Process of Organizing

We have seen that the outcome of an organizing process is the

‘Organization’.
Organizing is the process by which managers bring order
out of chaos and create proper conditions for effective
teamwork.
Organizing involves the following interrelated steps:

a. Objectives: Every organization must have objectives.

Therefore, every management essentially has to identify the
objectives before starting any activity.

b. Activities: Identifying and grouping several activities is an

important process. If individuals of the groups are to pool their
efforts effectively, there must be proper division of the major
activities. Each and every job must be properly classified
and grouped.

c. Duty: Every individual needs to be allotted his duty. After

classifying and grouping the activities into various jobs, they
should be allotted to the individuals so that they perform them
effectively. Every individual should be given a specific job to do
according to his ability. He may also be given adequate
responsibility to do the job allotted to him.

d. Relationship: Many individuals work in an organization. It is

the responsibility of management to lay down the structure of
relationships in the organization and authority.

e. Integration: All groups of activities must be properly

integrated. This can be achieved in the following ways: through
relationship of authority: horizontal, vertical or lateral. The unity
of objectives can be achieved along with teamwork and team
spirit by the integration process of different activities.

ORGANIZATIONAL BEHAVIOR
Each of us is a student of behaviour. We are aware that certain
types of behaviour are linked to certain types of responsibilities.
As we mature, we expand our observations to include the
behaviour of others. We develop generalizations that help us to
predict and explain what people do and will do. How accurate
are these generalizations? Some may represent extremely
sophisticated appraisals of behaviour and prove highly effective
in explaining and predicting the behaviour of others. Most of us
also carry about with us a number of beliefs that frequently fail
to explain why people do what they do. As a result, a systematic
approach to the study of behaviour can improve an individual’s
explanatory and predictive abilities.

Importance
Organizational Behaviour (OB)
*study involving the impact of individuals, group and
structure or behaviour within the organization.
* useful for the effective working of an organization.
*study of what people do within an organization and
how their behaviour affects the performance of an organization.
*concerned mainly with employment related matters such
as job, work, leaves, turnover, productivity, human performance
and management.
*includes the core topics like motivation, leader behaviour
and power, interpersonal communication, group structure and
process, learning attitude, perception, conflicts, work design
and work stress.
*introduces you to a comprehensive set of concepts
and theories, it has to deal with a lot of commonly accepted
‘facts’ about human behaviour and organizations that have been
acquired over the years, like “you can teach an old dog
new tricks”. “Two heads are better than one”. These facts are not
necessarily true.
one off-line objective of Organizational Behaviour is to
replace popularly held notions.
*offer challenges and opportunities for managers since it
focuses on ways and means to improve productivity, minimize
absenteeism, increase employee job satisfaction, etc.
*offer managers guidance in creating an ethical work
climate. This is because organizational behaviour can improve
prediction of behaviour.

Need for Organizational Behavior

Organizational Behaviour is an applied behavioural science that
is built on contribution from a number of other behavioural
discipline like psychology, sociology, social psychology,
anthropology and political science. Understanding
Organizational Behaviour is becoming very important for
managers. Due to global competition, it is becoming necessary
for the employees to become more flexible and to cope with
rapid changes. It is becoming challenging for the managers to
use Organizational Behaviour concepts. Organizations are no
longer constrained by national borders. Burger King is owned by
a British firm, and McDonald’s sell hamburgers in Moscow.
Exaction Mobile, an American company receives 75% of its
revenue from sales outside US. All the major automobile
manufactures build their cars out side their border, for example,
Honda builds cars in Ohio, USA, Ford in Brazil and Mercedes
and BMW in South Africa. This shows that the world has
become a global village. Hence, managers have to diversify
work force . Work force diversity means the organizations are
becoming more heterogeneous in terms of gender, race and
ethnicity.

Diversity if managed positively, can increase creativity and

innovation in organizations as well as improve decision making
by providing different perspective on preplans. Quality
management is driven by the constant attainment of customer
satisfaction through continuous improvement of all
organizational processes (productivity, absenteeism, turnover,
job satisfaction and recently added fifth dependent variable is
organizational citizenship.

