress levels rise.
p. Organizational life cycle: Organizations go through various stages
of development. Each stage of an organization's life cycle has its own
set of concerns and obstacles. Anxiety and tension are created when
issues are caused.
Q. Organizational structure: Organizational structure consists of a
degree of differentiation, as well as a set of rules and regulations that
might cause employees to get stressed.
r. Organizational leadership: The executives, or leaders, create a
culture defined by tension, fear, and anxiety, which causes stress among
the workforce.
s. Technological changes: Employees are continuously anxious about
losing their employment or having to adapt to new technology when
there are advancements in technical domains. It has the potential to be a
source of anxiety.

2. Non-work factors: There are several factors that induce stress that
are not related to an organization. The following are the main sources of
the stress outside of work or the organization:
a. Changes in life structure: As a person moves through life transitions
and career stages, some of life's natural flows might cause stress.
Changes in one's life can be stressful. Life changes can be gradual or
abrupt. Aging is a gradual life change, while death or an accident of a
loved one is an abrupt life change. Sudden life changes can be
extremely stressful and difficult to manage. Each of us is considering
changing jobs. High levels of stress in life are linked to how people seek
information in order to cope with the unpleasant experience. When

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people are stressed at work, they turn to coworkers, bosses, and other
coworkers for assistance.
b. Lack of social support: When members of the group are stressed,
they seek support from their peers. When an employee faces challenges
and his coworkers stand by him in the face of such threats, the
employee feels better. Losing a job can be stressful, and it has been
linked to things like arthritis symptoms, high cholesterol, and alcohol
consumption. When a person has a social support system to help them
manage, these impacts are always decreased or mitigated. Events can
be less stressful when a person has social support since the resources
one draws on are more help from others, and so the demands of the
environment can be met.
c. Perceived environmental control: Stress relationships have been
demonstrated to be moderated by locus of control. People who have an
internal locus of control believe that they have control over their
surroundings and that what they do and how they do it impacts their
outcomes. Those with an external locus of control feel they have little
control over their surroundings and that what occurs to them is a result
of luck, fate, or other people's actions. Interns perceived the situation
was less stressful than externs did. Externals are more likely to yield, be
passive, and perceive situations as more stressful. Interns report lower
stress levels and are less prone to become significantly and regularly ill
when exposed with stressors.
d. Type A and Type B behaviour pattern: The Type A and Type B
behaviour patterns have been related to different stress responses. Type
A people have more intense body responses to stress and recover more
slowly than Type B people physiologically. Type A people are more likely
to have risk factors for cardiovascular disease, as well as a higher risk of
coronary heart disease. Type A people's behavioural stress responses
can contribute to the most extreme physiological responses. They
smoke and are more irritable, aggressive, and rushed. They react to
stressful situations more cognitively. They are more inclined than type B
people to use denial and suppression. When they fail, they try to solve
the problem again and again.
e. Self-esteem: Self-esteem appears to influence how a person reacts
to stress. Self-esteem is a person's perception of and assessment of
oneself. Job performance and stress response are both influenced by an
individual's self-concept. Self-esteem is strong in people who have a
positive and reasonably accurate concept of "self." They are self-
confident, not in the sense that they rush headlong into unfamiliar

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situations with reckless abandon, but in the sense that they are aware of
their strengths and potential and behave accordingly. People with poor
self-confidence are more likely than those with great self-confidence to
have more intense relationships with high stress.
f. Flexibility and rigidity: People who are flexible are more adaptive to
change, more free and open to others, and more responsive to others.
They may exhibit indecisiveness as a result of their inability to make
decisions. When it comes to dealing with situations, the flexible
individual does not have any hard and fast rules. Flexible people try to
change their behaviour when the situation requires it to relieve stress.
The rigid person is narrow-minded and often dogmatic in their outlook on
life. Stress affects rigid people in different ways. A rigid individual can
become increasingly reliant on their boss while under pressure. When
faced with work stress, a rigid individual responds by working even
harder. He or she may devote more time and effort to work in order to
get more done, while neglecting other aspects of their lives.
g. Ability: There is not much evidence that ability influences how people
react to stressful situations. Experts are brought in to handle difficulties
in times of crisis. As a result, when stress levels are high, supervisor
experience is positively associated to performance. For three reasons, a
highly capable person may perform better in difficult situations. First, it is
less prone to have role overload. The higher your ability, the more you
can accomplish. Second, high-potential individuals are usually aware of
their limits. As a result, they are better equipped to appraise their odds of
success in high-stress in situations that are uncertain and important.
Third, high-ability individuals have more situational control than low-
ability individuals, and situational control influences how a person reacts
to stressors.
h. Civic amenities: Inadequate civic amenities in one's neighbourhood
might be a source of stress. Inadequate or absent public infrastructure,
such as a faulty water supply, excessive noise or air pollution, or a lack
of suitable transportation, can be extremely stressful.
i. Frustration: Another source of stress is frustration. When goal-
directed behaviour is disrupted, this happens. Management must make
every effort to remove roadblocks and assist employees in achieving
their objectives.

