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1/MITSOT Organisational Behaviour Chapter I Organisational Behaviour Learning Objectives Reading this chapter would enable you to understand: The importance of the human element in the organisation Industrial psychology Contents 1.1 Organisation 1.2 Major Classifications of Organisations 1.3 Major Factors Influencing an Organisation 1.4 Organisational Behaviour 1.5 Some Fundamental Concepts in Organisational Behaviour 1.5.1 Ever y Individual is Different 1.5.2 Ever y Individual is a Complete Person 1.5.3 All Behaviour has Cause-Effect Relationship 1.5.4 Ever y Individual has Self-esteem 1.5.5 An Organisation is a Social System 1.5.6 Mutual Interests are Inter-dependent 1.5.7 A Total View of the Organisation 1.6 Why is the Study of Organisational Behaviour Important for Managers? Summing Up Self-assessment 1.1 Organisation An organisation is a human construct, made by people. It is not built by bricks and stones, or by furniture and fixtures, or by plants and machinery alone. It is the people who make or mar an organisation. A group of people travelling in a bus from one place to another, a group of people watching a movie for three hours, a large number of people attending an election campaign speech of a political leader do not form an organisation. They form a crowd or a mob. An organisation requires people with purpose, goals and objectives. Thus, comprehensively we can say that: “An organisation is a group of people working together to achieve the common organisational goal (viz. production of goods or services with the help of the given resources i.e. people, machines and materials).” Some examples of an organisation are: family, school, college, cricket team, foot-ball team, hockey team, university, factory, bank, hospital, hotel, municipal corporation, a state electricity board, a water supply board, telephone exchange, government, army, navy, air force, etc. 1.2 Major Classifications of Organisations The following are the major classifications of organisations: a. Industrial Sector v/s Agricultural Sector
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Page 1: 1 Organisational Behaviour Book

1/MITSOT

Organisational Behaviour

Chapter IOrganisational Behaviour

Learning ObjectivesReading this chapter would enable you to understand:• The importance of the human element in the organisation• Industrial psychology

Contents1.1 Organisation1.2 Major Classifications of Organisations1.3 Major Factors Influencing an Organisation1.4 Organisational Behaviour1.5 Some Fundamental Concepts in Organisational Behaviour

1.5.1 Every Individual is Different1.5.2 Every Individual is a Complete Person1.5.3 All Behaviour has Cause-Effect Relationship1.5.4 Every Individual has Self-esteem1.5.5 An Organisation is a Social System1.5.6 Mutual Interests are Inter-dependent1.5.7 A Total View of the Organisation

1.6 Why is the Study of Organisational Behaviour Important for Managers?

Summing UpSelf-assessment

1.1 Organisation

An organisation is a human construct, made by people. It is not built by bricksand stones, or by furniture and fixtures, or by plants and machinery alone. Itis the people who make or mar an organisation. A group of people travellingin a bus from one place to another, a group of people watching a movie forthree hours, a large number of people attending an election campaign speechof a political leader do not form an organisation. They form a crowd or a mob.An organisation requires people with purpose, goals and objectives. Thus,comprehensively we can say that:

“An organisation is a group of people working together to achieve the commonorganisational goal (viz. production of goods or services with the help of thegiven resources i.e. people, machines and materials).”

Some examples of an organisation are: family, school, college, cricket team,foot-ball team, hockey team, university, factory, bank, hospital, hotel, municipalcorporation, a state electricity board, a water supply board, telephoneexchange, government, army, navy, air force, etc.

1.2 Major Classifications of Organisations

The following are the major classifications of organisations:a. Industrial Sector v/s Agricultural Sector

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Organisational Behaviour

b. Public Sector v/s Private Sectorc. Joint Sector v/s Co-operative Sectord. Capital intensivee. Labour intensivef. Public Limitedg. Private Limitedh. Manufacturing Sectori. Service Sectorj. Large Scalek. Small Scale, etc.

1.3 Major Factors Influencing an Organisation

The following are the factors that influence an organisation:a. Peopleb. Sizec. Technologyd. Environmente. Management

1.4 Organisational Behaviour

Every individual has 24 hours a day. Worldwide research has shown that anaverage person spends about 6 to 8 hours a day in sleep. Out of the remaining18 hours, more than 8 hours are spent in working and travelling for work.This means that one gets less than 8 hours for one's personal and private lifewith family and friends. In other words, we spend about 33% of our life sleeping;about 50% of our life working and the rest about 17% of our life for personalpleasures.

If we study the daily routine of a person working in an organisation, we findthat he spends more than 33% of his life in the organisation, less than 33% ofhis life sleeping and less than 33% of his life with his family, friends, relativesand for his personal hobbies, etc. With the increasing problems ofaccommodation, transport and communication in major urban areas in thecountry, one has to spend at least an hour per day travelling to and fro,theworkplace. The entire routine of life has become so mechanical that manseems to have become an extension/accessory to the machine, if not themachine himself. This has resulted in a tremendous amount of stress andstrain on the individual, affecting the physical as well as the mental health ofthe person.

The subject of Organisational Behaviour deals with that part of our life, whichwe spend working, which is also called ‘On-the-job' life. Interestingly, our ‘off-the-job’ life is inter-related and inter-dependent on the ‘on-the-job’ life andvice-versa. Generally, it is observed that those who are comfortable ‘on-the-job' are happy ‘off-the-job' also.

Organisational behaviour has been defined by:

a. Keith Davis: As a study of human behaviour at work.b. Fred Luthans: As understanding, prediction and control of human

behaviour in the organisation.

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c. Stephen Robbins: As a study that investigates the impact, individuals,groups and structure have on human behaviour within the organisation.

d. S. K. Kapur: As a systematic study of actions and reactions, the peopleworking in an organisation in order to improve the overallorganisational performance.

1.5 Some Fundamental Concepts in Organisational Behaviour

Research studies in organisational behaviour all over the world show that the‘On-the-job' performance of an individual depends upon the ‘Off-the-job' life.In other words, less than 66% of the life ‘off-the-job’ has a great influence onthe more than 33% life ‘on-the-job’, affecting performance. Think over thefollowing statements:

a. Similar machines behave similarly under similar conditionsb. Different machines behave differently under different conditionsc. Similar machines behave differently under different conditionsd. Different machines behave differently under similar conditionse. Different people behave differently under different conditionsf. Different people behave differently under similar conditionsg. The same people behave differently under different conditionsh. The same people behave differently under similar conditions.

Thus, it will be observed that in a modern business organisation, managersmust understand not only the organisational ‘structure', but also theorganisational ‘culture'. Obviously, the organisational structure is differentfrom the organisational culture. The organisational structure can be shownby an organisational chart or the ‘Organogram', but organisational culturecannot be shown on paper. It has to be seen, felt and experienced by thepeople within as well as by the people out. Organisational culture is formedby the organisational behaviour of the people over a long period of time. Humanbehaviour is universal like the gravitational force.

Human behaviour is a highly complex process. A systematic understandingof human behaviour involves the ability to understand the ‘why' of behaviour.In modern business/commercial organisations, it is essential for everymanager to develop an ability to understand not only the reasons for the pastbehaviour of his people, but also to predict, change or control the futurebehaviour to the extent possible.

Some of the important fundamental concepts of organisational behaviour areas follows:

1.5.1 Every individual is different

Every person is different with respect to his/her age, education, knowledge,skills, attitude, physical health, mental health, personality, etc. Therefore,each person should be treated separately while managing people. A uniformmanagement style will not be applicable to all employees.

Organisational Behaviour

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Organisational Behaviour

1.5.2 Every individual is a complete person

Every individual is a complete person viz. he comes to work everyday withhis head, hands and heart representing knowledge, skills and attituderespectively. The employee has his/her individual knowledge, skills, attitude,opinions, views, likes-dislikes, family background, social background, biases/prejudices, etc. People spend more than half their lifetime in the organisationsfor which they work. Naturally, they expect to be happy on-the-job as well asoff-the-job.

1.5.3 All behaviour has Cause-effect Relationship

Human behaviour has a reason behind it. Every person behaves as per his/her thought process and believes that the behaviour is correct, because theperson has certain beliefs and faith. It is necessary for managers to understandthese beliefs and faiths of the people and also the cause-effect relationshipbehind the behaviour, if they want to be effective in their managerial functions.

1.5.4 Every individual has self-esteem

People are different from machines and materials. They can think, smile, laugh;they have feelings and emotions. They have self-respect and prestige. Theyare live entities, unlike machines or tools and equipment. Therefore, theyshould not be treated like machines or materials. They expect their due respectin day-to-day activities.

1.5.5 An organisation is a social system

As Keith Davis remarks, an organisation is a social system. Therefore, theorganisational behaviour of people depends upon the social and psychologicalvalues and systems. People have social as well as psychological needs. Theirorganisational behaviour depends upon their social status, social roles, andsocial groups. As a result within every formal organisation, there exists aninformal organisation, which influences the formal organisation to a largeextent.

1.5.6 Mutual interests are inter-dependent

As organisation needs people, people too need the organisation. Theorganisation wants to fulfil its objectives of production of goods and services.The employees working in an organisation have their personal goals, forexample, individual career goals, family goals, etc. There is interdependenceof interests. It is necessary that these are ‘complementar y' and not‘contradictory'.

1.5.7 A total view of the organisation

When all the above aspects of organisational behaviour are taken intoconsideration, we can have a total view of the organisation.This includes: theorganisational structure, the management-employee relationships, theinterpersonal and the inter-group relationships, the total personality of theemployee, and the organisation as a total system. This helps managers

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understand human behaviour in the organisation. In turn, this results in thenecessary co-ordination between the three major factors viz., organisation,management and employees. Thus, understanding organisational behaviourof people is an extremely important matter for future managers.

1.6 Why is the study of Organisational Behaviour important formanagers?

With the growing number of organisations, rapidly changing technologiesand increasing complexity of organisational structures, the importance ofpeople in the organisations cannot be over-emphasised. At the beginning ofthe industrial revolution, people were considered ‘commodities' that could be‘hired' and ‘fired' but, during the last 100 years, things have changed very fast.Both, the employers and the employees have realised that the relationshipbetween them is not that of ‘Master-Servant', but like ‘Partners in progress'.

Therefore, understanding people has become important, if not more important,as understanding machines and materials. People are called ‘HumanResources' because they are not commodities, but have become resources.Managements have become aware that they have to treat their employees ashuman beings and not as machines or materials. Therefore, understandingthe ‘Organisational Behaviour’ of their employees has become extremelyimportant for the managers of tomorrow.

In the modern world, organisations are becoming increasingly complex withrapidly changing technology. As a result, organisations are demanding moreand more from their employees. People are living resources with feelings,emotions and responses unlike machines or commodities. They cannot betreated like machines or materials but need psychological treatment. Hence,the study of organisational behaviour is of utmost importance today.

Summing Up

In this chapter we have discussed what constitutes an organisation, the majorclassifications of organisations and factors influencing an organisation. Despitethe advancement in technology, the importance of people in an organisationcannot be undermined. Hence the study of organisational behaviour is veryimportant to managers in order to understand people and manage them.

Self-assessment

a. Fill in the blanks

1. _____________ are a major factor influencing an organisation.

2. Every person behaves as per his/her _____________ .

3. The interests of employees and the organisation are _____________

4. People are called ____________ because they are not commodities.

Organisational Behaviour

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Organisational Behaviour

b. State whether the following are true or false

1. Organisational culture is written and described on paper.

2. An organisation has a common goal.

3. An organisation is a kind of social system.

4. The same people behave differently under similar conditions.

5. Understanding organisational behaviour of people is an extremelyimportant matter for future managers.

6. Organisational behaviour deals with the part of our life that is called‘on-the-job-life'.

7. Each person should be treated the same way while managing people.

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Chapter IIApproaches and Models of OrganisationalBehaviour

Learning ObjectivesReading this chapter would enable you to understand:• Different approaches to Organisational Behaviour• Various models of Organisational Behaviour

Contents2.1 Approaches to Organisational Behaviour

2.1.1 The Inter-disciplinary Approach2.1.2 The Human Resources Approach2.1.3 The Systems Approach2.1.4 The Contingency Approach

2. 2 Models of Organisational Behaviour2.2.1 The Autocratic Model2.2.2 The Custodial Model2.2.3 The Supportive Model2.2.4 The Collegial Model2.2.5 The SOBC Model

2.3 The Inter-relationship between Personal Life and Work Life2.3.1 Personal Life2.3.2 Work Life

Summing UpSelf-assessment

2.1 Approaches to Organisational Behaviour

Organisational behaviour of people can be studied from various angles.Different experts have studied the subject of organisational behaviour fromdifferent angles. These angles are called the Approaches to OrganisationalBehaviour. These various approaches to the study of Organisational Behaviourhave given rise to different Models.

Some of the important approaches and models are briefly described below:

2.1.1 The Inter-disciplinary Approach

This approach is based on the fact that human behaviour is a result of theinteraction and interdependence among the different aspects of human life.An organisation consists of dif ferent factors viz. the structure, size,technology and the people. In order to study the organisational behaviourof people, it is necessary to understand the interactions between the variousaspects of human life, for example, Histor y, Geography, Sociology,Economics, Philosophy, Psychology, Anthropology, Ergonomics,Mathematics, Law, etc.

Approaches and Models ofOrganisational Behaviour

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2.1.2 The Human Resources Approach

This approach is based on the assumption that people are resources and notcommodities that can be bought and sold like other resources, for examplemachines and materials. The growth and development of the organisationdepends upon the training and development of the people working for thesame. The management should suppor t rather than control people.Involvement and participation of people yields better results. Employees needguidance and counselling for their growth ‘on-the-job' as well as ‘off-the-job'.Employees have creativity that needs to be explored.

2.1.3 The Systems Approach

This approach is based on the assumption that like a human body, anorganisation is a social system with many different sub-systems. Every majorsystem consists of sub-systems and sub-sub-systems. Each sub-system canaffect the whole system. A number of variables affect organisational efficiency.A systematic study can help the cost-benefit analysis. The systems approachalso helps in the ‘synergy' effect. Thus, the systems approach considers theorganisation as a large system.

2.1.4 The Contingency Approach

This approach is based on the assumption that every organisation and everysituation is different. Not many situations repeat and as a result every situationis unique. Each situation demands special thinking and decision-makingfollowed by an action. In other words, every decision and action is situationoriented. We cannot prescribe one best way for universal application. Therefore,this approach depends heavily upon the experience of managers.

2.2 Models of Organisational Behaviour

2.2.1 The Autocratic Model

This model is based on the assumption that authority is central to results.People must accept the authority of their superiors and obey their instructions.Obedience is the main employee orientation. Obedience of the subordinatescan be due to two reasons: respect for knowledge and authority of theirsuperiors or fear of punishment in case of disobedience. Employees obey theirsuperiors for their authority because their job security plays an importantrole in terms of the negative motivation. People behave as they do mainlybecause of their basic needs for existence, survival and growth.

2.2.2 The Custodial Model

This model is based on the assumption that organisational behaviour dependsupon economic resources. People work for want of money, and job security isthe main employee orientation, since they believe that their survival and growthdepend upon the organisation. While money is the main managerial orientation,managerial orientation, job security is the main employee orientation. The

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basic need of the employees is job security for which they offer passive co-operation to their superiors. The management knows better about the welfareof its people and takes the role of guardian and custodian of the people andtheir wealth.

2.2.3 The Supportive Model

This model is based on the assumption that management means leadership.The management plays the role of supportive leadership. Employees areperformance oriented and need support for their initiative and drive forperformance. This encourages involvement and participation from thesubordinates. The basic needs of the employees are self-esteem andrecognition. They show an initiative and drive for performance through theirinvolvement and participation in the organisational activities. The employeesneed support, status and recognition for their performance.

2.2.4 The Collegial Model

This model is based on the assumption that generally employees are self-disciplined and exhibit responsible behaviour. The main need of the employeesis self-actualisation. If this need is satisfied, they show enthusiasticperformance. Therefore, they must be encouraged to participate in decision-making. The management must build teams, as teamwork is the mainmanagerial orientation.

2.2.5 The SOBC Model

This model is based on the assumption that, all behaviour is caused. Whatwe see is the consequence of the behaviour shown by the organism due to astimulus. This model can be diagrammatically shown as follows:

Stimulus > Organism > Behaviour > Consequences

(Cause) (Individual) (Actions) (Results)

The Stimulus is the cause that may be overt or covert, physical, social,psychological, technological, environmental, etc.

The Organism can be an individual or a group. They have cognitive mediatorswith physiological existence.

Behaviour is expressed in terms of actions that may be overt or covert. It isin terms of a response in terms of a particular behaviour.

Consequences are expressed as the results, that may be overt or covert,positive or negative and can have effects on environmental dynamics and theirapplication.

Thus, the managers in future have to understand the organisational behaviourof their employees in terms of the SOBC model since it is based on the verypractical philosophy of human behaviour that ‘every human behaviour iscaused and follows the cause-effect relationship’.

Approaches and Models ofOrganisational Behaviour

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Organisational Behaviour

Parameter Autocratic Custodial Supportive CollegialBasis Power Economic Leadership Partnership

resources

Managerial Authority Money Support Teamworkorientation

Employee Obedience Job security Performance Responsibilityorientation

Employee Dependence Dependence Participation Self-disciplinepsychology on boss on the

organisation

Employee Survival Maintenance Self-esteem Self-needs and and actualisation

subsistence recognition

Performance Minimum Passive Efficient and Effectiveresults co-operation above average and efficient

Level of Compliance Satisfaction Motivation Commitmentmorale

Table 2.1 Summary of Models of Organisational Behaviour

2.3 The Inter-relationship between Personal Life and Work Life

A large amount of research in the organisational behaviour of employeesat all levels in different organisations all over the world has revealed thatan employee's personal life and work life are inter-related and inter-dependent. In other words, it is observed that the employee's ‘on-the-job'performance depends upon his ‘off-the-job' life. Therefore, it is extremelyimportant and necessary for managers to understand the various aspectsof organisational behaviour, in the light of the various approaches andmodels described above.

2.3.1 Personal Life

The personal life of an employee consists of various factors, for example,own personality, family background, friend-circle, relatives, educationalbackground, aptitude, hobbies, interests, beliefs, perceptions, values, socialinteractions, personal motivation, health, etc.

2.3.2 Work Life

The work life of an employee consists of various factors, for example, theorganisational structure, the organisational culture, policies, procedures,communication, knowledge, skills, attitude, job description, inter-personalcommunication and relationships with superiors, colleagues, subordinates,working conditions, authority-responsibility relationship, challenges in thejob, career prospects, etc. Thus, it will be seen that the organisationalbehaviour of an employee is a result of a constant and continuous

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interaction between personal life and work life. Generally speaking, thosewho are happy ‘on-the-job' are happy ‘off-the-job', although the conversemay not hold true.

Summing Up

In this chapter we have discussed the inter-disciplinary approaches to thestudy of Organisational Behaviour. The human resources approach assumesthat people are resources not commodities whereas the systems approachassumes that the organisation is a social system with many different sub-systems.

There are also several models of Organisational Behaviour. The inter-relationship between personal life and work life cannot be overlooked. Henceit is extremely important for managers to understand the various aspects oforganisational behaviour in the light of various approaches and modelsdiscussed in this chapter.

