Organizational Behaviour Unit-I Definition - SVECW

P r e p a r e d b y C h . A n u d e e p , A s s t . P r o f , D e p t o f M B A , S V E C W

Organizational Behaviour

Unit-I

Definition

Organizational behavior (OB) is the study of the way people interact within groups. Normally this study

is applied in an attempt to create more efficient business organizations. The central idea of the study of

organizational behavior is that a scientific approach can be applied to the management of workers.

Scope

OB is the study of human behavior at work in organizations. Accordingly to the scope of OB it includes

the study of Individuals, Groups and Organization structure. Organizations are the association of

Individuals.

The three internal organizational elements viz., people, technology and structure and the fourth

element, i.e., external social systems may be taken as the scope of O.B.

1. People

The people constitute the internal social system of the organization. They consist of

individuals and groups. Groups may be large or small, formal or informal, official or unofficial.

They are dynamic. Human organization changes everyday. Today, it is not the same as it was

yesterday. It may change further in the coming days. People are living, thinking and feeling

being who created the organization and try to achieve the objectives and goals. Thus,

organizations exist to serve the people and not the people exist to serve the organization.

2. Structure

Structure defines the sole relationship of people in an organization. Different people in an

organization are given different roles and they have certain relationship with others. It leads to

division of labour so that people can perform their duties or work to accomplish the

organizational goal. Work is complex and different duties are to be performed by different

people. Thus, structure relates to power and duties. One has the authority and others have a duty

to obey him.

3. Technology

Technology imparts the physical and economic conditions within which people work. With

their bare hands people can do nothing so they are given assistance of buildings, machines, tools,

processes and resources. The nature of technology depends very much on the nature of the

organization and influences the work or working conditions. Thus, technology brings

effectiveness and at the same restricts people in various ways.


4. Social System

Social system provides external environment which the organization operates. A single

organization cannot exist also. It is a part of the whole. One organization cannot give everything

and therefore, there are many other organizations. All these organizations influence each other. It

influences the attitudes of people, their working conditions and above all provides competition

for resources and power.

Linkages of OB

Challenges and Opportunities

The following are some of the significant problems:

Improving People Skills

Improving Quality and Productivity

Managing Workforce Diversity

Responding to Globalization

Empowering People

Coping with Temporariness

Stimulating Innovation and Change

Emergence of the e-organization

Improving Ethical Behavior

Organizational Theories

Classical Organization Theory

Classical organization theory evolved during the first half of this century. It represents the

merger of scientific management, bureaucratic theory, and administrative theory.

Frederick Taylor (1917) developed scientific management theory (often called "Taylorism") at

the beginning of this century. His theory had four basic principles: 1) find the one "best way" to


perform each task, 2) carefully match each worker to each task, 3) closely supervise workers, and

use reward and punishment as motivators, and 4) the task of management is planning and

control.

Initially, Taylor was very successful at improving production. His methods involved getting the

best equipment and people, and then carefully scrutinizing each component of the production

process. By analyzing each task individually, Taylor was able to find the right combinations of

factors that yielded large increases in production.

While Taylor's scientific management theory proved successful in the simple industrialized

companies at the turn of the century, it has not faired well in modern companies. The philosophy

of "production first, people second" has left a legacy of declining production and quality,

dissatisfaction with work, loss of pride in workmanship, and a near complete loss of

organizational pride.

Max Weber (1947) expanded on Taylor's theories, and stressed the need to reduce diversity and

ambiguity in organizations. The focus was on establishing clear lines of authority and control.

Weber's bureaucratic theory emphasized the need for a hierarchical structure of power. It

recognized the importance of division of labor and specialization. A formal set of rules was

bound into the hierarchy structure to insure stability and uniformity. Weber also put forth the

notion that organizational behavior is a network of human interactions, where all behavior could

be understood by looking at cause and effect.

Administrative theory (i.e., principles of management) was formalized in the 1930's by Mooney

and Reiley (1931). The emphasis was on establishing a universal set of management principles

that could be applied to all organizations.

Classical management theory was rigid and mechanistic. The shortcomings of classical

organization theory quickly became apparent. Its major deficiency was that it attempted to

explain peoples' motivation to work strictly as a function of economic reward.

Neoclassical Organization Theory

The human relations movement evolved as a reaction to the tough, authoritarian structure of

classical theory. It addressed many of the problems inherent in classical theory. The most serious

objections to classical theory are that it created overconformity and rigidity, thus squelching

creativity, individual growth, and motivation. Neoclassical theory displayed genuine concern for

human needs.

One of the first experiments that challenged the classical view was conducted by Mayo and

Roethlisberger in the late 1920's at the Western Electric plant in Hawthorne, New York (Mayo,

1933). While manipulating conditions in the work environment (e.g., intensity of lighting), they

found that any change had a positive impact on productivity. The act of paying attention to

employees in a friendly and nonthreatening way was sufficient by itself to increase output. The

Hawthorne experiment is quite disturbing because it cast doubts on our ability to evaluate the

efficacy of new management theories. An organization might continually involve itself in the


latest management fads to produce a continuous string of Hawthorne effects. Writing in 1939,

Barnard (1968) proposed one of the first modern theories of organization by defining

organization as a system of consciously coordinated activities. He stressed in role of the

executive in creating an atmosphere where there is coherence of values and purpose.

Organizational success was linked to the ability of a leader to create a cohesive environment. He

proposed that a manager's authority is derived from subordinates' acceptance, instead of the

hierarchical power structure of the organization. Barnard's theory contains elements of both

classical and neoclassical approaches. Since there is no consensus among scholars, it might be

most appropriate to think of Barnard as a transition theorist.

Taylor, Weber, Barnard, Mayo, Roethlisberger, and Simon shared the belief that the goal of

management was to maintain equilibrium. The emphasis was on being able to control and

manipulate workers and their environment.

Contingency Theory

Classical and neoclassical theorists viewed conflict as something to be avoided because it

interfered with equilibrium. Contingency theorists view conflict as inescapable, but manageable.

Chandler (1962) studied four large United States corporations and proposed that an organization

would naturally evolve to meet the needs of its strategy -- that form follows function. Implicit in

Chandler's ideas was that organizations would act in a rational, sequential, and linear manner to

adapt to changes in the environment. Effectiveness was a function of management's ability to

adapt to environmental changes.

Lawrence and Lorsch (1969) also studied how organizations adjusted to fit their environment. In

highly volatile industries, they noted the importance of giving managers at all levels the authority

to make decisions over their domain. Managers would be free to make decisions contingent on

the current situation.

Systems Theory

Systems theory was originally proposed by Hungarian biologist Ludwig von Bertalanffy in 1928,

although it has not been applied to organizations until recently (Kast and Rosenzweig, 1972;

Scott, 1981). The foundation of systems theory is that all the components of an organization are

interrelated, and that changing one variable might impact many others. Organizations are viewed

as open systems, continually interacting with their environment. They are in a state of dynamic

equilibrium as they adapt to environmental changes.

A central theme of systems theory is that nonlinear relationships might exist between variables.

Small changes in one variable can cause huge changes in another, and large changes in a variable

might have only a nominal effect on another. The concept of nonlinearity adds enormous

complexity to our understanding of organizations. In fact, one of the most salient arguments


against systems theory is that the complexity introduced by nonlinearity makes it difficult or

impossible to fully understand the relationships between variables.

Contemporary Organizational Theories

Cooperation in the form of teamwork is an indispensable management practice if the

organization is to survive. Employees are diversely motivated. Satisfaction comes from job

accomplishment, recognition, and participation as well as from economic or monetary rewards.

The work situation is a complex social system of interrelated elements.

Human relations management skills can be developed. These skills can be improved through

training or awareness, sensitivity, and competency in coping with the human problems of

organizations.

1. Participatory Management

a. Participatory management is a management form that in a general sense entails allowing

subordinates to participate in decision making and planning, particularly with regard to their own

responsibilities and the operation of their own units.

b. When subordinates’ feelings, concerns, and ideas for solutions are expressed to their

supervisors and transmitted throughout the upper mangement of the organization by superiors,

the process of management is improved.

c. As information is interjected at one point and is transmitted upward, downward, and laterally

through a linking pin network (chain of command), it allows for the free flow of information,

identification of better solutions to problems, and increased morale.

d. Groups are linked by several processes: communication, balance, and decision making.

Communication causes the organization to function collectively toward some objective; balance

is an equilibrating mechanism where parts of the system are maintained in a harmoniously

structured relationship with each other; decision making is an overarching process that binds

groups together.

2. Human Relations Theory and Police Administration

Team policing is a democratic model of law enforcement and is an attempt to move to

Likert’s consultative management system. In the Dayton Police Department of the 1970s,

officers volunteered for small teams assigned to small geographical areas, selected their

own supervisors, and were given authority to investigate crimes generally assigned to

specialists. They essentially operated as autonomous police department within the larger

organization. This form of policing presented problems with middle management and

was eventually discarded.


Individual Perspective

Perspective-taking is the process by which an individual views a situation from another's point-

of-view. In other words, perspective-taking is the process of temporarily suspending one's own

point-of-view in an attempt to view a situation as someone else might.

Perceptual Process Perceptual processes are the different stages of perception we go through. The different stages

are:

Receiving

Selecting

Organizing

Interpreting

Receiving

Receiving is the first and most important stage in the process of perception. It is the initial stage

in which a person collects all information and receives the information through the sense organs.

Selecting Selecting is the second stage in the process. Here a person doesn’t receive the data randomly but

selectively. A person selects some information out of all in accordance with his interest or needs.

The selection of data is dominated by various external and internal factors.

External factors - The factors that influence the perception of an individual externally

are intensity, size, contrast, movement, repetition, familiarity, and novelty.

Internal factors - The factors that influence the perception of an individual internally are

psychological requirements, learning, background, experience, self-acceptance, and

interest.

Organizing Keeping things in order or say in a synchronized way is organizing. In order to make sense of the

data received, it is important to organize them.

We can organize the data by:

Grouping them on the basis of their similarity, proximity, closure, continuity.

Establishing a figure ground is the basic process in perception. Here by figure we mean

what is kept as main focus and by ground we mean background stimuli, which are not

given attention.

Perceptual constancy that is the tendency to stabilize perception so that contextual

changes don’t affect them.


Interpreting Finally, we have the process of interpreting which means forming an idea about a particular

object depending upon the need or interest. Interpretation means that the information we have

sensed and organized is finally given a meaning by turning it into something that can be

categorized. It includes stereotyping, halo effect etc.

Values and attitudes

A value is a measure of the worth or importance a person attaches to something; our values are

often reflected in the way we live our lives. eg I value freedom of speech, or I value my family.

An attitude is the way a person expresses or applies their beliefs and values, and is expressed

through words and behaviour.

A ‘value’ is commonly formed by a particular belief that is related to the worth of an idea or type

of behaviour. Some people may see great value in saving the world’s rainforests. However a

person who relies on the logging of a forest for their job may not place the same value on the

forest as a person who wants to save it.Values can influence many of the judgments we make as

well as have an impact on the support we give clients

Values come from

Family, peers (social influences), the workplace (work ethics, job roles), educational institutions

significant life events (death, divorce, losing jobs, major accident and trauma, major health

issues, significant financial losses and so on), religion, music, media, technology, culture, major

historical events (world wars, economic depressions, etc).

Attitudes

The word ‘attitude’ can refer to a lasting group of feelings, beliefs and behaviour tendencies

directed towards specific people, groups, ideas or objects.

An attitude is a belief about something. It usually describes what we think is the ‘proper’ way of

doing something. The attitudes that we feel very strongly about are usually called values. Other

attitudes are not so important and are more like opinions. Sometimes our own attitudes can make

us blind to other people’s values, opinions and needs. Attitudes will always have a positive and

negative element and when you hold an attitude you will have a tendency to behave in a certain

way toward that person or object.

It is important to consider the mapping of your own life – what have been some significant

events that have shaped you, what qualities you admire in yourself and others, what beliefs are

important to you, what you value and so on. Some examples of these may be personal features

such as strength of character, helping people, respect, honesty, wealth, success, health etc.

What we believe are important qualities, or what qualities we admire in ourselves and others,

generally reflect our life experiences and the values which we established in our early years

through the influence of family, teachers, friends, religion, our culture, our education.


Unit-II

The term ‘motivation’ has been derived from the word ‘motive’. Motive may be defined as an

inner state of our mind that activates and directs our behaviour. It makes us move to act.

Motivation is one’s willingness to exert efforts towards the accomplishment of his/her goal.

Motivational Theories

Maslow’s Need Hierarchy Theory:

It is probably safe to say that the most well-known theory of motivation is Maslow’s need

hierarchy theory Maslow’s theory is based on the human needs. Drawing chiefly on his clinical

experience, he classified all human needs into a hierarchical manner from the lower to the higher

order.

In essence, he believed that once a given level of need is satisfied, it no longer serves to motivate

man. Then, the next higher level of need has to be activated in order to motivate the man.

Maslow identified five levels in his need hierarchy

These are now discussed one by one:

1. Physiological Needs:

These needs are basic to human life and, hence, include food, clothing, shelter, air, water and

necessities of life. These needs relate to the survival and maintenance of human life. They exert

tremendous influence on human behaviour. These needs are to be met first at least partly before

higher level needs emerge. Once physiological needs are satisfied, they no longer motivate the

man.

2. Safety Needs:

After satisfying the physiological needs, the next needs felt are called safety and security needs.

These needs find expression in such desires as economic security and protection from physical


dangers. Meeting these needs requires more money and, hence, the individual is prompted to

work more. Like physiological needs, these become inactive once they are satisfied.

3. Social Needs:

Man is a social being. He is, therefore, interested in social interaction, companionship,

belongingness, etc. It is this socialising and belongingness why individuals prefer to work in

groups and especially older people go to work.

4. Esteem Needs:

These needs refer to self-esteem and self-respect. They include such needs which indicate self-

confidence, achievement, competence, knowledge and independence. The fulfillment of esteem

needs leads to self-confidence, strength and capability of being useful in the organisation.

However, inability to fulfill these needs results in feeling like inferiority, weakness and

helplessness.

5. Self-Actualisation Needs:

This level represents the culmination of all the lower, intermediate, and higher needs of human

beings. In other words, the final step under the need hierarchy model is the need for self-

actualization. This refers to fulfillment.

According to Maslow, the human needs follow a definite sequence of domination. The second

need does not arise until the first is reasonably satisfied, and the third need does not emerge until

the first two needs have been reasonably satisfied and it goes on. The other side of the need

hierarchy is that human needs are unlimited. However, Maslow’s need hierarchy-theory is not

without its detractors.

The main criticisms of the theory include the following: 1. The needs may or may not follow a definite hierarchical order. So to say, there may be

overlapping in need hierarchy. For example, even if safety need is not satisfied, the social need

may emerge.

2. The need priority model may not apply at all times in all places.

3. Researches show that man’s behaviour at any time is mostly guided by multiplicity of

behaviour. Hence, Maslow’s preposition that one need is satisfied at one time is also of doubtful

validity.

Herzberg’s Motivation Hygiene Theory:

The psychologist Frederick Herzberg extended the work of Maslow and propsed a new

motivation theory popularly known as Herzberg’s Motivation Hygiene (Two-Factor) Theory.

Herzberg conducted a widely reported motivational study on 200 accountants and engineers

employed by firms in and around Western Pennsylvania.


He asked these people to describe two important incidents at their jobs: (1) When did you feel particularly good about your job, and

(2) When did you feel exceptionally bad about your job? He used the critical incident method of

obtaining data.

The responses when analyzed were found quite interesting and fairly consistent. The replies

respondents gave when they felt good about their jobs were significantly different from the

replies given when they felt bad. Reported good feelings were generally associated with job

satisfaction, whereas bad feeling with job dissatisfaction. Herzberg labelled the job satisfiers

motivators, and he called job dissatisfies hygiene or maintenance factors. Taken together, the

motivators and hygiene factors have become known as Herzberg’s two-factor theory of

motivation

Herzberg’s motivational and hygiene factors have been shown in the Table 17.1

According to Herzberg, the opposite of satisfaction is not dissatisfaction. The underlying reason,

he says, is that removal of dissatisfying characteristics from a job does not necessarily make the

job satisfying. He believes in the existence of a dual continuum. The opposite of ‘satisfaction’ is

‘no satisfaction’ and the opposite of ‘dissatisfaction’ is ‘no dissatisatisfaction’.

According to Herzberg, today’s motivators are tomorrow’s hygiene because the latter stop

influencing the behaviour of persons when they get them. Accordingly, one’s hygiene may be the

motivator of another.


However, Herzberg’s model is labeled with the following criticism also: 1. People generally tend to take credit themselves when things go well. They blame failure on the

external environment.

2. The theory basically explains job satisfaction, not motivation.

3. Even job satisfaction is not measured on an overall basis. It is not unlikely that a person may

dislike part of his/ her job, still thinks the job acceptable.

4. This theory neglects situational variable to motivate an individual.

McGregor’s Participation Theory:

Douglas McGregor formulated two distinct views of human being based on participation of

workers. The first basically negative, labeled Theory X, and the other basically positive, labled

Theory Y.

Theory X is based on the following assumptions: 1. People are by nature indolent. That is, they like to work as little as possible.

2. People lack ambition, dislike responsibility, and prefer to be directed by others.

3. People are inherently self-centered and indifferent to organizational needs and goals.

4. People are generally gullible and not very sharp and bright.

On the contrary, Theory Y assumes that:

1. People are not by nature passive or resistant to organizational goals.

2. They want to assume responsibility.

3. They want their organization to succeed.

4. People are capable of directing their own behaviour.

5. They have need for achievement.

What McGregor tried to dramatize through his theory X and Y is to outline the extremes to draw

the fencing within which the organizational man is usually seen to behave. The fact remains that

no organizational man would actually belong either to theory X or theory Y. In reality, he/she

shares the traits of both. What actually happens is that man swings from one set or properties to

the other with changes in his mood and motives in changing .environment.

Vroom’s Expectancy Theory:

One of the most widely accepted explanations of motivation is offered by Victor Vroom in his

Expectancy Theory” It is a cognitive process theory of motivation. The theory is founded on the

basic notions that people will be motivated to exert a high level of effort when they believe there

are relationships between the effort they put forth, the performance they achieve, and the

outcomes/ rewards they receive.

