Fundamentals of Organizational Behavior and Environment

Indicative Questions (Module-A)

1. What do you mean environment of an organization?

2. Describe the elements of external and internal environments?
3. Describe the influence internal and external environment on business?
4. Different between the external and internal environment?
5. “People need organization and also organization need people” describe.
6. “Organization is social system” described.
7. What do you mean by formal organization and informal organization? What are the
weaknesses of informal organization? Is informal organization necessary? Give reasons.
8. Explain how an informal organization affects an organization both favorably and
adversely. Is informal organization is necessary? Give reasons for your answer.
9. What are key forces of Organizational behavior? As a unit manager of X Bank how can
you apply these forces?
10. Describe in brief the fundamental concepts those are the basis of Organizational
Behavior. Have these concepts applicability in the context of Bangladesh? Justify your
answer.
11. Discuss the key forces of Organizational Behavior. Among the key forces which one is
the most important force? Give reasons for your answer.
12. Briefly discuss the models of organizational behavior. How do you find their
applicability in Bangladesh?
13. What is meant by quality of work life? How can you improve the quality of work life?
14. Define the behavioral approach of leadership style. Which one among them do you think
best for the organization?

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1. What is the environment of an organization?
An organization's environment includes all the internal and external factors that affect its
operations and performance. Internal factors include the organization's structure, culture,
leadership, and resources. External factors include the economy, technology, political
and legal factors, customers, and competitors. Understanding and adapting to the
environment is essential for an organization's success and sustainability. There are to
type of organization environment:
1. Internal environment
2. External environment

2. Describe the elements of external and internal environments?

Elements of Internal environments:
1. Organizational culture: The shared values, beliefs, and behaviors that shape the
way things are done within an organization.
2. Leadership style: The way in which leaders interact with their team members and
make decisions.
3. Companystructure:Theformalandinformalorganizationofdepartments,reporting
lines, and decision-making processes.
4. Employee morale: The overall satisfaction of employees with their work and the
workplace environment.
5. Communication:The flow of information through out the organization and how it is
perceived and acted upon by employees.
6. Policies and procedures:The formal rules and guide lines that govern how work is
done and how employees should behave.
7. Resources: The physical, financial, and human resources that are available for the
organization to use in achieving its objectives.

8. Technology: The tools and equipment used to support business operations and
communication within the organization.
9. Organizational strategy: The plan for achieving the organization's goals and
objectives over the long term.
10. Corporate social responsibility:The extent to which the organization considers the
impact of its actions on the community and the environment.

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Elements of external environment:
1. Economic factors: Such as inflation, interest rates and unemployment levels.
2. Political factors: Including government policies and regulations, trade agreements,
and geopolitical tensions.
3. Technological factors: Such as advances in automation data analytics and digital
communication.
4. Social factors: Including demographic changes, consumer trends, and cultural shifts.
5. Environmental factors: Such as climate change, natural disasters, and sustainability
concerns.
6. Legal factors: Including changes tolab or laws, taxation policies, and intellectual
property rights.
7. Competitive factors: including the actions of rival businesses, industry trends, and
market saturation.

3. Describe the influence internal and external environment on business ?

Influence of Internal and External Environment on Business
1. Internal factors: Such as organizational culture, management style, and employee
attitudes, can influence the overall performance of a company.
2. External factors: Such as market trends, competition, and government regulations,
can impact a business's operations and profitability. Understanding and adapting to the
internal and external environment can help organizations maximize their potential and
achieve their goals.
Significance of Internal and External Environment on Business:
Knowledge of the environment helps managers identify the direction to which they should
proceed. Without an understanding of the environment, managers are like a bicycle without a
handle bar no way of maneuvering while riding on a street. Managers can isolate those factors,
especially in the external environment, which are of specific interest to the organization.
Managers can take preparation to deal with a predicted crisis in any of the factors in the
environment. They can develop crisis plans for overcoming crises that affect an organization.