Self-assessment

a. Fill in the blanks

1. The human resources approach is based on the assumption that peopleare __________, not ________________.

2. The autocratic model is based on the theory that, __________ is centralto results.

3. The SOBC model is based on the assumption that every behaviour is_________.

4. In the supportive model, the management plays the role of supportive______ __.

b. State whether the following are true or false

1. An Autocratic organisation is based on power and a supportive typeorganisation is based on economic resources.

2. Behaviour is expressed in terms of action.3. The basic needs of an employee are self-esteem and recognition as per

the autocratic model of organisation.4. The systems approach helps in the synergy effect.

Approaches and Models ofOrganisational Behaviour

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Organisational Behaviour

Chapter IIIOrganisational Design and Culture

Learning ObjectivesReading this chapter would enable you to understand:• Various designs of an organisation

Contents3.1 Organisational Design3.2 Dimensions of Organisational Design3.3 Determinants of Organisational Design3.4 Major Elements of Organisational Design3.5 Factors Influencing Organisational Redesigning3.6 What is Organisational Structure?3.7 What is Organisational Culture?3.8 Projection of the Organisational Culture3.9 Characteristics of Organisational Culture3.10 Factors Affecting Organisational Culture3.11 Assessing Organisational Culture3.12 Changing Organisational Culture

Summing UpSelf-assessment

3.1 Organisational Design

Organisations can be broadly classified on the basis of their age:a. An organisation, in its conceptual or embryonic stageb. An organisation just born and is very youngc. An organisation, more than 25 years old.

It is observed that almost all organisations, which are large today, were startedas very small organisations many years ago. The organisations, that havetaken care of designing their structures properly during the initial stages, arefacing comparatively less problems of organisational behaviour as comparedto the others. Organisational Designing is the basis for organisationalstructure viz. Line Organisation, Functional Organisation, Line and StaffOrganisation, Committee Organisation, Matrix Organisation, etc.Organisational structure and organisational culture are different, but at thesame time interrelated and interdependent. Therefore, organisational designingis of vital importance in shaping organisational behaviour and in turn, theorganisational culture.

Thus, in words of Stephen Robbins, Organisational Design may be defined as:

“A process of determining as to how tasks are divided, grouped andco-ordinated for the successful achievement of the organisational goals.”

It is easier to design an organisation at the conceptual or embryonic stage,

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than at a later stage. Obviously, it becomes increasingly difficult to design orredesign the organisation structure, as the organisation grows older. However,modern organisations review the design/structure once every five years andredesign and readjust the organisation to cope with changing situations, forexample, changes in: the products/services, methods and procedures, quantityand quality, systems and sub-systems, market demands and consumerpreferences, etc.

3.2 Dimensions of Organisational Design

Basically, there are two dimensions of organisational design:

a. The vertical dimension relating to the hierarchy of the managerial levelsof superiors and subordinates.

b. The horizontal dimension relating to decentralisation, divisionalisation,departmentalisation, sectionalisation.

3.3 Determinants of Organisational Design

The major determinants of organisational design are as follows:

a. Ownership (Public/Private/Joint/Co-operative)b. Size (Small/Medium/Large, number of people, capital investment, sales

turnover)c. Technology (old or new, automation, modernisation, computerisation)d. Strategy (goals, objectives, short term/long term, evaluation of

alternatives)e. Environment (internal v/s external)

3.4 Major Elements of Organisational Design

a. Work Specialisation

This is based on Taylor's concept of Scientific Management. Both Fayol andTaylor have suggested ‘division of labour' among employees as per theirknowledge and skills. Division of labour based on work specialisation helpsto improve the efficiency and effectiveness of the organisation.

b. Departmentalisation

As the organisation grows it becomes necessary to divide the work group,the activities and bring them under certain departments that can be directlymanaged by the departmental heads so that the organisation can be managedefficiently and effectively.

Departmentalisation may be defined as ‘a process of dividing the variousactivities into dif ferent depar tments for proper administration of theorganisation.'

A few advantages of proper departmentalisation are as follows:1. It permits utilisation of specialisation and expertise of people.2. It creates a feeling of autonomy and job satisfaction among employees.

Organisational Designand Culture

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3. It helps fix the authority-responsibility relationship of the managers.4. It facilitates performance appraisals by managers.5. It helps the training, development and job rotations of managers

c. Chain of Command

Organisational communication is an extremely important factor for the successor failure of an organisation. Generally, organisational communication requiresa chain of commands to flow downwards/upwards/lateral. In the absence ofa proper chain of commands for organisational communication to flow,organisational behaviour becomes a more complex subject.

d. Span of Control

In large-scale organisations, activities are decentralised and the organisationis divided into different divisions or departments to perform certain specialisedtasks that ultimately contribute to the organisational goals. Each departmentconsists of one head and some subordinates who have to work as a team andachieve the departmental goal with the given resources viz. people, machinesand materials.

In this process, each department consists of different numbers of peopledepending upon the nature of work, the quantity and quality of the finishedproduct/service and the resources available to complete the task in a giventime limit. This requires the manager to plan, organise, direct, communicate,lead, motivate, supervise, control and co-ordinate all his activities as well asthose of his subordinates. If the number of people to be supervised is toolarge, supervision and control becomes difficult. On the other hand, if thenumber is too small, supervision and control become too strict and critical.In both these situations, the performance of the team may not be satisfactory.Therefore, the span of management should be optimum for an optimumperformance.

Thus, the span of control may be defined as ‘the number of subordinates thatcan be efficiently and effectively managed by the superior for the optimumperformance of the work team’.

Centralisation v/s Decentralisation

As long as the organisation is small it can be managed by a small group ofmanagers. One manager has to look after a number of functions. In such anorganisation there is centralisation of authority and decision-making as a resultof which a few managers have the authority to take decisions and giveinstructions to their subordinates.

Thus, centralisation may be defined as ‘a systematic and consistent reservationof authority and decision making at a central point in the organisation.'

As long as the organisation is small, centralised authority and decision-makingcan manage it but, as it grows into a large-scale organisation, it has todecentralise activities in order to cope with the changing demands of theefficiency and effectiveness of the organisation. It becomes necessary to

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decentralise many functions like planning, organising, staffing, directing,controlling, etc.

Thus, decentralisation may be defined as ‘a process of dividing organisationalactivities into dif ferent autonomous divisions/depar tments/sections,physically and functionally '

3.5 Factors influencing Organisational Redesigning Changes

• In the knowledge requirements• In the technology and the consequent skill requirement• In the knowledge of human behaviour• From centralised to de-centralised structures• From vertical and tall to horizontal and flat organisations• In emphasis from command control to consensus self-control• From instability and uncertainty to mechanistic systems• From generalisation to specialisation in management• From product orientation to function orientation• From mechanistic approach to human behaviour approach

3.6 What is Organisational Structure?

An organisation can be depicted by a line diagram, which is called asOrganisation Char t. The organisation char t shows the organisationalstructure. It shows the positions of the people, their status/designations,authority-responsibility relationships, their span of control, etc. Organisationstructure can be any one of the following:

a. Line Organisational structureb. Functional Organisational structurec. Line and Staff Organisational structured. Committee Organisational structuree. Matrix Organisational structure

3.6.1 Difference between Organisational Structure andOrganisational Culture

Organisational culture is dif ferent from organisational structure.Organisational culture relates to the perception, values, attitudes, morale andmotivation, interpersonal communication, interpersonal relationships, co-operation and co-ordination among employees at different levels, the sense ofbelonging among employees, the treatment given to outsiders viz. customers,suppliers, contractors, government officers, etc. Organisational structurescan be created and changed overnight, but organisational culture cannot bechanged overnight. It has to be built up over a period of time.

Organisational structure is mechanistic and can be shown on paper. But, theorganisational culture is to be experienced by actually working in theorganisation.

Organisational Designand Culture

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Organisational Behaviour

Thus, culture is an abstract concept that varies from organisation toorganisation and from time to time. It has to be felt and experienced by thepeople over a period of time. It plays an extremely impor tant role inorganisational image building, goodwill and reputation. It also helps to improvethe morale and motivation and the sense of belonging among employees.

3.7 What is Organisational Culture?

What is culture? It is observed that during the 21st century, world culturehas been changing very fast as a result of the fast changing national andregional cultures. We find Eastern culture v/s Western culture, traditionalculture v/s modern culture, agrarian culture v/s industrial culture, rural culturev/s urban culture, etc. Similarly, there is public sector culture v/s privatesector culture, manufacturing sector culture v/s service sector culture, largescale culture v/s small scale culture, etc. Individual culture is a result of theimpact of parents + family + education + work experience + friends + society.Group culture is the sum total of the individual cultures.

Organisational culture has been defined by:a. Edgar Schiene: As the sum total of the knowledge, beliefs, values,perceptions, attitudes, traditions, customs that are shared by the groups andresulting into the individual and group behaviour of the people working in theorganisation over a period of time.b. Taguiri and Litwin: As a relatively enduring quality of the internalenvironment that is experienced by its members, that influences theirbehaviour and can be described in terms of a set of values.c. Forehand and Gilmer: As a set of characteristics that differentiate oneorganisation from another and are relatively enduring over a period of timeand influence the behaviour of the people in the organisation.d. Schneider and Snyder: As a process of manifestation of the perceptions,values and attitudes of the members of the organisation.

Generally organisational culture flows from the top to the bottom. It is notdeveloped overnight. It takes a long time to develop. The perceptions, valuesand attitudes of the employees form the core of organisational culture.

Some of the indicators of organisational culture are as follows:

Lack of knowledgeLack of skillsNegative attitudesResentful serviceLack of accountability More bureaucratic cultureRed tapismBureaucracyLack of disciplineLack of cleanliness/housekeepingPoor Quantity and Quality

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Adequate knowledge of the jobAdequate skills for the jobPositive attitudesCheerful service

Less bureaucratic culture AccountabilityResponsibilityBetter disciplineBetter cleanliness and housekeepingEfficiency and EffectivenessBetter Quantity and Quality

3.8 Projection of the Organisational Culture

According to Edgar Schiene, organisational culture is projected at three levelsas follows:a. Level I: Company Logo, Trade Mark, Code of Uniform, values,

philosophy, ceremonies, festivals, rituals, rewards, appreciation, rolemodels, etc.

b. Level II: Shared values and beliefs among the employees in theorganisation.

c. Level III: Common assumptions of the management about theemployees.

3.9 Characteristics of Organisational CultureThe following are the characteristics of Organisational Culture:a. Pragmatic policiesb. Strategic planningc. Decentralisation and Delegationd. Individual autonomye. Participation in decision-makingf. Risk toleranceg. Integration with the organisational goalsh. Management supporti. Innovation and creativityj. Self-esteem and identityk. Control systemsl. Communication systemsm. Conflict managementn. Reward system

3.10 Factors Affecting Organisational Culture

The following are the factors that may affect organisational culture:a. Organisational contextb. Organisational structurec. Organisational processesd. Physical environmente. Values, norms and systems

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Organisational Behaviour

3.11 Assessing Organisational Culture

Organisational culture and climate are abstract areas of experience. Someemployees may be comfortably happy working in the organisational climate,while some others may not be so happy. It is a subjective concept, whichdepends upon the beliefs, perceptions and values nurtured by the concernedemployees. A lot of research has gone into the assessment of organisationalclimate though, it is difficult to measure it in any units as in Physics, Chemistry,Biology or Mathematics. According to Rensis Likert, organisational climatecan be assessed on the basis of the following 7-point scale:

1. Leadership style2. Morale and Motivation3. Organisational communication4. Interaction-Influence process5. Decision making6. Goal setting7. Control

3.12 Changing Organisational Culture

Organisational culture is not a matter of minutes, like fast food! It is a long-term process, like character building, which takes a long time. Therefore,changing organisational culture requires sustained efforts by all. It demandsconviction, commitment and competence. Some of the changes that can bringabout a change in organisational culture are as follows:

a. Treat employees as individualsb. Respect individual identity and self-esteemc. Improve organisational communicationd. Give training and development inputs at all levelse. Review systems and proceduresf. Improve leadership and team buildingg. Give rewards and incentives in due recognition and appreciation.h. Delegate to improve autonomyi. Change from autocratic to participative style of management.j. Develop a positive attitude towards the organisational goals

Summing Up

In this chapter we have discussed organisational design, the dimensions, thedeterminants and the major elements of organisational design. An organisation,if small, may be managed by a centralised authority, but as it grows bigger insize and scale it has to decentralise authority for the efficient functioning ofthe organisation.

Every organisation has a culture which is different from its structure. Thestructure can be seen on paper, but culture can only be experienced.

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There are several factors working at several levels which project the cultureof an organisation. We have also discussed how to assess and change theculture of an organisation.

Self-assessment

a. Fill in the blanks

1. Generally organisation culture flows from ___________ to _____________.

2. An organisation can be depicted by a line diagram which is called the________________________.

b. State whether the following are true or false

1. Departmentalisation helps fix the authority-responsibility relationshipof managers.

2. Organisation culture is different from organisation structure.

3. Organisation culture is not a subjective concept.

Organisational Designand Culture

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Organisational Behaviour

Chapter IVPerception and Values

Learning ObjectivesReading this chapter would enable you to understand:• What is perception and the importance of perception. It will also give an idea of

social perception.

Contents4.1 Perception4.2 The process of perception4.3 Internal factors affecting perception4.4 External factors affecting perception4.5 Developing perceptual skills4.6 Perception and personality4.7 What is Value?4.8 Sources of Values4.9 Manifestations of Values4.10 Types of Values

4.10.1 Terminal Values4.10.2 Instrumental Values

4.11 Classifications of Values (Allport and Associates) (TASRPE)

Summing UpSelf-assessment

4.1 Perception

Generally, every individual lives with his/her parents or the family for thefirst five years of his/her life, which are the cognitive years of life. One hasperceptions about one's own parents, teachers, friends, etc. During the further15 to 20 formative years in primary school, secondary school, under-graduationand post-graduation, there are many people with whom one interacts andcreates perceptions. After completion of formal education, one starts with acareer either in employment or self-employment during which one has todeal with many people including superiors, colleagues and subordinates,outsiders, etc.

The first impressions of your teachers, your co-passengers on a journey, yoursuperiors/colleagues/subordinates are some of the examples of the effectsof your perception. Watching a clear sky with white clouds, some of us seethe shapes of animals like horse, elephant, tiger, while some may see shapesof birds.

Every person has to interact with other individuals in his/her life on-the-jobas well as off-the job. Some interpersonal interactions are satisfactory andproduce positive results, while some others are not satisfactory and producenegative results with stress and tensions for either of the parties or for bothof them. Why does this happen? The answer lies in the ‘Perception' of people,objects or situations.

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Thus, perception may be defined as:

a. ‘the way you look at people/objects/situations in the world.'

b. ‘a process of receiving, selecting, organising, interpreting, checking andreacting to the sensory stimuli or data so as to form a meaningful andcoherent picture of the world.'

c. ‘an active psychological process by which individuals receive, organiseand interpret their sensory impressions in order to give meaning totheir environment.'

4.2 The process of perception

Generally, the process of perception takes the following stages:

a. Confrontation with the Stimulus: The individual comes face to facewith another individual/group/situation/problem.

b. Registration: The individual registers the stimulus and its gravity.

c. Observation : The individual uses his/her sensory tools to observethe stimuli (e.g. sight, hearing, smell, touch, taste, etc.).

d. Perceptual selection : The individual selects the data e.g. status,appearance, familiarity, size, intensity, contrast, repetition, motion,novelty, etc.

e. Perceptual organisation : It is a process through which the incominginformation is organised and patterned in a systematic manner e.g. figureground principle, relevancy principle, role of the central nervous system,etc.

f. Perceptual grouping : It is a process through which certain aspectsof thedata are screened/filtered e.g. continuity, closure, similarity,proximity, constancy, context, defence, implicit personality, self-fulfillingprophecy, Pollyanna-Nietze effect, etc.

g. Interpretation: The individual tries to understand the real meaning ofthe situation and to interpret it for the effects. e.g. perceptual errors,perceptual defence, characteristics of the perceiver/perceived,attribution, stereotyping, halo effect, projection, contrast effect, firstimpression, impression management, etc.

h. Evaluation and feedback : The individual evaluates the strengthsand weaknesses in a situation and gives a quick feedback to the sensoryand motor mechanisms for the next step.

i. Response : The individual gives the response in terms of a reaction,which can be positive, negative or neutral. Depending upon the mutualinteraction between the stimulus and the individual, the reaction of theindividual to thestimuli can be: behaviour, covert feelings emotions,attitudes, motivation, expectations, etc.

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4.3 Internal factors affecting perception

The following are some of the internal factors that may affect perception:

a. Family background: A good family background cultivates goodperception. A bad family background breeds bad perception. Thus,parents, brothers and sisters play an important role in formingperceptions in the early stages of life of every individual.

b. Educational background: Educational background plays an importantrole in forming perceptions of people. Generally, people having a goodeducational background are more likely to have a more logical /rationalperception as compared to those without such background. In thisregard, teachers, class- mates and friends play an important role, whichhas an effect on perception.

c. Work experience : Work experience refers to the ‘on-the-job' life inthe organisation. Every employee has to interact with 3 different levels,viz. superiors, colleagues and subordinates. All interactions at all thesethree levels affect perception through experience.

d. Social needs : Man is a social animal. Every individual has certainsocial needs in terms of a sense of belonging to a group. Satisfaction ordissatisfaction of these needs affects the perception of the individual.Individuals with fairly satisfied social needs have better perceptions thanthose with dissatisfied social needs.

e. Psychological needs: Every individual has certain psychological needsin terms of self-esteem, status, ego, recognition, appreciation,etc.Satisfaction or dissatisfaction of these needs also af fects theperception of the individual.

f. Interests : The individual's interest in people/situations affectsperception either favourably or otherwise. Generally, objects, situationsor the people in whom the individual is interested create a positiveperception.

g. Expectations : This is the greatest factor that affects one's perception.If expectations are fulfilled, the perception is favourable. If otherwise, itis distorted and not so favourable. Generally, people see what they expectto see.

h. Learning : Learning is a continuous process. The higher the learning,the better is the perception, because a learned person can look at theworld from an enlightened point of view. Therefore, his perception islikely to be more positive than of one who is less learned. Moreover,people keep on modifying their perceptions of the world through theprocess of learning.

i. Values : Perception and value always go hand-in-hand. Good valuesresult in good perception, while bad values result in bad perception. Ofcourse, good and bad are relative terms and it all depends upon the

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individual's background as per the above factors.

j. Personality : Personality is the total result of an individual's perception,values and attitude. Personality and perception are mutuallyinterdependent. Generally, people with good personalities have goodperception and vice- versa.

