Understanding Human Behavior in Organizations
Understanding Human Behavior in Organizations
NATURE OF SCIENCE
Science
Facts of science are the product of observations, which are meaningful and theoretically relevant.
Without theory, science cannot predict and control the material world.
Management
The only access we have on the mental process of others is through a study of their behavior.
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DEVELOPMENT OF THE SCIENTIFIC STUDY OF HUMAN BEHAVIOR
Scientific study of human behavior was only a 19th century development. Later part of the century, philosophy
that based on speculation and logic was the only approach to the human behavior.
Difference: Physiology considers the organization of the brain and body of mammals and humans, from the
molecular level to the organism as a whole. Philosophy is concerned with ethics, knowledge, the mind, etc.
Majority of theories and models of human behavior fall into one of two basic categories:
internal perspective
- Internal perspective considers the factors inside the person to understand behavior.
People who subscribe to this view, understand human behavior. This view is psychodynamically oriented.
Psychodynamic- the psychology of mental or emotional forces or processes developing especially in early
childhood and their effects on behavior and mental states.
Behavior is explained in terms of the thoughts, feelings, past experiences and needs of the individual.
Internal processes of thinking, feeling, perceiving and judging lead people to act in specific way.
Internal perspective implies that people are best understood from the inside and that people's behavior is best
interpreted after understanding their thoughts and feelings.
External perspective
- This focuses on factors outside the person to understand behavior.
External events, consequences of behavior, environmental forces to which a person is subject, are emphasized by
this external perspective.
Person's history, value system, feelings and thoughts are not very important in interpreting actions and behavior.
Kurt Lewin considered both perspectives in saying that behavior is a function of both the person and the
environment.
The term "behavioral science" came into use only in the 1950's when the Ford Foundation
Since then, behavioral science has emerged as a new and integrated discipline
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- that is primarily concerned with developing valid generalizations about human behavior in group
situations from the viewpoints of psychology, sociology and cultural anthropology. (Berelson 1962)
To qualify as a behavioral science, a field of study must satisfy two basic criteria:
Other fields of study are also concerned with the analysis and understanding of human behavior.
There are people who believe that through common sense of observation, or logic and philosophical
expression, as well as artistic expression and intuition, people's behavior can be explained and
generalizations established.
The two words from which the term "behavioral science" is derived are behavior and science.
The static view defines science as a body of knowledge. Its emphasis is on the product of scientific activity
(i.e., research) rather than on the activity itself.
The dynamic view, however, defines science as an activity as such, it is more concerned with what
scientists do.
In general, human behavior may be defined as any activity of an individual or group, whether such activity can
be observed by another person or detected by scientific instruments.
A stimulus situation refers to a factor, condition, situation or a combination of factors (whether internal or
external) which provide the occasion for a response.
The study of organizational behavior is primarily concerned with the psychosocial, interpersonal, and
behavioral dynamics in organizations.
The behavioral sciences recognize human behavior as having three characteristics: (Kerch 1962)
First, that is it is caused;
Second, it is motivated or goal-directed;
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Third, it is integrated that the individual's motives, emotions, cognitions and self-concepts, his
attitudes, value systems, etc. as well as the social and cultural pressures, all these operate in concert
to influence his thoughts and actions.
The immense success of science is traced to the way it seeks, finds and test knowledge.
4. Processing Data
The vast business and industrial challenges brought about by the revelation in human behavior broadened
the spectrum of human observation.
An integrated field of investigation into the insights, feelings and reactions of workers and employees has
enabled behavioral scientists to discover meaningful reasons or causes of man’s actions.
The study of individual behavior is usually an exclusive right of the psychologists.
The behavioral scientists have integrated three disciplines and revealed how people behave and why and
the relationship between human behavior and the total environment.
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CHAPTER 2: Personality and Culture
SOCIETY IN GENERAL
Man is a social being and as such his personality is viewed from the society and culture where he belongs.
A society represents a geographical aggregate and has boundaries, similar government or a group of persons in
meaningful interaction and engaged in social relationship.
Folkways describe the way in which folks – modern or primitive people - act and react as they go about the
everyday business of living.
The foundation of every society is a group of individuals with set common ideas, attitude, interests and styles of
living united by common goals.
Personality can be defined as the organization of biological, psychological, socio-cultural, and educational factors.
As human beings interacting with one another they exchange the meanings of their environmental and experiences
which partly become basis of culture.
CULTURE
Taylor defined culture as a complex whole which includes knowledge, belief, art, laws, morals, customs and
any other capabilities and habits acquired by man as member of society.
Culture tells a man what to do, what not to do and how to do things.
It encompasses modes of thinking, feeling and acting commonly found in a society and
includes everything man has acquired as a member of a society
Individuals is born into a set of vast social heritage of organized ideas, norms, values, knowledge and expected
way of behavior.
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PERSONALITY
Goode 1952 defines personality as “the total psychological and social reactions of an individual, synthesis of
his subjective, emotional and mental life, his behavior and his reaction to the environment, the unique or
individual traits of a person”.
Personality is the individualizing traits of man which constitute his singularity and differentiate him from
any other human being.
DETERMINANTS OF PERSONALITY
Biological Heritage
Heredity includes all that a person possesses as transmitted from parents to offspring by means of germ
plasm.
Musculature
Muscles do play an important role in the whole set-up of human behavior and they maintain their stability
when relaxed.
Physical growth during childhood and adolescence also brings about changes in personality.
Nervous System
It is the system which gives a man his every contact with his experiences with others.
It furnishes every satisfaction and dissatisfaction, every pain and delight and every association made to
his group around him.
The Glands
Glands yield an influence on the mental and emotional, and physical traits of men.
They produce certain chemical substances that influence changes in personality.
EQ Factor
New brain research suggests that emotions, not IQ, may be the true measure of human intelligence.
Emotional Intelligence
Human beings are endowed with eight different intelligence: linguistic, musical, body kinesthetic,
interpersonal, intra-personal, naturalist, logical-mathematical and spatial.