1. Valence:

Valence, according to Vroom, means the value or strength one places on a particular outcome or

reward.

2. Expectancy:

It relates efforts to performance.

3. Instrumentality:

By instrumentality, Vroom means, the belief that performance is related to rewards.

Thus, Vroom’s motivation can also be expressed in the form of an equation as follows:

Motivation = Valence x Expectancy x Instrumentality

Being the model multiplicative in nature, all the three variables must have high positive values to

imply motivated performance choice. If any one of the variables approaches to zero level, the

possibility of the so motivated performance also touches zero level.

However, Vroom’s expectancy theory has its critics. The important ones are:


1. Critics like Porter and Lawler lebeled it as a theory of cognitive hedonism which proposes that

individual cognitively chooses the course of action that leads to the greatest degree of pleasure or

the smallest degree of pain.

2. The assumption that people are rational and calculating makes the theory idealistic.

3. The expectancy theory does not describe individual and situational differences.

Leadership

Leadership is the ability of a company's management to set and achieve challenging goals, take

swift and decisive action, outperform the competition, and inspire others to perform well. It is

tough to place a value on leadership or other qualitative aspects of a company, compared to

quantitative metrics that are commonly tracked and much easier to compare between companies.

Individuals with strong leadership skills in the business world often rise to executive positions

such as CEO, COO, CFO, president and chairman.

Approaches to Leadership

leadership as position,

leadership as person,

leadership as result, and

Leadership as process.

1. Leadership as Position

Position-based leadership assumes it is where people operate that makes them leaders.

This view usually takes the form of authority in a formal hierarchy. For instance, the general

or CEO. This definition implies that the character of the leader is less important than their

position.

2. Leadership as Person

This definition of leadership emphasizes the importance of the person’s character.

Person-based — or character-based — leadership says it is who you are that makes you a leader.

But what does this mean?

That great leader is heroic or charismatic? Do people follow because there is an emotional

relationship between leader and follower?

3. Leadership as Result

With this definition of leadership we look at the results of leadership.

Results-based leadership focuses on what leaders do.

The dilemma here is this: Is success the result of something leaders do or is it the successful

organization that propels the leader forward?

It seems that results-based leadership can embody many definitions of leadership: Leadership as

change, leadership as influence and so on.

http://www.investopedia.com/terms/o/outperform.asp

http://www.investopedia.com/terms/m/metrics.asp

http://www.investopedia.com/terms/c/coo.asp

https://www.leadershipthoughts.com/command-and-control/

https://www.leadershipthoughts.com/10-qualities-of-a-good-leader/


4. Leadership as Process

The process-based definition of leadership considers the relationship between leader and

practice. It is what leaders do that matters.

Leadership is the process of influencing the activities of an individual or a group in efforts

toward goal achievement in a given situation.

Leadership Styles

Different leadership styles exist in work environments. The culture and goal of an organization

determine which leadership style fits best. Some organizations offer different leadership styles

within an organization, depending on the necessary tasks to complete and departmental needs.

Laissez-Faire

A laissez-faire leader does not directly supervise employees and fails to provide regular updates

to those under his supervision. Highly experienced and trained employees with minimal

requirement of supervision fall under the laissez-faire leadership style.

But, not all employees possess these features. This leadership style blocks the production of

employees needing supervision. The laissez-faire style implements no leadership or supervision

efforts from managers, which can lead to poor production, lack of control and increasing costs.

Autocratic

The autocratic leadership style permits managers to make decisions alone without the input of

others. Managers access total authority and impose their will on employees. No one opposes the

decisions of autocratic leaders. Countries like Cuba and North Korea operate under the

autocratic leadership style.

This leadership style benefits those who require direct supervision. Creative employees who

participate in group functions detest this leadership style.

Participative

This is also known as the democratic leadership style. It values the input of team members and

peers, but the responsibility of making the final decision rests with the participative leader.

Participative leadership motivates employee morale because employees make contributions to

the decision-making process. It accounts to a feeling that their opinions matter.

When an organization needs to make changes within itself, that is internally, the participative

leadership style helps employees accept changes easily as they play a role in the process. This

leadership style meets challenges when companies need to make a decision in a short period of

time.

Charismatic

BEHAVIORS

Influences others through power of personality

Acts energetically, motivating others to move forward

Inspires passion

May seem to believe more in self than in the team


WHEN TO USE IT

To spur others to action

To expand an organization's position in the marketplace

To raise team morale

IMPACT ON OTHERS

Can create risk that a project or group will flounder if leader leaves

Leader's feeling of invincibility can ruin a team by taking on too much risk

Team success seen as directly connected to the leader's presence

Innovative

BEHAVIORS

Grasps the entire situation and goes beyond the usual course of action

Can see what is not working and brings new thinking and action into play

WHEN TO USE IT

To break open entrenched, intractable issues

To create a work climate for others to apply innovative thinking to solve problems, develop new

products and services

IMPACT ON OTHERS

Risk taking is increased for all

Failures don't impede progress

Team gains job satisfaction and enjoyment

Atmosphere of respect for others' ideas is present

Pace Setter

BEHAVIORS

Sets high performance standards for self and the group

Epitomizes the behavior sought from others

WHEN TO USE IT

When staff are self-motivated and highly skilled, able to embrace new projects and move with

speed

When action is key and results are critical

IMPACT ON OTHERS

Cannot be sustained too long, as staff may "burn out" from demanding pace

Results delivered at a speed staff can't always keep up with

Servant

BEHAVIORS

Puts service to others before self-interest

Includes the whole team in decision making

Provides tools to get the job done


Stays out of limelight, lets team accept credit for results

WHEN TO USE IT

When leader is elected to a team, organization, committee, or community

When anyone, at any level of the group, meets the needs of the team

IMPACT ON OTHERS

Organizations with these leaders often seen on "best places to work" list

Can create a positive culture and lead to high morale

Ill-suited if situation calls for quick decisions or meeting tight deadlines

Situational BEHAVIORS

Links behavior with group's readiness

Includes being directing and supportive, while empowering and coaching

WHEN TO USE IT

Where ongoing procedures need refinement, reinvention, or retirement

IMPACT ON OTHERS

Can be confusing if behavior changes unpredictably and too often

Can reduce uncertainty as leader adapts behavior appropriately

Transformational

BEHAVIORS

Expects team to transform even when it's uncomfortable

Counts on everyone giving their best

Serves as a role model for all involved

WHEN TO USE IT

To encourage the group to pursue innovative and creative ideas and actions

To motivate the group by strengthening team optimism, enthusiasm, and commitment

IMPACT ON OTHERS

Can lead to high productivity and engagement from all team members

Team needs detailed-oriented people to ensure scheduled work is done

Leadership Skills

Communication.

Motivation

Delegating

Positivity

Trustworthiness

Creativity

Feedback.

Responsibility

Commitment

Flexibility


Leadership in Cross Cultural Environment

Cross Cultural Leadership is a recent of or a new concept in comparison to other traditional styles of

leadership. Cross Cultural Leadership is practiced in companies that are operating internationally or

in different countries with different cultures. In such scenarios companies prefer to have leadership

that can not only work with such diverse team members but also do this effectively and efficiently.

Cross Cultural Leadership involves leader that have knowledge of not only the leadership skills

required in such cases but are also aware of the cultural differences of different countries. Cross

Cultural Leadership style is more complex and trying since leadership has to prove equally effective

as the traditional or face to face leadership style. Cross cultural is very close to E-leadership as in

both cases help of technology is needed where the presence of leader cannot be insured physically.

Advantages of Cross Cultural Leadership

1. Cross Cultural Leadership opens up the avenues to understand and work with people from

different cultures; this can help in enhancing the knowledge of the leader at various levels.

2. Staff members working in different cultures can come up with effective ideas and strategies

that might be existing in their culture and if incorporated can result in tremendous success in

Cross Cultural Leadership style of management.

3. Cross Cultural Leadership also helps to shake the leaders out from their comfort zones and

predictable style of leadership. Effective leaders always want to add to their learning curves

and highly appreciate these challenges which allow them to try and implement new strategies

and enhance their planning skills.

4. Challenges in the Cross Cultural Leadership maintain the newness in the job and every day

planning and making a diverse team work towards a common goal keeps not only the team

members motivated but also the leader to deliver the best.

5. Cross Cultural Leadership also helps in optimum utilization of the leadership team and their

skills which proves crucial especially in the companies that find it difficult to find skilled

staff to fulfill the requirements of the company or the organization.

6. Cross Cultural Leadership not only utilizes the leadership skills of the leader but also

personal skills that can be used to create a bond with team members or connect with them so

that they share their ideas with the leader fearlessly.

Disadvantages of Cross Cultural Leadership

1. A lot time is required for building the bond with cross cultural teams as communication with

them cannot be very open in the initial stages at least. This bond building exercise needs lots

of communication between teams and leaders, in person as well with the help of other

mediums which can prove to be time consuming and might take the spot light away from

more important issues.

2. In order to be highly effective in Cross Cultural Leadership leaders need to brush up the

knowledge about different cultures which again takes time.


3. Cross Cultural Leadership is a difficult style of leadership in certain countries where

acceptance of leaders from other nationalities is not that welcome.

4. Cross Cultural Leadership can make some members of the team de motivated as they do not

feel they can share their ideas with a leader who belongs to other culture or nationality.

5. Cultural diversity can work as boon if team members are open about sharing their views and

including the leader in their discussions, but this leadership style can fail if this sharing of

opinions or views does not happen and staff shies away from sharing any additional

information with the leader that can help in working of company or for making strategies for

the efficient management of workforce in cross cultural scenarios.

6. Cross Cultural Leadership fails sometimes when the management fails to take the religious

beliefs and sentiments into consideration while planning any marketing strategies, however if

cross cultural team are able to openly share their views with leader or management these

problems can be tackled at planning stage itself.

To emphasize the increasing popularity of Cross Cultural Leadership many universities have

introduces many courses that ensure to help leaders to develop skills to make them more effective

and efficient in cross cultural leadership situation. Cross Cultural Leadership has scope of growth and

development of skills not only in leaders but also in team members, who as a result can become more

receptive and open minded while talking to staff of diverse cultural back ground which can in turn

ensure an environment of harmony and positivity. Once the cross cultural teams are able to overcome

their teething problems they can have a motivational international environment to work in where

each learns from each other.

Individual behavior

Attribution is the process of observing behavior and then determining its cause based

on individual's personality or situation. Attribution based on personality is due to internal causes

and is termed as dispositional attribution. It includes personality traits like shyness, arrogance,

intelligence, etc.

Dimensions of cognitive psychology

The cognition can be characterized by considering the process itself and its robustness. At a

higher level of abstraction, the thinking can be characterized as rational or emotional, while its

robustness is determined by it stability.

Rational Vs Emotional Thinking

Rational thinking is a response based on process of logical reasoning; it involves some form of

mathematical or statistical knowledge where the process has implicit proof of its validity.

Attribution is one of the rational processes that involve determining the reason or cause of an

observed behavior.

Emotional thinking is a response based on how a person feels about the object in question.

Neurologically, emotions follow a short cut pathway to limbic response, bypassing the other

cognitive thought processes. It can be considered as most primitive response when dealing with

incomplete and uncertain sensory data. However, emotions have considerable influence on


decision making and other cognitive processes even with existence of alternate rational reasons.

Emotions do bootstrap into prior emotional responses and it depends upon a person’s belief and

values

Stable Vs Evolving Experiences Every stimuli creates a response which is stored in the long-

term memory, repetition of the same stimuli over a period of time, hard wires the response.

These patterns of stimuli and response form a stable section of our cognitive processes, thus as

the person ages, more and more responses get hard-wired. On the other hand, stimuli that have

little or no previously recorded responses are in the evolutionary stage, the response might

change depending upon the cumulative degree of success of the previous responses.

Factors Influencing Individual Behavior

Abilities of a person are the natural or learnt traits. Abilities can be classified into mental and

physical abilities and different task requires different level of the two. Mental abilities represent

the intelligence, person’s deductive reasoning, and memory, analytical and verbal

comprehension. Physical abilities include muscular strength, stamina, body coordination and

motor skills. An individual’s self awareness of his own abilities determines how he feels about

the task, while the manager’s perception of his abilities determines the kind of task he assigns to

the individual.

Gender

Although, research concludes that men and women are equal in their mental abilities and job

performance, society does emphasize differences. However, absenteeism is one area where

differences are found and can be attributed to being primary caregiver to children. However, this

creates a difference in self perception of one’s abilities, personal values and social behavior.

Race

Race and culture exert significant influence when both workplace and society have considerable

diversity. Stereotyping and attributing behavior based on race and culture are common mistakes

that influence individual behavior. It is important for both management and the staff of diverse

workforce to learn about different cultures, their values, common artifacts.

Perception

Perception is the basic cognitive process that transforms sensory stimuli into meaningful

information. Most real life problems are multidimensional and the rational approach is often

entwined with the gut feeling, resulting in individual perception. This quells the famous notion

that reality is objective and thus everyone must perceive it the same way

Stereotyping: It is categorization of individuals on basis of single attribute, it ends up creating a

generalized and simplified belief that do not take into account other significant characteristics.

Age, race and sex are the three most common basis of stereotyping; not only they are unethical

but can cost missing resources. In general, stereotyping leads to decisions that are based on

inaccurate data that can result in unfair performance evaluations, job design or promotion.

Selective Perception: It is the process of selecting only the information that supports our pre-

existing belief system, thereby eliminating the discomforting information. Selective perception

acts like a catalyst to stereotyping because people tend to notice things that fit their existing

notion and not notice things that don’t.


Attitude

An attitude is the abstract learnt response of an individual’s entire cognitive process over a

period of time. It is experienced as a quick response to a familiar situation without any deep

reasoning; it forms the basis of biases and attribution errors.

Personality

Personality is the relatively stable set of psychological attributes that distinguishes one individual

from another. The `integrated individual behavior model’ proposed above, is a framework to

understand the process by which the personality develops over a period of time.

Learning Theories

Learning theories are an organized set of principles explaining how individuals acquire, retain,

and recall knowledge. By studying and knowing the different learning theories, we can better

understand how learning occurs. The principles of the theories can be used as guidelines to help

select instructional tools, techniques and strategies that promote learning.

Three learning theories:

Behaviorism Cognitive Information Processing (Cognitivism) Constructivism

Behaviorist New behaviors or changes in behaviors are acquired through associations between stimuli and

responses

Cognitive Information processing leads to understanding and retention

Constructivist We construct our own knowledge of the world based on individual experiences

Behaviorism

Behaviorism theorists believe that knowledge exists independently and outside of people. They

view the learner as a blank slate who must be provided the experience. Behaviorists believe that

learning actually occurs when new behaviors or changes in behaviors are acquired through

associations between stimuli and responses. Thus, association leads to a change in behavior.

Learning process

The learning process is based on objectively observable changes in behavior. Behavior theorists

define learning simply as the acquisition of a new behavior or change in behavior. The theory is


that learning begins when a cue or stimulus from the environment is presented and the learner

reacts to the stimulus with some type of response. Consequences that reinforce the desired

behavior are arranged to follow the desired behavior (e.g. study for a test and get a good grade).

The new behavioral pattern can be repeated so it becomes automatic. The change in behavior of

the learner signifies that learning has occurred. Teachers use Behaviorism when they reward or

punish student behaviors.

Examples and applications of behaviorist learning theory:

Repetitive practice Participation points (providing an incentive to participate) Verbal Reinforcement (saying “good job”) Establishing Rules

Unfortunately, Behaviorism instruction does not prepare the learner for problem solving or

creative thinking. Learners do what they are told and do not take the initiative to change or

improve things. The learner is only prepared for recall of basic facts, automatic responses or

performing tasks.

Cognitive Information Processing (Cognitivism)

Cognitive information processing is based on the thought process behind the behavior. The

theory is based on the idea that humans process the information they receive, rather than merely

responding to stimuli (i.e. that think about what is happening). The changes in behavior are

observed, but only as an indictor to what are going on in the learner’s head. The learner’s mind

is like a mirror from which new knowledge and skills will be reflected.

Cognitive information processing is used when the learner plays an active role in seeking ways

to understand and process information that he or she receives and relate it to what is already

known and stored within memory. Cognitive learning theories are credited to Jean Piaget.

Learning process

Cognitive learning theorists believe learning occurs through internal processing of information.

Unlike behaviorism, cognitive information processing is governed by an internal process rather

than by external circumstance. The cognitive approach to learning theory pays more attention to

what goes on inside the learner’s head and focuses on mental processes rather than observable

behavior. Changes in behavior are observed, and used as indicators as to what is happening

inside the learner’s mind.

Learning involves the reorganization of experiences, either by attaining new insights or changing

old ones. Thus, learning is a change in knowledge which is stored in memory, and not just a

change in behavior.


Examples and applications of cognitive learning theory:

Classifying or chunking information Linking Concepts (associate new content with something known) Providing Structure (organizing your lecture in efficient and meaningful ways) Real world examples Discussions Problem solving Imagery / providing pictures

Constructivism

Constructivism is based on the premise that we all construct our own perspective of the world,

based on individual experiences and internal knowledge. Learning is based on how the

individual interprets and creates the meaning of his or her experiences. Knowledge is

constructed by the learner and since everyone has a different set of experiences and perceptions,

learning is unique and different for each person.

Learning Process

Constructivist theorists believe that learning is a process where individuals construct new ideas

or concepts based on prior knowledge and/or experience. Each of us generates our own mental

models, which we use to make sense of our experiences. We resolve conflicts between ideas and

reflect on theoretical explanations. Learning, therefore, is simply the process of adjusting our

mental models to accommodate our new experiences.

This theory is used to focus on preparing people to problem solve. Therefore, to be successful,

the learner needs a significant base of knowledge upon which to interpret and create ideas.

Additionally, with Constructivism, outcomes are not always predictable because learners are

constructing their own knowledge. Thus Constructivism does not work when the results always

need to be consistent.

Examples and applications constructivism:

Case studies Research Projects Problem based learning Brainstorming


Perceptual Process

The perceptual process is the sequence of psychological steps that a person uses to organize and

interpret information from the outside world. The steps are:

Objects are present in the world.