4.4 External factors affecting perception

The following are some of the external factors that may affect perception:

a. Familiarity : Familiarity with the other person/object/situation helpspositive perception. Otherwise, it is negative or distorted, for example,a good friend in a large group is noticed first, a known person is givenpreference for appointments. This means that those individuals whoare more familiar with each other have better perceptions about eachother than those who are not.

b. Status : Generally, people with high status are perceived with respect/reverence and therefore listened to. On the contrary, people withoutany substantial status in society are not perceived favourably. A president,prime minister, a governor, a minister, a manager, an actor/actress, asocialworker, a doctor, an advocate, a judge, a Nobel laureate etc. arebetter placed due to their high status. Status in the organisation/societyaffects the perception of the individual.

c. Appearance : ‘Your face is your fortune'. Appearance matters indeveloping a perception. Many times a handsome man or a beautifulwoman with a smile are given preference over others due to positiveperception. Your first impression depends upon your appearance viz.,how you are dressed; how you talk/walk and whether your body languagesends positive signals or negative signals.

d. Intensity : The intensity of an individual/object/situation relates tothe force with which it approaches you e.g. a person speaking loudlywith emotionally charged words, an object coming at a very high speedtowards you, an accident on the road, a very bright light glaring at you,a very loud noise of an explosion, a strong odour, etc. attract attentionand affect perception. In other words, the intensity of the stimulusdetermines the attention and the perception of the individual.

e. Size: The size of the stimulus (person or object) affects perception. Forexample, a very fat person arriving at a party or a very thin and leanpatient in a hospital, bigger machines, larger pictures, a full pageadvertisement, etc. Attract attention and affect perception.

f. Contrast: A contrast between the person/object and the backgroundaffects perception, for example, a black spot on a white paper, darkshirt and white pant, tall husband and short wife, very fair woman witha very dark man, black and white, fat and lean, bold and normal v/sitalic and underlined, etc.

g. Motion: A moving person/object is noticed rather than a stationaryone.

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More particularly, a person/object moving at a very high speed is noticedquickly in perception. The objects that are moving or changing attractmore than those which are stationary, for example, flashing neon signs,are more attractive than the non-flashing ones.

h. Repetition : This principle states that a stimulus that is repeated getsmore attention than the one that appears only once. The messages thatare repeated frequently are perceived better than those that are givenonly once, for example, repetitive failures in one subject, successivevictories at Wimbledon, headline news of riots, arson and killings,frequent failures of a particular machine, repeated absence of anemployee, frequent job changes, constant rejection of jobs for quality,consistent losses in business, repetitive failure of a particular productin the market, etc.

i. Novelty : An unusual sight is always noticed and perceived more quicklythan a usual/routine matter, for example, a trapeze, a clown in a circusdoing acrobatics, an elephant riding a bicycle in the circus, a tigerwalking in the middle of the street in a city, a dog obeying the master'sinstructions, a parrot picking an envelope for the astrologer, monkeysdoing acrobatics at the command of their master, a cobra dancing on atune of the flute, etc. Sometimes, monotony brings boredom and over-confidence that result in the lowering of efficiency. A change in the jobdesign, job content improve the perception of the job thereby improvingefficiency.

4.5 Developing perceptual skills

Inspite of a lot of research and training inputs in the field of perception, it isdifficult to have a very logical and rational perception in day-to-day work life.Some of the suggestions for developing perceptual skills may be mentionedas follows:

a. Make accurate self-perceptionb. Enhance self-esteemc. Be empatheticd. Avoid perceptual errorse. Encourage free communicationf. Have positive attitudeg. Practice good impression management

4.6 Perception and Personality

The following are some of the rules of perception and personality:

a. Secure people perceive others as warm individuals and not as indifferent.b. Thoughtful people do not make extreme judgements about others, but

can perceive grey areas.c. Self-accepting people have faith in their individuality and perceive things

favourably.d. Self-accepting people perceive themselves as accepted and liked by

others; others tend to distrust others.

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e. Self-accepting people also accept others easily as compared with thenon self-accepting ones.

4.7 What is Value?

Values are a dominant force that shape and determine the individualpersonality and behaviour. Values may not be always written down orexpressed. But, they are manifested through the behaviour of the individualand the groups. Individual values contribute to the group values. Valuesrepresent the basic conviction that a specific mode of conduct is acceptableor otherwise. Values have a great influence on the perceptions, attitudes andmotivational patterns of people. That is why understanding the meaning of‘Value' is important for the study of Organisational Behaviour.

Thus, a Value may be defined as:

a. ‘The wor th of a person, an object or a situation which enablesdistinguishing between the right and the wrong, good and bad.'

b. Values provide the standards of competence and moralityc. Transcend specific objects/situations/personsd. Are relatively permanent and resistant to changee. Are most central to the personality of an individualf. Shape and determine behaviour in a group/society

4.8 Sources of Values

Values of individuals/groups come from different sources:a. Family (parents, brothers and sisters)b. Society(schools, teachers, class-mates, friends, religious organisations,

etc.)c. Workplace (superiors, colleagues, subordinates, customers, suppliers,

etc.)d. Government (politics, economics, policies, ideologies, philosophies,

etc.)

4.9 Manifestations of Values

Values are not constant; they keep on changing from person to person, placeto place, time to time, situation to situation. Individual values may be differentfrom group values. Values can be expressed by words, actions and behaviour.Human values are manifested in various ways. Some of the expressions of anindividual's values can be one or more of the following forms:

a. Freedomb. Pleasurec. Mutual respectd. Honestye. Obediencef. Equalityg. Peaceh. Co-operationi. Harmony

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j. Democracyk. Disciplinel. Mutual trust

4.10 Types of Values

According to Rokeach, values can be broadly classified as follows:

4.10.1 Terminal Values

Terminal values are those, through which ultimate goals in life are sought tobe achieved. The following are some examples of terminal values:a. A comfortable lifeb. A sense of accomplishmentc. A secure lifed. A happy retired lifee. Freedom and independencef. Self-esteemg. Social recognitionh. Self-actualisationi. A world of peacej. Truth and non-violence

4.10.2 Instrumental Values

Instrumental values are those, through which the ultimate goals are achieved.The following are some examples of instrumental values.a. Ambitionb. Capabilityc. Cleanliness and Housekeepingd. Health and Safetye. Couragef. Co-operationg. Honestyh. Pardoni. Logic and Rationalityj. Politeness and Courtesy

4.11 Classifications of Values (Allport and Associates) (TASRPE)

The following are the classifications of values:a. Theoretical Values: discovering the truth through a critical approach

and reasoning.b. Aesthetic Values: form, shape, size, colour, proportions, quality,

harmony, etc.c. Social Values: service, help, love, af fection, co-operation, human

relations, etc.d. Religious Values: religion, culture, custom, faith, traditions, etc.e. Political Values: power, influence, leadership, control, money, etc.f. Economic Values: exchange, usefulness, application, cost-benefit, balance

of trade.

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Summing Up

This chapter helps you to understand the importance and definition ofperception. It also talks about social perception, i.e., every person has tointeract with other individuals in his life. There are several factors, internaland external, affecting perception. Financial, educational, cultural backgroundaffect internal factors. Status, appearance and familiarity are some of theexternal factors affecting perception.

We have seen that values are not constant. Individual values are different fromgroup values, and they are a dominant force that shape and determine theindividual personality.

Self-assessment

a. Fill in the blanks

1. The way one looks at people/ objects/ situations in the world is called_____________

2. _____________ is the total result of an individual's perception, valuesand attitude.

3. Learning is a ______________process.

4. ___________ of the stimulus determines the perception of the individual.

5. _____________ values are the means through which ultimate goals areachieved.

b. State whether the following are true or false

1. The reaction of the individual cannot be neutral.

2. Satisfaction of social needs affects the perception of the individual.

3. Values are constant.

4. Values of individuals/groups come from different sources.

5. The messages that are given only once are perceived better than themessages that are repeated frequently.

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Organisational Behaviour

Chapter VAttitude in Organisational Behaviour

Learning ObjectivesReading this chapter would enable you to understand:• What attitude is and how does it affect the organisation.

Contents5.1 What is Attitude?

5.1.1 Definitions of Attitude5.2 Theories of Attitude5.3 Components of Attitude5.4 Functions of Attitude5.5 Factors affecting Attitude5.6 Characteristics of Attitude5.7 Manifestations of Attitude5.8 Significance of Attitude in Organisational Behaviour5.9 Attitude at a Glance

Summing UpSelf-assessment

5.1 What is Attitude?

‘Attitude is the frame of mind’. Attitude is the result of the individual's beliefs,perceptions and values. It is observed that small children, say upto 5 years ofage have no attitude of their own. They are like ‘pots on the potter's wheel’.Both their bodies and minds are flexible for moulding, as you desire. But,after they start going to the school, they start developing attitude. Attitudesare formed through experience. Attitude predisposes people to respond topeople, objects, events, environment in certain ways.

Attitude can be described as the way people feel about something. It is anindividual's characteristic way of responding favourably or unfavourably topeople, objects or situations. It is based on the individual' s own experienceand interpretations of the same leading to opinions and behaviours. Anindividual's behaviour is a function of his/her attitude. It is a pre-dispositionof the individual to evaluate people, objects or situations.

5.1.1 Definitions of Attitude

a. ‘Attitude is a frame of mind that influences individual behaviour’.b. ‘Attitude is the mental posture in response to people, objects or

situations’.c. ‘Attitude is the combination of one's beliefs, perceptions and values’.d. ‘Attitude is a learned pre-disposition to respond consistently in a

favourable or unfavourable manner with respect to a given individual,group, object or situation’.

e. ‘Attitude is the basic foundation of human behaviour’.

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5.2 Theories of Attitude

The concept can be explained with the help of various theories based on thebasic insights of the process of formation of attitudes. These theories can bebroadly classified as follows:

a. Cognitive Consistency Theories

These theories are concerned with inconsistencies, which arise between therelated beliefs, knowledge and evaluation about an object. These theories arefurther sub-classified as follows:

a. Balance Theory (Heider and Newcomb): This theory is based onthe individual's desire to keep the cognitive elements in harmony. Achange in attitude happens when there is an imbalance in the system.Balanced cognitions are more stable and pleasurable than the imbalancedones Balance means harmony, while imbalance results in stress andpressures. Interpersonal persuasive communication plays an importantrole in changing attitudes.

b. Congruity Theory (Osgood and Tannenbaum): This theory is basedon the fact that congruity is a stable state. Incongruity leads to changesin attitudes. The focus is on evaluation of the source with associative ordissociative assertion.

c. Affective Cognitive Consistency Theory (Rosenberg): This theoryis based on the interrelationship between Values and Attitudes. Changesin theef fective components produce changes in the cognitivecomponents. There is a constant effort to bring about a balance betweenthe two.

d. Cognitive Dissonance Theory (Leon Festinger): This theory isbased on the study of various types of attitudes. Inconsistent cognitionis unpleasant. Individuals try to reduce the unpleasantness. It highlightsthe disagreement between two cognitions (e.g. cognitive element andenvironmental element)and the individual's attempts to change eitherof the two.

e. Functional Theory (Katz and Kelman): This theory is based on theassumption that attitudes and efforts are related to the motivation ofthe individual. Attitude has 4 functions: knowledge, utility, ego and valueexpression. Working conditions and social relationships also affectattitudes.

f. Social Judgement Theory (Sheriff and Hoveland): This theory isbasedon the assumption that attitudes can produce distortions. Socialjudgement can mediate for a change in attitude. A change in anindividual's attitude is possible through learning and de-learning.

5.3 Components of Attitude

Some of the components of attitude are:a. Cognitive componentThis component of attitude represents the opinions and beliefs of the

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individual. This is based on the real or assumed knowledge about the objectand is generally governed by a rational process of thinking and action.

b. Affective componentThis component of attitude represents the emotional segment of the individual.This is based on non-rational commitments and can be positive, negative orneutral towards the object.

c. Behavioural componentThis component of attitude represents the intention to behave in a particularway. This is based on the pre-disposition to act. It determines and controlsthe actual reactions and behaviour of the individual.

5.4 Functions of Attitude

Basically, attitude has the following functions

a. Knowledge function

b. Adaptive function

c. Ego-defensive function

d. Value-expressive function

5.5 Factors affecting Attitude

The following are some of the functions that may affect attitude:

a. Family background

b. Early socialisation

c. Educational background

d. Work experiences

e. Group affiliation

f. Personal experiences

5.6 Characteristics of Attitude

The following are some of the characteristics of attitude:

a. Valence (the degree of favourableness or unfavourableness to the object)

b. Multiplicity (different perceptions and values create different attitudes)

c. Need relationship (basic/security/social/psychological/self-actualisation)

d. Centrality (represents the importance of the object and resistance tochange)

5.7 Manifestations of Attitudes

a. Job satisfaction : Generally, an individual employee who has a positiveattitude has a high level of job satisfaction. This helps in decision-making, interpersonal communication and group relationships.

b. Job involvement : This measures the degree to which the individualidentifies with the job and considers performance level as important.

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High level of job involvement is related to fewer absences, loweremployee turnover and a positive attitude.

c. Organisational Commitment : This measures the identification ofindividual goals with those of the organisation. This results in a highlevel of commitment and loyalty to the organisation. This is also amanifestation of positive attitude.

5.8 Significance of Attitudes in Organisational Behaviour

The study of Organisational Behaviour is based on the principles of humanpsychology. Attitude is a very important concept in human psychology. Thisconcept is studied from many different angles, since it is the attitude of thepeople at all levels in the organisation viz. managerial, supervisory andworkers/ operators/ clerical staff, etc, that determines the organisationalbehaviour of the people. In other words, the study and understanding of theconcept of attitude is the most important part of organisational behaviour,because it affects the following:

a. Determines goalsb. Reconciles contradictionsc. Organises factsd. Affects Employer-Employee relationse. Affects Health/Safety/Welfaref. Determines loyalty and integrityg. Facilitates communicationh. Affects organisational changei. Creates/avoids conflictsj. Affects inter-personal relationshipsk. Influences morale and motivationl. Facilitates learningm. Affects job satisfactionn. Affects job performanceo. Determines organisational culturep. Affects organisational efficiency and effectivenessq. Affects the quality of life

5.9 Attitude at a Glance

a. Attitude is an inseparable part of human nature and is normally dormant.b. Attitude is acquired through early socialisation, education and work

experience.c. Attitude is often based on limited knowledge/information/experience.d. Attitude becomes apparent through speech or behaviour in response

to an individual, object or situation.e. Attitude can be rational or irrational irrespective of the individual's

intelligence.f. Attitude is reinforced by beliefs (cognitive component), strong feelings

(affective component) and behaviour (action component).

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g. Attitude has a bearing on the individual's thinking or behaviour.h. Opinion and emotion based attitude is more intense in expression and

attachment.i. Attitude appears logical to the individual holding it, but illogical/

inconsistent to a neutral observer.j. Attitude is rationalised and justified by the individual by (often

subconsciously) selective illustrations and experiences.k. Attitude based on rational consideration of facts is comparatively easier

to change rather than the one based on strong emotional bias andopinions.

l. Attitude is learned over a period of time. Therefore, it can be changedby the same process and reversed (de-learning).

Summing Up

Attitude is an individual's characteristic way of responding to a person, objector situation favourably or unfavourably. Cognitive consistency theories areconcerned with the inconsistencies which arise between beliefs, knowledgeand evaluation. There are several components to attitude. The factors thataffect attitude are family, education, work, and personal experiences.

In organisational behaviour, this concept is studied at all levels since itconcerns people at all levels in the organisation, viz., managerial, supervisory,clerical staff, etc.

Self-assessment

a. Fill in the blanks

1. Attitude can be described as the way people ____________ aboutsomething.

2. _______________ is based on the individual's desire to keep the cognitiveelements in harmony.

3. Organisational commitment is a manifestation of _________ .

4. _______________ component of attitude represents the emotionalsegment of the individual.

b. State whether the following are true or false

1. An individual employee who has a positive attitude has a high level ofjob satisfaction.

2. Group affiliation does not affect attitude.

3. Valence is one of the characteristics of attitude.

4. Attitude can be rational or irrational irrespective of the individual'sintelligence.

5. Congruity is an unstable state.

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Chapter VIPersonality

Learning ObjectivesReading this chapter would enable you to understand:• What personality is and its relevance in the organisation

Contents6.1 What is Personality?6.2 Major determinants of Personality6.3 Personality Traits (Cattel's Traits Test)6.4 Types of Personality6.5 Personality and Organisational Behaviour

Summing UpSelf-assessment

6.1 What is Personality ?

Many times, we use the word ‘Personality' for attractive men or women. Thereis no doubt that attractiveness is an important factor of a personality. In otherwords, all good personalities are attractive. But, attractive people cannot besaid to have good personalities. Why? Because, attractiveness is necessary,but not the only sufficient condition for being a good personality. Personalityis a combination of many factors and qualities in an individual.

Thus, Personality may be defined as:

a. Stephen Robbins: ‘A sum total of the effect, actions and reactions of anindividual to other individuals, groups or situations.'

b. Gordon Allport: ‘The dynamic organisation within an individual whosepsychological systems determine the unique adjustments with theenvironment.'

c. ‘The total existence of a person -the assemblage of the qualities- physical,mental and moral that set one apart from another, with a distinctiveindividuality.’

d. ‘A Personality is to some extent like all other people, like some otherpeople and like no other people.’

Thus, the concept of personality includes:a. Appearance and behaviourb. Internal awareness of the self as a forcec. Organisation of measurable traits (inner and outer)

6.2 Major Determinants of Personality

Thus, personality is a result of many factors like biological, situational, culturaland social factors. Each of these factors has certain sub-factors, whichcontribute to the shaping and moulding of the personality.

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Thus, the personality of any individual can be analysed on the basis of thefollowing factors:

a. Biological factors

The following are some of the biological factors that determinepersonality:

a. Heredity: Determined at conception, physical stature, facial,attractiveness, sex, temperament, muscle composition, reflexes,energy levels, biological rhythm, molecular structure of genes locatedin the chromosomes.

b. Brain: Electrical Stimulation of the Brain (ESB) and Split BrainPsychology (SBP).

c. ESB: Pleasurable v/s Painful areas; can be manipulated by ESB forreducing stress and increasing creativity.

d. SBP: Planning on the left and Managing on the right (Henry Mintzberg);the left and the right hemispheres control specific characteristics.

e. Physical characteristics and rate of maturing: Physical appearanceis extremely important; children exposed to social situations maturefaster than those who are not.

b. Family factorsThe following are some of the family factors that determinepersonality:a. Family atmosphereb. Loving, warm, caring and stimulating atmospherec. Cold, non-caring, non-stimulating atmosphered. Basic disciplinee. Social factors

The following are some of the social factors that determinepersonality:a. Social cultureb. Social statusc. Traditions, customsd. Cultural factors

The following are some of the cultural factors that determinepersonality:a. Early formative yearsb. Independence and aggressionc. Competition and co-operationd. Beliefs, perceptions, values and attitudese. Towards self, family, society; organisations, work, moneyf. Situational factors

The following are some of the situational factors that determinepersonality:a. Every individual is a complete personb. Every individual is differentc. Every situation is differentd. Every individual-situation interaction is different

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e. Different situation > Different demands > Different behaviour >Personality

6.3 Personality Traits (Cattel's Traits Test)

The following are some of the common personality traits:a. Reserved v/s Outgoingb. Less intelligent v/s More intelligentc. Emotionally unstable v/s Emotionally stabled. Dominant v/s Submissivee. Serious v/s Happy-go-luckyf. Expedient v/s Conscientiousg. Bold v/s Timidh. Tough v/s Sensitivei. Trusting v/s Suspiciousj. Practical v/s Imaginativek. Shrewd v/s Forthrightl. Self assured v/s Apprehensivem. Experimenting v/s Conservativen. Self-sufficient v/s Group dependento. Controlled v/s Uncontrolledp. Tense v/s Relaxed

6.4 Types of Personality

A Personality can be broadly classified as Type A or Type B on thebasis of the following characteristics:

Type Aa. Chronic sense of time urgencyb. Impatiencec. High achievement orientationd. Strong competitive drivee. High ambition levelf. Aggressive behaviourg. Quick in responsesh. Quick decision making and actionsi. Fast speech and walkj. Low level of tolerance

Type Ba. Easy goingb. Passivec. Lack of achievement orientationd. Lack of competitive drivee. Lack of ambitionf. Submissive behaviourg. Slow decision making and actions

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h. Slow speech and walki. High level of tolerancej. Restrained in responses

6.5 Personality and Organisational Behaviour

The personality of the employee and organisational behaviour are inter-relatedand inter-dependent. As attitude is at the core of the personality, organisationalbehaviour of the employee depends upon the attitude and the personality ofthe individual. Certain factors that need consideration to understandorganisational behaviour of employees may be mentioned as follows:

a. Locus of Control

Internal Locus of Control: Degree of belief that the individual is the master ofhis/her own fate and can control and shape future events.