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4. Different between Internal and External Environment:
InternalEnvironment ExternalEnvironment
1.Meaning All those factors that are present All those factors that are present
within the organization and outside the organization and which
have a direct impact on its do not directly influence its
operations. Operations.
2.Control Internal factors can be External factors cannot be
Controlled by the organization Controlled by the organization.
3.Offers Strengths and weaknesses Opportunities and threats
4.Effect of Specific to the organization Industry-specific
changes
5.Impact on the Affects the operations, decisions Affects the operations, decisions and
organization and objectives of the objectives of the organization
organization
6. Resources Physical, financial, human and Micro and macro environment
Included Technological resources

5. Discuss Organization need people and People also need Organization?

Importance of People in Organizations: Organizations need people to achieve their
goals and objectives. People bringin skills, knowledge, and expertise to the organization.
Importance of Organizations for People: People also need organizations to fulfill
their career aspirations. Organizations provide opportunities for growth and
development.

6. Define an organization is a social system?

Definition: An organization is a social system made up of individuals who work together
to achieve common objectives. Just like any other social system, an organization is
characterized by complex relationships, formal and informalstructures, and various
levels of power and influence. Understanding the social dynamics of an organization is
crucial for effective management and successful outcomes. Key elements include
organizational culture, communication networks, leadership styles, and group dynamics.

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7. What do you mean by formal organization and informal organization? What are
the weaknesses of informal organization? Is informal organization necessary? Give
reasons.
Ans:
Formal Organization:
Formal organizations are structured groups with defined roles, responsibilities, and rules.
They often have a hierarchical structure, with clear lines of authority and
communication. Formal organizations can be businesses, government agencies, or non-
profit organizations. The goals and objectives of a formal organization are usually
clearly defined and established. Individual employees are expected to adhere to policies
and procedures, and there are usually consequences for not doing so. Formal
organizations are often more rigid in their decision-making processes, but they can also
be more efficient and effective in achieving their goals.

Informal organization:
Refers to the relationships, communication and interactions that arise among employees
outside of the formal hierarchy of an organization. Can have a significant impact on the
culture and productivity of a workplace. May form around shared interests, common
goals or unofficial leaders. Examples include social groups, informal networks and
unspoken rules or norms within a workplace. Effective management should recognize
and utilize the benefits of informal organization, while also addressing any negative
effects it may have on the workplace.

Informal organization is a type of organization which is not established by any formal

authority but arises from the personal and social relationship of the people.

Weaknesses or disadvantage of informal organization

1. Disobedience:
2. Creation of Pressure
3. Change of Prevent
4. Less Discipline
5. Lack of Stability

There are also some disadvantages. The discussion of these difficulties is given below:
1. Disobedience: Sometimes informal discussions encourage disobedience in subordinates. It
brings more harm than good.

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2. Creation of Pressure: These organizations often create unfair pressure on the authorities to
save the interests of factions.

3. Obstacles to achieving goals: Sometimes the objectives of informal organizations and those
of formal organizations conflict.

4. Prevent to change: If there is a need for any change in the organizational structure, the
informal organization prevents it. As a result, the organization fails to achieve its goals.

Informal organization has both advantages and disadvantages. But if the executives can align the
goals of the organization with the activities of these organizations, then the organization can
achieve greater benefits. So executives should always proceed very carefully analyzing the
dynamics of informal organizations.

Is informal organization necessary? Give reasons:

First, it provides a source of friendships and social contact for organization members. Second,
the interpersonal relationships and informal groups help employees feel better-informed about
and connected with what is going on in their firm, thus giving them some sense of control over
their work environment. For this reason, it’s very important for an organization because It help’s
to build a formal organization.

Advantages of Informal Organization: Advantages of informal organization are discussed

below:

1. Group of Unity: The group spirit that arises from informal organizations often has a favorable
effect on the activities of the organization. Motivated by team spirit, they can contribute to the
overall improvement of the organization by working together.

2. Agreement Creation: Informal organizations create an impression of organization in the

minds of employees. In this they provide commitment to achieve the goals of the organization.

3. Progress of Relation: Many times officials and workers at different levels of the organization
meet informally. There is an exchange of feelings between them. As a result, the level of
misunderstanding is reduced and the development of human relations is greatly improved.

4. Power growth: Threr is an opportunity for subordinates in organizations to approach senior

executives rank make no barrier. As a result, the morale of the employees increases.

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5. Inter- personal Communication: It provides opportunities for interaction between different
levels of employees. As a result, a cordial relationship develops between them through sincere
exchange of ideas. Which helps in interpersonal communication.

At the end we say informal organization are necessary because an informal organization
establishes formal organization.

