ORGANIZATIONAL BEHAVIOR

Leadership (Assignment)

Leadership refers to the ability to influence, motivate, and guide individuals or groups toward achieving organizational
goals.

Leadership is the process of influencing, motivating, and enabling individuals to contribute toward the effectiveness
and success of an organization (Robbins & Judge, 2022).

1. Trait Theory (Big Five Personality Traits in Leadership)

The Trait Theory of leadership suggests that certain personality traits make individuals more effective leaders. The
Big Five Personality Traits, a widely accepted model in OB, identifies key characteristics linked to leadership
effectiveness:

1.Openness to Experience – Leaders high in openness are creative, curious, and adaptable to change. They
encourage innovation and strategic thinking, making them effective in dynamic industries.

 Example: Elon Musk (Tesla, SpaceX) – Musk is known for his visionary thinking and willingness to explore
bold, unconventional ideas, such as colonizing Mars and developing electric cars. His openness to innovation
drives industry-wide change

2.Conscientiousness – Conscientious leaders are organized, responsible, and goal-oriented. They ensure efficiency,
discipline, and accountability within teams.

 Example: Tim Cook (Apple) – As Apple’s CEO, Cook is highly disciplined, detail-oriented, and organized,
ensuring efficiency in operations and maintaining Apple's reputation for high-quality products.

3.Extraversion – Leaders with high extraversion are outgoing, energetic, and assertive. They communicate effectively,
inspire teams, and drive motivation, making them suitable for leadership roles requiring high engagement.

 Example: Richard Branson (Virgin Group) – Branson is charismatic, outgoing, and energetic. He actively
engages with employees and customers, making him an inspiring and visible leader.

4.Agreeableness – Leaders with high agreeableness are cooperative, empathetic, and approachable. They foster
positive relationships, teamwork, and a supportive work culture, but excessive agreeableness may hinder tough
decision-making.

 Example: Satya Nadella (Microsoft) – Nadella is known for his empathetic and collaborative leadership style,
fostering a culture of inclusivity and innovation at Microsoft. His people-focused approach has revitalized the
company.

5.Neuroticism (Emotional Stability) – Effective leaders typically have low neuroticism, meaning they remain calm
under pressure, handle stress well, and make rational decisions. High neuroticism can lead to anxiety and
inconsistent leadership.

 Example: Angela Merkel (Former German Chancellor) – Merkel remained calm and composed even in times
of crisis, such as the European financial crisis and the COVID-19 pandemic. Her emotional stability helped her
make rational, well-balanced decisions under pressure.
2. Leadership Styles

Leadership styles define how leaders interact with subordinates, make decisions, and manage teams. The three key
styles include:

1.Autocratic Leadership:

In an autocratic leadership style, the leader makes decisions independently with little or no input from subordinates.
This style is characterized by strict control, clear directives, and a centralized decision-making process. While it
ensures efficiency and quick decision-making, it may reduce employee motivation and innovation.

 Leaders make decisions independently with minimal input from employees.

 Suitable for situations requiring quick decisions, such as crisis management.

 Ensures control and efficiency but can reduce employee motivation and innovation.

Example: Jeff Bezos (Amazon) – Bezos has been known for his high expectations, direct leadership, and demanding
work culture, ensuring operational efficiency and discipline at Amazon.

2.Democratic Leadership

A democratic leader encourages participation, collaboration, and employee involvement in decision-making. This
style fosters teamwork, innovation, and job satisfaction but may slow decision-making due to the need for consensus.

 Leaders encourage participation, collaboration, and open communication.

 Employees feel valued and empowered, leading to higher job satisfaction and creativity.

 Decision-making may take longer due to collective input, but it improves team cohesion.

Example: Satya Nadella (Microsoft) – Under Nadella’s leadership, Microsoft shifted towards a more collaborative
and inclusive culture, encouraging employees to share ideas and contribute to decision-making.