External Locus of Control: Degree of belief that they are pawns in the handsof their fate, which is controlled by external forces, for example, luck/chance/coincidence

Affected attributes: motivation, performance, job satisfaction, authority,leadership, stressmanagement, etc.

b. Need Patterns

Achievement: Need to achieve goals

Affiliation: Need for co-operation with others

Autonomy: Need for freedom to make decisions

Dominance: Desire to exercise authority

c. Introversion v/s ExtroversionIntroverts: turn inwards, are quiet, reflective, introspective, intellectual,unsocial, love quiet atmosphere, etc.

Extroverts: turn outward, are sociable, lively, tough-minded, tell jokes, enjoyparties, excitement, are impulsive, like change, care-free, quick-tempered,active, aggressive, like to interact with others.

d. AuthoritarianismLove authority, rigid, judgmental, deferential to superiors, exploitative tosubordinates, resistant to change, lack of tact/sensitivity/adaptability, etc.

e. Machiavellianism (Niccolo Machiavelli)

Tendency to manipulate others for own goals, pragmatic, emotional distance,ends justify the means, twist and turn facts to influence others, try to gaincontrol, manipulation to their advantage.

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f. Self-esteem

The degree of liking/disliking the self; indicator of: capability, importance,success, job satisfaction, etc.

g. Self-monitoringAbility to adjust with external factors. Striking contradictions in public andprivate and ability to play multiple/contradictory roles, etc.

h. Tolerance for ambiguity

The degree of tolerance to uncertainty, ability to change without undue stress,and capable of working in a turbulent environment.

i. Risk-taking

Time taken for decision-making, logical and rational decision-making,subsequent actions for moderate risks.

j. Work-ethics orientation

Extremity leads to workaholism, normality leads to effective management,balance between work and home results in a rational manager.

Summing Up

Personality is often confused with good looks, but in this chapter we haveseen that it is only one of the attributes of an individual's personality.Personality is a combination of many factors and qualities in an individual.The personality of an individual is determined by biological, family, social,cultural, and situational factors. We have seen in this chapter that thepersonality of an employee and organisational behaviour are inter-related.There are several factors that need to be considered to understand theindividual's behaviour in an organisation which are adequately dealt with inthis chapter.

Self-assessment

a. Fill in the blanks

1. ____________ is one of the social factors.

2. Aggressive behaviour is one of the characteristics of the___________personality.

3. __________________ is the ability to adjust with external factors.

4. ______________ leads to workaholism.

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b. State whether the following are true or false

1. Attractiveness is an important factor of a personality.2. Customs is one of the cultural factors that determine personality.3. Individuals with Type B personality are restrained in responses.4. The concept of personality does not include internal awareness

of the self.

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Chapter VIIMorale and Motivation

Learning ObjectivesReading this chapter would enable you to understand:• How morale can affect productivity in an organisation.

Contents7.1 Morale7.2 Some Indicators of Morale7.3 Major Determinants of Morale (Alexander Leighton)7.4 Some Suggestions to Improve Morale7.5 Morale and Productivity7.6 Motivation7.7 Importance of Motivation7.8 Mechanism of Motivation7.9 Motivation and Frustration7.10 The Basic Theories of Motivation7.11 Abraham Maslow's Theory7.12 Frederick Herzberg's 2-Factor Theory7.13 David McClelland's Theory7.14 Douglas McGregor's Theory

Summing UpSelf-assessment

7.1 Morale

Why is it that some organisations are successful, while others are not? Whyis it that in some organisations, people seem to be happy, satisfied andcontented with their work, while in spite of all the facilities in some others,they are not happy? Why is it that there are many people in this world, whohave a lot of money to enjoy material happiness, but who are still not satisfiedand happy? On the contrary, why is it that there are many people, who do notpossess a lot of money, but are still very happy and contented with theirlives?

Why is it that in one organisation, people work sincerely and feel happy indoing so, while in another, people do not work with interest and satisfaction?In the ultimate analysis, the former organisation is efficient and effective,while the latter one is not. It is more important to understand as to ‘Why dopeople work?' than ‘Why people do not work?'

The morale of the people is an extremely important factor in the success orfailure of organisations, be it waging a war against the enemy, running abusiness, manufacturing a product or providing a service to society.

The following definitions will make the concept clearer:a. Oxford Dictionary: ‘Morale is the prevailing mood and spirit conducive

to willing and dependable performance.'

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b. Edward Flippo: ‘Morale is the mental condition or attitude of anindividual or a group which determines their willingness to co-operateor otherwise.'

c. Dale Yoder: ‘Morale is the degree of zeal, enthusiasm, willingness andconfidence of an individual or a group to accomplish a task.'

Morale is a dynamic concept, which varies from person to person, time totime and situation to situation. Morale is a group phenomenon, whichdescribes the level of favourable or unfavourable attitude of the employeestowards all aspects of their work.

7.2 Some Indicators of Morale

The following are some of the indicators of morale:a. Absenteeism/Indisciplineb. Grievancesc. Lack of communicationd. Poor listeninge. Lack of confidencef. Aggression/frustrationg. Lack of mutual trust/faithh. Lack of co-operationi. High accident frequency ratej. Low efficiency/effectiveness

(Note: The above list is not exclusive/exhaustive and may vary from place toplace)

7.3 Major determinants of Morale (Alexander Leighton)

According to Alexander Leighton, the following are the major determinantsof morale.a. Confidence of the individual members in the organisational goalsb. Confidence of the individual members in leadershipc. Confidence of the individual members in their fellow workersd. Confidence of the individual members in organisational efficiencye. Working conditions (e.g. wage/salary, job security, work environment,

cleanliness and housekeeping, employee welfare facilities, futureprospects, etc.)

7.4 Some suggestions to improve Morale

The following are the suggestions that may help in improving morale.a. Sound organisation structureb. Proper manpower planningc. Systematic and scientific recruitment and selection procedured. Appropriate training and development programmese. Systematic and scientific performance appraisal systemf. Efficient and effective organisational communication systemg. Sympathetic employee counselling

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h. Proper grievance handling procedurei. Rational wage and salary structurej. Proper delegation of authorityk. Assurance of job securityl. Fair and just reward/punishment system

7.5 Morale and productivity

Generally, high morale leads to high job satisfaction, which in turn, leads tohigh productivity. This means that productivity should always rise as themorale improves. Morale and productivity are inter-related and inter-dependent.

7.6 Motivation

In any organisation, people work not only for money, but also for jobsatisfaction and happiness. The manager has to communicate and lead andalso motivate his subordinates to work. To a large extent, the success of themanager's leadership abilities depends upon his ability to motivate his peopleto work. Motivation involves: the influence of the leader, the ability of thefollower and the perception of both about each other. Generally, it is observedthat high motivation leads to high job satisfaction and in turn to higherefficiency.

Motivation is a force or an impulse which makes a man move physically andmentally to achieve certain goals. Individual motivation is very important forgroup motivation. Although it is true that “Money makes the mare go’’ inmodern business organisations, money is not the only motivating factor andhas its own limitations. Money is only a means to satisfy wants. Motivation issomething beyond that.

Motivation has been defined by:

a. Michael Julius as ‘a process of stimulating the self or subordinates toget into the desired course of action.’

b. Dubin as ‘a force or impulse that moves a person to start and continuean action to accomplish a certain goal.’

c. March and Simon as ‘a function of needs and drives that makes aperson take action to achieve the desired goals.’

Performance = (Ability X Motivation)

7.7 Importance of Motivation

a. Employees' performance is a result of their abilities and willingness .b. If and when the employees are able, but not willing, it is necessary to

motivate them.c. Motivation is the force that moves a person physically and mentally to

achieve goals.d. Individual motivation plays an important role in group motivation.e. Happiness and job satisfaction are functions of not only money but also

needs and drives.

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f. It involves (influence of the leader + ability of the followers + roleperception of both).

7.8 Mechanism of Motivation

All motivation in life starts with a need, - a need which is not satisfied.Therefore a feeling of deprivation of a need is the starting point of motivation.Then, there is an urge to satisfy the need, which results in the drive. Ultimately,the drive continues to work until the need is satisfied and the 'goal' is achieved.

Need > Drive > Barrier Blockade > Goal(Deprivation) (Direction) (Overt/Covert) (Achievement)

7.9 Motivation and frustration

Every individual carries a set of inner motives and drives which influencebehaviour. Individuals differ not only in their ‘ability to perform', but also intheir ‘will to perform'. Motives are expressed as needs, wants, drives orimpulses within the individual.

Every individual has/should have some goals to achieve. Goals are sometimesreferred to as the rewards hoped for. These rewards can be monetary or non-monetary incentives, tangible or non-tangible. Managers should be able toprovide an environment in which appropriate goals and incentives are availableto subordinates to satisfy their needs.

Generally, an individual is motivated to work to achieve certain goals in orderto satisfy some of his needs. This follows a ‘Need-->Drive->Goal' cycle. But, inactual practice, it is not that simple and the individual almost always meetswith some barriers in achieving his goals. This leads to ‘Frustration'.Whenever a person is frustrated, the defence mechanism is triggered intoaction. In organisational behaviour, frustration is manifested in one or moreof the following behaviours:

a. Aggression: A reaction to a situation wherein one's motives are blocked,causing oneself to turn against the barriers in terms of verbal or physicalinjury to the object, person or group causing the barrier.

b. Withdrawal : Leaving the field in which frustration, anxiety, or conflictis experienced, either physically or psychologically.

c. Fixation : An unreasonable stubbornness, maintaining a persistentnon- adjusting reaction. The behaviour is repeated again and again eventhough all the cues indicate that the response is not appropriate to thesituation.

d. Compromise : The individual realises the fact that he has to adjustwith the situation and give up some of the benefits in the short run inorder to achieve some long-term benefits. This can be seen in terms ofa change in needs or goals, with a ‘give and take' attitude.

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7.10 The Basic Theories of Motivation

Basically, the theories of motivation can be classified as follows:

a. Traditional theory

This theory is based on Scientific Management by F W Taylor who advocatedthat it is the manager's prerogative to decide the quantity, quality, the methodof doing jobs and the system of financial compensation for work.

b. Human Relations Theory

This theory is based on the research studies of Elton Mayo and Associates atthe Hawthorne plant of the Western Electric Co. near Chicago (US), whoproved that the output of employees does not depend only on extrinsic factorslike working conditions alone, but also on the intrinsic factors of satisfactionof their social and psychological needs.

c. The Human Resources Theory

This theory is based on the studies conducted by 20th century managementexperts including Abraham Maslow, Frederick Herzberg, David McClelland,Douglas McGregor, Peter Drucker, etc. who believed that people are motivatedto work, not only by money alone, but also by the satisfaction of their higherorder needs for authority, responsibility, achievement and meaningful work.

7.11 Abraham Maslow's Theory

Abraham Maslow (1908-1970), an American psychologist found that workmotivation of human beings arises from the hierarchy of needs. According tohim, the needs of human beings, which motivate them to work, can beorganised on five different levels. He regards these needs as proponent in thesense that as one need is satisfied, the next need level comes into play.

According to Abraham Maslow, a person is motivated due to his desire tosatisfy his various needs. His studies show the hierarchy of needs as follows:

a. Basic/physiological needs (e.g.: food, clothing, shelter, air, water, sex,etc.)

b. Security needs (e.g. job security, family security, protection from hazards,etc.)

c. Social needs (e.g. affection, friendship, acceptance, sense of belongingto a group, etc.)

d. Psychological needs (e.g. self-esteem, ego, status, autonomy,achievement, recognition, attention, appreciation, etc).

e. Self-actualisation and fulfilment (e.g. work itself is the motivation)

Maslow has classified these human needs into five levels. The firsttwo levels i.e. the physiological needs and the security/safety needs can beconsidered as lower order needs, while the next three levels i.e. the social,psychological and self-actualisation needs can be considered as higher orderneeds. The lower order needs are primarily satisfied externally by economic

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rewards like wages, allowances, perquisites, bonus, etc., while the higherorder needs are satisfied internally through social and psychological rewardslike acceptance by the group or job satisfaction, etc.

The various needs identified by Maslow are not exclusive of each other,but are inter-related, inter-dependent and overlapping, each higher levelneed emerging before the lower level need disappears. There are nowatertight compartments between the needs. When the peak of a need ispassed, that particular need ceases to be a primary motivator, and thenext higher order need begins to dominate. Thus, it is observed that evenif a need is completely satisfied, it still influences the behaviour of theindividual, mainly because of the inter-dependent and overlapping natureof the various needs. This phenomenon can be shown as follows:

Figure 7.1 Abrahan Maslow's Theory

Maslow's theory has received wide recognition due to its intuitive logic andease of understanding. However, this model does not take into account theindividual differences in the intensity of the various needs. Subsequentresearch in this field shows that dif ferences in castes, creeds, customs,traditions, religions, languages, education, knowledge, skills, cultures,attitudes, environment, etc. play a very major role in determining the priorityof the needs of people in different countries.

7.12 Frederick Herzberg's 2-Factor Theory

Frederick Herzberg has extended the work of Maslow and developed adifferent model as a result of his research in work motivation. His findingsare based on his survey of more than 200 managers in 11 different industriesin the Pittsburg area.

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According to Herzberg, all needs and their satisfaction do not motivateemployees. This can be considered a further modification of Maslow's theory.There are two sets of factors in motivating a person: Motivating Factors as‘Satisfiers' and Maintenance Factors as ‘Dissatisfiers':

a. Maintenance Factors (Extrinsic/Dissatisfiers)a. Personal lifeb. Salaryc. Job securityd. Working conditionse. Company policy and administrationf. Quality of supervisiong. Inter-personal relationships

b. Motivating Factors (Intrinsic/Satisfiers)a. Statusb. Recognitionc. Advancementd. Responsibilitye. Possibility of growthf. Achievementg. Work itself

According to Herzberg, the Motivational Factors are directly related with thejob itself and therefore are ‘content-oriented'. Their presence highly motivatesthe person, but their absence does not cause dissatisfaction. On the contrary,the Maintenance Factors are ‘context-oriented'. Their presence does notsignificantly motivate the person, but their absence can cause dissatisfaction.Their presence prevents dissatisfaction and maintains a certain minimum levelof motivation. Any reduction in these factors can affect motivation and reducethe performance level of the person concerned.

Herzberg has made a very valuable contribution in the field of work motivationand job satisfaction. He has further extended the applicability of Maslow'stheory to actual organisational situations, drawing the attention of themanagements that they should pay attention to the ‘Motivating Factors' alsoalong with the ‘Maintenance Factors'. People do not work only for the extrinsicmaintenance factors alone, but also for the intrinsic motivational factors.Therefore, in modern business organisations, managements should try toreview organisation structures, make job contents more meaningful andchallenging, provide a sense of achievement, give due recognition andresponsibilities.

Both, Maslow and Herzberg have contributed some of the fundamentalprinciples of work-motivation of people. But, there are some differences:

a. Maslow refers only to the needs or motives; while Herzberg deals withthe goals or incentives.

b. Maslow's hierarchy of needs is sequentially ordered in terms ofimportance; while Herzberg's model does not have any sequentialpreference.

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c. Maslow believes that any need can be a motivator, until it is relativelyunsatisfied; while Herzberg thinks that only intrinsic factors of thehigher order need serve as motivators.

7.13 David McClelland's Theory

According to David McClelland, there are three types of needs that motivatea person as follows:

1) Need for Achievement (nAch)a. High desire for achievementb. Moderate risksc. Pre-occupation with the taskd. Satisfaction of accomplishmente. Need for immediate feedback

2) Need for Affiliation (nAff)a. A desire to belong to a groupb. A desire to interact with othersc. A desire to be liked by othersd. A desire to make routine jobs more bearablee. A desire to live and work together

3) Need for Power (nPow)a. A desire to control othersb. A desire to manipulate othersc. Political orientationd. Leadership to influence otherse. High nPow with negative orientation v/s Low nPow with positive

orientation

7.14 Douglas McGregor's Theory

Douglas McGregor, a Professor of Industrial Administration at MassachusettsInstitute of Technology (USA), described organisations as psychologicalentities that can be effectively managed by their assumptions about motivation,human nature and behaviour. He found that people are not motivated byunsatisfied needs and drives alone, but also by assumptions and generalisationsof the managements about their employees.

According to Douglas McGregor, motivation implies certain assumptions,generalisations and hypotheses by the management relating to humanbehaviour in organisations. This can be done on the basis of either of the twosets of assumptions as Theory X and Theory Y as follows:

1) Theory X

a. An average human being has inherent dislike for work and will avoid it,if he can.

b. Most people lack ambition, dislike responsibility, prefer to be directedand want, above all, job security.

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c. Most people must be directed coerced, controlled and threatened withpunishment to get better results from them.

b. Theory Y

a. The expenditure of physical and mental effort in work is as natural asplay or rest.

b. External control and the threat of punishment are not the only meansfor bringing out efforts towards organisational goals. Man exercisesself-direction and self-control in the service of the objectives to whichhe is committed.

c. The degree of commitment to objectives is proportional to the rewardsassociated with the achievement.

d. The average human being learns, under proper conditions, not only toaccept, but also to seek responsibility.

e. The capacity to exercise a relatively high degree of imagination, ingenuityand creativity in the solutions of organisational problems, is widely, notnarrowly, distributed among the population.

f. Under conditions of modern industrial life, the intellectual potentialitiesof a human being are only partially utilised.

Summing Up

The morale of the work force is very crucial in an organisation. It determinesthe success or failure of an organisation. The individual's behaviour in anorganisation is an indicator of the morale of the organisation.

High morale, we have seen, leads to high job satisfaction, which in turn leadsto high productivity. To keep morale high, the organisation should makesure that their staff is motivated.

Motivation is the force that moves a person physically and mentally to achievegoals. An in-depth study of the several theories of motivation will give ampleinsight on how to keep your employees motivated.