Environmental Factors
The Cultural Environment - refers to the learned ways of living and norms of behavior which are transmitted to
the child through social groups
The Social Environment - refers to the various groups and social interactions going on in the groups of w/c the
individual is a member.
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Home and Family – in many ways the family is the most important of all human groups, because it is the basic
unit w/c transmits the biological traits of its member, mental abilities and emotional dispositions, and social
heritage or culture of the group through the process of socialization.
Culture - is man’s social heritage w/c has been transmitted from one generation to another through language. It
represents the interrelated network of norms and roles. Norms are the standards of behavior prescribed by society
of its members
Status and Roles – an individual is born into a group and occupies a certain position on rank.
Social Agents - the school, the church, and other social institutions are also instrumental in molding the individual
into a wholesome, dynamic and assertive personality.
Non-Rationalism – Rationalism
Personalism – Impersonalism
Personalism attaches major importance to the personal factor which guarantees intimacy, warmth and
security or kinship and friendship in getting things done.
Impersonalism refers to the tendency to eliminate the influence of friendship or kinship in working
situations.
Fr. Bulatao (1966) He resorts to "pakiusap," "regalo," and "lakad" which causes the weakening of the merit system
in employment. (Panopio 1978)
Particularism - Universalism
When a man's concern is centered on sub-groups comprising his relatives, friends, colleagues, associates,
religious affiliates or members of his ethnic or regional group in the larger society to which he belongs,
he is particularistic.
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When his main concern is the advancement of the collective or national good, he is universalistic.
In the Philippines, ethical rules stress particularistic interests while legal rules, are universalistic
Jocano notes that the Filipino's concept of "tayo-tayo" strongly denotes particularism.
Such examples are "lagay," "padulas" (grease money), "areglo" (under the table arrangement), "kick back" for
the boys.
Our value on discipline is partly manifested in the following expressions and practices in "siksikan," "singitan,"
and "unahan" (disregard for queue) and justice expressed in "nakaisa," "nakalamang," "nakalusot and "malakas"
all modification of advantage of another through one's connection and/or unfair dealings.
Carrion (1973) discussed in his Marketing Imperative basic buying and selling habits which are as follows:
Suki - patronizing of one store instead of buying at different stores at different times. This practice gives
discount or extra little things expressed in "dagdag," "tawad" or "tingi.
Tumpok-tumpok - An arrangement of goods like fish, vegetables, fruits, etc. into small groupings among
small vendors in small markets or tiange.
Hulugan or Paiyakan - Paying by installment either from day to day sales or monthly salary.
"Lako" - Sellers carrying their wares and peddling from house to house either in push cart, native basket
(bilao or kaing). The commodities vary from jewels, ware, fruits, meat and clothing.
"Tawad" - Asking for discounts which may range from 5% to 50% discount.
"Bulungan" Among the fish brokers, sellers and buyers rely on the tip given to them on price and projected
price changes.
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CHAPTER 3: Frustration, Stress and Burnout; Mental Health Mental Hygiene
FRUSTRATION
Frustration is a stirred-up state of hopelessness that results when a person is prevented from reaching a
particular value-goal to which he has aspired or is prevented from satisfying his physiological needs.
Frustration, simply defined is the condition of being thwarted in the satisfaction of a motive.
The three main problems in life that bring out a certain degree of frustration are physiological,
environmental and psychological.
Physiological Problems
These physiological problems more or less are our basic needs such as food, water, shelter, sex.
These basic physiological needs of man may seem easy to cope with but when there is so much deprivation of
such needs because of economic dislocation, the frustration may be irreversible and will affect the psychological
condition of the individual.
Environmental Problems
Man is born in a social environment surrounded by cultural norms and values.
He is faced with cultural taboos and acceptable social behavior.
One of the most difficult problems in this area is one's cultural do's and don'ts.
Environmental frustrations cannot be avoided, for there are always certain factors in a person's situation which
keep him from achieving a degree of personal growth and achievement.
Psychological Problems
Psychological or internal problems are the most difficult to resolve as they are within the inner feelings of
a person.
You may be able to infer what his inner thoughts and feelings are but will not know what caused such a
frustrating feeling.
Psychological frustrations represent a more serious threat to the personality of the individual than do
environmental frustrations.
Personal Deficiencies
Reacting to frustration varies from person to person because of their personality differences.
These reactions may be defensive, neurotic or psychotic.
Frustrations as we have seen, involve thwarting or blocking of a person's dominant motives, needs, desires
or purposes.
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STRESS, BURNOUT: THEIR EFFECTS ON ONE'S BEHAVIOR
Signs of Stress
Stress-mobile is
(1) the input valve for all of life's stressors-job, family, customers, inflation, the environment, etc.
(2) your "awareness and choice valve."
(3) stress relief by taking a vacation, relaxing, following proper guidelines for exercise and nutrition and having
varied interests.
Occupational demand: A survey of 130 different occupations confirmed the basic fact that some jobs are more
stressful than others. Results indicated that several features of the jobs are related to the levels of stress they
generate.
Role ambiguity: Stress from uncertainty. This occurs when individuals are uncertain about several matters relating
to their jobs, the scope of responsibilities, how to divide their time between various duties, etc.//
Overload and underload: Doing too much or too little Employees are asked to do more work than they can handle
in a given period of time or employees believe that they lack the required skills to perform a given job. (Qualitative
overload)
Responsibility for others: A heavy burden. In any organization some persons are primarily concerned with the
physical side of the business financially and still others with people like supervisors or managers.
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Lack of social support: The cost of isolation. Social support helps individuals deal with stress. One study shows
that persons who felt they had the support of their immediate super-visors reported fewer physical symptoms
associated with stress than managers who did not enjoy friendship and support from others at work. (Baron and
Greenberg 1991)
Lack of participation in decision: Helplessness, strikes. People who want a certain degree of control over their
own fate feel that they know a good deal about their work. Thus when they are prevented from participating in
decision making, they experience considerable stress.
Nonwork Demands: Nonwork demands create stress for people which may carry over into the work environment.
