MANAGEMENT

AND ORGANISATIONAL

BEHAVIOUR

LAURIE J. MULLINS

SEVENTH EDITION

Additional student support at

www.booksites.net/mullins

MANAGEMENT ANDORGANISATIONAL BEHAVIOUR

Visit the Management and Organisational Behaviour, Seventh

Edition Companion Website at

www.booksites.net/mullins to find valuable student learning

material including:

■ Multiple choice and short answer questions to help test your learning

■ Technology Solutions – short web articles which explore further the

managerial implications of technology

■ Weblinks to relevant sites on the web

■ An online glossary to explain key terms

About the author

Laurie J. Mullins was formerly principal lecturer at The Business School, University

of Portsmouth. Before taking early retirement, Laurie specialised in managerial

and organisational behaviour, and managing people at work, and was subject

leader for the behavioural and human resource management group.

Laurie had previous experience of business, local government and university

administration and human resource management. For a numbr of years he was

also a member of, and an instructor in, the Territorial Army.

He has undertaken a range of consultancy work; served as a visiting selector

for UNAIS and VSO; acted as advisor and tutor for a number of professional and

educational bodies including UNISON Education; and served as an external

examiner for university degree and postgraduate courses, and for professional

organisations.

Laurie has undertaken a year’s academic exchange in the Management

Department, University of Wisconsin, USA, and a visiting fellowship at the School

of Management, Royal Melbourne Institute of Technology (RMIT) University,

Australia, and given invited lectures in The Netherlands and South Africa. Laurie

is also author of Hospitality Mangement and Organisational Behaviour.

About the contributors

Linda Hicks is a Chartered Occupational Psychologist who specialises in

management development and coaching within her consultancy ‘Zest for Change’.

David Preece is Professor of Technology Management and Organisation Studies in

The Business School, University of Teesside.

MANAGEMENT ANDORGANISATIONALBEHAVIOUR

Laurie J. Mullins

Formerly, Principal Lecturer

The Business School

University of Portsmouth

Seventh Edition

Pearson Education Limited

Edinburgh Gate

Harlow

Essex CM20 2JE

England

and Associated Companies throughout the world

Visit us on the World Wide Web at:

www.pearsoned.co.uk

First published in 1985 in Great Britain under the Pitman imprint

Fifth edition published in 1999 by Financial Times Pitman Publishing imprint

Sixth edition 2002

Seventh edition 2005

© Laurie J Mullins 1985, 1989, 1993, 1996, 1999, 2002, 2005

© Chapter 9 Linda Hicks 1993, 1996, 1999, 2002, 2005

© Chapter 10 Linda Hicks 1999, 2002, 2005

© Chapter 17 David Preece 1999, 2002, 2005

The right of Laurie J Mullins to be identified as author of this work has been asserted

by him in accordance with the Copyright, Designs and Patents Act 1988.

All rights reserved. No part of this publication may be reproduced, stored in a retrieval

system, or transmitted in any form or by any means, electronic, mechanical,

photocopying, recording, or otherwise, without either the prior written permission of the

publisher, or a licence permitting restricted copying in the United Kingdom issued by the

Copyright Licensing Agency Ltd, 90 Tottenham Court Road, London W1T 4LP.

All trademarks used herein are the property of their respective owners. The use of any

trademark in this text does not vest in the author or publisher any trademark ownership

rights in such trademarks, nor does the use of such trademarks imply any affiliation with

or endorsement of this book by such owners.

ISBN 0 273 68876 6

British Library Cataloguing-in-Publication Data

A catalogue record for this book is available from the British Library.

Library of Congress Cataloging-in-Publication Data

Mullins, Laurie J.

Management and organisational behaviour / Laurie J. Mullins.--7th ed.

p. cm

Includes bibliographical references and index.

ISBN 0–273–68876-6 (pbk.)

1. Organizational behavior. I. Title

HD58.7.M85 2004

658--dc22

2004046919

10 9 8 7 6 5 4 3 2

09 08 07 06 05

Typeset by 30 in Stone Serif

Printed and bound by Mateu-Cromo, Artes Graficas, Spain

The publisher’s policy is to use paper manufactured from sustainable forests.

To Pamela

And for Kerrie and Tracey,

and Paul

Part 1 MANAGEMENT AND ORGANISATIONAL BEHAVIOUR 1

1 Introduction 3

2 The Nature of Organisational Behaviour 25

3 Approaches to Organisation and Management 65

Part 2 THE ORGANISATIONAL SETTING 111

4 The Nature of Organisations 113

5 Organisational Goals, Strategy and Responsibilities 144

Part 3 THE ROLE OF THE MANAGER 187

6 The Nature of Management 189

7 Managerial Behaviour and Effectiveness 236

8 The Nature of Leadership 280

Part 4 THE INDIVIDUAL 333

9 Individual Differences 335

10 The Nature of Learning 389

11 The Process of Perception 434

12 Work Motivation and Rewards 470

Part 5 GROUPS AND TEAMWORK 515

13 The Nature of Work Groups and Teams 517

14 Working in Groups and Teams 554

Part 6 ORGANISATIONAL STRUCTURES 593

15 Organisation Structure and Design 595

16 Patterns of Structure and Work Organisation 633

17 Technology and Organisations 662

Part 7 MANAGEMENT OF HUMAN RESOURCES 697

18 Job Satisfaction and Work Performance 699

19 Human Resource Management 746

20 Resourcing the Organisation 795

Part 8 IMPROVING ORGANISATIONAL PERFORMANCE 829

21 Organisational Control and Power 831

22 Organisation Development (Culture, Conflict and Change) 887

23 Management Development and Organisational Effectiveness 941

CONTENTS IN BRIEF

‘OH, GREAT SPIRIT,

GRANT THAT I MAY NOT

CRITICISE MY NEIGHBOURS

UNTIL I HAVE WALKED A MILE

IN THEIR MOCCASINS.’