Self-assessment

a. Fill in the blanks

1. The ______________ of people is an extremely important factor in thesuccess or failure of organisations.

2. Morale is a ______________ phenomenon, which describes the level offavourable or unfavourable attitude of employees towards all aspects oftheir work.

3. _____________ are sometimes referred to as the rewards hoped for.

4. Maslow has classified human needs into ____________ levels.

5. According to Herzberg, motivational factors are directly related withthe job itself and therefore are __________.

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b. State whether the following are true or false

1. Morale varies from person to person, time to time and situation tosituation.

2. Working conditions do not determine Morale.

3. Herzberg deals with goals or incentives.

4. The various needs identified by Maslow are exlusive of each other.

5. According to Douglas McGregor, the degree of commitment to theobjectives is propor tional to the rewards associated with theachievement.

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Chapter VIIIGroup Dynamics

Learning ObjectivesReading this chapter would enable you to understand:• How a group functions in the organisation

Contents8.1 Inter-personal Relationships8.2 Approaches to inter-personal relationships

8.2.1 A Needs Approach8.2.2 An Exchange Approach

8.3 Basis of inter-personal relationships8.4 The factors influencing inter-personal relationships8.5 What is a group?8.6 Why do people join groups?8.7 Advantages of groups8.8 Disadvantages of groups8.9 Stages of group development

8.9.1 Forming8.9.2 Storming8.9.3 Norming8.9.4 Performing8.9.5 Adjourning

8.10 Characteristics of a group8.11 Functions of a group8.12 What is Group Dynamics?8.13 Important factors of Group Dynamics

Summing UpSelf-assessment

8.1 Inter-personal Relationships

In any organisation, people have to come together to accomplishorganisational goals. Inter-personal relationships are a result of inter-personalcommunication. Groups are a result of inter-personal relationships. So, inter-group relationships are a result of inter-group communication. Initially, theinter-relationships are formal, but, over a period of time, they become lessformal and work with more familiarity with each other. This gives rise towork groups and work teams and these interactions are called ‘GroupDynamics'.

However, in order to understand the subject of Group Dynamics, we mustfirst understand the meanings of inter-personal relationships, groups and therelevant aspects of work groups.

Whenever we work in any organisation, we have to deal with different peopleat dif ferent levels: seniors, peers and colleagues and subordinates.Organisational goals and objectives cannot be achieved unless and until all

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the people working in the organisation understand and appreciate the same.It is also not possible to do so, if there is no co-operation among the employees.This requires good inter-personal relationships, which are the basis of co-operation for the achievement of organisational goals.

8.2 Approaches to inter-personal relationships

It is interesting to observe that certain individuals are attracted to certainindividuals and not others. Inter-personal relationships can be basically studiedfrom two approaches:

8.2.1 A Needs Approach

This approach is based on Abraham Maslow's hierarchy of needs. Anindividual may be attracted to another, if the needs are satisfied e.g. security,social and psychological. Sometimes, some needs are already satisfied andwork as only maintenance factors; while some other needs are not and workas the really motivating factors (Frederick Herzberg's 2-factor theory of needs).There is also a Complementary Needs theory, which states that needs aremutually complementary e.g. a dominant person gets along well with asubmissive person wherein both the individuals feel that the relationship ismutually rewarding.

8.2.2 An Exchange Approach

This approach is based on the observation that there is a Rewards v/s Costsrelationship. This means that individuals consider the cost involved v/s therewards in return for maintaining a relationship. In other words, there is anexchange relationship. The rewards can be in the form of: love, money, status,information, goods, services etc. while the costs can be in the form of: conflict,disapproval, criticism, punishment, anxiety, frustration, etc. Life is ‘give andtake’ in organisational behaviour, people subconsciously think of the exchangevalue of relationships and continue with the same as long as rewards outweighthe costs.

8. 3 Basis of Inter-personal Relationships

a. Personal qualities: Like physical attraction, personal appearance,honesty, sincerity, loyalty, reliability v/s dishonesty, rudeness, greed,hostility, etc

b. Similarity : In beliefs, perception, values, interests, cognitivedissonance, etc.

c. Familiarity : Of closeness, frequency of interaction, repetitive exposure,etc.

d. Proximity : As in physical togetherness, reward-cost relationship, etc.e. Emotional identity : Which is positive feelings v/s negative feelings

> relationship > behaviour > evaluation > judgement

8.4 Factors influencing inter-personal Relationships

There are various factors that af fect inter-personal relationships amongemployees as briefly described on the next page.

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a. Role of parents

Generally, every person spends the first few years with one's parents. Duringthis period, the child observes the way parents interact and behave withothers within the family as well as outside the family. Naturally, one'sbehaviour is very highly influenced by one's own parents during the formativeyears of life.

b. Self-identity

Every person is different and has an individual identity of his/her own. Self-identity includes ‘I' and ‘Me'. It is the basis of self-esteem. Self-esteem leads toself-respect, which is sometimes a barrier. Self-identity plays an importantrole in developing inter-personal relationship with others.

c. Communication

The communication ability between individuals is an extremely importantfactor that decides the nature of inter-personal relationships between them.Communication is a vehicle to convey ideas, feelings, emotions, sentiments,views, opinions, thoughts, etc. Inter-personal communication is the core ofinter-personal relationships; without proper communication, it is not possibleto establish inter-personal relationships.

d. Basis of attraction

People are attracted towards each other due to various reasons. Children areattracted due to colours, toys, games and other material things. Teenagersare attracted towards each other due to hobbies, games, studies, etc. Adultsare attracted mainly due to physical and mental characteristics, similarity ofcultures, customs, traditions, etc. Satisfaction of mutual needs becomes thebasis of mutual attraction.

e. Role of rewards

Inter-personal relationships depend upon the rewards that accompanybehaviour. The rewards are not necessarily in the form of money; they can bein the form of appreciation, recognition, apology, co-operation, help, etc. Inter-personal relationships are strengthened or weakened according to theserewards that exist between individuals.

f. Reciprocity

Generally, it is observed that people have a tendency to treat others as theyare treated. ‘Reaction is equal and opposite to action' .The behaviour isreciprocal with that of others.

g. Norms and Rules

An informal relationship does not have many strict norms or rules of behaviour.Probably that is why it is called informal. But, in business organisations, thereare certain norms and rules of behaviour that are important in the inter-

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personal relationship. They reduce uncertainty and improve predictability ofbehaviour.

h. Social intelligence

Social intelligence means the intelligence required to behave properly in socialgroups. It helps to detect clues for the other person's behaviour orexpectations.

8.5 What is a Group?

A group can be defined as:

a. Robert Bales: ‘A number of persons engaged in interaction with eachother with face-to-face communication.’

b. Raymond Cattell: ‘A collection of individuals in which existence of allis necessary for the satisfaction of individual needs.’

c. Otto Klineberg: ‘Two or more individuals who interact and influenceeach other for a certain time.’

d. Krech and Crutchfield: ‘Two or more individuals forming a socialunit with specific roles and explicit psychological relationships amongthemselves.’

8.6 Why do people join groups?

Man is a social animal and he likes to be associated with Groups. But, ondeeper scrutiny, we find that there are other reasons too for people joininggroups. Some of them may be mentioned as follows:

a. People join groups for the satisfaction of their psychological needs e.g.:self-esteem, ego, status, attention, recognition, appreciation, etc.

b. People join groups for the satisfaction of their social needs e.g.: affection,friendship, acceptance, sense of belonging, etc.

c. People join groups for the satisfaction of their security needs e.g.: jobsecurity, family security, property security, etc.

8.7 Advantages of groups

The following are the advantages of a group:a. Groups give better knowledge and information .b. Groups have the benefit of collective wisdom.c. Group decisions are better accepted by the members of the group.d. Group decisions have a better legitimacy.e. Groups facilitate problem solving.

8.8 Disadvantages of groups

The following are the disadvantages of a group:a. Group activities are more time consuming.b. Groups exert pressures on members to conform to group norms.c. Groups can experience domination by a few members.d. Groups have hazy responsibilities.e. Group decisions are delayed.

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8.9 Stages of group development

Groups in an organisation are not formed overnight. They take time dependingupon the organisational structure, organisational culture, number of peopleinvolved, the nature of the task to be accomplished, the complexity of thejob, requirement of special skills, interpersonal communication, etc.

Generally, any group goes through the following stages to form and work:

8.9.1 Forming

In the initial stages of group formation, there is a feeling of uncertainty aboutthe purpose, structure, leadership, capability about themselves, etc.

8.9.2 Storming

A little later, there is resistance by some members to the formation of thegroup mainly due to lack of inter-personal communication, etc.

8.9.3 Norming

Once the above two stages are over, members develop a closer relationship.There is a better group cohesiveness with a sense of group identity. There arecommon expectations. In case of any deviation of behaviour by any member,there is an effort towards correction of behaviour.

8.9.4 Performing

After the forming stage, the group gets ready to perform. It becomes fullyfunctional and actually performs tasks.

8.9.5 Adjourning

Normally ‘Performing' is the last stage in many groups which continue tofunction. But sometimes some groups are formed temporarily for particulartasks or projects that are time bound. After the task is over, the temporarygroups are dissolved.

8.10 Characteristics of a group

The following are the characteristics of a group :a. Two or more individuals come together to work,b. There are common goals, objectives and tasks,c. There is interaction with each other,d. There is a sense of belonging,e. Norms and values are shared among members.

8.11 Functions of a group

The following are the functions of a group:

a. Satisfaction of security needs of the members: self, family, job,belongings, property, etc.

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b. Satisfaction of social needs of the members: love, af fection,affiliation, sense of belonging.

c. Satisfaction of psychological needs of members: ego, self-esteem,appreciation, rewards, etc.

d. Satisfaction of cognitive needs of the members: sense ofidentity/

recognition/values/beliefs, etc.

e. Satisfaction of achievement-needs of members: sense of goals,objectives, job satisfaction, etc.

8.12 What is Group Dynamics?

Group dynamics is a series of interactions between people working in theorganisation. Group dynamics may be defined as:

a. ‘The interaction between members of the group in a social situation.'b. ‘The way in which a group is formed, organised and conducted for the

achievement of common goals.'c. ‘A process of change to adopt new ideas/ knowledge/ methods/ systems

for development.'d. ‘A process through which members interact with each other for the

accomplishment of common goals.'e. ‘Implies common thinking, consensus decisions and consistent actions

for common goals.'

8.13 Important factors of Group dynamics

a. Organisational policies/strategies

Organisational policies and strategies play an important role in developinggroup dynamics in favour of or against the organisation. Liberal policies mayfacilitate group dynamics. But, strict policies restrict the same.

b. Organisational culture

Organisational climate is a result of the organisational culture. A healthy andco-operative organisational culture helps group dynamics. But cut-throatcompetition among employees and mutual distrust between superiors andsubordinates can mar group dynamics.

c. Rules and Regulations

Administrative rules and regulations are the manifestations of organisationalpolicies and procedures. Very strict rules and regulations do not permit groupdynamics to flourish, but, flexible ones help.

d. Physical working conditions

The working conditions of employees have an effect not only on the healthand safety of the employees, but also their morale and motivation. As a result,this also affects group dynamics.

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e. Limitations to resources

People, machines, tools, equipment and materials are the main resources foremployees to work and produce results. Adequate quantity and quality ofresources help group dynamics to work in favour of efficiency. Otherwise,group dynamics suffers.

f. Authority-responsibility relationship

Authority should be commensurate with responsibility and both of themshould be balanced for successful effects of group dynamics. In case of in-equilibrium groups cannot be effective.

g. Organisational communication

Organisational communication is an extremely important factor for the successof group dynamics in an organisation. Open communication channels facilitategroup dynamics to the favour of organisational efficiency. In cases otherwise,people are not interested in working in groups.

h. Motivation of the members

High morale leads to high motivation which in turn, leads to high jobsatisfaction leading to higher organisational efficiency. This is a chain of actionsand reactions, which affect group dynamics.

i. Inter-personal conflicts

Inter-personal relationships are very important in group dynamics. They leadto inter-group relationships. If they are not cordial enough, they lead to inter-personal conflicts, which affect group dynamics negatively.

j. Management attitude

Management attitude towards group dynamics can vary from ‘Dictatorialto Democratic'. The growth and development of group dynamics dependsupon the attitude and style of management. A too autocratic style ofmanagement may not allow group dynamics to function and a toodemocratic style of management may not help group dynamics bringorganisational benefits.

Summing Up

In the very first chapter we understood that an organisation is made up ofpeople and not bricks. When people come together, there is inter-personalcommunication which leads inter-personal relationships. Several factorsinfluence inter-personal relationships, such as the role of parents, self-identity,basis of attraction, reciprocity, etc.

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The inter-personal relationship between individuals leads to the formation ofgroups which has its own advantages and disadvantages. Group dynamics isa series of interaction between people working in the organisation.Organisational policies and strategies play an important role in developinggroup dynamics in favour or against the organisation.

Self-assessment

a. Fill in the blanks

1. Management's attitude towards group dynamics can vary from dictatorialto _____________.

2. High morale leads to high _____________.

3. People join groups for the satisfaction of their social __________________.

4. Group activities are ____________ consuming.

5. ____________ policies may facilitate group dynamics in an organisation.

b. State whether the following are true or false

1. Inter-personal relationships are a result of inter-personal communication.

2. Abraham Maslow's theory is based on a reward vs. cost relationship.

3. In the exchange approach theory, the rewards can be in the form oflove, money, status, etc.

4. Self-esteem leads to self-respect.

5. Group decisions are quick.

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Chapter IXConflict Management

Learning ObjectivesReading this chapter would enable you to understand:• Conflicts• How to resolve conflicts

Contents9.1 Conflict9.2 Sources of a Conflict9.3 Factors involved in a Conflict9.4 Types of Conflicts9.5 The traditional view of a Conflict9.6 The modern view of a Conflict9.7 A functional Conflict (wanted/constructive)9.8 A dysfunctional Conflict (unwanted/destructive)9.9 Managing conflicts9.10 Johari Window9.11 Conflict resolution outcomes

Summing UpSelf-assessment

9.1 Conflict

An organisation is a group of people working together to achieve commonorganisational goals systematically and scientifically with the help of givenresources viz. people, machines and materials, etc. Therefore, whenever twoor more people come together in connection with some work, there is boundto be some difference of opinions, views, ideas etc. If the concerned individualsthemselves through mutual discussions can resolve these differences, withoutintervention by superiors and within a reasonable time frame, it is alwaysdesirable. But, many times these differences between individuals and groupscannot be resolved by themselves so easily and take the shape of a conflictwhich needs to be intervened in by superiors for its resolution. Therefore, itis necessary to understand certain fundamental concepts about conflicts.

Whenever two or more people with different family backgrounds, educationalbackgrounds and cultural differences interact with each other, the stage isset for potential conflict. Generally, a conflict situation is a result of differencesin ideas, views, opinions, beliefs, perceptions, values, attitudes, and practicallyall aspects of organisational behaviour. In other words, any disagreementbetween two or more people is the first step of the process of a conflict.

Conflict has been defined as:

a. Chung and Meggison: ‘A struggle between incompatible needs /wishes/ideas / interests of people.’

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b. Kilman and Thomas: ‘A condition of objective incompatibility betweenvalues/goals, as a result of deliberate interference and emotional hostilitywith another's goal achievement.’

c. Stephen Robbins: ‘A process in which an effort is purposefully made byan individual/group to block the efforts made by another individualgroup which results in frustrating the accomplishments of the other'sgoals and furthering interests.’

A situation in which there is a difference of opinions/ ideas/views/interests/efforts of two or more individuals/groups creating tensions for either orboth.

9.2 Sources of conflict

A conflict can arise due to various reasons, e.g. difference between: individualgoals and group goals, individual values and group values, short term planningv/s long term planning, recruitment v/s promotions, performance appraisal,lack of communication, leader v/s followers, inter-departmental co-operationand co-ordination, old methods v/s new methods, traditions v/s systems, etc.

Generally, a conflict arises due to incongruity in:

a. Goals (e.g. individual goals v/s group goals, group goals v/sorganisational goals)

b. Values (e.g. personal values v/s group values)c. Cognition (e.g. organisational view of employees and vice-versa)d. Emotions (e.g. IQ v/s EQ of the employees, emotions v/s tasks)e. Behaviour (e.g. sincere and honest v/s insincere and dishonest)

9.3 Factors involved in a conflict

a. Antecedent conditions (e.g. resources, differences in opinions/perceptions, etc.)

b. Affective states (e.g. stress, strain, anxiety, hostility, etc.)c. Cognitive states (e.g. beliefs, perception, values, attitudes, awareness

etc,)d. Conflicting behaviour (e.g. ranging from passive resistance to overt

aggression)

9.4 Types of conflicts

a. Intra-personal conflict

This type of conflict is manifested when an individual is confronted with apersonal problem and the individual is in a dilemma regarding a decision onor a solution to the problem. There is a goal conflict or a role conflict, whichleads to stress, strain, anxiety, tension etc.

b. Inter-personal conflict

This type of conflict is seen when two or more individuals having differentfamily backgrounds, educational backgrounds, work backgrounds interact with

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each other and when there is a difference between their ideas, opinions, views,beliefs, perceptions, values, attitudes etc.

c. Intra-group conflict

This type of conflict occurs within a group and is concerned with the group.In this situation, the group faces a situation in which group members are notclear about group goals and values. Many times there are differences withinthe group about the goals or the means to achieve them. This results instress and tension in the group, affecting cohesiveness and co-operation inthe group.

d. Inter-group conflict

This type of conflict is commonly seen between two or more groups wheneverthere is a difference between goals, values, views, etc. This is common betweenthe management and union, two rival groups within a trade union, etc. whereinthere is disagreement between groups. This results in stress and tensionbetween the concerned groups leading to lack of understanding and co-operation in organisational activities.

9.5 The traditional view of a conflict

The traditional view of a conflict can be briefly summarised as follows:a. Conflict is bad, negative and must be avoided at any cost.b. A conflict is caused by trouble-makers, boat-rockers and prima-donnas.c. Scapegoats are unavoidable as a result of a conflict.d. A conflict can be resolved by formal authority/command.e. A conflict can be resolved by delay in decision-making, bringing the

defence-mechanism into action and pseudo solutions.

9.6 The modern view of a conflict

The modern view of a conflict can be briefly summarised as follows:a. A conflict is a natural and inevitable phenomenon of life.b. A conflict depends upon the physical and structural factors of the system.c. A conflict is an inevitable part of change, innovation and organisational

development.d. A conflict at an optimum level can be good for growth, progress and

development.e. A conflict need not be avoided or encouraged, but must be managed

properly.

9.7 A functional conflict (wanted/constructive)

A functional conflict is the one that is based on logical and objective thinking,application of systematic and scientific problem solving techniques andconsensus decision making in organisations. Therefore, such a conflict canhelp communicate decisions accordingly to all concerned and bring aboutcreativity, innovation and the progress of the organisation in the long run. Afunctional conflict is constructive. It supports and organisational goals andimproves the performance of groups.