Although not all workers are subject to family demands related to marriage, child rearing, parental care, etc. these
may create conflicts or overloads that are difficult to manage.
Physical Demands: Extreme environments, strenuous activities and hazardous substances create physical
demands for people at work. Work environments which are very hot or very cold may lead to dehydration or
frostbite.
Emotional and stress reaction: Emotions are aroused by external stimuli which can instigate aggressive behavior.
Emotions associated with pleasure (joy, love) or displeasure (anger, fear, pressure, heart rate, dilation of pupils
etc.)
In the 34th International Broadcasting Awards with their commercial entitled "Stress Test." Eustress for
"euphoria" + "stress" was used to refer to the consequence of healthy, normal stress which includes a number of
performance and health benefits to be added to the more common known costs of individual and organizational
distress.
Eustress is one characteristic of healthy people; distress is not.
BENEFITS OF EUSTRESS
Performance
Increased arousal
Bursts of physical strength
Health
Cardiovascular efficiency
Enhanced focus in an emergency
COST OF DISTRESS
Individual
Psychological disorders
Medical illness
Behavioral problems
Organizational
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Participation problems
Performance decrements
Compensation Awards
Burnout is a cumulative process of gradual wearing down of your reserve, with little recharging of your energies.
It is mental, physical and emotional exhaustion. It strikes all ages, sexes and job levels, yet the most frequent
victims are those who seemingly are the most productive years of their life.
It is people with high expectations and a high sense of purpose who are the greatest victims.
People with high standards for themselves and others, who attempt to do a "perfect" job, have a
"perfect" marriage and be "perfect" at their hobbies, are the greatest danger of burning out.
Burnout in Organizations
The "hurried executive" or the kind of person who is burn out prone is often drawn to fast moving organizations
that would hasten his/her burning out.
"No" is a word hardly used by the perfectionist; therefore he/she continues to handle a greater than average
amount of work.
Work overload is a major contributor concept can be presented in the following formula: Susceptible Individual
+ Overload or Criss Burnout
Sigmund Freud when asked what he thought a normal, healthy person should do well replied love and
work.
Karl Menninger's (1956) definition is quite similar to Freud's. He states:
"Let us define mental health as the adjustment of human beings to the world and each other with a maximum of
effectiveness and happiness. Not just efficiency, or just
contentment, or the grace of obeying the rules of the game cheerfully. It is all together. It is the ability to maintain
an even temper and happy disposition. This,, I think, is a healthy mind."
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Mental health is the capacity to live harmoniously in a changing environment; to face and solve one's problems
in a realistic manner; to accept the inevitable, and to understand and accept one's own shortcomings as well as the
shortcomings of others.
Below are some characteristics by which we can identify those who are mentally healthy:
1. Self-acceptance. Indicators of self-acceptance are:
A. Self respect;
B. Acceptance of one's own shortcoming:
C. Control over one's emotion
D. Ability to resign to the inevitable and to face the realities of life;
E. Ability to laugh at one's self, see one's own mistakes and make efforts to overcome them;
F. Ability to look at oneself objectively so that there is neither underestimation or over- estimation of the
self.
3. Ability to meet the demands of life. People who are able to meet the demands of life feel that:
a. They can do something about their problems as these arise;
b. They can accept responsibilities;
c. They can share their environment at times but will have to adjust to it on other occasions;
d. They are making use of their potentials and capacities;
e. They are setting realistic goals for themselves:
f. They are able to think for themselves and make their own decisions;
g. They are putting in their best efforts and deriving satisfaction out of whatever they are doing:
h. Change is a part of life;
i. Refusing to face problems is not the best way of solving them.
Mental hygiene is a branch of psychology which deals with mental, behavioral and emotional adjustment through
the application of principles and practices which have some scientific foundations or truth.
It consists of those patterns of living which promotes the development of wholesome and socially adequate
personality and, helps an individual get along with himself and with his fellowmen.
There are three known ways to which the principles and practices of mental hygiene are done.
1. The preventive approach. This is based on the principle that the best way to insure a well-adjusted individual
is to surround him with environmental influences that will enable him to develop his full potential, to obtain
emotional stability, and achieve personal and social adequacy.
2. The therapeutic method. The therapeutic aspect of mental hygiene is concerned with the attempt to correct
minor behavioral adjustments through the various counseling and techniques of psychotherapy, or adjust to the
social/or physical environment of the person in order to help him obtain the amount of emotional security and
self-confidence necessary.
3. The curative approach. This phase of mental hygiene is sometimes called "preventive psychiatry." It is
concerned with the detection and correction of serious but curative behavioral maladjustments. Although this is
the work of a trained clinician or psychiatrist, it is helpful for the layman to have at least a fundamental knowledge
of the major types of behavioral maladjustments in order that he may have a basis in determining behavioral
maladjustments that need the attention of competent specialists.
The role and practices of mental hygiene in business and industry are concerned with the adjustments of human
behavior necessary to bring about a better and harmonious relationship between employee-employer, employee-
employee and their rela tions with the public.
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Another role deals with the dynamics of personality formation, human motivation, and emotional
adjustments
Mental hygiene is concerned primarily with prevention. It seeks to create that kind of personal and social
environment which further ensures sound mental health.
Mental hygiene in business and industry requires an understanding and appreciation of the fundamental needs of
the employees as well as the employer.
Mental hygiene is also concerned with the human behavior of the personnel principally while in the job, i.e His
motivated behavior.
Employers and employees may well attain sound mental hygiene if they will consider the following salient points
of view of mental hygiene:
1. Respect for one's own personality and for the personalities of others.
2. Recognition of limitations in self and in others.
3. An appreciation of the importance of the cause sequence in behavior.
4. A realization that behavior is a function of the whole individual.
5. An understanding of the basic need that motivates behavior.
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CHAPTER 4: Individual in the Organizations
SOCIAL SYSTEM
Organizations are highly interesting areas for studying behavior. Organizations have great influence on
our lives, for both good and bad.
Organizations are so complex that one has to look into the system of values and relationships so as to understand
the organization as a social system.