Traditional Native-American saying

Exhibits, Management in Action, Case Studies and

Business Press xiv

In acknowledgement and appreciation xvii

Publisher’s acknowledgements xviii

Guided tour of the book xx

Guided tour of the Companion Website xxii

Part 1

MANAGEMENT AND ORGANISATIONALBEHAVIOUR

1 Introduction 3

About this book 4

The aims of this book 4

The seventh edition 6

Your study of the book 16

The changing nature of work organisation 17

The study of management and organisational

behaviour 19

The use of case studies 20

2 The Nature of OrganisationalBehaviour 25

The meaning of organisational behaviour 26

Influences on behaviour in organisations 27

Behavioural science – a multidisciplinary approach 29

The importance of people and organisational

behaviour 30

Organisational metaphors 32

Orientations to work and the work ethic 33

Management as an integrating activity 34

The psychological contract 37

Changing nature of the psychological contract 39

Organisational practices 40

The Peter Principle 40

Parkinson’s Law 41

The need for a cross-cultural approach 42

Is organisational behaviour culture-bound? 43

Models for understanding the impact of culture 44

Five dimensions of culture: the contribution of

Hofstede 47

Cultural diversity: the contribution of Trompenaars 49

Summary: convergence or culture-specific

organisational behaviour 51

Case study 2.1: Eric and Kipsy: complexities of

management and organisational behaviour 56

3 Approaches to Organisation andManagement 65

Management theory 66

Developments in management and organisational

behaviour 66

The classical approach 67

Scientific management 69

Relevance of scientific management 71

Bureaucracy 74

Criticisms of bureaucracy 75

Evaluation of bureaucracy 76

Structuralism 78

The human relations approach 78

Evaluation of the human relations approach 80

Neo-human relations 81

The systems approach 82

The contingency approach 84

Other approaches to the study of organisations 84

The decision-making approach 85

Social action 85

A number of different approaches 87

Postmodernism 87

Relevance to management and organisational

behaviour 89

Japanese management 90

Towards a scientific value approach? 91

Benefits to the manager 93

Management in Action 3.1: Japanese management 95

Case study 3.1: Helgaton Ltd: organisational theory

in practice 102

Part 2

THE ORGANISATIONAL SETTING

4 The Nature of Organisations 113

The context of the organisation 114

The formal organisation 115

Basic components of an organisation 117

Private and public sector organisations 118

Production and service organisations 120

Types of authority and organisations 121

The classification of organisations 122

Prime beneficiary of the organisation 122

Primary activity of the organisation 123

CONTENTS IN DETAIL

The organisation as an open system 124

Interactions with the environment 126

The comparative study of organisations 127

Organisational sub-systems 128

The analysis of work organisations 129

Contingency models of organisation 131

The influence of technology 132

Information technology 133

Managing technical change 134

The informal organisation 134

The organisation of the future 137

Organisational goals 137

5 Organisational Goals, Strategy andResponsibilities 144

The nature of organisational goals 145

The functions of goals 146

Integration of goals 147

Classification of organisational goals 148

Alteration of goals 149

Organisational ideologies and principles 150

Mission statements 151

Objectives and policy 152

The profit objective 154

Fallacy of the single objective 155

The need for strategy 157

The concept of synergy 158

SWOT analysis 159

The management of opportunities and risks 160

Social responsibilities of organisations 161

Codes of conduct 162

Organisational stakeholders 163

Values and ethics 166

Corporate social responsibility 167

Business ethics 168

Related legislation 170

An integrated approach 171

Management in Action 5.1: IBM Code of Conduct 177

Case study 5.1: Mergers and acquisitions: the

consequences of expansion at Square Deal plc 182

Case study 5.2: Welcome to the party: home selling

with Top-to-Toe 183

Part 3

THE ROLE OF THE MANAGER

6 The Nature of Management 189

The meaning of management 190

Management and administration 194

The process of management 195

Principles of management 197

Management as a social process 199

The tasks and contribution of a manager 199

Essential nature of managerial work 200

The efforts of other people 202

Management in service industries 203

Management in private enterprise and public

sector organisations 203

The work of a manager 206

Managerial roles 207

Behaviour pattern of general managers 209

Determining what real managers do 210

Patterns of managerial work and behaviour 210

The attributes and qualities of a manager 211

Managers of the future? 214

Management in Action 6.1: The roles of the

manager and the Individual Management Model 217

Case study 6.1: What is management? Defining

the manager’s role 227

7 Managerial Behaviour and Effectiveness 236

Managerial style and behaviour 237

Managers’ attitude towards people 238

Japanese ‘Theory Z’ environment 240

The Managerial/Leadership Grid® 241

Framework for patterns of behaviour 243

Management systems 245

System 4 management 246

Management by Objectives (MBO) 249

Evaluation of MBO 250

Managing people 251

Basic managerial philosophies 252

Choice of managerial style 256

Managerial effectiveness 259

Measures of effectiveness 261

3-D model of managerial behaviour 261

General criteria of managerial effectiveness 264

The management of time 265

Case example: Chemical company 274

Case study 7.1: Bringing management to book:

how to manage a library 275

Case study 7.2: As safe as houses: branch

management in a building society 276

8 The Nature of Leadership 280

The meaning of leadership 281

The importance of leadership 282

Leadership and management 283

Approaches to leadership 285

The qualities or traits approach 287

The functional (or group) approach 287

Leadership as a behavioural category 289

viii CONTENTS IN DETAIL

Styles of leadership 291

Continuum of leadership behaviour 292

The situational approach 294

Contingency theories of leadership 295

Fiedler’s contingency model 295

Vroom and Yetton contingency model 297

The Vroom and Jago revised decision model 298

Path–goal theory 299

Readiness of the followers or group 300

Transformational leadership 301

Inspirational leadership 304

Power and leadership influence 306

The leadership relationship 307

No one best form of leadership 309

National cultural dimensions of leadership 310

Effectiveness of leadership styles 312

Variables affecting leadership effectiveness 313

Leadership development 314

Leaders of the future 315

Management in Action 8.1: Autoglass: Leadership

success factors 317

Management in Action 8.2: IBM Leadership

Development Centre (LDC) 318

Case study 8.1: The paradox of Pim Fortuyn: a study

in charismatic leadership 327

PART 4

THE INDIVIDUAL

9 Individual Differences 335

By Linda Hicks

The changing nature and scope of managing

individuals at work 336

Personality 339

Nomothetic and idiographic approaches 342

Theoretical approaches: nomothetic 343

Theoretical approaches: idiographic 346

Other theoretical approaches 347

Cognitive theory: Kelly’s personal construct theory 350

Applications within the work organisation 352

Stress and the individual 354

Ability 355

Testing 360

Attitudes 362

Gender and organisations 366

Understanding women’s position and status 368

Economic theories 369

Psychological sex differences 369

The socialisation process 370

Orientations and motivations towards work 370

Working practices 371

Career development 372

Leadership, management and women 376

Positive approaches 378

10 The Nature of Learning 389

By Linda Hicks

The meaning and nature of learning 390

Organisations and the management of learning 394

Knowledge management 395

The learning organisation 399

How do people learn? 402

Behaviourism 403

The outcomes of learning 405

Operant conditioning 405

Social learning 408

Limitations of the behaviourist school 408

Cognitive theories 409

Learning styles 413

Complex models of learning 414

Creativity 415

Facilitating learning 417

Learning theory applied to study skills 420

Applications of learning theory to organisations 420

Case study 10.1: Springboard to success: staff

development in practice 425

Case study 10.2: Will the mail get through:

managing change at the Royal Mail 427

11 The Process of Perception 434

By Laurie Mullins and Linda Hicks

The perceptual process 435

Selectivity in attention and perception 435

Meaning to the individual 437

Internal factors 437

External factors 440

Organisation and arrangement of stimuli 441

Perceptual illusions 442

Perceiving other people 445

Transactional analysis 448

Selection and attention 450

Organisation and judgement 452

The importance of body language 453

Attribution theory 455

Perceptual distortions and errors 456

Stereotyping 457

The halo effect 458

Perceptual defence 459

Projection 459

Illustrative example: perception of women 459

12 Work Motivation and Rewards 470

The meaning of motivation 471

Needs and expectations at work 472

Motivation and organisational performance 474

CONTENTS IN DETAIL ix

Frustration-induced behaviour 475

Money as a motivator 477

Theories of motivation 478

Content theories of motivation 480

Maslow’s hierarchy of needs theory 478

Alderfer’s modified need hierarchy model 484

Herzberg’s two-factor theory 485

McClelland’s achievement motivation theory 487

Process theories of motivation 489

Vroom’s expectancy theory 490

The Porter and Lawler expectancy model 492

Lawler’s revised expectancy model 494

Implications for managers of expectancy theories 495

Equity theory of motivation 496

Goal theory 498

Attribution theory 499

Relevance of theories of motivation 499

Cross-cultural dimensions of motivation 500

The motivation of knowledge workers 500

Management in Action 12.1: Developing reward

strategies to motivate and compensate

knowledge workers 504

Case study 12.1: Staff motivation: not so much a

motivational pyramid, more a slippery slope 510

PART 5

GROUPS AND TEAMWORK

13 The Nature of Work Groupsand Teams 517

The meaning and importance of groups and teams 518

The difference between groups and teams 518

Group values and norms 520

The importance of teamwork 521

Formal and informal groups 525

Reasons for formation of groups or teams 527

Group cohesiveness and performance 528

Membership 529

Work environment 530

Organisational factors 531

Group development and maturity 531

Potential disadvantages of strong, cohesive groups 532

Characteristics of an effective work group 533

The effects of technology on work groups 534

Role relationships 536

Role conflict 538

Role stress 540

Management in Action 13.1: Teamwork in a small

company 543

Management in Action 13.2: Remote control – a

case study 545

Case study 13.1: Floating on air: the importance

of teamwork at Hovertec 550

14 Working in Groups and Teams 554

Interactions among members 555

Belbin’s team-roles 556

Patterns of communication 559

Analysis of individual behaviour 562

Sociometry 562

Interaction analysis 563

Frameworks of behavioural analysis 565

An essential feature of work organisations 566

Individual compared with group or team performance 569

The risky-shift phenomenon 569

‘Groupthink’ 570

Brainstorming 570

Group dynamics 573

T-groups 574

Effective teamworking 575

Management in Action 14.1: Profiling of managers for

leadership development in a cross-section of South

African organisations 579

Management in Action 14.2: Barriers come down

to build up team spirit 585

PART 6

ORGANISATIONAL STRUCTURES

15 Organisation Structure and Design 595

The meaning and nature of organisation structure 596

The importance of good structure 597

Levels of organisation 598

The importance of the hierarchy 600

The design of organisation structure 601

Clarification of objectives 603

Task and element functions 604

The division of work 605

Centralisation and decentralisation 608

Principles of organisation 609

Span of control 610

The chain of command 611

‘Flatter’ organisation structures 612

Formal organisational relationships 613

Line and staff organisation 615

The inverted organisation 617

Project teams and matrix organisation 617

Effects of a deficient organisation structure 619

Organisation charts 621

Structure and organisational behaviour 622

Case study 15.1: A small cog in a big wheel:

company restructuring at Zeton 629

Case study 15.2: Loud and clear: leadership in

telecommunications 630

x CONTENTS IN DETAIL

16 Patterns of Structure and WorkOrganisation 633

Variables influencing organisation structure 634

The contingency approach 634

Size of organisation 635

Technology 638

The Woodward study 638

Major dimensions of technology: the work of Perrow 640

Environment 641

The Burns and Stalker study 642

‘Mixed’ forms of organisation structure 643

The Lawrence and Lorsch study 644

Evaluation of the contingency approach 646

Contribution of contingency theory 648

Culture as a contingent factor 649

Alternative forms of structure 649

The demand for flexibility 651

Telecommuting 652

The shamrock organisation 652

The nature of delegation and empowerment 654

Case study 16.1: Bureaucracy could seriously damage

your health: staff empowerment at City Hospital 658

Case study 16.2: Could I have an estimate?

Organisational structure at Fabrique Décor 658

17 Technology and OrganisationsBy David Preece 662

Theorising technology 663

Using a socio-technical ensemble perspective:

the case of Butler Co. 669

Technological change and organisations 672

Adopting and introducing new technology 674

Case studies in technological/organisational

change 679

Case study 17.1: A thirst for technology: new systems

at the bars of Tawny Taverns 679

Case study 17.2: Web page not found: internal

communications at Redstart Computers 682

Organisational contexts, social and political

processes and technological change 685

ICTs, networks, organisations and society 686

PART 7

MANAGEMENT OF HUMAN RESOURCES

18 Job Satisfaction and WorkPerformance 699

The meaning and nature of job satisfaction 700

Dimensions of job satisfaction 700

Framework of study 703

Information communications technology 703

Stress at work 706

Role relationships and conflict 708

Levels of stress 709

Coping with stress 710

Work organisation and job design 713

Individual job redesign 714

A comprehensive model of job enrichment 715

Broader organisational approaches to improved

job design 717

The work/life balance 720

Employee involvement 722

Empowerment and job satisfaction 723

Self-managed work groups 723

Flexible working arrangements 724

Quality circles 727

Management style and culture 728

Contextual factors in job design 728

The happy/productive worker 729

Management in Action 18.1: Job satisfaction: the

fit between expectations and experiences 732

Management in Action 18.2: An elusive but

expensive concept: stress 733

Management in Action 18.3: Work-Life Balance

case studies 735

Management in Action 18.4: Beyond the

nine-to-five 736

Case study 18.1: The wide open spaces: linking

job satisfaction and work performance 741

Case study 18.2: The changing role of supervisors:

demonstrating the effect of communication

and training on morale 742

Case study 18.3: Flying like the wind: motivation,

job design and culture at Falcon Car Company 743

19 Human Resource Management 746

The nature of human resource management (HRM) 747

HRM policies, activities and functions 749

Organisation of the HRM function 751

HRM: a shared responsibility 752

The importance of HRM 755

Training and development 756

The management of training 758

Investors in People 761

Performance appraisal 762

Questions to be addressed 764

360° feedback and upward appraisal 765

Establishing the appraisal system 766

Methods of appraisal 767

Potential problem areas 769

Employment relations 771

Unitary and pluralistic perspectives 773

Regulating the employment contract 774

Responsibility for employment relations 777

International dimensions of HRM 778

Industrial democracy in European countries 779

CONTENTS IN DETAIL xi

The German system 779

Effectiveness of the HRM function 780

Management in Action 19.1: The Investors in People

Standard 783

Management in Action 19.2: Performance

management at Autoglass Limited 786

Case study 19.1: Beer and sandwiches: personnel

management at London Taverns 790

Case study 19.2: Nothing succeeds like success:

accelerating performance at Sisson Systems 791

20 Resourcing the Organisation 795

The concern of all managers 796

Human resource planning 796

The value of human resource planning 798

Recruitment and selection of staff 800

Job analysis 802

Person specifications 804

Difficulties and distastes of the job 804

The importance of job analysis 806

Attracting suitable applicants 806

The selection process 808

Selection tests and questionnaires 810

Group exercises 810

The selection interview 812

Interviewing style 813

Competency-based approach to recruitment and

selection 814

The selection decision 815

Induction and follow-up 816

Costs of the selection process 817

Effectiveness of the recruitment and selection

process 817

Management in Action 20.1: Marks & Spencer

PLC’s graduate selection process 821

Case study 20.1: Please enter your password:

effective resource management at Wessex

Computers 825

Case study 20.2: Inky fingers: HRM failure at

Sumprint Ltd 826

PART 8

IMPROVING ORGANISATIONALPERFORMANCE

21 Organisational Control and Power 831

The meaning of control 832

Assumptions of organisation and management 834

Elements of an organisational control system 835

Forms of control 837

Classification of control systems 838

Strategies of control in organisations 840

Characteristics of an effective control system 842

Power and management control 843

Perspectives of organisational power 845

Pluralistic approaches to power 846

The balance between order and flexibility 848

Delegation and empowerment 849

The manager–subordinate relationship 850

Benefits of delegation 852

Reasons for lack of delegation 853

A systematic approach to delegation 854

The art of delegation 857

The concept of empowerment 859

Does empowerment deliver? 863

Behavioural factors in control systems 864

Overcoming resistance to management control 865

Financial and accounting systems of control 867

Management in Action 21.1: Empowerment 873

Case study 21.1: The enthusiastic delegator:

the consequences of promoting beyond ability? 880

Case study 21.2: Alpha to Omega: the effects

of financial management on company

performance 883

22 Organisation Development(Culture, Conflict and Change) 887

The meaning of organisation development 888

Topics associated with OD 888

Organisational culture 891

Types of organisational culture 892

Influences on the development of culture 894

The cultural web 895

The importance of culture 896

Organisational climate 899

Employee commitment 901

Organisational conflict 903

Contrasting views of conflict 904

The sources of conflict 906

Strategies for managing conflict 908

The nature of organisational change 909

Planned organisational change 910

Resistance to change 913

The management of organisational change 915

Human and social factors of change 916

Responsibilities of top management 920

Management in Action 22.1: Organisational culture,

change and IT in an SME 923

Management in Action 22.2: Siemens Nixdorf’s

new dynamism 924

Case study 22.1: It’s tough at the top: managing

conflict in the Wakewood organisation 933

Case study 22.2: Getting political: management

in local government 934

Case study 22.3: A matter of life or death: managing

knowledge at an NHS Trust 935

xii CONTENTS IN DETAIL

23 Management Development andOrganisational Effectiveness 941

The importance of effective management 942

The meaning and nature of management

development 942

An integrated model of management development 944

Management development process 949

Continuing professional development (CPD) 953

Management education, training and development 954

The Management Charter Initiative (MCI) 955

Leadership and Management Model 956

The nature of organisational effectiveness 959

The Peters and Waterman study 960

Heller’s study of European excellence 961

The Goldsmith and Clutterbuck study 962

The learning organisation 962

Total Quality Management (TQM) 964

Business process re-engineering (BPR) 968

Building Tomorrow’s Company 971

The EFQM excellence model 971

Assessing organisational performance 975

Organisation audit 976

Benchmarking 976

Performance indicators in the public sector 977

Gap analysis 977

A range of different criteria 977

The twenty-first century organisation and people 980

Management in Action 23.1: Extracts from Abbey

Performance Development Programme 982

Management in Action 23.2: A cure for growing

pains – Costa Coffee 985

Management in Action23.3: Components of the

Management Standards 987

Management in Action 23.4: Building organisational

competence 988

Case study 23.1: Chips with everything: managing

cultural change at Eurasia Electronics 997

Case study 23.2: Holding the front page: expansion

at Rudmore Press 997

Conclusion 1003

Business Press 1005

Glossary 1051

Index 1065

CONTENTS IN DETAIL xiii

Companion Website resources

Visit the Companion Website at www.booksites.net/mullins

For students:

■ Multiple choice and short answer questions to help test your learning

■ Technology Solutions – short web articles which explore further the managerial

implications of technology

■ Weblinks to relevant sites on the web

■ An online glossary to explain key terms

For lecturers:

■ Complete, downloadable Instructor’s Manual which includes:

– Teaching tips

– Extra cases

– Solutions/examples to discussion and other questions

■ Powerpoint slides that can be downloaded and used as OHTs

■ Testbank of question material

Also: This site has a syllabus manager, search functions, and email results functions.

Note: A printed version of the Instructor’s Manual is also available free to adopters

