Organizational Behavior

Chapter-1:- Introduction to OB
 Evolution of OB
 The great Greek philosopher PLATO had wrote about the “importance of
Leadership”.
 Great philosopher Aristotle had addressed the topic “Persuasive
Communication”.
 In 500 B.C Chinese philosopher Confucius had started “Emphasizing ethics and
leadership”.
 In 1776, Adam smith, economist in his book “Wealth of Nations” he
propounded new form of organizational structure based on “Division of labour
and Work specialization”.
 Robert Owen is an important name in the history of OB because he was one of
the first industrialists who argued for :-
 Regulated hours of work for all workers
 Child labour laws
 Public education
 Company supplied meals at work
 Business involvement in community projects.
 German Sociologist, Max Weber developed “a theory of authority structures
and described organizational activity based on authority structures”.
 Soon after Max Weber, F W Taylor introduced a “systematic use of goal setting
and rewards to motivate employees” and als0o defining clear guidelines for
improving production efficiency by his one of the paper called “The Principles
of Scientific Management”.
 Henry Fayol, Real father of modern Management defined the universal
functions that all managers perform and the principles (14 principles of
Management) that constitute good management practices.
 In the late 1950’s people like Abraham Maslow, Douglas McGregor, David
McCellenad, Fred Fiedler, Herzberg, Freud Sigmund and other behavioural
scientists propounded many theories on employee behaviour.

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 Introduction to OB
Organisational Behaviour tries to understand human behaviour in the organization.
OB is a part of total management but plays a very important role in every area of
management and has been accepted by all the people concerned.
The mangers now understand that to make their organization more effective, they
have to understand and predict the human behaviour in the organization.

 Definitions of OB
 According to Stephen P Robbins - “Organisational behaviour is a field of study
that investigates the impact that individuals, groups and structure have on
behaviours within the organizations for the purpose of applying such knowledge
towards improving an organizations effectiveness”.

 According to Fred Luthans - “Organisational behaviour is directly concerned

with the understanding production and control of human behaviour in
organization”.

 According to Raman J Aldag – “Organisational behaviour is a branch of the

social sciences that seeks to build theories that can be applied to predicting,
understanding and controlling behaviour in work organizations”.

By analyzing the above definitions, we can define OB as a behavioural

Science that states about :

 Nature of Man
 Nature of the Organization
 Knowledge of human would be useful in improving an organization’s
effectiveness.

 Nature of OB
OB is the study of human behaviour in the organization. Whenever an individual
join an organization he/she brings with him/her unique set of personal
characteristics, experiences from other organizations and a personal background.

At first stage, OB must look at the unique perspective that each individual brings
to the work setting.

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At second stage, OB is to study the dynamics of how the incoming individuals

interact with the broader organization. No individual can work in isolation he/she
comes into contact with the other individuals and the organization in a variety of
ways:

External Individual Individual The External

behavior in organizational organization
Organizatio organizational interaction Organizatio
n setting n

The OB must be studied from the perspective of the organization itself because an
organization exists before a particular individual joins in and continues to exist after
he or she left the organization.

Thus, we can say that we cannot study individual behaviour completely without
learning something about the organizations. On the other hand, we cannot study the
organizations without studying the behaviour of the individuals working in it. This is
because the organization influences and is influenced by the people working in it.

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 Foundations of OB
The subject OB is based on a few fundamental concepts which are explained below :-

Individual Social Systems

Differences

Whole Person

OB Mutuality of
Interests

Caused Behaviour

Human Dignity Holistic Concept

1. Individual Differences
Each person is different from one to another in intelligence, physique,
personality, diction, or any such trait. Individual differences mean that
management can cause the greatest motivation among employees by treating
them differently. If it were not for individual differences, some standard, across-
the-board way of dealing with all employees could be adopted and minimum
judgement would be required thereafter. It is because of individual differences
that OB begins with the individual. Only a person can take responsibility and
make decisions, a group, by nature, cannot do so. A group is powerless until
individuals therein act.
2. A whole Person
When an individual is appointed, his or her skill alone is not hired, his/her
social background, likes and dislikes, pride and prejudices are also hired. A
person’s family life cannot be separated from his or her work life. It is for this
reason that managers should endeavour to make the workplace a home away

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from home. They not only strive hard to develop a better employee out of a
worker, but also a better person in terms of growth and fulfillment.
3. Caused Behaviour
The behaviour of the employee is caused and not random. This behaviour is
directed towards some one that the employee believes, rightly or wrongly, is in
his/her interest. The manger must realize this basic priniciple and correct this
behaviour and tackle the issue as its root.
For ex: when a worker comes late to his or her work, pelts stones at a running
bus, or abuse the supervisor, there is a cause behind it.
4. Human Dignity
This states that people want to be treated with respect and dignity. Every job,
however simple, entitles the people who do it to proper respect and recognition
of their unique aspirations and abilities. The concept of human dignity rejects
the old idea of using employees as economic tools. Organizational behaviour
always involves people, ethical philosophy is involved in one way or other in
each action. Human decisions cannot and should not be made devoid of values.
5. Organizations are Social systems
Organizations are social systems; consequently activities therein are governed
by social as well as psychological laws. The people are also have social roles
and status. Their behaviour is influenced by their group as well as by their
individual drives.
The existence of a social system implies that the organizational environment is
one of dynamic change, rather than a static. All parts of the system are
interdependent and are subject to influence by any other part.
6. Mutuality of Interest
Organizations are formed and maintained on the basis of mutuality of interest
Among their participants i.e. organizations need people and people also need
organizations. People see organizations as a means to help them reach their
goals, while, at the same time, organizations need people to help attain
Organizational objectives. Mutual interest provides a superordinate goal that
united the variety of needs that people bring to organizations.
7. Holistic Concept
This concept interprets people-organization relationships in terms of the whole
person, whole group, whole organization, and the whole social system. It takes
an all-encompassing view of people in organizations in an effort to understand
as many of the possible factors that influence their behaviour. Issues are

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analyzed in terms of the situation affecting them rather than in terms of an

isolated event or problem.

 Importance of OB
1) OB provides a road map to our lives in organizations
People bring to their work place their hopes and dreams as well as their fears
and frustrations. Much of the time, people in organizations may appear to be
acting quite rationally, doing their fair share of work, and doing about their
tasks in a civil manner. Suddenly, a few people appear distracted, their work
slips, and they even get withdrawn. Worse still, one may find someone taking
advantage of others to further his or her personal interest.
Such a range of human behaviors makes life in organizations perplexing. But
those who know what to look for and have some advance ideas about how to
cope with pressures are more likely to respond in ways that are functional, less
stressful, and even career-advancing. Therefore, OB need to map out
organizational events so that employee can function in a more secure and
comfortable environment.
2) A Manager in a Business Establishment is concerned with Getting Things
Done Through Delegation
He or she be successful when he or she can motivate subordinates to work for
better results. OB will help the manager understand the basis of motivation and
what he or she should do to motivate subordinates.
3) The field of OB is useful for improving Cordial Industrial/Labour
Relations
If an employee is slow in his/her work, or if his/her productivity is steadily
declining, it is not always because of a poor work environment. Often the
indifferent attitude of the boss makes the worker lazy. Similarly, reluctance of
the management to talk to union leaders about issues might provoke them to
give a strike call.
In other words, relations between management and employees are often
strained for reasons which are personnel issues, not technical. Human problems
need to be tackled humanely. OB is very useful to understand the cause of the
problem, predict its course of action, and control its consequences. The field of
OB serves as the basis for human resource management.

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4) OB helps in motivating employees

OB helps manager to motivate the employees bringing a good organizational
performance automatically that leads to job satisfaction. It helps managers to
apply appropriate motivational tools and techniques in accordance with the
nature of individual employees.
5) OB helps effective utilization of human resources
OB helps managers to manage the people’s behaviour and the organization
effectively. It enables managers to inspire and motivates employees towards
high productivity and better results.

 Contributing Disciplines of OB
1) Psychology
The terms psychology comes from the Greek word ‘Psyche’ meaning soul or
spirit. Psychology is the science that seeks to measure, explain and sometimes
change the behaviour of human beings. Psychology studies processes of human
behaviour, such as learning, motivation, perception, individual and group
decision-making, pattern of influences change in organization, group process,
satisfaction, communication, selection and training also such above concepts are
used in Organization Behaviour.
2) Anthropology
The term anthropology combines the Greek term ‘anthropo’ meaning man and
the noun ending ‘logy’ meaning science. Thus, anthropology can be defined as
the science of man. It is also known as ‘science of humanity’. It studies the
relationship between individuals and their environment. The major contributions
of Anthropology in the field of OB are Comparative values,
Comparative attitudes, Cross-culture analysis, Organization environment etc.
3) Political Science
Political science is the branch of social science which deals with political
system and political behaviours. In other words, political science helps us to
understand the dynamics of power and politics within organizations Which
includes conflict resolution, group coalition, and allocation of power etc. The
main contributions of political science in the field of OB have been concerned
mainly with Conflict, Intra-organizational policies and Power.

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4) Economics
Economists study the production, distribution and consumption of goods and
services. The economic conditions of a country have long lasting impact on
organizational behaviour. If psychological and economic expectations of
employee are met, they are satisfied and become high performers. Economic
systems include financial, commercial and industrial activities which have
greater influences on the behaviour of the people.
5) Engineering
Engineering also influences organisational behaviour. Some topics are common
to engineering as well as organisational behaviour e.g. work measurement,
productivity measurement, work flow analysis, work design, job design and
labour relations etc.
6) Medical Science
Stress is becoming a very common problem in the organisations. Research
shows that controlling the causes and consequences of stress in and out of
organisational settings, is important for the well being of the individual as well
as the organisations. Medicine helps in the control of stress as well as stress
related problems.
7) Sociology
Sociology also has a major impact on the study of organisational behaviour.
Sociology makes use of scientific methods in accumulating knowledge about
the social behaviour of the groups. Sociology contributes to organisational
behaviour through the study of interpersonal dynamics like leadership, group
dynamics, communication etc.

 Application of OB in Management
1) Responding to Globalization
Organization in recent days has changed the style of working and tries to
spread worldwide. Trapping new market place, new technology or reducing
cost through specialization or cheap labour are few of the different reasons that
motivates organizations to become global.
2) Managing Workforce Diversity
The increasing heterogeneity of organizations with the inclusion of different
groups. Whereas globalization focuses on differences among people from
different countries.
"Workforce diversity has important implications for management practice.
Managers will need to shift their philosophy from treating everyone alike
to recognizing differences and responding to those differences in ways that

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will ensure employee retention and greater productivity while, at the same time,
not discriminating".
3) Improving Quality and Productivity
a) Total Quality Management (TQM)
It is a philosophy of management that is driven by the constant attainment
of customer satisfaction through the continuous improvement of all
organizational processes.
1. Intense focus on the customer
2. Concern for continuous improvement
3. Improvement in the quality of everything the organization does
4. Accurate measurement
5. Empowerment of employees.
b) Reengineering
Reengineering: Reconsiders how work would be done and the organization
structured if they were being created from scratch.
"It asks managers to reconsider how work would be done and their
organization structured if they were starting over".
4) Improving people skills
It will help management to better plan and respond to changes in the
workplace. employee relationship is also showing change in the modern era.
Employer Employers are no more autocrats and participative style of
leadership welcomed. Flexible working hours and increased is authority
motivates employees to perform to their best. Management now welcomes
upward communication and participation of lower level employees in
the decision making process.

5) Stimulating Innovation and Change

"Today's successful organizations must foster innovation and master the art of
change or they'll become candidates for extinction. An organization's
employees can be the impetus for innovation and change or they can be a major
stumbling block. The challenge for managers is to stimulate employee
creativity and tolerance for change.
6) Work-life Balance
Achieving a work-life balance between work and other important aspects of life
is a big challenge today in every organization. It can be tough to make time for
family and work. Hence, Employers can help employees to achieve work-life
balance by instituting policies, procedures, actions, and expectations that enable
them to pursue more balanced lives, such as flexible work schedules, company-
sponsored family events and activities etc.

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7) Improving People Skills

Possessing people skills is essential to have success in todays’
organizations. Employees needs to improve their skills through a little effort and
showing basic common courtesy in their business dealings like being polite,
avoiding conflict, listening, appreciating etc. On the other hand employers’
should also concentrate more on training employees with this above context.

 Shortcomings of OB
1) Failure of Individual on the Domestic Front
The subject helps an individual understand human behaviour better only in
the work place, he or she may be a failure on the domestic front. People
who have a thorough grounding of behavioural disciplines have sometimes
proved to be total wrecks in their personal lives.
2) Failure to contribute to improve Interpersonal Relations
The subject of OB has not contributed to improved interpersonal relations
in organizational settings. Jealousies, back-stabbing, leg-pulling, intrigues,
harassment, and inequalities in rewards go side by side with nice lecturers,
training programmes, discussions, smiles, assurances, niceties and the like.
3) OB is selfish and exploitative
It serves only the interest of the management. With high emphasis on
motivation, efficiency, and productivity, the subject breeds a competitive
spirit among the employees. They are not allowed to function and live in
harmony with one another.
4) Expectation of quick fix solutions
A serious problem that has plagued the subject is the tendency of managers
to expect quick-fix solutions from behavioural programmes. Critics of OB
wonder whether the ideas that have been developed and tested during
periods of organizational growth and economic plenty will endure with
equal success under different conditions. Future environment shall be
marked by shrinking demand, scarce resources, and more intense
competition. When organizations stagnate, decline, or encounter a threat of
closure, there will be conflict and stress as a result it leads to one of the
critical issue to find answers to related questions.

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5) OB will not totally abolish conflict and frustration, it can only reduce
them
It means, OB not an absolute answer to problems. It is only a part of the
whole fabric of an organization. However, OB will not solve
unemployment. It will not make up for our own deficiencies. It cannot
substitute for poor planning, inept organizing, or inadequate controls. It is
only one of the many systems operating within a larger social system.

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Chapter2-Personality
 Personality
 MEANING AND DEFINITION OF PERSONALITY

The word personality is derived from Latin word called “persona” means a “mask”
or “personare” means “to speak through”.

 Personality is the characteristics, qualities, skills, competencies and outward

appearances of individuals.
 In other words, personality is a way to respond people, situations, and things
that are consistent (more or less).
 In short, Personality is the psychological factor that influences individual
behavior.

Many people view the term personality in the following ways:-

 According to Gordon Allport – “personality is the set of traits and behaviors

that characterize an individual”.
 According to Stephen Robbins – “Personality is a dynamic and organized set
of characteristics possessed by a person that uniquely influences his or her
cognitions, motivations, and behavior in various situations”.
 According to Lawrence Ervin – “Personality is the relatively stable set of
psychological attributes that distinguish one person from another”.
 According to R B Cattel – “Personality is that which permits a prediction of
what a person will do in a given situation”.
 According to Munn – “Personality as the most characteristic integration of an
individual’s structure, modes of behavior, interest, attitude, capacities, abilities,
and aptitudes”.

 TYPES OF PERSONALITY

Since the days of Ancient Greece it was confirmed that there are four different
types of personality :-

1) Sanguine type
This type of personality characterized by spontaneity, optimism, enthusiasm,
high energy, mental flexibility and curiosity. These people often have very
express”, “fun”, “active”, “travel” and similar.

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2) Phlegmatic type
These people are mainly defined by their social skills, such as their ability to
express themselves and read other people face expressions and body language.
They are nurturing, sympathetic, agreeable and emotionally expressive.
3) Choleric type
These people are direct, focused, tough, analytical, logical and strategic. They
have a great deal of courage and like to complete.
4) Melancholic type
Melancholic tend to be calm, loyal and orderly, just as their personality name
sounds. They are cautious and conventional. Their favorite words are “family”,
“loyal”, “respect”, “caring”, “values” and “moral”.

 DETERMINANTS OF PERSONALITY

Different theories propose different factors that determine an individual

personality. The most popular research work done by Freud deals with the
identification of Self-concept. However the major determinants of personality are
heredity, environment and situation.

Biological Factors

Heredity

Brain

Physical features
Environment Personality

Family Factors

Socialization Process

Identification Process

Cultural Factors

Situational Factors

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I. Environment

Environment refers to the surroundings in which the individuals are brought up.
The environmental factors relating to the formation of personality includes
culture, family, society upbringing and experiences.

1) Family factor
Family is one of the significant factors that have an impact on personality
development. Families influence the behavior of a person especially in the
early stages. The nature of such influence will depend upon the following
factors:
 Socio-Economic level of the family
 Family size
 Birth order
 Race
 Religion
 Parent’s education level
 Geographic location.

Empirical evidence also suggests that the home and family environment,
created by the mother and the father as well as their own behavior is
highly influential on personality development.

2) Socialization Process
Socialization is a process by which an infant acquires from the enormously
wide range of behavior potentialities that are open to him/her at birth, those
behavior patterns that are customary and acceptable to the family and social
groups. Initially socialization starts with the contact between mother and
her new infant. Later on other members of the family also influence the
socialization process.
3) Identification Process
The identification process occurs when a person tries to identify
himself/herself with some person to whom he/she feels ideal in the family.
4) Cultural factor
It is a unique system of perception, belief, values, norms, pattern of
behavior of individual in a given society.
Culture is the factor which determines the decision-making power of an
individual. It generally determines attitude towards independence,
aggression, competition and cooperating.

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5) Situational factor
Situational factors also play a very important role where situation exerts an
important press on the individual. It exercises constraints and may provide
push. This aspect is very important for organization because manager has
control over the organizational situation.

II. Personality
GENES is the important element that influences our behavior because our brain
and the chemicals that operate within it are made by genes. The genetics of
behavior is complex because personalities are complex. However personality
includes the following:-
6) Biological factor
The study of biological contribution to personality can be divided into 3 major
categories:-
a. Heredity
Heredity is the transmission of qualities from the ancestor to descendent
through a mechanism primarily lying in the chromosomes of the germ
cell.
b. Brain
The structure of the brain determines personality though no conclusive
proof is available so far about the role of brain in personality formation.
c. Physical features
The third biological factor determining personality formation is physical
characteristics and rate of maturation. An individual external
appearance, which is biologically determined, is an important ingredient
of personality.

 Perception
 MEANING AND DEFINITION
According to dictionary meaning, perception means “act of faculty of perceiving”.
Perception means perceiving i.e. giving meaning to the environment around us.
For example: Looking at a sculpture some may perceive it as beautiful, the others
as ugly.
According to Udai Pareek and others, perception can be defined as “the process
of receiving, selecting, organizing, interpreting, checking, and reacting to sensory
stimuli or data”.

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According to Stephen P Robbins, “A process by which individuals organize and

interpret their sensory impressions in order to give meaning to their environment”.
By analyzing the above definitions we can say that the term perception involves
the following:-
 Deciding which information to notice,
 How to categorize this information,
 How to interpret it within the frame work of our existing knowledge.

 FACTORS INFLUENCING PERCEPTION

I. INTERNAL FACTORS
The internal factors include the following:-
1) Learning
Learning may play the single biggest role in developing perceptual set. It is a
cognitive awareness by which the mind organizes information and forms
images and compares them with previous exposures to similar stimuli.
Learning creates an expectancy in an individual and expectancy makes him see
what he wants to see which means perceptions and interpretations of people
depend upon their previous exposure.
For instance: Verbal Response Set

M-A-C-D-O-W-E-L-L
M-A-C-D-O-N-A-L-D
M-A-C-B-E-T-H
M-A-C-H-I-N-E-R-Y

2) Motivation
Motivation also has a vital impact on perceptual selectivity where it creates a
urge and activates the inner stimuli of individuals.
For example:-a) a hungry person will be more sensitive to the smell or sight of
food than a non-hungry person;
b) When a person walks into the lunch room, he may go to the table where
several of his co-workers are sitting, rather than a table which is empty or on
which just one person is sitting.

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3) Personality
Behavior, values and even age of an individual may also affect the people
perceive the world around them.
For example, the older senior executives often complain about the inability of
the new young manager to take tough concerning terminating and paying
attention to details and paper work. The young managers, in turn,complain
about the ‘old guards’ resisting change and using paper and rules as ends in
themselves. Further, the generation gap witnessed definitely contribute to
different perceptions.

II. EXTERNAL FACTORS

External factor includes the following:-
1) Size
Size always attracts the attention, because it establishes dominance. The size
may be the height or weight of an individual, sign board of a shop, or space
devoted to an advertisement in the newspaper.
The bigger the size of stimulus, the higher is the probability that is perceived.
For example:-A full page advertisement will always catch attention as
compared to a few lines in the classified section.
2) Intensity
Intensity attracts to increase the selective perception. In other words it is an
activity involves concentrating a lot of effort or people on one particular task in
order to try to achieve a great deal in a short time.
Example: Yelling or whispering, very bright colors or very dim colors etc.
The term also includes behavioral intensity. For instance, if office order says
“Report to the boss immediately,” it will more intense as compared to “Make it
convenient to meet the boss today”.
3) Repetition
Repetition refers to make others to pay attention by stimulating their inner urge
through repeated stimulus.
In other words, it states that a repeated external stimulus is more attention
drawing than a single one. Because of this factor, supervisors make it a point to
give the necessary directions again and again to the workers.
For example:-Product shown again and again on TV grabs more attention as
compared to an advertisement which is shown once a day.

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4) Status
High status people can exert greater influence on the perception of the
employees than the low status people.
For example:-There will always be different reactions to the orders given by
the foreman, the supervisor or the production manager.
5) Contrast
An object which contrasts with the surrounding environment is more likely to
be noticed than the object which blends in the environment.
For example:-In a room if there are twenty men and one woman will be noticed
first because of the contrast; EXIT SIGN in cinema halls which have red
lettering on a black background are attention drawing.
6) Movement
This principle states that a moving object receives more attention than an object
which is standing still.
For example:-A moving car among the parked cars catch attention faster.
7) Novelty and Familiarity
This principle states that either a novel or a familiar external situation can serve
as an attention getter. This principle helps the managers to change the workers
jobs from time to time, because it will increase the attention they give to their
jobs.
For example:-A familiar face on a crowded railway platform will immediately
catch attention.
8) Nature
This principle states that whether it is a visual, auditory or pictures of people or
animals that will attract more attention than words.
For example:-Video attracts more attention than still pictures.

 PERCEPTUAL PROCESS
1) Receiving
Receiving is the first stage in the process of perception. It is the initial stage in
which a person collects all information and receives the information through the
sense organs.
2) Selecting
Selecting is the second stage in the process. Here a person doesn’t receive the
data randomly but selectively. A person selects some information out of all in
accordance with his interest or needs. The selection of data is dominated by
various external and internal factors.

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 External factors − The factors that influence the perception of an

individual externally are intensity, size, contrast, movement, repetition,
familiarity, and novelty.
 Internal factors − The factors that influence the perception of an
individual internally are psychological requirements, learning,
background, experience, self-acceptance, and interest.
3) Organizing
Keeping things in order or say in a synchronized way is organizing. In order to
make sense of the data received, it is important to organize them. Usually data
can be organized through grouping them on the basis of their similarity,
proximity, closure, continuity.
4) Interpreting
Finally, we have the process of interpreting which means forming an idea about
a particular object depending upon the need or interest. Interpretation means
that the information we have sensed and organized, is finally given a meaning
by turning it into something that can be categorized. Usually one’s
interpretation may subject to certain errors which was discussed below:-

 PERCEPTUAL ERRORS
1) Halo effect
The halo effect refers to the tendency of judging people on the basis of a
single trait which may be good or bad, favorable or unfavorable. The halo
effect is a very common type of error committed by the managers where
evaluating the subordinates. Where a manager judge the employees based on
his or her first impression.
For example:-If a manager considers that an employee has good skills in
analyzing a problem, he comes to a conclusion that he can also solve the
problem. But solving the problem involves the choosing of the alternatives
followed by the decision-making process in which the employee may not be
“PROFICIENT”.
2) Selective Perception
Selective perception is also known as “Selective attention”. It comprises
traits
and characters of individual based on sex, age, culture, socio-economic status
etc. People selectively perceive objects or things that interest to them most in
a particular situation and avoid others. In other words, selective perception is
the personal filtering of what we see and hear so as to suit our own needs.
For example:-Employee of production department may be concentrating to
the skill/work which he is doing and may ignore others.

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3) Stereotyping
It is a process in which the individuals are judged based on the group to
which they belong. In other words, stereotyping means judging someone on
the basis of one’s perception of the group to which that person belongs.
For example:-General notion about gender i.e. “Males have high ego,
Women are sensitive”.
4) Perceptual defense
It is the inability to perceive that is threatening to the perceiver. A
consequence of perceptual defense is that employees that are fired often
express shock and maintain that they were never told about this poor
performance.
For example:-A person performing poorly at work may be unable to get the
warning of his manager.
5) Primacy effect
‘First impression is the best impression’. Errors based on this type of
perception are called as primacy effect. It is the tendency of the individuals to
make an opinion based on the first impression.
For example:-Not sociable and soft spoken concluded as introvert.
6) Recency effect
Individuals tend to remember the recent happening and based on that, come
to a conclusion on a particular event. The recent happenings or incidents
remain in our short-term memory and it dominates the other incidents when
the perception takes place.

 Ways of overcoming or strategies for improving perceptual skills

1) Knowing oneself accurately
One of the powerful ways to minimize perceptual distortions is know oneself.
People normally misperceive others because they fail to perceive themselves
accurately. The more accurately a person understands himself, the more
accurately he can perceive others.
For example:-JOHARI WINDOW Model helps to understand hoe co-
workers can increase their mutual understanding.

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Known to self Unknown to self

Known to Open area Blind area

others

Hidden Unknown
area area
Unknown to
others

The JOHARI model concludes that the employee should be like an open area so
that both the individual and the colleagues are aware of his perceptual
limitations.

