Prof DEBASISH DUTTA/Organizational Behavior/MIT-WPU/2018 1

Organizational Behaviour
MBA 2018 – 2020
1st Trimester JULY 2018

Prof DEBASISH DUTTA

Prof DEBASISH DUTTA/Organizational Behavior/MIT-WPU/2018 2

 Definitions
• Organizational Behavior is a field of study that
investigates the impact that individuals, groups, and
structure have on behavior within organization for
the purpose of applying such knowledge toward
improving an organization's effectiveness.
- Stephen Robbins

Prof DEBASISH DUTTA/Organizational Behavior/MIT-WPU/2018 3

 Definitions
• Therefore we understand that:
1. OB is the study of human behaviour
2. The study is about behaviour of people in the
organizations
3. There are three types of behaviour – Individual
behaviour, Group behaviour, and behaviour on the
structure
4. Knowledge about human behaviour would be useful in
managing employees for organizational effectiveness.
Prof DEBASISH DUTTA/Organizational Behavior/MIT-WPU/2018 4
 Concepts of Organization Behaviour
• The subject of OB is based on few fundamental concepts:
Individual
Differences Social
Systems
Concepts Concepts
Concerned Whole Concerned
Person with
with Mutuality of
OB
People Interests Organization
Caused
Behavior

Holistic
Human Concept
Dignity
Prof DEBASISH DUTTA/Organizational Behavior/MIT-WPU/2018 5
 Concepts Concerned with People

Individual differences Human Dignity

Human Dignity Whole Person Caused
Caused
This Behavior
is moreDifferences
a philosophical concept rather than scientific
Individual Behaviourconclusion.
Whole Person
314 ItAn individual
confirms
Despite having thatbehavior
much isare
people incaused
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mankind as times
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2 When
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need
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pride
and
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hired, it also
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root.
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recognizes that people want to be treated with dignity and respect
birth itself every individual is different and the experiences in life makes them even not
Family
economic life of an individual cannot be separated from his work life.
tool.
more different.
Organization
Ethical values while prevail
should treatingwhile
an individual
dealing as people.
with a whole individual must strive to develop
It is the individual that which causes OB to begin its dealing with individual.
employees as a better person in terms of growth and fulfillment.
Prof DEBASISH DUTTA/Organizational Behavior/MIT-WPU/2018 6
 Concepts Concerned with Organization

Holistic Concept
Social System
Mutuality
When all theofsixInterests
Organizations concepts among
are Social
areSystemIndividual
placed together, of emerges a holisticHolistic
Mutualitythere concept.
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This concept
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expresses
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termssystem people alsowhole
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organizations are governed by social
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whole organization
‘Formal’seeand
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organization objectives.
dynamic and all parts of the organizations are
Mutual interest as
interdependent provides
well as aaresuperordinate goal that
subject to influence unites
by each the variety of needs that
other.
people bring to organization.
Prof DEBASISH DUTTA/Organizational Behavior/MIT-WPU/2018 7
 Discipline That Contribute to OB
Behavioral Science Contribution Unit of Output
Learning Job satisfaction analysis
Motivation Decision making
Personality Performance appraisal
Emotions Attitude
Psychology Perception Selection
Training Work design Individual
Leadership Stress

Group dynamics Power

Work teams Conflict
Communication Intergroup behavior
Study of
Sociology Formal organisational theory Organizational change Group
OB
Organisational technology Organizational culture

Behavioural change Group processes

Attitude change Group decision
Social psychology Communication making

Comparative values & attitudes

Cross culture analysis Organization
Anthropology system
Organizational culture &environment

Conflict
Political science Interorganizational politics
Power
Prof DEBASISH DUTTA/Organizational Behavior/MIT-WPU/2018 8
Challenges and opportunities of
Organizational Behaviour

Prof DEBASISH DUTTA/Organizational Behavior/MIT-WPU/2018 9

 Challenges and Opportunities for OB
• The dramatic changes in organizations that has taken place in the
organizations.
1. The typical employee is getting older
2. More women in the workplace
3. Corporate downsizing
4. Use of temporary workforce and severing the bonds of loyalty
5. Global competition that requires employees to become more flexible and cope
with rapid change.
6. The global recession has brought to the forefront the challenges of working
with and managing people during uncertain times.

Prof DEBASISH DUTTA/Organizational Behavior/MIT-WPU/2018 10

 Challenges and Opportunities for OB
• Most critical issues confronting managers for which OB offers solutions-or at least
meaningful insights toward••••• Globalization,
Employees are expanded
solutions.
To •
Today'scompete
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work
employees
increasinglycapacity,
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effectively
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firms with
pressured
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people
to cut
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rely
from advances
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corners, on the lineinbetween
innovation
workers
different
break from
rules, and
1) Responding to Economic•• technology
work
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master
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have
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time
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national personal
women
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China
engage and
cultures,
in other
other you developing
need
questionable to nations
understand
practices. where
how cheap
their labour
culture,
•• flexible
2) Responding to Globalization A
and•
and
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3) Increased Foreign AssignmentsVictory
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OB
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customer.
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12) Helping Employees Balance
• Theand
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workplaces provides and
with jobs
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employees
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techniques
to the deal
leadership
13) Creating a Positive Workchange.
Environment
countries.
with work-life canconflicts.
influence employee decisions to behave
14) Improving Ethical Behaviour to aid in realizing
communities
ethically. in which thesethey goals. operate.
Prof DEBASISH DUTTA/Organizational Behavior/MIT-WPU/2018 11
Understanding Individuals in the
Organizations

Prof DEBASISH DUTTA/Organizational Behavior/MIT-WPU/2018 12

Prof DEBASISH DUTTA/Organizational Behavior/MIT-WPU/2018 13
 Perception

• Nature of Perception
• Perception refers to the interpretation of sensory data.
• Sensation involves detecting the presence of a stimulus
whereas perception involves understanding what the
stimulus means.
• Perception is the intellectual process.
• Perception is the basic cognitive or psychological process.
• Perception becomes a subjective process and different
people may perceive the same event differently.
Prof DEBASISH DUTTA/Organizational Behavior/MIT-WPU/2018 14
 Perception

• Definition
• Perception is a process by which individuals organize and interpret
their sensory impressions in order to give meaning to their
environment.
- Stephen Robins
• What we perceive can be substantially different from objective
reality.
• People’s behaviour is based on their perception of what reality is,
not on reality itself.

Prof DEBASISH DUTTA/Organizational Behavior/MIT-WPU/2018 15

 Perception

Prof DEBASISH DUTTA/Organizational Behavior/MIT-WPU/2018 16

 Perception

Prof DEBASISH DUTTA/Organizational Behavior/MIT-WPU/2018 17

 Perception

Prof DEBASISH DUTTA/Organizational Behavior/MIT-WPU/2018 18

 Perception

Prof DEBASISH DUTTA/Organizational Behavior/MIT-WPU/2018 19

 Perception

Prof DEBASISH DUTTA/Organizational Behavior/MIT-WPU/2018 20

 Perception

Prof DEBASISH DUTTA/Organizational Behavior/MIT-WPU/2018 21

 Perception

Prof DEBASISH DUTTA/Organizational Behavior/MIT-WPU/2018 22

 Perception
Factors Influencing Factors in the Perceiver
• Attitudes
Perception • Motives
• Interests
• Experience
• Expectations

Factors in the situation

• Time PERCEPTION
• Work Setting
• Social Setting
Factors in the target
• Novelty
• Motion
• Sounds
• Size
• Background
• Proximity
• Similarity
Prof DEBASISH DUTTA/Organizational Behavior/MIT-WPU/2018 23
 Perception

• Process of Perception
• Confrontation of stimulus
• The Individual comes face to face with another individual or group or object or
situation or problem
• Registration
• The individual registers the stimulus and it’s gravity
• Interpretation
• The individual tries to understand the real meaning of the situation
• Feedback
• The individual evaluates the strength and weakness and gives a quick feedback to the
sensory motor
• Reaction
• The individual gives the response in terms of reaction that can be positive, negative or
neutral, depending upon the mutual interaction between the stimulus and the
individual.

Prof DEBASISH DUTTA/Organizational Behavior/MIT-WPU/2018 24

Attribution Theory

Prof DEBASISH DUTTA/Organizational Behavior/MIT-WPU/2018 25

 Perception

• Attribution theory
• “Attribution theory deals with how the social perceiver uses information to
arrive at causal explanations for events.
• It examines what information is gathered and how it is combined to form a
causal judgment” (Fiske, & Taylor, 1991)
• Attribution theory is concerned with how and why ordinary people explain
events as they do.
• Heider (1958) believed that people are naive psychologists trying to make
sense of the social world. People tend to see cause and effect relationships
even where there is none!

Prof DEBASISH DUTTA/Organizational Behavior/MIT-WPU/2018 26

 Perception

• Attribution theory
• Attribution Theory is an attempt determine whether an
individual's behaviour is internally or externally caused.
• The theory tries to explain the ways in which we judge
people differently, depending on the meaning we
attribute to a given behaviour.
• It suggests that when we observe an individual behaviour,
we attempt to determine whether internally or externally
caused.
Prof DEBASISH DUTTA/Organizational Behavior/MIT-WPU/2018 27
 Perception

• Attribution theory
• Internally caused behaviour are those we believe to
be under the control of the individual.
• Externally caused behaviour is what we imagine
that the situation forced the individual to do.

Prof DEBASISH DUTTA/Organizational Behavior/MIT-WPU/2018 28

 Perception

• Attribution theory
• The determination of attributes depends upon following
factors:
1) Distinctiveness refers to whether an individual displays
different behaviours in different situations.
2) Consensus is when everyone who faces a similar situation
responds in the same way.
3) Consistency is when the person respond the same way over
time.

Prof DEBASISH DUTTA/Organizational Behavior/MIT-WPU/2018 29

 Perception
Observation Interpretation Attribution of Cause
External
Distinctiveness
Internal
External
Individual
Consensus
Behaviour
Internal
Internal
Consistency
External
Prof DEBASISH DUTTA/Organizational Behavior/MIT-WPU/2018 30
Perception and Individual
Decision Making

Prof DEBASISH DUTTA/Organizational Behavior/MIT-WPU/2018 31

 Perception and Individual Decision Making

• Decisions
• Choices made from among two or more alternatives.

• Problem
• A discrepancy between the current state of affairs and
some desired state.

Prof DEBASISH DUTTA/Organizational Behavior/MIT-WPU/2018 32

 Perception and Individual Decision Making

• Link Between Perception and Individual Decision Making

• Individual in organizations make decisions, choices from among two or more alternatives.
• Individuals make decisions and the quality of their choice are largely influenced by their
perception.
• Decision making occurs as a reaction to a problem – a discrepancy exists between the
current state of affairs and some desired state, requiring us to consider alternative courses
of action.
• Every decision requires us to interpret and evaluate information.
• There is need to screen, process, and interpret dsata from multiple sources. The decision
makers perceptions will reveal which data are relevant and which are not.
• The individual perceptual process will affect the final outcome.
• Perceptual distortions often surface that can bias analysis and conclusions.

Prof DEBASISH DUTTA/Organizational Behavior/MIT-WPU/2018 33

 Decision Making in an Organization

• Decision making refers to making choices among alternative courses of action—

which may also include inaction.
• While it can be argued that management is decision making, half of the decisions
made by managers within organizations ultimately fail.
• Therefore, increasing effectiveness in decision making is an important part of
maximizing effectiveness at work.
• Decisions can be classified into three categories based on the level at which they
occur.
1. Strategic decisions set the course of an organization.
2. Tactical decisions are decisions about how things will get done.
3. Operational decisions refer to decisions that employees make each day to
make the organization run.

Prof DEBASISH DUTTA/Organizational Behavior/MIT-WPU/2018 34

 Decision Making in an Organization

• Examples of Decisions Commonly Made Within Organizations

Level of Decision Examples of Decision Who Typically Makes Decisions
Strategic Decisions Should we merge with another company? Top Management Teams, CEOs,
Should we pursue a new product line? and Boards of Directors
Should we downsize our organization?
Tactical Decisions What should we do to help facilitate employees from Managers
the two companies working together?
How should we market the new product line?
Who should be let go when we downsize?
Operational Decisions How often should I communicate with my new Employees throughout the
coworkers? organization
What should I say to customers about our new product?
How will I balance my new work demands?

Prof DEBASISH DUTTA/Organizational Behavior/MIT-WPU/2018 35

 Decision Making in an Organization

• Rational Model of Decision Making

• Rational – Characterized by making consistent, value maximizing choices
within specified constraints.
• Rational decision-making model – A decision making model that describes
how individual should behave in order to maximize some outcome.
• The rational decision-making model describes a series of steps that decision
makers should consider if their goal is to maximize the quality of their
outcomes.
• In other words, if you want to make sure that you make the best choice, going
through the formal steps of the rational decision-making model may make
sense.

Prof DEBASISH DUTTA/Organizational Behavior/MIT-WPU/2018 36

 Decision Making in an Organization
1.
Define the
• Steps in Rational Problem
8. 2.
Decision-Making Model Evaluate the Identify the
decision decision criteria

7. 3.
Implement the Allocate weights
decision to the criteria

6. 4.
Select the best Develop the
alternative alternatives
5.
Evaluate the
alternatives
Prof DEBASISH DUTTA/Organizational Behavior/MIT-WPU/2018 37
 Decision Making in an Organization

• Bounded Rationality
• Bounded rationality – A process of making decisions by constructing
simplified models that extract the essential features from problems without
capturing all their complexity.
• The bounded rationality model of decision making recognizes the limitations
of our decision-making processes.
• According to this model, individuals knowingly limit their options to a
manageable set and choose the first acceptable alternative without
conducting an exhaustive search for alternatives.
• People satisfice; that is, they seek solutions that are satisfactory and
sufficient.

Continued……..
Prof DEBASISH DUTTA/Organizational Behavior/MIT-WPU/2018 38
 Decision Making in an Organization

• Bounded Rationality ……. Continued

• Because the human mind cannot formulate and solve complex problems with
full rationality, we operate within confines of bounded rationality.
• We construct simplified model that extract the essential features from
problems without capturing all their complexity.
• We can then behave rationally within the limits of the simple model.
• The main difference is that rather than choosing the best option and
maximizing the potential outcome, the decision maker saves cognitive time
and effort by accepting the first alternative that meets the minimum
threshold.

