Principles of Management and Organization Behavior – 22MBA11 – VTU, Belagavi – CMRIT, Bengaluru

Study Material - Module 5

Principles of Management and Organization Behavior

(22MBA11)
(For the A.Y.2023-24)

Prepared By

Dr. SANJEEV KUMAR THALARI

MBA, Ph.D; M.Sc (Psy), UGC NET, APSET, PGDCA, TTT, e-TTT, CST
Assoc Professor
Department of Management Studies and Research Center
Email: Sanjeevkumar.t@cmrit.ac.in
MobiPhone: 9849944417

CMR INSTITUTE OF TECHNOLOGY

(NAAC A++ Accredited Institution)
#132, AECS Layout ITPL Main Road
BENGALURU– 560037
(Karnataka – India)

Dr. Sanjeev Kumar Thalari, M.B.A, Ph.D; M.Sc (Psy); TTT; CST; PGDCA; UGC NET; APSET 9849944417 1
Principles of Management and Organization Behavior – 22MBA11 – VTU, Belagavi – CMRIT, Bengaluru

Module - 5

1. Teams:
 Advantages of Teams
 Model of Team Effectiveness
 Stages of Team Development.
2. Power
 Meaning
 Sources
 Contingencies of Power
 Consequences of Power.
Teams:
Meaning
 Power is the ability to influence the behavior of others to get what you want.
 “Power is simply the ability to get things done the way one wants them to be done”
(Salancik & Pfeffer, 1989).
Advantages of Teams:
 There are multiple advantages to working in a team. Working in a team involves
bringing different skills and abilities together and allows people to exchange beliefs
and values regarding a business project. Some advantages of working in a team may
include:
1. It builds trust
 This is perhaps the most beneficial reason employers may build teams. Since wins
and losses may affect the entire team, members more readily rely on each other to
achieve a common goal.
2. It encourages risk-taking
 Business and entrepreneurship involve an incredible amount of risk-taking, and
teamwork encourages this. This is because teams feel more confident in presenting
new ideas, as responsibility is equal amongst them rather than falling to one
person.
3. It improves understanding
 Team members can more readily ask someone else who is aware of the project of
what needs doing and to help them understand it if confusion occurs.

4. It fosters creativity

Dr. Sanjeev Kumar Thalari, M.B.A, Ph.D; M.Sc (Psy); TTT; CST; PGDCA; UGC NET; APSET 9849944417 2
Principles of Management and Organization Behavior – 22MBA11 – VTU, Belagavi – CMRIT, Bengaluru

 Teamwork functions as a collective toolbox as team members collaborate their

ideas and draw upon their unique skills. This means that they are able to combine
perspectives and create more compelling solutions.
5. It's fun
 Teamwork allows individuals to have fun with a project and avoid burnout both of
which are more likely when an individual works alone.
6. It improves motivation
 Teamwork can inspire people to get on with tasks, as they want to assist the team
and contribute to their successes. This can lead to a more efficient work
environment.
7. It teaches conflict resolution skills
 Having efficient conflict resolution skills can help teams create solutions to daily
issues. This is because conflicts inevitably arise when people with different skills
and viewpoints come together
8. It makes the team stronger
 You want to build a team that allows employees to learn from each other and thrive
together. One team member may have individuals who are good at written
communications yet struggle to present this information aloud.
9. It promotes diversity
 All team members have different experiences, have different expertise and
education and are of different ethnicities and belief systems. By choosing to
embrace these different perspectives, individuals can strengthen their project
output and think up fresh ideas.
10. There's less fear
 An individual who is new to the business or who lacks communication skills may
fear making bold and unusual decisions for a project. Yet a group climate forces an
individual to talk amongst others and put forward their ideas.
11. It reduces stress in the workplace
 As team members come to know each other on a more personal level through
friendship and trust, they are more likely to rely on each other when struggling to
cope with work-related stress or anxieties.

Dr. Sanjeev Kumar Thalari, M.B.A, Ph.D; M.Sc (Psy); TTT; CST; PGDCA; UGC NET; APSET 9849944417 3
Principles of Management and Organization Behavior – 22MBA11 – VTU, Belagavi – CMRIT, Bengaluru

Model of Team Effectiveness

 Creating a high-performance team is not an event; it is a process.
 Teams are built over time and require commitment, dedication, and perseverance.
 A team effectiveness model can guide you on this journey by giving you a solid map to
understand your team better, how they are functioning, and how you can support their
highest level of growth.
 The most popular team effectiveness models are as follows:
 To understand more about the below optional models use the below link
[https://www.aihr.com/blog/team-effectiveness-models/]
1. GRPI Model of team effectiveness
2. The Hackman model
3. The Robbins and Judge model
4. The Katzenbach and Smith model
5. The T7 Model of Team Effectiveness
6. The Salas, Dickinson, Converse, and Tannenbaum Model
7. The Tuckman Model
8. The Lencioni Model
9. The LaFasto and Larson Model
10. The Google Model
11. The Drexler-Sibbet Team Performance Model

Stages of Team Development

 Tuckman's model explains that as the team develops maturity and ability, relationships
establish, and leadership style changes to more collaborative or shared leadership.
The Tuckman Model

Dr. Sanjeev Kumar Thalari, M.B.A, Ph.D; M.Sc (Psy); TTT; CST; PGDCA; UGC NET; APSET 9849944417 4
Principles of Management and Organization Behavior – 22MBA11 – VTU, Belagavi – CMRIT, Bengaluru