3. Dictatorial Leadership

Dictatorial leadership is an extreme form of autocratic leadership where the leader exercises absolute authority,
suppresses dissent, and prioritizes obedience over employee engagement. This style can be effective in maintaining
strict control but often leads to low morale, fear, and high employee turnover.

 An extreme form of autocratic leadership where leaders impose strict control and suppress dissent.

 Employees must follow orders without question, often leading to fear-based compliance.

 Can be effective in high-stakes environments but often results in low morale and high turnover.

Example: Henry Ford (Ford Motor Company, early years) – Ford implemented strict policies and rigid control over
workers, enforcing efficiency but limiting individual input and creativity in the early days of Ford’s mass production
system.
Motivation (From Book, summarized)

Defination: The processes that account for an individual’s intensity, direction, and persistence of effort toward
attaining a goal.

1. Maslow Hierarchy of Needs

Hierarchy of needs Abraham Maslow’s hierarchy of five needs—physiological, safety, social, esteem, and self-
actualization—in which, as each need is substantially satisfied, the next need becomes dominant.

1. Physiological. Includes hunger, thirst, shelter, sex, and other bodily needs.

2. Safety-security. Security and protection from physical and emotional harm.

3. Social-belongingness. Affection, belongingness, acceptance, and friendship.

4. Esteem. Internal factors such as self-respect, autonomy, and achievement, and external factors such as status,
recognition, and attention.

5. Self-actualization. Drive to become what we are capable of becoming; includes growth, achieving our potential, and
self-fulfillment

Maslow’s hierarchy suggests that as each need is substantially satisfied, the next becomes dominant. To motivate
someone, one must understand their level in the hierarchy and focus on satisfying needs at or above that level. The
hierarchy is commonly depicted as a pyramid, though Maslow referred to it only as levels. His theory has received
long-standing recognition, particularly among practicing managers, as it is intuitively logical and easy to understand.
Some research has validated it, but most does not, especially across diverse cultures, except for physiological needs.
However, old, intuitively logical theories persist, making public acceptance important when discussing motivation

.
2. Equity theory

Defination:A theory that says that individuals compare their job inputs and outcomes with those of others and then
respond to eliminate any inequities

 Example: Ainsley, a finance student, takes a summer internship at a pharmaceutical company, earning $15 an
hour, which is more than her peers. She meets Josh, a middle manager in the same finance department, who
earns $30 an hour. Ainsley is engaged, satisfied, and helpful, while Josh is disinterested and considers
quitting. He believes his pay is unfair compared to managers at other companies.

Equity theory explains this by stating that employees compare their “Outcomes” (pay, promotions, recognition) to
their “Inputs” (effort, experience, education). They then compare their outcome-to-input ratio with others. If the ratios
are equal, equity exists, and the situation is perceived as fair.

Based on equity theory, employees who perceive inequity will make one of six choices:

1. Change inputs (exert less effort if underpaid or more if overpaid).

2. Change outcomes (individuals paid on a piece-rate basis can increase their pay by producing a higher quantity of
units of lower quality)

3. Distort perceptions of self (“I used to think I worked at a moderate pace, but now I realize I work a lot harder than
everyone else”).

4. Distort perceptions of others (“Mike’s job isn’t as desirable as I thought”).

5. Choose a different referent (“I may not make as much as my brother-in-law, but I’m doing a lot better than my Dad
did when he was my age”).

6. Leave the field (quit the job).

Equity theory has mixed support, with concerns about its accuracy. Overpaid employees do not usually change
behavior but rationalize their pay. People differ in equity sensitivity, with some feeling entitled and others preferring
lower outcome–input ratios. Despite its limitations, equity theory contributed to the study of organizational justice,
which examines fairness in the workplace.

Organizational justice: An overall perception of what is fair in the workplace, composed of distributive, procedural,
informational, and interpersonal justice.

Distributive justice: Perceived fairness of the amount and allocation of rewards among individuals.