A person observes.

The person uses perception to select objects.

The person organizes the perception of objects.

The person interprets the perceptions.

The person responds.

The selection, organization, and interpretation of perceptions can differ among different people.

Therefore, when people react differently in a situation, part of their behavior can be explained by

examining their perceptual process, and how their perceptions are leading to their responses.

Factors Influencing Perception

Internal Factors

Habit: Habits die hard and therefore individuals perceive objects, situations and conditions

differently according to their habits. These are several instances in life settings where individuals

tend to react with the right response to the wrong signals.

Motivation and interest: Two examples of motivational factors are hunger and thirst.

Motivational factors increase the individual's sensitivity to those stimuli which he considers as

relevant to the satisfaction of his needs in view of his past experience with them. A thirsty

individual has a perceptual set to seek a water fountain or a hotel to quench his thirst, which

increases for him likelihood of perceiving restaurant signs and decreases the likelihood of

visualizing other objects at that moment in time.

Learning: The state of learning influences and plays a crucial role in the perception process.

However, it should be recognized that the role of learning is more pronounced in respect of

complex forms of perception where the symbolic content creeps into the process. Although

interrelated with motivation and personality, learning may play the single biggest role in

developing perceptual set.

Organizational role and specialization: The modern organizations value specialization.

Consequently the specialty of a person that casts him in a particular organizational role

predisposes him to select certain stimuli and to disregard others.

Economic and social background: The employee perceptions are based on economic and social

backgrounds. Socially and economically developed employees have a more positive attitude

towards development rather than less developed employees.


Personality: The personalities of the perceiver as well as the stimulator have an impact on the

perception process. The age, sex, race, dress, etc of both the persons have a direct influence on

the perception process.

External Factors

Intensity: The intensity of stimulus implies that the more intense the stimulus audio or visual,

the more is the likelihood it will be perceived. A loud noise, strong odour or bright light or bright

colours will be more readily perceived than soft sound, weak odour or dim light. It is because of

this advantage that advertisers employ intensity to draw the consumers' attention.

Size: The size of the object or stimulus has a greater impact on the perception process because

the size influences attention and recognition in a more effective manner. However, generally the

larger the object the more likely it will be perceived. The amount of attention enhances with the

size of the newspaper advertisement exposed to the individuals although the increase in attention

may not be directly proportional to the increase in size.

Contrast: Contrasting objects have more impact on behaviour. The contrast principle states that

external stimuli, which stand out against the background or which, are not what the people

expect will receive attention. Plant safety signs, which have black lettering on a yellow

background or white lettering on a red background, are attentions getting.

Repetition: Repeated stimuli have more impact on performances than a single statement.

Repetition has the advantage of being attention catching. Perhaps, it is because of this that

supervisors tend to repeat directions regarding job instructions several times for even simple

tasks to hold the attention of their workers. Advertisers while putting T.V. or radio

advertisements repeat the brand name they are advertising.

Motion: The factor of motion implies that the individuals attend to changing objects in their

field of vision than to static objects. It is because of this advantage that advertisers involve signs,

which include moving objects in their campaigns.

Novelty and familiarity: A novel object in the familiar situation or a familiar object in a novel

situation tends to attract attention. Thus a white person or a black person in India catches

attention faster. Job rotation is an example of this principle. Recent research indicates that job

rotation not only increased attention but also employees' acquisition of new skills.

Situations: Situations have a great influence on people's perceptions. A favourable work

environment develops a positive attitude and work culture because the perception process is

easily channelized and rightly directed.


Attitude and behaviour

Attitude is a feeling, belief, or opinion of approval or disapproval towards something. Behavior

is an action or reaction that occurs in response to an event or internal stimuli (i.e., thought).

There are many ways to define an attitude, and several definitions are currently accepted.

Basically, an attitude is a stable and enduring disposition to evaluate an object or entity (a

person, place or thing), in a particular way. “I like working on this project” and “I do not like

working after office hours” are examples of attitudes because they express a person’s general

feeling, either favorable or unfavorable toward something.

Typically attitudes have been considered along with two other elements – beliefs and behaviors.

Beliefs represent what we have learned or come to know through experience. As such, they are

either true or represent what we think is true (for example, that working on a challenging project

would bring recognition in the organization or that working after office hours would affect health

and personal life). Behaviors (for example, whether one completes the project successfully or

leaves the office at 6PM in the evening) represent the actions we take with regard to a particular

object or entity.

In the simplest case attitudes, beliefs, and behaviors should be related. A dislike of nuclear power

plants would be associated with negative beliefs about them (for example, believing that they are

dangerous and often run in an irresponsible manner) and negatively oriented behaviors (signing a

petition to stop construction of a nuclear power plant).

Why are attitudes important?

Attitudes serve as one way to organize our relationship with our world. They make our

interactions more predictable affording us a degree of control.

For example, the attitude “I like working for this company” is very useful in guiding our

behavior towards the company’s work.

Attitudes also enable us to reduce the vast amount of information that we possess into

manageable units. All the beliefs we have about our company could be summarized as “I

like my company”, and thus our attitude represents the combination of many bits of

information for us.

We can use others attitudes to make judgments about them.

It has been found consistently that the more similar our attitudes are to those of others,

the more we like them.

Finally, people’s attitudes can sometimes be useful in predicting behavior, such as how

they will vote in an election or which brand of car they will buy.


Components of Attitudes

Attitudes consist of three basic components: emotional, informational, and behavioral.

The emotional component involves the person’s feelings, or affect- positive, neutral, or

negative- about an object. Thus, emotion is given the greatest attention in the

organizational behavior literature in relation to job-satisfaction.

In addition, the expression of emotions either positive, like a customer service

representative; negative, like a bill collector or a police officer; or neutral, like an

academic administrator or public servant- is also important to work behavior.

The informational component consists of the beliefs and information the individual has

about the object. A supervisor may believe that two weeks of training is necessary before

a worker can operate a particular piece of equipment.

In reality, the average worker may be able to operate the machine after only four days of

training. Yet the information the supervisor is using (that two weeks is necessary) is the

key to his attitude about training.

The behavioral component consists of a person’s tendencies to behave in a particular way

toward an object. For example the supervisor in the above paragraph may assign two

weeks of machine training to all his new people.

It is important to remember that of the three components of attitudes, only the behavioral

component can be directly observed.

One cannot see another person’s feelings (the emotional component) or

beliefs (The informational component). These two components can only

be inferred.

For example, when the supervisor assigns a new employee to two weeks

training on the equipment, it is only inferred that the 1) the supervisor

has strong feelings about the length of training required and the

individual believes that this length of training is necessary.

How are attitudes formed?

Attitudes may be learned from the experiences we have. These include mostly mundane events

such as being praised by our parents for expounding “liberal” attitudes, but also major life and

world events.

The basic processes through which we learn attitudes remain the same throughout life, though as

we grow older the attitudes we learn may be more complex, and the ones we already hold may


become more resistant to change.

The processes through which our experiences create attitudes are all related to “learning” which

is a basic human process. We will learn more about learning processes in the chapter 6 of this

module.

As for now just keep in mind that all our attitudes are learned from our experience of the social

context around us.

The influence of the family, schooling, and peer groups waxes and wanes as we grow into

adolescence and adulthood.

Thus, the primary sources of our attitudes change as we mature. A final source of attitudes is the

culture in which a child grows up. Culturally prevalent prejudices are generally reflected in

prejudiced attitudes.

Changing Attitudes

Our lives are filled with attempts to change attitudes, to influence our decisions, or to persuade

us to do one thing or another. There are several theories, which try to explain the phenomenon of

attitude change.

Most well known theories among them are a) Cognitive dissonance theory b) Message Learning

approach.

a) Cognitive dissonance theory

According to cognitive dissonance theory, there is a tendency for individuals to seek consistency

among their cognitions (i.e., beliefs, opinions). When there is an inconsistency between attitudes

or behaviors (dissonance), something must change to eliminate the dissonance. In the case of a

discrepancy between attitudes and behavior, it is most likely that the attitude will change to

accommodate the behavior.

Two factors affect the strength of the dissonance: the number of dissonant beliefs, and the

importance attached to each belief. There are three ways to eliminate dissonance: (1) reduce the

importance of the dissonant beliefs, (2) add more consonant beliefs that outweigh the dissonant

beliefs, or (3) change the dissonant beliefs so that they are no longer inconsistent.

Dissonance occurs most often in situations where an individual must choose between two

incompatible beliefs or actions. The greatest dissonance is created when the two alternatives are

equally attractive. Furthermore, attitude change is more likely in the direction of less incentive

since this results in lower dissonance. In this respect, dissonance theory is contradictory to most

behavioral theories which would predict greater attitude change with increased incentive (i.e.,

reinforcement).


Example

Consider someone who buys an expensive car but discovers that it is not comfortable on long

drives. Dissonance exists between their beliefs that they have bought a good car and that a good

car should be comfortable. Dissonance could be eliminated by deciding that it does not matter

since the car is mainly used for short trips (reducing the importance of the dissonant belief) or

focusing on the cars strengths such as safety, appearance, handling (thereby adding more

consonant beliefs). The dissonance could also be eliminated by getting rid of the car, but this

behavior is a lot harder to achieve than changing beliefs.

Principles

Dissonance results when an individual must choose between attitudes and behaviors that

are contradictory.

Dissonance can be eliminated by reducing the importance of the conflicting beliefs,

acquiring new beliefs that change the balance, or removing the conflicting attitude or

behavior.

b) Message Learning approach.

Mr. Hovland's "Message Learning Theory" posits that the more people learn and remember from

an ad, the more persuasive the ad will be. His research was designed around the step-by-step

process through which people are persuaded: attention, comprehension, yielding and retention of

the message.

Practical guidelines suggested by message learning theory include, for example, that repetition of

a message increases learning; commercials "wear out" faster among serious TV users; and

commercials that employ brand users as the message source wear out more slowly than do those

that use only straightforward claims and basic support.

"Source characteristics" themselves were another major research track within message learning

theory, and Mr. Hovland and his colleagues argued that the source of the message had a huge

persuasive impact on audiences. They believed that audiences evaluate a source using two

independent characteristics -- the degree to which the speaker is perceived to be an expert on the

topic and the degree to which the speaker is perceived to be trustworthy.

Message learning theorists also investigated characteristics inherent in the receivers of messages,

seeking to determine if certain audience segments -- once separated from the general population

on the basis of personality traits or demographic characteristics -- are more readily persuaded by

advertising than other groups.

Finally, research into the characteristics of communication channels -- TV, radio, newspapers,

magazines and billboards, among others -- suggested that, for example, radio was a poor choice

for an advertiser seeking to convey a message that is difficult to comprehend.


Unit-III

GROUP BEHAVIOUR

Groups are composed of individuals. Hence, the group behaviour means behaviour of its

members. In practice, each member of the group affects the behaviour of other members and, in

turn, is also affected by them. The nature and patterns of reinforcement the members receive

through their interaction with one another is also determined by the group itself. This is because

the behaviour of individual members in a group becomes different than their behaviour outside

the group situation.

The groups may be broadly classified as formal and informal groups; interest, friendship and

reference groups; open and closed groups; and in-groups and out- groups.

1. Formal and Informal Groups

Formal groups are generally created by the management through the formal chain of command.

They are constituted for some specific organizational purpose. They may be temporary or long

term. For example, groups of people in different departments like purchase, production,

operations, finance, marketing, research and development etc. are formed on a long term basis.

However, for some specific short term project, representative members from different

departments may be associated to form a temporary group. Such groups come together for the

specific purpose and limited time. On the attainment of the goals, members disperse and the

groups cease to exist. The groups that are formed for relatively longer periods of time are

referred to as ‘Standing Task Group’. Groups for specific purpose for short durations are referred

to as ‘Task Group’. Formal groups have clearly defined roles and responsibilities and code of

conduct for members. It may also have levels of hierarchy for managing tasks and resources.

Informal groups are groups that are not consciously or deliberately created by the management.

They get created on their own. They exist either within or outside the formal groups. Man being

a social animal, always looks forward to interdependence and connectedness with others. Since

such groups get created spontaneously, there is no prescribed code of conduct or hierarchy

within the group members. However, there certainly are some group attitudes, opinions and

beliefs. The members of such groups voluntarily confirm to such group norms. A violation to

group norm generally means ceasing membership of the group.

2. Interest, Friendship and Reference Groups

These are the informal groups made by choice and may be formed within and/or outside the

organization. Interest groups arise as a result of commonness in interests. Such groups may get

formed either within or outside the formal groups. Constant interaction between people in any

organization help them identify the common likes or dislikes; interests in say sports, religion,

politics etc.; or may be keen in certain areas like providing good work environment, recreational

facilities or other employee facilities, healthy living, social service; or may even have common

problems with the management, like inappropriate grievance handling mechanism, inappropriate


promotion policy, inadequate training facilities etc. membership of informal groups gives the

members a sense of social security, opportunity for venting issues, satisfaction from social

contact. Such groups do not have any defined or formal structure of authority and responsibility,

no defined roles or duties.

Friendship groups are groups that get formed based on old or new friendships. Such friendships

may be within or outside the organization. Affiliations with sports, politics, professional bodies,

or even with prior educational institutions can cause formation of such groups. Common positive

traits like diligence, smart working, risk taking, status seeking, etc. and negative traits like

shirking work, etc. may be the basic reason for people clustering and associating. Besides

delivering mutual satisfaction and growth, it helps the managers understand the behaviour of

groups, their strongly held beliefs and the informal leaders who can be influenced to act as a

catalyst in modifying group behaviour.

Reference groups are groups that are formed for purposes of referencing with respect to a

particular field, discipline or area. For example, an employee may be a member of a group of

chartered accountants or lawyers to seek some support or opinion in related matters.

Memberships in such groups help employees in the process of decision making. Reference group

generally exist outside the organization and still influence a person’s behaviour at work.

Reference groups are based on such factor as race, gender, politics, religion, social class,

education level, profession and the like. Reference groups endorse values in the memebers that

help them to make personal decisions and justify social behaviour.It may or may not go with

organisational preferences.

3. Open and Closed Groups

Open groups, as the name suggests offers open membership to individuals. Members keep

joining and leaving on a regular basis. The constantly changing membership and inclusion of

new members brings in new knowledge and skills, different perspective and vision, that keeps

the group growing and dynamic. On the other hand, a closed group, is a group which is

generally stable in terms of membership as its members do not change for long periods of time.

The stability of the group offers it benefits of group synergy, but at the same time, it limits its

growth since no new patterns of thought emerge while they brainstorm to make decisions.

Importance of groups in an organization is:

a. Filling in Gaps in Manager’s Abilities

b. Solving work problems

c. Better coordination

d. Channel of Communication

e. Restraint on Managers

f. Better relations

g. Norms of Behaviour

h. Developing Future Executives.


Characteristics of a Group:

Regardless of the size or the purpose, every group has similar characteristics:

(a) 2 or more persons (if it is one person, it is not a group)

(b) Formal social structure (the rules of the game are defined)

(c) Common fate (they will swim together)

(d) Common goals (the destiny is the same and emotionally connected)

(e) Face-to-face interaction (they will talk with each other)

(f) Interdependence (each one is complimentary to the other)

(g) Self-definition as group members (what one is who belongs to the group)

(h) Recognition by others (yes, you belong to the group).

Stages of Group Development:

Group Development is a dynamic process. How do groups evolve? There is a process of five

stages through which groups pass through. The process includes the five stages: forming,

storming, forming, performing, and adjourning.

Forming:

The first stage in the life of a group is concerned with forming a group. This stage is

characterized by members seeking either a work assignment (in a formal group) or other benefit,

like status, affiliation, power, etc. (in an informal group). Members at this stage either engage in

busy type of activity or show apathy.

Storming:

The next stage in this group is marked by the formation of dyads and triads. Members seek out

familiar or similar individuals and begin a deeper sharing of self. Continued attention to the

subgroup creates a differentiation in the group and tensions across the dyads / triads may appear.

Pairing is a common phenomenon. There will be conflict about controlling the group.

Norming:

The third stage of group development is marked by a more serious concern about task

performance. The dyads/triads begin to open up and seek out other members in the group. Efforts

are made to establish various norms for task performance.

Members begin to take greater responsibility for their own group and relationship while the

authority figure becomes relaxed. Once this stage is complete, a clear picture will emerge about

hierarchy of leadership. The norming stage is over with the solidification of the group structure

and a sense of group identity and camaraderie.

Performing:

This is a stage of a fully functional group where members see themselves as a group and get

involved in the task. Each person makes a contribution and the authority figure is also seen as a


part of the group. Group norms are followed and collective pressure is exerted to ensure the

Process of Group effectiveness of the group.

The group may redefine its goals Development in the light of information from the outside

environment and show an autonomous will to pursue those goals. The long-term viability of the

group is established and nurtured.

Adjourning:

In the case of temporary groups, like project team, task force, or any other such group, which

have a limited task at hand, also have a fifth stage, This is known as adjourning.

The group decides to disband. Some members may feel happy over the performance, and some

may be unhappy over the stoppage of meeting with group members. Adjourning may also be

referred to as mourning, i.e. mourning the adjournment of the group.

Group Dynamics

A group can be defined as several individuals who come together to accomplish a particular task

or goal. Group dynamics refers to the attitudinal and behavioral characteristics of a group. Group

dynamics concern how groups form, their structure and process, and how they function. Group

dynamics are relevant in both formal and informal groups of all types. In an organizational

setting, groups are a very common organizational entity and the study of groups and group

dynamics is an important area of study in organizational behavior.


Factors Affecting Group Behaviour:

The success or failure of a group depends upon so many factors. Group member resources,

structure (group size, group roles, group norms, and group cohesiveness), group processes (the

communication, group decision making processes, power dynamics, conflicting interactions,

etc.) and group tasks (complexity and interdependence).

1. Group Member Resources:

The members’ knowledge, abilities, skills; and personality characteristics (sociability, self-

reliance, and independence) are the resources the group members bring in with them. The

success depends upon these resources as useful to the task.