Overall Concept

Behaviour is generally predictable if we know how the person

perceives the situation and what is important to him or her. An
observer sees the behaviour as non-rational because he does not
have the knowledge of the entire situation in the same way.
However, predictability can be improved by replacing your
intuition power by a more systematic approach.
The systematic approach consists of important suits and
relationships and will provide a base for more accurate
predictions of the behaviour. Systematic approach beholds a
basic concept that behaviour is not random. It projects the
individual’s belief, concept and then interest, etc. there are
differences in every individual and placed in similar situations
they do not react alike. However, there are some fundamental
consistencies in each individual’s behaviour, which can be
identified and modified to find out the individual differences.
Systematic study means looking at relationships, attempting
to attribute causes and effects and base our conclusions on
scientific evidence. That is data gathered under controlled
conditions and interpreted in a rigourous manner.
Systematic study replaces intuition. Systematic approach does
not mean that things that are believed in an unsystematic way
are necessarily incorrect. Sometimes, research findings may also
run counter to what you thought was common sense. The
objective of systematic approach is to move away from intuitive

views of
behaviour towards a systematic analysis.
ORGANIZATIONAL SYSTEM AND HUMAN BEHAVIOR
NOTE:
INTRODUCTION

An effective management was controlled with an organizational

system on which prescribe lines of communication are
described. A manager, especially the Human Resource Manager
must know how to control the behavior of its subordinates. He
must know how his subordinates behave in some manners.
Behavior was connected with the word “motivation” since it
means to influence a desired behavior of a worker. We all know
that among the resources in the organization, human is the most
difficult to control. Unlike other resources, the people have their
minds and feelings which make them hard to control. It is
important that you know how to socialize to the people inside
the organization through doing ethical practices or the good
conducts required to avoid conflicts.

Organizational System is the integrated framework of elements

that portrays how behavior is guided towards achievement of
organizational goals.

Organizational Behavior is the study and application of

knowledge about how people- as individuals and as groups act
and behave within the organizations. It provides useful set of
tools at many levels of analysis to help managers look at the
behavior of individuals within the environment.

The four goals of organizational behavior are to describe, to

understand, to predict, and to control behavior of people under
various conditions.

The Four Forces Affecting Organizational Behavior

1. People. People make up the internal social system of the

organization.
2. Structure. The structure fundamentally defines the formal
relationships and use of human resources in
an organization.
3. Technology. The use of technology has a tremendous
 influence on working relationships.
4. Environment. All organizations operate within an internal
and external environment.

One major strength of organizational behavior is its

interdisciplinary nature by way of integrating the behavioral
sciences- the systematic body of knowledge of why and how
individuals in given organization behaves as they do.

Research is a systematic process of gathering and interpreting

relevant data that will either support a behavioral theory or help
change it. Research hypotheses are testable statements
connecting variables in a theory, that guide the process of data
collection.

Basic Concepts of Organizational System and

Human Behavior

a. Individual Differences. A person is a distinct individual.

He is unique and different from others.
b. Perception. Perception is the act of faculty of
apprehending by means of the senses or the mind. It is a
single unified awareness derived from sensory processes
while a stimulus is present.
c. A whole person. When a person joins in an organization,
he is hired not only because of his brains but, as a whole
person possessed with certain characteristics.
d. Motivated Behavior. Motivated behavior may be as a
result of a normal behavior that has certain causes; and
these may relate to an individual’s needs.
e. Desire for involvement. Normally, every person wishes to
feel good himself. This personal human desire is reflected
in his drive for self-efficacy.
f. Value of Persons. People are the most difficult to control in
any type of organization; and therefore, they deserve to be
treated with extra care from other of production(land,
capital and technology) because they have feelings
and emotions.

Organizations and Social Systems

Organizations are social systems for they are organized on the
basis of mutual interest- employer and worker relationship.

Social system is a complex set of human relationships

interacting in many and different ways. As social systems, the
activities they perform are governed by social and psychological
laws.

Mutual Interest. Organizations exist for a social and humanistic

purpose. They are legally and morally constituted and
maintained on the basis of some mutuality of interest among the
members of the organization.

Ethics is a system of moral principles; the rules of conduct

recognized to a particular class of human actions or a particular
group.

Four Basic Approaches Interwoven in the Dynamics of

People and Organization

1. Human Resources Approach. The philosophy of the Human

Resources Approach is developmental. This is specifically
designed and concerned with the growth and development of
people in order to achieve higher level of competency, creativity,
and fulfillment, because people are considered the most potent
variable as a resource in any organization and society.