of Management and Organisational Behaviour. Please contact your local sales

representative whose details can be located on our website www.pearsoned.co.uk

Exhibits

3.1 NHS pays £30.96 just to sharpen pencils 76

3.2 Tools that do the business: management theories 91

5.1 Business ethics: what’s in it for you? 171

6.1 The infant school headteacher as a manager 191

7.1 It’s a people thing 258

8.1 Developing leadership in the NHS of the 21st century 305

8.2 First class coach 312

9.1 Why use psychological tests? 362

10.1 Learning new skills: the importance of feedback 410

11.1 Hospitals set to play it by ethnic book 454

11.2 Judy Owen wins battle against Professional Golfers’ Association to 460

wear trousers

13.1 Teamwork’s own goal 524

14.1 Management: brainstorm in a rainstorm 573

18.1 If you want people to do a good job, give them a good job to do 719

18.2 Have a life and keep your job 725

21.1 Empowerment and the custody officer 861

23.1 Developing managers: applying the theory in practice 950

23.2 Management succession: developing leadership at 3M 952

23.3 Quality counts: TQM in an NHS trust 968

Management in Action

3.1 Japanese management 95

5.1 IBM Code of Conduct 177

6.1 The roles of the manager and the Individual Management Model 217

8.1 Autoglass: Leadership success factors 317

8.2 IBM Leadership Development Centre (LDC) 318

12.1 Developing reward strategies to motivate and compensate knowledge

workers 504

13.1 Teamwork in a small company 543

13.2 Remote control – a case study 545

14.1 Profiling of managers for leadership development in a cross-section of 579

South African organisations

14.2 Barriers come down to build up team spirit 585

18.1 Job satisfaction: the fit between expectations and experiences 732

18.2 An elusive but expensive concept: stress 733

18.3 Work-Life Balance case studies 735

18.4 Beyond the nine-to-five 736

19.1 The Investors in People Standard 783

19.2 Performance management at Autoglass Limited 786

20.1 Marks & Spencer PLC’s graduate selection process 821

21.1 Empowerment 873

22.1 Organisational culture, change and IT in an SME 923

22.2 Siemens Nixdorf’s new dynamism 924

EXHIBITS, MANAGEMENT IN ACTION, CASE STUDIES

AND BUSINESS PRESS

23.1 Extracts from Abbey Performance Development Programme 982

23.2 A cure for growing pains – Costa Coffee 985

23.3 Components of the Management Standards 987

23.4 Building organisational competence 988

Case studies

2.1 Eric and Kipsy: complexities of management and organisational behaviour 56

3.1 Helgaton Ltd: organisational theory in practice 102

5.1 Mergers and acquisitions: the consequences of expansion at Square Deal plc 182

5.2 Welcome to the party: home selling with Top-to-Toe 183

6.1 What is management? Defining the manager’s role 227

Chemical company 274

7.1 Bringing management to book: how to manage a library 275

7.2 As safe as houses: branch management in a building society 276

8.1 The paradox of Pim Fortuyn: a study in charismatic leadership 327

10.1 Springboard to success: staff development in practice 425

10.2 Will the mail get through: managing change at the Royal Mail 427

12.1 Staff motivation: not so much a pyramid, more a slippery slope 510

13.1 Floating on air: the importance of teamwork at Hovertec 550

15.1 A small cog in a big wheel: company restructuring at Zeton 629

15.2 Loud and clear: leadership in telecommuncations 630

16.1 Bureaucracy could seriously damage your health: staff empowerment at City Hospital 658

16.2 Could I have an estimate? Organisational structure at Fabrique Décor 658

17.1 A thirst for technology: new systems at the bars of Tawny Taverns 679

17.2 Web page not found: internal communications at Redstart Computers 682

18.1 The wide open spaces: linking job satisfaction and work performance 741

18.2 The changing role of supervisors: demonstrating the effect of communication

and training on morale 742

18.3 Flying like the wind: motivation, job design and culture at Falcon Car Company 743

19.1 Beer and sandwiches: personnel management at London Taverns 790

19.2 Nothing succeeds like success: accelerating performance at Sisson Systems 791

20.1 Please enter your password: effective resource management at Wessex Computers 825

20.2 Inky fingers: HRM failure at Sumprint Ltd 826

21.1 The enthusiastic delegator: the consequences of promoting beyond ability? 880

21.2 Alpha to Omega: the effects of financial management on company performance 883

22.1 It’s tough at the top: managing conflict in the Wakewood organisation 933

22.2 Getting political: management in local government 934

22.3 A matter of life or death: managing knowledge at an NHS trust 935

23.1 Chips with everything: managing cultural change at Eurasia Electronics 997

23.2 Holding the front page: expansion at Rudmore Press 997

Business Press

1 A safe way to hold on to staff 1006

2 Business schools share Enron blame 1007

3 Recruitment: facing the next brain drain 1008

4 Companies pressed to adopt higher standards 1010

5 Forget how the crow flies 1012

6 Public sector: go home and prepare for e-government 1017

7 Employees as investors 1019

8 Leader of the band who likes to run the show 1020

9 Great leaders: pioneer and a shrewd strategist 1022

LIST OF FIGURES xv

10 Endangered species 1023

11 Mentoring moves into a leading role 1025

12 Driving your employees up the wall 1027

13 A focus on workers’ individual needs 1028

14 Advantages of promoting a boutique mindset 1029

15 Avoiding the madness of groupthink 1030

16 End to ‘departmentalism’ a vision of things to come 1031

17 A long-distance relationship 1032

18 Network protection is a key stroke 1034

19 Relentless rise of the pleasure seekers 1035

20 EU & US: Where are the best workplaces? 1037

21 Marrying performance with reward 1038

22 Human capital: is it ‘personnel’ with yet more make-up? 1040

23 New learning models are under scrutiny 1041

24 Patterns can show if you are up to the job 1043

25 Massive US effort to set up control systems 1044

26 Asda: the listening store 1045

27 Organisations, too, can be put on the couch 1047

28 Swiss group at top of learning tree 1048

29 The rise and rise of the corporate learning officer 1049

xvi LIST OF FIGURES

A warm and special tribute is paid to my wife Pamela, children and family for their

continuing support and encouragement for this seventh edition.

Particular acknowledgements and thanks are due for the contributions from my

friends and colleagues Linda Hicks, David Preece and Sara Lamond.

Thanks and appreciation also to Derek Adam-Smith, Rajeev Bali, Martin Brunner,

Richard Christy, Ray French, Karen Meudell, Anne Riches, Amanda Stevens, Lynn

Thomson, Cheryl Walmsley.

I gratefully acknowledge the help and support received from:

Managers who kindly provided information from their own organisations and gave

permission to reproduce material in the book

Aileen Cowan, Assistant Director, The Institute of Chartered Secretaries and

Administrators

Liz Harris, Marketing Communications Manager, The Institute of Administrative

Management

Rebecca Hoar, Section Editor, Management Today

Sue Mann, Editor, Professional Manager.

A special debt of appreciation is due to members of the team at Pearson Education

including Matthew Walker, Colin McDougall, Karen McLaren, Janey Webb, Colin Reed,

Jacqueline Senior and Simon Lake for their invaluable professionalism and guidance.

Thank you all for a pleasant and rewarding partnership.

I wish to acknowledge and thank a number of people who may be unaware how

much their friendship, interest and support has in a variety of ways helped in the com-

pletion of this seventh edition, including: Stephen Darvill; Philip Voller; Kate

Brackenbury; Valerie and Peter Hallam; Di and Mike Blyth; Julie and John Bradley;

Jenny and Tony Hart; Vilma and Will Hemsley; Lynn and Wayne Miller; Christine and

David Paterson; Ann Ward.