2. Group Structure:

Group Size: Group size can vary from 2 people to a very large number of people. Small groups of two to ten

are thought to be more effective because each member has ample opportunity to take part and

engage actively in the group. Large groups may waste time by deciding on processes and trying

to decide who should participate next.

Evidence supports the notion that as the size of the group increases, satisfaction increases up to a

certain point. Increasing the size of a group beyond 10-12 members’ results in decreased

satisfaction. It is increasingly difficult for members of large groups to identify with one another

and experience cohesion.

Group Roles:

In formal groups, roles are always predetermined and assigned to members. Each role shall have

specific responsibilities and duties. There are, however, emergent roles that develop naturally to

meet the needs of the groups.

These emergent roles will often substitute the assigned roles as individuals begin to express

themselves and become more assertive. Group roles can then be classified into work roles,

maintenance roles, and blocking roles.

Work roles are task-oriented activities that involve accomplishing the group’s goals. They

involve a variety of specific roles such as initiator, informer, clarifier, summarizer, and reality

tester.


Maintenance roles are social-emotional activities that help members maintain their involvement

in the group and raise their personal commitment to the group. The maintenance roles are

harmonizer, gatekeeper, consensus tester, encourager, and compromiser.

Blocking roles are activities that disrupt the group. Blockers will stubbornly resist the group’s

ideas, disagree with group members for personal reasons, and will have hidden agendas. They

may take the form of dominating discussions, verbally attacking other group members, and

distracting the group with trivial information or unnecessary humour.

Often times the blocking behaviour may not be intended as negative. Sometimes a member may

share a joke in order to break the tension, or may question a decision in order to force group

members to rethink the issue. The blocking roles are aggressor, blocker, dominator, comedian,

and avoidance behaviour.

Role conflicts arise when there is ambiguity (confusion about delegation and no specific job

descriptions) between the sent role and the received role which leads to frustration and

dissatisfaction, ultimately leading to turnover; inconsistency between the perceived role and role

behaviour (conflict between work roles and family roles); and conflicting demands from

different sources while performing the task.


Group Norms:

Norms define the acceptable standard or boundaries of acceptable and unacceptable behaviour,

shared by group members. They are typically created in order to facilitate group survival, make

behaviour more predictable, avoid embarrassing situations, and express the values of the group.

Each group will create its own norms that might determine from the work performance to dress

to making comments in a meeting. Groups exert pressure on members to force them to conform

to the group’s standards and at times not to perform at higher levels. The norms often reflect the

level of commitment, motivation, and performance of the group.

The majority of the group must agree that the norms are appropriate in order for the behaviour to

be accepted. There must also be a shared understanding that the group supports the norms. It

should be noted, however, that members might violate group norms from time to time.

Group Cohesiveness:

Cohesiveness refers to the bonding of group members or unity, feelings of attraction for each

other and desire to remain part of the group. Many factors influence the amount of group

cohesiveness – agreement on group goals, frequency of interaction, personal attractiveness, inter-

group competition, favourable evaluation, etc.

The more difficult it is to obtain group membership the more cohesive the group will be. Groups

also tend to become cohesive when they are in intense competition with other groups or face a

serious external threat to survival. Smaller groups and those who spend considerable time

together also tend to be more cohesive.

Cohesiveness in work groups has many positive effects, including worker satisfaction, low

turnover and absenteeism, and higher productivity. However, highly cohesive groups may be

detrimental to organizational performance if their goals are misaligned with organizational goals.

3. Group Processes:

Decision-making by a group is superior, because group generates more information and

knowledge, generates diverse alternatives, increases acceptance of a solution, and increases

legitimacy. But it is also true, that decision making is like ‘munde munde matirbhinna’.

Decisions take longer time, minority is dominated, pressure is applied to conform to group

decisions, and none is responsible for the decisions. Group processes also include

communication, conflict management, and leadership that we shall discuss in details in the

chapters to follow hereafter.


Meaning of Cohesiveness:

Group cohesiveness is one of the characteristic features of the groups, which is very important

from behaviouristic point of view. Cohesiveness is the degree to which the group members are

attracted to each other and are motivated to stay in the groups. Cohesiveness defines the degree

of closeness that the members feel with the groups. It is understood as the extent of liking each

member has towards others in the group and how far everyone wants to remain as a member of

the group.

“Cohesiveness refers to the extent of unity ‘in the group and is reflected in members’ conformity

to the norms of the group, feeling of attraction for each other and wanting to be co-members of

the group.” Attraction, cohesiveness and conformity are all intertwined. The more the members

feel attracted to the group, the greater will be the group cohesiveness. The greater the

cohesiveness, the greater the influence of the group members to persuade one another to conform

to the group norms. The greater the conformity, the greater the identity of the members to the

group and the greater the group cohesiveness.

Cohesiveness is a very important group attribute. Managers must offer answer to such

questions as:

(i) What are the sources and causes of cohesiveness

(ii) What are the consequences of cohesiveness.

Consequences of Cohesiveness:

Group cohesiveness has only positive consequences.

These positive outcomes are explained in detail as follows:

1. More Participation:

Higher the degree of group cohesiveness, closer will be the interpersonal relationships among the

members. As a result members will participate actively in group affairs and activities. As the


members consider the group as their own, just like a family, they will help other members of the

group in times of need which will further strengthen their bonds. The turnover of members will

be very low. If possible, all the members attend the group meetings and group activities and take

active part in discussions relating to preparing of strategies for achieving individual and group

goals.

2. More Conformity:

One of the factors which influence cohesiveness is similarity of attitudes and values. As a result,

members tend to like each other and perceive themselves as similar. These characteristics lead

members to be relatively dependent on the group for satisfaction and, thus, they are susceptible

to being influenced. For example, if any member is getting involved in organisational politics for

enhancing his personal goals, the group might put social pressure on him and make him comply

with the group norms.

3. More Success:

Cohesiveness and success are mutually dependent upon each other. Cohesiveness makes the goal

achievement easier and goal achievement adds to success. The reason for this relationship is that

higher degree of cohesiveness leads to high degree of communication, participation and

conformity to group norms. Such coordinated efforts result in agreement about the goals to be

achieved, the methods of achieving them and finally achieving the final goals.

4. More Communication:

Members of cohesive groups communicate with each other more than the members of non-

cohesive groups. Because the members share common ideologies, goals, backgrounds or

attitudes, they are inclined to greater communicativeness. Such communication is reinforcing as

it tends to foster and cement positive social relations as well as depth in personal relationships.


5. More Personal Satisfaction:

Members of cohesive groups are more satisfied as compared to members of non-cohesive

groups. Thus is understandable because if members are not satisfied they will leave the group

and join some other group. Members are more satisfied due to so many factors which include

friendliness, respect, support, achievement, protection and a feeling of security.

6. High Productivity:

Cohesiveness may contribute to increased productivity because:

(i) People in cohesive groups experience fewer work related anxieties and tensions

(ii) Highly cohesive groups tend to have lower absenteeism and turnover and

(iii) Cohesiveness decreases productivity differences among groups.

Studies consistently show that the relationship of cohesiveness and productivity depends on the

performance related norms established by the group. If performance related norms are high, a

cohesive group will be more productive than will a less cohesive group. But if cohesiveness is

high and performance norms are low, productivity will be low.

These conclusions are summarized in the following figure:

The worst situation for the manager is a highly cohesive group with low performance norms.

Here members are highly motivated to work for their personal satisfaction only not for the

organisational goals. Here the success of the management will depend upon how to direct the

activities of highly cohesive group towards the successful attainment of organisational goals.

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Managerial Actions for Increasing or Encouraging Cohesiveness:

1. Make the group smaller

2. Encourage agreement with group goals

3. Increase the time members spend together

4. Increase the status of the group and the perceived difficulty of getting membership of the

group

5. Stimulate competition with other groups.

6. Give rewards to the group rather than to members.

7. Physically isolate the group

8. Increase membership homogeneity

9. Increase interaction among members

Managerial Actions to Decrease or Discourage Cohesiveness:

Sometimes high cohesiveness adversely affects the productivity. In such cases managers have to

reduce the cohesiveness of the groups.

Following are some of the actions which can be taken by the managers: 1. Induce disagreement on group goals

2. Increase membership heterogeneity

3. Restrict interactions among members

4. Increase group size

5. Reduce the time members spend together

6. Allocate rewards to individuals rather than to group member.

7. Remove physical isolation

8. Disband the group

9. Introduce a dominating member

Group norms

Group norms are the informal guidelines of behavior and a code of conduct that provides some

order and conformity to group activities and operations. These rules are expected to be followed

by all the group members. These norms and rules usually develop gradually and informally as

group members learn as to what behaviors are necessary for the group to function effectively.


These norms may include a code of dress for meetings or being on time for the meetings and

behaving in a predictable manner both within and outside the group meetings.

This predictability of behavior also causes higher degree of cohesiveness within the group.

Predictability reduces chaos, ambiguity and conflict. Discomfort would be high in a committee

or a task group, if the group members are not sure as to how each member would behave. Norms

also identify the values and ethics of the group members. They are established on the basis of

what is right and decent and expected of professionals. For example, some companies have very

rigorous dress standards, tolerating no deviation, such as the Federal Bureau of Investigation

(FBI).

Types of Group Norms

Behavior Norms

These are rules and guidelines defining the day-to-day behavior of people at work. This behavior

pattern may include punctuality as a habit, completing any given assignments within the required

time framework, not losing temper, showing respect for other member’s opinions, not

monopolizing the conversation and so on. Certain professionalism is expected from all members

and this professionalism is predictable form of behavior.

Work Norms

Work norms regulate the performance and productivity of individual members. An overly

ambitious worker who produces more is considered as much a deviate from the norms as a

worker who is an under producer. Work norms usually put an acceptable level of productivity,

within reasonable tolerances so that comparatively poor performers can also be accommodated

and that they do not become a burden on their peers.

Workers performing below the lower acceptable level are generally informally reprimanded and

encouraged to produce more. On the other hand, rate-busters who perform above the upper

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acceptable limit set by the group are also ostracized for encouraging the management to raise its

expectations.

In addition to productivity, work norms may also define the extent of time spent on the job. For

example, if coffee breaks are allowed for 15 minutes in the morning, then those members who do

not take coffee breaks at all as well as those members who take longer coffee breaks are

considered as disobeying the group norms. Thus, groups will often want to regulate not only how

much workers produce, but also how many hours they put in on the job. Some work norms are

strengthened when management tends to exploit some of the members of the groups. Thus norms

might also define the limits placed upon worker interaction and cooperation with superiors.

Other work norms might involve loyalty or confidentiality on the part of members. Workers are

not expected to report about fellow workers to supervisors. Similarly confidentiality is a

powerful group norm so that no matter how much tension there may be between workers

and management, the workers will not divulge company secrets to competing organizations.

Group norms are generally reinforced if all members agree to abide by them and the members

will agree if they firmly believe that adherence to such norms will facilitate group goals

achievement or ensure group survival and additionally, such norms do not conflict with

individual values and principles. Also, the norms are reinforced if the members value their

membership in the group and do not like the outcomes of violating them. The outcome of

violating the group norms must be sufficiently consequential in order to discourage members to

deviate from them.

The groups enforce compliance with norms in many ways. They can reward people who comply

with group norms by appreciating them, by listening to them in a respectful manner and by

making them leaders of the group. Also, they can take negative actions against those persons

who deviate from group norms in the form of ridicule or ‘silent treatment’ or by withdrawing

privileges or by ultimate action of expelling them from the membership of the group.

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Group decision-making

Group decision-making commonly known as collaborative decision-making is a situation faced

when individuals collectively make a choice from the alternatives before them.

The decision is then no longer attributable to any individual group member as all the individuals

and social group processes like social influence contribute to the decision outcome.

The decisions made by groups are mostly different from those made by individuals. For

example, groups tend to make decisions that are more extreme than those made by individual

members, as individuals tend to be biased.

Advantages of Group Decision Making

Group decision making has two advantages over individual decision making.

Synergy

It is the idea that the whole is greater than the aggregate of its parts. When a group makes a

decision collectively, its judgment can be powerful than that of any of its members. Through

discussing, questioning, and collaborative approach, group members can identify more

complete and robust solutions and recommendations.

Sharing of information

Group decisions take into account a wider scope of information as each group member may

contribute distinct information and expertise. Sharing information increases understanding,

clarifies issues, and facilitates movement towards a collective decision.

Disadvantages of Group Decision Making

The major disadvantages of group decision making are as follows −

Diffusion of Responsibility

Group decision making results in distribution of responsibility that results in lack of

accountability for outcomes. In this way, everyone is responsible for a decision, and no one

really is. Moreover, group decisions can make it easier for members to refuse personal

responsibilities and blame others for bad decisions.

Lower Efficiency

Group decisions can sometimes be less efficient than individual decisions. It takes additional

time because there is a need of active participation, discussion, and coordination among group


members. Without good facilitation and structure, meetings can get eliminated in trivial details

that may matter a lot to one person but not to the others.

Groupthink

One of the biggest disadvantages of effective group decision making is groupthink. It is a

psychological phenomenon that occurs within a group of people in which the wish for harmony

or conformity results in an illogical or dysfunctional decision-making outcome.

By refraining themselves from outside influences and actively suppressing opposing viewpoints

in the interest of minimizing conflict, group members reach a consensus decision without

critical evaluation of substitute viewpoints.

Group Decision-Making Techniques

In order to eliminate group think and group shift from a group, we can use four different

techniques that will help us make a collaborative decision that is best for the group. These

techniques are −

Brainstorming

Nominal group thinking

Didactic technique

Delphi technique

Nominal Group Thinking

This technique is similar to brainstorming except that this approach is more structured. It

motivates individual creativity. Members form the group for namesake and operate

independently, originate ideas for solving the problem on their own, in silence and in writing.

Members do not communicate well with each other so that strong personality domination is

evaded.

The group coordinator either collects the written ideas or writes them on a large blackboard so

that each member of the group can see what the ideas are. These ideas are further discussed one

by one in turn and each participant is motivated to comment on these ideas in order to clarify

and improve them. After all these ideas have been discussed, they are evaluated for their merits

and drawbacks and each actively participating member is needed to vote on each idea and allot

it a rank on the basis of priority of each alternative solution.The idea with the highest

cumulative ranking is selected as the final solution to the problem.


Didactic Interaction

This technique is applicable only in certain situations, but is an excellent method when a

situation actually demands it. The type of problem should be such that it generates output in the

form of yes or no. Say for example, a decision is to be made whether to buy or not to buy a

product, to merge or not to merge, to expand or not to expand and so on. This type of decision

requires an extensive and exhaustive discussion and investigation since a wrong decision can

have serious consequences.

There are many advantages as well as disadvantages of this type of situation. The group that

makes the decision is divided into two sub-groups, one in favor of the “go” decision and the

opposing in favor of “no go” decision.

The first group enlists all the “pros” of the problem solution and the second group lists all the

“cons”. These groups meet and discuss their discoveries and their reasons.

After tiring discussions, the groups switch sides and try to find weaknesses in their own original

standpoints. This interchange of ideas and understanding of various viewpoints results in mutual

acceptance of the facts as they exist so that a solution can be put together around these facts and

ultimately a final decision is reached.

Meaning of Conflict:

Conflict is a state of discord caused by the actual or perceived opposition of needs, values and

interests. A conflict can be internal (within oneself) or external (between two or more

individuals). Conflict explains many aspects of social life such as social disagreement, conflict of

interests and fight between individuals, groups or organisations.

In political terms, “conflict” can refer to wars, revolutions or other struggles, which may involve

use of force. Without proper social arrangement or resolution, conflict in social settings can

result in stress or tension amongst stakeholders.

Conflict arises “when two or more parties, with perceived incompatible goals seek to undermine

each other’s goal-seeking capability”.

“Organisational conflict is disagreement between two or more organisational members or groups

arising from the fact that they must share scarce resources or work activities and/or from the fact

that they have different statuses, goals, values, or perceptions.”


Features of Conflict:

A state of conflict is characterized by the following features:

1. It arises when two or more individuals or groups think differently.

2. It is caused by different perceptions that different individuals hold about the same object or

goal. While A thinks a course of action is right, B does not hold the same opinion. This leads to

conflict of opinion on the same subject.

3. It usually arises because of scarcity of resources. When people compete for scarce resources,

they hold different views about how best they can utilize those resources to achieve the

organisational goals.

Philosophy of Conflict:

The concept of conflict has evolved over a period of time from classical philosophy of conflict to

interactionist philosophy. There are three approaches on how management views conflict.

These are:

1. Classical approach:

According to this approach, management views conflict as bad and destructive for organisational

performance. Conflict of opinion meant to result in anger and resentment. This creates disorder

in the organisation and effects its smooth functioning.

Conflict was, thus, dysfunctional (negative) in nature. If there was conflict in the organisational

interest and individual interest, it gave importance to organisational interest as individual interest

is considered subordinate to organisational interest (as advocated by Fayol). Conflict is thus,

destructive as it cannot bind the management and workers together.


Management should, therefore, design organisation structure in a manner that everyone

understands the policies and rules clearly. Authority-responsibility structure should be well-

defined so that everyone knows his limits of discretion. This would lead to quick resolution of

conflict, if at all it arises.

2. Human relations approach:

This is also known as the behaviouralists approach to conflict. While the classical approach

views that organisations should not have conflict at all, the human relations approach assumes

that conflict is unavoidable. It is bound to happen because of differences in opinion and

perception amongst individuals.

As conflict cannot be avoided, it should be resolved in a friendly way. Conflict, thus, naturally

occurs in all organisations but should be resolved for the benefit of the organisation and

individuals.

3. Interactionist approach:

While the human relations approach accepts that conflict is inevitable and, therefore, acceptable,

the interactionist approach takes a broader view of conflict. It encourages conflict in the

organisation as conflict promotes diverse opinions and beliefs. This promotes new ideas and easy

adaptability to environmental changes.

Conflicts keep the group members lively in discussions and creative in idea generation. Thus,

conflict is promoted as it promotes organisational performance.

Causes of Conflict:

1. Differences in perception:

Differences in perceptions, values and attitudes of individuals or groups over the same problem

lead to interpersonal or intergroup conflicts. For example, one group of individuals may want

that all employees use HP computers to maintain standardisation while another group may

promote different brands of computers to maintain individuality. Differences in views lead to

conflicts.