A system may be defined as a series of interrelated and interdependent parts, such that the interaction or
interplay of any of the subsystems affect the whole.
Human Organization
Organization, where human behavior exists is likened to a human system where each organ and limb has to
function properly in a coordinated manner if it has to be efficient and healthy.
Role is the sum total of behavior patterns expected of a person in his activities involving other roles. For
every recognized position there is an expectation widely shared by the members of the community of what
should be the behavior of persons who occupy that position.
Status is a position accorded to an individual in the social system. The coordination and control of the
activities of the members of a society are achieved through systems of positions and roles.
Concepts of Organization
An organization is a structural process in w/c persons interact for objectives. This view of organization contains
several important points.
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A complete understanding of organizational behavior requires both an understanding of human behavior and the
understanding of the organization context within which human behavior is acted out. The organizational context
is the specific setting within which the organizational behavior is enacted.
As a social system, the organization comprises many interrelated subsystems or groups which include: the
administrative/structural subsystem; the informational decision-making subsystem the economic/technological
subsystem; and the human/social subsystem.
The focus of the administrative/structural subsystem is on authority, structure and responsibility within
the organization “who does that for whom” and “who tells them to do what, when and why.”
The information/decision-making subsystem emphasizes key decisions and them informational needs to
keep the system going. The main concern of the economics/technological subsystem is on the work to be
done and the cost effectiveness of that work within the specific goals of the organization.
Human resource is important from three related but different points of view:
1. managerial resource
2. As non-managerial resource
3. As determinants of technology
1. Hierarchy of Authority – This is the vertical differentiation of authority. In every organization some individual
carry-out the orders of other individuals, and the latter in turn carry out the orders of their superiors.
2. Rule, procedures, controls and techniques –rules are the answer to the problems of governing large-scale
organizations.
4. Specialization of functions and division of labor – In division of labor, work is divided so that no one is saddled
with a great burden, while in specialization, individuals are asked to perform only a narrow range of functions so
that they develop a great deal of performance.
5. Employment of skilled personnel – a guiding principle for organization is to hire competent workers or persons.
To force the work on the incompetent would be a waste of time.
6. Specificity of purpose – Organizations has highly specific purposes. Specificity of purpose varies between and
among organizations.
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Informal Groups in the Organization
Informal groups arise and persist because they perform desired functions for their members.
One function of informal organization is to perpetuate cultural values which the group holds dear. It also provides
social satisfactions; it gives man recognition, status and further opportunity to relate to others.
1. They blend with formal systems to make a workable system for getting work done.
Organizational Culture – refers to a system of shared meaning held by the members that distinguishes the
organization from other organizations. A dominant culture expresses the core values that are shared by a majority
of organization members.
1. Member Identify
2. Group emphasis
3. People focus
4. Unit integration
5. Control
6. Risk tolerance
7. Reward criteria
8. Conflict tolerance
9. Means-ends orientation
Culture Functions
1. Boundary-defining role
3. Facilitates the generation of commitment to something larger than one’s individual interest
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CHAPTER 5 – Work and Work Attitudes
Work is what one should do and must do regularly, grimly and purposely.
it is a serious adult business that enables one to get ahead and make contribution to society
it is viewed as a means of attaining whatever one desires and it is best that one has a greater
achievement motivation.
Work is a fundamental dimension of human existence. It is a physical or an intellectual effort directed towards a
desired end. Play is different. It is fun, an outlet from work, without serious purpose except to make us happier,
more efficient, more relaxed and longer-lasting working human machines.
Attitudes are deemed an important variable as well as an indicator of behavior in nearly all walks of life - religious,
governmental, administrative, commercial, industrial and many more.
ATTITUDE
Attitude is a tendency to act with respect to a certain value. It may be positive or negative.
Positive attitudes are objects that we like and have tendency to acquire, such as money, diamonds, beauty,
knowledge, industriousness, honesty, love for work, etc.
Negative attitudes are those we shun or dislike for they do not give any satisfaction, like for example,
snakes, diseases, death or even dislike for work itself.
The more favorable the attitude, the more efficient is the man who works. The less favorable the attitude, the
lower is the worker’s productivity.
Attitude is a predisposition to react, positively or negatively, to a person, place or circumstance. It is the tendency
to respond and can be considered a “leaning” in one direction or another.
the predisposition
the direction of that predisposition
Attitudes cannot be seen or touched but they can be seen as preferences or intentions.
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Utilitarian attitudes – are adjustive ones that can be recognized most easily in change situations.
Ego -defensive attitudes – protect the person from threats to the ego and the anxiety generated by them.
Value-expressive attitudes – are those maintaining self-identity or leading to self-expression and determination.
Opinion is the expression of one’s judgment of a particular set of facts. It is a response to a specifically limited
stimulus, but the response is certainly influenced by the predisposition with which the individual is operating, that
is the attitude structure.
FORMATION OF ATTITUDE
Attitudes of individuals are influenced by the culture, by the larger aggregates to which the individuals belong,
and by primary groups.
Family is the most important primary group, has been referred to as mediator of culture.
Cultural attitudes are interpreted by the family to the individual.
Primary group are much stronger in their influence on the members of a group; large aggregate has less
influence.
ATTITUDE CHANGE
Studies have shown that much of the causes of low productivity, low morale and failure in human relations are
due to poor attitudes.
Intellectual attitudes towards the work system is easy to change for with the reason and logic we can change one’s
mind.
Family influence
Class structure of our country
Experience
Morale is the summation of the attitudes of the individuals making up the group.
Job Attitude is a tendency to respond to aspects of the job positively or negatively.
Job satisfaction is based on job attitudes but is somewhat broader for it relates to how job fits into the total
picture of the person’s functioning.
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WORK
CONCEPT OF WORK
Work is universal.
Work is a means to social progress and culture. (Calvin Coolidge)
Work is honorable; it dignifies man. (Pope Paul II in his Laborem Exercens)
Labor in Latin signifies trouble, distress and difficulty.
Travail in French originally denotes prolonged instrument of torture employed by the Roman legions.
Occupations among Latins is something to seize, hold or grapple with.