2. Contingency Approach. There are number of traditional

managers that relied on principles to provide “one best way”
of managing.

3. Results-oriented Approach. All organizations whether

political, social, economic or ecclesiastical, need to accomplish
desirable results. The role that organizational behavior plays in
creating organizational outcomes is composed of set of factors
and theirrelationships.
• Knowledge x skills= ability
 • Attitude x situation=motivation
• Ability x motivation
•

Potential performance x resources x opportunity= organi

zational results

4. Systems Approach. The systems approach is a type of

behavioral approach in which the manager takes a holistic
perspective of the whole

SYNTHESIS

The study of how people interact in the social system is called

organizational behavior. An organizational system helps people
to identify how behavior will be guided and controlled. The
goals of organizational behavior are to describe, understand,
predict and control. It was affected by the four factors that
can be summarized as PEST- People, Environment, Structure
and Technology. It also integrates behavioral sciences- the
systematic body of knowledge of why and how individuals in
given organization behaves as they do. Research helps to guide
every human behavior.

There are basic concepts in organizational system and human

behavior and these are- individual differences; perception. ; a
whole person; motivated behavior; desire for involvement; and
value of persons.

Organizations are social systems for they are organized on the

basis of mutual interest- employer and worker relationship. The
four basic approaches interwoven in the dynamics of people and
organization are the Human Resource Approach
(developmental), Contingency Approach (alternatives), Results-
oriented (desirable outcomes) and Systems Approach (holistic
perspective of manager).
 KEY
ELEMENTS OF ORGANIZATIONAL BEHAVIOR: PEST

A study of organizational behavior simply involves analyzing the behavior of individuals

within the organization.

Management involves understanding and controlling human behavior in order to

improve the performance of an organization.

Through understanding organizational behavior, organizations can better understand

the behavior of the people working with them.

In this world, every substance has certain elements. Likewise, Organizational Behavior
(OB) has also four main elements.ie; people, structure, technology, and external
environment.

When people come and join together in an organization to achieve or accomplish

certain goals or objectives, some kind of structure is required and people use different
techniques to get the job done properly.

So, there is an interaction between elements; people, structure and technology which is
influenced by the external environment.

Key Elements of Organizational Behavior

Table of Contents
• Key Elements of Organizational Behavior
o 1) People
o 2) Structure
o 3) Technology
o 4) External environment

• FAQs
o Which of the following key elements of organizational Behaviour defines the roles and relationships of
people?
 • 1) People

• ➦ The existence of an organization is impossible without people. People make up

the internal social system of the organization.

• ➦People consist of individuals and groups. Groups may be formal or informal,

small or large, interrelated, and complex.

• ➦People are dynamic in nature as they interact with each other and also influence
each other. Groups may form, change, and dissolve. Organizations are
established to serve the people.

➦Employees in an organization are referred to by different names. Each of these

people works either individually or in groups to make up the organization’s working
structure.

➦For companies, these are very important factors, and there is no alternative to their
employees. Employees help organizations achieve their goals.

➦Managing and treating them well is essential. Managers must be able to understand
and study the nature of their employees.

➦That will enable them to build better relationships with their employees. A better
understanding of this element will eventually lead to improved productivity.

2) Structure
➦In this world, everything has a structure. For example, the human body, tree, house,
and even the book you are reading now has its own type of structure.

➦In an organization, structure defines the roles and relationships of people. It leads to a
division of work.ie; Some may be executives; others may be supervisors, assistants,
persons, and workers.

➦The structure clarifies the authority-responsibility relationships. All of these people are
related to each other to accomplish the objectives in a coordinated manner.

➦An organization’s structure is related to the roles and relationships among its
members. The roles and responsibilities of each individual in an organization should be
clearly

➦There will be no confusion and the people working there will be more efficient. The
right work can be assigned to the right person by properly dividing the whole work.

➦When employees are assigned work based on their skills, they contribute more
efficiently to the achievement of goals.

➦Hence, the structure plays an important role in developing an effective employer-

employee relationship.

3) Technology

➦In today’s world without technology work would be either difficult or even impossible. It
provides economic and physical resources to make people’s jobs easy.