2. Excessive competition:

Organisational resources (men, material, money, space etc.) are scarce and each unit wants

maximum share of it. Competition amongst units for maximum share of resources leads to

conflict.


3. Differences in goals:

Different goals of individuals or groups lead to conflict amongst them. In order to maximize

profits, production department may want to produce limited varieties in large volume so that

costs are minimized. Sales department, on the other hand, may feel that selling products of

different sizes, colours and models can increase sales and, thus, minimise costs. Differences in

group goals leads to conflict between the two. It may even affect the quality of products.

4. Interdependence of tasks:

When work is passed from one unit to the other, interdependence amongst units can lead to

conflict. Output of first unit becomes input of second unit. If first unit fails to process its work on

time, the second unit will have to wait and stay idle till it receives the process. This can cause

inter-group conflict.

5. Habit patterns:

Some people like to argue and debate. They enjoy conflict as a matter of habit. It acts as a

motivator for them to improve their performance.

6. Personal characteristics:

When group members differ in work attitudes, age, education, temperament and status levels, the

potential for inter-group conflict is high.

7. Ill defined authority – responsibility relationships:

When authority and responsibility of individuals and groups is not properly defined, people do

not understand each other’s role. There is lack of consistency in work activities and

communication distortions take place. This becomes a source for inter-group conflict.

Consequences of Conflict:

Conflict has both positive and negative consequences. Positive conflict is known as functional

conflict and negative conflict is known as dysfunctional conflict.

Positive Conflict (Functional Conflict):

Conflict is not only inevitable, it is also desirable. It is constructive and encourages new ideas to

solve organisational problems. It promotes change and keeps the organisation going in the

desired direction.

It believes that conflict has the following positive consequences:

1. High degree of cohesion:


Inter-group conflict gives rise to commitment and loyalty amongst members of the group. Group

members unite together, take advantage of opportunities, overcome threats and take strong

actions to resolve their problems. All members of the group work together for a common goal.

It promotes group cohesiveness if people of different groups compete with each other. In order to

do better, members of each group work together. They become loyal and bonded to each other

which promotes organisational performance.

2. Improvement in quality of decisions:

When group members face conflict, they think of all possible solutions to the problem, evaluate

the decisions and use their creative and innovative abilities to arrive at the best decisions. Inter-

group conflict, thus, improves the quality of decisions and stimulates creativity and innovation.

When people have conflicting opinions, they deeply analyse facts of the case. Deep

understanding of concepts promotes new thinking, new ideas and, thus, fosters innovation.

3. Emergence of leaders:

Everybody does not think alike in conflicting situation. Group members bestow power on those

who can positively contribute to the problem situation to take decisions. Increased power gives

rise to leaders who act as the group captain. This also reduces rivalry amongst members to

become group leaders.

4. Response to change:

Conflict promotes change if people do not readily agree to each other. Differences in opinions,

values and perception introduce new ways of working which is different from the traditional

thinking. Conflicts challenge the existing state of affairs and promote new ideas and

reassessment of current group practices. Conflict signals something wrong with the present

system of working and promotes ability to assess the present and desire for a better future.

Conflict, thus, increases responsiveness of group to change.

5. Increased productivity:

It is empirically proved that productivity of conflicting groups is more than those which have

close agreement amongst the members. Members with different perceptions and interests

produce high-quality solutions to problems. This improves productivity of the group. Conflicts

highlight weaknesses in the existing system of management. These weaknesses can be removed

to improve efficiency of the organisation’s operating system.


6. Releases strain:

If group members do not agree with pre-defined values and norms, conflicts give them a ground

for voicing their reservations. This releases strain that would otherwise remain suppressed in

their minds. In conflicting situations, people openly express their thoughts and feelings, even if

they are against the thought process of other members of the organisations. This releases strain

and provides mental satisfaction to the members.

Negative Conflict (Dysfunctional Conflict):

In positive conflict, differences in opinion do not hurt anyone’s feelings. People respect each

other’s ideas and arrive at new solutions to the problems to develop working relationships. In

negative conflict, on the contrary, people show disrespect for others’ ideas. They aim to promote

their interests at the cost of others.

The negative consequences of conflict are as follows:

1. Mental strain:

Excessive conflict creates tension and frustration amongst people. This not only harms the

individuals (as they may enter into a state of depression) but also harms the organisation (people

do not positively contribute to organisational productivity).

2. Discontentment:

Conflict breeds antagonism and discontentment. This reduces power to think creatively and

reduces group effectiveness. If people do not arrive at mutually agreeable solutions, it results in

discontentment. People are not satisfied with their jobs. This lowers the organisational

productivity.

3. Communication breakdown:

When individuals or groups develop conflicting ideas, they avoid interacting with each other.

This reduces communication amongst them leading to inter-group rivalry and loss of productive

ideas.

As conflicts lead to disagreement and communication breakdown, people do not agree with each

other leading to splitting up of groups and units. This diverts energy from organisational goals

and leads to instability in the organisational structure.

4. Resignation:

Discontentment can lead to resignation from jobs. If results are not in favour of people who

strongly oppose certain decisions, they do not wish to work in those organisations and look for


other job outlets. If these people are dynamic and creative individuals, it is loss for the

organisation.

5. Distorted perceptions:

Groups hold strong perceptions about their activities and disregard those of the other group.

They highlight their strong points and competitors’ weak points. This leads to deviation from

organisational goals.

6. Competitive struggle:

Conflict leads to competition. Rather than arriving at consensus, agreement or settlement,

competitive struggle declines group’s ability to think and act positively.

7. Subordination of group goals to individual goals:

Members promote personal goals rather than group goals. They think of ways to promote their

personal interests rather than organisational interests. This reduces organisational efficiency.

People divert energy from constructive to destructive thinking.

They think of how to win over conflicting situations rather than pursuing organisational goals.

Short-term personal problems, thus, supersede long-term interests of the organisation. People

focus on personal goals at the cost of organisational goals. This results in goal displacement as

short-term perspective overpowers the long-term perspective.

8. Threat to group survival:

In extreme situations, members can stop working. This stops functioning of the group and

threatens its survival.

Conflict Management

Conflict management is the practice of being able to identify and handle conflicts sensibly,

fairly, and efficiently. Since conflicts in a business are a natural part of the workplace, it is

important that there are people who understand conflicts and know how to resolve them. This is

important in today's market more than ever. Everyone is striving to show how valuable they are

to the company they work for and at times, this can lead to disputes with other members of the

team.

Five ways of addressing conflict :

(a) Avoidance:

One should avoid or postpone conflict by ignoring it or changing the subject. Avoidance can be

useful as a temporary measure to buy time or as an expedient means of dealing with minor, non-


recurring conflicts. In more severe cases, conflict avoidance can involve severing a relationship

or leaving a group.

(b) Collaboration:

People should work together to find a mutually beneficial solution to the problem. Though this is

a win-win solution to conflict, collaboration can also be time-intensive and inappropriate if there

is absence of trust, respect or communication amongst participants.

(c) Compromise:

Conflicting parties find a middle ground in which each party is partially satisfied.

(d) Competition:

Both the parties should assert their viewpoint at the potential expense of another. It can be useful

when achieving one’s objectives outweighs one’s concern for the relationship.

(e) Accommodation:

If above measures do not help to resolve conflict, one party surrenders its needs and wishes to

accommodate the other party.

Negotiation

Negotiation is defined as a discussion among individuals, each one trying to present his best idea

to come to a conclusion benefiting all. An individual gains nothing out of conflict and

misunderstanding; instead it leads to stress and anxiety. It is always advisable to compromise to

the best extent possible and try to find out an alternative which satisfies all.

Negotiation Skills

Problem Analysis

Effective negotiators must have the skills to analyze a problem to determine the interests of each

party in the negotiation. A detailed problem analysis identifies the issue, the interested parties

and the outcome goals. For example, in an employer and employee contract negotiation, the

problem or area where the parties disagree may be in salary or benefits. Identifying the issues for

both sides can help to find a compromise for all parties.


Preparation

Before entering a bargaining meeting, the skilled negotiator prepares for the meeting. Preparation

includes determining goals, areas for trade and alternatives to the stated goals. In addition,

negotiators study the history of the relationship between the two parties and past negotiations to

find areas of agreement and common goals. Past precedents and outcomes can set the tone for

current negotiations.

Active Listening

Negotiators have the skills to listen actively to the other party during the debate. Active listening

involves the ability to read body language as well as verbal communication. It is important to

listen to the other party to find areas for compromise during the meeting. Instead of spending the

bulk of the time in negotiation expounding the virtues of his viewpoint, the skilled negotiator

will spend more time listening to the other party.

Emotional Control

It is vital that a negotiator have the ability to keep his emotions in check during the negotiation.

While a negotiation on contentious issues can be frustrating, allowing emotions to take control

during the meeting can lead to unfavorable results. For example, a manager frustrated with the

lack of progress during a salary negotiation may concede more than is acceptable to the

organization in an attempt to end the frustration. On the other hand, employees negotiating a pay

raise may become too emotionally involved to accept a compromise with management and take

an all or nothing approach, which breaks down the communication between the two parties.

Verbal Communication

Negotiators must have the ability to communicate clearly and effectively to the other side during

the negotiation. Misunderstandings can occur if the negotiator does not state his case clearly.

During a bargaining meeting, an effective negotiator must have the skills to state his desired

outcome as well as his reasoning.

Collaboration and Teamwork

Negotiation is not necessarily a one side against another arrangement. Effective negotiators must

have the skills to work together as a team and foster a collaborative atmosphere during

negotiations. Those involved in a negotiation on both sides of the issue must work together to

reach an agreeable solution.


Problem Solving

Individuals with negotiation skills have the ability to seek a variety of solutions to problems.

Instead of focusing on his ultimate goal for the negotiation, the individual with skills can focus

on solving the problem, which may be a breakdown in communication, to benefit both sides of

the issue.

Decision Making Ability

Leaders with negotiation skills have the ability to act decisively during a negotiation. It may be

necessary during a bargaining arrangement to agree to a compromise quickly to end a stalemate.

Interpersonal Skills

Effective negotiators have the interpersonal skills to maintain a good working relationship with

those involved in the negotiation. Negotiators with patience and the ability to persuade others

without using manipulation can maintain a positive atmosphere during a difficult negotiation.

Ethics and Reliability

Ethical standards and reliability in an effective negotiator promote a trusting environment for

negotiations. Both sides in a negotiation must trust that the other party will follow through on

promises and agreements. A negotiator must have the skills to execute on his promises after

bargaining ends.


Unit-4

Personality

Personality is the product of social interaction in group life. In society every person has

different traits such as skin, color, height and weight. They have different types of personalities

because individuals are not alike. It refers to the habits, attitudes as well as physical traits of a

person which are not same but have vary from group to group and society to society, everyone

has personality, which may be good or bad, impressive or unimpressive. It develops during the

process of socialization in a culture of a specific group or society.

Personality has been derived from the Latin word “persona” which means “mask” used by the

actors to change their appearance. It is the combination of an individual thoughts, characteristics,

behaviors, attitude, idea and habits.

Types of Personality

Following are the three types of personality

1. Extrovert Personality

This type has the tendency to live mostly outside the like to live with others. Those individuals

are highly socialized and have contact with outside people in the society. They want to join other

groups who are more in number. These type of people are drivers, excessive drinkers, smokers,

robbers, thieves, wicked persons etc.

2. Introvert Personality

Introvert is opposite to extrovert. Those people are always live alone in their rooms and do not

want to go outside. They have their own imaginary world. They are teachers, scientists, thinkers

and philosophers.

3. Ambivert Personality

Between extrovert and introvert personalities there is a third one type called ambivert. People

belonging to this type enjoy both the groups and attend them. They have middle mind and want

to live in both parties. Sometimes they join outside people but sometimes they live in their own

rooms


Factors Affecting Personality

(I) Heredity

It provides the child with certain endowments to? With- Hereditary factors may be summed as

constitutional biological and physiological factors:

Constitutional Factors

The constitution of an individual is an effective factor in determining the type of his Personality.

There can be 3 bodily types of personality- (1) short and stout, (2) tall and thin, (3) muscular and

well Proportioned. We are always impressed by an individual who has a muscular and a well

proportioned body. Height, Weight, physical defects, health and strength affect Personality.

2. Biological Factors

The working of the nervous system, glands and blood chemistry determines our characteristics

and habitual modes of behaviour. These factors form the biological basis of our personality.

Adrenal gland, thyroid gland, pituitary gland and endocrine gland affect personality.

Adler points out that personality defects lead to the development of inferiority complex and the

mental mechanism of compensation. This aspect also includes the mental ability of the child.

It is this ability which enables him to mould the social environment according to his

requirements.

3. Intelligence

Intelligence is mainly hereditary. Persons who are very intelligent can make better adjustment in

home, school and society than those who are less intelligent.

4. Sex Differences

Sex differences play a vital role in the development of personality of individual. Boys are

generally more assertive and vigorous. They prefer adventures. Girls are quieter and more

injured by personal, emotional and social problems.

5. Nervous System

Development of personality is influenced by the nature of nervous system.


(II) Environment

The sociologists emphasize that the personality of the individual develops in a social

environment. It is in the social environment, that he comes to have moral ideas, social attitudes

and interests. This enables him to develop a social ‘self which is another term for personality.

The important aspects of the environment are as follows:

(1) Physical Environment

It includes the influence of climatic conditions of a particular area or country on man and his

living.

(2) Social Environment

The child has his birth in the society. He learns and lives there. Hence, the social environment

has an important say in the personality development of the child.

(3) Family Environment

Family is the cradle of all social virtues. The first environment, the child moves in, is his home.

Here the child comes in contact with his parents and other family member his likes, dislikes,

stereotypes about people, expectancies of security and emotional responses all are shaped in

early childhood.

(4) Cultural Environment

The cultural environment refers to certain cultural traditions, ideals, and values etc., which are

accepted in a particular society. All these factors leave a permanent impression on the child’s

personality.

(5) School Environment

Schools play an important role in molding the personality of the children because a significant

part of a child’s life is spent in school between the ages of 6 and 20 years. In the school, the

teacher substitutes the parents.

In addition to the above there are many other social factors which influence the development of

personality of a child which are as follows:-


(a) Language

Human beings have a distinctive characteristic of communication through language. Language is

an important vehicle by which the society is structured and culture of the race transmitted from

generation to generation.

The child’s personality is shaped by the process of interaction through language with other

members of his environment.

(b) Social Role

The child has to play several roles like son, brother student, officer, husband, father, etc.,

throughout his life at rent stages of his development. Social roles may be described as process by

which the co-operative behaviour and communications among the society members are

facilitated.

(c) Self Concept

Self concept influences our personality development in two ways-(1) If other people hold high

positive “ergative enhances our self and (2) If others hold may us, it creates feelings of

worthlessness and to self-defense or withdrawal from social situation.

(d) Identification

Identification is an important mechanism by which we try to imitate the physical, social and

mental characteristics of our model. It is a very important relationship with others.

(e) Inter-personal Relations

Inter-personal relations among the members of a society are important means which help in the

development of certain social personality characteristics like attraction towards others, concept

of friendship, love, sympathy, hostility and also isolation which is a negative orientation.

(Ill) Psychological Factors

These include our motives, acquired interests, our attitudes, our will and character, our

intellectual capacities such as intelligence i.e., the abilities to perceive, to observe, to imagine, to

think and to reason

These factors determine our reactions in various situations and thus affect our personality,

growth and direction. An individual with a considerable amount of will power will be able to

make decisions more quickly than others.


Stages and Theories of Personality Development

1. Freudian Stages or Psychoanalytical Theory:

Sigmund Freud’s Psychoanalytical theory of personality has been based primarily on his concept

of unconscious nature of personality. It is based on the notion that man is motivated more by

unseen forces than by conscious and rational thoughts. Freud noted that his patient’s behaviour

could not always be consciously explained. It was a clinical finding which led him to conclude

that the major force which motivates a human being is his unconscious framework. This

framework includes three conflicting psychoanalytic concepts the Id, the ego and the super ego.

Their brief description is as follows:

(i) The ID:

ID is the foundation of the unconscious behaviour and is the base of libido drives. In simple

words Id is the sources of psychic energy and seeks immediate satisfaction of biological or

instinctual needs. These needs include sexual pleasure and other biological pleasures. Id has

animalistic instincts of aggression, power and domination. It demands immediate pleasure at

whatever cost. As an individual matures he learns to control the Id, but even then it remains a

driving force throughout life and an important source of thinking and behaviour.

(ii) The EGO:

The Ego is associated with the realities of life. Just as the Id is the unconscious part of human

personality. Ego is the conscious and logical part because it is concerned about the realities of

external environment. The ego of a person keeps the Id in check whenever it demands immediate

pleasure. With its logic and intellect, ego controls the Id so that the pleasures unconsciously

demanded by the human beings are granted at an appropriate time and place and in an

appropriate manner.


(iii) The Super EGO:

The Super Ego is the higher level force to restrain the Id and is described as the conscious of a

person. The super ego represents the norms of the individual, his family and the society and is an

ethical constraint on the behaviour. The conscious of a person is continuously telling him what is

right and what is wrong. A person may not be aware of the working of the super ego, because

conscious is developed by the cultural values inculcated in a person by the norms of society.

All these three elements are interred related. In order to create a normal personality, there must

be a proper balance in the relationship among these forces. For example, if the super ego is

overdeveloped, a man will become very impractical and irrational. He will feel guilty over trivial

matters. Such a person cannot exist in the modern life.

On the other hand, an underdeveloped super ego would let the Id urges loose, which would make

a man highly immoral or with very few morals. Then there will not be much difference between

the man and the animals. Therefore, there must be a proper balance between these three forces.

Evaluation of Psychoanaly Theory:

The psychoanalytical approach to personality structure analysis has made some impact on

organisational behaviour. For example, some behaviour of the employees which is unconscious

in nature can be brought out with the help of psychoanalytical analysis. Such behaviour may

include daydreaming, alcoholism, absenteeism, forgetfulness etc. For the development of the

organisation, some techniques to improve the inter-personal communication skills can be

developed with the help of psychoanalytical analysis.

