Lecture-2Theory Building07.01.15

N.P. SinghMDI Gurgaon -122007

Theory

A coherent set of general propositions used as principles of explanation of the apparent relationships of certain observed phenomena.

Two Purposes of Theory

Prediction Understanding

Theory Defined.

A theory is a set of statements that: includes and sticks to precise definitions of

key terms, abides by standard rules of formal logic

and grammar, and concisely represents, or models, observed

things, events, or processes in a way that is, at least potentially, more acceptable and useful than any alternatives.

Concept (or Construct)

Concepts, the building blocks of theories. A generalized idea about a class of objects,

attributes, occurrences, or processes that has been given a name

Concepts are building blocks of abstract reality

Something formed in the mind; a thought or notion

Organizational Theory: “leadership,” “productivity,” and “morale”

Financial Theory: “gross national product,” “asset,” and “inflation”

Concept (or Construct):Organizational Structure: Bureaucracy

Hierarchy of authority is the extent to which positions or offices are under the control and supervision of a higher office.

Division of labor is the extent to which the work task is divided into specialized work.

Impersonality is the degree to which an organization makes decisions on the basis of facts, unencumbered by personal bias and favoritism.

Formalization is the extent to which organizational procedures are codified. There are set ways to respond to routine decisions.

Career perspective is the extent to which an organization encourages employees’ commitment to the organization. There are well-known and legitimate organizational paths to promotion and success in the organization. Bureaucracy is an organizational structure characterized by hierarchy of

authority; division of labor; impersonal decision making; formal rules, regulations, and procedures; and a career perspective.

Concepts that are complex and composed of other concepts, such as bureaucracy, are sometimes distinguished by the term construct, which implies a concept with multiple dimensions.

Concepts

Concept s can be measured as: Qualitative: Perceptions of domestic

violence; interactions between clients and workers in a public agency.

Quantitative: Depression; Self-Efficacy;Support for Candidate; Drop-out Rates.

Concepts are of two types An abstract concept refers to two or more events

(e.g., temperature, human capital investment). A concrete concept refers to a specific event

(e.g., temperature of the sun, years of formal education).

Continued….

Three classes of things that social scientists measure: Directly observable: # of people in a room Indirectly observable: income Constructs: creations based on

observations; cannot themselves be directly or

indirectly observed

a construct where you develop dimensions and indicators of gender (which then requires much more conceptualization)

How to Measure Concept? An operational definition gives meaning to a

concept by specifying the activities or operations necessary to measure it

Examples: Concept: supportive principal behavior Concept (theoretical definition): Supportive

principal behavior is action that reflects basic concern for teachers, help and respect for teachers, and a general openness and support in interactions with teachers.

Variable (operational definition): Supportive principal behavior is operationalized by the following set of items from the OCDQ-RE.

Continued…… DIRECTIONS: Please indicate the extent to which each

statement describes your school. 1 = Rarely OCCURS 2 = Sometimes OCCURS 3 = Often OCCURS 4 = Frequently OCCURS

The principal goes out of his/her way to help teachers 1 2 3 4 The principal uses constructive criticism 1 2 3 4 The principal explains his/her reasons for criticism to teachers 1 2 3 4 The principal listens to and accepts teachers’ suggestions 1 2 3 4 The principal looks out for the personal welfare of the teachers

1 2 3 4 The principal treats teachers as equals 1 2 3 4 The principal compliments teachers 1 2 3 4 The principal is easy to understand 1 2 3 4

Concepts

A rule is a guide instructing us what to do. An example of a measurement rule might be

“assign the numerals 1 through 7 to individuals according to how brand loyal they are.

Concepts can be measured at the nominal level, indicating no inherent ranking (e.g.,

male, female; Christian, Hindu, Muslim, Jewish), the ordinal level, indicating ranking without a continuous

ordering (e.g., large, medium, small), the interval level, indicating ranking with a continuous

ordering, with no known zero-state (e.g, attitudes about same-sex marriage expressed on a 1-7 response scale), or

the ratio level, indicating continuous ordered ranking with a known zero point (e.g., age in years).

SCALES

A scale may be defined as any series of items that are progressively arranged according to value or magnitude into which an item can be placed according to its quantification.

A scale is a continuous spectrum or series of categories.

The purpose of scaling is to represent, usually quantitatively, an item’s, a person’s, or an event’s place in the spectrum (or a Concept).

Theory –Proposition- Concept etc

Theory: A set of abstract statements about reality. Concepts: Building block of theories. Proposition: One abstract statement within a theory.

Example: "The greater the human capital investment, the greater the life chances."

A proposition is a declarative statement of a concept Hypothesis: A specific case of the proposition.

Example: "The greater the formal education, the greater the income."

Operational Definition: The description of how each concept will be measured. Example: "The greater the years of formal schooling, the greater the total household income before taxes in 2010."

Continued…

Hypothesis is a single statement that attempts to explain a single interesting or puzzling phenomenon. In other words, a hypothesis is a testable proposition on an interesting or puzzling phenomenon.