Work to the Greeks is synonymous with trouble.
Work and slavery are identical among the biblical Hebrews.
CLASSIFICATION OF WORK
Antonio Azaeta classified workers into the blue-collar or manual worker such as those who account for direct
cost, while knowledge workers include accountants, clerks, tellers, programmers, supervisors and executives.
ELEMENTS OF WORK
DIMENSIONS OF WORK
OBJECTIVE SENSE – work in objective sense refers to the various ways and processes of achieving the
purpose.
SUBJECTIVE SENSE – work in the subjective sense refers to the processes whereby man manifests and
confirms himself as one who controls all activities – mental or physical.
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ETHICS OF WORK
Moral Obligation – a good work ethics that instill in everyone a sense of satisfaction, in doing one’s best, could
be a key factor in self-actualization and in the fulfillment of the goal for national progress.
Honesty – the most powerful people are those who work hard enough and honesty enough to fulfill themselves
and thus make contributions to national growth.
WORKER EFFICIENCY
1) Personal Characteristics
a) Age
b) Gender
c) Marital Status
d) Number of Dependents
e) Tenure
2) Ability
3) Personality
4) Learning is a life time process. It occurs all the time. It is any relatively permanent change in behavior that
occurs as a result of experience.
Work can shape personality. An individual tends to become the kind of person the situation
demands.
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Motivation. The most common view of motivation is that human beings are rational animals motivated by money
and other material rewards. However, some people place greater value on social approval, prestige and status than
on money.
Promotions. We often fail to realize that promotions to higher levels of responsibility, reward and status can have
disastrous effects. Often in promotions, the price for higher authority and status is the loss of friendships as well
as the loss of psychological support of one’s peers, increased loneliness because there are fewer people in whom
one can confide and increased uncertainty because of the new and often difficult kinds of problems to be solved.
Fear of failure. stems from the perfectionistic all-or-nothing attitudes that are often aa condition of success.
Work loss. Loss of work is both a cause and effect of loss of dignity. The loss of work can undermine the very
structure of personality.
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CHAPTER 7 – Human Relations and Morale in Business Organization
People in the organization are human factors and they should be programmed beyond fairly
simple levels of behavior. It is human nature to dislike being dictated. They resist being programmed saying they
are not machines. But there is a goal, there are different activities and there is the money spent and
time expected. All these constitute the problem – a problem at the center of the study of human relations.
Human relations is a process- meaning progressing series of acts aimed at a single end, It
Human relations at work (Keith Davids, 1972) defines human relations as “motivating people in an organization
to develop teamwork which effectively fulfills their needs and achieves organizational objectives.
4. The direction of motivation towards teamwork, which requires both coordination of the work and cooperation
of the person involved.
5-6. Human relations through teamwork seeks both is need fulfillment and reward.
7. Both a person and an organization seek results effectively, that is with minimum inputs in
relation to outputs.
1. Recognition of human dignity and the infinite worth of an individual – every man has a high estimate of himself
and values his honor, no matter how will we think of him.
2. Recognition of individual differences – every human being has a work to carry within, duties to perform,
influences to exact which are peculiarly his own.
3. Use motivation not force – encourage or urge person to perform tasks and to strike for achievement in order to
satisfy his motives.
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4. Love – love neutralizes aggression and lessens hostility.
6. Understanding – includes the principle of reciprocal behavior, “you” approach and person-centered attitude.
Principle of reciprocal behavior - Golden rule is the application of this behavior. “We should behave to
people as we would wish people behave to us.”
“You” approach – the “you-attitude” should be developed not only in conversations but also in
correspondence. Substitute “You” for “I” as often as possible. Be considerate of the opinion of others.
Person-centered attitudes needed – workers are human beings and expect to be treated as such and not as
machines. Boss who are employee-centered enhance output and morale of workers.
1. Bottom up – this is a design that permeates the entire management in order that all persons in it may contribute
as fully as possible to the achievement of goals of the organization.
2. The two-way flow system – this is a technique by which employees and managers effectivelyparticipate in
policy making.
3. Effective listening – all listen with love and understanding, meaning to see the expressed idea and attitude from
the other person’s point of view, to sense how it feels to him to achieve his frame of reference in regard to the
thing he is talking about (empathetic understanding).
4. The referral system – every organization should have channels for referral.
5. Maintaining a watchful eye on ourselves – if we find that we are having difficulties with our work or with
pleasant relationship with other people, then we should be wise enough to seek professional help.
There are numerous approaches to human relations, all are concerned with protecting
personal values. The prime concern of human relations approach is the perception, attitude and behavior of
Sensitivity Training or the use of T-Groups – attempts to change individual and interpersonal behavior
through unstructured group processes.
On-site Consulting – Tri-Shock Institute in England pioneered the effort to bring psychological and
sociological information directly to heap on change processes in organization and examine the
interpersonal relationship within it in order to suggest changes that might help.
The difference between this approach and the use of T-groups is that the TriShock people approach natural system
and remind the way it functions.
Other Strategies – peer group dynamics counseling procedures and group therapy are other strategies for
change.
MORALE
“Morale is the feeling of well-being that an individual experience when his needs are filled to his
satisfaction.”
“Morale is a synthesis of employee attitudes towards the employment situation.”
“Employee morale is the attitude or feeling of individuals or groups toward their jobs, their associates,
and their company.”
Morale is that mental state of a person that reflect confidence in, and loyalty to his superiors
The requisites of morale are: willing submission to reasonable discipline, pleasant response to
Morale is high or favorable when the members of the group have made the group goals their own goals.
BOOSTERS OF MORALE
1. Morale is always implemented by the knowledge that those around us have a similar attitude, that we and our
fellow feet feel the same about things. (common strivings)
3. Satisfaction of physical needs, a sense that we are contributing to the common cause are moving toward victory
and are “in the know” even though the news may not be good.
5. In industry being part of the team or firm, knowing he has status, that he is important than the profit makes a
lot differences in the workers production and performance.
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6. Respectable work.