The biggest drawback of this theory is that, it is based upon theoretical concept. It does not give

a total picture of behaviour which is emerging from the personality. Therefore, this theory is not

very relevant from the behavioural science point of view.


2. Erikson Stages:

Freud’s theory emphasized the sexual and biological factors in developing the personality. But

Erikson criticized this heavy emphasis because he was of the view that more importance should

be given to social factors. Erikson describes eight developmental stages as we grow from

childhood to adulthood and the trauma of resolving certain critical conflicts we face at each of

these stages. Till we resolve the particular conflicts of a particular stage, we cannot move to the

next stage.

For many of us these issues are never completely resolved and we struggle with them throughout

life even beyond the stage of our adolescence. These problems carry over to the work place as

well. The eight developmental stages, the problems encountered at each stage and the impact of

these stages on organization behaviour are discussed below.

Stage 1: Infancy/Trust Vs. Mistrust:

During the first year of life, a child has a great need for dependency. Feeling of Trust vs.

Mistrust are developed in this state and these feelings depend upon the behaviour of the parents.

If the parents care for the infant in a very affectionate way, the child learns to trust other people.

Lack of love and affection on the part of the parents results in mistrust. This stage makes a

serious impact on a child that influences his behaviour throughout his life.

In the early stages of organisational life when a person knows very little about the job and is

dependent on others for guidance, he develops the feelings of trust or mistrust towards others in

the organisation depending upon how the other people respond to his needs and help him to find

his place in the system.

Stage 2: Early Childhood Autonomy Vs. Shame and Doubt:

In the second and third years of life a child begins to assert independence and experiences a great

need to operate on his own. If the child is allowed to control those aspects of life that the child is


capable of controlling, a sense of autonomy will develop. If he encounters constant disapproval

by parents or elders a sense of self doubt and shame is likely to develop.

Likewise, in the organisation life, a person wants to operate independently after the initial

training. If he is allowed to do so, a sense of autonomy will develop. But if he is criticized and

disapproved by the others for making mistakes, he will tend to have self doubts about his

competency and experience a sense of shame for not doing the things right.

Stage 3: Play Age/Initiative Vs. Guilt:

When a child is four and five years old he tries to discover how much he can do. If the parents

and other members of the family encourage the child to experiment and to achieve reasonable

goals, he will develop a sense of initiative. But if on the other hand, he is blocked at every stage

and made to feel incapable, he will develop a sense of guilt and lack of self confidence. In the

same way organisational members try to use their creative and acquired talents as they settle

down in their jobs. But if things go wrong, other people make him feel guilty that he has wasted

the resources of the organisation. But if the things go according to his planning, he will develop a

sense of initiative.

Stage 4: School Age/Industry Vs. Inferiority:

From ages 6 to 12, as a child grows up but before reaching the stage of puberty, he learns many

new skills and develops social abilities. If the child experiences real progress at a rate compatible

with his abilities he or she will develop a sense of industry. If the situation is the reverse of it, he

will develop a sense of inferiority. Likewise, in our organisational life, we try to work hard to

make a position for ourselves. If we are not successful in our efforts, we will develop a sense of

inferiority and low esteem otherwise we will develop a sense of industry.


Stage 5: Adolescence/Identity Vs Role Diffusion:

As a child reaches puberty and almost to the end of his adolescence (teenage years) he

experiences conflict due to the socially imposed requirements that he should become an

independent and effective adult. In this period he has to gain a sense of identity rather than to

become confused about who he is. The autonomy, initiative and enterprise developed in the

earlier stages are very important in helping the teenager to successfully resolve this crisis and

prepare for adulthood.

In the organisational setup also every employee has to make contributions to the institution and

establish himself as a high performing member. If he does it, he is identified in the eyes of the

management but if fails to establish himself he becomes just another employee in the eyes of the

management whose identity is diffused.

Stage 6: Early Adulthood/Intimacy Vs. Isolation:

During young adulthood or the adults during the twenties, need is felt to develop intimate

relations with others. The sense of identity developed during the teenage years allows the young

adult to begin developing deep and lasting relationships. However, if he feels it awkward to

develop such relationships, he will feel isolated. In the organisational life also, people may desire

to develop close contracts with others who are significant and important in the system. Those

who can do it, have a sense of intimacy. For those others who find it difficult to do it, experience

a sense of isolation in the system.

Stage 7: Adulthood/Generatively Vs. Stagnation:

This is the stage of middle adulthood. If a person becomes absorbed in his own career

advancement and maintenance and he does not care for the development and growth of his

children, which is a socially imposed demand on him, he will have a feeling of stagnation or self

absorption in his life. On the other hand, a person who sees the world as bigger than himself and

fulfills his social obligations will be generative and have a feeling of generatively.


Likewise in the organisation, as a person reaches his mid career, there is an expectation and need

to mentor others in the system and help them to develop and grow in the organisation. If a person

does not do this effectively, he senses a feeling of stagnation in the system.

Stage 8: Mature Adulthood/Ego Integrity Vs Despair:

In this stage, a person is developed as a highly mature person. He has gained a sense of wisdom

and perspective that can really guide the younger generations. This stage lasts from middle

adulthood to death. In this stage conflict is experienced by individuals as their social and

biological roles get diminished due to the ageing process and they experience a sense of

uselessness. If they resolve the issue, they can experience happiness by looking at their

consolidated lifelong achievement. If they fail to do so, they will have a sense of despair.

Assessment Criticism:

Likewise in the organisational life, a person can have a feeling of ego integrity after retirement

by looking at his stock of accomplishments or he can leave the organisation with a sense of

purposelessness and despair. All the stages are inter linked. If one conflict is not resolved in one

stage, it will be carried forward to the subsequent developmental stage. Managers can play a very

important role in identifying the unresolved conflicts and try to help the employees in dealing

with them.

3. Traits Theory:

Freudian and other theories have emphasized the qualitative aspects of personality. The trait

theory is quantitative and refers to measurement of psychological characteristics called traits.

The trait theory proposes that “an individual may be described in terms of a constellation of traits

such as affiliation, achievement, anxiety, aggression and dependency.” A trait is, thus, any

distinguishing relatively enduring way in which one individual differs from another. The traits

and the amount of each trait that each person has is assumed to be fairly stable and the


differences in personality and behaviour between two individuals is assumed to be a result of

differences in the amount of each trait that each person has.

The traits theory raises a few fundamental questions:

(i) What are the traits which comprise human personality?

(ii) How are these traits to be measured to ascertain the personality composition and in turn the

behaviour pattern of that individual in an organisation?

D.W. Fiske conducted an empirical study of 128 men. Twenty individual traits were used to get

their ratings. A factor analysis of such ratings provided five general or basic traits.

They are:

(i) Social adaptability

(ii) Emotional control

(iii) Conformity

(iv) Inquiring intellect and

(v) Confident self expression.

These traits exercise considerable influence on individual and in turn organisational behaviour.

Apart from Fiske’s empirical work on identifying general traits of individual personality there

are other contributors to traits theory whose contributions are accepted as classics. These

contributors are Gordon Allport and Raymond Cattell.

Allport’s trait theory is based upon the distinction between common-traits and personal

dispositions. Allport classifies people on the basis of his scale of value test. He identified six

categories of values: theoretical, economic, esthetic, social, political and religious. These six


values are common traits which may be used for comparing people. Besides, these common

traits, he has identified some unique traits which he calls as personal dispositions.

He classifies these unique traits under three categories:

(i) Cardinal (pervasive),

(ii) Central (unique and limited in number) and

(iii) Secondary (peripheral). Allport lays greater emphasis on personal dispositions which

register a departure from the common personality trait theory.

Cattell has taken a different approach from Allport. He has identified two categories of traits—

surface traits and source traits. He determined thirty five surface traits by finding cluster of traits

that are correlated. Such traits lie on the surface of the personality and are largely determined by

the underlying source traits. He identified sixteen source traits or primary traits. The sixteen

personality traits having two dimensions are noted in the following table. These traits are

constant and enduring, allowing prediction of human behaviour.

http://cdn.yourarticlelibrary.com/wp-content/uploads/2015/08/image10.png


Evaluation:

Trait theory makes more sense than other theories as it provides continuity to human personality.

The trait theorists have provided personality tests and factor-analysis techniques to behavioural

sciences. In spite of these facts, it is description rather than analytical to present a comprehensive

theory of personality.

Interpersonal perception

Interpersonal perception is an area of research in social psychology which examines the beliefs

that interacting people has about each other. This area differs from social cognition and person

perception by being interpersonal rather than intrapersonal, and thus requiring the interaction of

at least two actual people.

What Are the Big Five Dimensions of Personality?

Today, many researchers believe that they are five core personality traits. Evidence of this theory

has been growing for many years, beginning with the research of D. W. Fiske (1949) and later

expanded upon by other researchers including Norman (1967), Smith (1967), Goldberg (1981),

and McCrae & Costa (1987).

The "big five" are broad categories of personality traits. While there is a significant body of

literature supporting this five-factor model of personality, researchers don't always agree on the

exact labels for each dimension.

These five categories are usually described as follows.

Extraversion

Extraversion is characterized by excitability, sociability, talkativeness, assertiveness, and high

amounts of emotional expressiveness.

People who are high in extraversion are outgoing and tend to gain energy in social situations.

People who are low in extraversion (or introverted) tend to be more reserved and have to expend

energy in social settings.

People who rate high on extraversion tend to:

Enjoy being the center of attention

Like to start conversations

Enjoy meeting new people

https://en.wikipedia.org/wiki/Social_psychology_(psychology)

https://en.wikipedia.org/wiki/Social_cognition

https://en.wikipedia.org/wiki/Person_perception

https://en.wikipedia.org/wiki/Person_perception

https://www.verywell.com/what-is-extroversion-2795994

https://www.verywell.com/signs-you-are-an-extrovert-2795426


People who rate low on extraversion tend to:

Prefer solitude

Feel exhausted when they have to socialize a lot

Find it difficult to start conversations

Agreeableness

This personality dimension includes attributes such as trust, altruism, kindness, affection, and

other prosocial behaviors. People who are high in agreeableness tend to be more cooperative

while those low in this trait tend to be more competitive and even manipulative.

People who are high in the trait of agreeableness tend to:

Have a great deal of interest in other people

Care about others

Feel empathy and concern for other people

Those who are low in this trait tend to:

Take little interest in others

Don't care about how other people feel

Have little interest in other people's problems

Conscientiousness

Standard features of this dimension include high levels of thoughtfulness, with good impulse

control and goal-directed behaviors. Highly conscientiousness tend to be organized and mindful

of details.

Those who are high on the conscientiousness continuum also tend to:

Spend time preparing

Finish important tasks right away

Pay attention to details

People who are low in this trait tend to:

Dislike structure and schedules

Make messes and not take care of things

Fail to return things or put them back where they belong

https://www.verywell.com/signs-you-are-an-introvert-2795427

https://www.verywell.com/what-is-altruism-2794828

https://www.verywell.com/what-is-prosocial-behavior-2795479

https://www.verywell.com/what-is-empathy-2795562


Neuroticism

Neuroticism is a trait characterized by sadness, moodiness, and emotional instability. Individuals

who are high in this trait tend to experience mood swings, anxiety, irritability and sadness. Those

low in this trait tend to be more stable and emotionally resilient.

Individuals who are high in neuroticism tend to:

Experience a lot of stress

Worry about many different things

Get upset easily

Those who are low in this trait are typically:

Emotionally stable

Deal well with stress

Rarely feel sad or depressed

Openness

This trait features characteristics such as imagination and insight, and those high in this trait also

tend to have a broad range of interests. People who are high in this trait tend to be more

adventurous and creative. People low in this trait are often much more traditional and may

struggle with abstract thinking.

People who are high on the openness continuum are typically:

Very creative

Open to trying new things

Focused on tackling new challenges

Happy to think about abstract concepts

Those who are low on this trait:

Dislike change

Do not enjoy new things

Resist new ideas

Not very imaginative

Dislikes abstract or theoretical concepts

Are the Big Five Traits Universal?

McCrae and his colleagues have also found that the big five traits are also remarkably universal.

One study that looked at people from more than 50 different cultures found that the five

dimensions could be accurately used to describe personality.

https://www.verywell.com/what-is-resilience-2795059

https://www.verywell.com/what-is-creativity-p2-3986725

https://www.verywell.com/characteristics-of-creative-people-2795488


Based on this research, many psychologists now believe that the five personality dimensions are

not only universal; they also have biological origins. Psychologist David Buss has proposed that

an evolutionary explanation for these five core personality traits, suggesting that these

personality traits represent the most important qualities that shape our social landscape.

A Word From Verywell

Always remember that behavior involves an interaction between a person's underlying

personality and situational variables. The situation that a person finds himself or herself in plays

a major role in how the person reacts. However, in most cases, people offer responses that are

consistent with their underlying personality traits.

These dimensions represent broad areas of personality. Research has demonstrated that these

groupings of characteristics tend to occur together in many people. For example, individuals who

are sociable tend to be talkative. However, these traits do not always occur

together. Personality is a complex and varied and each person may display behaviors across

several of these dimensions.

Johari window

The Johari Window Model

History

It is necessary to improve self-awareness and personal development among individuals when

they are in a group. The ‘Johari’ window model is a convenient method used to achieve this task

of understanding and enhancing communication between the members in a group. American

psychologists Joseph Luft and Harry Ingham developed this model in 1955. The idea was

derived as the upshot of the group dynamics in University of California and was later improved

by Joseph Luft. The name ‘Johari’ came from joining their first two names. This model is also

denoted as feedback/disclosure model of self-awareness.

Introduction

The Johari window model is used to enhance the individual’s perception on others. This model is

based on two ideas- trust can be acquired by revealing information about you to others and

learning yourselves from their feedbacks. Each person is represented by the Johari model

through four quadrants or window pane. Each four window panes signifies personal information,

feelings, motivation and whether that information is known or unknown to oneself or others in

four viewpoints.

https://www.verywell.com/personality-psychology-4013513


The Johari Window Model

The method of conveying and accepting feedback is interpreted in this model. A Johari is

represented as a common window with four panes. Two of these panes represent self and the

other two represent the part unknown to self but to others. The information transfers from one

pane to the other as the result of mutual trust which can be achieved through socializing and the

feedback got fromother members of the group.

1. Open/self-area or arena – Here the information about the person his attitudes, behaviour,

emotions, feelings, skills and views will be known by the person as well as by others. This is

mainly the area where all the communications occur and the larger the arena becomes the more

effectual and dynamic the relationship will be. ‘Feedback solicitation’ is a process which occurs

by understanding and listening to the feedback from another person. Through this way the open

area can be increased horizontally decreasing the blind spot. The size of the arena can also be

increased downwards and thus by reducing the hidden and unknown areas through revealing

one’s feelings to other person.

2. Blind self or blind spot – Information about yourselves that others know in a group but you

will be unaware of it. Others may interpret yourselves differently than you expect. The blind spot

is reduced for an efficient communication through seeking feedback from others.

3. Hidden area or façade – Information that is known to you but will be kept unknown from

others. This can be any personal information which you feel reluctant to reveal. This includes

feelings, past experiences, fears, secrets etc. we keep some of our feelings and information as


private as it affects the relationships and thus the hidden area must be reduced by moving the

information to the open areas.

4. Unknown area – The Information which are unaware to yourselves as well as others. This

includes the information, feelings, capabilities, talents etc. This can be due to traumatic past

experiences or events which can be unknown for a lifetime. The person will be unaware till he

discovers his hidden qualities and capabilities or through observation of others. Open

communication is also an effective way to decrease the unknown area and thus to communicate

effectively.

Example

Linda got a job in an organization. Her co-workers knew a little about her and in this context the

unknown and hidden areas will be larger and the open area will be small. As the others don’t

know much about her the blind spot also will be smaller and the model will be as shown in

Figure 1.

Linda spent most of her free time sketching in the office which was her preferred pastime and

her co-workers found her very shy and elusive. With that evaluation she got the idea how she

was and tried to be more talkative and interacted more with other co-workers. This helped her to

increase her open area and thus making the hidden and unknown areas smaller. (Figure 2)


Through the feedback Linda got from her co-workers she could perform well in the office and

her real capacity could be obtained as a result of an effective interaction among the colleagues.


Unit-5

Organizational culture

Definition

Organizational culture is a system of shared assumptions, values, and beliefs, which governs

how people behave in organizations. These shared values have a strong influence on the people

in the organization and dictate how they dress, act, and perform their jobs.

Organizational culture includes an organization’s expectations, experiences, philosophy,

as well as the values that guide member behavior, and is expressed in member self-image,

inner workings, interactions with the outside world, and future expectations. Culture is

based on shared attitudes, beliefs, customs, and written and unwritten rules that have been

developed over time and are considered valid (The Business Dictionary).

Culture also includes the organization’s vision, values, norms, systems, symbols,

language, assumptions, beliefs, and habits (Needle, 2004).

Simply stated, organizational culture is “the way things are done around here” (Deal &

Kennedy, 2000).

Creating a Culture

There are only two main ways to build an organizational culture: either with consideration and

conscious intent; or, by contrast, to let the culture come together as it does, giving it little thought

in the process.

What follows is our recipe for consciously creating an organizational culture. Like all recipes,

it’s not perfect. But, if you use it, you will radically increase the odds of creating the culture you

want.

The formula for successfully building a culture of great service here at Zingerman’s is applicable

to the building of an organization’s overall culture as well.

1. Teach It

The more—and more effectively—we teach people what we are looking for in our culture, the


more likely it will become the reality. Whatever orientation and training work you’re doing, you

should talk about the kind of culture you’re going after. Describe the way you’d like things to be

working. Talk about the informal ways in which you envision the group working together, the

way you want the customer experience to feel, etc.

It’s okay to teach about parts of the current culture that you’re working on changing. There’s

nothing wrong with saying something like, “You may notice that there are people who arrive a

bit late for their scheduled shifts. We’re working on building a culture that’s a lot timelier. My

expectation is that you be on time as per the schedule regardless of what others may still do. I’m

looking for you to help lead the way to making this cultural improvement.