Prof DEBASISH DUTTA/Organizational Behavior/MIT-WPU/2018 39

 Decision Making in an Organization

• Intuitive Decision-Making
• The intuitive decision-making model has emerged as an alternative to other
decision making processes.
• This model refers to arriving at decisions without conscious reasoning.
• A total of 89% of managers surveyed admitted to using intuition to make
decisions at least sometimes and 59% said they used intuition often.
• Managers make decisions under challenging circumstances, including time
pressures, constraints, a great deal of uncertainty, changing conditions, and
highly visible and high-stakes outcomes.
• Thus, it makes sense that they would not have the time to use the rational
decision-making model.

Continued……..
Prof DEBASISH DUTTA/Organizational Behavior/MIT-WPU/2018 40
 Decision Making in an Organization

• Intuitive Decision-Making ……. Continued

• Relying on intuition is the least rational way to make decisions.
• Intuitive decision making is an unconscious process created from distilled
experience.
• It is fast, and is affectively charged, meaning it usually engages the emotion.
• It is not rational, but it isn’t necessarily wrong.
• It doesn’t operate in opposition to rational analysis; rather, the two can compliment
each other.
• It is not superstition, or the product of some magical, or paranormal, sixth sense.
• Intuition is a highly complex and highly developed form of reasoning that is based on
years of experience and learning.
• The key is neither to abandon nor rely solely on intuition but to supplement it with
evidence and good judgment.

Prof DEBASISH DUTTA/Organizational Behavior/MIT-WPU/2018 41

 Perception

• Error in Perception
• Halo Effect
• Halo effect is a cognitive bias in which an observer's overall impression of a
person, company, brand, or product influences the observer's feelings and
thoughts about that entity's character or properties.
• It was named by psychologist Edward Thorndike in reference to a person being
perceived as having a halo.
• The halo effect is a specific type of confirmation bias, wherein positive feelings in
one area cause ambiguous or neutral traits to be viewed positively.
• The halo effect works in both positive and negative directions (the horns effect).

Prof DEBASISH DUTTA/Organizational Behavior/MIT-WPU/2018 42

 Perception
• Error in Perception
• Stereotyping
• In social psychology, a stereotype is a thought that can be adopted about specific types of
individuals or certain ways of doing things.
• These thoughts or beliefs may or may not accurately reflect reality.
• However, this is only a fundamental psychological definition of a stereotype.
• Stereotyping is defined as an "oversimplified, attitude people hold toward those outside one's
own experience who are different.
• They are a result of incomplete or distorted information accepted as fact without question
• A stereotype is simply a widely held belief that an individual is a member of a certain group
based on characteristics.
• Due to the process of overgeneralization within social perception, stereotyping leads to a
great deal of inaccuracy in social perception.
• Sex, race, age, religion and physical ability are various categories which exist in stereotyping.
Prof DEBASISH DUTTA/Organizational Behavior/MIT-WPU/2018 43
Prof DEBASISH DUTTA/Organizational Behavior/MIT-WPU/2018 44
 Values

• Values can be defined as broad preferences concerning appropriate courses

of action or outcomes.

• As such, values reflect a person’s sense of right and wrong or what “ought”
to be.

• “Equal rights for all”, "Excellence deserves admiration", and “People should
be treated with respect and dignity” are representative of values.

Prof DEBASISH DUTTA/Organizational Behavior/MIT-WPU/2018 45

 Values
• The characteristics of values are:
• These are extremely practical, and valuation
requires not just techniques but also an
understanding of the strategic context.
• These can provide standards of competence and
morality.
• These can go beyond specific situations or
persons.
• Personal values can be influenced by culture,
tradition, and a combination of internal and
external factors.
• These are relatively permanent.
• These are more central to the core of a person.

Prof DEBASISH DUTTA/Organizational Behavior/MIT-WPU/2018 46

 Values

• Definition
• “Basic convictions that a specific mode of conduct or end state of
existence is personally or socially preferable to an opposite or
converse mode of conduct or end state of existence”.
- Milton Rokeach
• Value System
• A hierarchy based on a ranking of an individual’s values in terms of
their intensity

Prof DEBASISH DUTTA/Organizational Behavior/MIT-WPU/2018 47

 Values

• Importance of Values
• Value is the foundation for understanding the level of motivation.
• It influences our perception, attitudes and behavior.
• Value helps to understand what ought to be or what ought not to be.
• It contains interpretations of right or wrong.
• It implies that certain behaviors on outcomes are preferred over others.
• These allow the members of an organization to interact harmoniously.
• These make it easier to reach goals that would be impossible to achieve individually.
• These are goals set for achievements, and they motivate, define and color all our
activities cognitive, affective add connective.
• They are the guideposts of our lives, and they direct us to who we want to be.
• Values and morals can not only guide but inspire and motivate a person, give energy
and a zest for living and for doing something meaningful.

Prof DEBASISH DUTTA/Organizational Behavior/MIT-WPU/2018 48

 Values

• Values, Loyalty and Ethical Behaviour

• Values - Important and lasting beliefs or ideals shared by the members of a culture
about what is good or bad and desirable or undesirable.
• Values have major influence on a person's behavior and attitude and serve as broad
guidelines in all situations.
• Loyalty - Loyalty is first and foremost about reciprocity.
• Employees should have the feeling that the organization wants the best for them,
and as a result they will continue to do their best and not look for another job.
• Ethical Behavior - Ethical behavior tends to be good for business and involves
demonstrating respect for key moral principles that include honesty, fairness,
equality, dignity, diversity and individual rights.

Prof DEBASISH DUTTA/Organizational Behavior/MIT-WPU/2018 49

 Values

• Types of Values:
• Values can be classified into two broad categories:
• Individual values:
• These are the values which are related with the development of
human personality or individual norms of recognition and protection
of the human personality such as honesty, loyalty, veracity and
honour.
• Collective values:
• Values connected with the solidarity of the community or collective
norms of equality, justice, solidarity and sociableness are known as
collective values.

Prof DEBASISH DUTTA/Organizational Behavior/MIT-WPU/2018 50

 Values

• Types of Values
• The Rokeach Value Survey (RVS) is a classification system of values.
Developed by social psychologist Milton Rokeah, the system consists of
two sets of values:
• Terminal values
• It refer to desirable end-states of existence. These are the goals that a
person would like to achieve during his or her lifetime. These values
vary among different groups of people in different cultures.
• Instrumental values
• It refer to preferable modes of behaviour. These are preferable modes
of behaviour, or means of achieving the terminal values.

Prof DEBASISH DUTTA/Organizational Behavior/MIT-WPU/2018 51

 Values

Terminal Values
• True Friendship • Wisdom
• Mature Love • Salvation
• Self-Respect • Family Security
• Happiness • National Security
• Inner Harmony • A Sense of Accomplishment
• Equality • A World of Beauty
• Freedom • A World at Peace
• Pleasure • A Comfortable Life
• Social Recognition • An Exciting Life
Prof DEBASISH DUTTA/Organizational Behavior/MIT-WPU/2018 52
 Values
Instrumental Values
• Cheerfulness • Imagination
• Ambition • Independence
• Love • Intellect
• Cleanliness • Broad-Mindedness
• Self-Control • Logic
• Capability • Obedience
• Courage • Helpfulness
• Politeness • Responsibility
• Honesty • Forgiveness
Prof DEBASISH DUTTA/Organizational Behavior/MIT-WPU/2018 53
 Values

• Ranking of Top 5 Mean Value Ranking of Executive, Union Members, and Activists.

Executive Union Members Activists

Terminal Instrumental Terminal Instrumental Terminal Instrumental
1. Self-respect 1. Honest 1. Family Security 1. Responsible 1. Equality 1. Honest
2. Family Security 2. Responsible 2. Freedom 2. Honest 2. World of Peace 2. Helpful
3. Freedom 3. Capable 3. Happiness 3. Courageous 3. Family Security 3. Courageous
4. Accomplishment 4. Ambitious 4. Self-respect 4. Independent 4. Self-respect 4. Responsible
5 Happiness 5. Independent 5. Mature Love 5. Capable 5. Freedom 5. Capable

Prof DEBASISH DUTTA/Organizational Behavior/MIT-WPU/2018 54

 Values

• Generational Values
• Generational Values refers to comparing generational difference in
values and identity – the dominant values in today’s organization.
• The Indian workforce can be analysed in terms of different cohorts
or generations as:
i. Socialists (those entered the workforce from 1950s to late 1980s)
ii. Liberals (those entered the workforce from Early 1990s to 2000)
iii. Xers (those entered the workforce from 2000 to late 2005)
iv. Millennials (those entered the workforce from 2005 to present)

Prof DEBASISH DUTTA/Organizational Behavior/MIT-WPU/2018 55

 Values

• Dominant Work values in Today’s Workforce of Different Generations:

Entered the Approximate
Cohort Dominant Work Values
Workforce Current Age
1950s to the late Hardworking, conservative, conforming, loyalty to the
Socialists 55+
1980s organization, emphasis on comfortable and secure life.
Early 1990s to Mid - 40s to Success, achievement, ambition, dislike of authority, loyalty to
Liberals
2000 mid - 50s career.
Work-life balance, dislike of rules, confident, want financial
Late 20s to
Xers 2000 to 2005 success, self reliant but team-oriented, loyalty to both self and
early 40s
relationship.
Comfortable with technology, entrepreneurial, want to get rich
Millennials 2005 to present Early 20s
quickly, high sense of entitlement.

Prof DEBASISH DUTTA/Organizational Behavior/MIT-WPU/2018 56

 Values
• Why we should know individual’s values?
• Values often underlie and explain attitudes, behaviours, and perception.
• Knowledge of an individual’s value system can provide insight into what makes the
person “tick”.
• Employees performance and satisfaction are likely to be higher if their values fit well
with the organization.
• Managers are more likely to appreciate, evaluate positively, and allocate rewards to
employees who fit in, and employees are more likely to be satisfied if they perceive
they do fit in.
• This argues for management to seek job candidates who not only the bility,
experience, and motivation to perform but also a system compatible with the
organization’s.

Prof DEBASISH DUTTA/Organizational Behavior/MIT-WPU/2018 57

 Attitudes

Prof DEBASISH DUTTA/Organizational Behavior/MIT-WPU/2018 58

 Attitudes

• Psychologists define attitudes as a learned tendency to

evaluate things in a certain way.
• This can include evaluations of people, issues, objects or
events.
• Such evaluations are often positive or negative, but they can
also be uncertain at times.
• For example, you might have mixed feelings about a
particular person or issue.

Prof DEBASISH DUTTA/Organizational Behavior/MIT-WPU/2018 59

 Attitudes
• Definition
• An attitude is a favourable or unfavourable evaluation of
something.
• Attitudes are generally positive or negative views of a person,
place, thing, or event— this is often referred to as
the attitude object.
• An attitude is "a relatively enduring organization of beliefs,
feelings, and behavioural tendencies towards socially significant
objects, groups, events or symbols“
- Hogg & Vaughan

Prof DEBASISH DUTTA/Organizational Behavior/MIT-WPU/2018 60

 Attitudes

• Importance of Attitude in an organization

• A positive attitude in the workplace helps employees to
accomplish tasks faster and in a better manner.
• The performance of employees to a great extent depends on the
good relationship they share with their colleagues.
• A good relationship can be established only when employees
demonstrate a positive attitude towards their work and
colleagues.
• Through positive energy, work becomes a pleasure and employees
find it easier to achieve their goals.
Continued………………
Prof DEBASISH DUTTA/Organizational Behavior/MIT-WPU/2018 61
 Attitudes
• Importance of Attitude in an organization (continued)
• A positive attitude has significant benefits for an individual in many aspects.
Let’s look at some of them below.
• Career success
• Productivity
• Leadership
• Team work
• Decision making
• Motivation
• Interpersonal relations
• Stress management

Prof DEBASISH DUTTA/Organizational Behavior/MIT-WPU/2018 62

 Attitudes
Components of Attitude Cognitive
Component

Affective
Component

Behavioral
Component

Prof DEBASISH DUTTA/Organizational Behavior/MIT-WPU/2018 63

 Attitudes
Cognitive Component
 This involves a person’s belief / knowledge about an attitude
object.
 For example: “I believe spiders are dangerous”.

Components of Attitude
Prof DEBASISH DUTTA/Organizational Behavior/MIT-WPU/2018 64
 Attitudes
Components of Attitude

Affective Component
 This involves a person’s feelings / emotions about
the attitude object.
 For example: “I am scared of spiders”.

Prof DEBASISH DUTTA/Organizational Behavior/MIT-WPU/2018 65

 Attitudes
Components of Attitude

Behavioural Component
 The way the attitude we have influences, how we act or behave.
 For example: “I will avoid spiders and scream if I see one”.

Prof DEBASISH DUTTA/Organizational Behavior/MIT-WPU/2018 66

 Attitudes
Components of Attitude
Cognitive = Evaluation
behaviour are closely related

My Supervisor gave promotion to a co-worker who

Cognitive, affective, and

deserved it less than me . My supervisor is unfair.

Affective = Feeling Negative

I dislike my supervisor! Attitude
Toward
Supervisor

Behavioural = Action
I am looking for other work; I have complained
about my supervisor to anyone who would listen.
Prof DEBASISH DUTTA/Organizational Behavior/MIT-WPU/2018 67
 Attitudes

• Barriers to Changing Attitude

• Prior Commitment
• When people feel a commitment towards a particular course of action
that has already been agreed upon and thus it becomes difficult for them
to change or accept the new ways of functioning.
• Insufficient information
• Insufficient information also acts as a major barrier to change attitudes.
• Sometimes people simply see any reason to change their attitude due to
unavailability of adequate information

Prof DEBASISH DUTTA/Organizational Behavior/MIT-WPU/2018 68

 Attitudes
• Job-Related Attitudes
• Job-related attitudes are evaluative tendencies toward aspects of
work that are based on clusters of feelings, beliefs, and behavioral
intentions.
• These job related attitudes are positive or negative and shows how
employee feel about their job.
• Most of the research in OB has been concerned with three
attitudes namely:
• Job Satisfaction
• Job Involvement
• Organizational Commitment
Prof DEBASISH DUTTA/Organizational Behavior/MIT-WPU/2018 69
Prof DEBASISH DUTTA/Organizational Behavior/MIT-WPU/2018 70
 Personality
• ‘Personality is the dynamic organization within an individual of those
psychological systems that determine his unique adjustments to his
environment.’
- Gordon Allport
• Personality is the sum total ways in which an individual reacts to and
interacts with others.
- Stephen Robins

Prof DEBASISH DUTTA/Organizational Behavior/MIT-WPU/2018 71

 Personality

• A person's personality is important as it distinguishes him from

other individuals and inspires others to follow him as a leader.
• Personality development helps an individual to live with a
positive attitude towards life and reduces stress.
• A person's emotional intelligence is related to his personality,
and it contributes significantly to the level of success he
achieves throughout his career.
• A person's personality is what helps him navigate through life.

