Professional Documents
Culture Documents
Chapter I
Organisational Behaviour
Learning Objectives
Reading this chapter would enable you to understand:
• The importance of the human element in the organisation
• Industrial psychology
Contents
1.1 Organisation
1.2 Major Classifications of Organisations
1.3 Major Factors Influencing an Organisation
1.4 Organisational Behaviour
1.5 Some Fundamental Concepts in Organisational Behaviour
1.5.1 Every Individual is Different
1.5.2 Every Individual is a Complete Person
1.5.3 All Behaviour has Cause-Effect Relationship
1.5.4 Every Individual has Self-esteem
1.5.5 An Organisation is a Social System
1.5.6 Mutual Interests are Inter-dependent
1.5.7 A Total View of the Organisation
1.6 Why is the Study of Organisational Behaviour Important for Managers?
Summing Up
Self-assessment
1.1 Organisation
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Organisational Behaviour
Every individual has 24 hours a day. Worldwide research has shown that an
average person spends about 6 to 8 hours a day in sleep. Out of the remaining
18 hours, more than 8 hours are spent in working and travelling for work.
This means that one gets less than 8 hours for one's personal and private life
with family and friends. In other words, we spend about 33% of our life sleeping;
about 50% of our life working and the rest about 17% of our life for personal
pleasures.
The subject of Organisational Behaviour deals with that part of our life, which
we spend working, which is also called ‘On-the-job' life. Interestingly, our ‘off-
the-job’ life is inter-related and inter-dependent on the ‘on-the-job’ life and
vice-versa. Generally, it is observed that those who are comfortable ‘on-the-
job' are happy ‘off-the-job' also.
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Organisational Behaviour
Research studies in organisational behaviour all over the world show that the
‘On-the-job' performance of an individual depends upon the ‘Off-the-job' life.
In other words, less than 66% of the life ‘off-the-job’ has a great influence on
the more than 33% life ‘on-the-job’, affecting performance. Think over the
following statements:
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Organisational Behaviour
Human behaviour has a reason behind it. Every person behaves as per his/
her thought process and believes that the behaviour is correct, because the
person has certain beliefs and faith. It is necessary for managers to understand
these beliefs and faiths of the people and also the cause-effect relationship
behind the behaviour, if they want to be effective in their managerial functions.
People are different from machines and materials. They can think, smile, laugh;
they have feelings and emotions. They have self-respect and prestige. They
are live entities, unlike machines or tools and equipment. Therefore, they
should not be treated like machines or materials. They expect their due respect
in day-to-day activities.
When all the above aspects of organisational behaviour are taken into
consideration, we can have a total view of the organisation.This includes: the
organisational structure, the management-employee relationships, the
interpersonal and the inter-group relationships, the total personality of the
employee, and the organisation as a total system. This helps managers
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Organisational Behaviour
Summing Up
Self-assessment
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Organisational Behaviour
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Approaches and Models of
Organisational Behaviour
Chapter II
Approaches and Models of Organisational
Behaviour
Learning Objectives
Reading this chapter would enable you to understand:
• Different approaches to Organisational Behaviour
• Various models of Organisational Behaviour
Contents
2.1 Approaches to Organisational Behaviour
2.1.1 The Inter-disciplinary Approach
2.1.2 The Human Resources Approach
2.1.3 The Systems Approach
2.1.4 The Contingency Approach
2. 2 Models of Organisational Behaviour
2.2.1 The Autocratic Model
2.2.2 The Custodial Model
2.2.3 The Supportive Model
2.2.4 The Collegial Model
2.2.5 The SOBC Model
2.3 The Inter-relationship between Personal Life and Work Life
2.3.1 Personal Life
2.3.2 Work Life
Summing Up
Self-assessment
Some of the important approaches and models are briefly described below:
This approach is based on the fact that human behaviour is a result of the
interaction and interdependence among the different aspects of human life.
An organisation consists of dif ferent factors viz. the str ucture, size,
technology and the people. In order to study the organisational behaviour
of people, it is necessary to understand the interactions between the various
aspects of human life, for example, Histor y, Geography, Sociology,
Economics, Philosophy, Psychology, Anthropology, Ergonomics,
Mathematics, Law, etc.
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Organisational Behaviour
This approach is based on the assumption that people are resources and not
commodities that can be bought and sold like other resources, for example
machines and materials. The growth and development of the organisation
depends upon the training and development of the people working for the
same. The management should suppor t rather than control people.
Involvement and participation of people yields better results. Employees need
guidance and counselling for their growth ‘on-the-job' as well as ‘off-the-job'.
Employees have creativity that needs to be explored.
This approach is based on the assumption that every organisation and every
situation is different. Not many situations repeat and as a result every situation
is unique. Each situation demands special thinking and decision-making
followed by an action. In other words, every decision and action is situation
oriented. We cannot prescribe one best way for universal application. Therefore,
this approach depends heavily upon the experience of managers.
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Approaches and Models of
Organisational Behaviour
basic need of the employees is job security for which they offer passive co-
operation to their superiors. The management knows better about the welfare
of its people and takes the role of guardian and custodian of the people and
their wealth.
This model is based on the assumption that generally employees are self-
disciplined and exhibit responsible behaviour. The main need of the employees
is self-actualisation. If this need is satisfied, they show enthusiastic
performance. Therefore, they must be encouraged to participate in decision-
making. The management must build teams, as teamwork is the main
managerial orientation.
This model is based on the assumption that, all behaviour is caused. What
we see is the consequence of the behaviour shown by the organism due to a
stimulus. This model can be diagrammatically shown as follows:
The Stimulus is the cause that may be overt or covert, physical, social,
psychological, technological, environmental, etc.
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Organisational Behaviour
The work life of an employee consists of various factors, for example, the
organisational structure, the organisational culture, policies, procedures,
communication, knowledge, skills, attitude, job description, inter-personal
communication and relationships with superiors, colleagues, subordinates,
working conditions, authority-responsibility relationship, challenges in the
job, career prospects, etc. Thus, it will be seen that the organisational
behaviour of an employee is a result of a constant and continuous
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Approaches and Models of
Organisational Behaviour
interaction between personal life and work life. Generally speaking, those
who are happy ‘on-the-job' are happy ‘off-the-job', although the converse
may not hold true.
Summing Up
Self-assessment
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Organisational Behaviour
Chapter III
Organisational Design and Culture
Learning Objectives
Reading this chapter would enable you to understand:
• Various designs of an organisation
Contents
3.1 Organisational Design
3.2 Dimensions of Organisational Design
3.3 Determinants of Organisational Design
3.4 Major Elements of Organisational Design
3.5 Factors Influencing Organisational Redesigning
3.6 What is Organisational Structure?
3.7 What is Organisational Culture?
3.8 Projection of the Organisational Culture
3.9 Characteristics of Organisational Culture
3.10 Factors Affecting Organisational Culture
3.11 Assessing Organisational Culture
3.12 Changing Organisational Culture
Summing Up
Self-assessment
It is observed that almost all organisations, which are large today, were started
as very small organisations many years ago. The organisations, that have
taken care of designing their structures properly during the initial stages, are
facing comparatively less problems of organisational behaviour as compared
to the others. Organisational Designing is the basis for organisational
structure viz. Line Organisation, Functional Organisation, Line and Staff
Organisation, Committee Organisation, Matrix Organisation, etc.
Organisational structure and organisational culture are different, but at the
same time interrelated and interdependent. Therefore, organisational designing
is of vital importance in shaping organisational behaviour and in turn, the
organisational culture.