➦The people are given the assistance of machines, tools, methods, and resources.

➦The nature of is contingent/dependent upon the nature of tasks and scale of

operations. Technology may also put restrictions on the freedom of people.

➦With the assistance of technology, employees are capable of performing their work
effectively. Employees find it difficult to work with their bare hands when it is absent.

➦The technology makes people’s work and tasks easier.It consists of a variety of
machines, methods, tools, and resources. Technology is necessary depending on the
type of work and the scale of operations.

➦By reducing the costs of production and improving the quality of work, technology
plays a key role.

➦Although technology allows people to work more freely, it imposes certain restrictions.
Users are required to adhere to certain terms and conditions.

4) External environment

➦The external environment is an important element ofOB. An organization operates in

a larger social system and is influenced by the external environment which includes
socio-cultural, economic, political, legal, technological, and geographical forces.

➦These forces influence people’s attitudes, motives, and working conditions in an

organization in many ways.

➦Similarly, the organization also has an influence over the environment but the degree
of influence is less. The organization imports inputs from the environment and exports
output to the environment.

➦The environment plays a crucial role in organizational behavior. The internal

environment and the external environment are two types of environments in which
organizations exist.

➦An organization cannot exist alone; it is a component of a complex system that

consists of many elements such as the family, the government, and other organizations.

➦An organization’s internal environment encompasses its culture, its structure, and its
resources.
➦Political, social, economic, cultural, and technological factors influence the external
environment. There are different influences on the workings of the organization caused
by each of these factors.

Which of the following key elements of organizational Behaviour

defines the roles and relationships of people?

• Ans: “Structure” is the key element of organizational Behaviour defines the roles and
relationships of people.In an organization, structure refers to the roles and relationships
between different individuals.
• Individuals working in an organization must have a clear understanding of their roles and
responsibilities.
• As a result, people working there are more efficient and there is no confusion. The right
work is assigned to the right person based on the proper division of the whole work.
• In the event that employees are given work based on their skills, they are able to perform
better and help achieve goals more efficiently.
• Hence, structure plays an important role in developing a good employer-employee
relationship.

INDIVIDUAL BEHAVIOR, PERSONALITY AND VALUES

A. Model of Individual Behavior and Performance

People show substantial individual differences or

variations in how they respond to the same situation based on
personal characteristics. There are seven identified
consequences of individual differences that have a major impact
on managing people:

1. People differ in productivity

2. Quality of work varies because people vary in their
tendency for achieving high-quality results.
3. Empowerment is effective with some workers, but not all.
4. A given leadership style does not work with all people.
5. People differ in their need for contact with other people.
6. Company management will find that commitment to the
organization varies considerable.
7. Workers vary in their level of self-esteem, which in turn,
influences their productivity and capacity to take on additional
responsibilities.

Thus, a “skill-and-will” model will elaborate specific

characteristics within the person that influence individual
performance. This is called MARS model of individual behavior
and performance illustrating the four variables, motivation,
ability, role perceptions and situational factors. All four factors
are critical influences of individual’s voluntary behavior and
performance. If any of them is low in a given situation, the
employee would perform the task poorly.

Employee Motivation

Motivation represents the forces within a person that

affects his or her direction, intensity and persistence of voluntary
behavior. (1) Direction refers to the path along which people
engage their effort. People have choices about where they put
their effort; they have sense of what they are trying to achieve
and at what level of quality, quantity and so forth. Thus,
motivation is goal-oriented not random. (2) Intensity is the
amount of effort allocated to the goal. Intensity is all about how
much people push themselves to complete a task. (3) Persistence
continuing the effort for a certain amount of time. Employees
sustain their effort until they reach their goal or give up
beforehand.

Remember, motivation is a force that exists within

individuals; it is not our actual behavior. Hence, direction,
intensity and persistence are cognitive and emotional conditions
that directly cause us to move.

Ability

Employee abilities also make a difference in behavior

and task performance. Ability includes both the natural aptitudes
and the learned capabilities required to successfully complete a
task. (1) Aptitudes are the natural talents that help employees
learn specific tasks more quickly and perform better. (2) Learned
capabilities are the skills and knowledge you are currently
possess. These capabilities include the physical and mental skills
and knowledge you have acquired. Learned capabilities ted to
wane over time when not in use.