 Tuckman’s FSNP model consisted of four stages that Bruce Tuckman suggests are the
sequential stages in developing any team.
 However, a decade after proposing his original model, he added a fifth stage, turning it into
the FSNPA model:
1. Forming – When a team first meets and gets to know each other and agrees on
objectives and goals.
2. Storming – Members begin to open up, share their preferred working styles, and
build trust as they figure out how to work as a team.
3. Norming – Quirks are accepted and tolerated for the group’s sake, and everyone
starts to understand the importance of working toward the collective goal as a
team.
4. Performing – Trust is built, and everyone is motivated to work together toward
shared goals.
5. Adjourning – After the project is over, an assessment is performed to see how
effective the team was, celebrate individual contributions, and make changes
accordingly.
 This model is most valuable for managers who want to understand the different stages of
team development.
 It also helps teams become comfortable with natural differences, tension, and work more
effectively together.
 However, there is conflict present at every stage of this model, which some team members
may find too uncomfortable.
 It is important to note that teams may bounce between phases at any time; for example, the
team may be performing, then new team members join, which puts them back to the storming
phase.

Activity:
Survival on Moon

Dr. Sanjeev Kumar Thalari, M.B.A, Ph.D; M.Sc (Psy); TTT; CST; PGDCA; UGC NET; APSET 9849944417 5
Principles of Management and Organization Behavior – 22MBA11 – VTU, Belagavi – CMRIT, Bengaluru

Power:

Meaning
• Power is the ability to influence the behavior of others to get what you want.
• “Power is simply the ability to get things done the way one wants them to be done”
(Salancik & Pfeffer, 1989).
Sources
 Researchers identified six sources of power, which include:
1. Legitimate
2. Reward
3. Coercive
4. Expert
5. And referent
 You might earn power from one source or all six depending on the situation.
1. Legitimate
 Legitimate power is power that comes from one’s organizational role or
position.
 For example, a boss can assign projects, a police officer can arrest a citizen,
and a teacher assigns grades.
2. Reward
 Reward power means having the capacity to offer rewards or benefits in
exchange for carrying out a task or achieving a result.
 Rewards usually come in the form of raises, benefits, promotions, or public
praise. However, this type of power is not always as effective as some
leaders think.
 It should be relevant and tangible enough to motivate your employees.
 This type of power may help achieve results, but it does not necessarily
ensure the support or commitment of your employees.
3. Coercive
 Coercive power is one of the most commonly used in many workplaces,
yet it is also the least effective.
 It involves using threats to force people to do your will. They might not
agree with what they have to do, but they do it out of fear of repercussions
such as losing their jobs.
 For example, in many companies, leaders demand constant innovation and
new ideas from their employees. Those who do not measure up face being
replaced by someone else.
Dr. Sanjeev Kumar Thalari, M.B.A, Ph.D; M.Sc (Psy); TTT; CST; PGDCA; UGC NET; APSET 9849944417 6
Principles of Management and Organization Behavior – 22MBA11 – VTU, Belagavi – CMRIT, Bengaluru

4. Expert
 Expert power comes from having both deep technical knowledge and
extensive experience in your field of expertise.
 When you are the expert in your field, people in your company naturally
come to you to benefit from your knowledge. Your expertise gives you
credibility, and people trust and respect your opinions.
 Expert power gives you the ability to influence co-workers across all levels
of the organization. This enables you to steer the growth and development
of both individual colleagues and the company as a whole.
5. Referent
 Leaders get referent power through qualities that inspire trust and respect in
their colleagues. These include honesty and integrity.
 A person who holds referent power has excellent interpersonal skills and
exudes confidence. This makes them natural leaders. They listen to their
colleagues and offer help and support.
 This type of power is internal rather than external. It is a personal power
that cannot be handed to you by someone else.
Contingencies of Power
• There are four main contingencies of power.
• These four contingencies consist of substitutability, centrality, discretion, and
visibility.
• Each in its own way contributes to the way the power base can and will influence
others within an organization.
1. Substitutability:
• A contingency of power referring to the availability of alternatives.
Ex: Microsoft has also kept information from other companies from developing
software that would be as compatible as their own with Windows O.S. This technique
has been used to control the market from potential threats therefore allowing their
product to sell at a higher price do to the higher demand.
2. Centrality:
• A contingency of power pertaining to the degree and nature of interdependence
between the power holder and others.
3. Discretion:
• The freedom to exercise judgment to make decisions without referring to a specific
rule or receiving permission from someone else.
4. Visibility:
• Employees also gain visibility by being, quite literally, visible.

Dr. Sanjeev Kumar Thalari, M.B.A, Ph.D; M.Sc (Psy); TTT; CST; PGDCA; UGC NET; APSET 9849944417 7
Principles of Management and Organization Behavior – 22MBA11 – VTU, Belagavi – CMRIT, Bengaluru

Consequences of Power.
• Power structures within an organization can significantly influence its
performance.
• The distribution of power among different managerial levels, groups, and
individuals primarily shapes decision-making processes and, consequently, the
efficacy of those decisions.
• Power within the organization can lead to two critical consequences:
1. Positive Consequences:
 When power is used correctly, it can lead to constructive changes within
the business environment.
 The power to make crucial decisions or implement changes can stimulate
innovation, drive leadership, and spur growth.
2. Negative Consequences:
 Excessive or misused power can lead to destructive effects within the
business.
 It can foster conflict, create inefficiencies, and even lead to corporate
scandals.

Dr. Sanjeev Kumar Thalari, M.B.A, Ph.D; M.Sc (Psy); TTT; CST; PGDCA; UGC NET; APSET 9849944417 8