7. Group morale falls when the members feel the security and permanence in the job are jeopardized.
Morale and Productivity. These factors are not absolutely related but there is some positive correlation between
the two.
A worker performs at his best in a job he likes. Thus, the supervisor mist not lose no opportunity in
determining the interest of a worker and if possible, in allowing him to do the job he desires.
An equally important consideration is for the supervisor to see to it that he be present whenever a second person
gives orders to his workers if he cannot give orders himself.
A supervisor must remember that praise and encouragement generate more loyalty than criticism.
TRANSACTIONAL ANALYSIS -another most effective approach in understanding people and their motives.
The analysis (point by point examination) involved is undertaken by studying the transactions (dealings)
between people – by tracing the way in which a transaction is shaped by the particular ego state of each
person.
1. Parent Ego Sate: Talks, act thinks or feel like a parent figure
Represents all the attitudes and behaviors that we have copied from our parents and others who serve as
parent figures as we were growing up.
Verbal Clues: always, never, remember, stupid, absurd, ridiculous, disgusting;
Non-Verbal Clues: pointing a finger accusingly; shaking your head; winging your hands, tapping your
foot, standing or sitting with arms folded; pursing your lips, sighing, snorting impatiently; patting a person
on the head or shoulders; making consoling sounds; holding and rocking.
2. Adult Ego State: deals with reality collect facts appraise objectively, calculate probabilities before making
decisions.
Has nothing to do with age, it is related to the person’s ability to size up reality, to analyze the odds and
to act accordingly. In this stage the person has no predetermined feelings.
Practical, not easily swayed, weigh things wisely, objective, decisive
3. Child Ego State: think, talk, acts and feel like a child. Mischievous and wild.
Always selfish, easily angered, often fickle and fascinated by the idea of doing wrong.
Childish, restless, tricky, artful dodger, wily, loves to play jokes on others
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LIFE POSITION
There are two ways we can feel about other people and ourselves – OK or not OK.
A person who feels OK about himself at heart accepts himself as a good and sound. He feels that he is worthwhile
as a person, so he doesn’t have to spend a great deal of energy trying to demonstrate to others or to himself that
he is in fact OK.
Life Position (fundamental position) – the accumulation of feelings that resulted from early contracts with our
parents shaped and hardened the way we think and feel toward self and others.
I’m OK – You’re OK. – pleasure to everyone concerned. This position is finally decided on maturity.
I’m not OK – You’re OK. – kind of servile self-demeaning stance in relation to others.
It’s a loser position; the person who holds it feels inferior and is unlikely to attain happiness even if he achieves
success.
I’m not OK – You’re not OK. – extremely difficult to cope with because it’s so negative toward self and
others.
I’m OK – You’re not OK. – one in which a person feels good about himself but
distrusts and may well look down on others.
ROLE PLAYING
Victim
Persecutor
Rescuer
There are times when circumstances cast a supervisor in the role of Persecutor – for example when must
fire an employee.
There are times when economic conditions make actual victims of people during plant closedowns and
staff reduction.
The rescuer feels impelled to make people dependent on him.
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CHAPTER 8 –Perception and Communication in Business Organization
MEANING OF COMMUNICATION
Communication is a technique involving the correct use of language and efficient use of mechanical
devices such as telegraph, telephone, teletype, radio, television, typewriters, XEROX and other duplicating
machines, computers, etc.
It is a two-way channel for transmitting ideas, plans, commands and reports or suggestions along all
appropriate paths within an organization.
It also includes broad public relation and industrial relation concepts of contact between corporation
executives and employees, stockholders, customer and the public.
Formal communication – refers to the written form which occurs through official channels and is
authorized and used by the organization. Example: memorandums, policies, procedures, accounting,
reports, guidelines, computerized and production information.
Informal organizational communication – may be in the form of impromptu discussion of new work
procedures among fellow workers, relaying information to coworkers, bull sessions and “grapevine” and
others.
Thomas and Fryer list down Five Characteristics of the Business Settings that strongly influence the
communication process:
Perceptions can be defined as a person’s view of reality. It is the process which involves the receiving,
organizing and interpreting stimuli. It is the awareness of external objects, conditions relationships, etc.
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Perceptual variation results from the fact that each person is different, with a different personality
background, and set of experiences.
1. Physiology – a person’s perception of the world is affected by his or her physiological condition.
3. Culture – the culture and society in which one lives have a strong effect on the persons’ attitudes, values and
way of perceiving the world.
5. Learning and Experience – one’s knowledge, training and past experiences about situations, objects or persons
affect his perception.
COMMUNICATION PROCESS
Communication is a process which involves two or more people transacting bits of information to one
another with the ultimate goal of eliciting a response be it positive or negative.
2. ENCODING – takes place when an idea or thought is translated into symbols, verbal or nonverbal, that is
understood by others.
3. TRANMISSION – takes place when the idea or thought which has been placed into some transmittable is
passed through one or more available channels (five senses) and through some medium.
5. UNDERSTANDING – interpretation of the message depends on the receiver’s perception of the idea being
conveyed.
6. ACCEPTANCE AND ACTION – acceptance implies willingness on the part of the receiver to comply with
the message and the action phase entails implementation of the communique or message.
7. NOISE – an interference in the communication process. It is included in the process because any interference
in the transmission of the message will affect the understanding and action of the receiver.
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8. FEEDBACK – is returned message from the receiver to the sender.
SCOPE OF COMMUNICATION
This is the medium within an organization that ties the rank and file of workers to management.
Download vertical communication is forwarding information to person on a lower level in an
organization such as employee publications, financial reports, information racks, bulletin boards, letters
and pay envelope inserts.
Upward communication transmits information to person/persons on a higher level in an organization.
Horizontal or lateral communication occurs between persons on the same level in an organization. Its
purpose is to share information.
Communication attitude – means the willingness and ability to receive and understand messages that come to him
from superiors and subordinates and the ability to impart information appropriately to others.
3. Communication in Public Relations – includes the whole community whose boundaries are unlimited.
External communication (Public Relations) is a two-way proposition as the story to be told goes out, the
responses or reactions that return determine its value.