2) Empathize with others

Empathy refers to a person’s ability to understand and be sensitive to the
feelings of others. Empathy is a natural phenomenon and develops within an
individual by itself. By empathizing with other person, one can perceive the
other individual more aptly.
3) Have a positive attitude
Attitudes have a strong and long lasting effect on perception. If one holds a
negative attitude towards someone or something, our perception is
undoubtedly going to be distorted. We should make effort to have a positive
attitude and should not let our personal biases to crop in and hinder the
perceptual powers.
4) Postpone Impression Formation
Forming judgments about an individual by first impression or by first
meeting is absolutely wrong. A much better strategy is to postpone the
impression formation until more information about the individual and the
situation is collected.

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5) Communicating openly
Inadequate or one way communication leads to misperception. Utmost care
should be taken, so that the message reaches the right person, at the right
time and in the right manner.
6) Comparing one’s perceptions with that of others
Another useful strategy to reduce perceptual errors is to compare one’s
perception with the perception of other person about the same object. By
sharing perceptions we come across different point of views and potentially
gain a much better understanding of the situation and the object.

 Attitudes
 MEANING AND DEFINITION
 An attitude defined as the way a person feels about something- a person, a
place, a commodity, a situation or an idea.
 In other words, attitudes are the set or cluster of beliefs towards objects, events
and situation.
 According to Gordon Allport, Attitude defined as a-“mental and neural state of
readiness, organized through experience, exerting a directive or dynamic
influence upon the individual’s response to all objects and situation with which
it is related”.
 According to P R Lawrence, “Attitude represents the cluster of beliefs,
assessed feelings, and behavioral intentions toward an object”.
By analyzing the above, attitude is refers to a persistent tendency to feel and
behave in a particular way toward some object.

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 FORMATION OF ATTITUDE

Experience with the

Object

Mass communication Classical

Conditioning

Economic status Attitude Operant conditioning

s

Neighbourhood Vicarious learning

Family and Peer

groups

1) Direct experience with the object

Attitudes can develop from a personally rewarding or punishing experience
with an object. Employees form attitudes about jobs on their previous
experiences.
For example:-If everyone who has held a job has been promoted within six
months, current job holders are likely to believe that they will also be promoted
within six months.
2) Classical Conditioning and Attitudes
One of the basic processes underlying attitude formation can be explained on
the basis of learning principles. People develop associations between various
objects and the emotional reactions that accompany them.
For example:-we may come to hold positive attitude towards a particular
perfume because a favorite model wears it.

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3) Operant Conditioning and attitude acquisition

Attitudes that are reinforced, either verbally, tend to be maintained.
Conversely, a person who states an attitude that elicits ridicule from others may
modify or abandon the attitude.
4) Vicarious learning
This refers to formation of attitudes by observing behavior of others and
consequences of that behavior. We also learn vicariously through television,
films and other media.
For example:-a) Movies that glorify violence reinforce positive attitudes
regarding aggression.
b) If parents says that “blind people are incompetent” then children may adopt
such attitudes towards blind people even they never met them ago.
5) Family and Peer groups
A person may learn attitudes through imitation of family members or peers.
Attitude towards the opposite sex, religion, tolerance or prejudice, education,
occupations, political parties, and almost all other areas where attitudes are
capable of expression are the result of our accepting or rejecting the attitudes
held by members of our family. Similarly, attitudes are acquired from peer
groups in colleges and organizations.
6) Neighbourhood
The neighbourhood in which we live has certain cultural facilities, religious
groupings and ethnic differences. Further, it has people, who are neighbours.
These people may be Northerners, Southerners etc. The people belonging to
different cultures have different attitudes and behaviors. Some of these we
accept and some of these we deny and possibly rebel.
7) Economic status and Occupations
Our economic and occupational positions also contribute to attitudes formation.
They determine, in part, our attitudes towards unions and management and our
belief that certain laws are “good” or “bad”. Our socio-economic background
influences our present and future attitudes.
8) Mass Communication
Attitudes are generally less stable as compared to values. The presentation of
news or information is constructed so as to cater to the attitude of the audience.
In turn, the audience selects the specific form of mass communication that best
reflects its attitudes on various subjects.

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 COMPONENTS OF ATTITUDE

1) Informational or Cognitive Component

The informational component consists of beliefs, values, ideas and other
information a person has about the object. For example, a person seeking a job
may learn from his own sources and other employees working in the company
that in a particular company the promotion chances are very favourable. In
reality, it may or may not be correct. Yet the information that person is using is
the key to his attitude about that job and about that company.
2) Emotional or Affective Component
The informational component sets the stage for the more critical part of an
attitude, its affective component. The emotional components involve the
person’s feeling or affect-positive, neutral or negative-about an object. For
example, “I like this job because the future prospects in this company are very
good”.
3) Behavioural Component
The behavioural component consists of the tendency of a person to behave in a
particular manner towards an object. For example, the concerned individual in
the above case may decide to take up the job because of good future prospects.

 EMOTIONAL INTELLIGENCE
 MEANING OF EQ
 Emotional intelligence refers to the capability of a person to manage and
control his or her emotions and possess the ability to control the emotions of
others as well.
 Emotional intelligence are the skills which are required to better understand,
empathize and negotiate with other people.

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 IMPORTANCE OF EQ AT WORKPLACE
1) Self-awareness
If a person has a healthy sense of self-awareness, he understands his own
strengths and weaknesses, as well as how his actions affect others. A person
who is self-aware is usually better able to handle and learn from constructive
criticism than one who is not.
2) Self-regulation
A person with a high EQ can maturely reveal her emotions and exercise
restraint when needed. Instead of squelching her feelings, she expresses them
with restraint and control.
3) Motivation
Emotionally intelligent people are self-motivated. They're not motivated simply
by money or a title. They are usually resilient and optimistic when they
encounter disappointment and driven by an inner ambition.
4) Empathy
A person who has empathy has compassion and an understanding of human
nature that allows him to connect with other people on an emotional level. The
ability to empathize allows a person to provide great service and respond
genuinely to others’ concerns.
5) People skills
People who are emotionally intelligent are able to build rapport and trust
quickly with others on their teams. They avoid power struggles and
backstabbing. They usually enjoy other people and have the respect of others
around them.

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UNIT3:- LEARNING

 MEANING AND DEFINITION

 Learning is a change in behavior as a result of experience. Learning is
the product of reasoning, thinking, information processing and
perception.
 In a Layman’s view, “Learning is something we did when we went to
school”.
 According to Stephen P Robbins or E R Hilgard, Learning is “any
relatively permanent change in behavior that occurs as a result of
experience”.
 According to Steers and Porter, Learning can be defined as relatively
permanent change in behavior the potentiality that results from
reinforced practice or experience”.
By analyzing the above definitions we can define the term learning as a
“all changes in behavior that result from prior experience and behavior
in similar situations”.

 NATURE
1) Change in Behavior
Learning involves change in behavior, although the change may be good or
bad from an organization’s point of view. The change in behavior need not
be an improvement over the previous behavior, although learning improves
behavior. For example:-Bad habits like smoking.
2) Change in Behavior must be relatively permanent
All the changes do not reflect learning. To constitute learning, change should
be relatively permanent. Temporary changes may be only reflective and fail
to represent any learning.
For example:-any temporary adaptations like fatigue or drugs etc are not
covered in learning.
3) Change must be based on some experience, practice or training
The behavioral change may also influenced by experience, practice or
training. This change may not be evident until a situation arises in which the
new behavior can occur.
For example:-any change in behavior due to physical maturation, any disease
or physical damages do not constitute learning.

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4) Reinforcement
The practice or experience must be reinforced in order for learning to occur.
If reinforcement does not accompany the practice or experience the behavior
will eventually disappear.
5) Learning is reflected in Behavior
A change in an individual’s thought process or attitudes not accompanied by
behavior is not learning. Further learning needs to result in behavior
potentially and not necessarily in the behavior itself.
For example:-if a person is thinking of using drugs but has not actually used
them and he finds out that a friend of his has died because drugs, he will
never get involved with drugs.

 PRINCIPLES OF LEARNING
Learning is a very complex and wide topic. Following are the principles of
learning in formal training situations:-
1) Feedback
Learning can be a more effective process when both the instructor and trainee
give feedback to each other. The instructor needs feedback to know how the
trainee is progressing and the trainee needs the feedback to know his level of
performance.
2) Active learning
Learning can be more effective and quick, if the trainee is actively involved
in the learning process.
3) Reinforcement
According to this principle “learning which is rewarded is more likely to be
retained.” This is how learning make children, students and even pets to
learn.
4) Meaningful material
The material supplied to the trainee should be meaningful. He can understand
and learn more, if the material supplied is related to his existing knowledge.
5) Multiple sense learning
The presentation method which makes use of two or more senses are more
effective than using one sense only which means “one picture is worth a
thousand words”. Generally, the most important senses for learning are
SIGHT and HEARING.

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6) Overloading
If an individual frequently makes attempts to recall the learned material,
forgetting is reduced and the material is memorized in his brain.
7) Primary and recency
This principle states that trainees can recall those things they learn first and
last in sequence. This principle does not hold true in all conditions and
sometimes they act against one another.
For example:-When the most recent impressions change or blot our first
impressions.

 TYPES OF LEARNING
 OBSERVATIONAL LEARNING
 Observational learning is learning that occurs through observing the behavior
of others.
 Observational learning is a form of social learning where it is concerned
with learning by watching others is called Observational learning.
 Observational learning always occurs through attention, retention,
production and motivation.
 For example: (1) A child learns to interact with other people by observing
their parents; (2) A newer employee avoids being late to work after seeing a
co-worker fired for being late.

 BENEFITS OF OBSERVATIONAL LEARNING

1) Encourage Social Interactions
People learn numerical, language and social skills through observational
learning. Since it help to build their self-esteem. Also, they become familiar
with diverse activities, learning new ways to have fun.
2) Improves Behaviour
Observational learning often occurs outside the classroom, and parents
contribute to the learning process. Young people tend to imitate the behaviors
and language of their peers from infancy, which help inculcate positive
behaviors in them.
3) Expands Knowledge
Observational learning also helps to improves one’s knowledge, through
inquisition and imitation. People become more familiar with their surrounding,
which helps to improve skills required to master other subjects.

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4) Enhances Memory
Memory improvement is the primary benefit in people. Imitation and memory
go hand in hand in determining the people’s behavior. For instance, people
retain the information of their surrounding and then mimic what they see.

 REINFORCEMENT
 Reinforcement is a process of strengthening desirable behaviors, often
through the use of rewards.
 Reinforcement is the attempt to develop or strengthen desirable behavior.
There are two types of reinforcement in organizational behavior: positive
and negative.
 Positive reinforcement strengthens and enhances behavior by the
presentation of positive reinforcers. There are primary reinforcers and
secondary reinforcers.
Primary reinforce satisfy basic biological needs and include food and
water. Where secondary reinforce include such benefits as money,
status, grades, trophies and praise from others.
 Negative reinforcement, an unpleasant event that precedes a behavior
is removed when the desired behavior occurs. For example, Supervisors
apply negative reinforcement when they stop criticizing employees
whose poor performance has improved.
 Punishment
Punishment is an undesirable consequence an employee receives for
bad behavior. This can involve actions like demoting the employee or
suspending the employee.
 Extinction
Extinction is the elimination of a behavior. This type of behavior
modification should be reserved for the most damaging behaviors.

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 BENEFITS OF REINFORCEMENT
1) Increases Behaviour
Reinforcement is one of the easiest and quickest ways to improve employee
happiness and effectiveness. Increased self-confidence and esteem by
continuous reinforcement, inspires people to do their best work, develop new
skills and enabling them to make a dramatic and lasting impact on
the organization.
2) Sustain Change
Reinforcement creates changes into organizations. Reinforcing behavior may
help workforce to adopt and sustain the right behaviors saving time and money
and improving the probability of success. More positive application of
reinforcement should also get the credit for flexible work schedules, fulfilling
job design, or creative compensation practices.
3) Gives a path to correct errors
Every organization is confronted with errors. Organizations often focus on
error prevention as a single strategy for dealing with errors. Error prevention
needs to be supplemented by reinforcement techniques, an approach directed at
effectively dealing with errors after they have occurred, with the goal of
minimizing negative and maximizing positive error consequences.
4) Achieve perfection
Reinforcement correlated with positive affect and was interpreted as reflecting
the positive aspects of perfectionism that boosts self-oriented and social-
oriented perfectionism.

 COGNITIVE LEARNING
 Cognitive Learning is a type of learning that is active, constructive,
and long-lasting. It engages students in the learning processes, teaching
them to use their brains more effectively to make connections when
learning new things.
 Comprehension, Application and Memory are the basic factors that
influences cognitive learning.
 In other words, the cognitive learning process aims to chart the learning process
for optimal thinking, understanding and retention of what we learn.

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 BENEFITS OF COGNITIVE LEARNING

1) Enhance Comprehension
In cognitive learning, people learn by doing. This hands-on approach makes the
learning immersive and promotes comprehension. Thus, one can develop a deeper
understanding of the material and its application to your work and life.
2) Improve Problem Solving Skills
Problem-solving skills are critical at any level of leadership. The cognitive learning
approach enhances your ability to develop this core skill and helps them to apply it to
every aspect of their job.

3) Boosts Confidence
Cognitive learning can also improve confidence in one’s ability to handle challenges
at work. This is because it promotes problem-solving skills and makes it easier to
learn new things within a short period.
4) Encourages Continuous Learning
Cognitive skills promote long term learning as it allows you to connect previous
knowledge with new materials. It helps you merge old and new information and
apply both effectively.

 SELF-DIRECTED LEARNING
 Learning that occurs when learners explore, question, react, and respond
to learning material relevant to their needs. Also known as self-concept or
self-initiated learning.
 self-directed learning describes a process in which individuals take the
initiative, with or without the help of others, in diagnosing
their learning needs, formulating learning goals, identifying human and
material resources for learning, choosing and implementing
appropriate learning.

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 BENEFITS OF SELF-DIRECTED LEARNING

1) Support learning through trails and error
It helps people to make space to take risks and feel the impact of what
happens when those risks don’t work out. Ask them to reflect on both their
wins and challenges so that their risks become more calculated over time.
2) Value System
Self-directed learning enables individuals to improve their self-confidence,
motivation and lifelong learning skills based on value system. It is also aimed
to reveal the relationship between self-directed learning skills and lifelong
learning tendencies.
3) Intrinsic Motivation
We are connected to our intrinsic motivation when we are inspired to
achieve a goal because it is meaningful to us. Sometimes a people knows
right away when something is personally meaningful. For others, it takes a
while.
4) Inspires a love of learning
A life lived with a love of learning is beautiful and complex. There is a
sense of freedom that comes along with that realization. When we control a
people’s learning, we can end up robbing them of that realization.

 EXPERIMENTIAL LEARNING
 Experiential learning is a method of educating through first-hand
experience. For Example:- internships, studies abroad, field trips, field
research, and service-learning projects.
 In other words, it is a process whereby knowledge is created through the
transformation of experience. Knowledge results from the combinations of
grasping and transforming the experience.

 BENEFITS OF EXPERIMENTIAL LEARNING

1) Links theory to Practice
People have the chance to engage in the experience and practice what they
have learned, see the application of the theoretical concepts in practice, process
that application and make generalizations.
2) Increase Engagement
By encouraging collaboration and scaffolding between learners it increases
people involvement.

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3) Leads to development of Skills

By assisting in the acquisition of essential skills and encouraging people to
reflect, conceptualize, and plan for next steps.
4) Assist memory retention
By building strong relationships between feelings and thinking processes.
people have the capacity to learn successfully when the information is
associated with values and feelings.

 THEORIES OF LEARNING
1) Classical Conditioning
 Classical conditioning is a type of conditioning in which an individual
responds to some stimulus that would not ordinarily produce such as
response.
 In other words, it is the process of learning to associate a particular thing in our
environment with a prediction of what will happen next.
 The classical conditioning was first constructed by Ivan Pavlov, the Russian
psychologist.
 Pavlov presented one dog with a piece of meat, the dog exhibited a
noticeable increase in salivation. When Pavlov withheld the presentation of
meat and merely rang a bell, the dog did not salivate. Then Pavlov
proceeded to link the meat and the ringing of the bell. After repeatedly
hearing the bell before getting the food, the dog began to salivate as soon as
the bell rang. After a while, the dog would salivate merely at the sound of
the bell, even if no food was offered.
 In classical conditioning, learning involves a conditioned stimulus and an
unconditioned stimulus. Here, the meat was unconditioned stimulus; it
invariably caused the dog to react in a specific way.

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2) Operant conditioning
 Operant conditioning learns that a particular behavior is usually followed by a
reward or punishment.
 The Harvard psychologist B.F. Skinner proposed operant conditioning.
 Operant conditioning argues that one’s behavior will depend on different
situations. People will repeatedly behave in a specific way from where they
will get benefits.
 On the other hand, they will try to avoid a behavior from where they will get
nothing. Skinner argued that creating pleasing consequences to specific forms
of behavior would increase the frequency of that behavior.
 In one famous experiment displaying operant learning, the psychologist B.F.
Skinner trained rats to press a lever to get food. In this experiment, a hungry rat
placed in a box containing a lever attached to some concealed food. At first, the
rat ran around the box randomly. In this process, it happened to press the lever,
and the food dropped into the box. The dropping of food-reinforced the
response of pressing the lever. After repeating the process of pressing the lever
followed by dropping off food many times, the rat learned to press the lever for
food.
3) Cognitive Theory
 Cognition refers to an individual’s thoughts, knowledge of interpretations,
understandings, or ideas about himself, and his environment.
 This is a process of learning through active and constructive thought processes,
such as a practice or using our memory.
 For example might be that we were taught how to tell time by looking at a
clock. Someone taught us the meaning of the big hand and little hand, and we
might have had to practice telling the time when we were first learning it.
 This process of learning was entirely inside our mind and didn’t involve any
physical motions or behaviors. It was all cognitive, meaning an internal thought
process.
 Hence, the theory has been used to explain mental processes as they are
influenced by both intrinsic and extrinsic factors, which eventually bring about
learning in an individual.

4) Social Learning Theory

 The social learning theory also called observational learning, stresses the
ability of an individual to learn by observing what happens to other people
and just by being told about something.
 One can learn things by observing models, parents, teachers, peers, motion
pictures, TV artists, bosses, and others.

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 It includes four processes that have been found to determine the influence
on an individual.

 Attention process: People learn from a model only when they

recognize and pay attention to its critical features. If the learner is not
attentive they would not able to learn anything. We tend to be most
influenced by attractive models, repeatedly available, which we think is
important, or we see as similar to us.
 Retention process: A model’s influence depends on how well the
individuals remember the models’ actions after the model is no longer
readily available.
 Motor reproduction process: After a person has seen a new behavior
by observing the model, the watching must be converted to doing. It
involves recall the model’s behaviors and performing own actions and
matching them with those of the model. This process then demonstrates
that the individual can perform the modeled activities.
 Reinforcement process: Individuals are motivated to exhibit the
modeled behavior if positive incentives or rewards are provided.
Behavior that is positively reinforced is given more attention, learned
better and performed more often.

 E-LEARNING
 E-learning refers to a learning system that can obtain through the internet
using an electronic device. It also known as online learning or online
education.
 In other words, a learning system based on formalised teaching but with the
help of electronic resources is known as E-Learning.

 AIMS/GOALS OF E-LEARNING
1) Cost Effective & Saves Time
By reducing the time taken from the office, removing travel costs and doing
away with printed materials, online learning helps us to save money and
increases workforce productivity.
2) Learning 24/7
Online learning facilitates learning at anywhere at any place. In organizations
also staff will be happier because they do not travel for training centers they
can opt training even outside office hours also.

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3) Serves Different Styles

One of the greatest benefits of e-learning is that they have a world of content
formats at their fingertips. Videos, notes, info graphics, games and other
content types make e-learning engaging for everyone. Plus, different types of
assessments, like quizzes and case studies, means that learners can be engaged
according to their increasing level of understanding as they progress through
the training.
4) Interactive and Gamification
Learning requires active participation from people. Interactive
eLearning courses allow employees to practice new skills. Simulations can
provide the ultimate level of interactivity and practice, without the risk.
5) Accessable Support
Almost all training can be delivered digitally, but sometimes there is still a
need for live facilitation and expert support. One of the benefits of online
training for employees is that they can learn in their own time, at their own
pace, while still having access to subject matter experts.

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UNIT4:- GROUP DYNAMICS AND ORGANIZATIONAL

CHANGE

 MEANING AND DEFINITION OF GROUP

 In layman’s view, a number of people together at a given place and given time
can be considered as a group.
 According to Marvin Shaw, “A group is two or more persons who are
interacting with one another in such a manner that each person influences and
is influenced by each other person.”
 In short, A group is an aggregation of people for a Common Ideology.

 TYPES OF GROUP
1) Formal Group
The line of authority forms the members of this group formally. They are
formed for specific purpose. The purpose of forming is given by the
management.
2) Informal Group
Members of this group belong to various divisions irrespective of their jobs.
These groups are formed for the purpose of solving any serious problems, or
generally for sharing the ideas about any matter related or unrelated to the
organization.
3) Reference Group
The members of these group act as a comparsions or reference for other
individuals. Individual outside the reference groups form their attitudes and
frame their personality by referring or identifying themselves with reference
groups.
4) Small Groups
They are highly effective for short-term decision-making process. This group is
restricted upto 5 members. The communications among the members of this
group are fast.
5) Friendship Group
They are a type of informal groups. These groups are basically formed to
satisfy the needs of belongingness and security.
6) Task Group
The management might from task groups inorder to accomplish some of the
organizational goals.

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7) Self-managed Team
A group of people working together in their own ways toward a common goal
which is defined outside the team.
8) Self-directed Team
A group of people working together in their own ways toward a common goal
which the team defines.
9) Command Group
It is relatively permanent and is specified by the organization chart. It
comprises of managers or superiors and subordinates, who meet regularly to
discuss general and specific ideas to improve product or service.
10) Vertical Clique
This group consists of people working in the same department drawing
membership regardless of ranks.
11) Horizontal Clique
This group consists of people of more or less the same rank and working more
or less in the same area.

 GROUP FORMATION/FORMATION OF GROUP

The process of group formation can be depicted by five stages:-

S4

S5
S3

S2

S1

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 STAGE1:- FORMING
This is the first stage of group formation. This first stage is characterized by a
sense of uncertainty and awkwardness and perhaps anxiety. In this stage,
group norms and standards are defined. This phase often shows as
tentativeness or even some anxiety on the part of participants. Leaders need to
“set the tone” for group behaviour, activities and interactions.
 STAGE2:- STORMING
This stage is characterized by individual assertive behaviour, which may result
in some group instability. In this stage each person wants to feel a sense of
individual importance and influence on the group “finding a niche”.
 STAGE3:- NORMING
This phase is known as “becoming personal”. Norming is the stage where the
group is formed and structured completely. A growth of affection and
establishment of personal relationships characterize this phase.
 STAGE4:- PERFORMING
This phase is termed as “Working together”. This phase is characterized by
harmony among group members. At this stage the group is mature enough to
attend to its own needs both in terms of task and relationship matters.
 STAGE5:- ADJOURNING
This stage is also known as “Transference”. In this stage, the group disperses
after the group activity is completed.

 NEGOITATION AND CONFLICT

 Conflict refers to “any tension which is experienced when one person perceives
that one’s needs or desires are or are likely to be frustrated”.
 According to Follet, Conflict as “the appearance of difference, difference of
opinions, of interests”.
 In short, conflict means “a disagreement between two or more individuals or
groups”.

 PROCESS OF CONFLICT
1) Potential Opposition or Incompatibility
The first step in the conflict process is the presence of conditions that create
opportunities for conflict to develop. These 3 conditions cause conflict and
are:-

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 Communication: Different words connotations, insufficient exchange

of information and noise in the communication channel are all leads to
conflict.
 Structure: The term structure is used to include variables such as size,
the degree of specialization in the tasks assigned to group members. The
larger the group and the more specialized its activities, the greater the
likelihood of conflict.
 Personal Variables: Certain personality types- for example,
individuals who are highly authoritarian lead to potential conflict.
Another reason for the conflict is the difference in value systems.
2) Cognition and Personalization
If no one is aware of a conflict, then it is generally agreed that no conflict exists
because conflict is perceived does not mean that is personalized.
For example:- ‘A’ may be aware that ‘B’ and ‘A’ are in serious disagreements
but it may not make ‘A’ tense or nations and it may have no effect whatsoever
on A’s affection towards ‘B’.
3) Intentions
Intentions are decisions to act in a given way, intentions intervene between
people’s perception and emotions and their overt behavior. Five conflict
handling intentions can be identified and are Competing (I Win, You Lose),
Collaborating (I Win, You Win), Avoiding (No Winners, No Losers),
Accommodating (I lose, You win), and Compromising (You Bend, I Bend).
4) Behaviour
The behaviour stage includes the statements, actions, and reactions made by the
conflicting parties. These conflict behaviours are usually overt attempts to
implement each party’s intentions.
5) Outcomes
The action-reaction interplay between the conflicting parties results in
consequences. These outcomes may be functional in that the conflict results in
an improvement.