Reviewers

Special thanks are due to the following reviewers, approached by the publishers, for

their valued insightful and constructive comments that have helped shape the con-

tents of this present edition:

Ann Norton, Sheffield Hallam University, UK

Brian Stone, Manchester Metropolitan University, UK

Kim Parker, University of Kent, UK

Bob Smale, Brighton University, UK

Alasdair Maclean, University of Abertay, UK

Peter Falconer, Glasgow Caledonian University, UK

Hugo Misselhorn, Management & Organisation Development Consulting, South Africa

Marijek Dielman, Hotel Management School, Maastricht, The Netherlands

David Wilson, Wethouder Koniglaan, The Netherlands.

Laurie J Mullins

IN ACKNOWLEDGEMENT AND APPRECIATION

Chapter 1 – Introductory assignment is reprinted with per-

mission from Von Oech, R., A Whack On The Side Of The

Head, Warner Books Inc. (1998), p. 20. Copyright © 1983,

1990, 1998 by Roger Von Oech.

Chapter 2 – Assignment 1 is reprinted with permission

from Rowe, C., The Management Matrix: The Psychology of

Interaction, Alfred Waller Ltd (1992), p. 1, with permission

from Patricia Rowe.

Personal awareness and skills exercise ‘So What’s Your

Work Ethic?’ is reprinted with permission from Professional

Manager, published by the Chartered Management

Institute, May 2003, p. 38, and Walmsley, C. J., Your Future

Looks Bright, Preston Beach (2002), p. 98.

Case study 2.1 ‘Eric and Kipsy’ is reprinted with permission

from Porter, L. W., Lawler, E. E. and Hackman, J. R., Behavior

in Organizations, McGraw-Hill, New York (1975), pp. 3–14.

Chapter 3 – Assignment 1 is reprinted with permission

from DuBrin, A. J., Human Relations: A Job-Oriented

Approach, Reston Publishing/Prentice Hall/Pearson

Education Inc. (1978), pp. 296–7.

Case study 3.1 ‘Applications of Organisation Theory in

Helgaton Ltd’, is reprinted with permission from Mullins,

L. and White, I., in Adam-Smith, D. and Peacock, A. (eds),

Cases in Organisational Behaviour, Pearson Education

(1994), pp. 19–29.

Chapter 4 – Assignment ‘Our Organizational Society: Your

Association with Organizations’ is reprinted with permis-

sion from Kast, F. E. and Rosenzweig, J. E., Experiential

Exercises and Cases in Management, McGraw-Hill, New York

(1976), pp. 13–15.

Chapter 5 – Personal awareness and skills exercise

‘Assessing your Work Values’ is reprinted with permission

from Misselhorn, A., The Head and Heart of Management,

Management and Organization Development Consultants

(SA) (2003), p. 36.

Case study 5.1 ‘Square Deal plc’ is reprinted with permis-

sion from the Institute of Administrative Management,

Diploma in Administrative Management Examination

Paper, Summer 1983.

Case study 5.2 ‘Top to Toe’ is reprinted with permission

from the Chartered Institute of Secretaries and

Administrators, Management Principles Examination

Paper, June 2003.

Chapter 6 – Assignment 2 ‘Have YOU Got What it Takes to

be a CEO?’ is reprinted with permission from Gwyther, M.,

Management Today, November 2001, pp. 56–9.

Case study 6.1 ‘What Is Management?’ from Doswell, R.

and Nailon, P., Case Studies in Hotel Management, third

edition, Barrie & Jenkins (1976).

Chapter 7 – Assignment 1 ‘Principle of Supportive

Relationships Questionnaire’ is reprinted with permission

from Likert, R., The Human Organization – Its Management

and Value, McGraw-Hill, New York (1976), pp. 48–9.

Personal awareness and skills exercise ‘Your Management

Style’ is reprinted with permission from Osland, J. S., Kolb,

D. A. and Rubin, I. M., Organizational Behavior: An

Experimental Approach, seventh edition, Prentice Hall

(2001), pp. 24–5.

Case study 7.1 ‘Library Management’ is reprinted with per-

mission from the Institute of Chartered Secretaries and

Administrators, Management Principles Pilot Paper,

Administrator, December 1993. (Administrator is now pub-

lished under the title Chartered Secretary.)

Chapter 8 – Assignment 1 ‘Least Preferred Co-worker (LPC)

Scale’ is reprinted from A Theory of Leadership Effectiveness,

McGraw-Hill (1976), p. 41, with the permission of the

author, Professor F. E. Fiedler, University of Washington.

Assignment 2 ‘T-P Leadership Questionnaire: An

Assessment of Style’ by Sergiovanni, T., Metzcus R. and

Burden, L. adapted from their article ‘Leadership Behavior

Description Questionnaire’, in the American Educational

Research Journal 6, 1969, is reprinted by permission of the

publisher, the American Educational Research Association.

Assignment 4 ‘Your Leadership Style’ is reprinted with per-

mission from Schermerhorn Jr, J. R., Hunt, J. G. and Osborn,

R. N., Managing Organizational Behavior, fourth edition, used

by permission of John Wiley & Sons Inc. (1991), p. 484.

Case study 8.1 ‘The Paradox of Pim Fortuyn: A Study in

Charismatic Leadership’. I am grateful to my colleague

Karen Meudell for providing this case study.

Chapter 10 – Case study 10.2 ‘Royal Mail: Making your life

easier by helping you do a better job’. Thanks to Yasmin

Ahmed and Royal Mail Group plc.

Chapter 11 – Personal awareness and skills exercise

‘Inference–observation’ exercise is reprinted with permis-

sion from Haney, W. V., Communications and Interpersonal

Relations: Text and Cases, sixth edition, Irwin, Illinois

(1992), p. 213.