Aptitudes and learned capabilities are closely related to

competencies, which has become a frequently used term in
business. Competencies are characteristics of a person that result
in a superior performance. Some experts extend the meaning of
competencies to include personality and values, while others
suggests that competencies are action-oriented results of these
characteristics such as serving customers, coping with heavy
workloads and providing creative ideas.

Role Perceptions

Motivation and ability are important influences on

individual behavior and performance but employees also require
accurate role perceptions to perform their jobs well. Role
Perceptions refer how clearly people understand the job duties
(roles) assigned to them or expected to them.

Role clarity exists in three forms: (1) employees have

clear role perceptions when they understand the specific tasks
assigned to the, that is, when they know specific duties or
consequences for which they are accountable, (2) how well
employees understand the priority of their various tasks and
performance expectations, also, this refers to properly allocating
time and resources to various tasks, and (3) understanding the
preferred behaviors or procedures for accomplishing the
assigned tasks.

Situational Factors

Employees’ behavior and performance also depend on

the situation. The situation mainly refers to conditions beyond
the employee’s immediate control that constraint or facilitates
behavior and performance.
Type of Individual Behavior in the Workplace

1. Task Performance. This refers to goal-directed behaviors

under the individual’s control that support organizational
objectives. More generally, tasks might involve working with
data, people or things; working alone or with other people and
degrees of influencing others.
2. Organizational Citizenship. Few companies would survive
if employees performed only their formal duty. They also need
to engage in organizational citizenship behavior – refers to
various forms of cooperation and helpfulness to others that
support the organizational social and psychological context.

Organizational citizenship behaviors take many forms. Some are

directed toward individuals, such as assisting coworkers with
their work problems, adjust work schedule, showing genuine
courtesy toward coworkers and sharing resources. Other OCBs
represent cooperation and helpfulness toward organization such
as supporting the company’s public image, offering ideas
beyond those required for the job and keeping up with new
developments in the organization.
3. Counterproductive Work Behaviors. Organizational
behavior is interested in all workplace behaviors, including
dysfunctional activities collectively known as counterproductive
work behaviors (CWBs). These voluntary behaviors have the
potential to directly or indirectly harm the organizations. Some
of the types of CWBs include harassing coworkers, creating
unnecessary conflict, deviating from preferred work methods,
dishonesty, stealing, sabotaging work, avoiding work obligations
(tardiness) and wasting resources. These CWBs are not minor
concerns and it can undermine the organization’s effectiveness.
4. Joining and Staying with the Organization.
5. Maintaining Work Attendance.

B. Personality in Organizations

Personality is the relatively enduring pattern of thoughts,

emotions and behaviors that characterize a person, along with
psychological process behind those characteristics. It is, in
essence, the bundle of characteristics that make us similar to or
different from other people.

Personality is an important individual characteristic,

which explains why several companies try to estimate the
personality traits of job applicants and employees. Your
personality is the combination of attributes, traits and
characteristics that makes us unique. Personality can therefore
be regarded as the core of who you are.

A basic premise of personality theory is that people have

inherent characteristics or traits can be identified by the
inconsistency or stability of their behavior across time and
situations. As a key feature of personality theory, it attributes a
person’s behavior to something within the person or their
individuality with regard to personality rather than to purely
environmental influences.

Of course, people do not act the same way in all

situations; in fact, such consistency would be considered
abnormal because it indicates a person’s insensitivity to social
norms, reward system and other external conditions. People vary
their behavior to suit the situation, even if the behavior is at odds
with their personality.

People typically exhibit a wide range of behaviors, yet

within that variety are discernible patterns that we refer to as
personality traits. Traits are broad concepts that allow us to label
and understand individual differences. Furthermore, traits
predict an individual’s behavior far into the future.

Personality Determinants: Nature versus Nurture

a. Nature. This refers to our genetic or hereditary origins – the

genes that we inherit form our parents. Genetic code not only
determines our eye color, skin tone and physical shape, it also
significantly affects our attitudes, decisions and behavior.
b. Nurture. The person’s socialization, life experiences and
other forms of interaction with the environment. Personality
development and change occurs mainly until young adulthood;
personality stabilizes by the time people reach 30 years of age,
although, some personality changes may continue to age 50.