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 CAUSES OF CONFLICT
1) Communication aspect of conflict
Lack of proper communication can be a cause of conflict in the following
ways:-
 Too much or too little communication.
 Filtering of communication which means that information is passed
through many levels or through many members.
 Semantic problems arises due to differences is background, training,
selection perception and inadequate information about others.
2) Behavioural aspect of conflict
Some of the causes of this aspect of conflict are:-
 The widening gap between ‘haves’ and ‘have nots’ also causes conflict,
because the unrealised expectation of under privileged causes frustration
in their mind which leads to conflict.
 Conflict between the goals of the formal organizations and the
psychological needs of the individual.
 Conflict may also be based on personal biases regarding religion, caste,
race or sex.
3) Structural aspect of conflict
These conflicts arise due to some of the factors and are:-
 The larger the size of the organizations, more will be the chances of
conflict.
 Participation of the subordinates in the decision-making process is a
cause of conflict.
 Role of ambiguity also causes conflict.

 RESOLUTION/OVERCOMING OF CONFLICT/CONFLICT
MANAGEMENT
1) Reduction in Interdependence
Interdependence among line and staff managers leads to conflict. In
organizations, such interdependence cannot be altogether avoided. However,
instead of separating the units, they can be separated physically.
2) Reduction in Shared resources
The management of conflict suggests reducing the sharing one technique for
this can be increasing the resources, so that each unit is independent in using
them.

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 Organizational Behavior

3) Trust and Communication

Individuals and groups should be encouraged to communicate openly with each
other, as a result it reduces misunderstandings.
4) Exchange of Personnel
Exchange of people is very similar to role reversal. It is aimed at greater
understanding between people by forcing each to present and defend the
other’s position.
5) Use of Superior Authority
If conflict cannot be solved by members of organization, it may be referred to a
superior, who will resolve the conflict by giving a decision.
6) Compromise and Avoidance
An individual should take a compromising stance with the attitude of give and
take and be willing to share the resources so that neither totally wins nor totally
losses and on other side when an situation is ignored or neglected that might
get better advantage of avoidance behaviour and conflict.

 ORGANIZATIONAL CHANGE
 The term change refers to “any alteration which occurs in the overall work
environment of an organization”.
 According to Organizational point of view, the term change defined as, “when
an organizational system is disturbed by some internal or external force, change
frequently occurs. Change, as a process, is simply modification of the structure
or process of a system. It may be good or bad, the concept is descriptive only”.
 In short, “Change” defined as, “making things different”.

 TYPES OF CHANGE
1) Organizational wide Range Change
Organization-wide change is a large-scale transformation that affects the whole
company. This could include restructuring leadership, adding a new policy, or
introducing a new enterprise technology.
2) Transformational Change
Transformational change specifically targets a company’s organizational
strategy. Cultural trends, social climate, and technological progress are some of
the many factors that considerably organization led to focus.

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3) Personnel Change
Personnel change happens when a company experiences hyper-growth. The
company must move forward hence hiring employees is essential for an
organization as employing new staff means and thereby achieving further
growth.
4) Unplanned Change
Unplanned change is typically defined as necessary action following
unexpected events. While unplanned change cannot be predicted it can be dealt
with in an organized manner.
5) Remedial Change
Leaders implement remedial changes when they identify a poor performance in
organization. Remedial change effort at specific problem on hand, they still
require effective organizational change strategies to be effective.

 CHANGE PROCESS
1) Clearly define change
In this step it is necessary to determine the value of the change, which will
quantify the effort and inputs. Change should always answers the questions
like,
 What do we need to change?
 Why is this change required?
2) Determine impacts
This stage focuses to form the blueprint for where training and support is
needed the most to mitigate the impacts.
 What are the impacts of the change?
 Who will the change affect the most?
 How will the change be received?
3) Develop a strategy
At this stage determine the most effective means of communication for the
group or individual.
 How will the change be communicated?
 How will feedback be managed?

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4) Providing training
It is most important to train the people inside the organization not to resist the
change. Both on-the-job and off-the-job training will improves company’s
growth.
 What behaviors and skills are required to achieve business results?
 What training delivery methods will be most effective?
5) Implement a support structure
It is essential to assist employees to emotionally and practically adjust to the
change and to build proficiency of behaviours and technical skills needed to
achieve desired business results.
 Where is support most required?
 What types of support will be most effective?
6) Measure the process
Throughout the change management process, a structure should be put in place
to measure the business impact of the changes and ensure that continued
reinforcement opportunities exist to build proficiencies.
 Did the change assist in achieving business goals?
 Was the change management process successful?
 What could have been done differently?

 FACTORS INFLUENCING CHANGE

A. INTERNAL FACTORS
1) Change in Managerial Personnel
Old managers are replaced by new managers which are necessary because of
retirement, promotion, transfer or dismissal. Each new manager brings their
ideas and way of working in the organization.
2) Nature of Workforce
The nature of the workforce has changed with time. Different work values
have expressed by different generations. The new generation of workers
has better educational value they place greater emphasis on human values
and questions the authority of managers.
3) Deficiency in Organization
Sometimes, changes are necessary because of deficiency in the present
organizational arrangement and process. These deficiencies may be in the
form of an unmanageable span of management, the large number of
managerial levels, lacks in coordination between various departments,
obstacles in communication, the multiplicity of committees, lack of

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uniformity in policy decisions, lack of cooperation between line and staff and
so on.
4) Avoid developing inertia
Organizational changes take place just to avoid developing inertia or
inflexibility. Thus, changes are incorporated so that the personnel develops
liking for change and there is no unnecessary resistance when the major
change in the organization is brought about.
B. EXTERNAL FACTORS
1) Technology
Organization has to adopt new technology. When the organizations adopt
new technology, its work structure is affecting and a new equilibrium has
to establish.
2) Marketing Conditions
Since every organization exports its outputs to the environment, an
organization has to face competition in the market. There may be two types
of forces that may affect the competitive position of an organization other
organizations supplying the same products and buyers who are buying the
product. Any change in these forces may require suitable changes in the
organization.
3) Social Change
The social change has taken place because of the several forces like the level
of education, urbanization, feeling of autonomy and international impact due
to new information sources. These social changes affect the behaviour of
people in the organization. Therefore it is required to adjust its working so
that it matches people.
4) Political and Legal Change
Political and legal factors broadly define the activities which an organization
can undertake and the methods which will follow it in accomplishing those
activities. Any change in these political and legal factors may affect the
organizational operation.

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UNIT5: RECENT TRENDS IN OB

 STRESS MANAGEMENT
 Modern definitions of stress all recognize that it is a personal experience caused
by pressure or demands on an individual, and impacts upon the individual’s
ability to cope or rather, his/her perception of that ability.

 Stress defined as a subjective feeling of tension or arousal that is triggered

By a potentially stressful situation.
For example:-Job security, Overwork, Information overload etc.

 Stress is an adaptive response to a situation that is perceived as challenging or

threatening to a person’s well-being.

 Stress has both psychological and physiological dimensions. Psychologically,

people perceive a situation and interpret it as challenging or threatening. This
cognitive appraisal leads to a set of physiological responses, such as higher
blood pressure, sweaty hands, and faster heart beat.

 TYPES OF STRESS
1) Acute Stress
Acute stress is short-term stress. Acute stress is most often caused by reactive
thinking. Negative thoughts predominate about situations or events that have
recently occurred, or upcoming situations, events, or demands in the near
future. Symptoms of acute stress are irritability, anger, sadness, tension,
headaches etc.
2) Episodic Stress
People who frequently experience acute stress, or whose lives present with
frequent triggers of stress, have episodic acute stress. People with this kind of
stress will oftentimes take on more responsibilities and projects than they can
handle. Symptoms of episodic acute stress are Migraines, Hypertension, Heart
disease etc.
3) Chronic Stress
Chronic stress occurs when someone feels trapped in a bad situation. Whether
it be an over-demanding job, an unhappy marriage, or a desperate financial
situation and so on. Symptoms of Chronic stress are Anxiety, Depression,
Sleep issues, Memory and concentration issues etc.

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 Organizational Behavior

 Causes and Consequences of Stress

Work related stress Individual Consequences of stress

Differences
a) Interpersonal stress Physiological
• Heart disease
b) Role related stress • Ulcers
• High blood pressure
• Headaches
Stress • Sleep disturbances
c) Task control stress • More illness

d) Organizational/Phys Psychological
ical Environment • Job dissatisfaction
stress • Depression
• Exhaustion
• Moodiness
• Burnout

Behavioral
• Lower job performance
• More accidents
• Faulty decisions
• Higher absenteeism
• Workplace aggression

Non work
stressors

I. Work related Stress

1) Inter personal stress
Stress arises within workplace because employees must interact more with co-
workers.
For example:-Bad boss, Office politics, sexual harassment, workplace violence,
and bullying.

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It includes the following stresses:-

 Sexual harassment
Unwelcome conduct of a sexual nature that detrimentally affects the
work environment or leads to adverse job-related consequences for its
victims.
Sexual harassment includes situations where a person’s employment or
job performance is conditional on unwanted sexual relations.
 Work place Violence
The most serious interpersonal stressor is the rising wave of physical
violence in the workplace. Employees who experience violence usually
have symptoms of severe distress after the traumatic event.
 Work place Bullying
Offensive, intimidating, or humiliating behavior that degrades, ridicules,
or insults another person at work is called work place bullying. It leads
to more absenteeism and, back on the job, have impaired decision
making, lower work performance, and more work errors.
2) Role related stress
Role-related stressors include conditions where employees have difficulty
understanding, reconciling, or performing the various roles in their lives.
Two types of role-related stressors are role conflict, role ambiguity.
 Role conflict
It refers to the degree of incongruity or incompatibility of expectations
associated with the person’s role. Conflict that occurs when people face
competing demands.
In other words, Role conflict also occurs when an employee receives
contradictory messages from different people about how to perform a
task (called intra role conflict) or work with organizational values and
work obligations that are incompatible with his or her personal values
(called person-role conflict).
 Role ambiguity
Role ambiguity refers to the lack of clarity and predictability of the
outcomes of one’s behavior.
In other words, role ambiguity refers to uncertainty about job duties,
performance expectations, level of authority, and other job conditions.
3) Task control stress
Employees are more stressed when they lack control over how and when they
perform their tasks as well as over the pace of work activity.
4) Organizational and Physical environment stress
Organizational and physical environment stressors come in many forms.
Organizations create stress by altering the psychological contract, reducing job
security, and restructuring and downsizing employment.

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 Organizational Behavior

physical work environment, such as excessive noise, poor lighting, and safety
hazards. For example, a study of textile workers in a noisy plant found that
their levels of stress measurably decreased when supplied with ear protectors.
II. Non work Stress
There are three types of these non work stressors: time based, strain-based, and
role-based conflict.
 Time based stress
It refers to the stress of trying to balance time at work with family. The
challenge of balancing the time demanded by work with family and
other non work activities.
This stressor is particularly noticeable in employees who hold strong
family values and weakest in people whose values emphasize a work-
-life imbalance.
 Strain-based conflict
Strain-based conflict occurs when stress from one domain spills over
into the other. Relationship problems, financial difficulties, and loss of a
loved one usually top the list of non work stressors. New responsibilities
such as marriage, birth of a child, and a mortgage are also stressful to
most of employees.
 Role behavior conflict
It occurs when people are expected to enact different work and non
work roles. People who act logically and impersonally at work have
difficulty switching to a more compassionate behavioral style in their
personal lives.
For example:-one study found that police officers were unable to shake
off their professional role when they left the job. This was confirmed
by their spouses, who reported that the officers would handle their
children in the same manner as they would people in their job.

III. Consequences of stress

1) Physiological Consequences
Many people experience tension headaches due to stress. Others get muscle
pain and related back problems. These physiological ailments are attributed to
muscle contractions that occur when people are exposed to stressors.
2) Psychological Consequences
Stress produces various psychological consequences, including job satisfaction,
moodiness, and depression. Emotional fatigue is another psychological
consequence of stress and is related to job burnout.
3) Behavioral Consequences
When stress becomes distress, job performance falls and workplace accidents
are more common. High stress levels impair our ability to remember
information, make effective decisions, and take appropriate action. This might
probably experience in an exam or emergency work situation. This kind of

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 Organizational Behavior

stress makes us to forget important information, make mistakes, and otherwise

“draw a blank” under intense pressure.

 Ways of overcoming the stress

Some of the ways to reduce the stress as explained below:-
1) Flexible work time
Some firms are flexible about the hours, days, and amount of time employees
want to work.
For example:-Providing work–life program gives employees the freedom to
rearrange their work schedule to accommodate family events, from attending
their kids’ sports activities to caring for elderly parents.
2) Job Sharing
Job sharing splits a career position between two people so they experience less
time based stress between work and family. They typically work different parts
of the week with some overlapping work time in the weekly schedule to
coordinate activities.
3) Telecommuting
This reduces the time and stress of commuting to work and makes it easier to
fulfill family obligations, such as temporarily leaving the home-office to pick
the kids up from school. Research suggests that telecommuters experience a
healthier work–life balance.
4) Personal leave programs
Employers with strong work–life values offer extended maternity, paternity,
and personal leaves to care for a new family or take advantage of a personal
experience. Increasingly, employees require personal leave to care for elderly
parents who need assistance.
5) EAPs (Employee assistance programs)
EAPs are counseling services that help employees overcome personal or
organizational stressors and adopt more effective coping mechanisms.
Most EAPs are “broad brush” programs that counsel employees on any work
or personal problems.
6) Receive social support
Social support from co-workers, supervisors, family, friends, and others is one
of the more effective stress management practices. Social support refers to the
person’s interpersonal transactions with others and involves providing either
emotional or informational support to buffer the stress experience.
For example: social support might reduce a new employee’s stress
because co-workers describe ways to handle difficult customers.
Finally, emotional support from others can directly help to buffer the stress
experience.

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 ORGANIZATIONAL CULTURE
 It refers to a system of shared assumptions, values and beliefs that show
employees what is appropriate and inappropriate behaviour.
 In short, it is an effective control mechanism for dictating “employee
behaviour”.
CROSSS-CULTURE AND CULTURAL DIMENSION
 Cross Culture
 A business environment where participants from different countries interact
each other and exchange different values, practices etc.
 In short, cross-culture deals with making comparisons between two or more
countries culture and areas.
 Cultural Dimension
 Cultural dimensions are the psychological dimensions, or value constructs,
which can be used to describe a specific culture.
 Cultural dimensions are the new phases which are used to compare countries
based on national cultural differences and similarities.
 There are major dimensions of organizational culture and are:-
1) Dominant culture and Sub-culture
A dominant culture is a set of core values shared by a majority of the
organization’s members. The dominant culture is macro view which
helps and guide the day-to-day behaviour of employees.
A sub-culture is a set of values shared by a small minority of
organization’s members. Sub-culture arises as a result of problems that
are shared by members of the organization.
2) Strong culture and Weak culture
Strong culture refers to the degree of commitment of the organization’s
members to the core values. On the other hand weak culture is just the
reverse of strong culture in every aspect where there is no intensity and
commitment.
3) Mechanistic and Organic cultures
Mechanistic is a type of culture which exhibits bureaucracy. Here,
people restrict their careers to their own specialization only whereas
organic culture is just opposite to mechanistic culture there is no
prescribed specialization, hierarchies and authority.

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 Organizational Behavior

4) Authoritarian and Participative cultures

In authoritarian culture power is centralized in the leader and all
subordinates are expected to obey the orders strictly. But in
participative culture all the people working in the organization are
having freedom to participate in decision-making process of a company.
5) National culture V/S Organizational culture
Organizational and national culture is always influenced by the culture
of the land where the company belongs too. For example, any company
operating in India, whether Indian or foreign origin, it always observes
both its home and local culture for instance, Domino’s, MC Donald etc.

 Cross-culture Training
 Cross cultural training refers to the training given to employees related to
the cultural differences between nations, the awareness of which helps in
running smooth business across the nations.
 Cross-cultural training was defined as a procedure or practice used to
increase an individual’s ability to cope with cross-cultures and perform well
in a new cultural environment.
 It includes:-
 Expatriate: Expatriates are employees of organizations in one country
who are assigned to work in other countries on long- or short-term
business projects. The experience of expatriate helps organizations
develop their management skills base and their ability to succeed in a
global marketplace.
 Repatriate: Repatriation refers to returning employees who were sent
overseas by their employing organizations on either a short (e.g. 3–12
months) or long-term (e.g. over 12 months) basis who are expected to
complete a time-based task.

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 Organizational Behavior

 Indian Ethos
Ethos is a set of beliefs, ideas, etc., about social behaviour and relationship of a
person or group. Indian ethos refers to the principles of self-management and
governance of society, entity or a system by wisdom as revealed and brought-
forth by great scriptures like Veda, Upanishads, Gita, Mahabharata, Bible and
Quran.
According to Oxford Advanced Learner’s Dictionary, “Ethos are the moral
ideas and attitudes that belong to a particular group or society”.

 PRINCIPLES OF INDIAN ETHOS

 Immense potential, energy and talents for perfection, as a human being has
the spirit within his heart.
 Holistic approach indicating unity between the Divine (the Divine means
perfection in knowledge, wisdom and power), individual self and the
universe.
 Karma yoga (selfless work) offers double benefits, private benefit in the
form of self-purification and public benefit.
 Yogah karmasu kaushalam, which means excellence at work through self
motivation and self development with devotion and without attachment.
Cooperation is a powerful instrument for team work and success in any
enterprise involving collective work.

 INNOVATION AND KNOWLWDGE MANAGEMENT

 Knowledge management is the process of creating, sharing, using and
managing the knowledge and information of an organization.
 In other words, knowledge management is any system that helps people in an
organization share, access, and update business knowledge and information.
 NEED/ROLE/IMPORTANCE/GOAL OF INNOVATION &
KNOWLEDGE MANAGEMENT
1) Employee awareness
It helps the employees to be aware of their tasks and responsibilities. It
facilitates the employees to save their time and efforts to acquire it as it can
be acquired at anywhere.
2) Adapt organizational change
Knowledge management helps to develop, and retain old knowledge. Thus,
such knowledge helps to adapt the organizational change.

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 Organizational Behavior

3) Helps in decision making

It helps to gain from experience and through it gives us an idea about
present and future and also it develops a sense of analysing information by
making a effective decision.
4) Availability of information
All the information is stored in knowledge store such information can be
transferred from one employee to another employee at anytime.
5) Goal achievement
It increases the speed of the response of employees as a result it develops
competence and confidence in an organization to achieve goal faster.

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 (17E00101) MANAGEMENT & ORGANIZATIONAL BEHAVIOUR
Objective of the course is to give a basic perspective of Management theories and Practices. This will
form foundation to study other functional areas of management and to provide the students with the
conceptual framework and the theories underlying Organisational Behaviour.

1. Role of Management – Concept – Significance – Functions – Principles of Management - Patterns of

Management: Scientific – Behavioural – Systems – Contingency.
2.Decision Making & Controlling – Process – Techniques. Planning – Process – Problems –– Making It
Effective. Controlling - System of Controlling – Controlling Techniques – Making Controlling Effective
3. Individual Behaviour & Motivation – Understanding Individual Behaviour – Perception – Learning –
Personality Types – Johari window- Transactional Analysis- Motivation – Concept of Motivation -
Motivational Theories of Maslow, Herzberg, David Mc Clelland, and Porter and Lawler

4.Group Behavior & Leadership: Benefits of Groups – Types of Groups – Group Formation and
Development. Leadership and Organizational Culture and Climate: Leadership – Traits Theory –
Managerial Grid – Transactional Vs Transformational Leadership – Qualities of good leader- Women
Leadership in India.

5. Organisational Behaviour–Organizing Process – Departmentation Types – Making Organizing

Effective – Organisational culture- Types of culture – Organisational Culture Vs Organisational climate -
Conflict management - Change Management

Textbooks:

 Organisational Behaviour, Stephen P. Robbins, Pearson Education

 Management and Organisational Behaviour, Subbarao P, Himalaya Publishing House
 Principles of Management, Koonz,Weihrich and Aryasri, Tata McGraw Hill.
References:

 Organisational Behaviour ,S.S.Khanka, S.Chand

 Organisational Behaviour , Mishra .M.N ,Vikas
 Management and Organisational behaviour, Pierce Gordner, Cengage.
 Behaviour in Organizations, Hiriyappa .B.New Age Publications
 Organisational Behaviour, Sarma, Jaico Publications.
 Principles of Management ,Murugesan ,Laxmi Publications
 INDIVIDUAL BEHAVIOUR & MOTIVATION

4. PERSONALITY TYPES

INTRODUCTION ABOUT PERSONALITY

 The word personality can be traced to the Latin words person who is translated
as to speak through.
 Personality is the collection of all possible ways in which an individual reacts and
communicate with others.
 Personality is an integrated system which includes both the aspects of a person
the one which are inherited as well as those that are learned.
 Personality is an important factor influencing an employee’s behaviors.
 People’s personality plays an important role in determining their
 success and also that of the organization they are associated with.
 An individual’s personality is the combination of traits and patterns that
influence their behavior, thought, motivation, and emotion.
 It drives individuals to consistently think, feel, and behave in specific ways; in
essence, it is what makes each individual unique.
 Over time, these patterns strongly influence personal expectations, perceptions,
values, and attitudes.

The personal quality is well known as

personality
 DEFINITION OF PERSONALITY

1. The sum totals of ways in which in individual reacts to and interacts with other.

ROBBINS

2. Personality means how a person affects other and how he understands and views
himself as well as the patterns of inner and outer measurable traits and the situation
interaction. FRED LUTHANS

3. Macionis define as “It is the constant pattern of thinking, feeling and acting.”

4. Ogburn and Nimkoff define it as the totality of sentiments, attitudes, idea, habits, skills
and behaviors of an individual.”

PERSONALITY TYPES

EXTROVERSION AGREEABLENESS

EMOTIONAL STABILITY
CONSCIOUSNESS

OPEN TO
EXPERIANCE
I. EXTROVERSION

 People get the energy from their preferences of extroversion or introversion.

EXTROVERSION: as a behavior where someone enjoys being around people more than
being alone.

INTRAVERSION: someone who is shy quiet and prefers to spend time alone.

 Extroversion type people develop and maintain wide range of social network while
the introversion type people narrow down their relationships to a few people.
 Extroverts are assertive sociable talkative etc. they prefer relationships over quality
and quality of output.
 Extroverts at workplace prefer variety and they don’t mind the interruption of work
place by people.
a. SOCIABILITY
 It is the ability of a person in maintains interrelationship within a social group.
 The employees with high skills create nature and develop social networks. Such
employees never eel the social relations as disturbance at the workplace.
b. TALKTIVE
 People with talkative skills are with open mind and speak their mind to others
many executives with their speaking skills attract and influence the subordinates
regarding their job behaviors and performance.

II. AGREEABLE NESS

 Individuals with agreeable traits (particular characteristic) think from the view point
of their employees or clients accept the proposal needs or requests of the
employees.
 Highly agreeable people are co-operative warm and trusting where as less
agreeable people are cold, (soft) disagreeable and antagonistic.
a. GOOD NATURED
 It includes respecting the employees ideas views opinions values and considering
them in decision making.
 It includes involving the employees in decisions making helping and guiding them in
their work.
b. CO-OPERATIVE
 Co operative traits regarding attitude and practice of superiors of an organization
help the company in moulding the job behavior and increasing the job
performance.
c. TRUSTING
 Trust is worthiness of being relied upon confidence in the truth of anything. It is
resting on the integrity.

III. CONSCIOUSNESS

 It refers to governing or regulating the work activity by conscience persons

with a high level of conscientiousness are reliable organized dependable and
persistent.
a. RESPONSIBLE
 The responsible trait of the individuals them to take up the work activities
with without delegation and makes the superior to concentrate on policy
issues.
 It improves the job performance of the employees.
b. DEPENDABLE
 Sub ordinates commit themselves to organizational goals take up the
responsibility and carryout the organization activates that contribute to the
strategy even they are not assigned them.
 c. ACHIVEMENT ORIENTED
 Employees translate the objectives into achieve goals based on ground
realities and conditions and achieve the goals to a larger extent.

IV. EMOTIONAL STABILITY

 Some executives absorb the actions reactions views feelings attitudes

outcome of activities etc and maintain stability of their emotions.

V. OPENESS TO EXPERIENCE

 Executives are expected to be open to new job experiences learn absurd and
integrate them with previous experiences and knowledge.
a. IMAGINATIVE
 All the business ventures come into existence only after they cross the stage
of imaginative or projective.
b. ARTISTICALLY SENSITIVE
 Employees should be sensitive to all types of changes in the environment and
imagination.
 With this employees learn much from the environment.
c. INTELLECTUAL
 It enables the individuals to think and analyze rationally and understand
systematically.
 It helps the employees to make efficient decisions.
5. JOHARI WINDOW

 The JOHARI WINDOW model was devised by American psychologists JOSEPH LUFT
and HARRY INASHAM in 1955.
 This concept is particularly helpful to understanding employees/employer
relationships with the psychological concept.
 The JOHARI WINDOW model can also be used to assess and improved a group’s
relationship with other groups

1 open/free area 2 blind area

3 hidden areas 4 un-known area

1. OPEN/FREE AREA
 It shows the behavior motives attitudes knowledge skills of an individual that
he/she is awareness of and is willing to share it with others.
 The open self is characterized as a state where in the individual is open and straight
forward to him and others also
 2. BLIND AREA
 The blind self shows the state of an individual known to others but not known to
him.
 Johari region 2 is what is known about a person by others in the group, but
is unknown by the person him/herself.
 By seeking or soliciting feedback from others, the aim should be to reduce this area
and thereby to increase the open area (see the Johari Window diagram below), ie,
to increase self-awareness.
 This blind area is not an effective or productive space for individuals or groups.
 A blind area could also include issues that others are deliberately withholding from
a person. We all know how difficult it is to work well when kept in the dark

3. HIDDEN SELF
 This quadrant of the JOHARI WINDOW shows the state of an individual known to
him but not known to the others.
 This is generally seen in the individual who are introvert and do not like to share
their private lives with anyone.
 The individual keeps his feelings, ideas thought to himself and do not disclose it in
front of the others.
 The hidden area could also include sensitivities, fears, hidden agendas,
manipulative intentions, and secrets - anything that a person knows but does not
reveal, for whatever reason.
 It's natural for very personal and private information and feelings to remain hidden,
indeed, certain information, feelings and experiences have no bearing on work, and
so can and should remain hidden.
4. UNKNOWN SELF

 The Information which are unaware to yourselves as well as others. This includes
the information, feelings, capabilities, talents etc.
 This can be due to traumatic past experiences or events which can be unknown for
a lifetime.
 The person will be unaware till he discovers his hidden qualities and capabilities or
through observation of others.
 Open communication is also an effective way to decrease the unknown area and
thus to communicate effectively.