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Organisational Design
and Culture
a. Ownership (Public/Private/Joint/Co-operative)
b. Size (Small/Medium/Large, number of people, capital investment, sales
turnover)
c. Technology (old or new, automation, modernisation, computerisation)
d. Strategy (goals, objectives, short term/long term, evaluation of
alternatives)
e. Environment (internal v/s external)
a. Work Specialisation
b. Departmentalisation
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Organisational Behaviour
c. Chain of Command
d. Span of Control
Thus, the span of control may be defined as ‘the number of subordinates that
can be efficiently and effectively managed by the superior for the optimum
performance of the work team’.
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Organisational Design
and Culture
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Organisational Behaviour
What is culture? It is observed that during the 21st century, world culture
has been changing very fast as a result of the fast changing national and
regional cultures. We find Eastern culture v/s Western culture, traditional
culture v/s modern culture, agrarian culture v/s industrial culture, rural culture
v/s urban culture, etc. Similarly, there is public sector culture v/s private
sector culture, manufacturing sector culture v/s service sector culture, large
scale culture v/s small scale culture, etc. Individual culture is a result of the
impact of parents + family + education + work experience + friends + society.
Group culture is the sum total of the individual cultures.
Generally organisational culture flows from the top to the bottom. It is not
developed overnight. It takes a long time to develop. The perceptions, values
and attitudes of the employees form the core of organisational culture.
Lack of knowledge
Lack of skills
Negative attitudes
Resentful service
Lack of accountability More bureaucratic culture
Red tapism
Bureaucracy
Lack of discipline
Lack of cleanliness/housekeeping
Poor Quantity and Quality
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Organisational Design
and Culture
The following are the factors that may affect organisational culture:
a. Organisational context
b. Organisational structure
c. Organisational processes
d. Physical environment
e. Values, norms and systems
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Organisational Behaviour
1. Leadership style
2. Morale and Motivation
3. Organisational communication
4. Interaction-Influence process
5. Decision making
6. Goal setting
7. Control
Summing Up
Every organisation has a culture which is different from its structure. The
structure can be seen on paper, but culture can only be experienced.
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Organisational Design
and Culture
There are several factors working at several levels which project the culture
of an organisation. We have also discussed how to assess and change the
culture of an organisation.
Self-assessment
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Organisational Behaviour
Chapter IV
Perception and Values
Learning Objectives
Reading this chapter would enable you to understand:
• What is perception and the importance of perception. It will also give an idea of
social perception.
Contents
4.1 Perception
4.2 The process of perception
4.3 Internal factors affecting perception
4.4 External factors affecting perception
4.5 Developing perceptual skills
4.6 Perception and personality
4.7 What is Value?
4.8 Sources of Values
4.9 Manifestations of Values
4.10 Types of Values
4.10.1 Terminal Values
4.10.2 Instrumental Values
4.11 Classifications of Values (Allport and Associates) (TASRPE)
Summing Up
Self-assessment
4.1 Perception
Generally, every individual lives with his/her parents or the family for the
first five years of his/her life, which are the cognitive years of life. One has
perceptions about one's own parents, teachers, friends, etc. During the further
15 to 20 formative years in primary school, secondary school, under-graduation
and post-graduation, there are many people with whom one interacts and
creates perceptions. After completion of formal education, one starts with a
career either in employment or self-employment during which one has to
deal with many people including superiors, colleagues and subordinates,
outsiders, etc.
Every person has to interact with other individuals in his/her life on-the-job
as well as off-the job. Some interpersonal interactions are satisfactory and
produce positive results, while some others are not satisfactory and produce
negative results with stress and tensions for either of the parties or for both
of them. Why does this happen? The answer lies in the ‘Perception' of people,
objects or situations.
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Perception and Values
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Organisational Behaviour
The following are some of the internal factors that may affect perception:
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Perception and Values
The following are some of the external factors that may affect perception:
b. Status : Generally, people with high status are perceived with respect/
reverence and therefore listened to. On the contrary, people without
any substantial status in society are not perceived favourably. A president,
prime minister, a governor, a minister, a manager, an actor/actress, a
socialworker, a doctor, an advocate, a judge, a Nobel laureate etc. are
better placed due to their high status. Status in the organisation/society
affects the perception of the individual.
e. Size: The size of the stimulus (person or object) affects perception. For
example, a very fat person arriving at a party or a very thin and lean
patient in a hospital, bigger machines, larger pictures, a full page
advertisement, etc. Attract attention and affect perception.
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Perception and Values
Values are a dominant force that shape and determine the individual
personality and behaviour. Values may not be always written down or
expressed. But, they are manifested through the behaviour of the individual
and the groups. Individual values contribute to the group values. Values
represent the basic conviction that a specific mode of conduct is acceptable
or otherwise. Values have a great influence on the perceptions, attitudes and
motivational patterns of people. That is why understanding the meaning of
‘Value' is important for the study of Organisational Behaviour.
Values are not constant; they keep on changing from person to person, place
to place, time to time, situation to situation. Individual values may be different
from group values. Values can be expressed by words, actions and behaviour.
Human values are manifested in various ways. Some of the expressions of an
individual's values can be one or more of the following forms:
a. Freedom
b. Pleasure
c. Mutual respect
d. Honesty
e. Obedience
f. Equality
g. Peace
h. Co-operation
i. Harmony
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Organisational Behaviour
j. Democracy
k. Discipline
l. Mutual trust
Terminal values are those, through which ultimate goals in life are sought to
be achieved. The following are some examples of terminal values:
a. A comfortable life
b. A sense of accomplishment
c. A secure life
d. A happy retired life
e. Freedom and independence
f. Self-esteem
g. Social recognition
h. Self-actualisation
i. A world of peace
j. Truth and non-violence
Instrumental values are those, through which the ultimate goals are achieved.
The following are some examples of instrumental values.
a. Ambition
b. Capability
c. Cleanliness and Housekeeping
d. Health and Safety
e. Courage
f. Co-operation
g. Honesty
h. Pardon
i. Logic and Rationality
j. Politeness and Courtesy
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Perception and Values
Summing Up
This chapter helps you to understand the impor tance and definition of
perception. It also talks about social perception, i.e., every person has to
interact with other individuals in his life. There are several factors, internal
and external, affecting perception. Financial, educational, cultural background
affect internal factors. Status, appearance and familiarity are some of the
external factors affecting perception.
We have seen that values are not constant. Individual values are different from
group values, and they are a dominant force that shape and determine the
individual personality.
Self-assessment
1. The way one looks at people/ objects/ situations in the world is called
_____________
2. _____________ is the total result of an individual's perception, values
and attitude.
3. Learning is a ______________process.
4. ___________ of the stimulus determines the perception of the individual.
5. _____________ values are the means through which ultimate goals are
achieved.
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Organisational Behaviour
Chapter V
Attitude in Organisational Behaviour
Learning Objectives
Reading this chapter would enable you to understand:
• What attitude is and how does it affect the organisation.
Contents
5.1 What is Attitude?
5.1.1 Definitions of Attitude
5.2 Theories of Attitude
5.3 Components of Attitude
5.4 Functions of Attitude
5.5 Factors affecting Attitude
5.6 Characteristics of Attitude
5.7 Manifestations of Attitude
5.8 Significance of Attitude in Organisational Behaviour
5.9 Attitude at a Glance
Summing Up
Self-assessment
‘Attitude is the frame of mind’. Attitude is the result of the individual's beliefs,
perceptions and values. It is observed that small children, say upto 5 years of
age have no attitude of their own. They are like ‘pots on the potter's wheel’.
Both their bodies and minds are flexible for moulding, as you desire. But,
after they start going to the school, they start developing attitude. Attitudes
are formed through experience. Attitude predisposes people to respond to
people, objects, events, environment in certain ways.
