bma -ob latest slides

8/6/2019 BMA -OB Latest Slides

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Leadership and OB

Management Education is still new to India. The legendary Harvards,Kellogs Yales or Whartons schools of the world ?

Almost till 1980s , B schools focussed on the Tech aspects Accounting, Sales, Mrktg, Quantitative Techniques Etc

MBA Knowing Business as a system of knowledge

Corporates have long understood OB. B schools were slower to getthe message.

Human behaviour and People skills have acquired its due importance.

Today the world of business is very complex

We need Mgmt Education for a better World

Outstanding employees with a fine blend of Technical and Human

skills are in short supply..


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Organisational Behaviour

OB is nothing but people skills. Focus is on Human skills

and conceptual skills.

OB is a field of study that investigates the impact thatindividuals, groups and structure have on behaviour withinorg. for the purpose of applying such knowledge towardsimproving an Org Effectiveness.

OB is concerned with the study of what people do in anorg. and how the behaviour affects the performance of theorg.

OB is concerned with specifically employee relatedissues- Work, Absenteeism,Productivity, PerformanceMgmt, Attrition Mgmt etc to improve Org. Effectiveness


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Essential Management Skills

Concept of work Technical skills Ability to have and apply specialized

knowledge or expertise.Eg Civil Eng,Surgeon,Lawyer,Chartered Accountant,SoftwareEngineer etc

Human skills - Ability to work with, understand andmotivate people, Good interpersonal skills

Conceptual skills Mental ability to analyze anddiagnose complex situations. Good decision making

skills.


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Replacing Intuition with Systematic

study Each one of us is a student of behaviour. Parents andteachers mould us. We are a product of ourenvironment.

One can predict behaviour Behaviour in a Mall,Escalator, Ashram, Cricket match,Marriage hall,Religious function, Pub etc etc

So OB is an attempt at Systematic study Looking atrelationship, attempting to attribute causes andeffects,and drawing conclusions on scientific evidence reasonable accurate predictions of behaviour

Intuition is a gut feeling not necessarily supported byresearch.


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Contributing Disciplines to OB

OB is an Applied behavioural science

that is built on contributions from a number

of behavioural disciplines. Psychology its the science that seeks

to measure, explain and sometimes

change the behaviour of humans and

animals. Focus is on indivual behaviour.

Conscious and subconscious mind


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Contributing Disciplines to OB

Sociology Atudies people in relation to their fellowbeing. Eg. group dynamics, team work etc

Social Psychology Blends both influence of peopleon one another. Eg.Change Mgmt , Group decisionmaking process

Anthropology Study of societies to learn about humanbeings and their activities. Culture , Environment etc.

Political Science Study of inds.and groups within apolitical environment. Structure of Conflict, Allocation ofPower etc


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Challenges and Oportunities

Globalisation Responding to Globalisation or internationalisation. Economies and societies around the world are becoming

integrated

However much govts desire retain political, cultural andeconomic identities- the powerful trend to integrateinternationally is sweeping all across

All over the anxiety is to join world economies

Why Because of increased levels of trade, investment

flows, mobility of people across the globe etc etc Earlier going global was considered as an

achievementtoday it is a part of a companies survivalkit.de risk the country from a single country shock


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Challenges and Opportunities

Increased Foreign assignments, Networked organisation

Managing workforce diversity, More hetrogenous mix of

people in terms of Gender, Race, Ethinicty etc. Infosyshas 9%, Wipro has 4% foreigners

Embracing Diversity Recognise and Value differences

Coping with Anticapitalism backlash Meritocratsbroadmindedness of capitalism Eg Singur - Capitalisiticvalues are not popular


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Challenges and opportunities

Improving Quality and Productivity The constantattainment of customer satisfaction through thecontinuous improvement of all Org process.

Improving People Skills Develop your People,empower them

Stimulating Innovation and change LehmanBrothers,Merryl Lynch,AIG, Ranbaxy etc

Coping with Temporariness - Evidence of temporarinessis everywhere Jobs are being redesigned, tasks aregetting outsourced,more flexible teams than individuals,technology is changing so job descriptions are changing.

Balance worklife/conflicts


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Foundations of Individual

Behaviour We are all not created equal

Biographical characteristics

Age The relationship between age andperformance

Gender No significant difference

between men and women Tenure length of service, why retire ?

Knowledge and Desire


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Foundation of Individual Behaviour

Intelligence is but one Characteristic that people bring whenthey join an organisation.

How does age affect productivity ? Speed, Agility, goesdown. Employee turnover is reduced.

Ability matters Refers to an individuals capacity(intellectual and physical) to perform the various tasks in a

job.