Evidence of these reactions appear in public forums, the attitude of the government, negotiations with
labor unions, stockholders votes and customer acceptability.
METHODS OF COMMUNICATION
2. NON-VERBAL COMMUNICATION – without words. These can sometimes communicate messages from
the verbal. Non-verbal cues can be shown in the person’s appearance, body movement, in silent times and sounds.
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Appearance – in written communication, the overall appearance of the envelope can covey an urgent or
important message.
Body Language – your voice, facial expressions, gestures and postures are more meaningful than your
verbal message.
Silence, Time, Sounds – Silence seems unimportant but it may imply serious trouble.
Time is important which also refers to the punctuality in appointment, reporting for work and meeting deadlines.
Sounds such as clearing the throat, singing or laughing can communicate certain feelings.
MEDIA OF COMMUNICATION
1. Written and printed communication – this type includes letters, periodicals, like magazines, house organs,
journals, bulletins, pay envelopes, reprints of advertisements, memos, handbooks and paper flow that consists of
dockets and files circulated according to routine schedules.
The memo remains the best single devise for communicating substantial chunks of information to a
coworker.
2. Visual communication – when you use some sort of drawing or picture to illustrate what you mean.
Grapevine is most popular and is most effective in spreading rumor and gossip.
Roles play at various stages of a meeting into such categories: information giver, information seeker, coordinator,
encourager, follower and compromiser.
Direct communication means participation in conversations and discussions between foreman and worker,
department head and foreman manager and department head, wholesaler and retailer and customers.
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Parties, picnics, dances and other forms of recreation – are informal, desirable communication media
because they are built around the social relationship of all members of the organization. The informal
climate tends to breakdown artificial barriers between person and groups.
BARRIERS TO COMMUNICATION
b. Status problem.
c. Language problem.
d. Emotional involvement.
4. The Danger of Distortion – the more an organization increases in size and complexity, the more difficult it
becomes to maintain a satisfactory system of communication.
5. Executive Prestige and Institution -top management by action and attitude can clog effective communication.
(too friendly, apple polishing, fair-haired boys and girls). When executives who stay in their office surrounded
by artificial insulators isolate themselves from their fellow human beings in an organization – cordon sanitaire.
6. The Listeners Lack of Responsibility -as long as listening continues to be regarded as a passive naturally
acquired skill, poor listening will continue to be widespread. Listening is obtaining clues from the receiver to help
the sender fashion messages that will bring the desired response.
COMMUNICATION NETWORKS
Does your communication set-up permit people to tell you all you need to know?
Does it permit you to tell people all they need to know?
Does it permit your people to pass along necessary ideas, information, etc. to each other?
Communication pattern of leaders depends on one’s purpose and the action expected.
Autocratic Communication – the basic path is from the boss directly to each individual. The leader is the
foreman.
Democratic Communication – the flow of communication from the boss/leader is a two-way affair. This
means that the democratic leader not only communicates with group member for purposes of asking
questions, making, suggestions, passing along information but also makes it possible – by personal
contacts, pre-arranged conferences, or other routine procedures.
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Advantage: The democratic method makes it possible to develop ideas. The democratic system allows him to
bring the problem before the group. The man on top is well informed.
Disadvantage: When there is too much discussions, the conference or meeting can go off hand and nothing is
accomplished.
Free-in Communication – subordinate or group members are almost entirely on their own. There is no
back-and-forth flow of ideas, suggestions and consultations.
Advantage: When we want to people to work undisturbed then this system has value.
A significant test for the success or failure of a communication system is the nature of its outcomes. The
principal audiences of effectiveness are the attitude of employees, of management and of the public.
Communication as a medium of public relations undertakes to win the confidence of the community in the
company and its management to merit continued support and goodwill.
The special Business Week issue of 1994 presents a comprehensive discussion of how digital technology is
changing the way we work and live. Before the computer era, the communications man relied on are printing
press, telegraph, telephone, punchcard tabulator, advertising, broadcasting, television, etc.
Computer is the most powerful tool for recording and communicating representations of human
knowledge in coded or symbolic form or “universal manipulator of symbols.”
Commerce net - a virtual business environment used to exchange reams of technical product information,
etc. electronically instead of on paper.’
Virtual corporation – is still far in the future for most businesses.
“All tools are socially constructed. They are slapped by an array of forces that include tradition, political,
economic interests, history and competing technologies and combined effects of which are exceedingly difficult
to predict.” (David Shields)
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CHAPTER 9: Organizational Leadership
WHAT IS LEADERSHIP?
LEADERSHIP is a unique superior position where one has the ability and power to influence people
towards cooperating to get things done so as to reach a goal. Groups need a leader to keep them stable and function
smoothly, to reduce uncertainty and confusion and to keep them focused on its goal. One person can influence
another in his goal achievement activities using legitimate power, expert power, reference power, reward power
and coercive power.
Legitimate power. Legitimate power comes from either the culture or the organization but only if the organization
is accepted a legitimate.
Expert power. This is based on the authority of knowledge like physicians, lawyers, computer programmers and
scientist. Within an organization people, expert powers have a great deal of influence.
Reference power. This can be described as the power of “Identification” or charismatic power which is based on
the attractiveness of a particular person like Mahatma Ghadi; Imelda Marcos.
Reward power. This is base on the leader’s ability to reward a follower. In an industrial organization, reward
power is closely linked to the manager’s legitimate power in promotions and pay increases.
Coercive power. This the power to punish or to dismiss an employee or arrest someone for violating the law.
THEORIES ON LEADERSHIP
TRAIT THEORY
1. Management is responsible for organizing the elements of production enterprise – money, materials,
equipment, people. – in the interest of economic needs.
2. With respect to people, this is a process of directing their efforts, motivating them, controlling their
actions, and modifying their behavior to fit the need of the organization.
SITUATIONAL THEORY
Leadership is functional of the situation, the culture, context, and customs of a group or organization, quite
as much as it is a function of personal attributes and group requirements.