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Attitude in Organisational
Behaviour
These theories are concerned with inconsistencies, which arise between the
related beliefs, knowledge and evaluation about an object. These theories are
further sub-classified as follows:
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Organisational Behaviour
individual. This is based on the real or assumed knowledge about the object
and is generally governed by a rational process of thinking and action.
b. Af fective component
This component of attitude represents the emotional segment of the individual.
This is based on non-rational commitments and can be positive, negative or
neutral towards the object.
c. Behavioural component
This component of attitude represents the intention to behave in a particular
way. This is based on the pre-disposition to act. It determines and controls
the actual reactions and behaviour of the individual.
The following are some of the functions that may affect attitude:
a. Family background
b. Early socialisation
c. Educational background
d. Work experiences
e. Group affiliation
f. Personal experiences
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Attitude in Organisational
Behaviour
a. Determines goals
b. Reconciles contradictions
c. Organises facts
d. Affects Employer-Employee relations
e. Affects Health/Safety/Welfare
f. Determines loyalty and integrity
g. Facilitates communication
h. Affects organisational change
i. Creates/avoids conflicts
j. Affects inter-personal relationships
k. Influences morale and motivation
l. Facilitates learning
m. Affects job satisfaction
n. Affects job performance
o. Determines organisational culture
p. Affects organisational efficiency and effectiveness
q. Affects the quality of life
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Organisational Behaviour
Summing Up
Self-assessment
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Personality
Chapter VI
Personality
Learning Objectives
Reading this chapter would enable you to understand:
• What personality is and its relevance in the organisation
Contents
6.1 What is Personality?
6.2 Major determinants of Personality
6.3 Personality Traits (Cattel's Traits Test)
6.4 Types of Personality
6.5 Personality and Organisational Behaviour
Summing Up
Self-assessment
Many times, we use the word ‘Personality' for attractive men or women. There
is no doubt that attractiveness is an important factor of a personality. In other
words, all good personalities are attractive. But, attractive people cannot be
said to have good personalities. Why? Because, attractiveness is necessary,
but not the only sufficient condition for being a good personality. Personality
is a combination of many factors and qualities in an individual.
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Organisational Behaviour
Thus, the personality of any individual can be analysed on the basis of the
following factors:
a. Biological factors
b. Family factors
The following are some of the family factors that deter mine
personality:
a. Family atmosphere
b. Loving, warm, caring and stimulating atmosphere
c. Cold, non-caring, non-stimulating atmosphere
d. Basic discipline
e. Social factors
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Personality
Type A
a. Chronic sense of time urgency
b. Impatience
c. High achievement orientation
d. Strong competitive drive
e. High ambition level
f. Aggressive behaviour
g. Quick in responses
h. Quick decision making and actions
i. Fast speech and walk
j. Low level of tolerance
Type B
a. Easy going
b. Passive
c. Lack of achievement orientation
d. Lack of competitive drive
e. Lack of ambition
f. Submissive behaviour
g. Slow decision making and actions
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Organisational Behaviour
a. Locus of Control
Internal Locus of Control: Degree of belief that the individual is the master of
his/her own fate and can control and shape future events.
External Locus of Control: Degree of belief that they are pawns in the hands
of their fate, which is controlled by external forces, for example, luck/chance/
coincidence
b. Need Patterns
Extroverts: turn outward, are sociable, lively, tough-minded, tell jokes, enjoy
parties, excitement, are impulsive, like change, care-free, quick-tempered,
active, aggressive, like to interact with others.
d. Authoritarianism
Love authority, rigid, judgmental, deferential to superiors, exploitative to
subordinates, resistant to change, lack of tact/sensitivity/adaptability, etc.
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Personality
f. Self-esteem
g. Self-monitoring
Ability to adjust with external factors. Striking contradictions in public and
private and ability to play multiple/contradictory roles, etc.
i. Risk-taking
j. Work-ethics orientation
Summing Up
Personality is often confused with good looks, but in this chapter we have
seen that it is only one of the attributes of an individual's personality.
Personality is a combination of many factors and qualities in an individual.
The personality of an individual is determined by biological, family, social,
cultural, and situational factors. We have seen in this chapter that the
personality of an employee and organisational behaviour are inter-related.
There are several factors that need to be considered to understand the
individual's behaviour in an organisation which are adequately dealt with in
this chapter.
Self-assessment
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Organisational Behaviour
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Morale and Motivation
Chapter VII
Morale and Motivation
Learning Objectives
Reading this chapter would enable you to understand:
• How morale can affect productivity in an organisation.
Contents
7.1 Morale
7.2 Some Indicators of Morale
7.3 Major Determinants of Morale (Alexander Leighton)
7.4 Some Suggestions to Improve Morale
7.5 Morale and Productivity
7.6 Motivation
7.7 Importance of Motivation
7.8 Mechanism of Motivation
7.9 Motivation and Frustration
7.10 The Basic Theories of Motivation
7.11 Abraham Maslow's Theory
7.12 Frederick Herzberg's 2-Factor Theory
7.13 David McClelland's Theory
7.14 Douglas McGregor's Theory
Summing Up
Self-assessment
7.1 Morale
Why is it that some organisations are successful, while others are not? Why
is it that in some organisations, people seem to be happy, satisfied and
contented with their work, while in spite of all the facilities in some others,
they are not happy? Why is it that there are many people in this world, who
have a lot of money to enjoy material happiness, but who are still not satisfied
and happy? On the contrary, why is it that there are many people, who do not
possess a lot of money, but are still very happy and contented with their
lives?
Why is it that in one organisation, people work sincerely and feel happy in
doing so, while in another, people do not work with interest and satisfaction?
In the ultimate analysis, the former organisation is efficient and effective,
while the latter one is not. It is more important to understand as to ‘Why do
people work?' than ‘Why people do not work?'
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Organisational Behaviour
(Note: The above list is not exclusive/exhaustive and may vary from place to
place)
The following are the suggestions that may help in improving morale.
a. Sound organisation structure
b. Proper manpower planning
c. Systematic and scientific recruitment and selection procedure
d. Appropriate training and development programmes
e. Systematic and scientific performance appraisal system
f. Efficient and effective organisational communication system
g. Sympathetic employee counselling
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Morale and Motivation
Generally, high morale leads to high job satisfaction, which in turn, leads to
high productivity. This means that productivity should always rise as the
morale improves. Morale and productivity are inter-related and inter-
dependent.
7.6 Motivation
In any organisation, people work not only for money, but also for job
satisfaction and happiness. The manager has to communicate and lead and
also motivate his subordinates to work. To a large extent, the success of the
manager's leadership abilities depends upon his ability to motivate his people
to work. Motivation involves: the influence of the leader, the ability of the
follower and the perception of both about each other. Generally, it is observed
that high motivation leads to high job satisfaction and in turn to higher
efficiency.
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Organisational Behaviour
All motivation in life starts with a need, - a need which is not satisfied.
Therefore a feeling of deprivation of a need is the starting point of motivation.
Then, there is an urge to satisfy the need, which results in the drive. Ultimately,
the drive continues to work until the need is satisfied and the 'goal' is achieved.
Every individual carries a set of inner motives and drives which influence
behaviour. Individuals differ not only in their ‘ability to perform', but also in
their ‘will to perform'. Motives are expressed as needs, wants, drives or
impulses within the individual.
Every individual has/should have some goals to achieve. Goals are sometimes
referred to as the rewards hoped for. These rewards can be monetary or non-
monetary incentives, tangible or non-tangible. Managers should be able to
provide an environment in which appropriate goals and incentives are available
to subordinates to satisfy their needs.
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Morale and Motivation
a. Traditional theor y
This theory is based on the research studies of Elton Mayo and Associates at
the Hawthorne plant of the Western Electric Co. near Chicago (US), who
proved that the output of employees does not depend only on extrinsic factors
like working conditions alone, but also on the intrinsic factors of satisfaction
of their social and psychological needs.