8. Explain how an informal organization affects an organization both favorably

and adversely. Is informal organization is necessary? Give reasons for your
answer.
Ans:

Informal organization is a type of organization which is not established by any formal authority
but arises from the personal and social relationship of the people. It refers to the relationship
between people in the organization based on personal attitudes, emotions, prejudices, likes,
dislikes etc.
Benefit/Advantage:
Informal organizations create a unique challenges and potential problems for the management.
They also provide a number of favorably/benefit in different ways of the organization this are as
follows:
1. Group of unity: The group spirit that arises from informal organizations often has a
favorable effect on the activities of the organization. Motivated by team spirit, they can
contribute to the overall improvement of the organization by working together
2. Social Relation: Informal organizations create a misapprehension of organization in the
minds of employees. In this they provide commitment to achieve the goals of the
organization.
3. Source of Structure: The creation of such an organization from some elements of the
organization. Such elements are customs, communication etc. When all these elements of
the social group are favorable, the organization is formed. The organization's rules and
procedures are also made on the basis of these materials
4. Part of Organization: An informal organization is a part of the larger core organization.
This organization was formed to accelerate the implementation of the general principles
of formal organization

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 5. Progress of relation: Many times officials and workers at different levels of the
organization meet informally. There is an exchange of feelings between them. As a result,
the level of misunderstandings is reduced and there is considerable improvement in the
development of human relations.
6. Power growth: Such organizations allow subordinates to approach senior executives.
Rank is no barrier. As a result, employee morale increases

Disadvantages:
Informal organizations also possess the following potential disadvantages and problems that
require astute and careful management attention.

1. Disobedience: Sometimes informal discussions encourage subordinates to disobey. It

brings more harm than good
2. Creation of Pressure: These organizations often create unfair pressure on the authorities
to save their factional interests
3. Barriers to achiveing goals: Sometimes the objectives of informal organizations and those
of formal organizations conflict. Bad things happen more than good.
4. Prevent of Change: If there is a need for any change in the organizational structure, the
informal organization prevents it. As a result, the organization fails to achieve its goals

Important/Necessary of Informal Organization:

An informal organization born spontaneously when workers interact with each others on a
regular basis. Moreover, informal relationships often develop based on social relationships, staff
needs, natural structure, etc. For a concern informal organization are important.
1. Social Relation: This organization is formed as a result of the mutual relationship of the
employees of the organization. The stronger the relationship between the workers, the
stronger the foundation of the organization. As a result, claim collection is accelerated. The
members of this organization are organized without regard to the formal organization.
2. Small and Temporary: Informal organizations are smaller in size than the main
organization. This organization is not sustainable if its objectives are achieved. And because
of this, the policy of the organization, the leadership becomes unstable.

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3. Sources of Structure: Creation of such an organization from some elements of the
organization. Such elements are customs, communication etc. When all these elements of the
social group are favorable, the organization is formed. The rules and regulations of the
organization are formulated on the basis of these elements.

Formal organization originates from the set organizational structure and informal organization
originates from formal organization.
For an efficient organization, both formal and informal organizations are required.
Formal organization can work indecently. But informal organization depends totally upon the
formal organization.
Finally informal organization is very important for formal organization. It helps to established
the formal organization.

9. What are key forces of Organizational behavior? As a unit manager of X Bank

how can apply these forces?
Ans:

Organizational behavior
Organizational behavior describes how people interact with one another inside of an
organization, such as a business. These interactions subsequently influence how the organization
itself behaves and how well it performs.

Organization behavior is a way of thinking a way of conceiving problems and articulating

research and action solutions

Factors Influencing Organizational Behavior:

1. People: People make up the internal social system of the organization. That system
consists of individuals and groups and groups may be large and small, formal and
informal.

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 2. Structure: The structure defines the formal relationship and use of people in the
organization.
3. Technology: Technology provides the resources with which people work and affects the
tasks that they perform. The great benefit of technology is that it allows people to do
more and better work.
4. Environment: All organizations operate within an internal and external environment. A
single organization does not exist alone. An organization is a part of a larger system that
contains many other elements, such as the government, the family, and other
organizations.