j. Racial, caste, and religious conflict: Employees who live in places

where race, caste, and religious differences are common cause for inter-
personal conflict are more stressed. Minorities and low-caste people are
more stressed when it comes to religion.

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20.3 CONSEQUENCES OF STRESS
A person who is under a lot of stress can develop high blood pressure,
ulcers, and a loss of appetite, among other things. Stress can present
itself in a variety of ways. It is not necessary for all consequences to be
negative. The effects of healthy and normal stress, known as eustress
(euphoria + stress), include a number of performance and the health
benefits in addition to the more well-known costs of stress, known as
distress, which are described here.
1. Performance and health benefits: The stress response is not
always negative or harmful. Stress causes performance to improve to an
optimal level, according to the performance and health benefits of stress.
Additional tension and excitement have a negative impact on
performance once you have reached the optimal stage. Individual and
organizational discomforts are caused by extended activation of the
stress response, reaction-induced energy mismanagement, or unique
vulnerabilities within a person.
2. Individual distress: Individual distress usually presents itself in one
of three ways:

a. Physiological symptoms: The human body is negatively affected by

stress. Tension, headaches, high blood pressure, diabetes, high
cholesterol, malignant ulcers, arthritis, and the other ailments suffer
people. Stress plays a role in a variety of medical illnesses. Heart
disease and stroke, back pain, peptic ulcers, and headaches are the
most common medical diseases associated with this type of illness. The
majority of early stress concerns revolved around physiological
symptoms. Extreme concern with work, for example, can cause severe
individual misery, as evidenced by the peculiar Japanese phenomena of
"Karoshi," or death by overwork.
b. Psychological symptoms: Job dissatisfaction, moodiness,
depression, anger, anxiety, nervousness, impatience, and tension are all
psychological effects of stress. Depression and burnout cause lower
efficiency, decreased interest in work, fatigue, and exhaustion in the
early phases. Psychogenic disorders are physical illnesses that have
their origins in the psyche. For example, the high stress of public
speaking might lead to psychogenic speech disorder, in which the
person's psyche refuses to enable him or her to speak.

c. Behavioural symptoms: Job stress is unhealthy, and it has a

detrimental impact on employee behaviour. Insomnia, overeating or
under-eating, obesity, increased alcohol intake and smoking, drug

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abuse, violence, and accident proneness are all behavioural outcomes
of elevated stress levels. Changes in productivity, absence, and
turnover, as well as changes in eating habits, fast speaking,
restlessness, and fussiness, are all behavioural stress signs. Accidents,
both on and off the job, are another type of behavioural discomfort that
can be attributed to workplace stress.

3. Organizational distress: According to University of Michigan

research, mismanaged stress has a number of indirect consequences to
the organization, including low morale, dissatisfaction, communication
failures, and disruption of working relationships. The following are some
of the problems that arise as a result of Organizational distress:
a. Participation problems: Costs linked with absenteeism; tardiness,
strikes and work stoppages, and turnover are all examples of
participation problems.
b. Decreases in performance: Performance reductions are the costs
incurred as a result of poor or low-quality production, grievances, and
unscheduled machine downtime and maintenance.
c. Compensation awards: Court decisions for job distress result in a
third organizational cost.
20.4 STRESS MANAGEMENT
As firms and their employees began to recognize the seriousness of the
consequences of stress, they attempted to manage it. It may be possible
to direct the objective environment to remove a stressor or to change the
person's psychological surroundings. It may be possible to modify stress
symptoms so that they do not have long-term harmful effects. Some of
these efforts have intended to reduce employee stress, but the majority
has aimed to improve employees' adaptability. Efforts can be made to
minimize stress at both the individual and organizational levels.
I. Individual level: Stress can be managed in the sense that a person
can avoid, change, or leave stressful situations to deal with them more
effectively. It can be done in a variety of ways. Some, on the other hand,
are currently considered to be useful and appear to be particularly
relevant to organizational stress. It is possible for an employee to take
personal responsibility for lowering their stress level. Individual stress
management usually tries to improve one's ability to deal with stress.
Individual strategies that have been demonstrated to be beneficial
include time management, increased physical activity, relaxation
training, and expanding one's social support network.