Procedural justice: The perceived fairness of the process used to determine the distribution of rewards.

Informational justice: The degree to which employees are provided truthful explanations for decisions.

Interpersonal justice: The degree to which employees are treated with dignity and respect.

Justice Outcome: Justice improves task performance, citizenship behaviors, and well-being while reducing
counterproductive behaviors. Fair treatment increases commitment, trust, and positive emotions, though fairness is
subjective. Managers should address injustices at their source and allow employees to express frustrations to reduce
retribution.
Ensuring Justice: Managers ensure justice either by following rules or acting based on emotions. Rule-driven
managers need strict guidelines, while emotion-driven managers act more fairly with discretion.

Culture and Justice: Justice perceptions vary by culture. Individualistic cultures value competitive pay, uncertainty-
avoiding cultures prefer fixed pay, feminine cultures emphasize work-life balance, and low power-distance cultures
prioritize ethical concerns. Managers must adapt fairness approaches to cultural expectations.

3. Theory X , Y

Theory X and Theory Y were developed by Douglas McGregor to describe two contrasting views of employee
motivation and management styles in organizational behavior.

Theory X (Authoritarian Approach)

Assumes employees dislike work, avoid responsibility, and need strict supervision.

Believes workers are lazy, lack ambition, and require external control to be productive.

Managers using Theory X are directive, controlling, and rely on punishments or rewards to enforce discipline.

Best suited for routine tasks or environments needing high control, but can limit creativity and motivation.

Example: Theory X is a strict management style used in fast-food chains, where employees perform repetitive
tasks under close supervision. Managers assume workers lack motivation, so they enforce rules, monitoring,
and rewards/punishments to maintain efficiency.

Theory Y (Participative Approach)

Assumes employees enjoy work, seek responsibility, and are self-motivated.

Believes workers are creative, capable of problem-solving, and will be productive if given trust and autonomy.

Managers using Theory Y are supportive, encourage participation, and focus on empowerment and growth.

Best suited for dynamic and innovative workplaces, fostering higher job satisfaction and commitment.

Example : Theory Y is a flexible approach seen at Google, where employees are trusted, empowered, and
encouraged to innovate. Managers believe workers are self-motivated and focus on growth and collaboration,
leading to higher satisfaction and creativity.
4. Two Factor theory

Two-factor theory : A theory that relates intrinsic factors to job satisfaction and associates extrinsic factors with
dissatisfaction. Also called motivation-hygiene theory.

Hygiene Factors—such as company policy and administration, supervision, and salary—that, when adequate in a job,
placate workers. When these factors are adequate, people will not be dissatisfied.

Psychologist Frederick Herzberg studied job attitudes and developed the two-factor theory (also called motivation-
hygiene theory). He found that intrinsic factors like advancement, recognition, responsibility, and achievement lead to
job satisfaction, while extrinsic factors like supervision, pay, company policies, and work conditions cause job
dissatisfaction.

Herzberg argued that the opposite of satisfaction is no satisfaction, not dissatisfaction, and the opposite of
dissatisfaction is no dissatisfaction, not satisfaction. Hygiene factors (such as pay, supervision, and job security)
prevent dissatisfaction but do not motivate employees. To motivate workers, managers should focus on intrinsically
rewarding factors like personal growth, recognition, and achievement.

Although the two-factor theory has been widely criticized, especially for its methodology and assumptions about
productivity, it remains influential, particularly in Asia, and is still widely recognized by managers.
5. Goal Setting Theory

Goal-setting theory: A theory that says that specific and difficult goals, with feedback, lead to higher performance.

Goal-Setting Theory by Edwin Locke emphasizes that specific, challenging goals with feedback boost performance.
Specificity guides effort, difficult goals increase motivation, and feedback helps track progress. Self-generated
feedback is more effective. Participation in goal setting has mixed results—some studies show it improves outcomes,
while others find assigned goals work just as well if employees understand their purpose.