Maslow has classified these human needs into five levels. The first
two levels i.e. the physiological needs and the security/safety needs can be
considered as lower order needs, while the next three levels i.e. the social,
psychological and self-actualisation needs can be considered as higher order
needs. The lower order needs are primarily satisfied externally by economic
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Organisational Behaviour
rewards like wages, allowances, perquisites, bonus, etc., while the higher
order needs are satisfied internally through social and psychological rewards
like acceptance by the group or job satisfaction, etc.
The various needs identified by Maslow are not exclusive of each other,
but are inter-related, inter-dependent and overlapping, each higher level
need emerging before the lower level need disappears. There are no
watertight compartments between the needs. When the peak of a need is
passed, that particular need ceases to be a primar y motivator, and the
next higher order need begins to dominate. Thus, it is obser ved that even
if a need is completely satisfied, it still influences the behaviour of the
individual, mainly because of the inter-dependent and overlapping nature
of the various needs. This phenomenon can be shown as follows:
Maslow's theory has received wide recognition due to its intuitive logic and
ease of understanding. However, this model does not take into account the
individual differences in the intensity of the various needs. Subsequent
research in this field shows that differences in castes, creeds, customs,
traditions, religions, languages, education, knowledge, skills, cultures,
attitudes, environment, etc. play a very major role in determining the priority
of the needs of people in different countries.
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Morale and Motivation
According to Herzberg, the Motivational Factors are directly related with the
job itself and therefore are ‘content-oriented'. Their presence highly motivates
the person, but their absence does not cause dissatisfaction. On the contrary,
the Maintenance Factors are ‘context-oriented'. Their presence does not
significantly motivate the person, but their absence can cause dissatisfaction.
Their presence prevents dissatisfaction and maintains a certain minimum level
of motivation. Any reduction in these factors can affect motivation and reduce
the performance level of the person concerned.
Herzberg has made a very valuable contribution in the field of work motivation
and job satisfaction. He has further extended the applicability of Maslow's
theor y to actual organisational situations, drawing the attention of the
managements that they should pay attention to the ‘Motivating Factors' also
along with the ‘Maintenance Factors'. People do not work only for the extrinsic
maintenance factors alone, but also for the intrinsic motivational factors.
Therefore, in modern business organisations, managements should try to
review organisation structures, make job contents more meaningful and
challenging, provide a sense of achievement, give due recognition and
responsibilities.
a. Maslow refers only to the needs or motives; while Herzberg deals with
the goals or incentives.
b. Maslow's hierarchy of needs is sequentially ordered in terms of
importance; while Herzberg's model does not have any sequential
preference.
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Organisational Behaviour
According to David McClelland, there are three types of needs that motivate
a person as follows:
1) Theor y X
a. An average human being has inherent dislike for work and will avoid it,
if he can.
b. Most people lack ambition, dislike responsibility, prefer to be directed
and want, above all, job security.
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Morale and Motivation
b. Theor y Y
Summing Up
High morale, we have seen, leads to high job satisfaction, which in turn leads
to high productivity. To keep morale high, the organisation should make
sure that their staff is motivated.
Motivation is the force that moves a person physically and mentally to achieve
goals. An in-depth study of the several theories of motivation will give ample
insight on how to keep your employees motivated.
Self-assessment
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Morale and Motivation
Chapter VIII
Group Dynamics
Learning Objectives
Reading this chapter would enable you to understand:
• How a group functions in the organisation
Contents
8.1 Inter-personal Relationships
8.2 Approaches to inter-personal relationships
8.2.1 A Needs Approach
8.2.2 An Exchange Approach
8.3 Basis of inter-personal relationships
8.4 The factors influencing inter-personal relationships
8.5 What is a group?
8.6 Why do people join groups?
8.7 Advantages of groups
8.8 Disadvantages of groups
8.9 Stages of group development
8.9.1 Forming
8.9.2 Storming
8.9.3 Norming
8.9.4 Performing
8.9.5 Adjourning
8.10 Characteristics of a group
8.11 Functions of a group
8.12 What is Group Dynamics?
8.13 Important factors of Group Dynamics
Summing Up
Self-assessment
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Organisational Behaviour
the people working in the organisation understand and appreciate the same.
It is also not possible to do so, if there is no co-operation among the employees.
This requires good inter-personal relationships, which are the basis of co-
operation for the achievement of organisational goals.
This approach is based on the observation that there is a Rewards v/s Costs
relationship. This means that individuals consider the cost involved v/s the
rewards in return for maintaining a relationship. In other words, there is an
exchange relationship. The rewards can be in the form of: love, money, status,
information, goods, services etc. while the costs can be in the form of: conflict,
disapproval, criticism, punishment, anxiety, frustration, etc. Life is ‘give and
take’ in organisational behaviour, people subconsciously think of the exchange
value of relationships and continue with the same as long as rewards outweigh
the costs.
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Morale and Motivation
a. Role of parents
Generally, every person spends the first few years with one's parents. During
this period, the child obser ves the way parents interact and behave with
others within the family as well as outside the family. Naturally, one's
behaviour is very highly influenced by one's own parents during the formative
years of life.
b. Self-identity
Every person is different and has an individual identity of his/her own. Self-
identity includes ‘I' and ‘Me'. It is the basis of self-esteem. Self-esteem leads to
self-respect, which is sometimes a barrier. Self-identity plays an important
role in developing inter-personal relationship with others.
c. Communication
d. Basis of attraction
People are attracted towards each other due to various reasons. Children are
attracted due to colours, toys, games and other material things. Teenagers
are attracted towards each other due to hobbies, games, studies, etc. Adults
are attracted mainly due to physical and mental characteristics, similarity of
cultures, customs, traditions, etc. Satisfaction of mutual needs becomes the
basis of mutual attraction.
e. Role of rewards
f. Reciprocity
An informal relationship does not have many strict norms or rules of behaviour.
Probably that is why it is called informal. But, in business organisations, there
are certain norms and rules of behaviour that are important in the inter-
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h. Social intelligence
a. People join groups for the satisfaction of their psychological needs e.g.:
self-esteem, ego, status, attention, recognition, appreciation, etc.
b. People join groups for the satisfaction of their social needs e.g.: affection,
friendship, acceptance, sense of belonging, etc.
c. People join groups for the satisfaction of their security needs e.g.: job
security, family security, property security, etc.
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Morale and Motivation
Groups in an organisation are not formed overnight. They take time depending
upon the organisational structure, organisational culture, number of people
involved, the nature of the task to be accomplished, the complexity of the
job, requirement of special skills, interpersonal communication, etc.
Generally, any group goes through the following stages to form and work:
8.9.1 Forming
8.9.2 Storming
8.9.3 Norming
Once the above two stages are over, members develop a closer relationship.
There is a better group cohesiveness with a sense of group identity. There are
common expectations. In case of any deviation of behaviour by any member,
there is an effort towards correction of behaviour.
8.9.4 Performing
After the forming stage, the group gets ready to perform. It becomes fully
functional and actually performs tasks.
8.9.5 Adjourning
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Organisational Behaviour
a. Organisational policies/strategies
b. Organisational culture
The working conditions of employees have an effect not only on the health
and safety of the employees, but also their morale and motivation. As a result,
this also affects group dynamics.