Physical ability The capacity to do tasks demandingstamina, dexterity, strength, etc

Egs Physical Recruitment in the Army,Tyres industry,Airlines etc

.


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Individual aspects of OB

Intellectual abilities are those needed to perform mentalactivites- thinking, reasoning and problem solving.

However motivated you are you cant act like SivajiGanesan, play golf like Tiger woods, Write horror books

like Stephen King, or write Murder Mysteries like likeAgatha Christie

Jobs differ on Physical and intellectual abilities

Productivity Achieve its goals inputs to outputs at thelowest cost. Productivity implies both effectiveness andefficiency. Eg Hospital meets the needs of the client ,its effectiveit is efficient when it does at a low cost

Job Satisfaction A collection of feelings that anindividual holds towards his or her job.


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Learning

Human being are essentially blank slates that areshaped by the environment.

Learning occurs all the time

Each one of us is continuously going to school

All complex behaviour is learned.

Learning is a change in behaviour

Any relatively permanent change in behaviour thatoccurs as a result of exp. is learning

We infer that learning has taken place if an individualbehaves, reacts , responds as a result of exp.in amanner different from the way he formerly behaved.


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Theories of learning

1. Classical conditioning Pavlov -Teaching dogs to

Salivate when the bell rings thinking that its given food.

The bell was an artificial response.Christmas Carols

bring fond memories of Childhood. Boss not at office relax, go slow etc. Entering a 5 star hotel.

2 Operant conditioning Behaviour is a function of its

consequences. Eg if you work extra hours for the next

4 weeks u will get promotion it does not happen

next time will you work ?

3 Social learning Watch parents, teachers, peers, boss

etc observation and direct experience is social

learning. Eg Choosing a specialization


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Shaping behaviour

Behaviour has to be moulded learninghappens

Why ?

Common behavioural problems - Coming late tooffice, speaking in the regional language,Improper dress code, mixing pleasure andwork, mobile phones, internet usage, Leave

protocol, Bill submissions, Poor interpersonalskills, insubordination etc

Hence behaviour has to be moulded.


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Reinforcement and work

arrangements Shaping behaviour Systematicallyreinforcing each successive step thatmoves an individual closer to the desired

response. We mould individuals by guiding their

learning in graduated steps.

Methods of shaping behaviour Positive reinforcement Boss praises an

employee for a job well done.


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Shaping behaviour

Punishment is causing an unpleasant condition in an

attempt to eliminate an undesirable behaviour. Two days

suspension

Extinction When behaviour is not reinforced it tends toget extinguished . Eg ignore students who have doubts

and raise a hand.Theory of the broken glass

Fixed Interval schedule Rewards are spaced at

uniform time interval

Variable interval schedule Rewards are initiated after

a fixed or constant number of responses


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Schedules ofReinforcement

Continuous reinforcement A desired behaviour is

reinforced every time it is demonstrated.

Intermittent reinforcement A desired behaviour is

reinforced often enough to make the behaviour worthrepeating but not every time its demonstrated.

Behaviour Modification

A. Identify critical behaviour for the employees job

performance.

B. Develop Base line performance data. How many

times it occurs


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Values

Values represent basic convictions.

Established in childhood parents, friends

They contain a judgement element carry an

individuals idea what is right, good ordesirable.Eg Capital punishment good or bad

Values basic convictions that a specific modeof conduct is personally or socially preferable toan opposite mode of conduct ..eg girls wearing

jeans in a village. Values Differs from country to country, Org to

Org etc


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Value systems

We assign importance to values such as freedom,pleasure, self respect, honesty, equality, obedience etc..

Values have both content and intensity attributes.

Content attribute says a mode of conduct is important.

The intensity speaks of it importance

When we rank a person values in terms of their intensity,we obtain value system

Eg Infosys honesty, integrity, respect for process,

Delight the customer,employees are precious assets etc Phanesh Murthy


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Attitudes

Attitudes are evaluative statements

either favourable or unfavourable

concerning objects, people or events They

reflect on how one feels about something

I like my job I am expressing my attitude

about work.


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Perception

Perception is a process by which individuals organiseand interpret their sensory impressions in order to givemeaning to their environment.

However what one perceives can be substantially

different from objective reality Individuals behave in a given manner based not on theway their external environment actually is but on whatthey see or believe it to be.

Dissatisfaction with working conditions or the belief thatthere is a lack of promotional opportunities are

judgements based on attempts to create meanings out ofones job. Importance of Socializing new employee orinduction programme, etc


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Personality

Some people are quiet and passive.

Some are loud and aggressive

Some have a smiling face Psychologists talk of Personality as adynamic concept

Its deals with the growth and development

of a persons whole psychological system It is the sum total of ways in which an

individual interacts and reacts with others.