6. TRANSACTIONAL ANALYSIS

 Transactional refers to the communication exchanges between people

 Transactional analysis is theory of personality and human interactions
 Transactional analysis is a powerful tool to bring about human well being
transactional analysis proposed by the originator Dr. ERIC BERNERNE, MD
 Transactional analysis is based on a very simple in which each person is considered
to have three primary personality modes or ego states parent adult and child.
 Transactional analysis is a technique used to help people better understand their
own and others behavior especially in interpersonal relationship.
 Transactional Analysis is a social psychology and a method to improve
communication.
 The theory outlines how we have developed and treat ourselves, how we relate
and communicate with others, and offers suggestions and interventions which will
enable us to change and grow.
 Transactional Analysis is underpinned by the philosophy that:

 people can change

 we all have a right to be in the world and be accepted

UNIT-III- INDIVIDUAL BEHAVIOUR & MOTIVATION | BALAJI INST OF IT & MANAGEMENT

 EGO STATES

Parent adult child

a. PARENT
 The parent ego states includes the attitudes and behaviors of all those people who
are emotionally significant and act as parent.
 The parent represents a massive collection of recordings in the brain of external
events experienced or perceived in approximately the first 5 years of life.

EXAMPLES OF RECORDING IN THE PARENT

 Never talk to strangers

 Always chew with your mouth closed
 Look both ways before you cross the street

UNIT-III- INDIVIDUAL BEHAVIOUR & MOTIVATION | BALAJI INST OF IT & MANAGEMENT

 b. ADULT
 The adult ego state is authentic, direct, reality based, fact seeking and problem
solving.
 They assume that human beings as equal, worthy and responsible.
 The process of adult ego state formation goes through one’s own experiences and
continuously updating attitudes left over from childhood.
 People with adult ego state, gather relevant information, carefully analyse it,
generate alternatives and make logical choices.
c. CHILD
 The child ego state is characterized by very immature behaviour.
 The important features of child ego state are creativity, anxiety, depression,
dependence, fear, joy, emotional sentimental etc.

7. MOTIVATION

 Every human action is the result of a read or desire

 Motivation is defined as an urge in an individual to perform goal directed behavior.
 Therefore, motivation cannot be inflicted from outside but it is an intrinsic desire in
a man to achieve the target goal through performance or activity.
 Motivation is the reason for people's actions, willingness and goals
 Motivation is one's direction to behavior, or what causes a person to want to
repeat a behavior, a set of force that acts behind the motives.
 An individual's motivation may be inspired by others or events (extrinsic
motivation) or it may come from within the individual (intrinsic motivation)
Motivation has been considered as one of the most important reasons that inspires
a person to move forward.
 Mastering motivation to allow sustained and deliberate practice is central to high
levels of achievement e.g. in the worlds of elite sport, medicine or music.

UNIT-III- INDIVIDUAL BEHAVIOUR & MOTIVATION | BALAJI INST OF IT & MANAGEMENT

8. CONCEPT OF MOTIVATION

 Motivation is derived from the word motive a motive is an inner state that energies
activities or moves and directs behavior towards goals.
 Motivation represents an unsatisfied need which creates a state of tension or
disequilibrium causing the individual to move in a goal directed pattern towards
restoring a state of equilibrium by satisfying the need.
 Motivation is a process that starts with defiance the process of motivation lies in
the meaning of and relationship among needs drivers and incentives.
 Motivation can be positive or negative goals form a part of the motivational
process. Goal achievement results in the satisfaction of want.
 Motivation is basically internal to a person and it varies from person to person. It is
a going process.
 Positive motivation is based on incentives or rewards and negative motivation is
based on penalties fear etc.
 Motivation is the force which energizes human behaviors.

NEED DRIVE GOALS/INCENTIVES

(Deficiency) (Deficiency with direction) (Reduction of drives & fulfils
deficiencies)

NEED: need is defiance needs are created whenever there is a physiological or

psychological imbalance.

DRIVE: drive is a deficiency with direction. They are action oriented and provide an
emerging trust towards goal accomplishment.

INCENTIVES: incentives are anything that will alleviate a need to reduce a drive.

UNIT-III- INDIVIDUAL BEHAVIOUR & MOTIVATION | BALAJI INST OF IT & MANAGEMENT

 SIGNIFICANCE OF MOTIVATION

 Motivation identifies employee potentialities and makes the employees to know his
potentialities
 Mitigation concerts motivated employees into committed and loyal employees
 Motivation results in exploring potentialities development of skills knowledge and
abilities
 Motivation concerts the potentialities into performance.
 Motivated employees explore the alternative methods of performing a task and
they select a better method than the existing method.
 Motivated employees use their innovative and creative skills, talents etc.

Significance of motivation

Increase in productivity human resource optimum utilization basis for co-

Development of other resource operation

a. INCREASE IN PRODUCTIVITY
 Motivated workless exert at all their energies towards the job. This would in turn
result in increase the employee efficiency and there by productivity.
 The committed employees do the work in a better way and also reduce the
wastage which in turn contributes to higher productivity.
b. HUMAN RESOURCE DEVELOPMENT
 Motivated employees behave positively maintain sound human relations congenial
superior subordinate results
 The present day high technology and software industries depend upon highly self
motivated employees.

UNIT-III- INDIVIDUAL BEHAVIOUR & MOTIVATION | BALAJI INST OF IT & MANAGEMENT

 c. OPTIMUM UTILIZATION OF OTHER RESOURCES
 All other resource without human resource can produce nothing.
 The motivated human resources utilize all other resources to the optimum extent
&maximize productivity.
d. BASIS FOR CO-OPERATION
 Motivation makes the people understand each other completely leads to group
work and team spirit.

9. MOTIVATIONAL THEORIES

MASLOW THEORY

 The most popular and important content theories of motivation are the MASLOW’S
theory.
 MASLOW’S theory is based on the hierarchy of five human needs
 Maslow a humanistic psychologist believed that people are not merely controlled
by mechanical forces or unconscious instinctual impulses of psychoanalysis.
 Maslow set up a hierarchical theory of needs in which all the basic needs are at the
bottom and the needs concerned with man’s highest potential are t the top.
 Maslow’s need hierarchy theory has received wide recognition, particularly among
practicing managers.

UNIT-III- INDIVIDUAL BEHAVIOUR & MOTIVATION | BALAJI INST OF IT & MANAGEMENT

i. PHYSIOLOGICAL NEEDS

 These are basic necessities of human life food water, shelter sleep etc.
 Maslow says that until these needs are satisfied to the required level man does not
aim for the satisfaction of the next higher level needs.
 In the organization context needs are represented by employees concern for salary
and basic working conditions.
 It is the duty of managers to ensure that these needs of the employees are met so
that they can be motivated to strive for gratification of higher order needs.

ii. SECURITY OR SAFETY NEEDS

 These refer to the need to be free of physical danger or the feeling of loss of food
job shelter. Security needs spring up the moment the makes and effort in the
direction of providing himself the source of continuity of physiological needs.
 Security needs in the organizational context correlate to such factors as job security
safe working conditions unionization and lobbying (seek to influence) for protective
legislation. Managerial practices to satisfy the safety needs of employee include
pension scheme group insurance provident fund etc.

iii. SOCIAL OR ACCEPTANCE NEEDS

 These social needs begin occupying the mind of a man. An individual motivated on
this level longs for affectionate relationship with others namely for a place in his or
her family and reference group.
 In organizational context social needs represents the need for a compatible work
group peer acceptance friendly supervision etc.
 Managers do well to encourage informal groups besides supervision needs to be
effective and friendly behavior with sub ordinates pays.

UNIT-III- INDIVIDUAL BEHAVIOUR & MOTIVATION | BALAJI INST OF IT & MANAGEMENT

iv. SELF-ESTEEM NEEDS

 These needs are power prestige status and self confidence.

 Every man has a feeling of importance and he wants other to regard him highly.
 These needs more people aim high and make them achieve something great.
 Those needs for employees include status symbols awards, promotions titles etc.

V. SELF-ACTUALIZATION NEEDS

 This is the highest needs in the hierarchy man tries to maximize his potential and
accomplish something when this need is activated in him.
 By being aware of the self actualization needs of subordinates mangers can use a
variety of approaches to enable subordinates to achieve personal as well as
organization goals.

HERZBERG’S TWO FACTOR THEORY

 HERBERG constructed a two dimensional paradigm of factors affecting peoples

attitude about work.
 According to the theory the absence of hygiene factors can create job
dissatisfaction but their presence does not motivate or create satisfaction
Herzberg’s theory is also called motivation hygiene theory.
 According to Herzberg, today’s motivators are tomorrow’s hygiene because the
latter stop influencing the behavior of persons when they get them.
 Accordingly, one’s hygiene may be the motivator of another.

UNIT-III- INDIVIDUAL BEHAVIOUR & MOTIVATION | BALAJI INST OF IT & MANAGEMENT

 Hygiene factors motivational factors

Pay recognition
Company policies promotional opportunities
Fringe benefits responsibilities
Status achievement
Interpersonal relations

A. HYGIENE FACTOR
 These factors are those motivating factors whose presence motivates the
employees at the work place but for a limited period only.
 These factors play a very important role in creating a healthy work environment
which ultimately fulfils the physiological needs of the employees.

SOME OF HE HYGIENE FACTORS LIKE

(i) PAY
 The salary structure of the employees should be set according to the market value.
 Salary paid to the employees working at save position in different organizations
should remain same.

ii. COMPANY POLICIES

 The policies set by the company should be flexible unbiased and transparent in
nature.
 Rigidity in working hour’s leaves breaks etc can make the working environment un-
comfortable for the employees.

UNIT-III- INDIVIDUAL BEHAVIOUR & MOTIVATION | BALAJI INST OF IT & MANAGEMENT

 iii. FRIENGE BENEFITS

 Fringe benefits in the form of medical claim benefit plays for family assistance
employees to a greater extent.

iv. STATUS

 The employees should be given proper respect in the organization

 They should have a well known status within the organization which must be
retained by the firm

V. INTER PERSONAL RELATIONS:

 The relationship between the employee and his colleagues his superiors and juniors
should be healthy and understandable.

B.MOTIVATIONAL FACTORS

 These factors are associated with positive feelings of employees about the job
 Motivational factors are necessary to keep job satisfaction and job performance
high.
(i) RECOGNITION
 Managers should motivate the employees by praising and appreciating them for
their hard work and good performance.
(ii) PROMOTIONAL OPPORTUNITIES
 Another way by which an organization can motivate its employees is by providing
them with numersous opportunities for their advancement that can help them in
their career growth.
(iii) RESPONSIBILITY:
 Employees should be made sale responsible for their performance and must be
provided with job ownership.

UNIT-III- INDIVIDUAL BEHAVIOUR & MOTIVATION | BALAJI INST OF IT & MANAGEMENT

 (iv) ACHIEVEMENT
 While performing any job employees must develop a sense of achievement
 They must realize that their hard work will be rewarded at the end of the day.
For this managers can use some sort of rewards to motivate the employees.

DAVID ME CLELLAND THEORY

 It was in the late 1940’s that DAVID C. MC CLETLLAND and his friends began to
study 3 needs that motivate human behavior power affiliation and achievement.
 MC CLELLAND believes that each person has a need for all the three.

THE THEORY FOCUS ON THREE NEEDS LIKE

Need for achievement need for power need for affiliation

UNIT-III- INDIVIDUAL BEHAVIOUR & MOTIVATION | BALAJI INST OF IT & MANAGEMENT

 A. NEED FOR ACHIEVEMENT
 Employees with a high need for achievement derive satisfaction from achieving
goals.
 Need for achievement refers to the drive to excel to achieve in relation to set
standards and to strive to succeed.
 MC CLELLAND and his associates have made specific suggestions for developing a
high achievement need.
 Give employee periodic feedback on performance. This will provide information
that will enable them to modify or correct their will enable them to modify or
correct their performance.
 Provide good models of achievement employees who are “heroes” should be
available for others to emulate.
 Avoid tasks that are either extremely difficult or extremely easy.

McClelland identified the following three characteristics of high-need

achievers:
 High-need achievers have a strong desire to assume personal responsibility for
performing a task for finding a solution to a problem.
 High-need achievers have a strong desire for performance feedback.
B. NEED FOR POWER
 The employee exhibiting the needs for power derives satisfaction from the ability
to control others.
 Individuals with a high npow derive satisfaction from being in position of influence
and control.
 Organizations that foster power motive tend to attract individuals with a high need
for power (for ex: military and political organizations)
 People with high order need for power prefer to be placed in competitive and
status oriented situation.

UNIT-III- INDIVIDUAL BEHAVIOUR & MOTIVATION | BALAJI INST OF IT & MANAGEMENT

People who have a high need for power are characterized by:
1. A desire to influence and direct somebody else.
2. A desire to exercise control over others.
3. A concern for maintaining leader-follower relations.
C.NEED FOR AFFILIATION
 Need for affiliation refer to the desire for friendly and close interpersonal
relationship
 The new employees who come from various places organizations educational and
social back grounds normally have the need for affiliation.
 They possess senility towards others there is a need to form strong interpersonal
ties and to get close to people psychologically.

The people with high need for affiliation have these characteristics:
1. They have a strong desire for acceptance and approval from others.
2. They tend to conform to the wishes of those people whose friendship and
companionship they value.
3. They value the feelings of others.
9.4. PORTER AND LAWLER MODEL

 This theory deals with effort performance rewards and satisfaction.

 LYMAN PORTER & EDWAR LAWLER, two OB researchers developed on expectancy
model of motivation that stretches beyond vroom’s work. This model attempted to
o Identify the source of people valences and extensities and
o Link effort with performance and job satisfaction
 According to performance is a function of three important factors like
 If an employee wants to perform the must be motivated.
 Motivation alone does not ensure performance and hence a person must have the
necessary abilities and skills as well.
 An employee must have an accurate knowledge of the requirements of the job.

UNIT-III- INDIVIDUAL BEHAVIOUR & MOTIVATION | BALAJI INST OF IT & MANAGEMENT

FOLLOWING ARE THE KEY VARIABLES IN THIS MODEL

Effort performance reward satisfaction

a. EFFORT
 Effort does not directly lead to specific level of performance. Effort is only the
amount of energy exerted by an individual to achieve specific task.
 It is only the result of attractiveness of the reward and how he perceives a relation
between effort and pay off.
b. PERFORMANCE
 Effort alone is not enough as performance results only when the effort is continued
with ability
 Effort and performance cannot be taken to the same.
c. REWARD
 A person gets intrinsic reward himself by performance a task well.
 Intrinsic reward will be a feeling of accomplishment.
 Extrinsic rewards like pay promotion and status offered by the organization.
d. SATISFACTION
 The satisfaction depends on the perceived rewards and the actual rewards.
 If an individual fells that he should have received more for what he had done it
results in dissatisfaction and vice versa.
 Thus motivation and achievement result in satisfaction and dissatisfaction of an
employee about the job, organization etc.

UNIT-III- INDIVIDUAL BEHAVIOUR & MOTIVATION | BALAJI INST OF IT & MANAGEMENT

DIAGRAM OF PORTER AND LAWLER MODEL

Perceived
equitable
Abilities &
Value of reward 8
traits 4
reward 1

Intrinsic Satisfaction
reward 7A
Performance 9
Effort 3 accomplish -
ment 6
Extrinsic
reward 7B

Perceived effort Role 5

reward perceptions
probability 2

UNIT-III

1. What is individual behavior? What are the factors that affect on individual
behavior?
2. Compare and contrast Maslow’s theory of motivation and Herzberg two
factor theory of motivation?
3. What is meant by transactional analysis? What is its importance in
understanding people in organization?
4. What is meant by motivation? Explain any two theories of motivations which
are applicable to present organizations?
5. What is Johari window? Discuss the stages of personality development?
6. Define motivation. Explain Herzberg motivational theory?

UNIT-III- INDIVIDUAL BEHAVIOUR & MOTIVATION | BALAJI INST OF IT & MANAGEMENT

 (17E00101) MANAGEMENT & ORGANIZATIONAL BEHAVIOUR
Objective of the course is to give a basic perspective of Management theories and Practices. This will
form foundation to study other functional areas of management and to provide the students with the
conceptual framework and the theories underlying Organisational Behaviour.

1. Role of Management – Concept – Significance – Functions – Principles of Management - Patterns of

Management: Scientific – Behavioural – Systems – Contingency.
2.Decision Making & Controlling – Process – Techniques. Planning – Process – Problems –– Making It
Effective. Controlling - System of Controlling – Controlling Techniques – Making Controlling Effective
3. Individual Behaviour & Motivation – Understanding Individual Behaviour – Perception – Learning –
Personality Types – Johari window- Transactional Analysis- Motivation – Concept of Motivation -
Motivational Theories of Maslow, Herzberg, David Mc Clelland, and Porter and Lawler

4.Group Behavior & Leadership: Benefits of Groups – Types of Groups – Group Formation and
Development. Leadership and Organizational Culture and Climate: Leadership – Traits Theory –
Managerial Grid – Transactional Vs Transformational Leadership – Qualities of good leader- Women
Leadership in India.

5. Organisational Behaviour–Organizing Process – Departmentation Types – Making Organizing

Effective – Organisational culture- Types of culture – Organisational Culture Vs Organisational climate -
Conflict management - Change Management

Textbooks:

 Organisational Behaviour, Stephen P. Robbins, Pearson Education

 Management and Organisational Behaviour, Subbarao P, Himalaya Publishing House
 Principles of Management, Koonz,Weihrich and Aryasri, Tata McGraw Hill.
References:

 Organisational Behaviour ,S.S.Khanka, S.Chand

 Organisational Behaviour , Mishra .M.N ,Vikas
 Management and Organisational behaviour, Pierce Gordner, Cengage.
 Behaviour in Organizations, Hiriyappa .B.New Age Publications
 Organisational Behaviour, Sarma, Jaico Publications.
 Principles of Management ,Murugesan ,Laxmi Publications

UNIT-IV GROUP BEHAVIOR & LEADERSHIP | BALAJI INST OF IT & MANAGEMENT

 UNIT-4

GROUP BEHAVIOR AND LEADERSHIP

1. BENEFITS OF GROUPS

INRODUCTION ABOUT GROUPS

 A group is any collection of individuals who have mutually dependent relationship
 A group is an important subsystem is any organization
 Group is combination of two or more people formed with a purpose of achieving
their common and shared goals through their interactive effort.
 Working in groups is not always a pleasant job.

CHARACTERISTICS OF EFFECTIVE GROUPS

 Groups should have relaxed comfortable and information atmosphere.

 Members should more good listening skills patience and participate in task related
discussions.
 Group members should have an understanding of each other’s strengths and
weakness.
 Group roles should be clearly determined and assigned.
 Group decisions should be based on conscious and agreement.
BENEFITS OF GROUPS

 Working in groups can be challenging when you have different personalities on

the team, but the collaborative work also provides benefits to the company and
individual employees.
 The staff members may need practice and training in working as a team for
those benefits to become apparent.

UNIT-IV GROUP BEHAVIOR & LEADERSHIP | BALAJI INST OF IT & MANAGEMENT

 shared experince & Fact checking
knowledge Idea generation

Encourage healthy
support Build trust risk-taking

1. Shared Experience and Knowledge

 Each employee comes to a company with a certain set of relevant skills and
knowledge. Some of those experience areas overlap while others are distinct to
one or two employees.
 When you group employees for work projects, everyone gets the advantage of
shared knowledge and experience.
 That pooled work experience makes it easier to tackle a difficult project with
different facets. If an employee works individually on a project, he might struggle
with some aspects of it because of limited experience.
 In a group, he can draw on the expertise of his colleagues and potentially expand
his own knowledge.
2. Idea Generation
 The team environment requires employees to discuss the project. This leads to
more ideas being generated. The discussion may encourage greater creativity and
push the members to think of new ideas.
 Discussing the project may also be better for finding solutions to problems. When
working individually,
 An employee is limited to her own ideas on the project without the perspective of
her colleagues.
 Employees may discover new ways to approach a particular task that is more
effective
UNIT-IV GROUP BEHAVIOR & LEADERSHIP | BALAJI INST OF IT & MANAGEMENT
3. Fact Checking
 Individual projects rely on one employee to get the facts straight without any
mistakes.
 With multiple people working on the same project, you have a built-in system of
checks and balances.
 When all team members are actively engaged in the project, they are more likely to
catch a mistake before it turns into a major problem.

4. Support

 The sense of security and support a team creates may encourage employees to
take more risks.
 Where an employee may be conservative when working on an individual project,
she may find encouragement and inspiration from team members to push herself
further.
 Working individually sometimes creates a sense of isolation and makes employees
feel as if they have no one else behind them.
 The support of the team environment helps some employees increase productivity
and become more motivated at work.

5. Builds Trust

 Relying on other people builds trust, and teamwork establishes strong relationships
with coworkers.
 Despite occasional disagreements, an effective team enjoys working together and
shares a strong bond.
 When you put your trust in a coworker, you are establishing the foundation of a
relationship that can endure minor conflicts.
 Trusting your teammates also provides a feeling of safety that allows ideas to
emerge.
UNIT-IV GROUP BEHAVIOR & LEADERSHIP | BALAJI INST OF IT & MANAGEMENT
  It helps employees open up and encourage each other. Open communication is key
when working on a team and produces effective solutions in difficult group
projects.
 Without trust, a team crumbles and cannot succeed on assigned projects. Great
teams build each other up and strengthen individual members to create a cohesive
group.
 By working together, employees learn that wins and losse

6. Encourages Healthy Risk-Taking

 An employee working on a project alone will probably not want to stick their neck
out for an off-the-wall idea.
 If the project fails when working solo, that employee takes the full brunt of the
blame. While you may not get full credit for a successful team project, working with
other people spreads out the responsibility for a failed assignment.
 Working as a team allows team members to take more risks, as they have the
support of the entire group to fall back on in case of failure.

2. TYPES OF GROUPS

Informal
group
formal task
group group
types
of
groups
interst friendship
group group
reference
group

UNIT-IV GROUP BEHAVIOR & LEADERSHIP | BALAJI INST OF IT & MANAGEMENT

 (i) FORMAL GROUP
 When two or more individuals join together a group due to the official structure
and job relationship in an organization such a group is called formal group
 Group of production manager materials manager and quality control manager of a
company.

COMBINAITON OF FORMAL GROUPS

CONTRIBUTIONS TO ORGANISATIONS

 Create new ideas implement action plans

 Co-ordinate interdepartmental efforts
 Solve complex problems requiring varied information and perspectives
 Socialize and train new common.

CONTRIBUTIONS TO INDIVIDUALS

 Satisfy needs for affiliation

 Confirm identify and enhance self esteem
 Reduce feelings of insecurity and powerlessness
 Provide a mechanism for solving personal and interpersonal problem.
(ii) INFORMAL GROUPS
 Informal groups are natural formations in the work environment which appear in
response to the need for social contract.
 They may also develop across or outside of formal groups whatever the way of
formation informal groups obviously do not posses formal structures.
 Informal groups are formed out of the common interest’s aptitudes values opinions
of the people.

UNIT-IV GROUP BEHAVIOR & LEADERSHIP | BALAJI INST OF IT & MANAGEMENT

CONTRIBUTION TO ORGANISATION

 Help integrate new employees into the formal expectations of the organizations
 Provide social satisfaction unlikely for anonymous individual workers to experience
 Enhance members access to information
 Provide and enforce guideline for appropriate behavior.

CONTRIBUTION TO INDIVIDUALS

 Satisfaction of social and affliction needs

 Satisfaction of needs for security and support
 Enhance feelings of self esteem if members are valued by other group members.
(iii) TASK GROUP
 Working together in order to accomplish a particular task form a task group
 Task group boundaries are not limited to the particular department but they may
spread throughout the organization and sometimes spread even beyond the
organization. the employees belong to different department
(iv) FRIENDSHIP GROUP
 People with common characteristics form groups these common characteristics
include hard working work avoiding smart working risk taking etc.
 Enlightened (. showing understanding, acting in a positive way, ) managers maintain
good relations with friendship groups because these groups have tremendous
influence on their members that managers would prefer to have directed towards
organizational goals.
(v) REFERENCE GROUP
 Reference groups are the bases for many interest and friendship groups
 Reference groups are based on such factors as race, gender policies religion social
class etc. reference groups provide values for individual ion which to base personal
decisions.

UNIT-IV GROUP BEHAVIOR & LEADERSHIP | BALAJI INST OF IT & MANAGEMENT

 (vi) INTEREST GROUP
 People with common interests like maintenance and developing working conditions
recreational facilities providing employees services etc form the interest group.

3. GROUP FORMATION AND DEVELOPMENT

 Groups are formed and developed through various stages

 BRUCE TUCKMAN has developed five stages model of group process.

Forming :little agreement unclear

purpose, guidance

Storming :conflict clarification

belonging

Norming :co-operation,
development, support

Performing :productivity,
achievement, pride

Adjourning: Separation, recognizing,

satisfaction.