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Some of the major features of a functional conflict may be summarisedas follows:a. It implies logical, rational and objective thinking by members .b. It clarifies the goals to all concerned.c. It helps in identifying problems and settling differences through

discussions.d. It helps in systematic and scientific problem solving.e. It improves perceptions and attitudes of the concerned people.f. It promotes creativity and innovation of individuals/ groups.g. It encourages group cohesiveness and better team-work.h. It provides for a system of checks and balances within the organisation.i. It helps to improve the morale and motivation of people.j. It improves the overall organisational performance.

9.8 A dysfunctional conflict (unwanted/destructive)

A dysfunctional conflict is one that is based on illogical and subjective thinking,emotional outbursts, lack of systematic and scientific problem solvingtechniques and diversity in decision making by the members of the group.Therefore, such conflicts are harmful to organisational leadership, teambuilding, growth and development in the long run. A dysfunctional conflict isdestructive. It obscures organisational goals and hinders the performancesof groups. Some of the more important features of a dysfunctional conflictmay be summarised as follows:

a. It implies illogical and subjective thinking.b. The goals of the team are not clear to all concerned.c. It hampers systematic and scientific problem solving.d. It focuses on short-term goals at the cost of long-term goals.e. It creates stress and strain on individuals/groups.f. It creates a lack of mutual trust among the members of the group.g. It reduces co-operation between members of the group.h. Decision-making is replaced by infighting.i. It discourages creativity and innovation, jeopardising growth and

development.j. It adversely affects overall organisational performance.

9.9 Managing a conflict

Thus, having accepted the fact that in modern organisations conflicts betweenpeople are inevitable, care should be taken that (i) the number of conflicts arekept at a minimum (ii) conflicts are kept at a functional and rational level and(iii) conflicts do not hinder overall organisational efficiency and effectiveness.

But how can this be achieved?

As every individual is different, every organisation too is different. As peoplechange from time to time, organisations too change from time to time. Everysituation is different. Therefore, there cannot be a standard formula forresolving all conflicts in business organisations. The manager concerned would

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have to apply a contingency approach while resolving a conflict between twoor more individuals/groups. However, a large number of studies in this areahave revealed certain basic principles of conflict management.

Some of the suggestions for achieving this goal may be summarised as follows:

a. Avoidance

This is the first and perhaps the best way to avoid a conflict. This involveswithdrawal from/suppressing of the conflict.

b. Smoothening

This is the second step, which involves playing down dif ferences andemphasising common interests between the conflicting parties.

c. Strengthening of resources

This is the third step. In case the conflict is caused due to a scarcity ofresources (e.g. people, machines, materials, etc), strengthening of theresources can help resolve the conflict.

d. Super-ordinate goals

Sometimes, it is the goals that may cause a conflict. Creating a shared goalthat cannot be attained without the co-operation of each of the conflictingparties.

e. Problem solving

This is an art, science and technique. A face-to-face meeting of the conflictingparties to identify problems and resolving them through open discussionsmay help resolve the conflict.

f. Compromise

Life is ‘Give and Take'. In other words, it is a compromise (Win-Win situation).Each party to the conflict gives up something of value, to achieve somethingelse and thus helps to resolve the conflict amicably.

g. Altering human variables

Perceptions, values and attitudes can be changed by training and developmentprogrammes for employees. Using behavioural change techniques to alterattitudes and behaviour can help resolve the conflicts.

h. Authoritative command

Sometimes some conflicts cannot be resolved by any of the above methods/techniques. In such cases, the management has to use its formal authority toresolve conflicts.

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k. Altering structural variables

Sometimes, there are certain structural defects in the organisational structureitself that cause conflicts frequently. In such a case, changing the formalorganisational structure and interaction patterns may help the resolution ofthe conflict. e.g. job re-design, job rotation, job evaluation, creatingcoordinators.

9.10 Johari Window

This model was developed by Joseph Luft and Harry Ingham after whom it iscalled Johari Window. It is a highly popular framework for analysing thedynamics of inter-personal behaviour and resolving inter-personal conflicts.The model is based on the assumption that every individual has 4 quadrantsof his/her personality and all the quadrants need to be considered duringinteraction. This model facilitates the understanding of inter-personalrelationships and conflicts in organisational contexts. The model can begraphically presented as follows:

a. Open Self

In this area, the individual is known to the self as well as to others. Thisshows the extent to which two or more persons can give and take, worktogether and enjoy common experiences. The larger this area, the greater isthe individual's contact with the real world. Such individuals make goodfriends and good leaders. Their social interactions are without any bias orprejudice. Therefore, interaction is marked with openness and compatibilitywith little chance of an inter- personal conflict.

b. Blind Self

In this area, the individual is blind to certain traits/qualities in the self whichare known to others but not to the self. Sometimes, an individual irritatesothers unintentionally due to certain blind spots in perception. The individual'sblind spots can be certain weaknesses e.g. bad mannerisms/etiquette, badhabits, inabilities/incapacities, etc. These can be also some of the strengthsof the individual e.g. aptitudes, talents, potential, communication, forceful,personality, etc. The individual's usual tendency is to feel good when he realises

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his blindness about the strengths, but he feels bad when he is told by othersabout his weaknesses and he resists to accept the same. This gives rise tothe potential for an inter-personal conflict.

c. Hidden self

In this area, feelings, emotions and motivations are known to the individual,but not to others. The true feelings and attitude towards others remain asecret for others. The hidden self corresponds to the closed drawers containingpersonal secrets relating to the individual's fears, phobias, troubles, complexes,etc. which are known to the Individual, but not to others. The individual alwaystries to hide them for fear of being exposed and rejected by others. Thus,there is potential inter-personal conflict.

d. Undiscovered self

In this area, certain feelings, emotions, motivation, love, affection, anger,hatred, etc. are neither known to the individual himself nor to the others.Firstly, the individual should try and find out the undiscovered part of hispersonality. Then secondly, others who interact with him should learn andunderstand. An interaction in this area is highly explosive. This part of theindividual's personality is undiscovered and therefore provides for a potentialinter-personal conflict.

9.11 Conflict resolution outcomes

The resolution of any interpersonal conflict situation can be described asfollows:

There can be 4 possibilities of conflict resolution outcome:

a. Lose-Lose: Both the par ties lose, because they don't want tocompromise.

b. Win-Lose: One party wins and the other loses, depending upon variousfactors.

c. Lose-Win: One party loses and the other wins, depending upon variousfactors.

d. Win-Win: Both the parties aim at solving the problem, rather thanbeating others.

Summing Up

Whenever two or more people come together in connection with some work,there are bound to be differences in opinions, views, ideas etc. Many a timesthese differences are not resolved amicably by employees and the managementhas to step in. Understanding conflicting situations and resolving them isvery crucial for the management of any organisation. The Johari Windowdeveloped by Joseph Luft and Harry Ingham is a very popular framework foranalysing the dynamics of inter-personal behaviour and resolving inter-personalconflicts.

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Self-assessment

a. Fill in the blanks

1. Conflict is a condition of ____________ incompatibility between valuesand goals.

2. A conflict is a ___________ and __________ phenomenon of life.

3. The Johari Window is used for analysing the dynamics of ______________.

b. State whether the following are true or false

1. Withdrawal is the best way to avoid a conflict.

2. Modern view of a conflict is bad and negative.

3. Logical, rational and objective thinking is called functional conflict.

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Chapter XLeadership

Learning ObjectivesReading this chapter would enable you to understand:• Various types of leadership• Team-building

Contents10.1 Leadership10.2 Importance of leadership in business organisations10.3 Evolution of leadership10.4 Theories of leadership10.5 The Traits Theory10.6 Some traits of effective leadership10.7 The Behavioural Theories10.8 The Two-Dimensional Model10.9 Rensis Likert's 4-Systems approach10.10 The Situational theories10.11 The Contingency theories10.12 The Path-Goal theory of leadership10.13 The Life Cycle Theory10.14 Autocratic leadership10.15 Democratic leadership10.16 Laissez-faire leadership10.17 Functions of leadership10.18 What is team-building?10.19 The main objectives of team building10.20 The pre-requisites for developing effective teams10.21 The process of team building10.22 Characteristics of effective teams10.23 Values of a team10.24 Building effective teams

Summing UpSelf-assessment

10.1 Leadership

Every organisation needs management and management needs leadership.There are many examples of organisations, which have failed for want ofeffective leadership and there are many more examples of organisationswhich have gone from losses to profits due to effective leadership. In otherwords, the success or failure of an organisation depends largely uponleadership.

Thus, leadership may be defined as:a. Keith Davis: ‘The ability of a person to persuade others to seek

achievement of group goals efficiently and effectively.’

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b. R. M. Stogdill: ‘The process of influencing and helping others to workenthusiastically towards task related objectives.’

c. Robert Tannenbaum: ‘The art and science of influencing and motivatinga group of people in a given situation towards common organisationalgoals.’

10.2 Importance of leadership in business organisations

An organisation requires management to achieve organisational objectivesincluding economic performance. A good manager must be a good leadersince he has to get work done from his people. While dealing with hissubordinates, he has to communicate, guide and inspire them towards theorganisational goals. This requires leadership qualities in the manager.Leadership qualities in the manager play a very important role in achievinggoals.

Some of the major factors of impor tance of leadership in businessorganisations may be summarised as follows:

a. It helps to build up the group.b. It helps to create confidence among members.c. It motivates group members.d. It inculcates discipline.e. It helps to build work teams .f. It helps to improve organisational efficiency.

10.3 Evolution of leadership

A large number of research studies all over the world have shown that likeorganisation and management, leadership also has evolved through stages.Some of the major landmarks in the evolution of leadership may besummarised as follows:

a. The Coercive stage

This is the first stage of evolution of leadership based on authority and powerof the leader. Some of the major features of this stage of leadership are asfollows:

a. Dictatorial style of workingb. Autocratic and centralised decision makingc. Force to obey instructions of the superiord. Fear of job insecuritye. Unwilling acceptance by followers

b. The Mechanistic stage

This is the second stage of evolution of leadership based on organisationalstructures, technology and scientific management. Some of the major featuresof this stage of leadership are as follows:

a. Increasing complexity of organisational structuresb. Rapid changes in technology

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c. Emergence of scientific managementd. Efficiency as a function of working conditionse. Influence of material factors on behaviour

c. The Psychological stage

This is the third stage of evolution of leadership based on the psychologicalfactors in human behaviour. Some of the major features of this stage ofleadership are as follows:

a. Based on Hawthorne experiments by Elton Mayo and Associatesb. Psychological factors play a vital role in organisational behaviourc. Extrinsic factors of motivation e.g. recognition, appreciation, motivation,

etc.d. Rewards are more effective than punishmente. Participation ensures more commitment to the task

10.4 Theories of leadership

During the last century, different management experts have developed varioustheories of leadership.

The major theories of leadership may be enlisted as follows:

a. Traits Theory (by Ordway Tead and Chester Bernard)b. Behavioural Theories (by Stogdill, Likert, Katz and Kahn)c. Contingency Theories (Fiedler's theory, Path-Goal theory, Life-Cycle

theory, Vroom- Yetton theory)d. Leader-Member Exchange Theorye. Managerial Grid

10.5 The Traits Theory

In the early stages of organisational development, it was believed that ‘Leadersare born'. This theory is based on the assumption that leadership dependsupon the traits of successful leaders. Some of the major features of this approachare as follows:

a. It is a traditional theoryb. It is based on the belief that ‘Leaders are born and not made'c. It is based on the assumption that physiological and psychological traits

of leaders determine the success or failure of leadership

a. Strengths

a. It banks upon the personal qualities of the leaderb. It draws on the influence of the charisma of the leaderc. There is an emotional bond between the leader and the followersd. There is loyalty by the followerse. Inter-personal relationships among members of the group are better

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b. Weaknesses

a. The traits are not exhaustive/universalb. There is a lack of consideration to the variety of internal situationsc. There is a lack of consideration to other external variablesd. There is a lack of scope for development of followerse. There is a possibility of exploitation of followers

10.6 Some traits of effective leadership

a. Knowledge of the job/taskb. Intelligencec. Self-respectd. Self-confidencee. Couragef. Logical thinkingg. Rational/scientific judgementh. Decision-makingi. Communication ability (oral and written)j. Creativityk. Initiative and drivel. Problem-solving abilitym. High morale and motivationn. Positive attitudeo. Authority and responsibilityp. Flexibility in approachq. Conviction and commitmentr. Impressive personality

10.7 The Behavioural Theories

This is the second approach to leadership, which is based on humanbehavioural studies of different people in organisations. It believes that thesuccess or failure of leadership depends not only upon the traits of the leader,but also upon the behaviour of the leaders and the followers in an organisationalcontext.

10.8 The Two-Dimensional Model (Ohio State University)

a. Consideration Dimension: The degree to which the leader considersthe feelings of the people vis-à-vis the task.

b. Initiating Structure Dimension: The degree to which the leaderconsiders goal attainment vis-à-vis feelings of the people.

a. Strengthsa. There is consideration for the behaviour of both, the leader and the

followers.b. There is consideration to both, the tasks and the feelings of the people.c. There is better planning and delegation of authority.d. There is better organising and utilisation of resources.e. There is better team-building and group performance.

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b. Weaknessesa. Interpersonal relationships vary from time to time and task to task.b. Organisational Behaviour is also a function of psychological factors.c. Group Dynamics play an important role.d. Inter-personal conflicts may affect group performance.e. Gap in perceptions of the leader and the followers may affect group

performance.

10.9 Rensis Likert's 4-Systems approach

According to Rensis Likert, there are 4 systems in which leaders operate.These four systems can be briefly summarised as follows:

System 1: Exploitative Autocratic Leadership

a. The goal setting is centralisedb. The decision making is also centralisedc. The control on behaviour is too strictd. There is limited downward communicatione. There is fear of punishment for disobediencef. There is lack of mutual trust

System 2: Benevolent Autocratic Leadership

a. Goal setting and decision-making mostly centralisedb. Fair amount of downward communicationc. There is punishment along with occasional rewardsd. The control systems are mostly centralisede. Condescending mutual trust existsf. Better morale and motivation

System 3: Consultative Leadership

a. Goal setting is done in consultation with membersb. Decision-making also by consultation with membersc. Organisational communication is betterd. Job involvement, rewards and punishment are faire. Delegation of authority is with moderate controlf. Good performance and productivity

System 4: Participative Leadership

a. Goal setting and decision making are done by total participation bymembers

b. Organisational communication is fairly wide-spreadc. Participation results in involvement and co-operationd. There is extensive delegation of authoritye. Fair control with positive disciplinef. Performance is excellent

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10.10 The Situational Theories

This is a more practical oriented approach based on the assumption thatsituations vary from time to time and that every situation is different anddemands different treatment by leaders. Therefore, there cannot be a universalprescription for leadership. Some of the major features of this approach areas follows:

a. Leadership is a result of a particular situation.b. A Leader in one situation may not be a leader in another situation.c. Leadership is a function of variables in a situation.

a. Strengths

a. Situational leaders are more effective.b. Scope for training and development of new leaders.

b. Weaknesses

a. Leadership is unstable and continues as long as the situation continues.b. Planning is short term and ignores the long term ef fects on the

organisation.c. Demands re-organisation of resources whenever the situation changes.d. Team-building is temporary and needs change as the situation changes.e. Frequent changes in the situation af fect leadership and group

performance.

10.11 The Contingency Theories (by Fred Fiedler)

This approach is similar to the ‘Situational' approach in the sense that acontingency is an emergency situation which demands special qualities inthe group and its leadership. Some of the major features of this approachare as follows:

a. Leader-member relationship: The degree of acceptance of the leaderby the members of the team.

b. Task-structure relationship: The degree to which job descriptionsare clear to all concerned members.

c. Leader position power: The degree to which the leader has the formalauthority in his position in the organisation.

10.12 The Path-Goal Theory of Leadership (by Martin Evans andRobert House)

a. Leader’s behaviour is acceptable to subordinates so far as it is a sourceof inspiration and satisfaction.

b. Leader clarifies the path to the subordinates to achieve goals.c. Leader’s behaviour has an impact on subordinates' motivation,

performance and job satisfaction.

a. Directive Leadership

The leader gives directions to the subordinates who know exactly what isexpected of him.

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b. Supportive Leadership

The leader is friendly, approachable, supportive, concerned with thesubordinates' needs.

c. Participative Leadership

The leader asks for suggestions from subordinates before the decision-making.

d. Achievement Leadership

The leader sets up challenging goals and shows confidence in his subordinates'ability to achieve goals.

10.13 The Life Cycle Theory (by Paul Hersey and Kenneth Blanchard)

This approach is based on research studies conducted by Hersey andBlanchard on leadership during the latter half of the 20th century. Thistheory believes that the success of leadership depends upon the maturitylevel of the work group.

Some of the major features of this approach are as follows:

a. One of the most popular and widely practised theories,b. Close similarity to the situational or contingency approach,c. Leadership style depends upon the maturity level of the work group,d. Maturity, ability and willingness to take responsibility,e. Task orientation and Relation orientation work together.

Figure 10.1. The Hersey-Blanchard approach to leadership

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10.14 Autocratic LeadershipThis leadership is based on the belief that authority is the basis for successfulleadership. In this case decision-making is centralised in the leader and thesubordinates have to follow instructions. Some of the sub-classifications ofautocratic leadership are as follows:

a. Strict Autocrat: strict discipline, negative motivation, criticism formistakes, penalties for disobedience.

b. Benevolent Autocrat: understanding employees, positive motivation,decision maker, appreciative, etc.

c. Incompetent Autocrat: lack of knowledge, lack of self-confidence,indecisive, afraid of exposure, etc.

Merits

a. It provides for a strong centralised authority.b. It permits quick decision-making.c. It provides for better discipline.d. It provides for better job security for subordinates.e. It provides for better job satisfaction for mediocre subordinates...

Demerits

a. Possible lack of motivation leading to frustration among subordinates.b. May offer more complex problems of conflict management jeopardising

organisational efficiency.c. Excessive dependence upon such leadership can cause loss of individual

identity in an organisation.d. Lack of succession planning and development of the future leadership.e. Generally this kind of leadership is disliked by subordinates because of

an urge for participative decision-making .

10.15 Democratic Leadership

This leadership is based on the assumption that participation during theplanning stage and in decision-making is the key to the success of leadership.It encourages participation and thereby motivates followers.

Merits

a. It encourages participation by members in decision making.b. Decision-making is decentralised and allows sharing of responsibility.c. Appreciation of ideas and suggestions of members ensures motivation.d. It helps better organisational stability by reducing employee turnover.e. It improves overall productivity due to better communication and co

ordination in the group.

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Demerits

a. Participation does not become meaningful in large and complexorganisations, due to a lack of a thorough understanding of problems.by subordinates.

b. Consensus decision-making always takes time which, in turn, delaysthe achievement of results.

c. Sometimes, participation may be used to manipulate subordinates.Therefore, some employees may prefer an open tyranny of an autocrat,rather than covert tyranny of the group.

10.16 Laissez-faire Leadership

This leadership is based on the assumption that the leader is supposed togive only information and guidance to members of the group. Other functionslike: decision making, programmes and procedures, discipline and controland responsibility for the quantity and quality of the output, etc. are takencare of by the subordinates. In other words, the leader has a very minor roleto play.

Merits

a. Group members enjoy the freedom of decision making.b. It allows sharing of responsibility.c. It allows self-motivation and training.d. There is no day to day interference by the leader.e. It helps inter-personal relationships among members.f. It helps team-work.