The main explanation for why personality becomes more

stable over time is that we form a clearer and more rigid self-
concept as we get older. Because our self-concept becomes
clearer and more stable with age, our behavior and personality
therefore also become more stable and consistent.

Five-Factor Model of Personality

Hundreds of personality traits have been described over

the years, so personality experts have tried to organize them into
smaller clusters. The most widely respected clustering of
personality is the five-factor model, also known as Big-Five
Personality Dimension.

Big-Five Personality Dimension: CANOE

The opposite of extraversion is introversion which characterizes

those who are quiet, cautious and less interactive with others.
Extraverts get their energy from the outer world, the people and
things around them, whereas introverts get their energy from the
internal world such as personal reflection on concept and ideas.

Big Five Dimensions and Workplace Behavior

The personality dimensions in the five-factor model influence
employee motivation and role clarity in various ways.

Conscientiousness and emotional stability stand out as

the personality traits that best predict individual performance in
every job group. Both are motivational components of
personality because they energize a willingness to fulfill work
obligations within established rules and to allocate resources to
accomplish those tasks.

On the other hand, extraversion is associated with

performance in sales and management jobs where employees
must interact with and influence people. Agreeableness is
associated with performance in jobs where employees are
expected to be cooperative and helpful such as working in
teams, customer relations and other conflict-handling situations.
People high on openness-to-experience personality dimension
tend to be more creative and adaptable to change.

C. Ethical Values and Behavior

Values and personality traits are related to each other but

the two concepts are differs in few ways. The most noticeable
distinctions are (1) values are evaluative – they tell us what we
ought to do whereas personality traits describe what we
naturally tend to do; (2) personality traits have fairly low
conflict with each other whereas some values are opposed to
other values; and (3) although personality and values are partly
determined by heredity, values are influence much more by
socialization whereas personality traits are influenced as much
by heredity.
Ethical Values

The most important characteristic of effective leader

corporate leaders according to survey to employees is honesty or
ethics. Ethics refers to the study of moral principles or values
that determine whether actions are right or wrong and outcomes
are good or bad.

Three Ethical Principles

To understand business ethics, we need to consider three

distinct types of ethical principles:
1. Utilitarianism. This principle advises us to seek the greatest
good for the greatest number of people. In other words, we
should choose the option that provides the highest degree of
satisfaction to those affected. This also called as consequential
principle because it focuses on the consequences of our actions
not how we achieve those consequences.
2. Individual rights. This principle reflects the belief that
everyone has entitlements that let her or him act in a certain
way. Some of the most widely cited rights are freedom of
movement, physical security, freedom of speech, fair trial, and
freedom from torture.
3. Distributive justice. This principle suggests that people who
are similar to each other should receive similar benefits and
burdens; those who are dissimilar should receive different
benefits and burdens in proportion to their dissimilarity.

DIFFERENT THEORIES AND MODELS

Theory is a supposition or a system of ideas intended to explain
something, especially one based on general principles
independent of the thing to be explained. Organizations differ in
the quality of the systems and the procedures they develop and
maintain and in the results they accomplish. In this topic or
lesson, we will discuss about the different theories that
Organizational Behavior has and the Models of Organizational
Behavior. Different theories of organizational behavior bring
about the varying results. These theories constitute the belief
system and management orientations that, consequently, affect
the organization.

Organizational Behavior Theories

Theory is a systematic grouping of interdependent concepts and

principles that gives a framework to a significant area of
knowledge.

Theory X Assumptions
Theory X is a traditional set of assumptions about people in a
work environment. It assumes that most people dislike work and
will try to avoid it if they can. Workers are seen as being
inclined to restrict work output, having a little ambition, and
avoiding responsibility, if at all possible. They are perceived to
be relatively self-centered, indifferent to organizational needs
and most often, and resistant to change.