Prof DEBASISH DUTTA/Organizational Behavior/MIT-WPU/2018 72

 Personality
• Concept and Nature of Personality
• Personality refers to set of traits and behaviours that characterises an
individual – it is a stable pattern of individual behaviour.
• It has both external and internal elements where the external traits are
observable behaviours, and the internal elements represent thoughts, values
etc. that we infer from the observable behaviour.
• Individual personality is relatively stable, however a change may be results of
any traumatic event.
• Individual personality is inherited as well as shaped by the environment, it
may be altered by the life experience.
• Each individual is unique in his behaviour, therefore each individual is
different.

Prof DEBASISH DUTTA/Organizational Behavior/MIT-WPU/2018 73

 Personality
• Measuring Personality
• Research has shown personality tests are useful in hiring decisions and help
managers forecast who is best for a job
• Personality test scores are used to better understand and more effectively
manage employees.
• Psychologists seek to measure personality through a number of methods, the
most common of which are objective tests and projective measures.
• Objective tests, such as self-report measures, rely on an individual’s personal
responses and are relatively free of rater bias.
• Projective measures are founded in psychoanalytic theories of personality
and involve using ambiguous stimuli to reveal inner aspects of an individual’s
personality.

Prof DEBASISH DUTTA/Organizational Behavior/MIT-WPU/2018 74

Determinants of Personality

Heredity Environment Family

Social Situation

Prof DEBASISH DUTTA/Organizational Behavior/MIT-WPU/2018 75

 Determinants of Personality

Heredity

• Heredity refers to those factors that were determined at conception.

• Physical stature, facial attractiveness, temperament, muscle composition and reflexes, energy
level, and biological rhythms are characteristics that are generally considered to be either
completely or substantially who the parents are; that is, by their biological, physiological, and
inherent makeup.
• The heredity approach argues that the ultimate explanation of an individual’s personality is
the molecular structure of the genes.

Prof DEBASISH DUTTA/Organizational Behavior/MIT-WPU/2018 76

Determinants of Personality

Heredity Environment Family

Social Situation

Prof DEBASISH DUTTA/Organizational Behavior/MIT-WPU/2018 77

 Determinants of Personality

Environment

• Environment factor like culture in which one is raised, exert pressure on

personality of an individual.
• Culture influences norms attitudes and values that are passed along from one
generation to the next and creates consistencies over time.
• The cultural impacts upon an individual are not uniform, because they are
transmitted by certain people – parents and others – who are not at all alike in
their values and practices.
Prof DEBASISH DUTTA/Organizational Behavior/MIT-WPU/2018 78
Determinants of Personality

Heredity Environment Family

Social Situation

Prof DEBASISH DUTTA/Organizational Behavior/MIT-WPU/2018 79

 Determinants of Personality

Family

• The family has considerable influence on personality.

• The overall home environment created by the parents, in addition to their direct
influence, is critical to personality development.

Prof DEBASISH DUTTA/Organizational Behavior/MIT-WPU/2018 80

Determinants of Personality

Heredity Environment Family

Social Situation

Prof DEBASISH DUTTA/Organizational Behavior/MIT-WPU/2018 81

 Determinants of Personality

Social

• This is commonly called the socialization process.

• The process is not confined to early childhood, but it takes place throughout
one’s life.
• Socialization may be one of the best explanations of why employees behave the
way they do in today’s organization.

Prof DEBASISH DUTTA/Organizational Behavior/MIT-WPU/2018 82

Determinants of Personality

Heredity Environment Family

Social Situation

Prof DEBASISH DUTTA/Organizational Behavior/MIT-WPU/2018 83

 Determinants of Personality

Situation

• Situation influences the effect of heredity and environment on personality.

• An individual’s personality, although generally stable and consistent, does change
in different situations.
• The different demands of different situations call for different aspects one’s
personality.

Prof DEBASISH DUTTA/Organizational Behavior/MIT-WPU/2018 84

 Big Five Personality
• The Big Five Personality Assessment Model that taps five basic dimensions
• Extraversion: Outgoing, talkative, sociable, assertive. (People who are high in extroversion are
outgoing and tend to gain energy in social situations. People who are low in extroversion (or
introverted) tend to be more reserved and have to expend energy in social settings).
• Agreeableness: Trusting, good natured, cooperative, softhearted. (People who are high in
agreeableness tend to be more cooperative while those low in this trait tend to be more
competitive and even manipulative).
• Conscientiousness: Dependable, responsible, achievement oriented, persistent. (Those high on
conscientiousness tend to be organized and mindful of details).
• Emotional stability: Relaxed, secure, unworried. (Emotional stability also refers to an individual's
level of emotional stability and impulse control and is sometimes referred to as Neuroticism).
• Openness to experience: Sensitive, intellectual, imaginative, curious, broadminded. (People who are
high in this trait tend to be more adventurous and creative. People low in this trait are often much
more traditional and may struggle with abstract thinking).
Prof DEBASISH DUTTA/Organizational Behavior/MIT-WPU/2018 85
 Big Five Personality
Big Five Traits Why is it Relevant? What does it Affect?
• Less negative thinking and fewer
• Higher job and life satisfaction
Emotional Stability negative emotions
• Lower stress level
• Less hyper-vigilant

• Better interpersonal skills • Higher performance

Extraversion • Greater Social Dominance • Enhanced leadership
• More emotionally expressive • Higher job and life satisfaction

• Increased learning • Training performance

Openness • More creative • Enhanced leadership
• More flexible and autonomous • More adaptable to change

• Better liked • Higher performance

Agreeableness • More compliant and conforming • Lower levels of deviant behaviour

• Greater effort and persistence • Higher performance

Conscientiousness • More drive and discipline • Enhanced leadership
• Better organized and planning • Greater longevity
Prof DEBASISH DUTTA/Organizational Behavior/MIT-WPU/2018 86
 MBTI
• It is the most widely used personality assessment instrument in the
world.
• It consists of 100 questions personality test that ask people how they
usually feel or act in particular situation.
• On the basis of their answers the individual is classified as:
• Extraverted or Introverted (E or I)
• Sensing or Intuitive (S or N)
• Thinking or Feeling (T or F)
• Judging or Perceiving (J or P)

Prof DEBASISH DUTTA/Organizational Behavior/MIT-WPU/2018 87

 MBTI Types

ISTJ ISFJ INFJ INTJ

• E = Extraverted
• I = Introverted
ISTP ISFP INFP INTP
• S = Sensing
• N = Intuitive
• T = Thinking ESTP ESFP ENFP ENTP
• F = Feeling
• J = Judging
• P = Perceiving ESTJ ESFJ ENFJ ENTJ
Prof DEBASISH DUTTA/Organizational Behavior/MIT-WPU/2018 88
 Organizational Citizenship Behaviour
• Organizational Citizenship Behaviour (OCB) is discretionary behaviour that is not
part of an employee’s formal job requirements but nevertheless promotes the
effective functioning of the organization.
• Successful organization need employees who will do more than their usual job
duties – who will provide performance beyond expectations.
• OCB enhances Team Performance, avoid conflicts, respect team spirits as well
the rules and regulations besides gracefully tolerate occasional work related
impositions and nuisances.
• Organization want and need employees who will do things that aren’t in any job
description.
• Organizations that have such employees shall outperform over others.
Prof DEBASISH DUTTA/Organizational Behavior/MIT-WPU/2018 89
EMOTIONS AND MOODS

Prof DEBASISH DUTTA/Organizational Behavior/MIT-WPU/2018 90

 Emotions and Moods

• Relationship Between Emotions and Moods

• We need three terms that are closely intertwined:
Affect, Emotions, And Moods.
• Affect : A broad range of Feelings that people
experience.
• Emotions: Intense feelings directed at someone or
something
• Moods: Feelings that tend to be less intense than
emotions and that lack a contextual stimulus.

Prof DEBASISH DUTTA/Organizational Behavior/MIT-WPU/2018 91

 Emotions and Moods
• Relationship Between Emotions and Moods
Affect
Defined as a broad range of feelings that people experience
Affect can be experienced in the form of emotions and moods

Emotions Moods
• Caused by specific event. • Cause is often general and unclear.
• Very brief in duration (seconds or minutes). • Last longer then emotions (hours or days).
• Specific and numerous in nature (many • More general (two main dimensions –
specific emotions such as anger, fear, positive affect and negative affect – that are
sadness, happiness, disgust, surprise). composed of multiple specific emotions).
• Usually accompanied by distinct facial • Generally not indicated by distinct
expressions. expressions.
• Action oriented in nature • Cognitive in nature.
Prof DEBASISH DUTTA/Organizational Behavior/MIT-WPU/2018 92
 Emotions and Moods
• The Structure of Mood
High Negative High Positive
Affect Tense Alert Affect
Nervous Excited

Stressed Elated
Upset Happy

Sad Content
Depressed Serene
Bored Relaxed
Fatigued Calm
Low Positive Low Negative
Affect Affect
Prof DEBASISH DUTTA/Organizational Behavior/MIT-WPU/2018 93
 Emotions and Moods
• Sources of Emotions and Moods
1) Personality
2) Day of the Week
3) Time of the Day
4) Weather
5) Stress
6) Social Activities
7) Sleep
8) Exercise
9) Age
10) Gender
Prof DEBASISH DUTTA/Organizational Behavior/MIT-WPU/2018 94
 Sources of Emotions and Moods

• Personality
• Moods and emotions are outcome of trait components of personality.
• People have built in tendencies to experience certain moods and emotions
more frequently than others do.
• People may differ in affect intensity.
• Affect intensity refers to individual differences in the strength with which
individuals experience their emotions.
• Affectively intense people experience both positive and negative emotions
more deeply.
• Affectively intense people when sad, they are really sad, and when they are
happy, they are really happy.

Prof DEBASISH DUTTA/Organizational Behavior/MIT-WPU/2018 95

 Sources of Emotions and Moods
Our Moods Are Affected by the Day of the Week
• Day of the Week
• People are in
best moods
during
weekends.
• People tend to
be in worst
moods earlier in
the week.
• Interactions with
people are more
positive later in
the week.

Prof DEBASISH DUTTA/Organizational Behavior/MIT-WPU/2018 96

 Sources of Emotions and Moods
Our Moods Are Affected by the Time of the Day
• Time of the Day
• Positive mood will
be at its peak
during the mid of
the day.
• Negative moods
show very little
fluctuation
throughout the day.
• Our workplace
interaction will be
more positive from
midmorning
onward.
Prof DEBASISH DUTTA/Organizational Behavior/MIT-WPU/2018 97
 Sources of Emotions and Moods
• Weather
• Many people believe their mood is often tied to weather (sunny or gloomy,
cold, rainy day).
• Evidences conducted by multiple research suggest that weather has little
effect on mood.
• It is rather an illusory correlation.
• Illusionary correlation explains why people tend to think nice weather
improves their mood.
• Illusionary correlation is the tendency of people to associate two events when
in reality there is no connection.

Prof DEBASISH DUTTA/Organizational Behavior/MIT-WPU/2018 98

 Sources of Emotions and Moods

• Stress
• A stressful daily event at work negatively affect the mood.
• The effects of stress also build over time.
• Mounting levels of stress worsen our mood and we
experience more negative emotions.

Prof DEBASISH DUTTA/Organizational Behavior/MIT-WPU/2018 99

 Sources of Emotions and Moods
• Social Activities
• For many people, social activities increase positive mood and have little effect on
negative mood.
• People with positive moods seek out social interaction and social interaction cause
people to be in good moods.
• The type of social activity too matter.
• Research suggests that the following activities which are more strongly associated
with increase in positive mood:
1) Physical (skiing or hiking with friends)
2) Informal (going to a party)
3) Epicurean (eating with others, luxury, hedonism)
• The events that may lead to negative moods are:
1) Formal (attending a meeting)
2) Sedentary (watching TV with friends, inactive, no physical excercise)

Prof DEBASISH DUTTA/Organizational Behavior/MIT-WPU/2018 100

 Sources of Emotions and Moods

• Sleep
• Sleep quality does affect mood.
• People who are deprived of sleep report greater feelings of
fatigue, anger and hostility.
• Poor or reduced sleep impairs decision making and makes it
difficult to control emotions.
• Poor sleep also impairs job satisfaction because people feel
fatigued, irritable, and less alert.

Prof DEBASISH DUTTA/Organizational Behavior/MIT-WPU/2018 101

 Sources of Emotions and Moods

• Exercise
• Research suggests that exercise enhances people’s
positive mood.
• It may not do miracles but help people to put in a better
mood.

Prof DEBASISH DUTTA/Organizational Behavior/MIT-WPU/2018 102

 Sources of Emotions and Moods

• Age
• A study of people aged between 18 and 94 revealed that
negative emotions seems to occur less as people get
older.
• Periods of highly positive moods lasted longer for older
individuals and bad moods faded quickly.
• The study implies emotional experience improves with
age; as we get older, we experience fewer negative
emotions.
Prof DEBASISH DUTTA/Organizational Behavior/MIT-WPU/2018 103
 Sources of Emotions and Moods

• Gender
• Evidences confirm women are emotionally expressive than men.
• Women experience emotions more intensely, they tend to “hold
onto” emotions longer than men.
• They display more frequent expression of both positive and
negative emotions, except anger.

Prof DEBASISH DUTTA/Organizational Behavior/MIT-WPU/2018 104

 Concept of Felt and Displayed Emotions

• Felt emotions are the individual’s actual emotions.

• Displayed emotions are those that organization requires employees to

show and considers appropriate in a a given job.

• Displayed emotions are not innate; they are learned.

• Emotional Dissonance is the inconsistencies between the emotions

people feel and the emotions they display.
Prof DEBASISH DUTTA/Organizational Behavior/MIT-WPU/2018 105
 Concept and Application of EI

• Concept of EI
• Emotional Intelligence (EI) refers to the ability to detect and to
manage emotional cues and information,
• Emotional Intelligence is person’s ability to -
• Be self aware (to recognise his/her own emotions when she experiences
them)
• Detect emotions in others
• Manage emotional cues and information
• People who know their emotions and are good at reading emotion
cues are most likely to be effective.
• EI plays an important role in job performance.