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Morale and Motivation
e. Limitations to resources
People, machines, tools, equipment and materials are the main resources for
employees to work and produce results. Adequate quantity and quality of
resources help group dynamics to work in favour of efficiency. Otherwise,
group dynamics suffers.
f. Authority-responsibility relationship
g. Organisational communication
High morale leads to high motivation which in turn, leads to high job
satisfaction leading to higher organisational efficiency. This is a chain of actions
and reactions, which affect group dynamics.
i. Inter-personal conflicts
j. Management attitude
Summing Up
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Organisational Behaviour
Self-assessment
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Conflict Management
Chapter IX
Conflict Management
Learning Objectives
Reading this chapter would enable you to understand:
• Conflicts
• How to resolve conflicts
Contents
9.1 Conflict
9.2 Sources of a Conflict
9.3 Factors involved in a Conflict
9.4 Types of Conflicts
9.5 The traditional view of a Conflict
9.6 The modern view of a Conflict
9.7 A functional Conflict (wanted/constructive)
9.8 A dysfunctional Conflict (unwanted/destructive)
9.9 Managing conflicts
9.10 Johari Window
9.11 Conflict resolution outcomes
Summing Up
Self-assessment
9.1 Conflict
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A conflict can arise due to various reasons, e.g. difference between: individual
goals and group goals, individual values and group values, short term planning
v/s long term planning, recruitment v/s promotions, performance appraisal,
lack of communication, leader v/s followers, inter-departmental co-operation
and co-ordination, old methods v/s new methods, traditions v/s systems, etc.
Generally, a conflict arises due to incongruity in:
a. Goals (e.g. individual goals v/s group goals, group goals v/s
organisational goals)
b. Values (e.g. personal values v/s group values)
c. Cognition (e.g. organisational view of employees and vice-versa)
d. Emotions (e.g. IQ v/s EQ of the employees, emotions v/s tasks)
e. Behaviour (e.g. sincere and honest v/s insincere and dishonest)
a. Intra-personal conflict
b. Inter-personal conflict
This type of conflict is seen when two or more individuals having different
family backgrounds, educational backgrounds, work backgrounds interact with
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Conflict Management
each other and when there is a difference between their ideas, opinions, views,
beliefs, perceptions, values, attitudes etc.
c. Intra-group conflict
This type of conflict occurs within a group and is concerned with the group.
In this situation, the group faces a situation in which group members are not
clear about group goals and values. Many times there are differences within
the group about the goals or the means to achieve them. This results in
stress and tension in the group, affecting cohesiveness and co-operation in
the group.
d. Inter-group conflict
This type of conflict is commonly seen between two or more groups whenever
there is a difference between goals, values, views, etc. This is common between
the management and union, two rival groups within a trade union, etc. wherein
there is disagreement between groups. This results in stress and tension
between the concerned groups leading to lack of understanding and co-
operation in organisational activities.
A functional conflict is the one that is based on logical and objective thinking,
application of systematic and scientific problem solving techniques and
consensus decision making in organisations. Therefore, such a conflict can
help communicate decisions accordingly to all concerned and bring about
creativity, innovation and the progress of the organisation in the long run. A
functional conflict is constructive. It supports and organisational goals and
improves the performance of groups.
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Thus, having accepted the fact that in modern organisations conflicts between
people are inevitable, care should be taken that (i) the number of conflicts are
kept at a minimum (ii) conflicts are kept at a functional and rational level and
(iii) conflicts do not hinder overall organisational efficiency and effectiveness.
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Conflict Management
Some of the suggestions for achieving this goal may be summarised as follows:
a. Avoidance
This is the first and perhaps the best way to avoid a conflict. This involves
withdrawal from/suppressing of the conflict.
b. Smoothening
This is the second step, which involves playing down dif ferences and
emphasising common interests between the conflicting parties.
c. Strengthening of resources
This is the third step. In case the conflict is caused due to a scarcity of
resources (e.g. people, machines, materials, etc), strengthening of the
resources can help resolve the conflict.
d. Super-ordinate goals
Sometimes, it is the goals that may cause a conflict. Creating a shared goal
that cannot be attained without the co-operation of each of the conflicting
parties.
e. Problem solving
f. Compromise
h. Authoritative command
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This model was developed by Joseph Luft and Harry Ingham after whom it is
called Johari Window. It is a highly popular framework for analysing the
dynamics of inter-personal behaviour and resolving inter-personal conflicts.
The model is based on the assumption that every individual has 4 quadrants
of his/her personality and all the quadrants need to be considered during
interaction. This model facilitates the understanding of inter-personal
relationships and conflicts in organisational contexts. The model can be
graphically presented as follows:
a. Open Self
In this area, the individual is known to the self as well as to others. This
shows the extent to which two or more persons can give and take, work
together and enjoy common experiences. The larger this area, the greater is
the individual's contact with the real world. Such individuals make good
friends and good leaders. Their social interactions are without any bias or
prejudice. Therefore, interaction is marked with openness and compatibility
with little chance of an inter- personal conflict.
b. Blind Self
In this area, the individual is blind to certain traits/qualities in the self which
are known to others but not to the self. Sometimes, an individual irritates
others unintentionally due to certain blind spots in perception. The individual's
blind spots can be certain weaknesses e.g. bad mannerisms/etiquette, bad
habits, inabilities/incapacities, etc. These can be also some of the strengths
of the individual e.g. aptitudes, talents, potential, communication, forceful,
personality, etc. The individual's usual tendency is to feel good when he realises
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Conflict Management
his blindness about the strengths, but he feels bad when he is told by others
about his weaknesses and he resists to accept the same. This gives rise to
the potential for an inter-personal conflict.
c. Hidden self
In this area, feelings, emotions and motivations are known to the individual,
but not to others. The true feelings and attitude towards others remain a
secret for others. The hidden self corresponds to the closed drawers containing
personal secrets relating to the individual's fears, phobias, troubles, complexes,
etc. which are known to the Individual, but not to others. The individual always
tries to hide them for fear of being exposed and rejected by others. Thus,
there is potential inter-personal conflict.
d. Undiscovered self
Summing Up
Whenever two or more people come together in connection with some work,
there are bound to be differences in opinions, views, ideas etc. Many a times
these differences are not resolved amicably by employees and the management
has to step in. Understanding conflicting situations and resolving them is
very crucial for the management of any organisation. The Johari Window
developed by Joseph Luft and Harry Ingham is a very popular framework for
analysing the dynamics of inter-personal behaviour and resolving inter-personal
conflicts.
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Self-assessment
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Leadership
Chapter X
Leadership
Learning Objectives
Reading this chapter would enable you to understand:
• Various types of leadership
• Team-building
Contents
10.1 Leadership
10.2 Importance of leadership in business organisations
10.3 Evolution of leadership
10.4 Theories of leadership
10.5 The Traits Theory
10.6 Some traits of effective leadership
10.7 The Behavioural Theories
10.8 The Two-Dimensional Model
10.9 Rensis Likert's 4-Systems approach
10.10 The Situational theories
10.11 The Contingency theories
10.12 The Path-Goal theory of leadership
10.13 The Life Cycle Theory
10.14 Autocratic leadership
10.15 Democratic leadership
10.16 Laissez-faire leadership
10.17 Functions of leadership
10.18 What is team-building?
10.19 The main objectives of team building
10.20 The pre-requisites for developing effective teams
10.21 The process of team building
10.22 Characteristics of effective teams
10.23 Values of a team
10.24 Building effective teams
Summing Up
Self-assessment
10.1 Leadership
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A large number of research studies all over the world have shown that like
organisation and management, leadership also has evolved through stages.
Some of the major landmarks in the evolution of leadership may be
summarised as follows:
This is the first stage of evolution of leadership based on authority and power
of the leader. Some of the major features of this stage of leadership are as
follows:
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Leadership
During the last century, different management experts have developed various
theories of leadership.
a. It is a traditional theory
b. It is based on the belief that ‘Leaders are born and not made'
c. It is based on the assumption that physiological and psychological traits
of leaders determine the success or failure of leadership
a. Strengths
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b. Weaknesses
a. Strengths
a. There is consideration for the behaviour of both, the leader and the
followers.
b. There is consideration to both, the tasks and the feelings of the people.
c. There is better planning and delegation of authority.
d. There is better organising and utilisation of resources.
e. There is better team-building and group performance.