Theory Y Assumptions
Theory Y implies a more humanistic and supportive approach to
managing people. It assumes that people are inherently lazy.
Any semblance they have of being lazy may be the result of
their experiences with the organization. Under the Theory Y
assumptions, management believes that workers will exercise
self-direction and self-control in the service of objectives to
which they are committed.
Herzberg’s Two-Factor Theory
In 1950, another theory about human motivation was developed
by Frederick Herzberg and his colleagues at the Psychological
Service of Pittsburg, extending the earlier theory of Maslow.
Their findings were two distinct factors that influenced
motivation and these are:

1. Hygiene or Maintenance factors – these constitute the

conditions in work; e.g., better working conditions, salary, and
effective supervision that make employees satisfied but not
necessarily motivated.
2. Motivator or job content factors – These are the real
motivators: achievement, responsibility and recognition.
David C. McClelland’s Theory
This theory classified people in relation to their dominant need
for achievement, power or affiliation. McClleland viewed that
successful entrepreneurs are persons with high N-Ach (need for
achievement). It was McClleland who popularized and found
application of Atkinson’s work to business, and later coined the
term “Achievement Motivation” to describe an individual’s
drive to vercome challenges for advancement. He believes that
the basic needs to drive people are:

1. The need for achievement – studies reveal that there is

a strong correlation between high need for achievement and high
level of job performance and success.
2. The need for power – this is a drive to influence people to
conform to certain situations.
3. The need for affiliation – an individual has a need to
develop warm, friendly, cordial, and personal relationships.
4. The need for competence – an individual has a drive to
strive for quality of work.

Skinner Operant Theory

Burhaus Frederic Skinner, an exponent of behaviorism,
contested the theory that human needs are the determinant of
human behavior. Supported by scientific studies, Skinner (1953)
believed that “the environment determines the individual
behavior event if he alters the environment.” He argued that the
workers can be motivated by properly creating the work
environment and providing rewards or stimulus for desirable
worker’s performance
Expectancy Theory
While the Operant Theory begins with the idea that a certain
behavior depends primarily on its consequences, the expectancy
theory equates motivation with the product of valence; i.e., the
probability that a particular action will lead to the desired
thing. The expectancy model implies that, through experience,
people learn the kind of rewards (outcomes) they value more
highly than others.
Traditional Theory of Motivation
The traditional theory of motivation evolved from the work of
Frederick W. Taylor and the Scientific Management Concept.
The primary concern was to increase productivity through
greater efficiency in production and increased pay for workers
through the application of the scientific method.

Content Theory
The content theory focuses on the content or nature of items
that motivate an individual. It relates to the individual’s inner
self and how that individual’s internal state of needs determine
One major difficulty with the content model of motivation is that
the needs of people are not subject to observation by managers
or to accurate measurement for monitoring purposes.

The Carrot and the Stick Theory

Leading theories of motivation and motivators seldom make
reference to the carrot and the stick. In all theories of
motivation, the inducement or “carrots” are recognized and most
often, the “carrot” is money in the form of pay or bonuses. On
the other hand, the “stick” in the form of fear -- fear of loss of
job, loss of income, reduction of bonus, demotion and some
other penalty has been and will continue to be a strong
motivator, although admittedly not the best kind of motivator.
Different Models of Organizational Behavior

The Supportive Model

The supportive model of organization behavior originated
from the “Principle of supportive relationships” by
Rensis Likert. The supportive model, to a certain extent,
depends on leadership instead of on power or on money.

The Collegial Model

The collegial model is an extension of the supportive model.
The term collegial refers to a body of people having a common
purpose. It is characterized by the collective responsibility
shared by each of the members of an organization.

The Custodial Model

When managers began to study the workers, evidently, they
soon recognized that, workers do not talk back to their superiors.
There is a feeling of insecurity, frustration, and aggression
towards their boss. If the insecurities, frustrations, aggressions
and psychological anxiety of workers could be dispelled, the
workers will develop enthusiasm to work better.

The Autocratic Model

The autocratic model has its roots on his history and flourished
during the industrial revolution. The autocratic model approach
depends on power and authority. Those who are in command
have the power to demand “You do this; or ” If worker does not
obey orders, he will be penalized.

SYNTHESIS

The importance of theory is to provide a means of classifying

significant and pertinent management information and
knowledge. In designing an effective organizational structure,
there are number of principles and concepts that are interrelated
and that have a predictive value for managers.

According to Herzberg, the motivators are the job factors that

are intrinsically motivating the employees that constitute the
most enduring sources of motivation in the work environment.
On the other hand, the satisfiers are important factors because
these create dissatisfactions, if not properly attended to
by management.