Demerits

a. Learning takes place by trial and error.b. There is a tendency to avoid responsibility.c. There is lack of accountability.d. There is poor discipline and control.e. There is a lack of guidance and direction by the leader .f. In case of emergencies, decision making is difficult.g. Group performance is more by accident rather by design.

10.17 Functions of leadership

From the above discussion, it would be clear that organisational leadershiphas evolved through the 20th century and has attracted the attention ofsocial scientists and human psychologists as well. All the research andthe resultant theories of leadership have given rise to three basic leadershipstyles as described above. Similarly, in modern business organisations,irrespective of the fact that they belong to the manufacturing sector or tothe service sector, there are three basic functions of leadership summarisedas follows:

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Task needs

a. Defining the task

b. Making a plan

c. Allocating work and resources

d. Controlling quantity and quality

e. Checking performance

Group needs

a. Setting standards

b. Building team spirit

c. Motivating the group

d. Ensuring communication

e. Training the group

f. Maintaining discipline.

Individual needs

a. Attending to personal problems

b. Understanding individuals

c. Utilising individual abilities

d. Appreciating good performance

e. Motivation towards higher contribution

10.18 What is Team-building

Twenty-five years ago, when companies like Volvo, Toyota, General Foods,etc. introduced teams in production shops it made news! It is becausenobody was doing it. Today it is just the opposite. The organisation, whichdoes not use teams, becomes news. Pick up any business periodical todayand you will find how teams have become an essential part of businessorganisations like: General Electric, AT&T, Hewlett and Packard, Motorola,Apple Computers, Shiseido, Federal Express, Chrysler, 3 M, John Deere,Shenandoah Life Insurance Co., Florida Power and Light, Emerson Electric,Texas Instruments, Australian Airlines, Johnson & Johnson, Dayton Hudson,etc. to name a few.

How do we explain the current popularity of teams? Evidence shows thatteams outperform individuals, when the tasks require multiple skills,judgement and varied experience. As organisations restructure themselvesto compete more effectively, they have turned to team building for betterutilisation of the employee's talents. Teams are found to be more flexibleand responsive to changes than individuals and the traditional departmentsof permanent work-groups.

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An organisation, by definition, is a group of people who come together toachieve common goals. Therefore, in modern business organisations, anindividual manager cannot possibly achieve anything all alone by himself/herself. He has to work with the people and get things done for the desiredresults. This calls for not only successful leadership in guidance and motivation,but also an ability for team building of the subordinates.

Success stories of modern business organisations show that work teamsoutperform individuals, especially when the task requires multidisciplinaryknowledge, multiple skills, judgement and varied experience. Team buildingutilises the employees' talents more efficiently and effectively. It is also foundthat work teams are more flexible, responsive and creative than traditionaldepartments or any other forms of permanent work groups in an organisation.According to Pauline Barrett:

A team is NOTa. A collection of individuals who happen to have the same work place.b. A collection of individuals who happen to have the same line manager.c. A collection of individuals who happen to have the same job in the

same department.

Thus, team building may be defined as:

a. a process of bringing together members of a work group, definingindividual as well as group goals, and achieving the desired output.

b. a group whose members have complementary skills and are committedto a common purpose or a set of performance goals for which theyhold themselves responsible.

10.19 The main objectives of team building

A leader may not possess managerial qualities, but a Manager must possessleadership qualities to manage his people and tasks in order to achieve desiredresults. This is possible only if the manager succeeds in team building.Therefore, the main objective of leading a group of people in an organisationis to build effective teams. The other objectives are as follows:

a. To bring people together to work,b. To set goals and priorities more realistically,c. To improve inter-personal relationships,d. To utilise employee's talents collectively,e. To achieve organisational goals more efficiently and effectively.

10.20 The Pre-requisites for developing effective teams

The following are the pre-requisites for developing effective teams:a. Identifying organisational goals clearlyb. Providing necessary resourcesc. Undertaking actual task assignmentsd. Designing rewards/incentives for the resultse. Providing whole-hearted support

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10.21 The process of team building

The following are the steps in the process of team building:a. Identification of the problemb. Collection of datac. Analysis of the datad. Planning actione. Implementation of decisionsf. Evaluation and feedback

10.22 Characteristics of effective teams

The following are the characteristics of effective teams:a. Goals and values are clear to all.b. There is commitment of full contribution to the goals.c. There is a climate of mutual trust and support.d. The organisational communication channels are open.e. There is a willingness to share data/information.f. There is participation in decision-making.g. There is a commitment to implementation of decisions.h. There is a commitment to high performance standards.i. Individual differences are handled tactfully.j. Procedures are consistent with the goals and tasks.

10.23 Values of a team

The following are the values of a team:a. It helps members to understand goals clearly.b. It ensures commitment to goals.c. It improves employee motivation.d. It improves inter-personal communication.e. It increases employee job satisfaction.f. It generates a better sense of belonging.g. It expands job skills.h. It creates organisational flexibility.i. It encourages better creativity and innovation.j. It helps to improve organisational efficiency.

10.24 Building effective teams

a. Set rational and realistic goals.b. Clarify objectives to all concerned.c. Prioritise problems and tasks.d. Ensure provision of all resources.e. Select the right number and the right type of people on the team.f. Create a cordial and co-operative climate for sporting criticism.g. Develop a good leader for the team.h. Encourage commitment to hard work.i. Develop good inter-personal relationships.j. Encourage mutual respect.k. Keep organisational communication channels always open.

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Summing Up

Every organisation needs management and management calls for leadership.The success and fortune of an organisation depends largely on leadership. Agood manager must be a good leader. Employees need to be motivated fromtime to time. There are several theories of leadership developed by managementexperts. The chapter also discusses the objectives, and pre-requisites for team-building.

Self-assessment

a. Fill in the blanks

1. The Dictatorial style of working is a feature of the ___________ stage ofleadership.

2. The Traits Theory was developed by ___________ and ____________.

3. Strong centralised authority is one of the merits of _____________leadership.

b. State whether the following are true or false

1. A team is a collection of individuals who happen to have the samework place.

2. Implementation of decisions is a process of team building.

3. Leader-member relationship is a part of the Contingency Theory.

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Chapter XIStress Management

Learning ObjectivesReading this chapter would enable you to understand:• What is Stress? Its causes, consequences, sources• Stress Management• How to cope with stress ?

Contents11.1 What is Stress?11.2 What are the basic causes of stress?11.3 Sources of Stress

11.3.1 Individual stressors11.3.2 Group stressors11.3.3 Organisational stressors

11.4 Physiological consequences of stress11.5 Psychological consequences of Stress11.6 Stress management11.7 Coping with stress

11.7.1 Individual strategies11.7.2 Organisational strategies

Summing UpSelf-assessment

11.1 What is Stress?

Stress means different things to different people. Doctors talk about stress interms of psychological mechanisms, engineers in terms of load bearing,psychologists in terms of behavioural changes, etc. Stress is not simplyanxiety. It is accompanied by anxiety. Some people exhibit stress, while somepeople keep it ‘bottled up' and do not reveal it. Stress is a natural and aninevitable part of life. Stress can be prevented, and if not prevented, has to bemanaged properly.

The word stress seems to have originated from the French word ‘destresse'which means ‘to be placed under narrowness or oppression'. In its middleenglish form, it was therefore ‘distress' and over the centuries the ‘di' waslost through slurring, leaving us with the two words: ‘stress' and ‘distress'which mean something ambivalent and unpleasant, respectively.

At one end of the scale, stress represents those challenges, which excite usand keep us on our toes. At the other end of the scale, stress representsthose conditions under which individuals have demands made upon them,which they cannot fulfil and which lead to a breakdown. Thus, at one end,stress is a life-saver, while at the other end it is a life-destroyer.

Thus, Stress may be defined as:a. ‘an individual's reaction to a disturbing factor in the environment’

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b. ‘an adaptive response to an external situation that results intophysiological, psychological and behavioural deviations'

Stress can manifest itself in both a positive and a negative way. Stress is saidto be positive when the situation offers an opportunity to gain something.Eustress is positive stress, which is often a motivator since it helps theindividual to achieve peak performance. Distress is negative stress when it isassociated with a host of physiological, psychological and other behaviouralproblems.

Stress can be manifested in different ways: sleeplessness, head-aches, back-aches, loss of appetite, high blood pressure, lack of concentration, loss ofmemory, indecisiveness, anxiety, tension, apprehensions, loss of interest, lackof energy, loss of self-confidence, etc. Thus, people who are chronically over-stressed, are no fun to work with. They may become irritable, miserable andself-absorbed.

On the contrary, there are people who seem to have the ability to adjust, copewith and to stay in control of their workload and also to handle job frustrationswithout becoming worn-out, irritable or depressed. These people have anability to handle stress, having ways of taking the rough with the smooth,keeping a sense of humour, and renewing their energy and resources so thatwork life brings pleasure, satisfaction and reward to them as well as to others.

11.2 What are the basic causes of stress?

Stress is always associated with ‘demands' and ‘constraints'. When they arecoupled with uncertainty of the outcome, potential stress becomes an actualstress. For many professions, stress is intrinsic to the job itself, wherecompeting demands and pressures cannot be escaped.

Demands can be called strong expectations and expectations can be calledmild demands.

a. External demands / Expectations

a. What are the demands?b. Are they real or virtual?c. What are the sources of the demands?d. Can we control them?e. If yes, how' and to what extent?f. What are the strengths and weaknesses in the demands?g. What are the opportunities and threats in the demands?h. What would happen if the demands are not met?

b. Personal capacities

a. How do we react to the demands?b. Is it necessary to modify our reactions to the demands?c. Can we differentiate between the real and virtual demands?d. Can our reactions/responses benefit us in the long run?

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When the demand is way below the capacity, we may feel under-stimulated.When the demand is way above the capacity, we may feel over-stretched.Managing stress is to balance between external demands and your personalcapacity to cope with them.

At times, the sheer volume of work can be overwhelming. Many times toomuch of stress can have serious consequences for the individual. It can developinto a living nightmare of running faster and faster to stay at the same place,feeling under-valued feeling unable to say ‘No' to any demand and not workingproductively.

11.3 Sources of stress

There are many sources of individual stress. Some of them are ‘on-the-job'while some others are ‘off-the-job'. The sources of personal stress may varyfrom person to person and time to time. But, organisational stress comesfrom some common sources. In order to be successful in managing day-to-day stress, it is necessary to understand the major sources of stress, whichcan be broadly classified as follows:

a. Individual stressorsb. Group stressorsc. Organisational stressors

11.3.1 Individual stressors

a. Role conflicts: lack of role clarity, intra-personal/inter-personal roleconflicts, ethical dilemmas, role overloading, poor self-image, etc.

b. Lack of authority: inability to take decisions, feeling of powerlessness,lack of delegation, inflexible superiors, etc.

c. Poor leadership: lack of self-confidence, vision, decision-making,training, team building

d. Perfectionism: unrealistically high expectations, unrealistic goals/targets, insistence on working with zero defects, etc.

11.3.2 Group stressors

a. Poor interpersonal relationships : very strong/unsympathetic/dominating boss, non-cooperative peers/colleagues, hostilesubordinates, lack of appreciation, too much interference, etc.

b. Group dynamics: lack of group cohesiveness, sense of belonging, socialsupport; inter-group conflicts, informal groups/grapevine, rumours, etc.

11.3.3 Organisational stressors

a. Intra-organisational factors: improper organisational structure, lackof communication facilities, lack of adequate working capital, lack ofinfrastructural facilities, etc.

b. Unrealistic task demands: Job design, job analysis, job evaluation,shortage of essential staff, lack of proper training, excessive demandsv/s limited personal capacity, etc.

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c. Unsatisfactory working conditions: inordinately long working hours,interference with natural circadian rhythm, frequent emergencies,unpredictable changes, excessive noise/heat, lack of natural sunlight,illumination, ventilation, etc.

d. Unnecessary/outdated procedures: too much and unnecessarypaper work, too many records and returns, too many meetings, toorigid rules and regulations, too much bureaucracy, etc.

e. Uncertainty and insecurity : lack of job security, frequent changes inpolicy, lack of planning, etc.

f. Unclear job descriptions: lack of proper job analysis, clarity of goals,priorities, etc.

g. Poor career prospects: organisational status of the job, social statusof the job, lack of proper job evaluation, poor promotional value of thejob, etc.

h. Lack of organisational communication: lack of proper systems,adequate data, proper control; grapevine/rumours

i. Unscientific performance appraisal system: lack of scientificsystems, training, rationality, review and revision, etc.

11.4 Physiological consequences of stress

The body's reactions to stress-demands are useful. They gear up the bodyto respond to challenges, either by standing firmly on the ground andhitting back hard or by prompt and strategic withdrawal. This is calledthe ‘Fight' or ‘Flight' response, which happens automatically. The humanbody has evolved over thousands of years to meet external threats andchallenges. Some of the common physiological consequences of stressmay be briefly summarised as follows:

a) Short-term effects

a. Speeding up of reflexesb. Improved performancec. Increased muscle functiond. Lower load for the digestion systeme. Stomach troublesf. Cooling of musclesg. Increased breathing rateh. Reduced sensitivity to minor injuriesi. Reduction in allergic reactionsj. Reduced sexual desire/activity

b) Long-term effects

a. Loss of weightb. High/Low Blood pressurec. Delayed blood clottingd. Cardiovascular disorderse. Arteriosclerosisf. Exhaustion

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g. Heart attackh. Diabetesi. Damage to the kidneysj. Lower resistance of the immune systemk. Depression in sensory perceptions/responsesl. Impotency/Sterility

11.5 Psychological consequences of stress

It is observed that the physiological effects of stress have a co-relation withthe psychological effects and vice-versa. Some of the common psychologicalconsequences of stress may be briefly summarised as follows:

a) Cognitive effectsa. Decrease in concentration resulting in diminishing powers of

observation,b. Increase in distractibility resulting in loss of the thread of the thinking

process,c. Deterioration of memory in the short, as well as long term reducing

the span of the memory for recalling and recognition of even familiarthings,

d. Reduction in the response speed,e. Increase in error rate resulting in snap and hurried decisions and errors

in manipulative and cognitive tasks,f. Deterioration in planning and organising, disabling the mind to assess

accurately existing and future conditions,g. Increase in delusions and thought disorders resulting into reduced,

powers of objectivity, reality testing and a confused thought process.

b) Emotional effects

a. Increase in tension, reducing the ability to relax by switching off worriesand anxiety,

b. Increase in Hypochondria: imaginary complaints and lack of feeling ofwell-being and good health,

c. Changes in personality traits: indifferent attitude, untidy and slipshod,over-anxiety, over-sensitivity, hostility, defensiveness, etc.

d. Moral and emotional behaviour: sexual behaviour, emotional outbursts,lower spirits, a sense of powerlessness, etc.

e. Fall in self-esteem: a feeling of incompetence, worthlessness, lack ofstatus in groups or the society at large, etc.

c) Behavioural effects

a. Increase in problems of speech: stuttering, stammering, hesitancy, etc.b. Diminishing interest and enthusiasm: abandoning short-term goals and

life objectives, dropping of hobbies, disposing of cherished possessions,drop in energy levels, etc.

c. Increase in absenteeism: real or imaginary illnesses, false excuses, etc.d. Increase in drug abuse: alcohol, caffeine, nicotine, etc.e. Disturbance in sleep patterns: either lack of sleep or disturbed sleep.

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f. Cynicism: an increasing tendency to be over-critical and sarcastic aboutsuperiors, colleagues, clients, customers, events, etc.

g. Ignorance of new developments: new people, new systems, newmethods, new products, new technology are ignored.

h. Superficial problem-solving: temporary and stop-gap solutions areoffered, lack of detailed thinking, lack of follow-up, a ‘giving-up' tendency.

i. Lack of self -confidence: decrease in confidence level, avoidingresponsibilities or passing the buck, etc.

j. Unexpected and bizarre behavioural patterns: odd mannerisms,unpredictable and uncharacteristic behaviour, use of meaninglessphrases, threats of suicide.

Physiological and psychological effects of stress go hand-in-hand and arecomplementary. They vary from organisation to organisation, situation tosituation, time to time and person to person. It is found that some peoplecollapse at the first signs of stress, while others have a great strength to copewith a very high level of stress and do not show any symptoms. We can learnfrom such people, the secrets of their success in coping with stress andavoiding a breakdown in their personalities.

11.6 Stress management

It is not possible to eliminate stress completely from our day-to-day workinglife. But, it is, possible (and also necessary) that we learn to manage stressand its effects on our body and mind. In this process, we have to cope withstress and to keep the physiological and psychological effects at minimumlevels to avoid their ill effects on our performance. This process is calledStress Management, which consists of mainly 3 stages:

a. Mobilisation

Mobilisation is a simple decision to do something. There is always a betterway of doing things. Studies show that more than 60% of the people who findtheir jobs stressful have no stress management programme of any kind,because they fail to recognise this fact of life. We must understand this basicrule to cope, with stress and mobilise ourselves with changed ways of lookingat life.

b. Knowledge

Knowledge of the problem and the sources of stress is the key to stressmanagement. It is said that ‘a problem well-defined is half-solved'. We mustask ourselves: What is the real problem? What are the stressors? What isthe main source of stress? Are those unmanageable? What must be doneabout them? What is preventing me from doing something about theexcessive stress?

c. Action

This is the final stage in stress management. If things which are preventingus from doing them, are within our control, we have to decide whether the

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action should be immediate or in future. If things are beyond our control, wemay have to ignore or adapt to the stressors. Of course, our action dependsupon the intensity and the source of the stressors.

11.7 Coping with stress

Stress can be managed mainly by the following strategies:

11.7.1 Individual strategies

a. Time management

Most of us are poor in time management with the resultant feeling of workoverload, skipping schedules and the attendant tension. The truth is that, ifwe can manage our time efficiently and effectively, we can accomplish twiceas much as we can otherwise. Some of the basic principles of time managementare:a. Preparing a list of the daily activities to be attended to,b. Prioritising the activities as per their importance and urgency,c. Re-scheduling activities as per priorities,d. Following up the schedule of activities for early completion,e. Checking up activities and taking corrective actions (if necessary).

It is observed that effective time management results in: better physical health,better mental health, relaxed feeling in action, higher motivation andenthusiasm, higher efficiency, better job satisfaction, etc.

b. Physical exercise

It is rightly said that ‘there is a sound mind in a sound body '. Physical exerciseat any age is a must. It helps people to cope with stress. It is for this reasonthat people of all ages are seen taking a morning walk, jogging, swimming,playing outdoor games like badminton, tennis, etc.

c. Relaxation

There are many ways of relaxation at the end of a hectic day of work andstress. We can relax through meditation, hypnosis, biofeedback, yoga, etc.Whatever the method, the main objective is that one must be deeply relaxed,where the person feels totally relaxed from body sensations. At least 15 to 20minutes a day of deep relaxation releases tension and provides a pronounceda sense of peace of mind. This practice causes significant changes in bloodpressure, heart rate, sleep, concentration, memory, etc.

d. Social support

Man is a social animal. After the basic needs and security needs are satisfied,an individual needs social support with a sense of belonging. It is observedthat social support plays an important role in relieving stress of the individual,because the person gets friends, colleagues, listeners, and confidence builderswho help in networking and thus relieving harmful stress. This also helps tocontrol the ill effects of stress, by virtue of giving vent to one's feelings,

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emotions, fears and frustrations to others, who can understand and possiblytry help him/her out.

e. Yoga

Yoga is said to be the most effective way to relieve stress. Yoga has been usedin many countries for centuries. There are many different aspects of Yoga,which are said to be very useful to manage work-stress. However, it isadvisable that Yoga and Meditation should be followed under expert guidancefor the maximum benefits for reduction stress.