STAGE-1 FORMING

 Members are concerned about exploring friendship and task potentials. They do
not have strategies for addressing the group’s task.
 Members observe others various events and issues and decide what type of
behavior is acceptable.
 As awareness increases this stage of group development is completed when
members is accept themselves as a group and commit the group goals.
 Once members cross this stage they are clear of the hierarchy and relationships.

UNIT-IV GROUP BEHAVIOR & LEADERSHIP | BALAJI INST OF IT & MANAGEMENT

STAGE -2 STROMING

 Storming stage is characterized by conflict and confrontation among the group

members due to confusion over relationship purpose and direction.
 One objective of this stage is to resolve the conflict about power and task structure.
 During this stage members accept the group but there would be conflict over the
leadership objectives as well as relationship.

STAGE -3 NORMING

 At this stage a signal leader emerges and this may bring about group cohesion.
There is now a strong ease of group identity and camaraderie (mutual trust and
friendship among people who spend a lot of time together.)
 Members formulate common goals and expectations of the group new group
standard roles and behavior expectations are formed for members.
 Desired outcomes for this stage of group development are increased members
involvement and mental supports as group harmony emerges.

STAGE-4 PERFORMING

 Group members during this stage exert all their energies towards functioning and
performing the tasks in order to attain the group goals.
 They share their ideas, skills, knowledge and competence in order to excel in the
organizational activities forgetting their individual preferences and differences.
 Permanent groups continue to work as achieving organizational objectives is never
ending task until the organizations exist.

STAGE -5 ADJOURNING
 Temporary groups like committee’s task forces, commissions and teams reach this
stage after completing their task which is purely a temporary setup.
 The leader can facilitate positive closure of this stage by recognizing and rewarding
group performance.
UNIT-IV GROUP BEHAVIOR & LEADERSHIP | BALAJI INST OF IT & MANAGEMENT
5. ORGANISATIONAL CULTURE

 Organizational culture is a system of shared meaning held by members that

distinguishes an organization from other organization.
 Organizational culture is the set of values that helps the organizations employees
understand which actions are considered acceptable and which are acceptable.
 Organizational culture has assumed considerable importance now days become of
its impact on employees
 Basically organizational culture is the personality of the organization.
 Organization culture is the collection of relatively uniform and enduring values
beliefs customers and practices that are uniquely shared by an organization’s
members and which are transmitted from one generation of employees to the
next.

DEFINITION OF ORGANISATION CULTURE

According to ROBBINS organization cultural refers to a system of shared meaning held by

members that distinguishes the organization from other organization.

OBJECTIVES OF AN ORGANISATION CULTURE

 Giving the organization clear pictures of their culture from an unbiased assessment.
 Maximizing a strategic plan for culture change in each employee.
 Identifying and eliminating the subtitle and overt barriers to productivity.
 Enhancing respect for all individuals.
 Enabling and encouraging different management style to flourish.

UNIT-IV GROUP BEHAVIOR & LEADERSHIP | BALAJI INST OF IT & MANAGEMENT

 TYPES OF ORGANISATION CULTURE
1. Academy culture 2. Baseball team culture

3. Club culture 4. Fortress culture

5. Person or support culture

1. ACEDEMY CULTURE
 Employees are highly skilled and tend to stay in the organization while working
their way up the ranks.
 The organization provides a stable environment in which employees can develop
and exercise their skills.
o Example, universities hospitals large corporations etc.
2. BASE BALL TEAM CULTURE
 Employees are free agents who have highly prized skills. They are in high demand
and can get jobs elsewhere rather easily.
 This type of culture exists in fast faced high risk organizations. Like investment
banking advertising etc.
3. CLUB CULTURE
 The most important requirements for employees in this culture is to fit into the
group.
 Usually employees start at the bottom and stay with the organization. The
organization promotes from within and highly values seniority. Example, military,
some law firms etc.
4. FORTRESS CULTURE
 Employees don’t know if they will be laid off or not these organizations often
undergo massive reorganization.
 These are many opportunities for those with timely specialized skills. Example,
savings and loans large car companies etc.

UNIT-IV GROUP BEHAVIOR & LEADERSHIP | BALAJI INST OF IT & MANAGEMENT

 5. PERSON OR SUPPORT CULTURE
 Support culture is that culture which offers its members satisfaction resulting from
relationships mutuality’s belonging and connection.
 In this culture autonomy over the work they do and if power is to be exercised
then this is on the basis of expertise.

FUNCTIONS OF ORGANIZATION CULTURE:

 It distinguishes one organization from the other. It creates brand name for
the organisation.
 It develops a sense of identity amongst members. The members associate
themselves with the organisation. Employees of Earnest & Young feel proud
to be part of the company because of its strong culture.
 It promotes commitment amongst employees to achieve organisational
goals. Employees subordinate individual interests for the larger corporate
results.
 It develops appropriate standards for employees and holds them together to
achieve those standards.
 It provides a control mechanism for shaping the attitude and behavior of
employees.
 It gives direction to organisational activities and ensures that everyone
moves in the same direction.

5.ORGANISATIONAL CLIMATE

 Organizational climate does not deal with values and norms. It is concerned with
the current atmosphere in an organization.
 Wow this place has an amazing energy people are really friendly and if feels
positive. That’s the climate.
 Essentially the climate is the perceptions and attitudes of the people in the culture.

UNIT-IV GROUP BEHAVIOR & LEADERSHIP | BALAJI INST OF IT & MANAGEMENT

  Organizational climate is also referred to as the situational determinants which
affect the human behaviors
 The climate should be viewed from a total system perspective.
 In theory the concept of organizational climate is not very clear but practically it is
related to work performance job contentment and self esteem of the employees.

 Climate of an organisation is somewhat like the personality of a person. Just as

every individual has a personality that makes him unique and different from other
persons.
 Each organisation has an organisational climate that clearly distinguishes it from
other organizations.
 Basically, the organisational climate reflects a person’s perception of the
organisation to which he belongs.
 It is a set of unique characteristics and features that are perceived by the
employees about their organizations which serves as a major force in influencing
their behavior.
 Thus, organizational climate in a broad sense can be understood as the social
setting of the organisation.
DEFINITION
1. According to JAMES AND SELLS organizational climate is a collective perception of the
work environment by the individuals within a common system.

2. According to West, Smith, Lu Feng and Lawthom (1998), shared perceptions of the
fundamental elements of individuals’ particular organisation are regarded as the
organisational climate.

3. According to Wallace, Hunt and Richards (1999), also emphasize collective perceptions
of organisational members and define climate as the summary perception of how an
organisation deals with its members and environment.

UNIT-IV GROUP BEHAVIOR & LEADERSHIP | BALAJI INST OF IT & MANAGEMENT

 IMPORTANCE OF ORTGANISATIONAL CLIMATE

 Organizational climate influences to a great extent the performance of the

employees because it has a major impact on motivation and job satisfaction of
individual employees.
 Organizational climate determines the work environment in which
the employee feels satisfied or dissatisfied. Since satisfaction determines or
influences the efficiency of the employees, we can say that organizational climate is
directly related to the efficiency and performance of the employees.
 The factors that can be observed and measured are called overt factors and the
factors that are not visible and quantifiable are called covert factors. Overt
factors organizational climate are Hierarchy, Financial resources,
Goals of organizations, Skills and abilities of personnel, Technological state,
Performance standards and Efficiency measurement.
 The techniques that are generally helpful in improving the climate of the
organization are Effective Communication System, Concern for
people, Participative decision making, Change in policies, Procedures and rules and
Technological changes.
 A climate that favors risk taking will encourage employees of test and exchange
unusual knowledge and ideas. Participation is a very effective tool to develop sound
organizational climate and job satisfaction.
 More satisfied employees possess some personality characteristics that are
likely to be reflected in good work performance, self-efficacy and locus of control.
An atmosphere of cooperation opens access among group members and creates
individual motivation to exchange knowledge with group members resulting in
more productivity.

UNIT-IV GROUP BEHAVIOR & LEADERSHIP | BALAJI INST OF IT & MANAGEMENT

 OTHER POINTS-IMPORTANCE OF ORTGANISATIONAL CLIMATE
1. Enhance employee performance
2. Building strong relationship
3. Indicates success or failure
4. Builds confidence
5. Minimize turn over
1. ENHANCE EMPLOYEE PERFORMANCE
 Organizational climate is a clear indicator of employee and organizational
performance.
 This is due to the fact that constructive work environment leads to motivated work
force.
2. BUILDING STRONG RELATIONSHIP
 Organization culture helps manager to discover the relationship between
organizational methods and the employee’s needs.
 If manager know what motivates employee then they will be easily able to boost
their morale.
 Hence a positive and strong relationship can be formed which ultimately makes an
organization successful.
3. INDICATES SUCCESS OR FAILURE
 The success or failure of an organization is also determined by its climate.
o For example,
 In organizations with positive climate employees enjoy working with each other.
 They willingly perform the work and are satisfied with the organization.
4. BUILDS CONFIDENCE
 In an ideal organizational climate the sub originates are confident and show
faith towards their superiors through hard work.

UNIT-IV GROUP BEHAVIOR & LEADERSHIP | BALAJI INST OF IT & MANAGEMENT

 5. MINIMIZE TURN OVER
 The employees working in a positive climate are satisfied and have no intention to
leave the organization.
 Thus higher morale reduces the employee turnover and from work absence.

The following techniques in improving the climate of the organisation:

1. Effective Communication System:
 There should be a two way communication in the organisation so that the
employees know what is going on and react to it.
 The manager can modify his decision on the basis of feedback received.
2. Concern for People:
 The management should be interested in the human resource development. It
should work for the welfare of employees and an improvement in their working
conditions.
 For developing a sound organizational climate, the management should have show
concern for the people.
3. Participative Decision Making:
 The management should involve the employees in decision making process,
particularly those decisions which are related to goal setting and affect them.
 Participative decision making will make the employees committed to the
organisation and more cooperative also.
4. Change in Policies, Procedures and Rules:
 The organizational climate can also be changed by making changes in the policies,
procedures and rules.
 It is a time consuming process but the changes will also be long lasting if the
workers see the changes in policies, procedures and rules as favorable to them.

UNIT-IV GROUP BEHAVIOR & LEADERSHIP | BALAJI INST OF IT & MANAGEMENT

5. Technological Changes:
 Generally, the workers and employees resist any innovative changes. But where
technological changes improve the working conditions of the employees, the
change will be easily accepted.
 Better climate will be there if the management adopts innovative changes in
consultation with the employees.
6. LEADERSHIP

 Successful of any organization depends on leaders. The quality of leadership

provided by the managers determines the degree of success of business.
 Leadership involves the exercise of influence on the part of the leader over the
perception motivation communication etc.
 Manager ship is the authority to carry out these functions.
 Leadership is the process of influencing for the purpose of achieving shared goals.
 The effectiveness of leaders depends on their ability to influence and be influenced
by the followers in the task accomplishment.
 Leaders ensure that the necessary tasks are accomplished. Develop each member
of the team
 Leadership provides direction guidance restore confidence and makes the way easy
for achieving the objective.
 The role the leaders play can either take the organization to heights of success.

UNIT-IV GROUP BEHAVIOR & LEADERSHIP | BALAJI INST OF IT & MANAGEMENT

  The strength of a leader is measured by the ability to facilitate the self-leadership of
others.
 Leadership is a very frequently used word the reason for this frequent use is
because every society, organization country and the world require leaders to lead
people towards the achievement of common goals.
 Leadership is a group activity a leader influences his followers and followers have
influence over their leader. Leadership is meant for a given situation.
Leadership involves:
 Establishing a clear vision, sharing that vision with others so that they will follow
willingly, providing the information, knowledge and methods to realize that vision,
and coordinating and balancing the conflicting interests of all members and
stakeholders.
 A leader steps up in times of crisis, and is able to think and act creatively in difficult
situations. Unlike management, leadership cannot be taught, although it may be
learned and enhanced through coaching or mentoring.
 Someone with great leadership skills today is Bill Gates who, despite early failures,
with continued passion and innovation has driven Microsoft and the software
industry to success.
 The act of inspiring subordinates to perform and engage in achieving a goal.
DEFINITIONS OF LEADERSHIP

1. Leadership is ultimately about creating a way for people to contribute to making

something extraordinary happen." Alan Keith

2. “Leadership occurs when one person induces others to work toward some
predetermined objectives.” — Massie
3. “Leadership is the ability of a superior to influence the behavior of a subordinate or
group and persuade them to follow a particular course of action.” — Chester Bernard

UNIT-IV GROUP BEHAVIOR & LEADERSHIP | BALAJI INST OF IT & MANAGEMENT

 DIFFERENCE BETWEEN LEADERS AND MANAGERS

LEADERS MANAGERS
Innovate Administer
An original A copy
Develops Maintains
Originates Imitates
Focuses on people Focuses on systems and structures
Do the right thing Does things right
Challenges the status Accept the status
Inspire Control
Believes in WE Believes in I
Visionary Rational
Creative Persistent
Initiate change Authoritative
Counts on trust Counts on controls
Depended on good will and Dependence on his authority.
confidence

6 TRAITS THEORY
 The trait theories of leadership focus on the individual characteristics of
successful leaders.
 The trait theorists believes that people become leaders because of special traits
they posses and that leaders are born not made.
 Successful leaders possess many of the following traits like.
 Drive - desire for achievement high energy initiative

UNIT-IV GROUP BEHAVIOR & LEADERSHIP | BALAJI INST OF IT & MANAGEMENT

  Honesty and integrity – they are trusty worthy open and reliable.
 Physical features – have good physique
 Self confidence – trust in own abilities
 Creativity – creative and have the capacity to come up with original ideas.
 Flexibility – leadership have the ability to adapt to the needs of followers.
 Leadership motivation – strong desire to influence others and reach shared
goals.
 The theory assumes that a leader is born and not trained. This assumption is not
acceptable to the contemporary thinkers on the subject.
 The personality of man in his inner life including such inner elements as background
life history, believes life experiences attitudes self image love hates and philosophy
of life.

THE TRAITS CAN BE CLASSIFIED LIKE

A. SELF-KNOWLEDGE: knowledge of own talents and value of foreign assignments

with responsibility and accountability.
B. OPEN TO FEEDBACK: effective leaders develop valued and varied source of
feedback on their behavior and performance.
C. HUMAN RELATIONS: a successful leader should have adequate knowledge of
human relations. An important part of a leader’s job is to develop people and get
their voluntary co-operation for achieving work.
D. TECHNICAL SKILLS: the ability to plan organizes delegates analyses seek advice,
make decisions control and win co-operation requires the use of important abilities
which constitute technical competence of leadership.
E. COMMUNICATIVE SKILLS: a successful leader knows how to communicate
effectively communication has great force it getting acceptance from the receivers.
A successful leader is an extrovert.

UNIT-IV GROUP BEHAVIOR & LEADERSHIP | BALAJI INST OF IT & MANAGEMENT

Strengths/Advantages of Trait Theory

 It is naturally pleasing theory.

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

Limitations of The Trait Theory

 There is bound to be some subjective judgment in determining who is regarded as

a ‘good’ or ‘successful’ leader
 The list of possible traits tends to be very long. More than 100 different traits of
successful leaders in various leadership positions have been identified. These
descriptions are simply generalities.
 There is also a disagreement over which traits are the most important for an
effective leader
 The model attempts to relate physical traits such as, height and weight, to effective
leadership.

UNIT-IV GROUP BEHAVIOR & LEADERSHIP | BALAJI INST OF IT & MANAGEMENT

  Most of these factors relate to situational factors. For example, a minimum weight
and height might be necessary to perform the tasks efficiently in a military
leadership position.
 In business organizations, these are not the requirements to be an effective leader.

GROUPS AND EXCHANGE THEORIES OF LEADERSHIP

 Social psychology is the basis for group theories of leadership social exchange view
of leadership indicates that exchange theories propose that group members make
contributions at a cost to themselves and receives benefits at a cost to the group of
other members.
 Social exchange indicates that leadership is an exchange process between the
leaders and followers.

BEHAVIOURAL THEORIES

 Behavioral theories of leadership propose that specific behaviors differentiate

leaders from non leaders.
 These theories attempts to explain leadership I terms of the behavior that he
leader exhibits. These theories between patterns of leadership behavior and group
performance.

8. MANAGERIAL GRID

 It describes the relationship between the leader's concern for task and concern for
people, but this theory differs in its perspective.
 The managerial grid Considers leadership style based on their focus on task and
people.
 The managerial grid model (1964) is a style leadership model developed by Robert
R. Blake and Jane Mouton.
 In this style, managers have low concern for both people and production.

UNIT-IV GROUP BEHAVIOR & LEADERSHIP | BALAJI INST OF IT & MANAGEMENT

  This model originally identified five different leadership styles based on the
concern for people and the concern for production.
 The Managerial Grid is based on two behavioral dimensions:

Concern for People

 This is the degree to which a leader considers the needs of team members, their
interests, and areas of personal development when deciding how best to
accomplish a task.

Concern for Production

This is the degree to which a leader emphasizes concrete objectives, organizational

efficiency and high productivity when deciding how best to accomplish a task.

 Using the axis to plot leadership „concerns for production‟ versus „concerns for
people‟,

MANAGERIAL GRID MODEL:

 In each of the axis, both horizontal and vertical, you can find nine ranges. Nine is
the highest and one is the lowest range.
 So, if you are people-oriented manager who thinks about the team’s needs first,
you would score closer to nine (or even nine).
 On the other hand, if you had less care for the team’s needs, you would be
somewhere close to zero.
 When you score yourself in both the horizontal and vertical axis, you’ll get the
results for your management style

UNIT-IV GROUP BEHAVIOR & LEADERSHIP | BALAJI INST OF IT & MANAGEMENT

HIGH

9
1, 9 country club 9, 9 team work

6 5.5 Middle
off
5 1.1
1, 1 9,1

1 LOW 1 2 3 4 5 6 7 8 9 HIGH

1. Impoverished Management (1, 1):

 Managers with this approach are low on both the dimensions and exercise
minimum effort to get the work done from subordinates.
 The leader has low concern for employee satisfaction and work deadlines and as a
result disharmony and disorganization prevail within the organization. The leaders
are termed ineffective wherein their action is merely aimed at preserving job and
seniority.
 For example, a manager nearing retirement or termination may lose interest in
both his staff and his product.
 He does the minimum amount of work required each day to get the job done but
has no long-term interest in improving productivity or developing his employees.
Employees lose faith in their company when their leader shows so little interest in
them or their work

UNIT-IV GROUP BEHAVIOR & LEADERSHIP | BALAJI INST OF IT & MANAGEMENT

 2. Country Club (1, 9):

 This is a collegial style characterized by low task and high people orientation
where the leader gives thoughtful attention to the needs of people thus
providing them with a friendly and comfortable environment.
 The leader feels that such a treatment with employees will lead to self-
motivation and will find people working hard on their own.
 However, a low focus on tasks can hamper production and lead to questionable
results.
 This leadership style may also be the leader’s conscious choice. The moment an
employee has to deal with personal problems the manager’s care and support
will be experienced as positive.
 It will temporarily affect the production but the backlog will be caught up at a
later time
For example:
 A newly promoted manager wants to remain friendly with his former peers so he
resists providing corrective criticism or discipline, even when it is warranted.
 Leaders who use this style focus so much on their staff that they fail to recognize
risks or threats to productivity and miss opportunities to develop new business.

3. Task management (9, 1):

 Here leaders are more concerned about production and have less concern for
people.
 The employees’ needs are not taken care of and they are simply a means to an end.
 The leader believes that efficiency can result only through proper organization of
work systems and through elimination of people wherever possible.
 Such a style can definitely increase the output of organization in short run but due
to the strict policies and procedures, high labour turnover is inevitable.

UNIT-IV GROUP BEHAVIOR & LEADERSHIP | BALAJI INST OF IT & MANAGEMENT

  This leader is authoritative and he exerts disciplinary pressure. The leader requires
the utmost of the employees and imposes sanctions when they fail to meet the
requirements.

4. Middle-of-the-Road (5, 5):

 This is basically a compromising style wherein the leader tries to maintain a

balance between goals of company and the needs of people.
 The leader does not push the boundaries of achievement resulting in average
performance for organization. Here neither employee nor production needs are
fully met.
 In this leadership style the ‘happy medium ‘course is adopted.
 The leader maintains a balance between the needs of the people and the
production and the leader scores an average mark on both criteria

5. Team Management (9, 9):

 The leader feels that empowerment, commitment, trust, and respect are the
key elements in creating a team atmosphere which will automatically result in
high employee satisfaction and production.

A team management style has the leader projecting the following principles:

Commitment to the organization and its goals and mission

 Emphasis on finding ways to motivate team members

 Working hard and expecting others to show full commitment towards goal-
achievement

 Empowers the team and tries to be an inspiration for employees.

 Team management is a challenging leadership style, as your attention and focus

must be equally divided in achieving results and ensuring people are happy.
UNIT-IV GROUP BEHAVIOR & LEADERSHIP | BALAJI INST OF IT & MANAGEMENT
  As a manager, you would want to ensure people are committed to the
organization and that they understand its vision and objectives.

 You would include the rest of the team in decision-making, to ensure everyone
has a stake in productivity and effectiveness

For example:

 An experienced manager inspires commitment from her employees and

promotes career development, but doesn't ignore the need to meet aggressive
deadlines in order to remain competitive.

 Using this style, a leader appreciates allegiance and admiration from his staff
but recognizes that running a successful business does not depend on being
liked by your employees.

9. TRANSACTIONAL VS TRANSFORMATIN LEADERSHIP

TRANSACTIONAL LEADERSHIP
 Transactional leadership involves an exchange relationship between leaders and
followers.

 The transactional style of leadership was first described by Max Weber in 1947
and then by Bernard Bass in 1981.
 When the transactional leader allocates work to subordinates he is considered
to be fully responsible for it.
 The basic assumptions behind transactional leadership are that people are
motivated by reward and punishment.

UNIT-IV GROUP BEHAVIOR & LEADERSHIP | BALAJI INST OF IT & MANAGEMENT

  This style is most often used by the managers. It focuses on the basic
management process of controlling, organizing, and short-term planning.
 The famous examples of leaders who have used transactional technique include
McCarthy and de Gaulle.
 Transactional leadership involves motivating and directing followers primarily
through appealing to their own self-interest.
 The power of transactional leaders comes from their formal authority and
responsibility in the organization. The main goal of the follower is to obey the
instructions of the leader. The style can also be mentioned as a ‘telling style’.
 If a subordinate does what is desired, a reward will follow, and if he does not go
as per the wishes of the leader, a punishment will follow.
 Here, the exchange between leader and follower takes place to achieve routine
performance goa
 It is also known as managerial leadership.
Transactional leader facilitate this transition from external to internal control by
 Changing the mental models of employees
 Linking desired out comes to values held by employees
 Building strong employee identification with the group or organization.

The transactional leader tends to use the following compliances approaches like.

 ENJOYMENT: the leader attempts to convince the target of the enjoyment he or

she will experience along with compliance.
 REWARD: the leader offers favors benefits or future rewards for compliance.
 RECIPROCITY: the leader appeals based on felling of debt to the leader in that
them attempts to tap the intrinsic process and instrumental sources of
motivations.

QUALITIES OF TRANSACTIONAL LEADERSHIP

 Directive and action oriented

 Reward and punishment,Rewards and incentives
 Structure is clear,Short term goals and

UNIT-IV GROUP BEHAVIOR & LEADERSHIP | BALAJI INST OF IT & MANAGEMENT

EXAMPLES OF TRANSACTIONAL LEADERSHIP

 This model is also useful for big corporations like HP(Hewlett-Packard)

 Many high level members of the military CEO of large international companies and
NFL coaches.
10 TRANSFORMATION LEADERSHIP
 Transformational leadership is based on leaders shifting the values beliefs and
needs of the followers.
 We need much more of transformational leadership in every sphere be it
government business education or even non-profit organizations.
 The basic assumption behind this form of leadership is that people will follow a
person who inspires them
 A person with vision and passion can achieve great things the way to get things
done is by injecting enthusiasm and energy
 Transformational leadership starts with the development of vision a view of the
future that will excite and convert potential followers.
 The transformational leader thus takes every opportunity and will use whatever
works to convince others to climb on board.
 This vision may be developed by the leader by the senior team or may emerge from
a broad series of discussions.
 Transformational leader are always visible and will stand up in be counted rather
than hide behind their troops.
 They show by their attitudes and actions how everyone else should behave.
 They also make continued efforts to motivate and rally their followers constantly
doing the rounds listening, shooting and enthusing.
 When the behavior becomes internalized the leaders need to monitor employee
behavior is greatly reduced.

UNIT-IV GROUP BEHAVIOR & LEADERSHIP | BALAJI INST OF IT & MANAGEMENT

  Transformational leadership is a style of leadership where the leader, along with
his/her team, is able to identify the challenges ahead,

 Resources available and is constantly engaging and involving the employees to

perform to the best of their abilities and grow professionally and personally in the
process.

 The most important aspect of transformational leadership is that the leader is not
only bothered about his performance or deliverables

 But also consciously tries to guide his subordinates and uses his experience and
expertise to give a good professional career to the subordinates

Examples of Transformational Leadership

Few examples of transformational leaders in the world and see how they functioned

1. Mahatma Gandhi:

 Mahatma Gandhi gave the Indian freedom movement a sense of direction and
purpose. He was able to make it a truly mass movement that till then existed in
fragmented interests and limited to either extreme elite participation or
participation of the extreme poor.
 By preaching his theory of non violence, Gandhi was able to bring in each citizen of
India into the freedom struggle and make every single person’s contribution count.