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1. Time management: better time management is a practical way to
control stress. Many people have a poor time management skill.
Employees who are well organised can often accomplish twice as much
as those who are not. Beyond time management, the basic principle is to
choose which tasks are the most important and to complete them first.
Individuals can better cope with the tensions caused by the job
expectations if they grasp and apply the basic principles of time
management. Some of the most well-known time management
principles are as follows:

a. Make to-do lists on a daily or weekly basis.

b. Sort activities according to their priority and urgency. Hence, you
should give them a rating. A (must be done), B (should be done), or C
(optional).
c. Planning activities in accordance with priorities. Then you plan your
time so that you can complete the A-level items. You spend any
remaining time on the B-level items before moving on to the C-level
items.
d. Know your daily cycle and manage the most demanding aspects of
your job during the most alert and productive phase of your cycle.
2. Physical exercise: Regular exercise can help employees improve
their physical health. Doctors have long advocated physical activities
such as aerobics, walking, running, swimming, and bicycling as a
strategy to alleviate high stress levels. People's physical health improves
when they exercise regularly. They also appear to be more self-
confident, optimistic, and less stressed. These types of physical activity
raise heart rate, lower resting pulse, provide a mental break from work
stress, and allow you to let off steam.

3. Relaxation and biofeedback: Relaxation techniques such as

meditation, hypnosis, and biofeedback can help people reduce tension.
It might also be good to use a variety of techniques to help people slow
down stress.
a. Relaxation reduces muscle tension, pauses breathing, and lowers
heart rate and blood pressure. The goal is to achieve a deep state of
relaxation in which one feels physiologically relaxed, removed from one's
immediate surroundings, and disconnected from bodily sensations.
Deep relaxation for 15-20 minutes a day relieves tension and offers a
person a strong sense of peace.
b. Meditation creates a relaxing environment by combining a calm

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environment, closed eyelids, a comfortable posture, and a word or
phrase to repeat silently or aloud.
c. Taking regular vacations is a basic but important aspect of relaxing.

d. Monitoring physiological responses including brain waves, heart rate,

muscle tension, and blood pressure, then using the information to
control those responses is known as biofeedback. Biofeedback helps
people relax in this way. It helps in stress reduction by demonstrating
that people have some control over their bodies.
4. Developing a social support system: Having friends, relatives, or
coworkers to talk to when stress levels rise provides an outlet. Spending
time with family and friends is necessary for developing a social support
system to deal with the routine stresses of organizational life. Laughing,
sobbing, or talking about problems on a regular basis allows people to
vent their frustrations before they become intolerable. The stress-
burnout relationship is moderated by social support. That is, a high level
of support minimizes the risk of burnout because of intense work stress.
5. Adjustment of perceptions: Because perceptions of a stressor have
a role in how the stressor is experienced, effective stress management
may include a conscious adjustment in thinking. Looking the stressor as
a challenge rather than a problem is one way to approach it.
6. Learned optimism: People use two different thinking styles to explain
good and bad events in their lives: optimism and pessimism. Pessimism
is an explanatory style that leads to depression, physical health issues,
and low success levels. Optimism is a different way of thinking that
enhances physical health and achievement while reducing the
susceptibility of depression. Optimistic people avoid discomfort by
understanding bad events and tough times in their lives as temporary,
limited, and caused by forces outside of their control. Identifying
pessimistic thoughts and diverting them or challenging them with
evidence and alternative thoughts is the first step in learning optimism.
7. Recreational activities: Recreational activities allow employees to
relax and recover from strenuous activities at home or at work. For
workers, leisure is becoming more and more of a luxury. The secret to
making the most of our leisure time is to have fun. In our life, leisure time
can be used for spontaneity, joy, and connection with others.
8. Diet: Diet can affect stress and stress management in an indirect
way. Good eating habits improve a person's general health and make
them less prone to stress.