Three personal factors influence the goals–performance relationship: goal commitment, task characteristics, and
national culture.

1. Goal Commitment: People stay committed to goals when they believe they can achieve them and truly want to.
Commitment is stronger when goals are public, self-set, and based on ability.

 Example: A salesperson aiming for 50 sales a month stays motivated because the goal is public.

2. Task Characteristics: Goals work best in simple, well-learned, and independent tasks. Complex tasks benefit more
from group goals.

 Example: A factory worker benefits from a daily production goal, while a software team needs a shared target.

3. National Culture: In collectivist and high-power-distance cultures, moderate and assigned goals work better than
difficult, individual ones.

 Example: U.S. workers prefer ambitious personal goals, while Japanese employees may thrive with team-
based targets.

Promotion focus : A self-regulation strategy that involves striving for goals through advancement and
accomplishment.

Prevention focus: A self-regulation strategy that involves striving for goals by fulfilling duties and obligations.

Implementing Goal-Setting: Managers use different goal-setting methods, with MBO being a structured approach
where goals are clear, measurable, and participative. It aligns company objectives but can fail if goals are unrealistic
or lack management support.

Management by objectives (MBO) : A program that encompasses specific goals, participatively set, for an explicit
time period, with feedback on goal progress.

 Example: Denmark’s government uses MBOR to improve efficiency.

Goal-Setting and Ethics: Strict goals, especially with financial rewards, can lead to unethical behavior. Time pressure
increases this risk, making people cut corners or avoid tasks.

 Example: A sales team under pressure inflates numbers to meet targets.

The Cognitive Theory of Motivation focuses on how an individual's thoughts, beliefs, and perceptions influence their
motivation to perform tasks. In an organizational setting, this theory helps explain why employees engage in certain
behaviors based on their mental processes, expectations, and evaluations of their work environment.

Key Aspects of Cognitive Motivation in Organizations

1. Expectancy Theory (Vroom’s Model)

 Employees are motivated when they believe:

 Effort will lead to performance (Expectancy).

 Performance will lead to rewards (Instrumentality).

 The rewards are valuable to them (Valence).

Example: An employee will work harder if they believe their extra effort will lead to a promotion or bonus.

2. Equity Theory (Adams’ Model)

 Employees compare their input-output ratio (effort vs. rewards) to others.

 If they perceive inequality, they may reduce effort, ask for more compensation, or even quit.

Example: If two employees do the same job but one gets paid more, the underpaid employee may feel demotivated.

3. Goal-Setting Theory (Locke’s Model)

 Specific, challenging goals enhance motivation more than vague ones like "Do your best."

 Feedback and goal commitment further improve performance.

Example: A salesperson with a target of selling 50 units per month will be more driven than one with no clear target.

4. Self-Determination Theory (Deci & Ryan’s Model)

 Employees perform better when they feel autonomy (control over tasks), competence (capable), and
relatedness (valued by peers).

 Intrinsic motivation (personal satisfaction) is stronger than extrinsic rewards (money, promotions).

Example: A software developer who enjoys coding will work harder than one only motivated by a paycheck.

Impact on Organizational Behavior

 Helps managers design effective incentive systems (bonuses, recognition).

 Encourages fairness in the workplace to prevent dissatisfaction.

 Supports employee empowerment and autonomy for higher engagement.

 By applying cognitive motivation theories, organizations can enhance productivity, job satisfaction, and overall
workplace morale.
Attitude and its components(mid term)

Attitudes: Evaluative statements or judgments concerning objects, people, or events.

 Exp: “I like my job,” you are expressing your attitude about your work.

Cognitive component : The opinion or belief segment of an attitude

 Exp: “My pay is low” is a cognitive component of an attitude—

Affective component: The emotional or feeling segment of an attitude.

 Exp: “I am angry over how little I’m paid.”

Behavioral component : An intention to behave in a certain way toward someone or something.