Prof DEBASISH DUTTA/Organizational Behavior/MIT-WPU/2018 106

 Concept and Application of EI

• Application of EI
• Selection (hiring employees)
• Decision Making
• Creativity
• Motivation
• Leadership
• Negotiation
• Customer Service
• Job Attitudes
• Deviation Workplace Behaviour
• Safety and Injury at Work

Prof DEBASISH DUTTA/Organizational Behavior/MIT-WPU/2018 107

Prof DEBASISH DUTTA/Organizational Behavior/MIT-WPU/2018 108
 Motivation

• “Motivation is a predisposition to act in a specified goal directed

manner”.
-Hellriegel and Slocum
• “Motivation refers to goal directed behavior”.
-Chung
• “A process of stimulating the self or subordinates to get into the
desired course of action”
-Michael Julius

Prof DEBASISH DUTTA/Organizational Behavior/MIT-WPU/2018 109

 Motivation
Mechanism of Motivation

Need Drive Barrier Goal

Deprivation Direction Overt/Covert Achievement

Frustration

Prof DEBASISH DUTTA/Organizational Behavior/MIT-WPU/2018 110

 Motivation

• Primary Motives
• Primary Motives are unlearned and physiologically based.
• They are biological and basic.
• They are primary, but don't always enjoy priority over secondary motives.
• Sometimes. secondary motives are stronger than primary.
• Two criteria must be fulfilled in order for a motive to be included in primary
classification;
1) It must be unlearned
2) It must be physiologically based
• The most commonly recognized primary motives include hunger, thirst, sleep,
avoidance of pain, sex, and maternal concern.

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 Motivation
• Secondary motives
• In advanced society, where people are comparatively getting enough of what
they need for livelihood, secondary motives are base for motivating employees
for higher performance.
• As a human society develops economically and becomes more complex, the
primary and, to some extent, existing secondary drives give way to learn different
secondary drives in motivating behavior.
• In corporate business world, secondary motives arc very crucial.
• Secondary motives are closely related to learning concept.
• A motive must be learned in order to be included in secondary classification.
• Numerous human motives meet this criterion. Some of the most important
secondary motives are power, achievement, and affiliation.
• In addition, especially, with reference to organizational behavior, security and
status are also important secondary motives.
Prof DEBASISH DUTTA/Organizational Behavior/MIT-WPU/2018 112
 Motivation

• Extrinsic Motivation
• The drive psychologists call extrinsic is the motivation that comes from external or
tangible rewards.
• Extrinsic rewards include the following:
• Increased salary
• More vacation days
• Promotions
• Better office space or parking spot
• While extrinsic rewards have proven to increase motivation and productivity, it is not
long lasting.
• After receiving the reward, employees will have increased satisfaction and
productivity until the newness of the reward wears off. Eventually, they will get over
having received the reward and will return to their old amount of productivity until
offered a new extrinsic reward.

Prof DEBASISH DUTTA/Organizational Behavior/MIT-WPU/2018 113

 Motivation
• Intrinsic Motivation
• Intrinsic motivation is the drive that comes from within an employee.
• It is a psychological reward that comes from an employee being proud and satisfied
with their work.
• Examples of intrinsic rewards include the following:
• Making the employee feel appreciated for their work
• Making sure that an employee’s accomplishments are well recognized
• Treating employees with care and consideration
• Allowing employees to have at least some control over their own work
• Encouraging employees to challenge themselves and follow interests
• Intrinsic motivation is all about taking employees thoughts and feelings into
consideration.
• They will be more motivated to do their work if they feel that they are competent and
appreciated in doing it.
• If they are proud of the work they are doing, they will be more willing to do it; this
leads to increased production, increased satisfaction, and reduced turnover.
Prof DEBASISH DUTTA/Organizational Behavior/MIT-WPU/2018 114
 Motivation
• Motivation and Satisfaction
• Motivation
• Motivation refers to the reasons -- the motive -- that a person performs a particular job.
• A person's motives for doing a particular job can vary widely.
• While some do a job because it makes them happy, others do it simply because they are
paid to do it and without a regular salary they would end up homeless and hungry.
• A person's motives for performing the work he does are not always knowable.
• Satisfaction
• Job satisfaction refers to the satisfaction that a person receives from performing his job.
• The satisfaction can take many forms -- satisfaction at the work that he has accomplished,
satisfaction at the effort he puts into the job, satisfaction at the help he has provided
others -- but all involve some degree of psychological contentment.
• Job satisfaction can often be difficult to measure, because people define satisfaction in
different ways.
Prof DEBASISH DUTTA/Organizational Behavior/MIT-WPU/2018 115
Maslow’s Hierarchy
of Needs

Prof DEBASISH DUTTA/Organizational Behavior/MIT-WPU/2018 116

Maslow’s Hierarchy of Needs

• Abraham Harold Maslow (1908-

1970) was an American
psychologist who was best
known for creating Maslow's
hierarchy of needs, a theory of
psychological health predicated
on fulfilling innate human needs
in priority, culminating in self-
actualization.

Prof DEBASISH DUTTA/Organizational Behavior/MIT-WPU/2018 117

 Maslow’s Hierarchy of Needs
• There exists Hierarchy of Five Needs
• Physiological: Includes hunger, thirst, shelter,
sex and other bodily needs.
• Safety: security and protection from physical
and emotional harm.
• Social: Affection, belongingness, acceptance
and friendship.
• Esteem: internal factors such as self respect,
autonomy and achievement and external
factors such as status, recognition, and
attention.
• Self Actualization: Drive to become what we
are capable of becoming; includes growth,
achieving our potential, and self fulfilment.

Prof DEBASISH DUTTA/Organizational Behavior/MIT-WPU/2018 118

 Maslow’s Hierarchy of Needs

• Although no need is fully gratified, a substantially satisfied need no

longer motivates.
• Thus as each of these needs become substantially satisfied, the next
one becomes dominant.
• And hence one move up the steps of the hierarchy.
• So if you want to motivate someone, according to Maslow, you need
to understand what level of the hierarchy that person is currently on
and focus on satisfying the need at or above the level.

Prof DEBASISH DUTTA/Organizational Behavior/MIT-WPU/2018 119

 Maslow’s Hierarchy of Needs
• Maslow separated the five needs into
higher and lower orders.

Higher Order Need

• Physiological and safety needs lower
order needs.
• Social, esteem, and self actualization
were higher order needs.
• The difference is that higher order
needs are satisfied internally (within

Lower Order Need

the person), whereas lower order
needs are predominantly satisfied
externally (by pay, union contracts,
and tenure, etc.)

Prof DEBASISH DUTTA/Organizational Behavior/MIT-WPU/2018 120

 Renovating the Pyramid of Needs:
Contemporary Extensions Built Upon
Ancient Foundations

Revised Pyramid of Need

Prof DEBASISH DUTTA/Organizational Behavior/MIT-WPU/2018 121
Theory X and Theory Y

Prof DEBASISH DUTTA/Organizational Behavior/MIT-WPU/2018 122

 Theory X and Theory Y

• Douglas McGregor (1906-1974), a

professor of industrial Administration
at MIT (USA) theorized that every
person has certain basic assumptions
about other people’s attitude towards
work and organization the assumption
is labeled as Theory X and Theory Y.

Prof DEBASISH DUTTA/Organizational Behavior/MIT-WPU/2018 123

 Theory X and Theory Y

• Theory X Assumptions
• It is the traditional assumptions about the nature of people and
states that-
1. Average human being have an inherent dislike of work and will avoid it if
they can.
2. Because of this human characteristic of disliking work, most people must
be coerced, controlled, directed and threatened with punishment to get
them to put forth adequate effort toward the achievement of
organizational objectives.
3. Average human beings prefer to be directed, wish to avoid responsibility,
have relatively little ambition, and want security above all.

Prof DEBASISH DUTTA/Organizational Behavior/MIT-WPU/2018 124

 Theory X and Theory Y

• The assumption under this are -

1. The expenditure of physical effort and mental effort in work is as natural as
play or rest.
2. External control and threat of punishment are not the only means for
producing effort toward organizational objectives. People will exercise self
direction and self control in the service of objectives to which they are
committed.
3. The degree of commitment to objectives is in proportion to the size of the
rewards associated with their achievement.
4. Average human beings learn, under proper conditions, not only to accept
responsibility but also to seek it.

Prof DEBASISH DUTTA/Organizational Behavior/MIT-WPU/2018 125

 Herzberg’s Two
Factor Theory

Prof DEBASISH DUTTA/Organizational Behavior/MIT-WPU/2018 126

Two Factor Theory

• Frederick Irving Herzberg (1923-

2000) was an American
psychologist who became one of
the most influential names in
business management.
• He is most famous for introducing
job enrichment and the
Motivator-Hygiene theory.

Prof DEBASISH DUTTA/Organizational Behavior/MIT-WPU/2018 127

 Two Factor Theory

• The motivation of employees is important to organizations since it is one of

several factors that significantly affects the productivity of employees.
• Raising the level of motivation increases profitability through greater
creativity and commitment in employees.
• Herzberg's Two Factor Theory, also known as the Motivation-Hygiene
Theory, was derived from a study designed to test the concept that people
have two sets of needs:
1) Their need as animals to avoid pain
2) Their need as human to grow psychologically

Prof DEBASISH DUTTA/Organizational Behavior/MIT-WPU/2018 128

 Two Factor Theory

• Herzberg's Study
• ...two hundred engineers and accountants in Pittsburgh
were interviewed.
• To test the hypothesis, engineers and accountant were
interviewed to assess events that led to significant
changes in their job attitudes and to determine the factors
that caused those changes

Prof DEBASISH DUTTA/Organizational Behavior/MIT-WPU/2018 129

 Two Factor Theory

• Herzberg's Study
• Herzberg's study consisted of a series of interviews that sought to
elicit responses to the questions:
• Recall a time when you felt exceptionally good about your job. Why did
you feel that way about the job? Did this feeling affect your job
performance in any way? Did this feeling have an impact on your
personal relationships or your well- being?
• Recall a time on the job that resulted in negative feelings? Describe the
sequence of events that resulted in these negative feelings.

Prof DEBASISH DUTTA/Organizational Behavior/MIT-WPU/2018 130

 Two Factor Theory

• Herzberg's Study
 RESEARCH RESULTS
• It appeared, from the research, that the things making
people happy on the job and those making them
unhappy had two separate themes

Prof DEBASISH DUTTA/Organizational Behavior/MIT-WPU/2018 131

 Two Factor Theory

• Herzberg View of Satisfaction and Dissatisfaction

MOTIVATORS

SATISFACTION NO SATISFACTION

HYGIENE FACTOR

NO DISSATISFACTION DISSATISFACTION

Prof DEBASISH DUTTA/Organizational Behavior/MIT-WPU/2018 132

 Two Factor Theory
Hygiene: Job Dissatisfaction Motivators: Job Satisfaction
Achievement
Recognition of achievement
Work itself
Responsibility
Advancement
Growth
Company policy and administration
Supervision
Interpersonal relations
Working conditions
Salary
Status
Security

Prof DEBASISH DUTTA/Organizational Behavior/MIT-WPU/2018 133

 Two Factor Theory
• Achievement

• Recognition of Achievement

• Work Itself
Motivational Factors:
• Responsibility The factors stood
out as strong
determinants of
• Advancement job satisfaction

• Growth

Prof DEBASISH DUTTA/Organizational Behavior/MIT-WPU/2018 134

 Two Factor Theory

• Motivational Factors:
• The last three factors were found to be most important for bringing about lasting
changes of attitude.
• It should be noted, that recognition refers to recognition for achievement as
opposed to recognition in the human relations sense.
• It appears that the central theme of the satisfiers (also called motivators) is one
having to do with the relationship the employee has with his or her job; job content.
• Motivational factors are directly related to the job itself.
• Present of such factor create a highly motivating situation, but their absence does not
cause job dissatisfaction.
• These factors are ‘content oriented’.

Prof DEBASISH DUTTA/Organizational Behavior/MIT-WPU/2018 135

 Two Factor Theory
• Company Policy and Administration

• Supervision

• Interpersonal Relations

• Working Conditions Hygiene Factors:

The determinants
of job
• Salary
dissatisfaction were
found to be
• Status

• Security
136
Prof DEBASISH DUTTA/Organizational Behavior/MIT-WPU/2018
 Two Factor Theory

• The theme of the dissatisfiers appears to be related to the environment or

context of the job.
• These dissatisfiers seem to have little effect on positive job attitudes (in some of
the literature, these dissatisfiers were called hygiene or maintenance factors).
• Maintenance factors are ‘context oriented’ their presence does not significantly
motivate the person.
• The presence of such factors prevents dissatisfaction and maintains a certain level
of motivation but any reduction in the availabilities of these factors is likely to
affect motivation and bring down the level of performance.
• According to Herzberg, Hygiene factors can dissatisfy by their absence but they
cannot satisfy by their presence.

Prof DEBASISH DUTTA/Organizational Behavior/MIT-WPU/2018 137

 Two Factor Theory

• Job Satisfaction:
• "...job satisfaction... and job dissatisfaction are not opposites; they
are completely separate continua, like hearing and vision."
• At the psychological level, the two dimensions of job
attitudes appear to reflect a two-dimensional need
structure:
• One need structure for the avoidance of unpleasantness

• A parallel need system for personal growth

Prof DEBASISH DUTTA/Organizational Behavior/MIT-WPU/2018 138

 Two Factor Theory

• For Herzberg, motivation results from personal growth and is based on an

innate need to grow.
• In other words, people find satisfaction in work that is interesting and
challenging.
• A desire to fulfill our potential drives us to seek growth and provides the
incentive to achieve.
• According to Herzberg, the idea that the work one does is significant leads,
ultimately, to satisfaction with the work itself.
• Employees will be motivated to do work that they perceive to be significant

Prof DEBASISH DUTTA/Organizational Behavior/MIT-WPU/2018 139

 Two Factor Theory

• Frederick Herzberg's Two-Factor Theory addresses the issue

of workplace motivation.
• According to Herzberg, motivation comes from job content.
• Therefore, it is important for managers to consider the
nature of the jobs they ask their employees to do.

Prof DEBASISH DUTTA/Organizational Behavior/MIT-WPU/2018 140

 McClelland’s
Theory of Needs

Prof DEBASISH DUTTA/Organizational Behavior/MIT-WPU/2018 141

 McClelland’s Theory of Needs

• Developed by David McClelland and his associates.