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Personality

Personality is the Dynamic organisation within theindividual of those psychological systems that determinehis unique adjustments in his environment.

External and internal

It is often described in terms of measurable traits that aperson exhibits

Emotions are intense feelings that are directed atsomeone or something egs anger

Moods are feelings that tend to be less intense thanemotions and that lack a contextual stimulusyou arenot just normal at that time, mood swings


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Personality determinants

1. Heredity are factors that were determined at

conception.Physical stature, facial

attractiveness, gender, biological rhythms etc

are characteristics that are generally consideredto be either completely or substantial influenced

by who your parents are : by their biological,

physiological and inherent psychological

makeup. Personality factors are not completely dictated

by heredity.


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Personality determinants

2. Environment

The culture in which we are raised, our early

conditioning

The norms among are family friends, and

social groups etc. Competitive environment

3. Situation

Personality changes as per situation- Egjoining politics,HR role in manufacturing, IT etc


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Personality Traits

Personality revolves around attempts to identify

and label enduring characteristics that describe an

individuals behaviour

Shy, Aggressiveness, Submissive, lazy, ambitious,

loyal timid, are some popular characteristics.

These characteristics when exhibited in a large

number of situations are called personality Traits.


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Foundations of Group Behaviour

A group is defined as two or more individuals ,interacting and interdependant who have cometogether to achieve particular objectives. Groups

can be formal or informal. A formal group we mean those defined by theorg. structure with designated workassignments. Eg Six members taking making upan airline crew is a formal group.

Informal groups - the alliances are neitherformally structured nor organisationallydetermined.These are natural formations.


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Stages of Group development

5 Stage Model

Groups generally pass thru a standardizedsequence in their evolution.

Forming - Testing the waters, uncertanity stage

purpose, structure etc Storming stage Knowing each other

Acceptance stage

Norming stage Closeness develops -

Discussion stage Performing stage Functional - Action oriented

Adjourning stage Results, wrapping up


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Why do people join groups

Security Dont want to stand alone

Status Provides recognition and status

Self Esteem Feeling of self worth.

Affliliation Groups can fulfill social needs, thejob interactions are sources for fulfilling theirneeds for affiliation

Power There is power in numbers what cant

be achieved individually Goal achievement Pool talents, knowledge, to

achieve group goals


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Teams

Groups and Teams are not the same.

Teams - different meanings

A number of people with complementary skills

who are committed to a common purpose,goals

and approach for which they are mutually

accountable. Team

A work Team A group whose individual effortsresult in a performance that is greater than the

sum of the individual inputs.


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Org. Structure and Design

An org. structure defines how job tasks are formally defined,

grouped and coordinated. Six Key elements

1. Work specialisation To what degree are activities subdivided

into separate jobs? Henry Ford did it effectively. Every employeewas given a specific task division of labour.

2. Departmentalisation On what basis will jobs be groupedtogether Result - Obtain efficiency by putting like specialiststogether.

3. Chain of command To whom do individuals and groups report to

The unbroken line of authority extends from the top CEO to thebottom most worker. Authority and Unity of command/

4. Span of control How many individuals can a manager efficientlyand effectively direct. Narrow or wide..it depends


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Common Org Designs

Simple structure Not elaborate , low degree ofdepartmentalization, wide spans of control. Centralizedin a single person. Small firms

The bureaucracy Highly routine operating tasks, veryformal rules and regulations, narrow spans of control,high degree of standardization .Govt. offices

Matrix structure Breaks the unity of command, two

bosses, dual chain of command. There are multiplicity ofcomplex and interdependent variables. But here there isefficient allocation of specialist. Eg Hospitals, Advt firms,Mgmt consultancy firms etc


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New Design Options

Team structure The use of teams as the central device to

coordinate work activities. It breaks down dept. barriers and

decentralizes decision making.

Virtual org. Do things project by project. Why own when you can

rent..outsourcing firms are best egs. Earlier movie making byMGM, Warner brothers, 20th century fox etc.. Huge employee

strengthnow small cos come together do films as projects by

projects.

Boundaryless Organisation Jack Welch ex CEO OF General

Electric coined this term. He wanted GE to become a BO. It has not

achieved this monstrous sizebut good progress made. Here it

eliminates the chain of command, little spans of control, with

empowered teams


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Power and Politics

Not easy to talk on Power

People who have it deny it.

People who want it try as though they are not seeking for it

Those who are good at getting it are secretive about how they gotity.