 Exp: “I’m going to look for another job that pays better.”

Learning(mid term)

Definition of Learning: Learning is a continuous process that occurs all the time. A broadly accepted definition states
that learning is a permanent change in behavior resulting from experience.This definition implies that while learning
itself is not directly observable, changes in behavior indicate that learning has taken place.

Key components of learning:

1. Learning involves change – This change can be positive or negative.

2. The change must become ingrained – Reflexive or temporary changes do not qualify as learning.

3. Experience is necessary – Learning occurs through direct observation, practice, or indirect means like reading.

The ultimate test is whether the experience leads to a permanent change in behavior. If it does, learning has occurred.

Theories of Learning

a. Classical Conditioning: Classical conditioning, developed by Ivan Pavlov, is based on associating a neutral
stimulus with an unconditioned stimulus to trigger a conditioned response.

 Unconditioned stimulus (UCS) – The meat that naturally caused

 Unconditioned response (UCR) – The dog's automatic salivation to the meat.

 Conditioned stimulus (CS) – The bell, initially neutral but later linked to food.

 Conditioned response (CR) – Salivation in response to the bell alone.

Classical conditioning explains involuntary behaviors and simple reflexes, such as associating Christmas carols with
happy memories.In organizations, employees may associate certain cues (like clean windows) with specific events
(executive visits), leading to conditioned behaviors. However, classical conditioning is passive and does not explain
voluntary behaviors.
b. Operant Conditioning: B.F. Skinner introduced operant conditioning, which states that behavior is influenced by its
consequences. Reinforced behavior is more likely to be repeated.Punished or ignored behavior is less likely to be
repeated.

 For example, students who receive marks for participation are more likely to engage in discussions.

This concept is common in everyday life, such as:

 A student studying to earn a high grade.

 A salesperson working harder to earn a commission.

However, if reinforcement is absent, desired behaviors may decline. For instance, if an employee is promised a
reward for working overtime but doesn’t receive it, they may refuse future overtime requests.

c. Social Learning: Social learning theory suggests that individuals learn by observing others in addition to direct
experience.

Key sources of learning:

 Parents,Teachers,Peers, Media , Supervisors

Unlike operant conditioning, social learning recognizes that behavior is influenced by perception of consequences
rather than just the consequences themselves.

The influence of models is crucial in social learning. People tend to learn from models who are:

 Attractive , Frequently available , Important, Similar to them

Managerial Roles( Mintzberg)(mid-term)

Henry Mintzberg, a prominent management scholar, studied executives early in his career to understand their job
functions.He identified 10 distinct but interrelated managerial roles that are crucial in organizations.

These roles are categorized into three primary groups:

Interpersonal roles, Informational roles andDecisional roles

Despite changes in the workplace over time, research shows that these managerial roles remain largely unchanged.

1. Interpersonal roles – Acting as a figurehead in ceremonial duties, a leader in managing employees, and a liaison in
building relationships.

 Example – A CEO attending a ribbon-cutting ceremony for a new office.

Interpersonal roles includes:

•Figurehead Symbolic head : required to perform a number of routine dutiesof a legal or social nature

•Leader : Responsible for the motivation and direction of employees

•Liaison : Maintains a network of outside contacts who provide favors and information
2. Informational roles – Serving as a monitor to gather data, a disseminator to share information, and a
spokesperson to represent the organization.

 Example: A news editor reviewing global reports and sharing key updates with the newsroom.

Information roles includes:

•Monitor : Receives a wide variety of information; serves as nerve center of internal and external information of the
organization

•Disseminator : Transmits information received from outsiders or from other employees to members of the
organization

•Spokesperson: Transmits information to outsiders on organization’s plans, policies, actions, and results; serves as
expert on organization’s industry

3. Decisional roles – Acting as an entrepreneur to improve performance, a disturbance handler to solve problems, a
resource allocator to distribute resources, and a negotiator to secure benefits.