• A theory that states achievements, power, and affiliation are three
important needs that help explain motivation
• The theory focuses on three needs:
• Need for Achievement (nAch): The drive to excel, to achieve in relation to a
set of standards.
• Need for Power (nPow): The need to make others behave in a way that they
would not have behaved otherwise.
• Need for Affiliation (nAff): The desire for friendly and close interpersonal
relationship

Prof DEBASISH DUTTA/Organizational Behavior/MIT-WPU/2018 142

 McClelland’s Theory of Needs

• Need for Achievement

• The need for achievement encompasses excellence, competition, challenging
goals, persistence, and overcoming difficulties.
• People with high need for achievement seek performance excellence, enjoy
difficult and challenging goals, and are persevering and competitive.
• McClelland found that people with high need for achievement perform best,
• Individual with high need for achievement has three unique characteristics:
1) They set goals that are moderately difficult, yet achievable.
2) They like to receive feedback on their progress towards these goals.
3) They do not like having external events or other people interfere with their progress
towards the goals.
• High achievers like being very good at what they do, they develop expertise
and competence in their chosen endeavors.

Prof DEBASISH DUTTA/Organizational Behavior/MIT-WPU/2018 143

 McClelland’s Theory of Needs

• Need for Power

• It includes the desire to influence others, the urge to change people or events,
and the wish to make difference in life,
• The need for power is interpersonal, because it involves influence over other
people.
• McClelland distinguished between socialized power, which is used for the
benefit of many, and personalized power, which is used for individual gain.
• The former is constructive force, and the later may be disruptive, destructive
force.
• Best managers have high need for socialized power as opposed to personalized
power.
• The have concern for others, have an interest in organizational goal; and want
to be useful to the larger group, organization and society.
Prof DEBASISH DUTTA/Organizational Behavior/MIT-WPU/2018 144
 McClelland’s Theory of Needs

• Need for Affiliation

• The need for affiliation means an urge to establish and maintain
warm, close, intimate relationship with others.
• People with high need for affiliation are motivated to express their
emotions to others and expect them to do the same in return.
• They find conflicts disturbing and are strongly motivated to work
through any such barriers through closeness.

Prof DEBASISH DUTTA/Organizational Behavior/MIT-WPU/2018 145

Goal-Setting
Theory

Prof DEBASISH DUTTA/Organizational Behavior/MIT-WPU/2018 146

 Goal-Setting Theory

• Goal-setting theory refers to the effects of setting goals on

subsequent performance.
• Researcher Edwin Locke found that individuals who set specific,
difficult goals performed better than those who set general, easy
goals.
• Locke proposed five basic principles of goal-setting:
1) Clarity
2) Challenge
3) Commitment
4) Feedback
5) Task complexity

Prof DEBASISH DUTTA/Organizational Behavior/MIT-WPU/2018 147

 Goal-Setting Theory

• Effective goal-setting principles:

• Clarity - A clear, measurable goal is more achievable than one that is poorly defined. In other
words, be specific! The most effective goals have a specific timeline for completion.
• Challenge - The goal must have a decent level of difficulty in order to motivate you to strive
toward the goal.
• Commitment - Put deliberate effort into meeting this goal. Share your goal with someone
else in order to increase your accountability to meet that goal.
• Feedback - Set up a method to receive information on your progress toward a goal. Self
generated feedback enable employee to monitor their own progress – has been shown to be
a powerful motivator then externally generated feedback.
• Task complexity - If a goal is especially complex, make sure you give yourself enough time to
overcome the learning curve involved in completing the task. In other words, if a goal is really
tough, make sure you give yourself some padding to give you the best chance at succeeding.

Prof DEBASISH DUTTA/Organizational Behavior/MIT-WPU/2018 148

 Goal-Setting Theory
• Features of Goal Setting Theory
• The willingness to work towards the attainment of the goal is the main source of job
motivation. Clear, particular and difficult goals are greater motivating factors than easy,
general and vague goals.
• Specific and clear goals lead to greater output and better performance. Unambiguous,
measurable and clear goals accompanied by a deadline for completion avoids
misunderstanding.
• Goals should be realistic and challenging. This gives an individual a feeling of pride and
triumph when he attains them, and sets him up for the attainment of next goal. The
more challenging the goal the greater is the reward generally and the more is the
passion for achieving it.
• Better and appropriate feedback of results directs the employee behavior and
contributes to higher performance than an absence of feedback. Feedback is a means of
gaining reputation, making clarifications and regulating goal difficulties. It helps
employees to work with more involvement and leads to greater job satisfaction.
• Employees’ participation in goal is not always desirable. Participation in setting the goal,
however, makes the goal more acceptable and leads to more involvement.
149
Prof DEBASISH DUTTA/Organizational Behavior/MIT-WPU/2018
 Goal-Setting Theory
• Advantages of Goal Setting Theory
• Goal setting theory is a technique used to raise incentives for employees to complete
work quickly effectively.
• Goal setting leads to better performance by increasing motivation and efforts, but
also through increasing and improving the feedback quality.
• Limitations of Goal Setting theory
• At times, the organizational goals are in conflict with the managerial goals. Goal
conflict has a detrimental effect on the performance if it motivates incompatible
action drift.
• Very difficult and complex goals stimulate riskier behavior.
• If the employee lacks skills and competencies to perform actions essential for goal,
then the goal-setting can fail and lead to an undermining of performance.
• There is no evidence to prove that goal-setting improves job satisfaction.
Prof DEBASISH DUTTA/Organizational Behavior/MIT-WPU/2018 150
Goal-Setting Theory

Prof DEBASISH DUTTA/Organizational Behavior/MIT-WPU/2018 151

 Goal-Setting Theory

• Implementing Goal-Setting
• A more systematic way to utilize goal setting is with a management by objectives
program.
• Management by objectives (MBO) emphasizes participatively set goals that are
tangible, verifiable, and measurable.
• The organization's overall objectives are translated into specific objectives for each
succeeding level in the organization (divisional, departmental, individual).
• But because lower-unit managers jointly participate in setting their own goals, MBO
works from the bottom up as well as from the top down.
• The result is the hierarchy that links objectives at one level to those at the next.
• And for the individual employee, MBO provides specific personal performance
objectives.
Continued………..
Prof DEBASISH DUTTA/Organizational Behavior/MIT-WPU/2018 152
 Goal-Setting Theory

• Four ingredients are common to MBO programs:

• Goal specificity
• Participation in decision making (including participation in the
setting of goals or objectives)
• An explicit time period
• Performance feedback.

Prof DEBASISH DUTTA/Organizational Behavior/MIT-WPU/2018 153

 Goal-Setting Theory
Cascading of Objectives (MBO)
Overall
organizational X YZ Company
objectives

Divisional
Consumer Product Division Industrial Product Division
objectives

Departmental Customer
Production Sales Marketing Research Development
objectives Service

Individual
objectives

Prof DEBASISH DUTTA/Organizational Behavior/MIT-WPU/2018 154

 Goal-Setting Theory

• Disagreement between Gol Setting Theory and MBO

• The only area of possible disagreement between MBO and goal-setting theory
is participation: MBO strongly advocates it, whereas goal-setting theory
demonstrates that managers assigning goals is usually just as effective.

Prof DEBASISH DUTTA/Organizational Behavior/MIT-WPU/2018 155

Reinforcement
Theory of
Motivation

Prof DEBASISH DUTTA/Organizational Behavior/MIT-WPU/2018 156

 Reinforcement Theory of Motivation

• Reinforcement theory of motivation was proposed by BF Skinner and his associates.

• It states that individual’s behavior is a function of its consequences.
• It is based on “law of effect”, i.e, individual’s behavior with positive consequences tends to
be repeated, but individual’s behavior with negative consequences tends not to be repeated.
• Reinforcement theory of motivation overlooks the internal state of individual, i.e., the inner
feelings and drives of individuals are ignored by Skinner.
• This theory focuses totally on what happens to an individual when he takes some action.
• Thus, according to Skinner, the external environment of the organization must be designed
effectively and positively so as to motivate the employee.
• This theory is a strong tool for analyzing controlling mechanism for individual’s behavior.
However, it does not focus on the causes of individual’s behavior.

Prof DEBASISH DUTTA/Organizational Behavior/MIT-WPU/2018 157

 Reinforcement Theory of Motivation

• The managers use• the following methods for

This implies giving a positive response when an individual
controlling the behavior
• shows
It impliesof the
removing
positive and employees:
positive
required consequences so as to lower
behavior.
• It implies absence of reinforcements.
the example
probability of repeating undesirable behavior in
• Positive Reinforcement
• For
• In – Immediately praising an employee for coming
other words, extinction implies lowering the probability
future.
early for job. This will increase probability of outstanding
• Negative Reinforcement
• of
Thisundesired behavior
implies rewarding
• behavior
In other occurring
by removing reward
again.an employee
words, punishment
for thatnegative
by removing
means applying undesirable
kind of
behavior.
/ undesirable consequences.
• Punishment • Reward
consequence for showing
is a positive undesirable
reinforce, behavior.
but not necessarily.
• For
Both instance
positive - and
if annegative
employee no longer receives
reinforcement can bepraise
used for
• Extinction • If
For
and
and only
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increasing
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- employees’
Suspending
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•• Positive
Punishmentreinforcement stimulatesbyoccurrence
can be equalized of a behavior.
positive reinforcement
• Extinction may unintentionally lower desirable behavior.
• It mustalternative
from be noted that more spontaneous is the giving of
source.
reward, the greater reinforcement value it has.
Prof DEBASISH DUTTA/Organizational Behavior/MIT-WPU/2018 158
 Reinforcement Theory of Motivation
• Social learning theory
• Exactly what information is gleaned from observation is influenced by the type of
model, as well as a series of cognitive and behavioural processes, including:
• Attention - In order to learn, observers must attend to the modelled behaviour. Attention is
impacted by characteristics of the observer (e.g., perceptual abilities, cognitive abilities,
arousal, past performance) and characteristics of the behaviour or event (e.g., relevance,
novelty, affective valence, and functional value).
• Retention - In order to reproduce an observed behaviour, observers must be able to
remember features of the behaviour. Again, this process is influenced by observer
characteristics (cognitive capabilities, cognitive rehearsal) and event characteristics
(complexity).
• Reproduction - To reproduce a behaviour, the observer must organize responses in
accordance with the model. Observer characteristics affecting reproduction include physical
and cognitive capabilities and previous performance.
• Motivation - The decision to reproduce (or refrain from reproducing) an observed behaviour
is dependent on the motivations and expectations of the observer, including anticipated
consequences and internal standards.
Prof DEBASISH DUTTA/Organizational Behavior/MIT-WPU/2018 159
Self Efficacy
Theory

Prof DEBASISH DUTTA/Organizational Behavior/MIT-WPU/2018 160

 Self Efficacy Theory

• Self-efficacy (also known as social cognitive theory or social learning theory) refers to an
individual's belief that he or she is capable of performing a task.
• The higher is the self-efficacy, the more confidence an individual have in his ability to succeed.
• So, in difficult situations, people with low self-efficacy are more likely to lessen their effort or
give up altogether, while those with high self-efficacy will try harder to master the challenge.
• In addition, individuals high in self-efficacy seem to respond to negative feedback with
increased effort and motivation, while those low in self-efficacy are likely to lessen their effort
when given negative feedback.
• The managers can help their employees achieve high levels of self-efficacy by bringing together
goal-setting theory and self-efficacy theory.

Prof DEBASISH DUTTA/Organizational Behavior/MIT-WPU/2018 161

 Self Efficacy Theory
• Goal-setting theory and self-efficacy theory don't compete with one another; rather,
they complement each other.
• When a manager sets difficult goals for employees, they will have a higher level efficacy
and set higher goals for their own performance.
• Research shows setting difficult goals for people communicates them that manager has
confidence in them
• When manger sets higher goal for an individual than his co-worker the individual
interprets that “the manager thinks he is capable than others”.
• This sets in motion a psychological process in which the individual gains more confident
in himself (higher self-efficacy) and he sets higher personal goals, causing him to perform
better both inside and outside the workplace.
Prof DEBASISH DUTTA/Organizational Behavior/MIT-WPU/2018 162
 Joint Effects of Goals and Self-Efficacy on Performance

Individual has confidence that

given level of performance will be
obtained (Self-Efficacy)

Managers set difficult, specific goal Individual has higher level of job or
for job or task task performance

Individual sets higher personal

(self-Set) goal for their
performance

Prof DEBASISH DUTTA/Organizational Behavior/MIT-WPU/2018 163

 Self Efficacy Theory

• The researcher who developed self-efficacy theory,

• Influential people in our lives such as parents, teachers,
Albert Bandura, proposes
• managers
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being rewarded or punished for the same behavior.
• Motivational speakers use this tactic a lot.
Prof DEBASISH DUTTA/Organizational Behavior/MIT-WPU/2018 164
Equity Theory

Prof DEBASISH DUTTA/Organizational Behavior/MIT-WPU/2018 165

 Equity Theory

• Equity theory attempts to explain relational satisfaction in terms of

perceptions of fair/unfair distributions of resources within
interpersonal relationships.
• Considered one of the justice theories, equity theory was first
developed in 1963 by J. Stacy Adams, a workplace and behavioural
psychologist, who asserted that employees seek to maintain equity
between the inputs that they bring to a job and the outcomes that
they receive from it against the perceived inputs and outcomes of
others (Adams, 1965).
Prof DEBASISH DUTTA/Organizational Behavior/MIT-WPU/2018 166
 Equity Theory
• James Stacy Adams proposed the equity theory which was based on his belief that an
individual’s motivation is influenced by his perception of how equitably he is treated at
work.
• To express his ideas, Adam used following formula:
Equity exists when-
Person’s Outcomes Other’s outcomes
Person’s Inputs Other’s inputs
Negative Inequity exists when-
Person’s Outcomes Other’s outcomes
<
Person’s Inputs Other’s inputs

Positive Inequity exists when-

Person’s Outcomes Other’s outcomes
>
Person’s Inputs Other’s inputs

Prof DEBASISH DUTTA/Organizational Behavior/MIT-WPU/2018 167

 Equity Theory

Input Typically Includes:

• Time • Tolerance
• education • Determination
• experience • Enthusiasm
• Effort • Personal sacrifice
• Loyalty • Trust in superiors
• Hard Work • Support from co-workers and colleagues
• Commitment • Skill
• Ability • Adaptability
• Flexibility • Personal Appearances

Prof DEBASISH DUTTA/Organizational Behavior/MIT-WPU/2018 168

 Equity Theory

Outcome Typically Includes:

• Job security • Reputation
• Salary • Responsibility
• Employee benefit • Sense of achievement
• Expenses • Praise
• Recognition • Thanks
• Working conditions • Stimuli

Prof DEBASISH DUTTA/Organizational Behavior/MIT-WPU/2018 169

 Equity Theory

• Individuals compare their job inputs and outcomes with those of others
and then respond to eliminate any inequities.
• Referent Comparisons:
• Self-inside – An employee’s experiences in a different position inside the employee’s
current organization.
• Self-outside – An employee’s experiences in a situation or position outside the
employee’s current organization.
• Other-inside – Another individual or group of individuals inside the employee’s
organization.
• Other-outside - Another individual or group of individuals outside the employee’s
organization.