A unit manager of X Bank how can you apply these forces:

No organization can survive in isolation. Every organization has to operate between internal and
external environment. In order to maintain a sound organizational environment, one needs to
keep a close eye on the dynamics of the internal and external environment. The Unit Manager X
Bank has to interact with superiors, subordinates, peers and colleagues in the work environment.
And among them the manager is the keeper of the connections. An organization is a part of a
system, the components of which are government, family and other organizations. All these
elements influence each other in a complex system. No organization like a X bank is free from
the influence of such external and internal environment. All these environments influence the
attitude of employees and work environment. Therefore, human behavior must be taken into
account when reviewing the organization of environmental elements.

Finally, the various elements or forces mentioned influence organizational behavior. Therefore,
for the explanation and analysis of organizational behavior, the relationship between people,
structure, technology and environment must be developed. It will be possible to perform
organizational functions by increasing the welfare of people.

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10. Describe in brief the fundamental concepts those are the basis of Organizational
Behavior. Have these concepts applicability in the context of Bangladesh? Justify
your answer.
Fundamental concepts of Organizational Behavior:
The fundamental concepts of basic organizational behavior are as follows:
1. Individual difference: The idea of individual differences comes originally from
psychology. From the day of birth, each person is unique, and personal experiences after
birth tend to make people even more different.
2. Perception People’s perceptions are also different when they see an object. Two people
can differently present the same object. And this is occurring in their experiences
3. Motivated Behavior: An employee has so many needs inside him. So, they want to
fulfill those needs. That’s why; they had to perform well in the organization.
4. Desire for Involvement: Every employee is actively seeking opportunities to work to
involve in decision-making problems. They hunger for the chance to share what they
know and to learn from the experience.
5. Value of the Person: An employee wants to be treated separately from another factor of
production.
For this reason, they want to be treated with carrying respect, dignity, and other things by
their employers and society.
6. Human Dignity: This concept is very philosophical. Every person needs to be treated
with dignity and respect, whether it’s the CEO of the company or labor.
7. Organization and Social System: we learn that organizations are social systems;
consequently, activities therein are governed by social laws as well as psychological
laws. Just as people have psychological needs, they also have social roles and status.
8. Mutual of Interest: Mutual interest is represented by the statement that organizations
need people and people also need organizations.

Applicability in the context of Bangladesh:

Human resource is an essential element in an organization. In addition to people, organizations

have structures, technologies, processes and functions. Again, individuals have aspirations,
personalities, values, frustrations, anxieties, etc. Apart from that, the relationship between person
to person, person to group relationship, internal conflict, group dynamics etc. also exist in the

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organization. Organizational behavior on the one hand analyzes the human aspects of people as
well as regulates their behavior, studies, guidance.
The concepts of organizational behavior are very important to run the formal and informal
organization.

11. Discuss elaborately the key forces of Organizational Behavior. Among the key forces
which one is the most important force? Give reasons for your answer.
Ans:
Organizational Behavior:

Organizational behavior refers to the study of how people behave within an organization.
Organization behavior deal with the clinical assessment of behavior of people of the
organization. It is such as discipline which provides the organizational behavior list to find out
some ways and means with a view to establish acceptable behavior.

Key topics in organizational behavior include motivation, communication, leadership, and

teamwork.

Key Forces/Basis of Organizational Behavior

1. Leadership: The way that leaders interact with employees can drive or hinder
organizational performance and outcomes.
2. Communication: Effective communication is essential to building trust, collaboration,
and innovation within an organization.
3. Culture: The shared values, beliefs, and norms within an organization can influence
employee behavior and decision-making.
4. Diversity: Organizational diversity can enhance creativity and problem-solving, but it
requires a commitment to inclusion and equity.
5. Technology: Technological advancements can transform organizational processes,
structures, and even business models.
6. Globalization: Globalization brings unique opportunities and challenges for
organizational behavior, including cross-cultural communication and adaptation.