One of the best ways to teach the culture is to tell stories. There’s something solid that resonates

when people hear nice tales of how things were handled in a difficult situation, or how the

organization has successfully progressed to where it is. There’s a substantive wisdom that comes

from these stories, an experiential element of teaching that goes beyond the intellectual theories.

And because culture is what’s happening, not just what we say should be going on, the stories

resonate in ways that pure theory cannot.

2. Define It

If you have a number of leaders running your organization, you may not immediately have full

agreement on what your desired culture is. In that case, there must be hard discussion amongst

the key decision makers so that you can reach a consensus.

Putting the vision in writing is an essential element of making it successful. When the dialogue

stays verbal only, it’s inevitable that everyone will leave the room with a different version of

what was agreed upon. Documenting it is far more likely to help you get where you want to go.

3. Live It

Culture is very little about what we say, and very much about what we do. If we don’t live it, it’s

never going to play out as we want. Organizational culture is built slowly over time, not with a

quick decision or the writing of a big check.


This is especially critical for the leaders in our organizations; the staff sees everything we do. I

remind myself that every action I take and every word I speak will have an impact on how our

organizational culture develops. Pretending that my words, actions and attitudes don’t impact it

significantly would be to live in denial.

(The influence of the leader is particularly strong in a start-up situation. Things are moving

quickly, people are operating in close quarters usually under high stress and behaviors can have

long and lasting effects.)

Some of the meaningful ways that leaders impact the culture include: • how well our words

match our deeds • how we handle things when they don’t match up • which of our values we live

and which we only pay lip service to • who we hire and who we fire • who we reward and who

we don’t • the systems/recipes/processes we put in place • how we handle failure

How we manage difficult situations is one of the biggest contributors to the creation of

organizational culture. It’s easier to build a culture when everything is going well. But strong

cultures are partially built by what we do during hard times. When money is tight, how do we

act? When a staff member is ill, how do we respond? When a good customer can’t pay their bills,

what do we say?

4. Measure It

once we’ve identified the key elements of our desired culture and written them down, we must

measure our success in making them a (cultural) reality. Many will argue that you cannot

measure things like fun or supportiveness or camaraderie; I think you can. If you want to have a

results-oriented organization, you are more likely to succeed if you measure your success at

putting the culture into place. If you’re setting out to measure cultural characteristics like “fun,

remember that the judgment will be made by the participants in the organization. Once you have

that mindset, along with some definition of what “fun means, you can measure it. Just have

people rate how much “fun they had at the end of every shift and tally the answers. When you

track those scores week to week, you can talk about what to do to improve your “fun quotient

and then implement an action plan.


5. Reward It

A common problem in every organization is the mismatch between what it says it wants and

what’s rewarded. In some cases, the issue is just an absence of rewards. Companies say that want

people to treat each other well but those who do receive no recognition; they say that they want

to have fun but the only reward you get is . . . you’re having fun; they say that they want people

to learn but the only reward is that they know more than before a seminar. The situation can be

more extreme—organizations that actually reward the opposite of the cultural behavior they say

they’re seeking. They say they want to be generous, but they take for themselves first. They say

that they want teamwork, but pay bonuses based on individual performance. No organization

will ever perfectly align every reward with the behaviors we seek. But at least being cognizant of

the key elements of the cultural vision we’re going after and then making sure that we recognize

and reward those is important.

Changing an Existing Culture

There’s no quick fix that begets cultural change in a matter of days, weeks or even months; it’s

infinitely easier to rewrite a system than it is to change the culture of an organization. It requires

tons of communication, years of stubborn persistence, relentless follow up, and probably a little

luck. Fact is, you can never “get rid of the parts of the culture you don’t like. More realistically

what works is to gradually build up the strengths around the less desirable elements so that the

“problems become smaller impediments to getting to where you want to go.

What I’ve always been taught is that cultural change takes about a “generation. In the food

world, one of the organizational challenges we have always faced is that there’s a lot more

turnover than we might like. The good news is that because we have higher turnover we can

make cultural change happen more quickly than it might in, for instance, the auto industry.


Handling Cultural Gaps

In my fantasy we deliver perfectly on our cultural vision all the time. We follow every system

and recipe every day. We behave in ways that are in synch with our guiding principles.

The reality is that even the most effective organizations will have gaps between the ways they

want things to be and the way people behave culturally. The obvious social example of this is the

speed limit on the highway. Speed limit signs say “70 miles per hour, but everyone knows that

the “real speed limit is that you drive as fast as you want unless there’s a cop. Cruise down the

road at 85 mph (in Michigan, at least) until you see that dome light on the side of the road, and

then you quickly sloooooow down! Take note, of course, that these aren’t outlaws I’m talking

about. They’re well-respected and upstanding citizens.

Learning culture

A learning culture is a collection of organizational conventions, values, practices and processes.

These conventions encourage employees and organizations develop knowledge and competence.

An organization with a learning culture encourages continuous learning and believes that systems

influence each other. Since constant learning elevates an individual as a worker and as a person, it

opens opportunities for the establishment to transform continuously for the better.


The Advantages of a Learning Culture

There are many benefits of a cultivated learning culture in an organization. These include, but are not

limited to:

Increased efficiency, productivity and profit

Increased employee satisfaction and decreased turnover

An improvement mindset among employees

A developed sense of ownership and accountability

For learning to be effective in an organization, the knowledge that is encouraged must be related to

the business. More so, individuals in an organization should be working together rather than learning

individually. Shared learning enables companies to increase their staff quicker and solve problems

more efficiently.

How to Create a Learning Culture in an Organization

The first step in creating a culture of learning in your workplace begins with your leaders. Since they

are reinforcing training initiatives, they should be supportive of a learning environment. Otherwise,

they should alter the way they see the company and look at it from a different perspective.

Some key steps in creating a learning culture in the workplace are as follows:

Formalize training and development plans. For a learning culture to be ingrained, it should be

mandatory for all individuals in the organization. Training and development plans that are not

formalized run the risk of not being taken seriously and as a result, not implemented.

Give recognition to learning. Employees who have successfully learned new skills and abilities

should be recognized and encourage others to follow suit.

Get feedback. Sessions and polls should regularly be done to evaluate the benefits of training and

development, as well as to determine whether the training investment is well spent.

Promote from within. One of the advantages of training is having employees who are ready for a

bigger role. Announce an internal job posting to encourage employees to gain knowledge.

Develop knowledge and information sharing into a formal process. People will be more

encouraged to share knowledge and information if they are required to do so. Formalizing the

process makes sure that everyone who needs the information gets it.


Dimensions of Culture

Which values characterize an organization’s culture? Even though culture may not be

immediately observable, identifying a set of values that might be used to describe an

organization’s culture helps us identify, measure, and manage culture more effectively. For this

purpose, several researchers have proposed various culture typologies. One typology that has

received a lot of research attention is the Organizational Culture Profile (OCP) where culture is

represented by seven distinct values.Chatman, J. A., & Jehn, K. A. (1991)

Innovative Cultures

According to the OCP framework, companies that have innovative cultures are flexible,

adaptable, and experiment with new ideas. These companies are characterized by a flat hierarchy

and titles and other status distinctions tend to be downplayed. For example, W. L. Gore &

Associates is a company with innovative products such as GORE-TEX® (the breathable fabric

that is windproof and waterproof), Glade dental floss, and Elixir guitar strings, earning the


company the distinction as the most innovative company in the United States by Fast

Company magazine in 2004. W. L. Gore consistently manages to innovate and capture the

majority of market share in a wide variety of industries, in large part because of its unique

culture. In this company, employees do not have bosses in the traditional sense, and risk taking is

encouraged by celebrating failures as well as successes. Deutschman, A. (2004, December). The

fabric of creativity. Fast Company, 89, 54–62.Companies such as W. L. Gore, Genentech, and

Google also encourage their employees to take risks by allowing engineers to devote 20% of

their time to projects of their own choosing.

Aggressive Cultures

Companies with aggressive cultures value competitiveness and outperforming competitors; by

emphasizing this, they often fall short in corporate social responsibility. For example, Microsoft

is often identified as a company with an aggressive culture. The company has faced a number of

antitrust lawsuits and disputes with competitors over the years. In aggressive companies, people

may use language such as “we will kill our competition.” In the past, Microsoft executives made

statements such as “we are going to cut off Netscape’s air supply…Everything they are selling,

we are going to give away,” and its aggressive culture is cited as a reason for getting into new

legal troubles .

Outcome-Oriented Cultures

The OCP framework describes outcome-oriented cultures as those that emphasize achievement,

results, and action as important values. A good example of an outcome-oriented culture may be

the electronics retailer Best Buy. Having a culture emphasizing sales performance, Best Buy

tallies revenues and other relevant figures daily by department. Employees are trained and

mentored to sell company products effectively, and they learn how much money their department

made every day.Copeland.In 2005, the company implemented a Results Oriented Work

Environment (ROWE) program that allows employees to work anywhere and anytime; they are

evaluated based on results and fulfillment of clearly outlined objectives. Outcome-oriented


cultures hold employees as well as managers accountable for success and use systems that

reward employee and group output. In these companies, it is more common to see rewards tied to

performance indicators as opposed to seniority or loyalty. Research indicates that organizations

that have a performance-oriented culture tend to outperform companies that are lacking such a

culture. At the same time, when performance pressures lead to a culture where unethical

behaviors become the norm, individuals see their peers as rivals, and short-term results are

rewarded, the resulting unhealthy work environment serves as a liability.

Stable Cultures

Stable cultures are predictable, rule-oriented, and bureaucratic. When the environment is stable

and certain, these cultures may help the organization to be effective by providing stable and

constant levels of output. Increasing the number of guards at nuclear power plants.

These cultures prevent quick action and, as a result, may be a misfit to a changing and dynamic

environment. Public sector institutions may be viewed as stable cultures. In the private sector,

Kraft Foods is an example of a company with centralized decision making and rule orientation

that suffered as a result of the culture-environment mismatch.

People-Oriented Cultures

People-oriented cultures value fairness, supportiveness, and respecting individual rights. In these

organizations, there is a greater emphasis on and expectation of treating people with respect and

dignity. Justice and leader-member exchange: The moderating role of organizational

culture. Academy of Management Journal, 49, 395–406. One study of new employees in

accounting companies found that employees, on average, stayed 14 months longer in companies

with people-oriented cultures.. Starbucks is an example of a people-oriented culture. The

company pays employees above minimum wage, offers health care and tuition reimbursement

benefits to its part-time as well as full-time employees, and has creative perks such as weekly

free coffee for all associates. As a result of these policies, the company benefits from a turnover

rate lower than the industry average.


Team-Oriented Cultures

Companies with a team-oriented culture are collaborative and emphasize cooperation among

employees. For example, Southwest Airlines facilitates a team-oriented culture by cross-training

its employees so that they are capable of helping one another when needed. The company also

emphasizes training intact work teams. In Southwest’s selection process, applicants who are not

viewed as team players are not hired as employees. Positioning Southwest Airlines through

employee branding. . In team-oriented organizations, members tend to have more positive

relationships with their coworkers and particularly with their managers. The growth in the

number of passengers flying with Southwest Airlines from 1973 until 2007 when Southwest

surpassed American Airlines as the most flown U.S. airline. While price has played a role in this,

their emphasis on service has been a key piece of their culture and competitive advantage.

Detail-Oriented Cultures

Organizations with a detail-oriented culture are characterized in the OCP framework as

emphasizing precision and paying attention to details. Such a culture gives a competitive

advantage to companies in the hospitality industry by helping them differentiate themselves from

others. For example, Four Seasons and Ritz Carlton are among hotels who keep records of all

customer requests such as which newspaper the guest prefers or what type of pillow the customer

uses. This information is put into a computer system and used to provide better service to

returning customers. Any requests hotel employees receive, as well as overhear, might be entered

into the database to serve customers better.

Strength of Culture

A strong culture is one that is shared by organizational Leading by leveraging culture. that is, a

culture in which most employees in the organization show consensus regarding the values of the

company. The stronger a company’s culture, the more likely it is to affect the way employees

think and behave. For example, cultural values emphasizing customer service will lead to higher-

quality customer service if there is widespread agreement among employees on the importance


of customer-service-related values. It is important to realize that a strong culture may act as an

asset or a liability for the organization, depending on the types of values that are shared. For

example, imagine a company with a culture that is strongly outcome-oriented. If this value

system matches the organizational environment, the company may perform well and outperform

its competitors. This is an asset as long as members are behaving ethically. However, a strong

outcome-oriented culture coupled with unethical behaviors and an obsession with quantitative

performance indicators may be detrimental to an organization’s effectiveness. Enron is an

extreme example of this dysfunctional type of strong culture.

One limitation of a strong culture is the difficulty of changing it. In an organization where certain

values are widely shared, if the organization decides to adopt a different set of values, unlearning

the old values and learning the new ones will be a challenge because employees will need to

adopt new ways of thinking, behaving, and responding to critical events.

A strong culture may also be a liability during a merger. During mergers and acquisitions,

companies inevitably experience a clash of cultures, as well as a clash of structures and operating

systems. Culture clash becomes more problematic if both parties have unique and strong

cultures. For example, during the merger of Daimler-Benz with Chrysler to create

DaimlerChrysler, the differing strong cultures of each company acted as a barrier to effective

integration. Daimler had a strong engineering culture that was more hierarchical and emphasized

routinely working long hours. Daimler employees were used to being part of an elite

organization, evidenced by flying first class on all business trips. However, Chrysler had a sales

culture where employees and managers were used to autonomy, working shorter hours, and

adhering to budget limits that meant only the elite flew first class. The different ways of thinking

and behaving in these two companies introduced a number of unanticipated problems during the

integration process.


Do Organizations Have a Single Culture?

So far, we have assumed that a company has a single culture that is shared throughout the

organization. In reality there might be multiple cultures within the organization. For example,

people working on the sales floor may experience a different culture from that experienced by

people working in the warehouse. Cultures that emerge within different departments, branches,

or geographic locations are called subcultures. Subcultures may arise from the personal

characteristics of employees and managers, as well as the different conditions under which work

is performed. In addition to understanding the broader organization’s values, managers will need

to make an effort to understand subculture values to see their effect on workforce behavior and

attitudes.

Sometimes, a subculture may take the form of a counterculture. Defined as shared values and

beliefs that are in direct opposition to the values of the broader organizational. countercultures

are often shaped around a charismatic leader. For example, within a largely bureaucratic

organization, an enclave of innovativeness and risk taking may emerge within a single

department. A counterculture may be tolerated by the organization as long as it is bringing in

results and contributing positively to the effectiveness of the organization. However, its existence

may be perceived as a threat to the broader organizational culture. In some cases, this may lead

to actions that would take away the autonomy of the managers and eliminate the counterculture.

Approaches to Analyzing Organizational Cultures

These categories—functionalist, interpretive, critical, and postmodern—provide what is

called heuristic value. In other words, having neat categories helps us to grasp the overall

picture, even though actual studies of organizational cultures do not always fall so clearly into

only one category. Scholars often take more than one approach. For example, though the chief

purpose of interpretive research is description, gaining a better grasp of cultural dynamics in

organizations may give voice to the interests of workers who were previously silenced. Later in

this section, we will learn more about research that employs multiple approaches. But for now,

let us explore the four basic approaches—functionalist, interpretive, critical, and postmodern—

and review some foundational ideas in each one.


Functionalist Approaches

The notion of “organizational culture” entered the popular vernacular with two books, both

published in 1982, that took the corporate world by storm. One even became a New York

Times bestseller. The two books, Corporate Cultures by Terrence Deal and Allan Kennedy,

and In Search of Excellence (the bestseller) by Tom Peters and Robert Waterman, popularized

the idea that organizations have cultures and corporate leaders could adjust them to boost

performance.Suddenly, managers were consulting these books to see if their own workplaces

measured up as “strong” (Deal and Kennedy) and “excellent” (Peters and Waterman)

organizations, “The speed with which ‘organizational culture’ emerged as a significant

lens…[to] engage with organizations and institutions was astounding.” Prescriptions for

boosting effectiveness by changing organizational culture are still a staple of the popular

business press. But academics also took note of the trend.

Schein's Model of Organizational Culture

As scholars built on the growing interest in organizational culture, the work of Edgar Schein

became prominent in the field and remains influential today. The title of his best-known

book, Organizational Culture and Leadership, affirmed his functionalist stance that founders and

leaders “embed,” “transmit,” and “teach” culture. Nevertheless, Schein’s model also imparts an

emergent, group-oriented quality. His oft-quoted definition states that organizational culture is“a

pattern of shared basic assumptions that the group learned as it solved its problems of external

adaptation and internal integration, that has worked well enough to be considered valid, and

therefore, to be taught to new members as the correct way to perceive, think, and feel in relation

to those problems.”

Even if culture is taught to members as the correct way, the definition describes culture as a

group occurrence. This introduces the need for communication, since that is how people create

and share meaning. Next, Schein’s definition brings in the belief that social phenomena—such as

organizations—tend toward order, as people naturally want predictable patterns that provide

consistency and stability. Then Schein envisions an emergent quality in organizational culture as

the group encounters problems, learns to solve them, and validates those solutions that


successfully adapt the organization to its environment and integrate its members into a

functioning group.

Through such dynamics, the organizational culture of Facebook emerged over time as Harvard

student Mark Zuckerberg launched the site in 2004 for on-campus social networking, enlisted a

team of classmates to expand Facebook to other colleges, filed as a corporation, moved

operations to California’s Silicon Valley, and in 2006 opened enrollment to virtually anyone. But

the example of Facebook also illustrates Schein’s contention that organizations do not form

accidentally or spontaneously, but begin with the idea of a single founder. Culture formation

only starts when the founder teaches the idea to a core group.

Consider these corporate leaders: Walt Disney, Colonel Harlan Sanders, Bill Gates, and Mary

Kay Ash. Even after many decades, their original visions continue to distinguish the

organizations they founded. Sometimes, the company founder even became the symbolic focus

of an organization—think about Steve Jobs of Apple Computers or Dave Thomas of the

Wendy’s restaurant chain. This phenomenon occurs, however, not only in well-known

corporations, but in many small businesses and family-owned firms as well.