Prof DEBASISH DUTTA/Organizational Behavior/MIT-WPU/2018 170

 Equity Theory

• Based on the theory, employees who perceive inequity will make one of six
choices for dealing with inequity:
1) Change inputs (slack off – exert less if underpaid, or more if overpaid)
2) Change outcomes (increase output – individual paid on piece rate basis)
3) Distort/change perceptions of self – (“I used to think I worked at a moderate pace,
but now I realize I work a lot harder than everyone else,”)
4) Distort/change perceptions of others – (“Mihir’s job isn’t as desirable as I
thought.”)
5) Choose a different referent person – (“I may not make as much as my brother-in-
law, but I’m doing lot better than my dad when he was of my age.”)
6) Leave the field (quit the job)

Prof DEBASISH DUTTA/Organizational Behavior/MIT-WPU/2018 171

 Equity Theory

• The recent research has expanded the meaning of equity, or fairness.

• Historically equity theory focused on distributive justice wherein the employee’s
perceived fairness of the amount and allocation of rewards among individuals.
• But increasingly we think of equity from the standpoint organizational justice, a larger
perception of what is fair in the workplace.
• According to researchers how much we get paid (distributive justice) is as important as
how we get paid – a perceived a fairness of process used to determine outcome known as
procedural justice.
• A recent addition to the research on organizational justice is interactional justice, an
individual’s perception of the degree to which one is treated with dignity, concern, and
respect.
Prof DEBASISH DUTTA/Organizational Behavior/MIT-WPU/2018 172
 Equity Theory

Model of Organization Justice

Distributive Justice
• Definition: Perceived fairness of outcome
• Example: I got the pay raise I deserved

Procedural Justice Organizational Justice

• Definition: Perceived fairness of process used • Definition: Overall
to determine outcome perception of what is
• Example: I had input into the process used to fair in the workplace
give raises and was given a good explanation • Example: I think this
of why I received the raise I did, is a fair place to work

Interactional Justice
• Definition: Perceived degree to which one is
treated with dignity and respect
• Example: when telling me about my raise, my
supervisor was very nice and complimentary
Prof DEBASISH DUTTA/Organizational Behavior/MIT-WPU/2018 173
Groups and
Teams

Prof DEBASISH DUTTA/Organizational Behavior/MIT-WPU/2018 174

 Groups and Teams

• Nature of Group
• Definition of Group(s)
• Two or more individuals interacting and interdependent,
who have come together to achieve particular objectives.

Prof DEBASISH DUTTA/Organizational Behavior/MIT-WPU/2018 175

 Groups and Teams

• Types or Classification of Group(s)

• Formal Group
• A designated work group defined by the organization’s
structure.
• Informal Group
• A group that is neither formally structured now
organizationally determined; appears in response to
the need for social contact.

Prof DEBASISH DUTTA/Organizational Behavior/MIT-WPU/2018 176

 Groups and Teams

• Command Group
• A group composed of the individuals who report directly to a given manager.
• Task Group
• Those working together to complete a job or task.
• Interest Group
• Those working together to attain a specific objective with which each is
concerned.
• Friendship Group
• Those brought together because they share one or more common
characteristics.
Prof DEBASISH DUTTA/Organizational Behavior/MIT-WPU/2018 177
 Groups and Teams

• Why People Join Groups

• Security
• Status
• Self-esteem
• Affiliation
• Power
• Goal Achievement

Prof DEBASISH DUTTA/Organizational Behavior/MIT-WPU/2018 178

Group Development

Prof DEBASISH DUTTA/Organizational Behavior/MIT-WPU/2018 179

 Groups and Teams

• Group Development
• Group Dynamics refers to changes which take place within Groups
and is concerned with the interaction and forces obtained
between Group Members in a social setting.
• The five stage group development model are:
• Forming
• Storming
• Norming
• Performing
• Adjourning

Prof DEBASISH DUTTA/Organizational Behavior/MIT-WPU/2018 180

 Groups and Teams
• Tuckman’s Five-Stage Model of Group Development

Forming Storming Norming Performing Adjourning

• Characterized • Characterized • Characterized • The group is • Concern with
by much by intragroup by close fully functional wrapping up
uncertainty. conflict. relationships • Clear vision activities.
• Little • Increased and and purpose • Task
agreement. clarity of cohesiveness. • Focus on goal completion
• Unclear purpose. • Agreement and achieving • Good feeling
purpose. • Power consensus • Delegation about
• Guidance and struggles • Clear roles and achievement.
direction. • Coaching responsibilities • Recognition
• Facilitation

Prof DEBASISH DUTTA/Organizational Behavior/MIT-WPU/2018 181

 Groups and Teams

• Critique of the Five-Stage Model

• Assumption: The group becomes more effective as it progresses
through the first four stages
• Not always true – group behaviour is more complex
• High levels of conflict may be conducive to high performance
• The process is not always linear
• Several stages may occur simultaneously
• Groups may regress
• Ignores the organizational context

Prof DEBASISH DUTTA/Organizational Behavior/MIT-WPU/2018 182

 Group Properties
Roles, Norms, Status, Size, and Cohesiveness

Prof DEBASISH DUTTA/Organizational Behavior/MIT-WPU/2018 183

 Groups Properties

• Group Property 1: Roles

• Role – A set of expected behaviour patterns attributed to someone occupying
a given position in a social unit
• Role Identity – Certain attitudes and behaviours consistent with a role
• Role Perception – An individual’s view of how he or she is supposed to act in a
given situation – received by external stimuli
• Role Expectations – How others believe a person should act in a given
situation
• Psychological Contract: an unwritten agreement that sets out mutual expectations of
management and employees
• Role Conflict – A situation in which an individual is confronted by divergent
role expectations
Prof DEBASISH DUTTA/Organizational Behavior/MIT-WPU/2018 184
 Groups Properties

• Group Property 2: Norms

• Norms – Acceptable standards of behaviour within a group that
are shared by the group’s members
• Classes of Norms
• Performance norms - level of acceptable work
• Appearance norms - what to wear
• Social arrangement norms - friendships and the like
• Allocation of resources norms - distribution and assignments of jobs and
material

Prof DEBASISH DUTTA/Organizational Behavior/MIT-WPU/2018 185

 Groups Propertiesc

• Group Property 3: Status

• Status - A socially defined position or rank given to groups or
group members by others.
• Three sources of Status
1) The power a person wields over others.
• Eg. control over a group’s resources.
2) A person’s ability to contribute to a group’s goals.
• Eg. Star sportspersons, crack lawyers in law firms, top notch hospital administrators.
3) An individual’s personal characteristics.
• Eg. Money, intelligence, friendly personality.

Prof DEBASISH DUTTA/Organizational Behavior/MIT-WPU/2018 186

 Groups Properties

• Group Property 4: Size

• Smaller groups are faster at completing tasks than larger ones.
• Individuals perform better in smaller groups than in larger ones.
• In problem solving, larger groups consistently get better marks than
their smaller counterparts.
• If the goal is fact finding – larger groups more effective.
• Smaller groups –doing something productive with that input.

Prof DEBASISH DUTTA/Organizational Behavior/MIT-WPU/2018 187

 Groups Properties

• Group Property 5: Cohesiveness

• The degree to which group members are attracted
to each other and are motivated to stay in the
group.
• Affected by:
• Time spent together by the group members.
• Size – the smaller, the more cohesive.
• External threats.
Prof DEBASISH DUTTA/Organizational Behavior/MIT-WPU/2018 188
 Groups Properties
• Relationship Between Cohesiveness and Productivity Depends on the
Group’s Performance Related Norms

Cohesiveness
High Low
Performance Norms

Moderate
High High Productivity
Productivity

Low Moderate to Low

Low Productivity
Productivity

Prof DEBASISH DUTTA/Organizational Behavior/MIT-WPU/2018 189

Teams

Prof DEBASISH DUTTA/Organizational Behavior/MIT-WPU/2018 190

 Teams

• Definition:
• Two or more people who interact and influence each
other, are mutually accountable for achieving common
goals associated with organizational objectives, and
perceived themselves as a social entity within an
organization.

Prof DEBASISH DUTTA/Organizational Behavior/MIT-WPU/2018 191

 Teams

• Difference Between Team and Groups

• Work Group
• A group that interacts primarily to share information and to
make decisions to help each group member within his or her
area of responsibility.
• Work Team
• A group whose individual efforts result in performance that is
greater than the sum of the individual inputs.

Prof DEBASISH DUTTA/Organizational Behavior/MIT-WPU/2018 192

Teams Comparing Work Groups and Work Teams

Share Information Goal Collective Performance

Neutral (Sometimes negative) Synergy Positive
Individual Accountability Individual and mutual
Random and Varied Skills Complimentary

Prof DEBASISH DUTTA/Organizational Behavior/MIT-WPU/2018 193

 Teams

•
Self-Managed Work Teams are groups of employees who
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supervisors.

Prof DEBASISH DUTTA/Organizational Behavior/MIT-WPU/2018 194

 Creating Effective Teams

• Characteristics of Effective Teams

• We can organize the key components of effective teams into
three general categories:
• Resources and Contextual influences.
• Teams Composition.
• Process Variables

Prof DEBASISH DUTTA/Organizational Behavior/MIT-WPU/2018 195

Teams Team Effectiveness Model
Context
• Adequate Resources
• Leadership and Structure
• Climate and Trust
• Performance Evaluation and Reward System

Composition
• Abilities of Members
• Personality of Members
• Allocating Roles Team Effectiveness
• Diversity of Members
• Size of Teams
• Members Flexibility
• Member Preferences

Process
• Common Purpose
• Specific Goals
• Team Efficacy
• Conflict Levels
• Social Loafing

Prof DEBASISH DUTTA/Organizational Behavior/MIT-WPU/2018 196

 Turning Individual Into Team Players
• Options for managers trying to turn individual into team player
• Selecting: Hiring Team Player
• When hiring team members be sure candidates can fulfil their team roles as well as technical
requirements.
• When faced candidates who lack team skills the manager has three options:
1) The candidates can undergo training to make them into team player
2) Transfer them another unit that doesn’t have teams
3) Do not hire such candidates
• Training: Creating Team Player
• Training specialists conduct exercises that allow employees improve their problem solving,
communication, negotiation, conflict management and coaching skills
• Rewarding: Providing Incentives to Be a Good Team Player
• An organization reward system must be reworked to encourage cooperative efforts rather than
competitive ones.
• The opportunity for personal developments of self and teammates can be a very satisfying and
rewarding experience
197
Prof DEBASISH DUTTA/Organizational Behavior/MIT-WPU/2018
Leadership

Prof DEBASISH DUTTA/Organizational Behavior/MIT-WPU/2018 198

 Leadership

• Definition
• Leadership is the ability to influence a group toward the
achievement of a vision or set of goals.
• The source of this influence may be formal, such as that
provided by managerial rank in an organization.
• All leaders are not managers and not all managers are
leaders.
• Leaders can emerge from within a group as well as by
formal appointment.
Prof DEBASISH DUTTA/Organizational Behavior/MIT-WPU/2018 199
 Leadership

• Importance of Leadership
• Management is getting things done from people.
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• Builds work environment
• Co-ordination
Prof DEBASISH DUTTA/Organizational Behavior/MIT-WPU/2018 200
 Leadership

• Trait Theory of Leadership

• The trait model of leadership is based on the characteristics of many leaders -
both successful and unsuccessful - and is used to predict leadership
effectiveness.
• The resulting lists of traits are then compared to those of potential leaders to
assess their likelihood of success or failure.
• The trait approach attempted to identify physiological (appearance, height,
and weight), demographic (age, education and socioeconomic background),
personality, self-confidence, and aggressiveness), intellective (intelligence,
decisiveness, judgment, and knowledge), task-related (achievement drive,
initiative, and persistence), and social characteristics (sociability and
cooperativeness) with leader emergence and leader effectiveness.

Prof DEBASISH DUTTA/Organizational Behavior/MIT-WPU/2018 201

 Leadership

• Trait Theory of Leadership

• Theories that consider personality, social, physical, or intellectual traits to
differentiate leaders from non-leaders.
• Leadership Traits:
• Ambition and energy
• The desire to lead
• Honest and integrity
• Self-confidence
• Intelligence
• High self-monitoring
• Job-relevant knowledge

Prof DEBASISH DUTTA/Organizational Behavior/MIT-WPU/2018 202

 Leadership

• Trait Theory of Leadership

• Among the core traits identified are:
• Achievement drive: High level of effort, high levels of ambition, energy and initiative
• Leadership motivation: an intense desire to lead others to reach shared goals
• Honesty and integrity: trustworthy, reliable, and open
• Self-confidence: Belief in one’s self, ideas, and ability
• Cognitive ability: Capable of exercising good judgment, strong analytical abilities, and
conceptually skilled
• Knowledge of business: Knowledge of industry and other technical matters
• Emotional Maturity: well adjusted, does not suffer from severe psychological disorders.
• Others: charisma, creativity and flexibility
Prof DEBASISH DUTTA/Organizational Behavior/MIT-WPU/2018 203
 Leadership

• Advantages of Trait Theory

• It is naturally pleasing theory.
• It is valid as lot of research has validated the foundation
and basis of the theory.
• It serves as a yardstick against which the leadership traits
of an individual can be assessed.
• It gives a detailed knowledge and understanding of the
leader element in the leadership process.