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 7. Ethics: Ethical considerations are important to how an organization operates, including
employee behavior and external relationships.
Which one is the most important force?
Leadership is an important function of management which helps to maximize effiency and to
achieve organization goals.
The following points justify the importance of leadership are as follows:
1. Initiates action: Leader is a person who strates the work by communicating the polices
and plans to the subordinates from where the work actually strats.
2. Motivation: A leader proves to be plying an incentive role in the concern’s working. He
motivates the employees which economic and non-economic rewards and thereby gets
the work from the subordinates.
3. Providing guidance: A leader has not only supervised but also play a guiding role for the
subordinates. Guidance here means instructing the subordinates the way they have to
perform their work effectively and efficiently.
4. Building morale: Morale denotes willing co-operation of the employees towards their
work and getting them into confidence and winning their trust. A leader can be a morale
booster by achieving full co-operation so that they performance with best of their abilities
as they work to achieve goals.
5. Co-ordination: Co-ordination can be achieved through reconciling personal interests with
organizational goals. This synchronization can be achieved through proper and effective
co-ordination which should be primary motive of a leader.

12. Briefly discuss the models of organizational behavior. How do you find their
applicability in Bangladesh?

Ans:
Differences are observed between different organizations depending on the quality of
organizational behavior. The main reason for this difference is the different models of
organizational behavior that govern different organizations from a managerial perspective.
Although these models are latent in the workplace, they act as very powerful influencers in
controlling organizational behavior. The way in which the manager acts and the infrastructure on
which the organization is seen to be based, the whole organization and its employees directly or

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indirectly act or are forced to act in accordance with what ultimately can be seen as a model of
organizational behavior.

Since the subject of 'organizational behavior' is highly variable and entirely dependent on the
status of the organization's leaders and followers, no standard model can explain organizational
behavior. So the major models of organizational behavior are-
1. Autocratic Model
2. The custodial Model
3. The Supportive Model
4. The Collegical Model

1. Autocratic Model:
This model is basically based on McGregor's X theory. In this case the power of command is not
at the bottom level. Authority is purely formal. Subordinates receive only the extent to which this
power is delegated to lower levels. The essence of this model is that workers will show loyalty to
their leader or boss rather than show loyalty to the organization. This model has a historical basis
and was certainly considered the most popular model during the industrial revolution.
Characteristics. These are as follows:

1. Power: In this case, all- time power is given to an executive.

2. Authority: In this case, the authority is formal, that is, the authority of the manager is
paramount here.
3. Obedience: In this model, employees show loyalty to the boss rather than to the
organization.
4. Subsistence: In this case workers can meet their basic needs. Like food, clothing, shelter
etc.
5. Dependence: Workers show loyalty to their boss by becoming dependent on the boss
6. Progress: The progress of the employees so poor Because, in this case, everything is on the
manager

2.The Custodial Model:

In the autocratic model, employees always follow the orders of their leader or boss. They are not
considered any opinions here. As a result, frustration among employees is observed. Therefore,

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to increase the productivity of employees, they need to be satisfied. The supervisory model pays
particular attention to employee satisfaction and well- being and treats employees as somewhat
important. The salient features of this model are mentioned below:
1. Economic resources: This model is based on the concept of economic resources.
2. Eliminating security insecurity: According to this model, employees are financially
secure. The lack of security is eliminated
3. Dependence: In this case, workers are not on them; Depends on the organization.
4. Dependence among employees: Every employee wants assurance. In this case there is a
guarantee of certainty. As a result employees can work with interest.
5. Passive Co- operation: Employees do not feel strongly motivated towards the work even
if they get the supervisor's cooperation. As a result they provide only passive cooperation.
6. Progress: More progress is achieved as employees work with enthusiasm.
3.The Supportive Model:
This model is developed on the basis of Rensis Likert's principles of supportive relationships.
Likert said, "Leadership and other processes in the organization must be such that employees
perceive them as supportive of their own skill development." This model is similar to Theory- x
developed by McGregor. Its features are mentioned below:

1. Leadership: Instead of power and money, its basis is leadership. Through leadership,
employees can be properly assigned to work.
2. Managerial function: Here the main function of management is to provide support to
employees. 3. Employee attitude: In this case, the psychological result of the employee is
participation in the work.
3. Employee attitude: In this case, the psychological result of the employee is the feeling
of participation in the work. They do the work of the organization as their own.
4. Employee's work: The responsibility of the employees is to perform the tasks with
obedience.
5. Employee's Needs: According to this model, employees try to fulfill higher level needs.
6. Morale: It shows the high morale of the employees.