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b. Weaknesses
a. Interpersonal relationships vary from time to time and task to task.
b. Organisational Behaviour is also a function of psychological factors.
c. Group Dynamics play an important role.
d. Inter-personal conflicts may affect group performance.
e. Gap in perceptions of the leader and the followers may affect group
performance.
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a. Strengths
b. Weaknesses
a. Directive Leadership
The leader gives directions to the subordinates who know exactly what is
expected of him.
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Leadership
b. Supportive Leadership
c. Participative Leadership
The leader asks for suggestions from subordinates before the decision-making.
d. Achievement Leadership
The leader sets up challenging goals and shows confidence in his subordinates'
ability to achieve goals.
10.13 The Life Cycle Theor y (by Paul Hersey and Kenneth Blanchard)
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Merits
Demerits
Merits
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Leadership
Demerits
Merits
Demerits
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Organisational Behaviour
Task needs
Group needs
a. Setting standards
b. Building team spirit
c. Motivating the group
d. Ensuring communication
e. Training the group
f. Maintaining discipline.
Individual needs
Twenty-five years ago, when companies like Volvo, Toyota, General Foods,
etc. introduced teams in production shops it made news! It is because
nobody was doing it. Today it is just the opposite. The organisation, which
does not use teams, becomes news. Pick up any business periodical today
and you will find how teams have become an essential part of business
organisations like: General Electric, AT&T, Hewlett and Packard, Motorola,
Apple Computers, Shiseido, Federal Express, Chrysler, 3 M, John Deere,
Shenandoah Life Insurance Co., Florida Power and Light, Emerson Electric,
Texas Instruments, Australian Airlines, Johnson & Johnson, Dayton Hudson,
etc. to name a few.
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Leadership
A team is NOT
a. A collection of individuals who happen to have the same work place.
b. A collection of individuals who happen to have the same line manager.
c. A collection of individuals who happen to have the same job in the
same department.
A leader may not possess managerial qualities, but a Manager must possess
leadership qualities to manage his people and tasks in order to achieve desired
results. This is possible only if the manager succeeds in team building.
Therefore, the main objective of leading a group of people in an organisation
is to build effective teams. The other objectives are as follows:
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Summing Up
Self-assessment
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Chapter XI
Stress Management
Learning Objectives
Reading this chapter would enable you to understand:
• What is Stress? Its causes, consequences, sources
• Stress Management
• How to cope with stress ?
Contents
11.1 What is Stress?
11.2 What are the basic causes of stress?
11.3 Sources of Stress
11.3.1 Individual stressors
11.3.2 Group stressors
11.3.3 Organisational stressors
11.4 Physiological consequences of stress
11.5 Psychological consequences of Stress
11.6 Stress management
11.7 Coping with stress
11.7.1 Individual strategies
11.7.2 Organisational strategies
Summing Up
Self-assessment
Stress means different things to different people. Doctors talk about stress in
terms of psychological mechanisms, engineers in terms of load bearing,
psychologists in terms of behavioural changes, etc. Stress is not simply
anxiety. It is accompanied by anxiety. Some people exhibit stress, while some
people keep it ‘bottled up' and do not reveal it. Stress is a natural and an
inevitable part of life. Stress can be prevented, and if not prevented, has to be
managed properly.
The word stress seems to have originated from the French word ‘destresse'
which means ‘to be placed under narrowness or oppression'. In its middle
english form, it was therefore ‘distress' and over the centuries the ‘di' was
lost through slurring, leaving us with the two words: ‘stress' and ‘distress'
which mean something ambivalent and unpleasant, respectively.
At one end of the scale, stress represents those challenges, which excite us
and keep us on our toes. At the other end of the scale, stress represents
those conditions under which individuals have demands made upon them,
which they cannot fulfil and which lead to a breakdown. Thus, at one end,
stress is a life-saver, while at the other end it is a life-destroyer.
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Stress Management
Stress can manifest itself in both a positive and a negative way. Stress is said
to be positive when the situation offers an opportunity to gain something.
Eustress is positive stress, which is often a motivator since it helps the
individual to achieve peak performance. Distress is negative stress when it is
associated with a host of physiological, psychological and other behavioural
problems.
On the contrary, there are people who seem to have the ability to adjust, cope
with and to stay in control of their workload and also to handle job frustrations
without becoming worn-out, irritable or depressed. These people have an
ability to handle stress, having ways of taking the rough with the smooth,
keeping a sense of humour, and renewing their energy and resources so that
work life brings pleasure, satisfaction and reward to them as well as to others.
Stress is always associated with ‘demands' and ‘constraints'. When they are
coupled with uncertainty of the outcome, potential stress becomes an actual
stress. For many professions, stress is intrinsic to the job itself, where
competing demands and pressures cannot be escaped.
b. Personal capacities
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When the demand is way below the capacity, we may feel under-stimulated.
When the demand is way above the capacity, we may feel over-stretched.
Managing stress is to balance between external demands and your personal
capacity to cope with them.
At times, the sheer volume of work can be overwhelming. Many times too
much of stress can have serious consequences for the individual. It can develop
into a living nightmare of running faster and faster to stay at the same place,
feeling under-valued feeling unable to say ‘No' to any demand and not working
productively.
There are many sources of individual stress. Some of them are ‘on-the-job'
while some others are ‘off-the-job'. The sources of personal stress may vary
from person to person and time to time. But, organisational stress comes
from some common sources. In order to be successful in managing day-to-
day stress, it is necessary to understand the major sources of stress, which
can be broadly classified as follows:
a. Individual stressors
b. Group stressors
c. Organisational stressors
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Stress Management
The body's reactions to stress-demands are useful. They gear up the body
to respond to challenges, either by standing firmly on the ground and
hitting back hard or by prompt and strategic withdrawal. This is called
the ‘Fight' or ‘Flight' response, which happens automatically. The human
body has evolved over thousands of years to meet external threats and
challenges. Some of the common physiological consequences of stress
may be briefly summarised as follows:
a) Short-term ef fects
a. Speeding up of reflexes
b. Improved performance
c. Increased muscle function
d. Lower load for the digestion system
e. Stomach troubles
f. Cooling of muscles
g. Increased breathing rate
h. Reduced sensitivity to minor injuries
i. Reduction in allergic reactions
j. Reduced sexual desire/activity
b) Long-term effects
a. Loss of weight
b. High/Low Blood pressure
c. Delayed blood clotting
d. Cardiovascular disorders
e. Arteriosclerosis
f. Exhaustion
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g. Heart attack
h. Diabetes
i. Damage to the kidneys
j. Lower resistance of the immune system
k. Depression in sensory perceptions/responses
l. Impotency/Sterility
a) Cognitive effects
a. Decrease in concentration resulting in diminishing powers of
observation,
b. Increase in distractibility resulting in loss of the thread of the thinking
process,
c. Deterioration of memory in the short, as well as long term reducing
the span of the memory for recalling and recognition of even familiar
things,
d. Reduction in the response speed,
e. Increase in error rate resulting in snap and hurried decisions and errors
in manipulative and cognitive tasks,
f. Deterioration in planning and organising, disabling the mind to assess
accurately existing and future conditions,
g. Increase in delusions and thought disorders resulting into reduced,
powers of objectivity, reality testing and a confused thought process.
b) Emotional effects
c) Behavioural effects
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Stress Management
a. Mobilisation
b. Knowledge
Knowledge of the problem and the sources of stress is the key to stress
management. It is said that ‘a problem well-defined is half-solved'. We must
ask ourselves: What is the real problem? What are the stressors? What is
the main source of stress? Are those unmanageable? What must be done
about them? What is preventing me from doing something about the
excessive stress?
c. Action
This is the final stage in stress management. If things which are preventing
us from doing them, are within our control, we have to decide whether the
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a. Time management
Most of us are poor in time management with the resultant feeling of work
overload, skipping schedules and the attendant tension. The truth is that, if
we can manage our time efficiently and effectively, we can accomplish twice
as much as we can otherwise. Some of the basic principles of time management
are:
a. Preparing a list of the daily activities to be attended to,
b. Prioritising the activities as per their importance and urgency,
c. Re-scheduling activities as per priorities,
d. Following up the schedule of activities for early completion,
e. Checking up activities and taking corrective actions (if necessary).