 Example: A hospital director allocating funds to expand emergency room facilities.

Decisional roles includes:

•Entrepreneur : Searches organization and its environment for opportunities and initiates projects to bring about
change

•Disturbance handler : Responsible for corrective action when organization faces important, unexpected
disturbances

•Resource allocator : Makes or approves significant organizational decisions

•Negotiator : Responsible for representing the organization at major negotiations

Defination of Interpersonal Behavior: The behaviour that a person prefers to display in social environment, weather
such environment is caused by mere presence of another person or a well defined group.

Defination of Interpersonal relationship: The interdependent behavior of two people, in such a manner that a change
in the behavior of one is likely to cause change in the behavior of others.

Factors Affecting interpersonal behaviour:

1. Mere Presence

 The concept of "mere presence" was first observed by Triplett (1898) when he noticed that cyclists performed
better when another cyclist was present.

 This led to the hypothesis that the presence of another person enhances performance.

 Social facilitation, legitimate authority, and the bystander effect elaborate on mere presence.

A. Social Facilitation

 Zajonc refined the mere presence concept, concluding that the presence of others increases psychological
arousal.

 This improves performance in easy tasks but hinders complex tasks.

 Psychological arousal can result from anxiety, distraction, energy expenditure, or task engagement.

 Supportive supervisors and co-workers enhance productivity.

Question: Can digital or robotic presence augment social facilitation?

B. Legitimate Authority and Obedience

 Legitimate authority significantly influences behavior, as seen in Milgram’s experiment.

 People may follow authority even when orders are illegitimate, explaining certain behaviors in civil services
and policing.

C. Bystander Effect

 Presence of many people can lead to diffusion of responsibility, misinterpretation of events, and apprehension.

 Help is more likely with fewer bystanders.

 Attraction is the force that brings people together.

 Factors increasing attraction: proximity, responsiveness, similarity, familiarity, reciprocity, and physical
attractiveness.

 In interactive situations, similarity and familiarity have limited impact.

 Reciprocity enhances attraction but may not always work in romantic situations.

 Physical attractiveness matters initially but loses significance after brief face-to-face interaction.

3. Close Relationship

Close relationships involve intimacy, support, and acknowledgment.

Key theories:

 Social Exchange Theory: Relationships form through exchanges such as gifts, advice, and emotional support.

 Equity Theory:Relationships thrive on fairness rather than equality.

 Investment Theory: Commitment in relationships depends on time, resources, satisfaction, and available
alternatives.

Close relationships contribute to well-being, productivity, and pro-social behavior.

Impact of Close Relationship

 Well-being and Productivity

 People with close workplace friends are happier.

 Social life enhances mental well-being and reduces stress.

 Emotional support is more beneficial than tangible support.

 A congenial work environment fosters friendships and mentorship.

 Intimacy and Attachment: Emotional intimacy in teams leads to high performance.

 Prosocial Behavior: Close relationships encourage norms of reciprocity, social responsibility, and leadership
in emergencies.
4. Need for Belongingness

Belongingness is a fundamental human need, as seen in Maslow’s hierarchy and McClelland’s need for affinity.

Social comparison, anxiety reduction, and information seeking drive this need.

Groups help form social identity but can also lead to biases and prejudices.

Organizations can promote belongingness through social clubs and groups.

3. Theories of Interpersonal Behaviour

Habit Creation Model

 Behavior changes in social contexts based on experiences, observations, and feedback.

 Routine behaviors are automatic, while non-routine situations require evaluation.

 Behavior is influenced by values, norms, comfort, and social acceptance.

 Reinforcement through feedback forms habitual behaviors.

Theory of Planned Behaviour

 Best predictor of planned behavior is intention, influenced by:

 Attitude towards the behavior

 Subjective norm (opinions of others)

 Perceived behavioral control (self-efficacy)

 External factors like group dynamics moderate behavior.