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4. The Collegial Model: The term collegial refers to a group of people with a common purpose.
It's a team idea. Its features are as follows:
1. Performance on the basis of partnership of managerial staff.
2. Recognition of the role of managers in the workplace.
3. Teamwork.
4. Employee's sense of responsibility in performance.
5. Self- discipline of workers and managers.
In the context of the above discussion of the models, it can be said that the supportive model is
very useful in the content for Bangladesh workers and management model- Collaborative
execution undoubtedly increases the quality of work.

7. What is meant by quality of work life? How can you improve the quality of work life?
Ans:
Quality of Work Life (QWL) refers to the favorableness and un favorableness of a total
job environment for the human resources. QWL program is a combination of activities
that are undertaken by an organization with a view to improving the conditions of human
resources, which affects an individual‘s experience with an organization. QWL programs
focus on security, safety and health, participation in decisions, opportunities to use and
develop talents and skills, meaningful work, control over work time or place.

The major criteria for improving and measuring Quality of Work Life include:

(1) Open Communication: Here organization gives free access to the information,
which are very much needed by the human resources for their decisionmaking.

(2) Equitable Reward Systems and Adequate Compensation: Compensation plays a

greater role in the satisfaction of human resources. So, organization must evaluate how
adequate and rationale are pay and benefits in terms of helping human resources
maintain an acceptable standard of living for improving QWL.

(3) Safe and Healthy Environment: Physical-working conditions are the most
important aspect in measuring QWL. Human resources who spend a lot of time at their
workplace consider it an important factor.

(4) Opportunity for Careers Growth: Human resources seek career growth. They tend
to release from a job, which don‘t promise career growth. Organization must take it in
consideration that an individual is satisfied with his career and what career potential

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 exists in the job.

(5) Opportunity to Develop Human Capabilities: An individual is most satisfied,

when he gets an opportunity to use and develop his capabilities. So for measuring and
introducing QWL organization need to see to what extent does a job enable human
resources to use and develop their skills, knowledge and abilities and undertake tasks
that are satisfying.

(6) Social Integration in the Work Place: An organization can possess supportive
work groups and interpersonal openness. Organization must find the opportunity to
relate their human resources to others; advancement based on merit and ensures the
existence of equal opportunity.
(7) Constitutionalism: The constitutionalism can be considered as hygiene factor.
Though it may not satisfy or motivate the human resources considerably but the absence
of it definitely felt by them and may have adverse effect.

(8) Work and Quality of Work: Organization needs to maintain a balance between
work and life away from work. Satisfactory work can influence the QWL of human
resources immensely. A challenging work, which utilizes the capabilities of human
resources, plays an important role in QWL.
(9) Social Relevance: The human resources human resources feel a need to relate their
work socially. For increasing QWL organization need to be viewed as socially
responsible by the and be accountable for society‘s values when developing and
implementing its policies concerning human resources, customers, competitors and the
community.

8. Define the behavioral approach of leadership style. Which one among them do you
think best for the organization?

Ans:
The behavioral leadership theory focuses on how leaders behave, and assumes that these traits can be
copied by other leaders. Sometimes called the style theory, it suggests that leaders aren't born
successful, but can be created based on learnable behavior.

Leadership style refers to different types of leadership. Again, the overall pattern of a leader's
behavior from the employees' point of view is called the leadership style.

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According to Keith Davis, the way a leader performs tasks in a team is called leadership style.
The success of any business organization is largely dependent on the type of leadership exercised
by its leader. The nature of the leader's relationship with the followers of the team can be
understood through this style. Leadership styles can be mainly divided into three categories.
Such categories are as follows:

A. Style Based on Motivation: The main task of a leader in the organization is to give
motivation to the worker at work. In this the workers are motivated to employ all their energies
in the execution of the work. The two approaches worth mentioning are positive leadership and
negative leadership. These are discussed below:

1. Positive Leadership: The attempt by a leader to motivate his followers by rewarding

them is called positive leadership. In this system followers are automatically engaged in
the work as financial or material rewards are arranged as a reward for their work.
2. Negative Leadership: When a leader instructs his followers to work hard and announces
that disciplinary action will be taken if they do not perform properly, it is called negative
leadership.