As the organization grows beyond the core group, the influence of leaders is extended through

what Schein called culture-embedding mechanisms. What leaders choose to regularly emphasize,

measure, and control; how leaders react to key incidents and emergencies; how leaders allocate

resources and rewards; how they select and promote (or terminate) employees—all have primary

impacts on organizational culture. Leadership priorities are likewise embedded through a number

of secondary mechanisms including organizational structures, systems, procedures, formal

documents, physical spaces, rites, rituals, stories, and myths.


Organizational Rites and Rituals

Another frequently cited study also illustrates how a functionalist approach can recognize the

ways that organizational cultures emerge from group interactions—even as it prescribes ways

that group processes can be managed. Harrison Trice and Janice Beyer proposed that

organizational rites and ceremonials fall into six categories: passage (transitions to new roles),

degradation (reprimanding or firing), enhancement (show approval/give awards), renewal

(training and development), conflict reduction (negotiations/conflict management), and

integration (office parties, staff retreats, onboarding, etc.). These range from rites that enhance

and renew the organization, to rites that reduce conflicts, to rites that bind members to the

organization and mark their passage through (or exit from) the system. Trice and Beyer readily

acknowledged that, beyond what is openly done and said, these rites also have a ripple effect.

They gave the example of a college professor who receives an award. Beyond affirming the

award process and the individual candidate, the rite demonstrates to other professors what the

institution values most and motivates faculty to meet those requirements. Thus

the social consequences of a rite will ripple through an organization and impact its culture, even

as the rites themselves are expressions of that culture.

Still, these rites—and the culture they express—are seen as attributes that an organization has,

rather than what the organization is. Trice and Beyer referenced the work of Deal and Kennedy,

and Peters and Waterman, to affirm that “Organizations with strong cultures probably have

potent and well-established rites and ceremonials.” Thus, they advised, “Practicing managers

therefore could profit from learning how to evaluate their rites and ceremonials in order to

determine the degree to which they are achieving both desired and other

consequences.” Existing rites can be “domesticate[d]…to shape their practice and manage their

occurrence” and thereby “create new ideologies that are consistent with the demands of external

change.” Or, alternatively, “managers can invent…new rites that express ideologies that

positively value change itself” until “the old rites may lose their appeal and wither away.”

Organizational Symbols

Rites and rituals, of course, have great symbolic value, we learned that semiotics, or the study of

signs and symbols, is one of the major traditions in theorizing communication. Since the

https://catalog.flatworldknowledge.com/bookhub/reader/7635?e=wrenchorgcomm_1.0-ch06_s02#ftn.fn-10


meaning of a thing is different for each person, the common referent of a sign or symbol makes it

possible for some meaning, at least, to be shared. Gail Fairhurst and Robert Saar, for example,

advise leaders to leverage this phenomenon and develop the art of creating the “frames” by

which followers interpret organizational life. In the literature on organizations, then, symbols are

strongly associated with organizational culture.

Perhaps when you think of organizational symbols, the various military branches come to mind

with their uniforms, rank insignia, medals, flags, colors, and anthems. Yet the company president

who stakes out a named parking space next to the front door—or who reserves that spot for the

employee of the month—is also creating a symbol that can influence the organization’s culture.

Reflections of Organizational Culture

Symbols provide tangible ways to create a shared perception among organization members. For

instance, if you were planning a wedding and visited a hotel ballroom that looked rundown and

dirty, you would interpret that as a reflection of the hotel’s overall culture. The ballroom is,

symbolically, the grandest space in any hotel. So, if even its ballroom is shabby and its

furnishings outdated, then the hotel management and staff presumably must be lax. But suppose

you walked into a pristine, gorgeous ballroom with fresh flowers and polished floors and all the

things that symbolize grand style. You would take that as a symbolic reflection of the hotel itself.

Triggers of Internalized Values and Norms

As we saw, symbols reflect organizational culture. But in turn, symbols

also shape organizational culture. Over time, symbols stimulate organization members to act on

the cultural values and norms they have internalized. Thus the staff at the hotel with the rundown

ballroom are probably stimulated (negatively) to take a “Who cares?” attitude about maintaining

the premises, while the staff at the hotel with the stylish ballroom are stimulated to take pride in

working at a five-star property.

One type of action, of course, is communicative behavior. Rafaeli and Worline argued that

organizational symbols can encourage communications that members deem appropriate and

discourage communications deemed inappropriate. For example, think about your last visit to a

favorite restaurant. If you went to a coffee shop with a friend, you probably relaxed in plush

chairs and enjoyed an easygoing conversation. But if you went out for fine dining, the posh


surroundings likely prompted you and your companion to speak in quieter tones and perhaps

with a bit more formality. In either case, the symbols all around you—from the earthenware

mugs at the coffee shop to the crystal wineglasses at the gourmet restaurant—prompted you to

communicate in different ways.

Frames for Conversations about Experience

Rafaeli and Worline believe the third function of symbols “is to provide a vehicle for

conversation and communication among organizational members.” This idea recalls our earlier

observation about the semiotic work of signs and symbols, how they provide a common referent

that allows people to share meaning. Thus the baristas at the coffee shop stand behind the coffee

bar, underneath the hand-lettered menu board, surrounded by an earthy brown and green color

scheme, wearing aprons to match, and banter with customers and each other about the latest

trends in pop culture. They would never talk about cutlery, linens, wine lists, and the market

price for fresh fish—as would the staff of the deluxe restaurant. In both cases, the symbolic

environment provides a frame for employees’ conversations about their organizational

experiences.

Integrators of Organizational Meaning Systems

Finally, suggest Rafaeli and Worline, symbols help integrate organization members’ individual

interpretations into a shared system of meanings. This dynamic is vividly seen in corporate logos

after two companies merge. When NationsBank and Bank of America merged, the name Bank of

America was kept, but the new logo sported the typology and color scheme of the old

NationsBank. When Citicorp and Travelers merged to become Citi, the new logo featured a red

arc that recalled the famous Travelers red umbrella symbol. And when Nextel and Sprint

merged, the new entity retained the Sprint name, but the new logo kept the Nextel color scheme.

In fact, symbols can be linguistic as well as visual. Slogans such as “A mind is a terrible thing to

waste” (United Negro College Fund), “Be all that you can be” (United States Army), and “Eat

mor chikin” (Chick-fil-A) not only convey the values of the respective organizations to the

public, but such slogans become symbolically important for organization members and guide

how they interpret life on the job.


Because organizational communication scholars who take a functionalist approach view culture

as an attribute an organization has, they believe leaders can attempt to shape it and increase

organizational effectiveness. Yet they acknowledge that cultural dynamics are complex, and that

group processes are powerful and not easy to “manage.” Still, their view of organizational

culture prompts them to look for shared patterns. In this, they share the outlook of interpretive

scholars whose ideas are reviewed in the next section. The difference is that the interpretive

perspective sees culture as something an organization is, rather than an attribute to be managed.

Interpretive Approaches

In the previous section we reviewed important scholarship on organizational culture from a

functionalist perspective, or the view that culture is one attribute (among many) that an

organization has. Since functionalism remains the perspective from which the majority of

organizational research is conducted, the works of Peters and Waterman (“excellent cultures”),

Deal and Kennedy (“strong cultures”), Schein (culture-embedding mechanisms), and Trice and

Beyer (organizational rites and rituals) continue to be widely cited and influential. Now,

however, we turn to the growing body of interpretive research that holds an organization is its

culture.

Recall that functionalists who believe culture is something an organization has often bring to

their research and a priori theory to use as a framework for their analyses. In contrast,

interpretive researchers prefer to observe an organization and then describe the culture on its own

terms, rather than fit their observations into a predetermined theory. For this reason, acquainting

you with functionalist theories was relatively easy since major theories are readily identifiable.

But the goal of interpretive research is describing cultures of individual organizations rather than

developing general theories (although as cases accumulate, general theories can be proposed). So

in this section on interpretive approaches to organizational culture, our review will focus less on

theories and more on how research is conducted.

Critical and Postmodern Approaches

In Chapter 4 on modern theories of organizational communication, we learned of critical and

postmodern approaches to the field. When scholars from these two traditions turn to


organizational culture, they often adopt methods discussed earlier—particularly rhetorical

analysis, genre analysis, discourse analysis, and story analysis. But they do so based on their own

ontological, epistemological, and axiological assumptions. So let’s review those assumptions—

that is, the assumptions that critical and postmodern scholars bring to the study of organizational

cultures.

Critical researchers investigate how organizational cultures promote reification and

universalization of managerial interests. Because culture becomes ingrained and taken for

granted, it is a powerful means for making an organization’s dominant interests seem natural,

normal, self-evident, and beyond questioning—until these interests are taken as the only

legitimate interests. Further, critical scholarship traces the ways that the managerial interests

reflect the larger structures of power and domination within the surrounding society. At the same

time, critical research explores how organizational processes of reification and universalization

have silenced the voices of marginalized groups—workers, women, people of color, and others.

Ultimately, a critical approach to organizational culture seeks to recover and emancipate these

marginalized voices, by exposing processes by which domination occurs and thus reopening for

discussion the possibilities that such domination has until now foreclosed.

Postmodern scholars hold that people’s view of “reality” is preconditioned by the larger

historical and cultural discourses that surround and shape them. And since these discourses are

ever changing and competing, then “reality” too is in constant flux. Since this same principle

applies to organizational realities, postmodern scholars say that organizations

are decentered (members’ intentions are not the main driving force since people are

preconditioned by language), fragmented (organizations are temporary responses to temporary

realities, buffeted over time by competing discourses that produce fragility rather than unity),

and overdetermined (members are shaped by competing discourses so that their organizational

identities are unstable). In tracing these phenomena through an organization’s culture,

postmodern researchers bring to their work a commitment to the centrality of discourse. Each

organization is a “text” that can be “read” or deconstructed to reveal the underlying historical

and cultural metanarratives that are reflected in the organization. Postmodern scholars take a


particular interest in tracing the formation of discourses about knowledge and power, laying

these bare and thus reopening them to scrutiny and discussion.

Organizational effectiveness

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

outcomes the organization intends to produce. Organizational Effectiveness groups in

organizations directly concern themselves with several key areas.

The Six Steps of Organization Effectiveness

1. Leadership

The first step in organization effectiveness is ‘Leadership’. In this step, management and project

leaders set forth the overall vision of the organization. What goals they hope to accomplish with

this project, how to carry them out, and what results they must strive for are in Leadership.

2. Communication

Of course, Leadership is only as effective as the group’s overall communication. In the second

step, Communication focuses on evenly spreading the goals, guidelines, and aspirations that

derive in Leadership. Furthermore, project managers must focus on strategic communication,

relation information in the forms that other project members need to complete their tasks.

3. Accountability

In the third step, Accountability, project managers and leaders must uphold other employees to

their tasks and responsibilities. Typically, project team members receive awards or

consequences, based on their performance. As a result, Accountability greatly determines how

smoothly and effectively a project performs.

4. Delivery

Your products and services are only successful if customers can receive them. At the next step,

Delivery focuses on ensuring an effective delivery system is in place. When your organization

has long, complex delivery process, errors will occur and efficiency is at risk. With smaller,

more concise processes, your end products can be delivered on time to the right people.

5. Performance

As a project manager, you must hire the right people for the correct jobs. Of course, not everyone

fits in the same position. At the ‘Performance’ step, the goal is to hire, train, and retain the

perfect applicants for the processes and tasks you have.


6. Measurement

A business process is only effective if you can measure it. At the final stage of organizational

effectiveness, you must measure and analyze your project, process, or other systems. Likewise,

you must measure your organization with the correct metrics. Failing to do so will result in

accurate or non-usable data.

Organizational effectiveness is important because:

. (a) It enhances the potential for job success, promotional opportunities, and longevity with the

employer.

(b) It provides a structure for organizing one's work.

(c) It increases understanding of the way big organizations operate.

Ethical Organization

Having an organizational culture that emphasizes ethical behavior can cut down on misbehavior

of organizations. Research shows that whether an organization develops a culture that

emphasizes doing the right thing even when it is costly comes down to whether leaders, starting

with the CEO, consider the ethical consequences of their actions. Leaders with a moral compass

set the tone when it comes to ethical dilemmas”

Robbins and Judge (2009) offer a nice list of what management can do to create a more ethical

organizational culture. They suggest a combination of the following practices:

Be a role model and be visible. Your employees look to the behavior of top

management as a model of what’s acceptable behavior in the workplace. When senior

management is observed (by subordinates) to take the ethical high road, it sends a

positive message for all employees.

Communicate ethical expectations. Ethical ambiguities can be reduced by creating and

disseminating an organizational code of ethics. It should state the organization’s primary

values and the ethical rules that employees are expected to follow. Remember, however,

that a code of ethics is worthless if top management fails to model ethical behaviors.

Offer ethics training. Set up seminars, workshops, and similar ethical training programs.

Use these training sessions to reinforce the organization’s standards of conduct, to clarify

what practices are and are not permissible, and to address possible ethical dilemmas.

Visibly reward ethical acts and punish unethical ones.Performance appraisals

of managers should include a point-by-point evaluation of how his or her

decisions measure up against the organization’s code of ethics. Appraisals must

include the means taken to achieve goals as well as the ends themselves. People who


act ethically should be visibly rewarded for their behavior. Just as importantly, unethical

acts should be punished.

Provide protective mechanisms. The organization needs to provide formal mechanisms

so that employees can discuss ethical dilemmas and report unethical behavior without

fear of reprimand. This might include creation of ethical counselors, ombudsmen, or

ethical officers.

What is Employee Stress ?

Employees stress is a growing concern for organizations today. Stress can be defined as a lively

circumstance in which people face constraints, opportunities, or loss of something they desire

and for which the consequence is both unpredictable as well as crucial. Stress is the response of

people to the unreasonable/excessive pressure or demands placed on them.

Stress is not always negative. It may also bring out the best in individuals at times. It may induce

an individual to discover innovative and smarter way of doing things. This positive dimension of

stress is called as enstress. But usually, the term stress has a negative implication and this

negative aspect of stress is termed as distress. For instance - When a subordinate is harassed or

warned by his superior, unhappiness of unsuitable job, etc. We can say that “Stress causes some

people to break, and other to break records.”

Symptoms of Stress

Some of the symptoms of stress at workplace are as follows-

Absenteeism, escaping from work responsibilities, arriving late, leaving early, etc.

Deterioration in work performance, more of error prone work, memory loss, etc.

Cribbing, over-reacting, arguing, getting irritated, anxiety, etc.

Deteriorating health, more of accidents, etc.

Improper eating habits (over-eating or under-eating), excessive smoking and drinking,

sleeplessness, etc.

It is thus very essential to have effective stress management strategies in an organization so that

the detrimental repercussions of stress on the employees as well as their performance can be

reduced and controlled.

Sources/Causes of Stress

The factors leading to stress among individual are called as stressors. Some of the

factors/stressors acting on employees are-

1. Organizational factors- With the growth in organizational stress and complexity, there

is increase in organizational factors also which cause stress among employees. Some of

such factors are-

a. Discrimination in pay/salary structure


b. Strict rules and regulations

c. Ineffective communication

d. Peer pressure

e. Goals conflicts/goals ambiguity

f. More of centralized and formal organization structure

g. Less promotional opportunities

h. Lack of employees participation in decision-making

i. Excessive control over the employees by the managers

2. Individual factors- There are various expectations which the family members, peer,

superior and subordinates have from the employee. Failure to understand such

expectations or to convey such expectations lead to role ambiguity/role conflict which in

turn causes employee stress. Other individual factors causing stress among employees are

inherent personality traits such as being impatient, aggressive, rigid, feeling time pressure

always, etc. Similarly, the family issues, personal financial problems, sudden career

changes all lead to stress.

3. Job concerning factors- Certain factors related to job which cause stress among

employees are as follows-

a. Monotonous nature of job

b. Unsafe and unhealthy working conditions

c. Lack of confidentiality

d. Crowding

4. Extra-organizational factors- There are certain issues outside the organization which

lead to stress among employees. In today’s modern and technology savvy world, stress

has increased. Inflation, technological change, social responsibilities and rapid social

changes are other extra-organizational factors causing stress.

Strategies for Managing Stress

Stress experienced by the employees in their job has negative impact on their health,

performance and their behaviour in the organization. Thus, stress needs to be managed

effectively so as to set off these harmful consequences. Strategies for managing stress are as

follows-

Organizational strategies for managing stress

1. Encouraging more of organizational communication with the employees so that there is

no role ambiguity/conflict. Effective communication can also change employee views.

Managers can use better signs and symbols which are not misinterpreted by the

employees.

2. Encourage employees’ participation in decision-making. This will reduce role stress.

3. Grant the employees greater independence, meaningful and timely feedback, and greater

responsibility.

4. The organizational goals should be realistic, stimulating and particular. The employees

must be given feedback on how well they are heading towards these goals.

5. Encourage decentralization.

http://www.managementstudyguide.com/centralization_decentralization.htm


6. Have a fair and just distribution of incentives and salary structure.

7. Promote job rotation and job enrichment.

Individual strategies for managing stress

1. The employees should make a “to-do” list daily, prioritize the acts in the list and plan the

acts accordingly. Take regular breaks during work to relax you. By effective time

management, the employees can achieve their targets timely and can meet work pressures

and, thus, avoid stress.

2. Do hard work. Strive to achieve your goals but do not do it to the harm of family, health,

or peer.

3. Indulge in physical exercises. It helps in effective blood circulation, keeps you fit, diverts

mind from work pressures.

4. Encourage a healthy lifestyle. Take a regular sleep, have plenty of water, have healthy

eating habits. Promote relaxation techniques such as yoga, listening music and

meditation.

5. The employees should have emotional intelligence at workplace. They should have self-

awareness, self-confidence and self-control at workplace.

6. The employees should build social support. They should have close connections with

trustworthy peer who can listen to their problems and boost their confidence level. This

social network will help the employees to overcome stress.

7. Employee counselling is a very good strategy to overcome employee stress. Through

counselling, employees can become aware of their strengths and how to develop those

strengths; their weaknesses and how to eliminate them; and they can develop strategies

for changing their behaviour. Employees are also given career counselling which helps in

reducing their ambiguities with regard to career.

Organizational Behaviour Unit-I Definition - SVECW

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