The impact of the leader on the employees is just as important as the impact of employees on them. Here the
leader must be able to make an assessment of the situational including the personal needs and anxieties of his
subordinates.
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VERTICAL DYAD LINKAGE THEORY (VDL)
George Garaen and associates (1975) take into account the uniqueness of leader – subordinate relationship
and the individual – role established within the group.
This theory suggests that the behavior a leader directs towards individual members of the group is dependent
upon the role relationship that has been established between the leader and each particular subordinate.
Robert J. House (1971) has formulated a leadership theory, which hypothesizes that, the leadership function is a
supplementary one… that is, with respect to performance, the leader merely amplifies or detracts from existing
subordinate potentials.
1. Leader behavior is acceptable and satisfying to subordinates see such behavior as immediately satisfying,
or as instrumental to such future satisfaction.
2. Leader behavior is motivating if the behavior makes satisfaction of subordinates contingent on effective
performance and provides the coaching, guidance, support and rewards necessary for effective performance.
Meaning
The concept of functional roles comes from the idea that a behavioral act stems from a certain role, which it has
to satisfy a particular need. The person who helps the group most in achieving satisfactory state in meeting its
objectives may be considered as the leader.
Functional Behavior
With the functional role of leaders mentioned above it may be noted that the functional behavior of the leader is
one that acts as one who must get things done in their proper perspectives.
The success of failure of any organization is through their leadership behavior. Leadership styles is
generally reflected in the behavior patterns of the leader. Proper choice of leadership style will result good
followers and high productivity. A wrong choice will result in lack of cooperation of followers, low morale and
low productivity.
AUTOCRATIC LEADERSHIP
Participative leaders or Y leaders invite the active participation of subordinates to share in decision – making
process as much as possible. Their primary concern is to develop group interrelationship as well as getting the
job done. Participative communication is a two-way process
Democratic leader – one who emphasizes on his subordinates their authority to make decisions and abide by such
decisions with no expectations. It is believed that when people make the decisions that affect their work, they
support such decisions enthusiastically and see to it that they work hard to abide by such decisions they make.
Consultative leaders – this requires a high degree of involvement from employees but it is clear that they alone
have the authority to make the final decisions. They encourage employees to give information, ideas, suggestions,
talent, and experiences for the leaders to work on before they make the final decisions.
3. It supports decisions more enthusiastically and tries hard to make them work.
5. It maximizes individuals’ potential in creative and productive way and experience personal satisfaction
and accomplishment of their work tasks.
6. Workers take on more responsibility than their job description call for.
DISADVANTAGES:
2. MAYBE USED BY PEOPLE WITH AUTHORITY AS A GUISE FOR SHIRKING FROM THEIR OWN
RESPONSIBILITIES.
FREE-REIN LEADERS
Free – rein leaders are also referred to as laissez – faire leaders. Free – rein leaders give their subordinates the
goals and guidelines of their jobs with little direction and leave the rest to them. The free – rein leader, However,
on the following month of June here upon reviewing my bank slip I found out that no deductions has been made.
Coercive Leadership. This is considered the lowest grade of leadership. It tells subordinate to “do this or else”.
Subordinates are forced to obey what the leader tells them for fear of losing their jobs or be ridiculed in front of
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fellow workers. Fear and intimidation are used to enforce blind obedience. Leaders of this kind are generally
hated.
Leadership by assignment. The leader gives definite assignments and responsibilities to hi subordinates and
expects them to do what has been assigned. This is much better than the coercive type. The leader gets more
cooperation and the only disadvantage here is that he does not build teamwork.
Leadership by teaching and explaining. Here the leader takes pain in teaching and explaining to the group what
is to be done and what he expects from them. Members of the work force may approach him freely for any further
explanation. This helps he workers develop their skills and become loyal to the leader.
Leadership by inspiring and molding ideas. This is considered the highest form of building good relationship.
The leader is creative and innovative. He seeks to bring out the potential of his subordinates and stimulates them
for personal growth. This leader maintains group unity and high productivity.
LEADERSHIP IN MANAGEMENT
LEADERSHIP IN MANAGEMENT means influencing and causing people to take effective action. The ability
to lead people by directing their energies toward the achievement of specific goals is perhaps the most satisfying
of the four functions of management.
SUCCESS is enhanced by the manager’s ability to help others find challenge and satisfaction in the work
they do to achieve the organization’s objectives.
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ARE LEADERS BORN OR MADE?
Leaders are both born and made. James Cibbin, researcher and lecturer on leadership examined more
than 3,000 studies and offered the following conclusions:
1. Leadership seems to emerge when the situation demands it and the qualities of leader converge.
2. Leaders have vision: leaders lead. They are continually pushing to the front, determined to get things done.
They are intensely result – oriented and they have the ability to focus clearly on their goals and then concentrate
with single mindedness or intensity of purpose.
Vision is focused outward and upward. When average people become obsessed about the possibility of creating
something exciting and important, they start to lead.
3. Leaders engage in transformational leadership, the deployment and management of people and resources
to get results. Leadership at the highest end of the spectrum is transformational leadership – that arouses emotion,
that can elicit extraordinary performance from ordinary men and women.
EMPOWERMENT is the key function of leadership as the work force becomes dominated by younger members
who are seeking meaning and purpose in their careers. They are not impressed by authority and hierarchy.
TRANSFORMATIONAL leadership is what provides the emotional glue that causes organizations and people in
them to excel. It delegates high levels of responsibilities picking the right people matching them to the right jobs.
He suggests that managers tend to adopt an impersonal, almost passive attitude toward company goals.
Leaders on the other hand, actively embrace them; often inject a touch of personal passion.
Managers view their work as an enabling process, one that would sustain people, resources and ideas into
a forward moving completely.
Leaders are mostly concerned with idea and seem predisposed to work from high-risk positions, especially
when they sense extraordinary reward and opportunity.
Managers prefer to work with people from an organizationally confused role position, as links in the
decision – making chain.
Leaders relate to people and events in a more instinctive and emphatic way, putting their personal stamp
on actions. Leaders may be part of a company, but they’ll be owned by the company.
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