B. Style Based on Power: Style Based on Power is the type of leadership in which the leader
mainly uses the power he has received. It is called power- based style of leadership. This type of
leadership can be divided into different categories. Namely:

1. Autocratic Leadership: When the leader keeps all the powers to himself and plays the
main role in decision- making, it is called autocratic leadership. The leader himself has all
the power and decision making. In this case, the workers have to follow his instructions
sincerely.
2. Participative or Democratic Leadership: The opposite of autocratic leadership is called
participatory or democratic leadership. In this type of leadership, power and authority are
decentralized among subordinates.
3. Paternalistic Leadership: In paternalistic leadership, a father- child relationship can be
observed between the leader and the followers. In this case, the leader is always kind to

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 the followers. Paternalistic leadership is essentially an improved version of autocratic
leadership.
C. Supervisory Style (Supervisory Style): On the basis of supervisory style, leadership can be
divided into two. Such classifications are as follows:

1. Employee Centered Leadership: In employee centered leadership, leaders are

empathetic towards the human needs of employees. Leaders are attentive to employees'
attitudes, interests, and needs.
2. Job Centered Leadership: The leadership in which more emphasis is placed on the job
than the employee is called Job Centered Leadership. Here employees are rewarded or
recognized according to work. But in this kind of leadership the human side of the
workers is completely ignored and always the workers are considered by their
performance.
D. Style Based on Formalities: According to organizational rules, leadership style can be
divided into two. Namely:
Organization and Management.

1. Formal Leadership: If every subordinate worker is obliged to follow the rules and
regulations of the organization, it is called formal leadership.
2. Informal Leadership: Leadership that influences the behavior of team members is
called informal leadership. As a result, the party members voluntarily cooperate in any
work of the leader.
Situational theory of leadership in the context of an organization/Bangladesh:
The Situational Leadership Model provides a useful approach to leading this important
organizational transformation. Since doing business in a developing country like Bangladesh is
not an easy task. Here, a lot of restrictions come from government, tax authority, political and
religious beliefs which create versatile situation to the manager or business leader. these
situations affect business decision making and the leader make him fit to adapt the versatile
situations. The business leaders of Bangladesh have to follow the Situational Leadership Model
and it is an appropriate choice of leadership models given the degree to which it fits the stages of
change at the follower of analysis described by the Trans theoretical Model of Change prevailing
in Bangladesh.

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Question of 96th BPE on the module:
1. What is organizational structure? Briefly explain the key elements of an ideal
organization structure?
2. Discuss the differences between formal and informal organization?
3. What if organizational behavior? Discuss the fundamental concept of organizational
behavior from the prospective of people and organization?
4. What is Quality of Work Life (QWL)?
5. Identify the key issue regarding the QWL ia financial instituation?
6. Brifly discuss different elements of task environment of an organization. Which of those
are commonly found in financial service sector?
7. Discuss the difference between centralization and decentralization in the context of
organizational structure?
8. What are the key elements of internal environment of a bank?
9. What do you mean by group? What are the key feature of group?
10. Discuss the importance of understanding group dynamics in organization behavior?

Question of 97th BPE on the module:

1. What are the elements of general external environment of a financial institution?
2. What is the difference between micro environment and macro environment of an
organization?
3. Briefly state the techniques of developing a sound organizational climate ?
4. Discuss the four types of organizational structure in brief ?
5. What is organizational behavior ? Explain the key factors affecting organizational
behaviour in the banking industry ?
6. Briefly explain the problems in implementing Quality of Work Life (QWL) program in
banks of Bangladesh ?

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Suggestions for 98th (2024) BPE on the module:
1. What do you mean environment of an organization?
2. Describe the influence internal and external environment on business?
3. What do you mean by formal organization and informal organization?
4. What are the weaknesses of informal organization? Is informal organization necessary?
Give reasons?
5. Define the behavioral approach of leadership style. Which one among them do you think
best for the organization?
6. Describe the major component of the organization’s internal and external environments?
Difference between Internal and External Environment?
7. What is organizational structure? Briefly explain the key elements of an ideal
organization structure?
8. What if organizational behavior? Discuss the fundamental concept of organizational
behavior from the prospective of people and organization?
9. Discuss the importance of understanding group dynamics in organization behavior?
10. Discuss the difference between centralization and decentralization in the context of
organizational structure?
11. What is Organizational Climate? Features of Organizational Climate?
12. Whis is Organizational Design? Necessary of Organizational Design?
13. Different between Hierarchical structure/design and Organic Design?
14. “People need organization and also organization need people” describe.
15. “Organization is social system” described.

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