08. Perception

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Perception&

Individual DecisionMaking5 0


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Attractive or Ugly Woman?

An Ambiguous Figure ???? A mans face????

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Introduction:Perception is one of the oldest fields in psychology.The word "perception" comes from the Latin wordsperceptio, percipio which means :receiving,collecting and action of taking possession with the

mind or senses. Individuals behave in a given manner based not onthe way their external environment actually is, butrather on what they see or believe it to be. Peoples behavior is based on their perception ofwhat reality is, not on reality itself.

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What Is Perception, and Why Is It Important?

Peoples behavior is based on their perception of what reality is, not on reali ty itself .

The world as it is

perceived is the world that is behaviorally important.

Perception

A process by whichindividuals organizeand interpret theirsensory impressions inorder to give meaningto their environment.


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Factors ThatInfluence

Perception

E X H I B I T 5 1


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Person Perception: Making Judgments AboutOthers

Distinctiveness: shows different behaviors in different situations.

Consensus: response is the same as others to same situation.

Consistency: responds in the same way over time.

Attribution Theory

When individuals observebehavior, they attempt to

determine whether it isinternally or externallycaused.


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Attribution TheoryE X H I B I T 5 2


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Organizational Behavior 11

What is attribution theory?

Attribution theory aids in perceptualinterpretation by focusing on howpeople attempt to:

Understand the causes of a certainevent.Assess responsibility for the outcomes

of the event.Evaluate the personal qualities of thepeople involved in the event.


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Our perception and judgment of others issignificantly influenced by our assumptions of the other persons internal state.

- When individuals observe behavior, they attemptto determine whether it is internally or externallycaused. Internal causes - are under that persons control .i.e.

Late coming because of weekend party and sleeping till late

External causes are not person forced to act in thatway .i.e. Late due to Accident

Causation judged through: Distinctiveness -Shows different behaviors in

different situations.

Consensus - Response is the same as others in agiven situation.

Consistency - Responds in the same way overtime.

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Causes of Behavior

Internal factors Personalcharacteristicsthat cause

behavior (e.g.,ability, effort)External factors Environmental

characteristicsthat causebehavior (e.g.,task difficulty,

good/bad luck)


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Elements of Attribution Theory



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Distinctiveness is determined by comparing apersons behavior on one task/situation withhis or her behavior on other tasks /situations.

Kelleys Theory of Attribution

Tasks/ /situations

A B C D E A B C D E

Low- Internal High- External

Tasks/ /situationsPoor working condition Good working condition


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Kelleys Attribution Model

Consensus Involves the comparison of an individuals behavior with that of hisor her peers

People

A B C D E

People

A B C D E

Low- Internal High- External


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Consistency is determined by judging if the individuals performance on a giventask is consistent over time.

Kelleys Theory of Attribution

Time Time

High InternalLow- External


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How Kelleys Model Works

ExternalAttributionHigh consensusHighdistinctivenessLowconsistency

InternalAttribution

Low consensusLow

distinctiveness


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DistinctivenessDoes this person

behave differently in

in different situations

YesHighConsistency

NoLow

Consistency

NoLow

Consensus

YesHigh

Consensus

YESLow

DistinctivenessNO

HighDistinctiveness

ConsensusDo other peopleBehave in the

Same manner?

ConsistencyDoes this person

behavein this same

manner at other times ?

InternalAttribution

External

Attribution


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Errors and Biases in Attributions

Fundamental Attribution Error The tendency to underestimatethe influence of external factorsand overestimate the influence

of internal factors when making judgments about the behaviorof others.


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Errors and Biases in Attributions (contd)

Self-Serving BiasThe tendency for individuals toattribute their own successesto internal factors while

putting the blame for failureson external factors.


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Frequently Used Shortcuts in Judging Others

Selective Perception

People selectively interpret what they see on thebasis of their interests, background, experience,and attitudes.


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Halo EffectDrawing a general impressionabout an individual on thebasis of a single characteristic

Contrast Effects

Evaluation of a persons characteristics that

are affected by comparisons with otherpeople recently encountered who rank higheror lower on the same characteristics.


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Projection Attributing ones owncharacteristics to otherpeople.

StereotypingJudging someone on thebasis of ones perception of the group to which that

person belongs.


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Specific Applications in Organizations

Employment Interview Perceptual biases of raters affect the accuracy of

interviewers judgments of applicants.

Performance Expectations Self-fulfilling prophecy ( pygmalion effect ): The lower or

higher performance of employees reflects preconceivedleader expectations about employee capabilities.

Ethnic Profiling A form of stereotyping in which a group of individuals

is singled out typically on the basis of race orethnicity for intensive inquiry, scrutinizing, or

investigation.


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Specific Applications in Organizations (contd)

Performance Evaluations Appraisals are often the subjective (judgmental)

perceptions of appraisers of another employees jobperformance.

Employee Effort Assessment of individual effort is a subjective

judgment subject to perceptual distortion and bias.


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The Link Between Perceptions and IndividualDecision Making

Perceptionof the

decisionmaker

Outcomes

Problem A perceived discrepancybetween the current state of

affairs and a desired state.

DecisionsChoices made from among

alternatives developed fromdata perceived as relevant.


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Assumptions of the Rational Decision-MakingModel

Model Assumptions

Problem clarity

Known options Clear preferences

Constantpreferences

No time or costconstraints

Maximum payoff

Rational Decision-Making Model

Describes how

individuals shouldbehave in order tomaximize someoutcome.


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Steps in the Rational Decision-Making Model

1. Define the problem.2. Identify the decision criteria.

3. Allocate weights to the criteria.

4. Develop the alternatives.

5. Evaluate the alternatives.

6. Select the best alternative.

E X H I B I T 5 3


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How Are Decisions Actually Made inOrganizations

Bounded Rationality

Individuals make decisions by constructingsimplified models that extract the essential

features from problems without capturingall their complexity.


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How Are Decisions Actually Made inOrganizations (contd)

How/Why problems are identified Visibility over importance of problem

Attention-catching, high profile problems Desire to solve problems

Self-interest (if problem concerns decision maker)Alternative Development Satisficing: seeking the first alternative that solves

problem. Engaging in incremental rather than unique problem

solving through successive limited comparison of alternatives to the current alternative in effect.


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Common Biases and Errors

Overconfidence Bias Believing too much in our own decision competencies.Anchoring Bias Fixating on early, first received information.

Confirmation Bias Using only the facts that support our decision.Availability Bias Using information that is most readily at hand.

Winners Curse Winning participants in an auction typically pay too

much for the winning item.


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Common Biases and Errors

Escalation of Commitment Increasing commitment to a previous decision in spite

of negative information.Randomness Error Trying to create meaning out of random events by

falling prey to a false sense of control or superstitions.Risk Aversion- The tendency to prefer a sure thing over a risky

outcome.Hindsight Bias Falsely believing to have accurately predicted the

outcome of an event, after that outcome is actuallyknown.


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Ethics in Decision Making

Ethical Decision Criteria Utilitarianism

Seeking the greatest good for the greatest number.

Rights Respecting and protecting basic rights of individuals

such as whistleblowers. Justice

Imposing and enforcing rules fairly and impartially.

Falsely


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The Three Components of Creativity

CreativityThe ability to producenovel and useful ideas.

Three-ComponentModel of Creativity

Proposition that individualcreativity requires expertise,creative-thinking skills, andintrinsic task motivation.

E X H I B I T 5 4Source: T.M. Amabile, Motivating Creativity in Organizations, California Management Review , Fall 1997, p. 43.

08. Perception

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