It is observed that effective time management results in: better physical health,
better mental health, relaxed feeling in action, higher motivation and
enthusiasm, higher efficiency, better job satisfaction, etc.
b. Physical exercise
It is rightly said that ‘there is a sound mind in a sound body '. Physical exercise
at any age is a must. It helps people to cope with stress. It is for this reason
that people of all ages are seen taking a morning walk, jogging, swimming,
playing outdoor games like badminton, tennis, etc.
c. Relaxation
There are many ways of relaxation at the end of a hectic day of work and
stress. We can relax through meditation, hypnosis, biofeedback, yoga, etc.
Whatever the method, the main objective is that one must be deeply relaxed,
where the person feels totally relaxed from body sensations. At least 15 to 20
minutes a day of deep relaxation releases tension and provides a pronounced
a sense of peace of mind. This practice causes significant changes in blood
pressure, heart rate, sleep, concentration, memory, etc.
d. Social support
Man is a social animal. After the basic needs and security needs are satisfied,
an individual needs social support with a sense of belonging. It is observed
that social support plays an important role in relieving stress of the individual,
because the person gets friends, colleagues, listeners, and confidence builders
who help in networking and thus relieving harmful stress. This also helps to
control the ill effects of stress, by virtue of giving vent to one's feelings,
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Stress Management
emotions, fears and frustrations to others, who can understand and possibly
try help him/her out.
e. Yoga
Yoga is said to be the most effective way to relieve stress. Yoga has been used
in many countries for centuries. There are many different aspects of Yoga,
which are said to be ver y useful to manage work-stress. However, it is
advisable that Yoga and Meditation should be followed under expert guidance
for the maximum benefits for reduction stress.
a. Organisational Structure
b. Organisational Communication
d. Recruitment/Selection/Placement
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Organisational Behaviour
f. Performance Appraisal
g. Employee Counselling
Employee counselling, if properly done, can yield very good results not only
in terms of reducing employee stress, but also in terms of improvement in
overall organisational productivity.
Summing Up
In a highly complex and demanding world today, most people are highly
stressed. The causes of stress are physical and often psychological. Stress
can manifest in many ways. For some it causes sleeplessness, in others
headache, loss of appetite, high blood pressure, loss of memory, etc. It also
leads to irritability and low self-esteem.
It is very important to know how one can cope with stress. There are individual
and organisational strategies. A careful study of these strategies can sufficiently
arm you to manage stress in your personal and professional life.
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Self-assessment
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Annexure I
Case Study I
It's Thursday afternoon, and you are at a staff meeting held to discuss the
development of a new product. It will require a major investment in terms of
equipment and production facilities, so the conversation is quite intense. As
usual, Mr. Joshi and Mr. Kulkarni, two officers in the product development
division have totally opposite views on the issue.
“I don't know”, says Joshi, “it's a big chunk of money, and market research on
product acceptance is pretty high.”
The discussion continues, with Joshi urging caution and Kulkarni pushing
for boldness. You have withnessed this same scene over again, to the point
where you can now predict the exact lines Joshi and Kulkarni will utter. As
you sit listening to their statements, you begin to ponder the basic difference
between them. Why is Joshi so conservative and cautious, while Kulkarni so
bold and daring? What makes them see the world through such different
eyes? You continue thinking about questions as the meeting drags on and on,
and on…..
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Annexure
Annexure II
Case Study 2
“Oh no”, you think as you look up from your desk. “It's Ajay Godbole. Here
comes trouble”. Unaware of your thoughts, Ajay greets you with a big smile.
“Hello Vijay”, he says cheerfully, “how is my favourite engineer today?”
For a couple of minutes, you and Ajay exchange small talk and then, finally,
he comes to the point. “Look Vijay, I need your help. We are way behind on
that Satara project. How about sending Deshpande, Gandhi and Dalvi to join
our group for a couple of weeks?'’
You are shocked; what a request; “Oh no, Ajay,’’ you reply. “I can't possibly
spare them now. You know this is the peak of our busy season!”
“Well,” he says, “If you can't spare all three, how about Gandhi for just a
couple of days?”
You experience great relief. This is more like it. “O.K.” you mumble without
much enthusiasm. “I guess we can spare him. But just for a couple of days”.
At these words, Ajay smiles, says “thanks”, and beats a hasty retreat. After
he leaves, you sit quietly for a moment. Then all at once, it hits you : he has
done it again ! When will you ever learn ? Ajay sets you up beautifully with
him “ask for a lot, settle for a little” tactics. (Just how many ways does he
know of getting what he wants). You certainly haven't seen the limit yet !
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Annexure III
Case Study 3
Today marks the end of your first month in a new job. Just six weeks ago, you
accepted a position with a large public sector company, one that is well known
in the Mumbai-Pune industrial area- and as you ease into your company bus
on the national highway and head for home, you find yourself thinking about
your new position. In some ways, it has turned out just as you expected. Your
salary is high, and the company's brand new headquarters are very pleasant.
But looking back over your first month, you realise that there have been some
real surprises, too. A major one occurred during your first staff meeting.
Several issues were discussed and, at one point, you described a decision you
had reached on handling a special problem. To your surprise, the meeting
ground to a halt and everyone stared at you in disbelief. Finally, after an
uncomfortable pause, the Divisional Manager set you straight, “listen, Joshi,
we don't do things that way around here. First we discuss the matter in the
staff meeting and prepare a proposal which is agreed collectively, then we
forward such a proposal for approval to the Deputy General Manager. After
his approval it is sent to the General Manager and the G.M. further sends it
to the Executive Director. When the E.D. accepts the proposal, it is submitted
to the Chairman and Managing Director.Decisions are taken only in this
manner. This is called sending your proposal through the proper channels.’’
In other companies where you have worked, you had sufficient freedom and
authority to take decisions and implement these as early as you wished. In
this new company, you have to explain the situation in detail and the reasons
for your decision. You have to submit the same before a committee and if it is
accepted by the members of the committee, it is processed further to take
the approval of highest authority. This is a new pattern for you and will certainly
require some adjustment. In short, you have discovered that working for a
Public Sector Company really is different. But are you going to like it over a
long haul? Can you adjust to this different work culture. You are still pondering
over such questions as you turn into the driveway of your home.
90/MITSOT
Annexure
Annexure IV
Case Study 4
On Tuesday morning Mr. Pai, the Divisional Manager, told Ashish, “find out
how many people work in our Pune branch. I know the President would want
to know this during our meeting on Friday, and I want to be prepared”.
Shweta on the other hand informed Mr. Rajesh, the branch manager, Pune
branch that the President wants personnel records of all the branch employees
to be sent to the Divisional office at the earliest.
Within half an hour, a team of seven members started working on the assigned
task. The team worked overtime and the very next day that is Wednesday
afternoon, the data arrived at the Divisional office in two large boxes sent by
special courier.
Mr. Pai was astonished to see the arrival of this consignment; he only wanted
Ashish to let him know the total number of employees in Pune, which is
around three hundred fifty six. The original query was turned into a huge
project involving many people.