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9. Opening up: At some point in their lives, everyone encounters a
traumatic, stressful, or painful event. Confiding in another person is one
of the most therapeutic and healing responses to such an experience. It
is not necessary to confess to friends in a personal relationship. This can
be accomplished through the use of a diary. A person can, for example,
write every night about all of their most troubling thoughts, feelings, and
emotions from the previous day. Professional counseling relationships
can facilitate confession and openness. The act of opening up and
confessing appears to counteract the negative consequences of stress.

10. Counseling and psychotherapy: Counseling and psychotherapy

have long been used to help people deal with the effects of stress. Staff
trained in mental health intervention work with the person on a regular
basis to identify the root of the stress, help them in changing their
perspective on themselves, and builds alternative coping strategies. This
is frequently done by assisting a person in gaining enough self-
confidence and self-esteem to try a different method of stress
management.
II. Organizational level: Many of the factors that generate stress are
under management's control, including work and position expectations,
as well as organizational structure. Organizations have recognized that
lowering employee work-related stress can increase the performance in
some cases. Improving the working atmosphere and clarifying roles are
two ways to do this. Employees' efforts to cope with stress can be
supported by the organization's wellness programmes, which can build a
supportive organizational culture. The company recognizes that reducing
the quantity and intensity of stressors, as well as assisting employees in
dealing with them more effectively, would result in improved
performance, lower turnover and absenteeism, and lower expenses.
1. Job redesigning: Redesigning job to provide employees more
responsibility, meaningful work, autonomy, and feedback can reduce
stress by giving people more control over their work activities and
reducing their reliance on others. Redesigning job to give workers more
control is a stress management strategy. This can be accomplished in a
variety of ways, the most common of which is to give employees more
decision making authority at work. Greater decision making authority
over the sequence of work activities, the timing of work schedules, the
selection and sequence of work equipment, or the selection of work
teams could all be examples of increased decision making authority at
work. Another goal of job redesign should be to eliminate workplace
uncertainty and promote predictability. Job enrichment increases

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motivation and encourages higher quality work, especially for individuals
who have a lot of room for advancement.
2. Goal setting: Goal setting activities can be used to manage
organizational stress in a preventative manner. These activities are
intended to boost task motivation while lowering the amount of role
conflict and ambiguity that people face at work.

3. Role negotiation: The definition of a specific role, known as the focal

role, in its organizational context is the first step in role negotiation. The
focal role person then articulates the expectations that are known for
that role, and key members of the company articulate their expectations
of the focal role person. The actual negotiation is based on a
comparison of the position holder's expectations with the expectations of
the key members. Confusion and disagreement provide opportunities for
clarification and resolution. The role negotiation process should result in
a clear and well-defined focal role that is acceptable to both the
incumbent and other members of the organization.
4. Organizational communication: By reducing ambiguity and role
conflict, increasing formal organizational communication with employees
minimizes uncertainty. Given the role of perception in moderating the
stress-response relationship, managers can shape employee
perceptions through an effective communications. It is a method of
reducing role ambiguity and, if better communication defines lines of
responsibility and authority, it can also have a direct effect on role
conflict.
5. Wellness programmes: Wellness programmes, aimed to enhance
employee health and well-being, may be sponsored by organizations.
Wellness programmes are cost-effective. When it comes to wellness
programmes, one ethical dilemma is whether the employer has the right
to control what employees eat, whether they smoke, and how much
exercise they get. Some employees are receptive to participate in
wellness programmes, but others are not. Regular seminars and
conferences, as well as exercise the facilities and programmes, one-on-
one counselling when employees are experiencing professional or
personal strains. Workplace stress can be reduced with the help of
wellness initiatives.
6. Workplace social support system: In the workplace, team building
is a strategy to foster helpful social interactions. Team building, on the
other hand, is primarily task-oriented rather than socio-emotional.
Although employees may derive much of their socio-emotional support
from their personal relationships outside of work, some socio-emotional