2. Steve Jobs:

 Steve Jobs has to mandatorily be one of the names in the most iconic
transformational leaders the world has ever seen.
 His passion for perfection, simplicity and sophistication drove the company and he
made sure that it got engraved into every employee who worked at Apple.
 He constantly challenged his employees to think beyond what has already been
done and made them create products that the world did not even know it needed.

SOME OF THE CHARACTERISTICS OF TRANSFORMATION LEADERS

 Courageous,Believe in people
 Value-driven
 Life-long Visionaries
 Have the abilities to deal with complexity ambiguity and un-certainty.
UNIT-IV GROUP BEHAVIOR & LEADERSHIP | BALAJI INST OF IT & MANAGEMENT
10.2Difference between Transactional and Transformational Leaders

Transactional leadership Transformational Leadership

Leadership is responsive Leadership is proactive

Works within the organizational Work to change the organizational culture by

culture implementing new ideas

Transactional leaders make employees Transformational leaders motivate and empower

achieve organizational objectives employees to achieve company’s objectives by
through rewards and punishment appealing to higher ideals and moral values

Motivates followers by appealing to Motivates followers by encouraging them to

their own self-interest transcend their own interests for those of the
group or unit

11 WOMEN LEADERSHIP IN INDIA

 Historically women have been discriminated against in our male dominated
society
 Women were considered to be fit to cook food but not to work in business
establishments.
 The picture is not totally different today. As we go into the future discriminating
against woman will certainly go and they will sure occupy equal status along
with male counterparts.
 The government is also keen on uplifting the status of women
 Participation of woman in business as owner’s managers and employees is less
encouraging considering the size of the population and the vest opportunities
available.
 Two questions regarding woman in leadership postings need to be addressed.

UNIT-IV GROUP BEHAVIOR & LEADERSHIP | BALAJI INST OF IT & MANAGEMENT

  Are women more or less people oriented than male leaders? Are women more
or less job oriented than men?
 Will female leaders not be permitted to lead because of the stereotypes and
biases of their employees?
 With regard to the first question no differences are observed in the skills and
abilities of male and female leaders.
 Regarding second questions what we stated above holds good. There is the
deviate attitude of a male worker to work under a women manager un wanted
chivalrous attitude if the formers is boss.
 Women leaders encourage participation share power and information and
enhance people’s self worth.
 It is time for the corporate world to create an equitable workplace where equal
pay is given and childcare becomes a parent responsibility and not just women
responsibility.
 Male managers tend to be similar thinking decision types. Women managers
bring greater variety of thinking and personality type.
 Women typically invest in their families and communities significantly more
than men – spreading wealth and increasing the quality of life for themselves
and their families.
 Diversity of thinking at the senior level gives management teams a wider
peripheral vision of what constitutes a risk and provides a more balanced
approach for reacting to it, either as an opportunity or a threat.
 Gender diversity in firms’ decision-making teams could ultimately be the
difference between reaping success or failure. Women’s participation in the
workforce is thus critical in realizing the promise of the nation’s demographic
dividend.
 This needs proactive efforts both from a corporate and policy level, and from
women themselves.

UNIT-IV GROUP BEHAVIOR & LEADERSHIP | BALAJI INST OF IT & MANAGEMENT

KEY STRENGTH OF WOMEN LEADERS IN INDIA

 Ability to network with colleagues Ability to perceive and understand situations

 Strong sense of dedication loyalty and commitment to their organizations
 Ability to multitask Behaving in a gender neutral manner
 Willingness to share information (interactive leadership style)
Examples of women leaders in India:

 Arundhati Bhattacharya, Chairperson,

 Chanda Kochhar– CEO & MANAGING DIRECTOR- ICICI BANK
 Archana Bhargava, Chairman and Managing Director, United Bank of India[2]
 Bala Deshpande, MD, New Enterprise Associates India
 Renu Sud Karnad, Managing Director of HDFC
 Kiran Mazumdar -SHAW-CMD –BIOCON
 Rekha Menon– CHAIRMAN & MD- ACCENTURE INDIA

External Questions: (Old Question papers)

UNIT-IV
1. Explain various types of group formation with examples?
2. “All managers must have leadership qualities but all leaders cannot have
managing qualities”. Discuss?
3. Discuss different leadership styles?
4. Define group? Explain the types of groups and process of formation of
group?
5. What is meant by leadership? Explain managerial grid theory in leadership?
6. Describe transactional and transformational leadership style.?
OR
7. Why transactional leadership is better than transformational leadership in
present organizations? Explain with an example.

PREPARED BY :

B.V.LAKSHMI, M.B.A, Assoc. Professor, BALAJI INSTITUTE OF IT & MANAGEMENT, KADAPA.

UNIT-IV GROUP BEHAVIOR & LEADERSHIP | BALAJI INST OF IT & MANAGEMENT

 (17E00101) MANAGEMENT & ORGANIZATIONAL BEHAVIOUR
Objective of the course is to give a basic perspective of Management theories and Practices. This will
form foundation to study other functional areas of management and to provide the students with the
conceptual framework and the theories underlying Organisational Behaviour.

1. Role of Management – Concept – Significance – Functions – Principles of Management - Patterns of

Management: Scientific – Behavioural – Systems – Contingency.
2.Decision Making & Controlling – Process – Techniques. Planning – Process – Problems –– Making It
Effective. Controlling - System of Controlling – Controlling Techniques – Making Controlling Effective
3. Individual Behaviour & Motivation – Understanding Individual Behaviour – Perception – Learning –
Personality Types – Johari window- Transactional Analysis- Motivation – Concept of Motivation -
Motivational Theories of Maslow, Herzberg, David Mc Clelland, and Porter and Lawler

4.Group Behavior & Leadership: Benefits of Groups – Types of Groups – Group Formation and
Development. Leadership and Organizational Culture and Climate: Leadership – Traits Theory –
Managerial Grid – Transactional Vs Transformational Leadership – Qualities of good leader- Women
Leadership in India.

5. Organisational Behaviour–Organizing Process – Departmentation Types – Making Organizing

Effective – Organisational culture- Types of culture – Organisational Culture Vs Organisational climate -
Conflict management - Change Management

Textbooks:

 Organisational Behaviour, Stephen P. Robbins, Pearson Education

 Management and Organisational Behaviour, Subbarao P, Himalaya Publishing House
 Principles of Management, Koonz,Weihrich and Aryasri, Tata McGraw Hill.
References:

 Organisational Behaviour ,S.S.Khanka, S.Chand

 Organisational Behaviour , Mishra .M.N ,Vikas
 Management and Organisational behaviour, Pierce Gordner, Cengage.
 Behaviour in Organizations, Hiriyappa .B.New Age Publications
 Organisational Behaviour, Sarma, Jaico Publications.
 Principles of Management ,Murugesan ,Laxmi Publications

UNIT-V ORGANISATIONAL BEHAVIOUR | BALAJI INST OF IT & MANAGEMENT

 UNIT-5
ORGANISATIONAL BEHAVIOR

1. ORGANISATIONAL PROCESS
INTRODUCTION:

 Organizational behavior is the study of how people act in groups, particularly at

work.

 This field of study has yielded four types of organizational behavior and each has
different effects on workplace productivity and morale.

 In practice, no single type of organizational behavior characterizes a business, so

you need to analyze which types your company uses and find ways to utilize that
knowledge to make your company effective.

Grouping the
jobs &
department

identifications organisa
assingment
division of tion of duties
work process

establishing
reporting
relationship

1. Identification and Division of work:

 The organizing function begins with the division of total work into smaller units.
Each unit of total work is called a job.
 And an individual in the organization is assigned one job only. The division of work
into smaller jobs leads to specialization because jobs are assigned to individuals
according to their qualifications and capabilities.

UNIT-V ORGANISATIONAL BEHAVIOUR | BALAJI INST OF IT & MANAGEMENT

  The division of work leads to systematic working. For example, in a bank every
individual is assigned a job.
 One cashier accepts cash, one cashier makes payments, one person issues cheque
books, one person receives cheques, etc. With division of work into jobs the banks
work very smoothly and systematically.

2. Grouping the Jobs and Departmentalisation:

 After dividing the work in smaller jobs, related and similar jobs are grouped
together and put under one department.
 The departmentation or grouping of jobs can be done by the organisation in
different ways. But the most common two ways are:
(a) Functional departmentation:
 Under this method jobs related to common function are grouped under one
department. For example, all the jobs related to production are grouped under
production department; jobs related to sales are grouped under sales department
and so on.

(b) Divisional departmentation:

 When an organization is producing more than one type of products then they
prefer divisional departmentation.
 Under this jobs related to one product are grouped under one department. For
example, if an organisation is producing cosmetics, textile and medicines then jobs
related to production, sale and marketing of cosmetics are grouped under one
department, jobs related to textile under one and so on.

3. Assignment of Duties:
 After dividing the organisation into specialised departments each individual
working in different departments is assigned a duty matching to his skill and
qualifications.

UNIT-V ORGANISATIONAL BEHAVIOUR | BALAJI INST OF IT & MANAGEMENT

  The work is assigned according to the ability of individuals. Employees are assigned
duties by giving them a document called job description.
 This document clearly defines the contents and responsibilities related to the job.

4. Establishing Reporting Relationship:

 After grouping the activities in different departments the employees have to

perform the job and to perform the job every individual needs some authority.
 So, in the fourth step of organising process all the individuals are assigned some
authority matching to the job they have to perform.
 The assignment of the authority results in creation of superior-subordinate
relationship and the question of who reports to whom is clarified.
 The individual of higher authority becomes the superior and with less authority
becomes the subordinate.
 With the establishment of authority, managerial hierarchy gets created (chain of
command) and principle of scalar chain follows this hierarchy.
 The establishment of authority also helps in creation of managerial level.
 The managers with maximum authority are considered as top level managers,
managers with little less authority become part of middle level management and
managers with minimum authority are grouped in lower level management.

2. Departmentation Types

 Departmentation’ or ‘Departmentalization’ is the process of grouping the activities

of an enterprise into several units for the purpose of administration at all levels.

 The administrative units so created may be designated as departments, divisions,

units, branches, sections, etc.

 Departmentation can provide a necessary degree of specialization of executive

activity for efficient performance.

UNIT-V ORGANISATIONAL BEHAVIOUR | BALAJI INST OF IT & MANAGEMENT

  It can simplify the tasks of management within a workable span. It also provides a
basis on which the top managers can co-ordinate and control the activities of the
departmental units.

Importance of Departmentation:

1. Advantages of Specialization:
 Departmentation enables an enterprise to avail of the benefits of specialization.
When every department looks after one major function, the enterprise is
developed and efficiency of operations is increased.

3. Expansion:
 One manager can supervise and direct only a few subordinates.
 Grouping of activities and personnel into departmentation makes it possible for the
enterprise to expand and grow.
4. Fixation of Responsibility:
 Departmentation enables each person to know the specific role he is to play in the
total organisation.

 The responsibility for results can be defined more clearly, precisely and accurately
and an individual can be held accountable for the performance of his responsibility.

5. Upliftment of Managerial Skill:

 Departmentation helps in the development of managerial skill. Development is
possible due to two factors.

 Firstly, the managers focus their attention on some specific problems which
provide them effective on-the-job training. Secondly, managerial need for further
training can be identified easily because the managers’ role is prescribed and
training can provide them opportunity to work better in their area of specialisation.

UNIT-V ORGANISATIONAL BEHAVIOUR | BALAJI INST OF IT & MANAGEMENT

6. Facility in Appraisal:
 Appraisal of managerial performance becomes easier when specific tasks are
assigned to departmental personnel. Managerial performance can be measured
when the areas of activities are specified and the standards of performance are
fixed. Departmentation provides help in both these areas.

 When a broader function is divided into small segments and a particular segment is
assigned to each manager, the area to be appraised is clearly known; and the
factors affecting the performance can be pointed out more easily.

 Similarly, the standards for performance can be fixed easily because the factors
influencing the work performance can be known clearly. Thus, performance
appraisal becomes more effective.

7. Administrative Control:
 Departmentation is a means of dividing the large and complex organisation into
small administrative units. Grouping of activities and personnel into manageable
units facilitates administrative control.
 Standards of performance for each and every department can be precisely
determined.
2.1Types of Departmentation
1. Functional Departmentation.

3. Territorial or Geographical Departmentation.

4. Customer wise Departmentation.

5. Process or Equipment wise Departmentation.

6. Combined or Composite Form of Departmentation.

UNIT-V ORGANISATIONAL BEHAVIOUR | BALAJI INST OF IT & MANAGEMENT

1. Functional Departmentation:
 It refers to grouping the activities of an enterprise on the basis of functions such as
production, sales, purchase, finance, personnel, etc.

 The actual number of departments in which an enterprise can be divided depends

upon the size of establishment and its nature. To begin with, we may have three or
four main departments. With the growth in the size of the business, more
departments and sub-departments may be created.

A simple representation of functional departmentation is given below:

Advantages:
 It is a very simple, natural and logical way of grouping activities.

 It promotes specialization and expertise in various functional areas and experts can
be employed.

 It facilitates co-ordination both within the function and at the inter-departmental

level.

 It generates a high degree of centralization at the level of chief executive.

Disadvantages:
 It may lead to internal frictions among the various departmental heads as one
department may ignore the interest of the other,
 In functional departmentation, men are experts of these areas of function only. This
hinders the development of all-round managers.
 It leads to excessive centralisation and delay in decision making.
 It is unsuitable where emphasis lies on products more than the functions.

UNIT-V ORGANISATIONAL BEHAVIOUR | BALAJI INST OF IT & MANAGEMENT

2. Product Wise Departmentation:
 The grouping of activities on the basis of products is very popular with large
organizations having distinct type of products.
 Under this method, all activities related to one type of product are put together
under one department under the direction of a production manager.
 Product wise departmentation is also known as multifunctional product
departmentation, because each product department handles all the functions
concerning it.
 An electronic company, for instance, may have different departments dealing in
television sets, radios and transistors, computers, agro-dairy instruments, etc.

A simple representation of product wise departmentation is given as follows:

Advantages:
 It ensures better customer service.
 Unprofitable product lines can be easily determined.
 It solves the co-ordination problem of functional departments.
 It makes control effective.
 It assists in the development of all-round managerial talent.
 It is flexible as a new product division can be easily added.
Disadvantages:
 It is expensive because of duplication of service functions in various product
divisions.

UNIT-V ORGANISATIONAL BEHAVIOUR | BALAJI INST OF IT & MANAGEMENT

  It may not be linked by customers and dealers who have to deal with different
salesmen of the same enterprise for different products.

 It may cause difficulty in apportioning general expenses incurred by the enterprise

as a whole.

3. Territorial or Geographical Departmentation:

 When several activities of an enterprise are geographically dispersed in different
locations, territorial or geographical departmentation may be adopted.

 All activities relating to a particular area or zone may be grouped together under
one zonal manager or head.

There may be further sub-division of activities under one zonal manager as illustrated
here:

Advantages:
 It enables an enterprise to cater to the needs of local people in a satisfactory
manner.
 It enables a concern to make use of locational advantages.
 It facilitates effective control.
 It facilitates effective co-ordination of activities within an area.
 It assists in the development of all-round managerial talent.

UNIT-V ORGANISATIONAL BEHAVIOUR | BALAJI INST OF IT & MANAGEMENT

Disadvantages:
 It is an expensive method of creating departments and over head costs are also
increased
 It leads to duplication of activities which creates confusion and involves costs,
 Co-ordination among various territorial divisions may become difficult.
5.Customer Wise Departmentation:
 A business house may be divided into a number of departments on the basis of
customers it serves, viz., large and small customers ;industries and ultimate buyers ,
government and other customers.
 The peculiar advantage of customer wise departmentation is that it ensures full
attention to different types of customer and their different needs, tastes and
requirements can be read effectively.
 However, it may not be possible to group all activities of an enterprise on the basis
of customers.
 In fact, the activities may be classified or grouped on such basis. But there may be
problems of co-ordination with other departments. There may not be enough
work, at times, in case of certain types of Customers. This may lead to idle capacity.
1. Process or Equipment Wise Departmentation:
 An enterprise where production is carried through different processes may adopt
process wise departmentation to enable continuous flow of production.
 Similarly, where work is carried on machines which are common, departments may
be created on the basis of equipments, such as milling departments, grinding
departments, lathe department etc.
 The main advantage of this method is that it avoids duplication of equipment in
various activities.
 Moreover, specialized people can be engaged to work on specialised equipments
and departments.

UNIT-V ORGANISATIONAL BEHAVIOUR | BALAJI INST OF IT & MANAGEMENT

6. Combined or Composite Method of Departmentation:
 In practice, it may not be advisable to create departments on the basis of any one
of the above mentioned methods.
 An enterprise may have to combine two or more of the methods of Departmen-
tation to make best use of all of them.
 Such a method is known as combined or composite method of departmentation.

This can be illustrated as follows:

3. MAKING ORGANISATION EFFECTIVE

 “Organizing” is the function of gathering resources, establishing orderly uses for
such resources and structuring tasks to fulfill organizational plans.

 It includes the determination of what tasks are to be done, how the tasks are to be
grouped, who is going to be responsible to do these tasks and who will make
decisions about these tasks.

 Organizational effectiveness is the concept of how effective an organization is in

achieving the outcomes the organization intends to produce.[1] Organizational
Effectiveness groups in organizations directly concern themselves with several key
areas.

UNIT-V ORGANISATIONAL BEHAVIOUR | BALAJI INST OF IT & MANAGEMENT

  They are talent management, leadership development, organization
design and structure, design of measurements and scorecards, implementation of
change and transformation, deploying smart processes and smart technology to
manage the firms' human capital and the formulation of the broader Human
Resources agenda

The process of organizing effective

2. Determining 4.Assigning work

activities: and resources:

3Classifying
and grouping

1. Reviewing plans
and objectives: 5.Evaluating results:

1. Reviewing plans and objectives:

 The first step for the management is to reflect on the organizational goals and
objectives and its plans to achieve them so that proper activities can be
determined.

 For example, if a high class restaurant is to be opened in an elite area, then the
management must establish objectives and review these objectives so that these
are consistent with the location of the restaurant and the type of customers to be
served.

UNIT-V ORGANISATIONAL BEHAVIOUR | BALAJI INST OF IT & MANAGEMENT

2. Determining activities:
 In the second step, managers prepare and analyze the activities needed to
accomplish the objectives.
 In addition to general activities such as hiring, training, keeping records and so on,
there are specific activities which are unique to the type of business that an
organization is in.
 For example, in the case of the restaurant, the two major activities or tasks are
cooking food and serving customers.
3. Classifying and grouping activities:
 Once the tasks have been determined, these tasks must be classified into
manageable work units.
 This is usually done on the basis of similarity of activities. For example, in a
manufacturing organization, the activities may be classified into production,
marketing, finance, research and development and so on.
 For example, in the area of serving customers in the restaurant, there may be
different persons for taking cocktail orders, for food orders and for clearing the
tables.
 For cooking food, there may by different cooks for different varieties of food.
4. Assigning work and resources:
 This step is critical to organizing because the right person must be matched with
the right job and the person must be provided with the resources to accomplish the
tasks assigned.
 The management of the restaurant must determine as to who will take the orders
and who will set as well as clear the tables and what the relationship between
these individuals will be.
 Management must also make sure that adequate resources of food items, utensils
and cutlery is provided as necessary.

UNIT-V ORGANISATIONAL BEHAVIOUR | BALAJI INST OF IT & MANAGEMENT

 5. Evaluating results:
 In this final step, feedback about the outcomes would determine as to how well the
implemented organizational strategy is working.

 This feedback would also determine if any changes are necessary or desirable in the
organizational set-up.

 For example, in the case of the restaurant, complaints and suggestions from
customers would assist the manager in making any necessary changes in the
preparation of food, internal decor of the restaurant or efficiency in service.

4.Organizational culture- Types of culture – Organizational Culture Vs Organizational

climate - Refer in IV-UNIT

7. CONFLICT MANAGEMENT

 Conflict management is the process of limiting the negative aspects of conflict

while increasing the positive aspects of conflict.
 The aim of conflict management is to enhance learning and group outcomes,
including effectiveness or performance in organizational setting
 an expressed struggle between at least two interdependent parties who perceive
incompatible goals, scarce resources, and interference from the other party in
achieving their goals Or a process that begins when one party perceives that
another party has negatively affected or about to affect something that the first
party cares about
 ‘Conflict management is the principle that all conflicts cannot necessarily be
resolved, but learning how to manage conflicts can decrease the odds of non-
productive escalation.

UNIT-V ORGANISATIONAL BEHAVIOUR | BALAJI INST OF IT & MANAGEMENT

  Conflict management involves acquiring skills related to conflict resolution, self-
awareness about conflict modes, conflict communication skills, and establishing a
structure for management of conflict in your environment.’
 All members of every organisation need to have ways of keeping conflict to a
minimum – and of solving problems caused by conflict, before conflict becomes a
major obstacle to your work

Causes of conflict

 Misunderstanding
 Personality clashes
 Competition for resources
 Authority issues Lack of cooperation
 Differences over methods or style
 Low performance
 Value or goal differences

Other Major causes of workplace conflict

 Personality clashes :

The 'personality mix' within a team can be upset when a new member of staff joins
or if two colleagues suddenly fall out. Individuals may also respond to difficult or
challenging situations in an unhelpful or unproductive way.

 Unrealistic needs and expectations :

Conflict at work can often be caused when employers ignore the needs of
employees or set unrealistic expectations. For example, arranging hours that make
it difficult for employees to carry out childcare responsibilities.

 Business values :
most people have very clear ideas about what they think is fair, and your
organisation's procedures and policies must reflect this. For example, giving
someone a fair hearing or explaining the reasoning behind a decision.

UNIT-V ORGANISATIONAL BEHAVIOUR | BALAJI INST OF IT & MANAGEMENT

  Unresolved workplace issues:
For example, an employee might ask to be moved to another team because of their
manager's 'aggressive' leadership style. However, the employee may have other
reasons - for example, they may blame their manager for a lack of training or career
progression.

 Increase in workload :
workplace conflict is caused because people feel they are being pushed too hard
and resentment sets in if they feel their workload is unmanageable.

Stragies to handle the conflict management

Accommodating

 The accommodating strategy essentially entails giving the opposing side what it
wants. The use of accommodation often occurs when one of the parties wishes to
keep the peace or perceives the issue as minor.

For example, a business that requires formal dress may institute a "casual Friday"
policy as a low-stakes means of keeping the peace with the rank and file. Employees
who use accommodation as a primary conflict management strategy, however, may
keep track and develop resentment.

UNIT-V ORGANISATIONAL BEHAVIOUR | BALAJI INST OF IT & MANAGEMENT

Avoiding

 The avoidance strategy seeks to put off conflict indefinitely. By delaying or ignoring
the conflict, the avoider hopes the problem resolves itself without a confrontation.
 Those who actively avoid conflict frequently have low esteem or hold a position of
low power. In some circumstances, avoiding can serve as a profitable conflict
management strategy, such as after the dismissal of a popular but unproductive
employee.
 The hiring of a more productive replacement for the position soothes much of the
conflict.

Collaborating

 Collaboration works by integrating ideas set out by multiple people. The object is to
find a creative solution acceptable to everyone. Collaboration, though useful, calls
for a significant time commitment not appropriate to all conflicts.
 For example, a business owner should work collaboratively with the manager to
establish policies, but collaborative decision-making regarding office supplies
wastes time better spent on other activities..

Compromising

 The compromising strategy typically calls for both sides of a conflict to give up
elements of their position in order to establish an acceptable, if not agreeable,
solution.
 This strategy prevails most often in conflicts where the parties hold approximately
equivalent power.
 Business owners frequently employ compromise during contract negotiations with
other businesses when each party stands to lose something valuable, such as a
customer or necessary service.

UNIT-V ORGANISATIONAL BEHAVIOUR | BALAJI INST OF IT & MANAGEMENT

Competing

 Competition operates as a zero-sum game, in which one side wins and other loses.
Highly assertive personalities often fall back on competition as a conflict
management strategy.
 The competitive strategy works best in a limited number of conflicts, such as
emergency situations.
 In general, business owners benefit from holding the competitive strategy in
reserve for crisis situations and decisions that generate ill-will, such as pay cuts or
layoffs.

8.CHANGE MANAGEMENT

 Change management is the discipline that guides how we prepare, equip and
support individuals to successfully adopt change in order to drive organizational
success and outcomes.
 Change management provides a structured approach for supporting the individuals
in your organization to move from their own current states to their own future
states.

 Organizational change management involves first identifying the groups and people
who will need to change as the result of the project, and in what ways they will
need to change.
 Organizational change management then involves creating a customized plan for
ensuring impacted employees receive the awareness, leadership, coaching, and
training they need in order to change successfully.
UNIT-V ORGANISATIONAL BEHAVIOUR | BALAJI INST OF IT & MANAGEMENT
  Driving successful individual transitions should be the central focus of the activities
in organizational change management.
 Organizational change management is complementary to your project
management.
 Project management ensures your project’s solution is designed, developed and
delivered, while change management ensures your project’s solution is effectively
embraced, adopted and used.

 Minimize
 engagement
 Improve performance
 Reduce
 Innovation

Change Management Process

Step 1: Urgency Creation

 A change is only successful if the whole company really wants it. If you are
planning to make a change, then you need to make others want it.
 You can create urgency around what you want to change and create hype.
 This will make your idea well received when you start your initiative. Use statistics
and visual presentations to convey why the change should take place and how the
company and employees can be at advantage.

Step 2: Build a Team

 If your convincing is strong, you will win a lot of people in favour of change.
 You can now build a team to carry out the change from the people, who support
you. Since changing is your idea, make sure you lead the team.
 Organize your team structure and assign responsibilities to the team members.
Make them feel that they are important within the team.