91/MITSOT
Organisational Behaviour
Annexure V
Case Study 5
A few weeks later the HR Manager, Mr. Salunke heard through grapevine
that Mr. Gaikwad has actually taken leave to work for another construction
project at Satara. The grapevine report also stated that Gaikwad was earning
some extra money on this electrical project, which was higher than his present
regular earning.
His act of taking leave for personal reasons and working for another
organisation for any hidden purpose was contrar y to the contract of
employment with the Horizon Construction Company, and the penalty for
such an act could lead to his dismissal.
Mr. Salunke investigated the case in person and ensuring that the grapevine
information was correct, he dictated a “Notice of hearing concerning dismissal
action” to his secretar y, and this was to be mailed to Mr. Gaikwad by
Registered Post to his local residence.
The same night, Mr. Gaikwad called Mr. Salunke up at his residence and told
him that he had heard of the notice of dismissal being sent to him, he was
not aware of the legal implications, and he actually did the additional job to
get some extra money which he needed. If under the contract of employment,
this was not acceptable, he would be willing to join back immediately and
didn't want to lose his permanent job.
Mr. Salunke on the other hand pressed Mr. Gaikwad to tell him how he knew
about his dismissal notice. Mr. Gaikwad said that his wife had called him
that evening and told him that at the local supermarket, the mother of their
friend's son had told her about this dismissal order.
1. Can you trace any evidence in this case that both the management and
employees make use of the grapevine for their own benefit? Discuss.
2. If you were in Mr. Salunke’s place, would you be able to suppress such
grapevine leaks.
3. What action should Salunke take in this case ? Discuss.
92/MITSOT
Annexure
Annexure VI
Case Study 6
The key of the success of his department is dependent upon the motivation of
his subordinates and Nikhil needs to ensure that his subordinates are highly
motivated. He, on his part has decided to proceed systematically and as a
first step, he has prepared a brief summary profile on each of these four
subordinates.
Rahul is the type of employee who is rather hard to figure out. He has a
higher than average record of absenteeism. He enjoys family life enormously
and his wife and their only son are central to his life. He is of the opinion that
what the company can offer him does not inspire him at all. He sincerely
believes that the job is simply a means of financing his family's basic needs
and nothing more than that. Overall, Rahul does an adequate job and is very
conscientious, but all attempts to get him to do more have failed. He has
personal charm and his nature is friendly and sociable. He is so far allowed to
have his own way as long as he meets the minimal standard of performance.
Anil is in many respects the opposite of Rahul, He has good interpersonal
relationships and is liked by others. Unlike Rahul he responds well to the
company's rules etc. He maintains a high degree of loyalty to his organisation.
His greatest drawback is that he lacks initiative. He does not tend to do
anything independently. He does well whatever has been assigned to him, but
is neither creative nor dependable on his own. He is unable to maintain good
interpersonal relationships, as he is shy and not very assertive when dealing
with people outside the department. He constantly needs the assurance and
support of his seniors to confirm that his actions are correct.
Rakesh is very assertive and known for his ‘‘job-hopping tendencies.” Money
motivates him and he is always ready to change his job for a rise in his income.
Otherwise he really works hard for the company and expects that the company
should fulfil his desire for money. In his present job he will happily work for
even sixty hours a week if he is compensated well with money. Despite having
the burden of his own family and ailing parents, he once left his job suddenly
only due to a dispute that he was not given a salary rise as per his desire.
Rakesh has a forceful and driving personality. His former employer remarked
that while he performed excellently in his job, he was arrogant, adamant and
argumentative and so was happy to get rid of him. The previous boss also felt
that Rakesh never seemed to be satisfied and was always interested more in
fringe benefits.
93/MITSOT
Organisational Behaviour
Rajani is creative, artistic and a genius. On the other hand she is excessively
emotional. She consistently and constantly craves attention and demands praise
from others. She is highly self-centred and strives for instant gratification of
her needs and desires. She talks only about herself. She bears an exaggerated
sense of self-importance and tends to live in a dream world. As long as others
praise her, she disposes with innovative and creative ideas. She likes to grab
all the credits for every success and in case of any failure she tries to push the
responsibility on to other colleagues. It is difficult for other people to get
along with Rajani especially when she is not made the focus of their attention.
Rajani lacks a sense of humour and has sharp up-swings and down-swings to
her moods. Her moody temperament heavily af fects her day-to-day
performance.
1. In accordance with the above profiles of the four employees, how should
Nikhil proceed further in his task and keep his subordinates highly
motivated.
2. Explain all the four employees’ motivation in terms of various models
of motivation.
3. What long-term plans can you suggest to Nikhil for motivating all these
four subordinates?
4. Suggest a suitable name to the case.
94/MITSOT
Study Questions
Study Questions
Chapter I
Organisational Behaviour
Chapter II
Approaches and Models of Organisational Behaviour
Chapter III
Organisational Design and Culture
Chapter IV
Perception and Values
Chapter V
Attitude
95/MITSOT
Organisational Behaviour
Chapter VI
Personality
Chapter VII
Morale and Motivation
Chapter VIII
Group Dynamics
Chapter IX
Conflict Management
1. Define conflict and explain its sources.
2. What are the various types of conflict?
3. Explain various methods of managing conflict.
4. Describe the Johari Window and explain how it resolves interpersonal
behaviour.
5. What are the various factors that are involved in a conflict? Explain.
96/MITSOT
Study Questions
Chapter X
Leadership
Chapter XI
Stress Management
1. What is stress? Explain various sources of stress.
2. Explain the physiological effects of stress.
3. Describe the psychological effects of stress.
4. What are the individual strategies in managing stress?
97/MITSOT
Organisational Behaviour
Answers to Self-assessment
Chapter I
Organisational Behaviour
a.
1. people
2. thought process
3. interdependent
4. human resources
b.
1. false
2. true
3. true
4. true
5. true
6. true
7. false
Chapter II
Approaches and Models of Organisational Behaviour
a.
1. resources, commodities
2. authority
3. caused
4. leadership
b.
1. true
2. true
3. false
4. True
Chapter III
Organisational Design and Culture
a.
1. top, bottom
2. organisation chart
b.
1. true
2. true
3. False
98/MITSOT
Answers to Self-assessment
Chapter IV
Perception and values
a.
1. perception
2. personality
3. continuous
4. Intensity
5. Instrumental
b.
1. false
2. true
3. false
4. true
5. false
Chapter V
Attitude
a.
1. feel
2. balance theory
3. attitude
4. Affective
b.
1. true
2. false
3. true
4. true
5. false
Chapter VI
Personality
a.
1. A custom
2. type A
3. Self-monitoring
4. Extremity
b.
1. true
2. false
3. true
4. false
99/MITSOT
Organisational Behaviour
Chapter VII
a.
1. morale
2. group
3. Goals
4. five
5. content-oriented
b.
1. true
2. false
3. true
4. false
5. true
Chapter VIII
Morale and Motivation
a.
1. democratic
2. motivation
3. needs
4. time
5. Liberal
B.
1. true
2. false
3. true
4. true
5. false
Chapter IX
Conflict Management
a.
1. objective
2. natural, inevitable
3. inter-personal behaviour
b.
1. true
2. false
3. True
100/MITSOT
Answers to Self-assessment
Chapter X
Leadership
a.
1. coercive
2. Ordway Tead, Chester Bernard
3. autocratic
b.
1. false
2. true
3. true
Chapter XI
Stress Management
a.
1. Eustress
2. demands, constraints
3. stress
4. positive, negative
5. personal
b.
1. true
2. true
3. false
4. true
5. false
101/MITSOT
Organisational Behaviour
Further Reading
102/MITSOT