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support at the workplace is still required for psychological well-being.
There are numerous strategies to improve social support systems in the
workplace. Emotional caring, knowledge, evaluative feedback,
modelling, and instrumental support are all provided by these
relationships.
7. Organizational culture: Limiting stress, developing coping skills, and
establishing shared values and beliefs are all ways that organizational
culture can assist the employees manage stress. Employees in such a
culture are treated as human beings who require relaxation, social
support, and a laugh from time to time.
8. Effective performance appraisal: Role conflict and ambiguity are
reduced by effective performance appraisal and reward systems. When
a person's rewards are clearly tied to their performance, they are aware
of their responsibilities and where they stand.
9. Participation in decision making: Participation in decision making
provides a person with a higher sense of control over their work
environment, which has been associated to fewer negative stress
reactions. There is a substantial relationship between job satisfaction,
role conflict, and role ambiguity and participation. To increase
participation, more individuals must be involved in decision making, and
responsibility must be delegated to those who are currently responsible
of job performance.
10. Matching skills, personality and work: One strategy to reduce
workplace stress is to better match skills, personality, and work. Nothing
is more aggravating than being assigned to a job you cannot handle or
in which you do not have the ability to excel. Similarly, because the work
to be done has been built up that way for particular activities, there is a
lot of inherent tension in some jobs. Organizations must look for the
employees who are highly skilled and capable, as well as those who
have personalities that can help them efficiently.
LET US SUM UP
We discussed about stress management in this unit. Stress has a
negative impact on both personal and professional quality of life. Stress
is caused by a variety of circumstances. Stress can be beneficial to the
individuals' energy levels in some cases, but most of the time it is
dysfunctional and has a detrimental impact. Stress can be categorized
into two types: constructive and destructive stress. Individuals' stressors
can be traced back to both their personal and professional lives. Life
changes, personal problems, and having a Type A personality are all

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personal aspects that contribute to stress. Job demands, role demands,
and physical demands are all organizational factors that contribute to
stress. Stress management is the need of the hour. They can have an
impact on our immune, cardiovascular, and neural systems, as well as
leads to a stress-related addictions. When we encounter difficult events
intentionally, we are better able to deal with them. Taking a humorous
view to ordinary problems might help to alleviate everyday stressors.
CHECK YOUR PROGRESS
Choose the correct answer
1. Which of the following is/are not a source of work-related stress?
a. Role ambiguity b. Role overload
c. Ethical dilemmas d. Career concerns
2. Which of the following organizational variables is/are not a source of
stress?
a. Task demand b. Role demand
c. Role conflict d. Satisfaction
2. Which of the following methods is/are used to manage stress?
a. Job relocation b. Career counseling
c. Recreational facility d. All the above
3. __________ are examples of physiological stresses.
a. Menopause b. Giving birth
c. Sleep disturbances d. All of the above
5. Negative stress has the following attributes.
a. It causes anxiety b. It feels unpleasant

c. It decreases performance d. All of the above

GLOSSARY

Stress : A sensation of emotional or bodily tension is

referred to as stress. It can be triggered by any
occurrence or thought that frustrates, angers, or
makes you nervous.

Eustress : It is a type of stress that is good for your health,

motivation, performance, and emotional well-
being.

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Role conflict : When incompatible demands are placed on a
person's job or position, a role conflict occurs.

Stress : Stress management refers to a range of

management treatments and psychotherapies aimed at
reducing or eliminating a person's stress levels,
particularly chronic stress, with the goal of
enhancing daily functioning.

Distress : A type of suffering that arises when a person is

unable to cope with stress.

Stressor : An agent, condition, or other stimuli that induces

stress is referred to as a stressor.

SUGGESTED READINGS
1. Aswathappa, K. Organizational Behaviour. New Delhi: Himalaya
Publishing House.
2. Mishra, M.N. Organizational Behaviour. New Delhi: Vikas Publishing
House.
3. Prasad, L.M. Organizational Behaviour. New Delhi: Sultan Chand &
Sons.
4. Stephen P. Robbins., Timothy A. Judge., and Neharika Vohra.
Organizational Behavior. New Delhi: Pearson Education India.
5. Uma Sekaran. Organizational Behaviour: Text & Cases. New Delhi:
Tata McGraw Hill.
WEB RESOURCES
1. Stress Management - Bing video
2. Organizational Change and Stress Management | Organizational
Behavior (Chapter 18) - Bing video
3. Stress Management(BBA,MBA) - Bing video
4. 4 Stress Management Techniques (Especially useful during
Coronavirus Pandemic) - Bing video
ANSWER TO CHECK YOUR PROGRESS
1.d 2.c 3.d 4.d 5.d

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