Prof DEBASISH DUTTA/Organizational Behavior/MIT-WPU/2018 204

 Leadership
• Limitations of The Trait Theory
• There is bound to be some subjective judgment in determining who is regarded as a ‘good’ or
‘successful’ leader
• The list of possible traits tends to be very long.
• More than 100 different traits of successful leaders in various leadership positions have been
identified.
• These descriptions are simply generalities.
• There is also a disagreement over which traits are the most important for an effective leader
• The model attempts to relate physical traits such as, height and weight, to effective leadership.
• Most of these factors relate to situational factors.
• For example, a minimum weight and height might be necessary to perform the tasks efficiently in a
military leadership position.
• In business organizations, these are not the requirements to be an effective leader.
• The theory is very complex.
Prof DEBASISH DUTTA/Organizational Behavior/MIT-WPU/2018 205
 Leadership

• Implications of Trait Theory

• The trait theory gives constructive information about leadership.
• It can be applied by people at all levels in all types of organizations.
• Managers can utilize the information from the theory to evaluate their
position in the organization and to assess how their position can be made
stronger in the organization.
• They can get an in-depth understanding of their identity and the way they will
affect others in the organization.
• This theory makes the manager aware of their strengths and weaknesses and
thus they get an understanding of how they can develop their leadership
qualities.
Prof DEBASISH DUTTA/Organizational Behavior/MIT-WPU/2018 206
 Leadership

• Hersey and Blanchard’s Situational Leadership Theory

• A Contingency Theory that focuses on follower’s readiness.
• Situational leadership theory (SLT) focuses on the followers.
• It says successful leadership is achieved by selecting the right
leadership style contingent on the followers' readiness, or the
extent to which they are willing and able to accomplish a specific
task.
• A leader should choose one of four behaviors depending on
follower readiness.

Prof DEBASISH DUTTA/Organizational Behavior/MIT-WPU/2018 207

 Leadership

• Hersey and Blanchard’s Situational Leadership Theory

• If followers are unable and unwilling to do a task, the leader needs
to give clear and specific directions; if they are unable and willing,
the leader needs to display high task orientation to compensate
for followers’ lack of ability and high relationship orientation to get
them to “buy into” the leader’s desires.
• If followers are able and unwilling, the leader needs to use a
supportive and participative style; if they are both able and willing,
the leader doesn't need to do much.
Prof DEBASISH DUTTA/Organizational Behavior/MIT-WPU/2018 208
 Leadership

• Situational Leadership Theory (SLT)

• A contingency theory that focuses on followers’ readiness.

Unable and Unable but Able and Able and

Unwilling Willing Unwilling Willing
Follower readiness:
ability and willingness

Leader: decreasing need

for support and supervision
Directive High Task and Relationship Supportive Monitoring
Orientations Participative

Prof DEBASISH DUTTA/Organizational Behavior/MIT-WPU/2018 209

 Leadership

• Transactional and Transformational Leaders

• Transactional Leaders
• Leaders who guide and motivate their followers inn the direction of
established goals by clarifying role and task requirements.
• Transformational Leaders
• Leaders who inspire followers to transcend their own self-interests and
who are capable of having a profound and extraordinary effect on
followers.

Prof DEBASISH DUTTA/Organizational Behavior/MIT-WPU/2018 210

 Leadership
• Characteristics of Transactional Leaders
• Contingent Reward:
• Contracts exchange of rewards for effort, promises reward for good
performance, recognise accomplishments.
• Management by Exception (active):
• Watches the searches for deviations from rules and standards, take
correct action.
• Management by Exception (passive):
• Intervenes only if standards are not met.
• Laissez-Faire:
• Abdicates responsibilities, avoids making decisions.

Prof DEBASISH DUTTA/Organizational Behavior/MIT-WPU/2018 211

 Leadership

• Characteristics of Transformational Leaders

• Idealized Influence:
• Provides vision and sense of mission, instils pride, gains respect and trust.
• Inspirational motivation:
• Communicates high expectations, uses symbol to focus efforts, expresses important
purpose in simple ways.
• Intellectual Stimulation:
• Promotes intelligence, rationality, and careful problem solving,
• Individualised Consideration
• Gives personal attention, treats each employee individually, coaches, advises,

Prof DEBASISH DUTTA/Organizational Behavior/MIT-WPU/2018 212

 Full Range of Leadership Model
Effective

Idealized Influence

Inspirational Motivation

Intellectual Stimulation

Individual Consideration

Passive Active
Contingent Reward

Management by Exception

Laissez-Faire

Ineffective
Prof DEBASISH DUTTA/Organizational Behavior/MIT-WPU/2018 213
Power and
Politics

Prof DEBASISH DUTTA/Organizational Behavior/MIT-WPU/2018 214

 Power and Politics

• Introduction
• Power refers to a capacity that A has to influence the behaviour of B so that B
acts in accordance with A’s wishes.
• Power is capacity or potential which one may have but may not use it.
• The most important aspect pf power is that it is a function of dependency.
• The greater B’s dependence on A, the greater A’s power in the relationship.
• Dependence, in turn, is based on alternatives that B perceives, and the
importance B places on alternatives A controls.
• A person can power over someone if he or she controls something one desire.
• Dependency refers to B’s to A when A possess something that B requires

Prof DEBASISH DUTTA/Organizational Behavior/MIT-WPU/2018 215

 Power and Politics

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Prof DEBASISH DUTTA/Organizational Behavior/MIT-WPU/2018 216
••
 Power and Politics

• Power Tactics
• What power tactics do people use to translate power
bases into specific action?
• What options do they have for influencing their bosses,
co-workers, or employees?
• In this section, we review popular tactical options and the
conditions that may make one more effective than
another.

Prof DEBASISH DUTTA/Organizational Behavior/MIT-WPU/2018 217

 Power and Politics
• Research has identified nine distinct influence tactics:
• Legitimacy. Relying on your authority position or saying a request as per organizational
policies or rules.
• Rational persuasion. Presenting logical arguments and factual evidence to demonstrate a
request is reasonable.
• Inspirational appeals. Developing emotional commitment by appealing target's values,
needs, hopes, and aspirations.
• Consultation. Increasing the target's support by involving him or her in deciding how you will
accomplish your plan .
• Exchange . Rewarding the target with benefits or favors in exchange for following a request.
• Personal appeals. Asking for compliance based on friendship or loyalty.
• Ingratiation. Using flattery, praise, or friendly behavior prior to making a request.
• Pressure . Using warnings, repeated demands, and threats.
• Coalitions. Enlisting the aid or support of others to persuade the target to agree.
Prof DEBASISH DUTTA/Organizational Behavior/MIT-WPU/2018 218
 Power and Politics

• Organizational Politics
• Political Behaviour in organization consists of activities that are not required
as part of the person’s formal role in the organization but that influence, or
attempt to influence, the distribution of advantages and disadvantages within
the organization.
• Legitimate Political Behaviour
• Refers to normal everyday politics – complaining to supervisor, bypassing chain of
command, forming coalitions, obstructing organizational policies and decisions,
excessive adherence to rules etc.
• Illegitimate Political Behaviour
• Extreme political behaviour that violets the implied rules of the game, includes
Sabotage, symbolic protests such as wearing unorthodox dress or protests.

Prof DEBASISH DUTTA/Organizational Behavior/MIT-WPU/2018 219

 Power and Politics

• The ethics of behaving politically

• There may not be any clear cut distinction between
ethical from unethical politics.
• However the political activity must conform to the
standards of equity and justice.

Prof DEBASISH DUTTA/Organizational Behavior/MIT-WPU/2018 220

Conflict and Negotiation

Prof DEBASISH DUTTA/Organizational Behavior/MIT-WPU/2018 221

 Conflict and Negotaion

• Conflict
• Conflict may be understood as collision or disagreement.
• The conflict may be within an individual when there is incompatibility
between his or her own goals or events; may be between two individuals,
when one does not see eye-to-eye with another, and in the process tries to
block or frustrate the attempts of another; or between two groups in an
organization.
• Definition - “the struggle between incompatible or opposing needs, wishes, or
people. Conflict arises when individuals or groups encounter goals that both
parties cannot obtain satisfactorily.”
- Chung and Megginson
 Conflict and Negotaion

• “Conflict may be defined as any situation in which

incompatible goals, attitude, emotions, or behaviours lead to
disagreement or opposition between two parties.”
• “A process that begins when one party perceives that
another party has negatively affected or is about to
negatively affect, something that is first party cares about” -
Stephen Robbins
 Conflict and Negotaion

•Types of Conflict
•• Battles
• Intrapersonal Conflict
•• frontline
Departmental
Conflict
between
between
workers
if the differences aand
two people
accounting
within harmony
person
can beis
online
is not always
and operations
essential
isresolved.
not always
customer
team
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bad, particularly
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maintain
to identify,
agents can but it
productivity andin workplacewhen morale.
• Interpersonal
• become
can
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become
People
When group
depression ofor
apparent
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problem.
twofeelings,
different
moreattitudes
isemployees
evident. people
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moodtoswings
ways
do not get get
usually along
are present
disagreements,
together,
along, but to
may
or
with
that
cast
personal and goals contributing the
• Intragroup personal
conflict. battle
• differences
Intrapersonal
•• Perceived
Some
to the can
sideaffect
conflict
differences
examples
toisunite
alsoeveryone.
in statustwo
ofbetween
intragroup
against
apparent
and
other
different
conflict
when
may
employees.
group
a person has
goalsethnic,
include can fuel
• trouble
A businesschoosing
manager, to settle or
their more goals.
differences between
• Intergroup • intergroup
religious
Most of us
employees
conflict.
or gender
do
may prejudice,
notresort
possess the perceived
to personal or real
skillsintervention.
to handle injustices
serious
• Oftentimes,
and various this leads to miscommunication
personality differences. or even no
• communication,
intrapersonal conflicts,
Research identifiedaffecting
therefore
areasthe where he afflictedmay
employees
organization’s
employee
ability to find may
function.
• be
Aresolution,
third partyincluding
referred towho
a hasconcern
trained experience
professional.
for in conflict management
themselves, concern for
• This can be avoided through problem solving, changing certain
may
the settleperson,
other the dispute.
collaboration
workplace variables or by following or an compromise.
internal dispute
resolution process.
 Conflict and Negotaion

• Other Types of conflicts

• Functional conflict
• Conflicts that support the goals of the group and improve its performance
• Dysfunctional conflict
• Conflict that hinders group performance
• Task conflict
• Conflict over content and goals of the work
• Relationship conflict
• Conflict based on interpersonal relationships
• Process conflict
• Conflict over how work gets done
 Conflict and Negotaion

• Sources of Conflict• Change is low of nature.

• Diversity of Goals•• Sometimes organisation hold ‘conflicting’ values and
Change can breed intergroup conflict.
• perceptions.
• Task Interdependence• Groups in an organisation have different functions to
For example:
•• For Example:
• perform
•
Groups and
in an
Acquisition as such
organisation
and they
mergers develop
have to their own
interact
encourage norms
with
intergroupone and
conflict,
• Conflict
Competition for Limited
• No •
may emerge
Resourcesis-capable
organisation
Management
when
Labour
two organisational units
of providing all the resources
confect.
• goals.
another in order
competition,
compete
Communication over new to
and accomplish
stress.
responsibility.
barrier their task.
• Organisational Ambiguities
• Labour
demanded
•• Personality
These goals
by
feelsvarious
characteristic
should
units.
thatcommensurate
management
that accountis
withexploiting
for it because
individual
organisational
• •
Inter When
For e.ggroup
Autocratic
Resources one
style
Marketing
are organisation
conflict stemming
of department
limitedleadership.
and is merged
from
can not
different into
groups another,
disagreement
self have
unlessto thea power
about
• Organisational Change who
Over
in spite of
differences
goals.
• competestruggle
has
making
create
often
responsibility
control.
production people
a profit, management does nothing
conflict.
existsforbetween
produce a task.
goods the
andacquiring
goods canand
not be
for thefor these
economic resources
welfare and
of many
labour. conflicts arise from
• •
Difference in Values But
• this
New often
andsource.
acquired
Comers
produced in
Perceptionreal life
company.
to
unless the reverse
organisations
finance department in true.
are often struck by
provides thethemoney
• On the other hand management feels that the profit
• Egoistic Nature of••People
Goals
An the ofpurchase
attempt
ambiguity
for
should
one isgroup
that of are
usually
exist incompatible
made
about
raw to the
to responsibility.
job minimise
materials..
go to cash reserves so as to make the company
goalsby
conflict of laying
another group.
out plans for power sharing before the acquisition or
• Others an attractive preposition for investors.
merger is done.
 Conflict and Negotiation

Process of Conflict
Stage I Stage II Stage III Stage IV Stage V
Potential Cognition and Intentions Behavior Outcome
opposition or Personalization
incompatibility
Increased
Perceived Conflict handling
Overt conflict group
Antecedent Conditions Conflict intentions
 Party’s performance
 Communication  Competing
 Structure behavior
 Collaborating
 Personal variables Felt  Other’s Decreased
 Compromising
reaction group
conflict  Avoiding
performance
 Accommodating
 Conflict and Negotiation

Conflict Management Styles

Assertive Competing Collaborating

Assertiveness

Compromising
Unassertive

Avoiding Accommodating

Uncooperative Cooperative
Cooperativeness
 Conflict and Negotiation

• Conflict Management
• When parties in conflict each desire to fully satisfy the
• The figure identify primary conflict intentions using two dimensions
concerns of all parties, there is cooperation and a search
• When one person seeks to satisfy his or her interests
• Cooperativeness – refers
for to the degree
mutually to which
beneficial outcome. one party attempts to
•• AA
regardless
Inparty
satisfy the other party’s who
concerns.of
compromising,
person may the
seeks impact
there
recognize on
to appease
isa no the another
clear
conflict parties
opponent
winner
exists and to the
ormay betowilling
looser.
want
• conflict,
In
to collaborating,
place that
the the is
person
opponent’sparties
competing.intendabove
interests to solve
his problem
or her by
own,
• withdraw
• Assertiveness – refersRather,
to thethere
fromisor
degree willingness
tosuppress
which to
oneit. ration
party the objecttoofsatisfy
attempts the
clarifying differences rather than by accommodating
•• For
For
his or her own concerns. example
sacrificing
conflict andtoaccept
example maintain the relationship.
a solution that provides incomplete
• various
•
For
• You point of view.
compete
Example: and placeand a bet that others
only one person can
• This help to identify satisfaction
Try to
fiveexample
• For
to
ignore both
a parties
conflict
dimensions of conflict managementconcerns.
ignore with whom
• •
The win.
Supporting
distinguishing
you disagree someone else’s opinion
characteristic of despite your
compromising,
• Competing – (Assertive • Ifand
youUncooperative)
attempt
reservations to find
about it, ais win-win solution that allows
accommodating.
therefore,
• Collaborating – (Assertive is that each party intends give up something.
andparties’
Cooperative)
both goals to be completely achieved, that is
• Avoiding – (Unassertivecollaborating
and Uncooperative)
• Accommodating - (Unassertive and Cooperative)
• Compromising – (Midrange on both Assertiveness and Cooperativeness)
 Conflict and Negotiation

• Negotiation
• It is a process in which two or more parties exchange
goods or services and attempt to agree on the exchange
rate for them.