11.7.2 Organisational Strategies

a. Organisational Structure

Organisational structure should be properly designed in order to haveappropriate authority-responsibility relationships among employees. Ithelps to have smooth organisational communication for faster decisionmaking. Too many levels of hierarchy and too much bureaucracy in day-to-day working can cause avoidable stress for all employees at all levels.The organisational structure should be simple to understand and easy tofollow.

b. Organisational Communication

This consists of various factors like: oral and written communication;downward, upward and lateral communication; interpersonal and inter-groupcommunication; grapevine; communication, networking; etc. All these factorscontribute to the efficiency and effectiveness of the organisation, which inturn af fect the employees in their work related stress. Organisationalcommunication with downward and upward channels, when equally open forall employees, help to reduce work stress.

c. Job related activities

Job re-design, job analysis, job descriptions, job specifications, jobevaluation, job enlargement, job enrichment, job rotation, work-study, etc.are some of the modern tools and techniques for attracting and retaininggood employees in an organisation, with a least stressful environment forall.

d. Recruitment/Selection/Placement

Certain jobs are more stressful than others in an organisation. Individualsdiffer in their response to stress situations. Individuals with comparativelyless experience with an external locus of control tend to be more stressprone. On the contrary, people with more experience with an internal locusof control may adapt better to high stress jobs with a better performance.These factors should be borne in mind while recruiting people. It is necessaryto give some kind of induction training to new employees in order to orientthem to the new organisational culture, so that they can be better preparedto take up stressful jobs.

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e. Training and Development

Appropriate training and development programmes should be organised foremployees at all levels from time to time, so that they are updated in theirknowledge, skills and attitudes towards their jobs and the organisation. Thishelps both the management and the employees to reduce the gap betweenjob requirements on the one hand and capabilities of the employees on theother. This automatically reduces the possibilities of stressful situations,which can be caused by apprehensions about changes if any.

f. Performance Appraisal

There should be a systematic, scientific and periodic performance appraisalsystem in force for all employees. By this process, both the management andthe employees know as to how well they are doing and how well they shoulddo. Extraordinary performers should be rewarded extraordinarily. Averageperformers should be given counselling and necessary training inputs forimprovement. Mediocre/below average performers should be given a clearidea for their need for improvement within a stipulated time limit. This helpsto reduce the number of stressed employees and others may be relieved tosome extent, at least from unnecessary and avoidable stress.

g. Employee Counselling

Employee counselling can be classified in two parts: on-the-job counsellingand off-the-job counselling. Both these are skilled and sensitive jobs and needqualified and competent staff to do the job of counselling successfully.

The objectives of employee counselling can be three-fold:

a. to improve overall organisational efficiencyb. to reduce employee stress, andc. to improve employee efficiency

Employee counselling, if properly done, can yield very good results not onlyin terms of reducing employee stress, but also in terms of improvement inoverall organisational productivity.

Summing Up

In a highly complex and demanding world today, most people are highlystressed. The causes of stress are physical and often psychological. Stresscan manifest in many ways. For some it causes sleeplessness, in othersheadache, loss of appetite, high blood pressure, loss of memory, etc. It alsoleads to irritability and low self-esteem.

It is very important to know how one can cope with stress. There are individualand organisational strategies. A careful study of these strategies can sufficientlyarm you to manage stress in your personal and professional life.

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Self-assessment

a. Fill in the blanks

1. ___________________ is positive stress.

2. Stress is always associated with ______________ and _______________.

3. Yoga is said to be the most effective way to relieve ______________.

4. Stress can manifest itself in a _______________ and a ___________ way.

5. Sources of _________ stress may vary from individual to individual andtime to time.

b. State whether the following are true or false

1. Stress can be prevented, and if not prevented, has to be managed properly.

2. Increase in absenteeism, real or imaginary illness, false excuses arepsychological consequences of stress.

3. To manage stress it is not necessary to understand the problems.

4. Employee counselling should be given priority in every organisation.

5. Performance appraisal of an employee should be done once every twoyears.

Stress Management

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Annexure ICase Study I

It's Thursday afternoon, and you are at a staff meeting held to discuss thedevelopment of a new product. It will require a major investment in terms ofequipment and production facilities, so the conversation is quite intense. Asusual, Mr. Joshi and Mr. Kulkarni, two officers in the product developmentdivision have totally opposite views on the issue.

“I don't know”, says Joshi, “it's a big chunk of money, and market research onproduct acceptance is pretty high.”

“Oh, come on Joshi”, replies Kulkarni with an obvious note of irritation inhis voice. “We'll never get anything if we simply wait. You have to take chancessometimes, you know.”

The discussion continues, with Joshi urging caution and Kulkarni pushingfor boldness. You have withnessed this same scene over again, to the pointwhere you can now predict the exact lines Joshi and Kulkarni will utter. Asyou sit listening to their statements, you begin to ponder the basic differencebetween them. Why is Joshi so conservative and cautious, while Kulkarni sobold and daring? What makes them see the world through such differenteyes? You continue thinking about questions as the meeting drags on and on,and on…..

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Annexure IICase Study 2

“Oh no”, you think as you look up from your desk. “It's Ajay Godbole. Herecomes trouble”. Unaware of your thoughts, Ajay greets you with a big smile.“Hello Vijay”, he says cheerfully, “how is my favourite engineer today?”

For a couple of minutes, you and Ajay exchange small talk and then, finally,he comes to the point. “Look Vijay, I need your help. We are way behind onthat Satara project. How about sending Deshpande, Gandhi and Dalvi to joinour group for a couple of weeks?'’

You are shocked; what a request; “Oh no, Ajay,’’ you reply. “I can't possiblyspare them now. You know this is the peak of our busy season!”

“Well,” he says, “If you can't spare all three, how about Gandhi for just acouple of days?”

You experience great relief. This is more like it. “O.K.” you mumble withoutmuch enthusiasm. “I guess we can spare him. But just for a couple of days”.

At these words, Ajay smiles, says “thanks”, and beats a hasty retreat. Afterhe leaves, you sit quietly for a moment. Then all at once, it hits you : he hasdone it again ! When will you ever learn ? Ajay sets you up beautifully withhim “ask for a lot, settle for a little” tactics. (Just how many ways does heknow of getting what he wants). You certainly haven't seen the limit yet !

Annexure

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Annexure IIICase Study 3

Today marks the end of your first month in a new job. Just six weeks ago, youaccepted a position with a large public sector company, one that is well knownin the Mumbai-Pune industrial area- and as you ease into your company buson the national highway and head for home, you find yourself thinking aboutyour new position. In some ways, it has turned out just as you expected. Yoursalary is high, and the company's brand new headquarters are very pleasant.But looking back over your first month, you realise that there have been somereal surprises, too. A major one occurred during your first staff meeting.Several issues were discussed and, at one point, you described a decision youhad reached on handling a special problem. To your surprise, the meetingground to a halt and everyone stared at you in disbelief. Finally, after anuncomfortable pause, the Divisional Manager set you straight, “listen, Joshi,we don't do things that way around here. First we discuss the matter in thestaff meeting and prepare a proposal which is agreed collectively, then weforward such a proposal for approval to the Deputy General Manager. Afterhis approval it is sent to the General Manager and the G.M. further sends itto the Executive Director. When the E.D. accepts the proposal, it is submittedto the Chairman and Managing Director.Decisions are taken only in thismanner. This is called sending your proposal through the proper channels.’’In other companies where you have worked, you had sufficient freedom andauthority to take decisions and implement these as early as you wished. Inthis new company, you have to explain the situation in detail and the reasonsfor your decision. You have to submit the same before a committee and if it isaccepted by the members of the committee, it is processed further to takethe approval of highest authority. This is a new pattern for you and will certainlyrequire some adjustment. In short, you have discovered that working for aPublic Sector Company really is different. But are you going to like it over along haul? Can you adjust to this different work culture. You are still ponderingover such questions as you turn into the driveway of your home.

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Annexure IVCase Study 4

Remcon Limited, an Electronic company having its multi-locational branchesand headquarters at Delhi, has a Western India Divisional office at Mumbaiand a branch at Pune.

On Tuesday morning Mr. Pai, the Divisional Manager, told Ashish, “find outhow many people work in our Pune branch. I know the President would wantto know this during our meeting on Friday, and I want to be prepared”.

Ashish promptly passed on the message to Rahul, the Secretary. Immediately,Rahul called the Pune branch and told Shweta the Secretary there, “ourpresident has asked for a complete list of all the people who work in our inPune branch. We need it all within two days.’’

Shweta on the other hand informed Mr. Rajesh, the branch manager, Punebranch that the President wants personnel records of all the branch employeesto be sent to the Divisional office at the earliest.

Within half an hour, a team of seven members started working on the assignedtask. The team worked overtime and the very next day that is Wednesdayafternoon, the data arrived at the Divisional office in two large boxes sent byspecial courier.

Mr. Pai was astonished to see the arrival of this consignment; he only wantedAshish to let him know the total number of employees in Pune, which isaround three hundred fifty six. The original query was turned into a hugeproject involving many people.

1. Read the case and discuss the implications.2. Is it a case of distortion in communication ?3. Give a suitable name to the case.

Annexure

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Annexure VCase Study 5

In Pune, a maintenance employee, Mr. Gaikwad of the Horizon ConstructionCompany had applied for three months leave of absence for personal reasons.The request was granted, as it was in accordance with the Company as wellas Union policy.

A few weeks later the HR Manager, Mr. Salunke heard through grapevinethat Mr. Gaikwad has actually taken leave to work for another constructionproject at Satara. The grapevine report also stated that Gaikwad was earningsome extra money on this electrical project, which was higher than his presentregular earning.

His act of taking leave for personal reasons and working for anotherorganisation for any hidden purpose was contrary to the contract ofemployment with the Horizon Construction Company, and the penalty forsuch an act could lead to his dismissal.

Mr. Salunke investigated the case in person and ensuring that the grapevineinformation was correct, he dictated a “Notice of hearing concerning dismissalaction” to his secretary, and this was to be mailed to Mr. Gaikwad byRegistered Post to his local residence.

The same night, Mr. Gaikwad called Mr. Salunke up at his residence and toldhim that he had heard of the notice of dismissal being sent to him, he wasnot aware of the legal implications, and he actually did the additional job toget some extra money which he needed. If under the contract of employment,this was not acceptable, he would be willing to join back immediately anddidn't want to lose his permanent job.

Mr. Salunke on the other hand pressed Mr. Gaikwad to tell him how he knewabout his dismissal notice. Mr. Gaikwad said that his wife had called himthat evening and told him that at the local supermarket, the mother of theirfriend's son had told her about this dismissal order.

1. Can you trace any evidence in this case that both the management andemployees make use of the grapevine for their own benefit? Discuss.

2. If you were in Mr. Salunke’s place, would you be able to suppress suchgrapevine leaks.

3. What action should Salunke take in this case ? Discuss.

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Annexure VICase Study 6

After successful completion of management education, Nikhil has been selectedby a company and made in-charge of a department where Rahul, Anil, Rakeshand Rajni report to him.

The key of the success of his department is dependent upon the motivation ofhis subordinates and Nikhil needs to ensure that his subordinates are highlymotivated. He, on his part has decided to proceed systematically and as afirst step, he has prepared a brief summary profile on each of these foursubordinates.

Rahul is the type of employee who is rather hard to figure out. He has ahigher than average record of absenteeism. He enjoys family life enormouslyand his wife and their only son are central to his life. He is of the opinion thatwhat the company can offer him does not inspire him at all. He sincerelybelieves that the job is simply a means of financing his family's basic needsand nothing more than that. Overall, Rahul does an adequate job and is veryconscientious, but all attempts to get him to do more have failed. He haspersonal charm and his nature is friendly and sociable. He is so far allowed tohave his own way as long as he meets the minimal standard of performance.Anil is in many respects the opposite of Rahul, He has good interpersonalrelationships and is liked by others. Unlike Rahul he responds well to thecompany's rules etc. He maintains a high degree of loyalty to his organisation.His greatest drawback is that he lacks initiative. He does not tend to doanything independently. He does well whatever has been assigned to him, butis neither creative nor dependable on his own. He is unable to maintain goodinterpersonal relationships, as he is shy and not very assertive when dealingwith people outside the department. He constantly needs the assurance andsupport of his seniors to confirm that his actions are correct.

Rakesh is very assertive and known for his ‘‘job-hopping tendencies.” Moneymotivates him and he is always ready to change his job for a rise in his income.Otherwise he really works hard for the company and expects that the companyshould fulfil his desire for money. In his present job he will happily work foreven sixty hours a week if he is compensated well with money. Despite havingthe burden of his own family and ailing parents, he once left his job suddenlyonly due to a dispute that he was not given a salary rise as per his desire.Rakesh has a forceful and driving personality. His former employer remarkedthat while he performed excellently in his job, he was arrogant, adamant andargumentative and so was happy to get rid of him. The previous boss also feltthat Rakesh never seemed to be satisfied and was always interested more infringe benefits.

Annexure

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Rajani is creative, artistic and a genius. On the other hand she is excessivelyemotional. She consistently and constantly craves attention and demands praisefrom others. She is highly self-centred and strives for instant gratification ofher needs and desires. She talks only about herself. She bears an exaggeratedsense of self-importance and tends to live in a dream world. As long as otherspraise her, she disposes with innovative and creative ideas. She likes to graball the credits for every success and in case of any failure she tries to push theresponsibility on to other colleagues. It is difficult for other people to getalong with Rajani especially when she is not made the focus of their attention.Rajani lacks a sense of humour and has sharp up-swings and down-swings toher moods. Her moody temperament heavily af fects her day-to-dayperformance.1. In accordance with the above profiles of the four employees, how should

Nikhil proceed further in his task and keep his subordinates highlymotivated.

2. Explain all the four employees’ motivation in terms of various modelsof motivation.

3. What long-term plans can you suggest to Nikhil for motivating all thesefour subordinates?

4. Suggest a suitable name to the case.

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Study Questions

Chapter IOrganisational Behaviour

1. Define Organisational behaviour and explain it's fundamental concepts.2. What are the major factors that influence an organisation?3. What do you understand by an organisation?4. What are the different classifications of an organisation?5. Why is the study of organisational behaviour important to all managers?

Chapter IIApproaches and Models of Organisational Behaviour

1. Describe various approaches to organisational behaviour.2. What are the different models of organisational behaviour?3. Diagrammatically explain the SOBC model of organisational behaviour.4. Distinctly dif ferentiate between various models of organisational

behaviour.5. Describe the interrelationship between ‘Personal Life' and ‘Work Life'.

Chapter IIIOrganisational Design and Culture

1. Define organisational design and explain its dimensions.2. Explain the different factors that affect organisational redesigning.3. What do you understand by organisational structure? Explain the

different types of organisational structures.4. What is organisational culture? Explain its characteristics.5. Explain the factors that affect organisational culture. How can changes

be implemented in the organisational culture?

Chapter IVPerception and Values

1. Define perception and explain its process.2. What are the factors that affect perception?3. What do you understand by the perceptual skill? Explain.4. Define values and explain their sources.5. Explain classification of values.

Chapter VAttitude

1. Define attitude and explain its characteristics.2. Explain various components of attitude.

Study Questions

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3. What are the various theories of attitude?4. Explain various factors that affect attitude.5. Explain the significance of attitude in organisational behaviour.

Chapter VIPersonality

1. Define personality and explain its determinants.2. What are the various types of personality? Explain.3. What do you understand by ‘locus of control’? Explain its attributes.4. What are the various need patterns?5. What do you understand by the personality test? Describe at least two

tests.

Chapter VIIMorale and Motivation

1. What are the various indicators of morale in an organisation?2. What suggestions do you have to improve morale?3. What is motivation? Describe its mechanism.4. Explain with a diagram, Maslow's Hierarchy of needs.5. What do you understand by the two-factor theory? Explain with

comparison to Maslow's theory.

Chapter VIIIGroup Dynamics

1. What do you understand by Interpersonal Relationships? Explain.2. What are the various approaches to interpersonal relationships?3. Explain factors that influence interpersonal relationships.4. What are the various stages of group development?5. Explain different factors of group dynamics.

Chapter IXConflict Management1. Define conflict and explain its sources.2. What are the various types of conflict?3. Explain various methods of managing conflict.4. Describe the Johari Window and explain how it resolves interpersonal

behaviour.5. What are the various factors that are involved in a conflict? Explain.

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Chapter XLeadership

1. Define Leadership and explain its importance in a business organisation.2. State various theories of leadership and explain any two of them.3. Describe the Heresy Blanchard model of leadership with the help of a

diagram.4. Explain the various functions of leadership.5. What is team building and what are its objectives?

Chapter XIStress Management1. What is stress? Explain various sources of stress.2. Explain the physiological effects of stress.3. Describe the psychological effects of stress.4. What are the individual strategies in managing stress?

Study Questions

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Answers to Self-assessment

Chapter IOrganisational Behavioura.1. people2. thought process3. interdependent4. human resources

b.1. false2. true3. true4. true5. true6. true7. false

Chapter IIApproaches and Models of Organisational Behavioura.1. resources, commodities2. authority3. caused4. leadershipb.1. true2. true3. false4. True

Chapter IIIOrganisational Design and Culturea.1. top, bottom2. organisation chartb.1. true2. true3. False

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Chapter IVPerception and valuesa.1. perception2. personality3. continuous4. Intensity5. Instrumentalb.1. false2. true3. false4. true5. false

Chapter VAttitudea.1. feel2. balance theory3. attitude4. Affectiveb.1. true2. false3. true4. true5. false

Chapter VIPersonalitya.1. A custom2. type A3. Self-monitoring4. Extremityb.1. true2. false3. true4. false

Answers to Self-assessment

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Chapter VIIa.1. morale2. group3. Goals4. five5. content-orientedb.1. true2. false3. true4. false5. true

Chapter VIIIMorale and Motivationa.1. democratic2. motivation3. needs4. time5. LiberalB.1. true2. false3. true4. true5. false

Chapter IXConflict Managementa.1. objective2. natural, inevitable3. inter-personal behaviourb.1. true2. false3. True

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Chapter XLeadershipa.1. coercive2. Ordway Tead, Chester Bernard3. autocraticb.1. false2. true3. true

Chapter XIStress Managementa.1. Eustress2. demands, constraints3. stress4. positive, negative5. personalb.1. true2. true3. false4. true5. false

Answers to Self-assessment

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Further Reading

1. Organisational Behaviour - Keith Davis

2. Organisational Behaviour - Fred Luthans

3. Organisational Behaviour - Stephen Robbins

4. Organisational Behaviour - K. Ashwathapa

5. Organisational Behaviour - Hellriegel and Slocum