The need Achievement Theory assumed that the linked needs

satisfaction to motivating behavior was originally
conceptualized by John Atkinson, a psychologist, whose
interests were on personality tests. The Theory argued that the
“need to achieve” is a personality trait of an individual.

In the field of psychology, the term “operant or operant

conditioning” is a kind of learning in which behavior is shaped
by selective reinforcement. In this theory, rewards or any stimuli
that serve as positive reinforcers of certain behavior are found to
be more powerful than the negative and neutral reinforcers, even
if both sets of reinforcers may be used.

The expectancy theory is valuable for helping managers think

about the mental processes through which motivation as
a human behavior occurs.

Organizational behavior modification or OB Mod, is the

application in organizations of the principles of behavior
modification, which evolved from the work of B.F. Skinner.

Organizations differ in the approaches and in the quality of the

system they develop and use too maintain the results they would
like to achieve. The varying results are caused by the different
models of organizational behavior.

The different theories and models in organizational behavior that

have discussed portrayed existing relationship as the perfect
embodiment of rationality, and consequently, recommending a
better course of action in solving problems existing in the
operation of the organization.
Self-Concept

Self-concept refers to an individual’s self-beliefs and self-

evaluation. It is the “Who am I?” and “How do I feel about
myself?” that people ask themselves and that guide their
decisions and actions. We also evaluate our current and desired
competencies to determine whether there is a good fit with that
job.

Self-concepts vary in their complexity, consistency and

clarity.

These three characteristics of self-concept are important because

they influence a person’s well-being, behavior and performance.
People tend to have psychological well-being when they have
multiple selves (complexity) that are well established (clarity)
and are similar and compatible with personal traits
(consistency).

In addition to these characteristics, four processes shape

self-concept and influence a person’s decisions and behavior.
These are:
1. Self-Enhancement. People across most cultures are inherently
motivated to perceive themselves and to be perceived by others,
as competent, attractive, lucky, ethical and important.
Individuals tend to rate themselves as above average, believe
that they have a better-than-average probability of success and
attribute their successes to personal motivation or ability while
blaming the situation for their mistake. Self-enhancement has
both positive and negative consequences in organizational
settings. On the positive side, individuals tend to experience
better mental and physical health and adjustment when they
view their self-concept in a positive light. On the negative side,
self-enhancement can result in bad decisions.
2. Self-Verification. People try confirming and maintaining their
existing self-concept through self-verification. This process
stabilizes an individual’s self-concept which in turn provides an
important anchor that guides his or her thoughts and actions.
Employees actively communicate their self-concepts so
coworkers can provide feedback that reinforces those self-
concepts.
3. Self-Evaluation. Almost everyone strives to have a positive
self-concept but some people have a more positive evaluation of
themselves than do others. This self-evaluation is mostly defined
by three elements:

a. Self-Esteem is the extent to which people like, respect

and are satisfied with themselves. Some experts also
believe that self-esteem is a person’s rating of his or
her success at social inclusion. Therefore, people have
higher self-esteem when they believe they are
connected to and accepted by others.
b. Self-Efficacy refers to a person’s belief that he or she
can successfully complete a task. They believe they
possess the energy (motivation), resources (situational
factors), understanding of the course of action (role
perceptions) and competencies (ability) to perform the
task.
c. Locus of Control is defined as a person’s general
beliefs about the amount of control he or she has over
personal life events. Individuals with internal locus of
control believe that their personal characteristics
mainly influence life’s outcomes. Those with more of
an external locus of control believe that events in their
 life are due mainly to fate, luck or conditions in the
external environment.

4. Social-Self. Everyone has a self-concept that includes at least

a few identities and each identity is defined by a set of attributes.
These attributes highlight both the person’s uniqueness (personal
identity) and his or her association with others (social identity).
Personal identity refers to something about you as an individual
without reference to a larger group. Personal identity consists of
attributes that make us unique and distinct from people in the
social groups to which we have a connection.

At the same time, human beings are social animals; they have an
inherent drive to be associated with others and recognized as
part of social communities. Social identity is when people define
themselves by the groups to which they belong or have an
emotional attachment.
Self-Concept and Organizational Behavior

According to recent studies, self-concept helps explain

leadership, team dynamics, employee motivation, decision
making, influence, organizational commitment among others.
Many organizational leaders are already well aware that
supporting employee self-views can significantly improve their
performance and well-being.