230
Prof DEBASISH DUTTA/Organizational Behavior/MIT-WPU/2018
 Conflict and Negotiation
The Negotiation Process
•• Once
Whenthe planning
initial and strategy
positions have beenare exchanged
developed, both
one has
theto
Preparation and Planning begin
partiesdefining the ground
will explain rules
amplify, and procedures
clarify, bolster andwith thetheir
justify
• other party
original
The final overinthe
demands.
step thenegotiation
negotiationitself that is
process will do the
formalization
• negotiation.
The essence of the negotiation process is the actual give
Definition of Ground • Before thenot
Thisagreement
the need startbeofconfrontational.
that negations,
has been one mustout
worked beandaware of the
developing
Rules • Where
and take willinittrying to hash out an agreement, a proper
take place?
• conflict,
Rather
and itthe
procedures history
is an thatleading
opportunity to the
are necessary
for negotiation
educating the people
for implementation
and informing and
• What
bargain.time constraints, if any will apply?
involved
each other
monitoring. andontheir
the perception of theare
issues why they conflict expectations
important and how
Clarification and • To
It iswhat
hereissues
where will negotiations
concessions beundoubtedly
will limited? need to be
• from the
eachmajor
For arrivednegotiations
negotiations etc.
at their initial
– this
demands.
will require hammering out
justification • Will
made there
by bothbe a specific
parties. procedure to follow in an impasse is
• reached?
Thisspecifics
the is the point in awhere
formalone
contract.
party might want to provide
Bargaining and Problem the other
• During thisparty
phase,with
the any documentation
parties that helps
will also exchange support
their initial
Solving its position.
proposals or demands.
Closure and
Implementation
Prof DEBASISH DUTTA/Organizational Behavior/MIT-WPU/2018 231
Organizational Culture

Prof DEBASISH DUTTA/Organizational Behavior/MIT-WPU/2018 232

 Organizational Culture

• Meaning and Definition

• Organizational culture refers to a system of shared meaning held
by members that distinguishes the organization from other
organization.
- Stephen Robins
• Organizational culture or corporate culture is defined as the
philosophies, ideologies, values, assumptions, beliefs,
expectations, attitudes and norms that knit an organization
together and are shared by its employees.
- Ralph H Kilman
Prof DEBASISH DUTTA/Organizational Behavior/MIT-WPU/2018 233
 Organizational Culture

• Characteristics of Culture:
1. Innovation and risk taking
2. Attention to detail
3. Outcome orientation
4. People orientation
5. Team orientation
6. Aggressiveness
7. Stability Organizational

Prof DEBASISH DUTTA/Organizational Behavior/MIT-WPU/2018 234

 Organizational Culture

• Shaping Organizational Culture

• Creating and sustaining organization culture

Prof DEBASISH DUTTA/Organizational Behavior/MIT-WPU/2018 235

 Organizational Culture

• Creating and sustaining organization

• Internal
issues:
integration involvesculture
addressing the following

• An organizational culture forms

• Language
• This involvesand in response
concepts:
addressing tomethods
Identifying
the following two
issues: of
major challenges that• confront
communication
for important
and developing
Mission andevery
Strategy: a shared
organization,
identifying meaning
primary
purpose and concepts.
selecting strategies.
they are: •• Group
Goals:and teamspecific
Setting boundaries: Establishing criteria
targets.
• External adaptation andfor
survival
membership
Means: in groups
Determining howand teams. the goals.
to pursue
• Power and status:Establishing
Measurement: determiningcriteria
the rules
to of
• Internal Integration acquiring, maintaining and loose power and
determine how well individuals, teams
status.
accomplish the goals.
• Rewards and punishments: developing systems for
encouraging desirable behavior and discouraging
undesirable behavior.
Prof DEBASISH DUTTA/Organizational Behavior/MIT-WPU/2018 236
 Organizational Culture

Methods of Maintaining Organizational Culture:

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

Recruitment of Removal of
Employee who Organizational Employee who
fit the culture Culture Deviate from
Prof DEBASISH DUTTA/Organizational Behavior/MIT-WPU/2018
the culture 237
 Organizational Culture

• Types of Organization
• AAndynamic,
highly culture
openstructured
and friendly
andplace toand
formal
entrepreneurial, work
placewhere people
to work.
creative place share a lot
to work.
A of themselves.
• results-driven
Rules and procedures
Innovation andorganizationgovern
risk-taking arebehaviour.
focused on jobby
embraced completion.
employees and
1) • leaders.
“CollaborateIt is(Clan)”
like
Leaders
People are an
strive Culture
extended
to
competitive family.
be good
and coordinators and organizers who are
goal-oriented.
• ALeaders areare considered
efficiency-minded.
Leaders
commitmentdemanding, to be mentors
hard-driving,
to experimentation andorproductive.
even parental
thinking figures.
differently are
2) “Control The
(Hierarchy)”
• what
Group loyalty
Maintaining
emphasis
unify a and
on
the Culture
senseunifies
of tradition
smooth-running
winning
organization. are strong.
organization
the is most critical.
organization.
• They
Therestrive
Formal
Reputation ispolicies
an emphasis
andto beareonwhat
success onleading
are
the the
holdlong-term
common the group benefits
together.
concerns.
edge. of human
3) “Create (Adhocracy)”
resources
• The
Stability,
Long-term focus
long-term Culture
development
performance,
isemphasis
on and
and
competitive
is on great importance
efficient
action
growth operations isare
andacquiring
and given
achievementthe
newtolong-
ofgroup
cohesion.
term
measurable goals.
resources. goals and targets.
4) “CompeteSuccess
• (Market)”
Theremeans
Success is means
a strong Culture
market concern
dependable
share
gaining for people.
delivery,
and
unique smooth
penetration.
and new scheduling,
products and
or services.
• Being
The cost.
low organization
Competitive places
pricing and
an industry aispremium
market
leader on teamwork,
leadership
important. are important.
participation,
• Individual
Management and consensus
wants
initiative security
and freedom.and are
predictability.
encouraged.

Prof DEBASISH DUTTA/Organizational Behavior/MIT-WPU/2018 238

 Organizational Culture

• Functions of Culture:
1) Defines the boundary between one organization and others.
2) Conveys a sense of identity for its members.
3) Facilitates the generation of commitment to something larger
than self-interest.
4) Enhances the stability of the social system.
5) Serves as a sense-making and control mechanism for fitting
employees in the organization.

Prof DEBASISH DUTTA/Organizational Behavior/MIT-WPU/2018 239

 Organizational Culture

• Culture Vs Formalization
• A strong culture increases behavioral consistency and can act as a substitute for
formalization.
• High formalization creates predictability, orderliness, and consistency.
• A strong culture achieves the same end without the need for written documentation.
• Therefore formalization and culture can be two different roads to a common
destination.
• In a strong organizational culture the management need to be less concerned with
developing rules and regulations to guide employee behaviour.
• Those guidelines will be internalised in employees when they accept the
organizational culture.
Prof DEBASISH DUTTA/Organizational Behavior/MIT-WPU/2018 240
Organizational Change

Prof DEBASISH DUTTA/Organizational Behavior/MIT-WPU/2018 241

 Organizational Change

• Change Management
• Change management has been defined as ‘the process of continually
renewing an organization’s direction, structure, and capabilities to serve the
ever-changing needs of external and internal customers’, change is an ever-
present feature of organisational life, both at an operational and strategic
level.
• Therefore, there should be no doubt regarding the importance to any
organisation of its ability to identify where it needs to be in the future, and
how to manage the changes required getting there.
• Consequently, organisational change cannot be separated from organisational
strategy.
Prof DEBASISH DUTTA/Organizational Behavior/MIT-WPU/2018 242
 Forces for Change
Force Examples
Nature of the workforce • More cultural Diversity
• Aging population
• Increased immigration and outsourcing
Technology • Faster, cheaper and more mobile computers and hand held devices
• Emergence and growth of social networking sites
• Deciphering of human genetic code
Economic shocks • Rise and fall of global housing market
• Financial sector collapse
• Global rescission
Competition Global competitors
Merger and consolidations
Increased government regulation of commerce
Social trends • Increased environmental awareness
• Liberalization of attitudes towards gay, lesbians and transgender employees
• More multitasking and connectivity
World politics • Rising health care costs
• Negative social attitudes towards business and executives
• Opening of markets in China
Prof DEBASISH DUTTA/Organizational Behavior/MIT-WPU/2018 243
 Organizational Change

• Resistance to Change
• Change is about challenging the status quo, bringing a move in the normal
routine of individuals and the organization.
• Resistance and friction is to certain extent a normal activity.
• It is important that business organization analyse and understand the
resistance in order to effectively deal with them.
• The resistance to change witnesses a shift over a period of time, starting for
few people who support change it moves to mass support to change.
• There are many sources of resistance to change in organization.
• The forces that resist change are: organizational forces, sub-unit forces, group
level forces, individual level forces

Prof DEBASISH DUTTA/Organizational Behavior/MIT-WPU/2018 244

 Organizational Change
Or
• Sources of Resistance to Change in organization Or

Resistance to Change

Organizational Level Forces Group Level Forces

• Organizational structure
• Group Norms
• Organizational Culture
• Group Cohesiveness
• Organizational Strategy
• Groupthink
• Over-determination

Individual Level Forces

Subunit Level Forces • Cognitive• Biases
• • Difference in orientation
• Uncertainty
• Difference in Power and
• Selective Perception
Conflict
• Habit and Logical Reasons
 Organizational Change

• Overcoming Resistance to Change

1. Education and communication
2. Participation and involvement
3. Facilitation and support
4. Manipulation and cooperation
5. Coercion

Prof DEBASISH DUTTA/Organizational Behavior/MIT-WPU/2018 246

 Organizational Change

• The Change Process - Kurt Lewin’s Three Stage Model

• Unfreezing:
• Reducing the forces that are striving to maintain the status quo, and dismantling the
current mind set. Usually by presenting a provocative problem or event to get people to
recognize the need for change and to search for new solutions.
• Moving:
• Developing new behaviours, values, and attitudes, sometimes through organizational
structure and process changes and development techniques. There may be a period of
some confusion as we move from the old ways of doing things to the new.
• ReFreezing:
• The final stage of crystallizing and the adaptation of ownership of the new 'as is'. The
organization may revert to former ways of doing things at this point unless the changes
are reinforced through refreezing.

Prof DEBASISH DUTTA/Organizational Behavior/MIT-WPU/2018 247

 Organizational Change

• Action Research
• Action Research is the process of systematically collecting research data about
an ongoing system relative to some objective, goal or need of that system;
feeding these data back into the system; taking action by altering selected
variables within the system based on the data and on hypothesis; and
evaluating the results of action by collecting more data.
• It consists of Five Steps:
• Diagnosis
• Analysis
• Feedback
• Action
• Evaluation
Prof DEBASISH DUTTA/Organizational Behavior/MIT-WPU/2018 248
Work Stress Management

Prof DEBASISH DUTTA/Organizational Behavior/MIT-WPU/2018 249

 Work Stress Management

• The physical, psychological, and behavioral reactions experienced by individuals

in situations where they feel they are in danger of being overwhelmed.
• It is a common experience of people when any demands are placed on them by
their work or personal environment.
• Stress is mentally or emotionally disruptive or disquietening influence.
• The non specific response of the body to any demands made upon it.
-Hans selye
• An adaptive response to an external situation that results in physical,
psychological, and/or behavioral deviations for organizational participants.
- Fred Luthans

Prof DEBASISH DUTTA/Organizational Behavior/MIT-WPU/2018 250

Work Stress Management

Prof DEBASISH DUTTA/Organizational Behavior/MIT-WPU/2018 251

Work Stress Management

Prof DEBASISH DUTTA/Organizational Behavior/MIT-WPU/2018 252

 Work Stress Management

• Distress
• The stress which
results when “bad”
things occur or
negative stress.

Prof DEBASISH DUTTA/Organizational Behavior/MIT-WPU/2018 253

 Work Stress Management

• Neustress
• When a person is
indifferent to the
stress and the result
is neutral.

Prof DEBASISH DUTTA/Organizational Behavior/MIT-WPU/2018 254

 Work Stress Management

•Sources of Stress Managerial Behavior

• Personality
• Individual stressors•• Role overload
Family
Organizational
Lack of Cohesiveness
Climate
• Role conflict
• Group stressors • Organizational
Economy
Intragroup
• Inter roleConflicts
Structure
conflict
• Organizational stressors• Personal conflict
Lack ofIncongruence
mobility
• Organizational
Status Leadership
• Extra-organizational stressors
• Role ambiguity and daily hassles
Quality Harassment
of life life cycle
• Organizational
Sexual
• Task characteristics
• Personal
WorkplaceIssues
Violence
Prof DEBASISH DUTTA/Organizational Behavior/MIT-WPU/2018 255
 Work Stress Management
• Consequences of Stress
• Behavioural outcome
• Satisfaction
• Performance
• Absenteeism
• Attrition
• accidents
• Cognitive outcome
• Poor decision making
• Lack of concentration
• Forgetfulness
• Physiological outcome
• Increased Blood Pressure
• High cholesterol
• Heart disease
• Burnout
Prof DEBASISH DUTTA/Organizational Behavior/MIT-WPU/2018 256
 Work Stress Management

• Management of stress
• Stress management can be done by:
• Individual strategies
• Muscle relaxation
• Biofeedback
• Meditation
• Cognitive restructuring
• Time management
• Organizational Strategies
• Improvement in physical work environment
• Job redesign
• Changes in workload or deadlines
• Structural reorganization
• Flexible work hour/sabbaticals
• Goal setting (MBO)
• Employee participation
• Role clarity/role analysis
Prof DEBASISH DUTTA/Organizational Behavior/MIT-WPU/2018 257
Work Stress Management

Prof DEBASISH DUTTA/Organizational Behavior/MIT-WPU/2018 258

Work Stress Management

Prof DEBASISH DUTTA/Organizational Behavior/MIT-WPU/2018 259

Work Stress Management

Prof DEBASISH DUTTA/Organizational Behavior/MIT-WPU/2018 260