A capacity that A has to influence the behaviour of B so that Bacts in accordance with As wishes

Bases of power

a) Formal power - it is based on an individuals position in an org.

b) Cooercive power Here the power base in dependent on fear

c) Reward power Compliance is achieved based on the ability todistribute rewards that others view as valuable. Pay rises, bonusetc


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Power and Politics

a) Cooercive power Here the power base is dependenton fear

b) Reward power Compliance is achieved based on theability to distribute rewards that others view as

valuable. Pay rises, bonus etcc) Legitimate power Its the formal authority to control

and use org. resources. Its based on structural position

Information power Comes from access to controlover information

Personal power No formal position in an org. Its fromones individuals uniques characteristics.


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Personal Power

Expert Power is influence weilded as a resultof expertise , special skill,or knowledge.Specialists, Domain experts,

Referent power is based on identification witha person who has desirable resources orpersonality traits. If I like , respect and admireyou, you can exercise power over me because Iwant to please you.

Charismatic power Its an extension of referentpower - Charismatic qualities


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Power and Politics

Political Behaviour There have been noshortage of definitions for org. politics

Its focussed on the use of power to affect

decision making in the org. or on behaviours bymembers that are self servicing andorganisationally unstructured

Activities that are not required as part of ones

formal role in the org.but that influence orattempt to influence the distribution ofadvantages and disadvantages within theorganisation.


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Decision Making

We dont see things as they are, we see things as we

are.

Perception is a process by which individuals organize

and interpret their sensory impressions in order to givemeaning to their environment.

Attribution theory When individuals observe behaviour ,

they attempt to determine whether it is internally or

externally caused.

Selective perception

Halo effect


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Rational decision making process

Define the problem What course to do, whatspecialization to take, Co. where to do sales ?

Identify the decision criteria what is relevant indecision making if its studies eg interest,scope etc

Allocate weights to the criteria Huge payoffs

Develop the alternatives For a job IT ormanufacture

Evaluate the alternatives Four personal careerplans

Select the best alternative


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Decision making in Org

Improve creativity in Decision making egrejecting many techs while recruitment ,train them.

Bounded Rationality Individuals makedecisions by constructing simplifiedmodels that extract the essential featuresfrom problems without capturing all thecomplexity.

Ethics in decision making


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Conflict and Negotiation

I dont want any yes men around me. I want everybodyto tell me the truth even if it costs them their job, SGoldwin.

No shortage of definitions

Conflict can be a serious problem in an org.

Conflict also has a positive side.

Conflict is akin to Negotiation.

Conflict as a process begins when one party perceives

that another party has negatively affected , or is about tonegatively affect , something the first party cares for.


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Types of conflict

Traditional view

All conflicts are bad. Its negative.Its used with negative

synonyms violence, destruction, irrationality etc.

This is based on the group behavious in 1930s and1940s

Conflict was seen as a dysfunctional outcome mainly

resulting from poor communication,a lack of openess

and trust between people,failure of Managers to respond

to needs of employees.

So conflict has to be avoided.


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The Types of conflict

Interactionist View

Conflict is not only a positive force but it isabsolutely necessary for a group to

perform effectively.

Have a minimum level of conflict

encourage to keep the group viable, self

critical and creative.


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Stress Management

Stress is discussed mostly in a negative

context but it has a positive value also.

Eg superior performance of an athelete,ora stage performer etc. Professionals use

stress postively,job satisfaction, challenge

etc

Stress is associated with constraints and

demands.


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Constraints and Demands

Constraints Prevents you from doing

what you desire

Demands Refers to the loss of

something desired


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Potential sources

Environmental factors

Economic uncertainity

Political uncertainity

Technology uncertainity


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Organisational factors

Task demands

Role demands

Interpersonal demands Org. structure

Org leadership


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Individual factors

Family problems

Economic problems

Personality


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Individual differences

Perception

Job experience

Social support Belief in locus of control

Self efficacy

Hostility


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Consequences

Physiological symptoms headaches,

high blood pressure, heart diseases

Psychological symptoms anxiety,depression, decrease in job

satisfaction

Behavioural symptoms- Low productivity,

absenteeism, turnover etc


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Communication

Its the transference and understanding of

meaning

Communication process Sender and

receiver

Sender

Encoding a thought

Message Actual physical product

Channel medium


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Communication

Decoding To be translated to a form to

be understood by the receiver

Noise Communication barrier

Feedback


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Stephen Robbins

First edition was published in 1979

This is a global text book.Used in more than1000 colleges and universities world wide.

Its the number one selling book OB book in USCanada, Mexico, Hongkong, Africa, Australiaetc

The book has been written in a veryconversational style

Students may not remember a concpetbutthey will remember an exmplelots of examplesin this book

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