Chapter 12 – Personal awareness and skills exercise con-

tributed by Sheila Ritchie of Elm Training and derived

from the full 12-factor Motivation to Work Profile. It is

reprinted with permission.

Case study 12.1 ‘Not so Much a Motivational Pyramid,

More a Slippery Slope’. I am grateful to Linda Fleming for

providing this case.

Chapter 13 – The copyright of case study 13.1 ‘Hovertec

plc’ rests with my colleague Tom McEwan, and is reprinted

with permission.

PUBLISHER’S ACKNOWLEDGEMENTS

Chapter 14 – Personal awareness and skills exercise is

reprinted with permission from Woodcock, M., 50

Activities for Teambuilding, Gower, Aldershot (1988), with

permission from Ashgate Publishing Limited.

Chapter 15 – Assignment 2 is reprinted with permission

from the Institute of Chartered Secretaries and

Administrators, Management Principles Examination Paper,

June 1999.

Case study 15.1 ‘Zeton Ltd’ is reprinted with permission

from Administrator, The Institute of Chartered Secretaries

and Administrators, April 1996, p. 36. (Administrator is

now published under the title Chartered Secretary.)

Case study 15.2 ‘Direct Telecommunications PLC (DT)’ is

reprinted with permission from the Institute of Chartered

Secretaries and Administrators, Organisation and the

Human Resource Examination Paper, May 2002.

Chapter 16 – Case study 16.1 ‘The City Hospital:

Bureaucracy and Empowerment’ is reprinted with permis-

sion from the Institute of Chartered Secretaries and

Administrators, Organisation and the Human Resource

Examination Paper, November 2002.

Case study 16.2 ‘Fabrique Décor’ is reprinted with permis-

sion from the Institute of Administrative Management,

Advanced Diploma Examination Paper, December 2000.

Chapter 18 – Case study 18.1 ‘The Wide Open Spaces’ from

Chilver, J., People, Communication and Organisation,

Pergamon Press (1984), pp. 118–19.

Case study 18.2 ‘Managing Supervisors’ is reprinted with

permission from the Institute of Chartered Secretaries and

Administrators, Management: Principles and Policy

Examination Paper, June 1985.

Case study 18.3 ‘The Falcon Car Company’ is reprinted

with permission from the Institute of Chartered Secretaries

and Administrators, Organisation and the Human

Resource Examination Paper, June 2003.

Chapter 19 – Case study 19.1 ‘London Taverns Ltd’ has

been prepared jointly with, and from original material sup-

plied by, my colleague Karen Meudell.

Case study 19.2 ‘Accelerating the performance momentum

at Sisson Systems’ is reprinted with permission from the

Institute of Chartered Secretaries and Administrators,

Organisation and the Human Resource Examination Paper,

June 1999.

Chapter 20 – Case study 20.1 ‘Wessex Computers’ is

reprinted with permission from the Institute of

Administrative Management, Certificate in Administrative

Management Examination Paper, Summer 1983.

Case study 20.2 ‘Sumprint Ltd’ is reprinted with permis-

sion from the Institute of Administrative Management,

Case Study Examination Paper, June 2002.

Chapter 21 – ‘The Organisational Politics Questionnaire’ is

reprinted with permission from DuBrin, A. J., Human

Relations: A Job-Oriented Approach, fifth edition, Prentice

Hall/Pearson Education Inc. (1992), pp. 306–7.

Case study 21.2 ‘The Omega organisation’ is reprinted with

permission of the Institute of Chartered Secretaries and

Administrators, Management: Principles and Policy

Examination Paper, June 1987.

Chapter 22 – Assignment ‘Rate Your Readiness to Change’

is reprinted with permission from Stewart, T. A., Fortune, 7

February 1994, pp. 63–4, Time Inc. All rights reserved.

Case study 22.1 ‘The Wakewood organisation’ is reprinted

with permission from the Institute of Chartered Secretaries

and Administrators, Management: Principles and Policy

Examination Paper, December 1986.

Case study 22.2 ‘Gremby County Council’ is reprinted with

permission from Bowman, C. and Jarrett, M. G., Management

in Practice, third edition, Butterworth-Heinemann (1996),

pp. 209–11, with permission from Elsevier Ltd.

Case study 22.3 ‘Managing Knowledge at an NHS Trust’. I

am grateful to Rajeev K. Bali and Ashish N. Dwivedi for

providing this case.

Chapter 23 – Assignment 2 ‘Assessing your Organisation’ is

reprinted with permission from BBC, Building Tomorrow’s

Company – Supporting Notes and the Centre for Tomorrow’s

Company and William Tate, 1999.

Personal awareness and skills exercise is adapted from

material prepared by John Bourn for a UNISON distance

learning course and is used with permission of the

Education Officer.

Case study 23.1 ‘Eurasia Electronics’ is reprinted with per-

mission from the Institute of Chartered Secretaries and

Administrators, Professional Administration Examination

Paper, December 1999.

Case study 23.2 ‘Rudmore Press Limited’. This case was

prepared jointly with, and from original material provided

by, my colleague Karen Meudell.

DOGBERT character drawings copyright © 1991 United

Feature Syndicate, Inc.

Please note: we are all influenced by the thoughts and

ideas of other people that tend to drift into the sub-

conscious and are not always distinguished clearly from

one’s own. I have attempted to give references for sources

of work by other writers but apologise to any concerned if

acknowledgement has inadvertently not been recorded.

Should there by any queries, errors or omissions please

contact the publisher.