UNIT-V ORGANISATIONAL BEHAVIOUR | BALAJI INST OF IT & MANAGEMENT

Step 3: Create a Vision
 When a change takes place, having a vision is a must. The vision makes everything
clear to everyone.
 When you have a clear vision, your team members know why they are working on
the change initiative and rest of the staff know why your team is doing the change.

Step 4: Communication of Vision

 Deriving the vision is not just enough for you to implement the change. You need
to communicate your vision across the company.
 This communication should take place frequently and at important forums. Get
the influential people in the company to endorse your effort.
 Use every chance to communicate your vision; this could be a board meeting or
just talking over the lunch.

Step 5: Removing Obstacles

 No change takes place without obstacles. Once you communicate your vision, you
will only be able to get the support of a fraction of the staff. Always, there are
people, who resist the change.
 Sometimes, there are processes and procedures that resist the change too! Always
watch out for obstacles and remove them as soon as they appear. This will
increase the morale of your team as well the rest of the staff.

Step 6: Go for Quick Wins

 Quick wins are the best way to keep the momentum going. By quick wins, your
team will have a great satisfaction and the company will immediately see the
advantages of your change initiative.

UNIT-V ORGANISATIONAL BEHAVIOUR | BALAJI INST OF IT & MANAGEMENT

  Every now and then, produce a quick win for different stakeholders, who get
affected by the change process. But always remember to keep the eye on the long-
term goals as well.

Step 7: Let the Change Mature

 Many change initiatives fail due to early declaration of victory. If you haven't
implemented the change 100% by the time you declare the victory, people will be
dissatisfied when they see the gaps.
 Therefore, complete the change process 100% and let it be there for sometime.
Let it have its own time to get integrated to the people's lives and organizational
processes before you say it 'over.'

Step 8: Integrate the Change

 Use mechanisms to integrate the change into people's daily life and corporate
culture.
 Have a continuous monitoring mechanism in place in order to monitor whether
every aspect of the change taking place in the organization. When you see
noncompliance, act immediately.

Benefits of effective change management

1. Return on investment:

 Economies of scale as the approach to change is re-used for each initiative saving
the number of days spent defining a unique approach to each change initiative.
 Faster implementation of change as those
 d can estimate with greater certainty the impact on their workloads and the level of
impact in their departments.

UNIT-V ORGANISATIONAL BEHAVIOUR | BALAJI INST OF IT & MANAGEMENT

2. Quality of the outcome achieved:

 Increased understanding of the impact of the change which ensures that all
processes, systems and people that are impacted are consulted, and their
requirements incorporated into the change plan.
 Appropriate levels of involvement with agreed responsibilities for making the
change happen reduces the resistance to change and increases the rate of
adoption, leading to greater realization of benefits

3. Efficiency of resources:

 Clarifies the roles and responsibilities of all those involved in the change effort,
ensuring that those with the most relevant skills and experience are given
appropriate activities to manage. R
 education in the number of ‘failed’ change initiatives and the waste of resources
involved in making changes that ‘run out of steam’ or get overtaken by other
events which had not been assessed when the change was conceived.
 Reduction in the level of activity that is duplication of effort or that is running at
cross purposes to other changes being made elsewhere in the organization.
 Enhanced employee morale and a reduction in recruitment and retention costs.

4. Assessment and Motivation

 With a strategic change management plan, your organization will have a vision for
what the process of change will look like, and what milestones need to be reached
to achieve the end goal.
 This allows those in charge of the transition to assess the success of the project
during each critical stage, and also provides an opportunity to motivate individuals
and teams to help achieve the desired goals with recognition for those who
succeed.

UNIT-V ORGANISATIONAL BEHAVIOUR | BALAJI INST OF IT & MANAGEMENT

 5. Maintaining Day-to-Day Operations

 While some sacrifices may be necessary to reach your desired future state, you
should be able to implement change without harming your current operations.
 An effective change management plan will consider what individuals and teams
need in order to continue doing their jobs and maintain day-to-day operations
without noticeable negative effects.

6. Considering Employee Concerns

 Addressing the concerns of employees allows organizations to be more efficient
and effective.
 Developing a change management plan will allow your organization to address
these concerns and keep the lines of communication open with all the individuals
and teams involved in the transition.
7. Reducing Risk and Inefficiency
 Taking the time to create an organizational change management plan will allow you
to save time and reduce risks in the end.
 By simply creating a plan that considers all the individuals and teams involved in
the transition, you can reduce the possibility of an unsuccessful attempt to change,
and reduce the amount of time it takes to implement the change.
8. Boost in Morale
 When employees see that the leaders in their organization have taken the time to
develop a change management plan that considers their wants and needs, they are
bound to perform better and get more involved in the transition.
 So make sure your staff feels supported and that they have the information they
need to succeed.

UNIT-V ORGANISATIONAL BEHAVIOUR | BALAJI INST OF IT & MANAGEMENT

External Questions: (Old Question papers)

UNIT-V

1. How do you create and maintain organization culture?

2. What is departmentation? Explain types of departmentation and its importance in
organizations
3. What is organizational conflict? How to manage them?
4. Describe causes of conflicts in organization

IMPORTANT QUESTIONS FOR EXTERNAL EXAMS

External Questions: (Old Question papers)

UNIT-I

1. What are the principles of management? Explain each of them?

2. What is meant by scientific management and explain its implications in
organizational behavior?
OR Patterns of Management (Scientific,Behavioural,Systems ,Contingency)
3. Describe the functional areas of management? Or Functions of Management?
4. What is the system approach in management? Explain the contingency theory?

External Questions: (Old Question papers)

UNIT-II
1. What are the tools and techniques of decision making?
2. Describe the meaning and process involved in decision making?
3. Define planning? Discuss the techniques in planning?
4. What is meant by system of controlling? When controlling can be make
effective? Explain with an example

UNIT-V ORGANISATIONAL BEHAVIOUR | BALAJI INST OF IT & MANAGEMENT

UNIT-III
1. What is individual behavior? What are the factors that affect on individual
behavior?
2. Compare and contrast Maslow’s theory of motivation and Herzberg two
factor theory of motivation?
3. What is meant by transactional analysis? What is its importance in
understanding people in organization?
4. What is meant by motivation? Explain any two theories of motivations which
are applicable to present organizations?
5. What is Johari window? Discuss the stages of personality development?
6. Define motivation. Explain Herzberg motivational theory?

External Questions: (Old Question papers)

UNIT-IV

1. Explain various types of group formation with examples?

2. “All managers must have leadership qualities but all leaders cannot have
managing qualities”. Discuss?
3. Discuss different leadership styles?
4. Define group? Explain the types of groups and process of formation of
group?
5. What is meant by leadership? Explain managerial grid theory in leadership?
6. Describe transactional and transformational leadership style.?
OR
7. Why transactional leadership is better than transformational leadership in
present organizations? Explain with an example.

UNIT-V ORGANISATIONAL BEHAVIOUR | BALAJI INST OF IT & MANAGEMENT

External Questions: (Old Question papers)

UNIT-V

1. How do you create and maintain organization culture?

2. What is departmentation? Explain types of departmentation and its importance in
organizations
3. What is organizational conflict? How to manage them?
4. Describe causes of conflicts in organization?

PREPARED BY:

B.V.LAKSHMI, M.B.A, Assoc. Professor, BALAJI INSTITUTE OF IT & MANAGEMENT, KADAPA.

UNIT-V ORGANISATIONAL BEHAVIOUR | BALAJI INST OF IT & MANAGEMENT

Motivation – Basic Concepts and
Theories
Meaning of Motivation- The term ‘motivation’ is
derived from the word ‘motive’. ‘Motivation’ is the process of
inspiring people in order to intensify their desire and
willingness for executing their duties effectively and for co
-operating to achieve the common objectives of an enterprise.
In other words, it means to induce, instigate, incite or prompt
someone to a particular course of action for getting the results
expected from him.
According to E.F.L. Brech-“Motivation is a general inspiration
process which gets the members of the team pull their weight
effectively to give their loyalty to the group, to carry out properly
the tasks they have accepted and generally to play an effective
part in the job that the group has undertaken.”
Motivation may be regarded as an integral part of the process
of direction. In directing the subordinates, the manager has to
try to create in them the willingness to pursue the goals of the
organisation enthusiastically. In trying to do so, the manager
may be said to concern himself with motivation.

Characteristics of Motivation- The salient features or

characteristics of motivation are as follows:
1. Human Aspect- Motivation is concerned exclusively with
the human side of an enterprise. It means a process of
stimulating human beings to make action for getting desired
results. It creates will to work in the individuals.
If a manager can enthuse, initiate and build up loyalty of the
employees towards the achievement of the enterprise objectives
with their willing co-operation, the sum total of all these will
amount to motivation. Thus, motivation is a behavioural concept
that directs human behaviour towards certain goals.
2. Psychological Concept- Motivation is a psychological
concept which generates feelings of certain needs within an
individual. Human needs are nothing but feelings in the mind of
a person that he lacks certain things. Such internal feelings
affect the behaviour of the person.
The workers, even with extraordinary abilities, will not be able
to perform as desired unless they are effectively motivated.
Effective performance on the part of the workers can be said to
be the end result of their abilities backed by proper motivation.
Thus,
Performance = Motivation x Abilities.
3. Need-Satisfying Activity- Motivation is related to satisfying
human needs. It can be effective only upon an accurate analysis
of the workers’ needs for the satisfaction of which they can be
induced to work in the desired manner. A worker will perform
the desired activity
only so long as he sees his action as a means of continued
fulfillment of his cherished needs.
All motivated behaviour on the part of human beings is directed
towards satisfaction or fulfillment of needs.
4. Motivation is Total not Part - A worker cannot be
motivated in parts. Each individual in the organisation is a self-
contained and inseparable unit and all his needs are inter-
related. These affect his behaviour in different ways. To be
successful, motivation must take a worker as an indivisible unit
and seek to appeal to all his urges and aspirations.
5. Financial and Non-Financial- Motivation may assume
several forms depending upon the needs, emotions, and
sentiments of the workers. Broadly speaking, it can be classified
as financial and non-financial. Financial motivation may be
created by way of increasing wages, allowances, bonus, prizes,
and other perquisites; while non
-financial motivation may take the form of praise, recognition,
providing greater responsibility or increased participation in
decision-making, etc.

6. Constant Process- Human needs are infinite. As very aptly

put by Abraham H. Maslow, “Man is a wanting animal—as
soon as one of his needs is satisfied, another appears in its
place. This process is unending…” This means motivation
cannot be a time-bound process. It is continuous.
Role or Importance of Motivation-Motivation is
one of the most important factors determining organisational
efficiency and effectiveness. All organisational facilities will go
waste in the lack of motivated people to utilise these facilities
effectively. Every superior in the organisation must motivate his
subordinates to create in them the will to work.
The role or importance of motivation may be summed
up as follows:
1. Removal of Apathy- It is the considered view that the
workers as a rule do not exert adequate energy for the
accomplishment of a task assigned to them. This is because they
are somehow dissatisfied with work, work situation or with the
management authority. Motivation removes this apathy of the
workers for peak performance.
2. Combining ‘Will to work’ with ‘Capacity for work’-
The will to work differs from the capacity for work. A man may
have the capacity for doing a work having physical strength,
technical skill, sufficient intelligence and mental alertness; but
he may not have the mentality to apply them in full to his work.
Motivation removes this psychological barrier and combines the
will to work with the capacity forwork of the workers.
3. Securing Full Support and Energy of the Workers- The
vital mark of a successful manager is his capacity to ensure full
support and co-operation of the workers with
their energy, ability and enthusiasm. “You can buy a man’s time,
you can buy a man’s physical presence at a given place, but
you cannot buy his enthusiasm, initiative or loyalty and his
capacity, will and energy without motivation.” The vital mark of
a successful manager is, thus, associated with motivation.
4. Understanding the Employees’ Needs- Motivation
makes the managers understand and realise the needs of the
employees and gives satisfaction to them accordingly. If there is
this understanding, and motivation works behind it, the managers
are sure to receive needed co-operation of the employees for the
profitability of the enterprise.
5. Maximum Utilisation of the Resources- Motivation
inspires the workers to make the best possible use of different
factors of production. They work whole-heartedly to apply their
abilities in minimising waste and cost. This will enable the
enterprise to utilise its human, physical and financial resources
to the maximum.
6. Increase in Efficiency and Output- Motivation is an
effective instrument in the hands of the managers to maximise
efficiency of operations and output of the enterprise. Motivated
employees put higher performance as compared to other
employees.
A happy and contended work force ensures improved efficiency
and higher output. Increase in labour productivity results in
higher wages for the workers and
increased profits for the enterprise. The high performance is a
must for an organisation being successful and this performance
comes through motivation.
7. Low Employee Turnover and Absenteeism- Motivated
employees stay in the organisation and their absenteeism is quite
low. High labour turnover and absenteeism create many
problems in the organisation. Existence of attractive financial
and non-financial incentives helps to retain the employees. They
are not easily tempted away by offers from the competitors. With
reduced labour turnover, it becomes possible for the enterprise
to plan its activities on a long-term basis.
8. Acceptance of Organisational Changes- Organisations
are integral parts of the society. The changes taking place in the
society, i.e. changes in technology, knowledge, value system, etc.,
require an organisation to incorporate those changes to cope up
with the requirement of the time.
When these changes are introduced in the organisation, there is
a tendency to resist changes by the employees. However, if they
are properly motivated, they will accept, introduce and
implement these changes and keep the organisation on the right
track of progress.
9. Better Industrial Relations- Existence of attractive
motivational schemes promotes closer identification between the
enterprise and its workers. They merge their individual interests
with the organisational objectives.
There arises a sense of belonging and mutual co- operation at
all levels. Motivation will foster team spirit among the workers.
This will reduce labour unrest and create better relations
between the managers and workers.
10. Facilitating Other Functions of Management- The
successful accomplishment of different functions such as
planning, organising, directing, coordinating and controlling-
all are inter-linked with motivation. Motivation is the right force
that can make planning successful, organisation sound,
direction forceful, co-ordination tight and control effective.
From the above discussion, it is clear that motivation is of great
importance to business activities as it is a vital part of
management process. No tangible result of best performance is
possible without motivation.
According to Arnold, there are 3 components of
motivation:

 direction – what a person is trying to do

 effort – how hard a person is trying
 persistence – how long a person keeps on trying
Direction might point the way, but effort is what establishes
momentum, and persistence determines how far the change is
carried (in time as well as in magnitude of outcome). (from
Client-centered Direction) Hence, Arnold’s 3 components are
suitable to describe the level of motivation a person or a team
shows. This concept does
not give any reasons for motivation.
Furthermore, literature distinguishes 2 types of factors
that influence motivation:

 Intrinsic – self generated factors (responsibility, freedom

to act, scope to use and develop skills and abilities,
interesting and challenging work, opportunities for
advancement) – they have a deeper and longer-term effect

 Extrinsic – what is done for people to motivate them

(rewards, promotion, punishment) – they have an immediate
and powerful effect, but won’t necessarily last long

Most influential is the Needs (content) Theory

 All Needs theories focus on specific needs people want to
satisfy. There are several theories that explain motivation as
a result of these needs.
 The underlying concept is the belief that an unsatisfied
need creates tension and a state of disequilibrium. To
restore balance, a goal is identified that will satisfy the need
and a behavior pathway to this goal is selected.
 All behavior is motivated by unsatisfied needs.
 People will be better motivated if their work experience
satisfies their needs and wants.
  Needs theories distinguish between primary needs, such as
food, sleep and other biological needs, and secondary
psychological needs that are learned and vary by culture
and by individual.

Maslow’s hierarchy of needs

Maslows hierarchy of needs

If a lower need is satisfied, it no longer motivates behavior; the
next higher one becomes dominant. (Deficit principle)
 The five needs exist in a hierarchy. Higher needs only
become important when lower needs are satisfied
 Higher-order needs provide greater motivation.
 Different people may have different priorities.
The theory helps managers to identify which particular needs
are relevant for employees and thus to determine appropriate
motivators.

Alderfer’s ERG Theory

Is based on Maslows Hierchy of needs; recategorizes Maslows
categories of needs into three simpler and broader groups:

 Existence needs – need for material and energy exchange;

basic physiological and safety needs
 Relatedness needs – transactions with human environment,
process of sharing or mutuality; need for interpersonal
relationships and attention; is about equivalent to Maslows
social needs and part of the esteem needs
 Growth needs – people make creative or productive efforts
for themselves; need for personal growth and self-
development; part of Maslows esteem needs and self-
fulfillment needs On contrast to Maslow, here more than
one level of needs can be relevant at the same time. There is
no hierarchy; people may for instance work to fulfill their
personal growth needs, whereas not al relatedness needs
are fulfilled.

McClelland’s needs

Based mainly on studies of managers, 3 most important needs:

 achievement – need for competitive success

measured against a personal standard of excellence
 affiliation – need for warm, friendly relationships with
others, interpersonal relationships
 power – need to control and influence others
The hierarchy of these three groups of needs may differ from
individual to individual. Hence, there are different motivators
depending on a person’s high-priority needs.

Herzberg’s two-factor model

There are some factors that result in satisfaction and some

factors that just prevent dissatisfaction. According to Herzberg,
the opposite of Satisfaction is No Satisfaction and the opposite of
Dissatisfaction is No Dissatisfaction.

 Motivators – factors that really motivate people, also

called satisfiers, provide intrinsic motivation
Examples for Motivators: recognition, growth and
career development opportunities, responsibility,
autonomy, self-fulfillment
 Hygiene factors – dissatisfiers; their absence would
demotivate people, but their presencenot necessarily
improves motivation; essentially describe the
environment, little effect on positive job attitudes
ExamplesforHygienefactors: salary, work conditions, relationships with
superios and peers, company policy

Process cognitive theory

 Emphasis on psychological
processes that effect motivation and on basic needs
 Concerned with people’s perceptions and the waythey
interpret and understand it
  People will be highly motivated if they can control the
means to attain their goals

Expectancy theory by Vroom

 Value, instrumentality (belief that if we do one thing it will

lead to another), expectancy (probability that action or
effort will lead to an outcome).
Strength of expectations may be based on past
experiences.
Motivation is only likely when a clearly perceived
relationship exists between performance and an
outcome that is seen as a means of satisfying needs. Porter
and Lawler developed this theory into a modelsuggesting
that there are two factors determining theeffort people
put into their jobs:1 Value of
rewards to individuals in so far as theysatisfy their
needs

2 Probability that rewards depend on effort, as perceived by

individuals, their expectation about relationships between
effort and reward
Two additional variables:

 Ability – individual characteristics and skills

 Role perceptions – what he wants to do or thinks he is
required to do, good if they correspond with the viewpoint
of the organisation
Goal theory by Latham and Locke

Motivation and performance are higher when individualsare

set specific goals.
Goals have to be difficult but accepted.
Feedback on performance allows the individual to trackhow
well he or she is doing in relation to the goal.
Participation in goal setting is important – goals need tobe
agreed.
As long as they are accepted – demanding goals lead tobetter
performance than easy goals.

Reactance theory by Brehm

Individuals are not passive receivers but responders.

They seek to reduce uncertainty by seeking control about factors
influencing rewards.
Management initiatives about motivation will only work if they
make sense to the people in terms of their own values and
orientation.

Equity theory by Adams

 Perceptions people have about how they are being

treated as compared with others
 Involves feelings and perceptions, is always a
comparative process
 People will work better if they are treated equitably
  Two forms of equity:
Distributive – fairness people feel they are rewarded in
accordance with their contribution and in comparison with
others
Procedural – perceptions of employees about fairness of
company procedures
 We hope/expect that the inputs we give into our job equal
the outputs we get

Monetary and Non-Monetary Motivation

Monetary and Non Monetary motivation is related to the
motivational factors that motivate a person to work and which
can be used to enhance their perfor¬mance can be classified
into two categories-monetary factors and non- monetary
factors:
Monetary Factors-Monetary factors are extrinsic to work,
such
as the following:
1. Salary or wages- This is one of the most important
motivational factors in an organization. Sala¬ries and wages
should be fixed reasonably and paid on time.
2. Bonus- Bonus is an extra payment over and above salary,
and it acts as an incentive to perform better. It is linked to the
profitability and productivity of the organization.
3. Financial incentives- The organization provides
additional incentives to their employees such as medical
allowance, travelling allowance, house rent allowance, hard
duty allowance and children educational allowance.
4. Promotion (monetary part)- Promotion is attached with
increase in pay, and this motivates the employee to perform
better.
5. Profit sharing-This is an arrangement by which organizations
distribute compensation based on some established formula
designed around the company’s profitability.
6. Stock option- This is a system by which the employee
receives shares on a preferential basis which results in financial
benefits to the employees.

Non-monetary Factors- Non-monetary factors are rewards

intrinsic to work, such as the following:
1. Status:
An employee is motivated by better status and designation.
Organizations should offer job titles that convey the importance
of the position.
2. Appreciation and recognition:
Employees must be appreciated and reasonably compensated for
all their achievements and contributions.
3. Work-life balance:
Employees should be in a position to balance the two
important segments of their life—work and life. This balance
makes them ensure the quality of work and life. A balanced
employee is a motivated employee.
4. Delegation:
Delegation of authority promotes dedication and commitment
among employees. Employees are satisfied that their employer
has faith in them and this motivates them to perform better.
5. Working conditions:
Healthy working conditions such as proper ventilation, proper
lighting and proper sanitation improve the work performance of
employees.
6. Job enrichment:
This provides employees more challenging tasks and
responsibilities. The job of the employee becomes more
meaningful and satisfying.
7. Job security:
This promotes employee involvement and better performance.
An employee should not be kept on a temporary basis for a long
period.
 Introduction to Group,
UNIT 1 INTRODUCTION TO GROUP, Formation and
Types of Group
FORMATION AND TYPES OF
GROUP
Structure

1.0 Introduction
1.1 Objectives
1.2 Definition and Meaning of Group
1.3 Important Features of Group
1.4 Characteristics of a Group
1.5 Group Formation and Related Theories
1.5.1 Theories of Group Formation
1.5.2 Ten (10) Rules that Govern Groups

1.6 Types of Group

1.7 Group Structure
1.8 Group Conflict
1.9 Group Behaviour and Group Action
1.10 Let Us Sum Up
1.11 Unit End Questions
1.12 Glossary
1.13 Suggested Readings and References

1.0 INTRODUCTION
This unit deals with groups, their definition and description. Also the unit describes
how groups are formed, types of groups and their structure and theories of group
formation. The unit provides information on basic aspects concerning groups and
their formation.

1.1 OBJECTIVES
After reading this unit, you will be able to:

l define the meaning of group;

l explain the characteristics of group;

l describe the formation and theories of group;

l analyse the types of groups; and

l explain the importance and functions of the structure of group.

5
Group Dynamics
1.2 DEFINITION AND MEANING OF GROUP
Everyone knows what a group is in general. When two persons or more come
together and interact at one place it may be called a group. The group may be
defined in various ways. Given below are a few important definitions of group and
each of these definitions emphasises one or the other important features of the
group.

1) R.M. Williams (1951) “A social group is a given aggregate of people playing

inter-related roles and recognised by themselves or other as a unit of interaction.”
Here it can be said group is an aggregate of some people. The roles of the group
members are inter-related. The group is considered as unit.

2) R.M. MacIver (1953) “By group we mean any collection of social beings
who enter into distinctive social relationships with one another.” It is clear that
there must be social relationships between the individual members of a group.

3) David (1968) “ A social psychological group is an organised system of two

or more individuals who are interrelated so that the system performs some
functions, has a standard set of the role relationship among its members and
has a set of norms that regulate the function of the group and each of its
members.”

4) Kretch, Crutchfield and Ballachy (1962) defined psychological group “ as

two or more persons who meet the following conditions : (i) the relations
among the members are independent, each member’s behaviour influences
the behaviour of each of the others, (ii) the members ‘share on ideology’ –
a set of beliefs, values and norms which regulate their mutual conduct.”

5) Paulus (1989) “ A group consists of two or more interacting persons who

share common goals, have a stable relationship, are somehow interdependent
and perceive that they are in fact part of a group.” Here we can say that
individuals interact with each other, either directly or indirectly. Besides this,
the group members are interdependent in some manner, i.e., what happens to
one must affect what happens to the others. Not only this, their relationship
must be relatively stable. The members of the group involve to attain the goals
and their interaction will be in a structured form so that, each group member
performs the same or more or less similar functions each time they meet.
Finally, it can be said that the individuals involved in a group must recognise
that they are part of a group.

The word “group” has many meanings. Generally we use the term ‘group’ keeping
in mind three main points:

i) where a number of persons are sitting or working together. The essential thing is
the physical proximity of a number of people being together at a given time with
or without any common purpose;

ii) where persons are classified as belonging to an association. Sometimes it is

seen that people may have no relationship with each other but they have some
common characteristics and we classify them as a group;

iii) where persons belong to an organisation. This group has definite structure, and
6 people in this group have a sense of belongingness to the given organisation
Children and Group Introduction to Group,
Formation and
A child’s social development takes place gradually as the child advances in age. Types of Group
To fulfill physical needs, children perform many functions. They exhibit signs of
reacting to individuals who they identify as fulfilling their needs. Then they start
understanding objects and individuals in their environment. As children grow older
their patterns of play and other activities also change considerably. The feelings
of “I” and “MINE” and then “YOU” and “YOURS” develop. Sharing things,
asserting one’s rights, co-operation, etc. are learnt by children in the first stage of
their socialisation.