It usually takes the form of an educated guess or conjecture.

Usually the hypothesis is based on facts and assumptions.

Theory is a whole system of thought (or systematic explanation) that refers to many phenomena and whose parts are related to one another in deductive, logical form.

Research

Webster’s Collegiate Dictionary (1996?) defines research as studious inquiry or examination; investigation or experimentation aimed

at the discovery and interpretation of facts, revision of accepted theories or laws in the light of new facts, or practical application of such new or revised theories or laws".

Proposition

A proposition is a declarative statement of a concept.

Basically, a proposition is a narration of a concept, which requires the same level of caution and precision that is expected of scientific research

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Banana

Reality

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A Ladder Of Abstraction For Concepts

Scientific Business Researchers Operate at Two Levels

Abstract level concepts propositions

Empirical level variables hypotheses

Definitions of Two level

Abstract level – In theory development, the level of

knowledge expressing a concept that exists only as an idea or a quality apart from an object.

Empirical level – Level of knowledge reflecting that which

is verifiable by experience or observation.

Theory Building A Process Of Increasing Abstraction

Theories

Propositions

Concepts

Observation of objectsand events (reality ) In

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abst

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CONCEPTS

OBSERVATION OF OBJECTS AND EVENTS (REALITY)

EmpiricalLevel

AbstractLevel

Concepts are Abstractions of Reality

Concepts-Abstract Level

Concepts abstract reality. Propositions are statements concerned with the

relationships among concepts. A proposition is a sentence expressing

something true or false. The smallest unit of knowledge according to

Ausubel's cognitive theory (1963, 1968) are "concepts" and "propositions".

They are the building blocks for knowledge in any domain.

We can use the analogy that concepts are like the atoms of matter and propositions are like the molecules of matter

Concept maps

Concept maps are graphical tools for organizing and representing knowledge

Concept map about "What causes Seasons"?

Building Propositions

Birds have Hollow Bones Energy is the capacity to do Work Learning can take place through

Apprenticeship Credibility is the basis for Good

Journalism Successful Businesses create

Wealth Increase in Rainfall may cause

Flooding

Static Propositions

Plants have Leaves The Soldier fought like a Lion Squares are Polygons Energy obeys Conservation Laws

Dynamic Propositions

Increase in Rainfall may cause Flooding

Academic Performance in High School is a good predictor of Academic Performance in University

Travel Time is an inverse function of Speed for a Given Distance

Always makes four sales calls

a day

Dollar bonus for sales volume

over quota

Concept B(Habits)

Hypothesis at Empirical Level

Concept A(Reinforcement)

Proposition & Hypotheses

Propositions at concept level

A hypothesis is a statement that is empirically testable. It is an empirical statement concerned with the relationship among variables.

A variable is anything that may assume different numerical values.

Hypothesis

Hypotheses A hypothesis may be precisely defined as a tentative

proposition suggested as a solution to a problem or as an explanation of some phenomenon. (Ary, Jacobs and Razavieh, 1984)

A hypothesis is a conjectural statement of the relation between two or more variables. (Kerlinger, 1956)

Hypothesis is a formal statement that presents the expected relationship between an independent and dependent variable. (Creswell, 1994)

Hypothesis relates theory to observation and observation to theory. (Ary, Jacobs and Razavieh, 1984)

Hypotheses are relational propositions. (Kerlinger, 1956) Hypothesis is a tentative explanation that accounts for a

set off acts and can be tested by further investigation.

Difference between Hypotheses & proposition

The main difference between the two is that a hypothesis must be testable, measurable and falsifiable, while a proposition deals with pure concepts for which no laboratory test is currently available.

Continued…

A proposition is similar to a hypothesis, but its main purpose is to suggest a link between two concepts in a situation where the link cannot be verified by experiment.

As a result, it relies heavily on prior research, reasonable assumptions and existing correlative evidence.

A scientist can use a proposition to spur further research on a question or pose one in hopes that further evidence or experimental methods will be discovered that will make it a testable hypothesis.

Where do theories come from?

They can be developed at three levels Abstract Level Conceptual Level Empirical Level

How to develop Theories?

At Abstract & Conceptual Level theories can be developed with deductive Reasoning

At empirical level theories can be developed with inductive reasoning.

Deductive Reasoning

The logical process of deriving a conclusion from a known premise or something known to be true. We know that all managers are human

beings. If we also know that John Smith is a

manager, then we can deduce that John Smith is a

human being.

Inductive Reasoning

The logical process of establishing a general proposition on the basis of observation of particular facts. All managers that have ever been seen

are human beings; Therefore all managers are human

beings.

Scientific Method

The use of a set of prescribed procedures for establishing and connecting theoretical statements about events and for predicting events yet unknown.

Assessrelevant existingknowledge

Formulateconcepts &Propositions

Statementof Hypotheses

Design research

Acquire empiricaldata

Analyze &evaluate data

Provide explanation-state newproblem

The Scientific Method: An Overview