Initially they belong to a small world of children, all nearly their own age, although
differences may vary with the arrangement in different groups. They are constantly
assimilating many things by direct coaching, training, imitation, spontaneous reaction,
repeated experience and so on. Living in a group they gradually develop the
sentiments, opinion, interests, habits, desires etc. Interaction and communication
plays a vital role in this regard.

To know the meaning of the group more clearly you think about all the groups
to which you belong, viz., local friends, college friends, music/ dance group and
so many. Generally people join in groups due to various needs and these include

i) Satisfaction of important psychological and social needs, viz., receiving affection

and attention, for attaining belongingness.

ii) Achievement of goal in a smooth and easy way. By working with others, the
person performs the task well than doing it alone.

iii) Getting knowledge and information on various issues which are not available at
one place .

iv) Getting safety and security.

In psychology we define Group as the study of organisations and their behaviour.

Psychology studies groups and explores the control of the individual within the
group setting. Social, organisational and group psychology are all powerful areas
of study that look at many factors that drive group behaviour and the decisions
that a group makes. Depending on the group’s influence, the group member’s
individuality is often relinquished for the greater good of the group. It is the role
of social psychology to uncover why this release occurs in groups and what
effects it has on society.

1.3 IMPORTANT FEATURES OF GROUP

The important features of group are:

i) One or more individuals come together and influence each other.

ii) There are social interactions and relationships amongst the individual members
of a group.

iii) There exists some common motives, drives, interests, emotions etc. amongst
group members.
7
Group Dynamics iv) There is communication among group members, both verbal and or non-verbal.

v) The group members have some common object of attention and group members
stimulate each other.

vi) They have common loyalty and participate in similar activities.

vii) There exits feeling of unity in the group. Group members treat each other with
respect and regard and has a sense of comradiere that develops among them.

viii) The action of the members is controlled by the group.

ix) There are some customs, norms and procedures which are acceptable to everyone
but if exception happens, then the particular member will be ostracised from the
group.

Self Assessment Questions

1) Define group.

................................................................................................................
................................................................................................................
................................................................................................................
................................................................................................................

2) How do children develop and become part of a group?

................................................................................................................
................................................................................................................
................................................................................................................
................................................................................................................

3) What are the three main points to define the group?

................................................................................................................
................................................................................................................
................................................................................................................
................................................................................................................

4) Write the important features of a group.

................................................................................................................
................................................................................................................
................................................................................................................
................................................................................................................

1.4 CHARACTERISTICS OF A GROUP

Suppose you belong to a group where you may observe some special features
8 which you can accept or not. It may be good or bad, healthy or unhealthy,
favourable or unfavourable, but there are certain significant features say the Introduction to Group,
characteristics of the group. Formation and
Types of Group
i) A sense of we-feeling: There is a feeling of belongingness among the members
of the group. The members of the group help each other in performing their
duties. They work collectively against the harmful powers. They treat people
who do not belong to the group as outsiders. They always try to make the group
self-sufficient.

ii) Common interest: Each and every member of the group has a common
interest. There is similarity among the members in regard to their interest
which promotes unity. The group includes those persons who are related to
each other in such a way that they should be treated as one.

iii) A feeling of unity: Unity is essential for every group. Each and every member
of the group treats each other as their own and there develops a sense of
camaraderie amongst the members of group.

iv) Related to each other: It is true that members of the group are inter-related.
There is a reciprocal communication among the group members. Social relations
are the fundamentals of group life.

v) Affected by group characteristics: Every group has some social characteristics

which separate it from similar and dissimilar groups. These characteristics
affect the members of the group. The nature may be different for different
persons, but still all the members are affected by the group

vi) Common values: There are certain values which are common among members
and are traditionally respected and communicated to the succeeding generation.
They are manifested in the mutual behaviours of the members. Members of
the social group are bound together in terms of theses common values.

vii) Control of group: In each group there are some customs, norms and
procedures which are acceptable to everyone. In fact, without some norms,
the existence of group life is impossible. It may be stated that the reasons
behind the similarity of behaviours in a group life is that the actions of the
members are controlled by the group.

viii) Obligation: In a group situation, all members have complementary obligations

to each other. Also the relationships between the members of a group get
strengthened through their mutual obligation and common social values.

ix) Expectations: Not only mutual obligation, the members of the group also
expects love, compassion, empathy, co-operation etc., from all other members
of the group. If mutual expectation is fulfilled, the group members are maintained
in tact. A group can maintain its existence only if the constituent members fulfill
their responsibility by satisfying the desires among themselves.

Groups are the units of social organisation. Therefore, the integration and
disintegration of social organisation are dependent upon the integration or
disintegration of the groups. In group, social relationship is a very important
factor. The first and foremost social relationship indicates the relationship among
the family members. Thus, it can further be said that family is an important social
group.
9
Group Dynamics You are one of the members in your family. You interact with other family members
and there is a reciprocal relationship between you and others. Certainly you have
‘we feeling’ where you belong. Among the family members there are relationships
such as husband-wife, father-son, and brother-sister etc. and they all work together
for the interests of the family in a mood of mutual co-operation. Each and every
member of the family treats the other members as his own and in spite of differences
of opinion they have some common ideals and values. It is mainly due to common
interest of the members that the group works as a well-knit unit.

As for example we can say that “school is a social group”. The significant
characteristics of the school as a group are:

l All children have a common goal.

l The students and the teacher are motivated for the achievement of a common
goal.

l School has an organised structure.

l School offers excellent opportunities for group to realise its needs.

1.5 GROUP FORMATION AND RELATED

THEORIES
Group formation is concerned with the following:

i) The manner in which the groups form

ii) The structures and processes of the group

iii) The functions of the group in different situations .

There are mainly five stages of group development, viz., forming, storming, norming,
performing and adjourning.

i) Forming is a stage which is characterised by some confusion and uncertainty.

Forming is actually an orientation period when members get to know one another
and share expectations about the group. This is the initial stage when the group
comes together and members begin to develop their relationship with one another
and learn what is expected of them.

ii) Storming is the stage where one can see the highest level of disagreement
and conflict. Members mainly voice their concern, and criticism occurs at this
stage. Actually in this stage interpersonal conflicts arise and differences of
opinion about the group goals also emerge. It is important to work through
the conflicts at this time and to establish clear goals.

iii) Norming is characterised by the recognition of individual differences and

shared expectations. Responsibilities are divided among members and the
group decides how it will evaluate the progress. If the group resolves its
conflicts, it can establish patterns of how to get its work done. Expectations
of one another are clearly articulated and accepted by members of the group.

10
iv) Performing occurs when the group has matured and attains a feeling of Introduction to Group,
cohesiveness. In this stage, members of the group make decision through a Formation and
Types of Group
rational process that is focused on relevant goals rather than emotional issues.
Issues related to roles, expectations and norms are no longer of major
importance. The group is focused on its tasks, working effectively to accomplish
its goals.

v) Adjourning indicates that members of the group often experience feelings of

closure and sadness as they prepare to leave. It is the final stage when the
group, after achieving the objectives for which it was created, starts to gradually
dissolve itself.

Thus, group is a collection of individuals. Group refers to two or more persons

who interact with one another, share common goals and recognise that they
belong to a group. Groups help us to satisfy important psychological needs and
social needs. Different persons perform different types of tasks. Group may
choose a person to serve as a leader and other persons as followers. There is
a link among the members. Not only this, interaction among the group members
is very important for smooth running of the activities of the group.

Self Assessment Questions

1) Define common interest and common values as characteristics of a group.

................................................................................................................
................................................................................................................
................................................................................................................
................................................................................................................

2) What are the five stages of group development?

................................................................................................................
................................................................................................................
................................................................................................................
................................................................................................................

1.5.1 Theories of Group Formation

Theories are establishing hypothesis which explain a particular phenomenon. Many
theories may explain one phenomenon, as for instances “delinquency”. There are
psychological, biological and sociological themes which explain delinquency.

On the same lines as above there are many theories which explain how groups
are formed and how they develop and progress. There are several theories
regarding group formation and development. The theories put forward here include
classic theory, social exchange and social identity theory.

i) Classic Theory: A classic theory, developed by George Homans suggests that

groups develop on the basis of activities, interactions and sentiments mainly.
Basically, this theory indicates that when individuals share common activities
they will have more interaction and will develop attitudes (either positive or
11
Group Dynamics negative) toward each other. The main element is the interaction of the individuals
involved.

ii) Social Exchange Theory: Another important theory is the social exchange theory
which offers an alternative explanation for group development. According to
this theory individuals form the relationship on the basis of implicit expectation
of mutually beneficial exchanges based on trust and felt obligation. It can further
be said that a perception that exchange relationships will be positive if persons
are to be attracted to and affiliate with a group.

iii) Social Identity Theory: Besides this, another important theory is social identity
theory which offers explanation for group formation. This theory suggests that
individuals get a sense of identity and self-esteem based on their membership in
salient groups. The group is demographically, culturally and organisationally
based.

One of the most important activities that groups perform is decision-making. This
is the process through which individuals or groups combine and integrate information
from several possible actions. Most people believe that the group by utilising the
expertise and knowledge of their members and also by avoiding extreme course
of action usually reaches better decisions than what individuals can accomplish
simply.

During the decision period, members convey a wide range of views. Generally,
social decision take place in two phases as given below:

i) The first phase is discussion, which mainly helps to confirm or strengthen the
most popular view, which rarely gets reversed; and

ii) The second phase is the correct situation or decision which ultimately emerges
in the forefront.

Besides the above two, there are several aspects of the group’s procedure, which
includes: (i) following of procedures (ii) addressing its managing interactions
among members and so on. Some persons, knowing about the opinions, especially
the influential members, incline to join the majority and thereby tilt the decision in
the required direction.

1.5.2 Ten (10) Rules that Govern Groups

Much of our lives are spent in groups with other people. We form groups to
socialise, earn money, play sport, make music, even to change the world. But
although groups are diverse, many of the psychological processes involved are
remarkably similar.

Here are 10 insightful rules that give indication of what has been discovered about
the dynamics of group psychology.

Rule1. Groups can arise from almost nothing

The desire to form and join social groups is extremely powerful and built into our
nature. Amongst other things groups give us a very valuable gift that is our social
identity, which contributes to our sense of who we are.

12
Just how readily people form and join groups is demonstrated by Tajfel et al. Introduction to Group,
(1971) in the so-called ‘minimal groups paradigm’. In their study boys who Formation and
Types of Group
were strangers to each other were given only the slightest hint that they were
being split into two groups. Even without knowing or seeing who else was in their
group they favoured members of their own group over the others. Group behaviour,
then, can arise from almost nothing.

Rule 2. Initiation rites improve group evaluations

Existing groups do not let others join for free: the cost is sometimes monetary,
sometimes intellectual, and sometimes physical—but usually there is an initiation
rite, even if it’s well disguised.

Aronson and Mills (1959) tested the effect of initiation rites by making one group
of women read passages from sexually explicit novels. Afterwards they rated the
group they had joined much more positively than those who had not had to
undergo the humiliating initiation. So, not only do groups want to test you, but
they want you to value your membership.

Rule 3. Groups breed conformity

After joining a group and being initiated, we have to get a feel for the group
norms, the rules of behaviour in that group. Group norms can be extremely
powerful, bending our behaviours in ways we would never expect.

One of the most famous experiments showing how easily we conform to unwritten
group rules was conducted by Asch (1951). He had participants sit amongst a
group of other people, who were judging the length of a line. The trick was that
all the other members of the group were confederates of the experimenter who
had been told to lie about which line was longer. Incredibly 76% of participants
denied the evidence from their own senses at least once, just to conform with the
group. Afterwards people made up all kinds of excuses for their behaviour. Most
popular was a variation on: “that many people can not be wrong”.

Rule 4. Learn the ropes or be ostracised

Group norms are extremely pervasive. This becomes all the more obvious when
we start breaking them. Garfinkel (1967) had adolescents return to their families
and behave totally out of character, that is, speaking only when spoken to, being
polite, acting formally, etc. But all this was to be only for 15 minutes at a time.
Rather than being delighted their parents were shocked and angry, accusing their
children of being selfish and rude. Break the group’s rules and you’ll know about
it soon enough.

Rule 5. You become your job

Although groups have norms and it is known that rules apply to everyone in the
group. People have roles within groups and corresponding rules that apply to
justify their position. The most well known demonstrations of the power of roles
is the Stanford Prison Experiment. Let us see what this experiment was .

Psychologists put young men into a simulated prison environment, making some
of them as prisoners and some others as guards (Zimbardo, 1972). After only 6
of its planned 14 days, the experiment had to be stopped because participants
conformed all too well to their roles as submissive prisoners or domineering 13
Group Dynamics guards. Some were emotionally disturbed by the experience. Even the
experimenters were succumbing to their ‘roles’ as prison superintendents before
the whole experiment was suspended.

Rule 6. Leaders gain trust by conforming

A high-profile, high-status role in any group is that of its leader, but where do
leaders come from? In some groups, they are appointed or imposed from outside,
but in many groups leaders emerge slowly and subtly from the ranks.

A study that has much to teach was carried out by Merei (1949) who observed
children at a Hungarian nursery school. He noticed that successful leaders were
those who initially fitted in with the group then slowly began to suggest new
activities adapted from the old. Children did not follow potential leaders who
jumped straight in with new ideas. Leaders first conform, then only later, when
trust has been gained, can they be confident that others will follow. This has been
confirmed in later studies (with grown-ups!).

Rule 7. Groups can improve performance

The mere presence of others can make us perform better. Norman Triplett, the
pioneer of Social psychology noticed that racing cyclists with a pacemaker
covered each mile about 5 seconds quicker than those without (Triplett, 1898).
Later research found this was not all about the effects of competition. The
presence of other people seems to facilitate our own performance, but more so
when the task is relatively separate from that of others and can be judged on its
own merits.

Rule 8. People will loaf

In other circumstances, though, people in groups demonstrate a tremendous capacity

for loafing, it was found in the 1890s by a researcher that participants in a tug
of war only put in half as much effort when they were in a team of 8 than when
they were on their own. It seems that hiding in the group is easy, for example
when tasks are additive and each person’s contribution is difficult to judge, people
will slack off to a considerable extent.

Rule 9. The grapevine is 80% accurate

Intelligence, rumour, gossip and tittle-tattle is the lifeblood of many groups. It

travels at a tremendous pace in big organisations because people love a good
bit of gossip, but what are ‘they’ talking about and can you believe what ‘they’
say? Simmons (1985) analysed workplace communication and found that about
80% of the time people are talking about work and a surprising 80% of the
information was accurate.

Rule 10. Groups breed competition

While co-operation within group members is generally not so much of a problem,

co-operation between groups can be problematic. People may be individually
cooperative, but once put in a ‘them-and-us’ situation, these rapidly become
remarkably adversarial.

14
 Introduction to Group,
Self Assessment Questions
Formation and
Types of Group
1) What are the basic characteristics of feeling of unity and control of group?

................................................................................................................
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2) What are the five stages of group development?

................................................................................................................
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................................................................................................................

3) Elucidate group formation theory.

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................................................................................................................

4) Elucidate the rules of the group.

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................................................................................................................
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1.6 TYPES OF GROUP

We can classify groups in different ways. First, it can be divided into two main
parts considering the degree of intimacy as the basis of classification.

l Primary group: There is an intimate face-to-face relationship among the

members and the members are having ‘we feeling’to the maximum. Family, play
groups and village community come under this category.

l Secondary group: Here the relationships are more or less casual and marked
by common interest. Clubs, trade unions etc. are under this category.

l In-group/ we group: Here we identify ourselves with that group which has a
common object and common interest. They have a sense of ‘we’ feeling. The
members of the in groups treat others as outsiders. These groups can be formed
on the basis of relationship, same country, similar political interests and economic
interests etc.

l Out-group: It is the group in which the members are considered as outsiders 15

by us. Groups other than the in-group are generally called out-groups.
Group Dynamics On the basis of norms and rules, groups can be categorised into the following
types:

l Formal group: It is generally formed on the basis of specific norms, rules and
values. The group of students in a classroom comes under the category of formal
group. So, school is one of the formal group settings.

l Informal group: The nature of the group is not formed at all. The rules are
usually flexible. Play groups, peer group and social clubs etc. are examples of
informal groups.

Besides the above two, group can also classified into various categories as given
below:

l Organised groups: The groups which are formed for specific purpose and are
carefully planned is called organised groups. The family, the school etc. are also
called organised groups.

l Spontaneous groups: The groups are formed without any careful planning.
Audience may be considered as spontaneous group after listening to the speech
by a renouned speaker.

l Command groups: Command groups are specified by the organisational chart.

It consists of a supervisor and the subordinates that report to the supervisor.

l Task groups: A group of people work together to achieve a common task. In

many situations there is a specified time period. This can be referred to as task
forces.

l Functional groups: Functional group is generally created by the organisation

to accomplish specific goals within an unspecified time frame. Functional group
generally exists after achievement of current goals and objects.

l Interest groups: It usually continues over time and may last longer than general
informal groups. It is seen that the interest of the member may not be part of the
same organisational department but they are bound by some common interest.

l Friendship groups: It may be of different types. These groups are formed by

the members who enjoy similar social activities, political beliefs, religious values
and other common bonds.

l Reference groups: This is the group where the people evaluate themselves.
Reference groups have a strong influence on members’ behaviour.

Temporary Group: Studies indicate that temporary groups come together for a
certain purpose and disburse aftert the task is over. These groups have their own
unique sequencing of actions. The salient features are:

i) Their first meeting sets the group’s direction.

ii) The first phase of group activity is one of inertia.

iii) A transition takes place at the end of this first phase, which occurs exactly when
the group has used up half its allotted time.
16
iv) A transition initiates major changes.
v) A second phase of inertia follows the transition. Introduction to Group,
Formation and
vi) The group’s last meeting is characterised by markedly accelerated activity. Types of Group

There are other types of groups, a few of which are listed below:

Clique: An informal, tight-knit group, usually in a High School/College setting,

that shares common interests. There is an established yet shifty power structure
in most Cliques. The effects of Cliques are varied.

Club: A club is a group, which usually requires one to apply to become a

member. Such clubs may be dedicated to particular activities, such as sports
clubs.

Community: A community is a group of people with a commonality or sometimes

a complex net of overlapping commonalities, often, but not always, in proximity
with one another with some degree of continuity over time. They often have some
organisation and leaders.

Franchise: This is an organisation which runs several instances of a business in

many locations.

Gang: A gang is usually an urban group that gathers in a particular area. It is a

group of people that often hang around each other. They can be like some clubs,
but much less formal.

Group: A group is a basic term for a number of people that associate themselves
with each other. This is a basic term which has many uses.

Mob: A mob is usually a group of people that has taken the law into their own
hands. Mobs are usually a group which gathers temporarily for a particular reason.

Posse: A posse was initially an American term for a group of citizens that had
banded together to enforce the law. However, it can also refer to a street group.

Squad: This is usually a small group, of around 3-8 people, that would work as
a team to accomplish a certain goal.

Team: This is similar to a squad, though a team may contain many more members.
A team works in a similar way as a squad.

1.7 GROUP STRUCTURE

It refers to the pattern of interrelationship that exists among group members and
makes the group’s functioning orderly. The important aspects of group structure
are:

i) Role: Role or the typical part played by an individual group member in

accordance with the expectations of other members from him.

ii) Norms: Norms are the rules and mutual expectations that develop within the
group. Norms have profound effect on members’ behaviour as it ensures
conformity among them.

iii) Status: Status is the relative prestige or social position given to groups or 17
individuals by others.
Group Dynamics iv) Group cohesiveness: It refers to the degree of attraction to the group members
for each other and the “we feeling” among the members. Without proper group
structure, group can not function properly in any situation.

Self Assessment Questions

1) What are the important aspects of group structure?

................................................................................................................
................................................................................................................
................................................................................................................
................................................................................................................

2) Define norms and status as an aspect of group structure.

................................................................................................................
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................................................................................................................

3) What do we call the groups formed on the basis of norms and rules?

................................................................................................................
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................................................................................................................
................................................................................................................

4) Enumerate the different types of groups.

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................................................................................................................

1.8 GROUP CONFLICT

Group conflicts, also called group intrigues, is where social behaviour causes
groups of individuals to conflict with each other. It can also refer to a conflict
within these groups. This conflict is often caused by differences in social
norms,values, and religion.

Both constructive and destructive conflict occurs in most small groups. It is very
important to accentuate the constructive conflict and minimise the destructive
conflict. Conflict is bound to happen, but if we use it constructively then it need
not be a bad thing.

When destructive conflict is used in small groups, it is counterproductive to the

long term goal. It is much like poisoning the goose that lays the golden eggs. In
18 the case of small group communication, destructive conflict creates hostility between
the members. This poisons group synergy and the results, the golden eggs if you Introduction to Group,
will, either cease being produced or are at least inferior in quality. Formation and
Types of Group
Using constructive conflict within small groups has the opposite effect. It is much
like nourishing the goose so that it continues to produce the golden eggs, golden
eggs which may be even better than what the unnourished goose could have
produced. In this sense, bringing up problems and alternative solutions while still
valuing others in small groups allows the group to work forward.(Engleberg &
Wynn, 2007)

1.9 GROUP BEHAVIOUR AND GROUP

ACTION
Group behaviour refers to the situations where people interact in large or small
groups. The field of group dynamics deals with small groups that may reach
consensus and act in a coordinated way.

Groups of a large number of people in a given area may act simultaneously (herd
behaviour) to achieve a goal that differs from what individuals would do acting
alone. A large group (a crowd or mob) is likely to show examples of group
behaviour when people gathered in a given place and time act in a similar way—
for example, joining a protest or march, participating in a fight or acting patriotically.

Special forms of large group behaviour are:

1) Crowd “hysteria”

2) Spectators: when a group of people gathered together on purpose to participate

in an event like theatre, play, cinema, movie, football, match, a concert, etc.

3) Public: exception to the rule that the group must occupy the same physical
place. People watching same channel on television may react in the same way,
as they are occupying the same type of place in front of television although
they may physically be doing this all over the world.

Group behaviour differs from mass actions which refers to people behaving similarly
on a more global scale (for example, shoppers in different shops), while group
behaviour refers usually to people in one place. If the group behaviour is
coordinated, then it is called group action. Swarm intellegence is a special case
of group behaviour, referring to the interaction between a group of agents in order
to fulfil a given task. This type of group dynamics has received much attention by
the soft computing community in the form of the particle swarn optimisation family
of algorithms.

Group action is a situation in which a large number of agents take action

simultaneously in order to achieve a common goal; their actions are usually
coordinated. Group action will often take place when social agents realise they
are more likely to achieve their goal when acting together rather than individually.
Group action differs from group behaviours, which are uncoordinated, and also
from mass actions, which are more limited in place.

19
Group Dynamics
1.10 LET US SUM UP
Group is a collection of individuals. Group refers to two or more persons who
interact with one another, share common goals and they recognise themselves that
they belong to a group. They interact with each other, either directly or indirectly
and their relationship is relatively stable. Their interaction should be structured in
some manner so that they perform the same and similar function when they meet.

Generally group members help to satisfy both psychological and social needs,
such as towards giving attention and receiving attention. Groups help us to fulfill
our need for security. In contrast, we can think about a mere collection of individuals,
who are not part of a group, as for example, members of a crowd, as in the case
of disorganised group. In a nutshell it can be said that the group has some kind
of structure to hold it together and attain the goals effectively. The structure is
hierarchical where the functions and powers are distributed. Group may be of
different types, viz., primary and secondary group, formal and informal group,
organised and spontaneous group, command group, task group, functional group,
interest group, friendship group, reference group etc. Group structure is a pattern
of relationships among members that hold the group together. It can be interpreted
in various ways depending on group size, group roles, group norms and group
cohesiveness.

1.11 UNIT END QUESTIONS

1) Define group and discuss the importance of the group.

2) Enumerate the characteristics of a group.

3) Elucidate the different types of groups, their roles and functions.

4) Differentiate between formal and informal group with examples.

1.12 GLOSSARY
Attitude : An enduring system of evaluations or feelings in favour of
or against a person or group.

Belief : Acceptance of a statement about an object, event, person

or group.

Cohesiveness : The social force which keeps the group together.

Group : A collection of individuals who are in interdependent

relationship with one another sharing common norm of
behaviour and attitude.

Informal group : A group which is not organised.

Group structure : The differences of roles and status relations within a group.

Group dynamics : The way in which changes take place in the behaviour of
other members of the group. Groups can mobilise powerful
20 force which may be constructive or destructive.
Peer group : A primary group composed of persons who are closely Introduction to Group,
alike in age and interests. Formation and
Types of Group
Value : Values are ideas about desirable states of affairs shared
by the members of a group or culture.

1.13 SUGGESTED READINGS

Baron, R.A. and Byrne, D. (2000). Social Psychology, 8th Edition, Prentice Hall
of India Pvt. Ltd., New Delhi – 110001.

Kuppuswamy, B. (2002). Elements of Social Psychology, 7th Revised Edition,

Konark Publishers Pvt. Ltd., New Delhi.

References

Engleberg, Isa N.; Wynn, Dianna R. (2007).(In English). Working in groups.

p,175-193(4th edition).

Kuppuswamy, B. (1980). An introduction to Social Psychology, 2nd Revised

edition, (reprinted,2004) Asia Publishing House, Mumbai.

Myers, G. David (2008). Social Psychology, 9th edition, The McGraw Hill
Companies, Inc.

Maclver, R.M.(1953). An Introductory Analysis, Mcmillian co. London, p 213.

Williams R.M. (1951). American Society: A sociological Interpretation, Alferd

A.knopf Inc. New York, p. 445

(Wikipedia,(encyclopedia) April, 2008) (www.wikipedia.org, (Encyclopedia)

May, 2010)

21