ob text book final pdf

Consolidated, Corrected and Modified by A.S.Haryhar, Lecturer in EEE, GEC, TCR. Prepared by 2004-08 Batch EEE Organisational Behaviour students.

ORGANISATIONAL BEHAVIOUR

(FOR B.TECH Eight Semester EEE-CALICUT UNIVERSITY)

Consolidated, Corrected And Modified by A.S..Haryhar, Lecturer in Electrical and Electronics Government Engineering College, Thrissur

Prepared by 2004-2008 Batch Electrical and Electronics Organisational Behaviour Students in both A and B Batches

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Preface

The materials in this book are the synergic outcome of Organisational Behaviour Students of A and B Divisions, Electrical and Electronics, 2004-2008 Batch of Government Engineering College, Thrissur. The material provided is intended to cover the entire Syllabus of Eight Semester Organisational Behaviour paper in a Comprehensive, lucid and simple manner. The subject content in the syllabus intended to equip the students with the ability to assimilate the fast changing industrial environment and its respective implementation by proper understanding and thereby the analysis of complex Human Behaviour and Organisational System.

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Contents

1) Module 1 Nature of Organisation---------------------------05 Organizational Goal------------------------------07 Nature of People----------------------------------12 Personality-----------------------------------------15 Perception------------------------------------------24 Learning and Behaviour Modifications--------26 Attitude---------------------------------------------31 Values----------------------------------------------36 Attitude and Values-------------------------------37 2) Module 2

Motivation------------------------------------------41 Different Theories of Motivations--------------42 Job Design and Motivation----------------------47 Dynamics of Communications------------------51 Process and Forms of Communications-------53 Barriers in Communications---------------------55 Managing Communications---------------------57

3) Module 3 Interpersonal Behaviour-------------------------60 Group and Group Dynamics--------------------66 Group Behaviour---------------------------------72 Group Effectiveness-----------------------------79 Leaderships---------------------------------------79 Theories of Leaderships-------------------------80 Leadership Styles--------------------------------83

4) Module 4 Organisational Change--------------------------86 Nature and Factors-------------------------------87 Resistance to change----------------------------88 Organisational Effectiveness-------------------88 Organisational Effectiveness Evaluation-----88 Organisational Developments and Concept--90 OD Interventions--------------------------------94 Values and Organisational Developments---102

Reference--------------------------------------------------------109

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Module 1 Nature of Organisation Organisational Goal Definition of Organisational Behaviour Nature of People Personality Perception Learning and Behaviour Modifications Attitudes and Values

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NATURE OF ORGANISATION

Human beings are by nature, gregarious and community or group life is one of the earliest and most enduring features of

human existence on this planet. The individuals are bound together in network of relatively stable social relationships. Organisations

as such, have become the crucial factors affecting the quality of human life in the contemporary society.

DEFINITION OF ORGANISATION:

As a subject matter of organization theory, the term organization is used in the sense of organized unit WEBER defines

organization as a corporate group. Corporate group is a social relation which is either closed or limits the admission of outsiders by

rules. Weber’s focus is basically on legitimate interaction patterns among organizational members as they pursue goals and engage

in activities. A major component of this definition is the idea of order which differentiates organization from other social entities

such as family community etc.

Bernard stresses a different view on organization .He defines organization as a system of consciously coordinated activities

or forces of two or more persons. Bernard essentially emphasizes the role of individual because it is he who must communicate and

be motivated .It is he who must make decisions.

Etzioni emphasizes structuring and restructuring of human groups for certain specified goals as the basis of constituting an

organization . He defines organization as social units constructed and reconstructed to seek specific goals. Etzioni stresses three

characteristics of organizations: division of labour ,the presence of one or more power enters and substitution of personnel. This

definition appears to correspond with reality. However two problems are seen unsolved in this definition. First many of the

organizational activities may be unrelated to the goals. Second there is issue of defining boundary.

Hall has defined organization as a ‘collectivity with relatively identifiable boundary, a normative order ,authority ranks,

communication systems ,and membership coordinating systems ;this collectivity exists on a relatively continuous basis in an

environment and engages in activities that are usually related to a goal or a set of goals.

FEATURES OF ORGANISATION

When the organization is defined as above, it has the following distinguishable features.

1) Identifiable aggregation of human beings: Organization is an identifiable aggregation of human beings. The identification is

possible because human. The identifiable group of human beings determines the boundary of the organization

.Identification is possible because it is a group of persons who are inter related.. Interaction refers to the flow of both people

and information across the boundary.

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2) Deliberate and conscious creation: Organization is a deliberately and consciously created human group. It implies that

relation between organization and its members is contractual. They enter in the organization through contract and can be

replaced also. The organization can also recombine its personnel through promotion demotion and transfer. Some minimal

amount of such construction and reconstruction is found. In all social units , but it is much higher in the case of

organizations.


3) Purposive creation: the organization is a purposive creation that is ,all the organizations have some objective or set of

objectives. The objectives are mutually agreed upon by the members of the group. An organizational objective is a desired

state of affairs which the organization attempts to realize. Organizations are intervening elements between needs and their

satisfaction.

4) Coordination of activities: the coordination is necessary because all the members contribute to commonly agreed goals.

The object of coordination is activities of individuals are relevant to the achievement of the particular objective. This is

because the same person can belong to many different organizations at the same time and in each one only some of these

are relevant.

5) Structure: The structure provides for power centers which coordinate and control concerted efforts of the organization and

direct them towards its goals. Coordination implies that each individual or unit submits to some kind of authority for the

sake of achievement of common objective. There is hierarchy of authority, and depending upon the size and nature of

organization.

6) Rationality: there is rationality in coordination of activities or behaviour. Every organization has some specified norms and

standards of behaviour. The behavior is governed by reward and penalty system of the organization which act as a binding

force on its members.

These characteristics differentiates an organization from other social units, such as community ,family, etc.

TYPES OF ORGANISATIONS

Organization may be classified on various bases. Organization typology relates to the various categories in to which organizations

can be classified. The broad categories of typology are based on the function or purpose, primary beneficiary and compliance.

1) Based on function or purpose: Four basic functions have been identified which organizations fill for the society .these are

: economic , political, integrity and pattern maintenance.

a) Economic organizations: economic organizations are mainly concerned with adding value as used by economists

.economic activities are those that help in earning livelihood. These can be classified as business and non business

activities.

b) Political organizations: they are concerned with changing or adopting circumstances to attain goals .they are

concerned with increasing the capacity of society or some part of it

c) Integrative: integrative organizations such as courts police,etc contribute to he efficiency with which the society

operates. This contributes to the efficiency of the society.

d) Pattern maintenance organizations: educational institutions clubs churches etc come under this and are concerned

with long term issues of society values , patterns and culture

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2) Based on primary beneficiary:

Blau and Scott have given an organizational typology not based on the output function, but to the primary recipient of the output.

The 4 types of organizations emerge :mutual benefit associations, business organizations , service organizations and commonweal

organizations.

a) Mutual benefit organization-the members are the primary beneficiaries: The main thing concerning this type of

organization is maintaining membership control, that is internal democracy. here the concern of efficiency is expected

not to interfere with membership ability to decide objectives in the organization. membership apathy is visualized in

most of the mutual benefit organizations

b) Business organizations: the owners are the prime beneficiaries through the accomplishment of some immediate task.

Their main concern is the return of the investment in the organization .the main problem of the business organization

is that of operating efficiency- the achievement of maximum gain at minimum cost in order to further survival and

growth. The owners have to take into account the interest of various groups related with the organization.

c) Service organizations: A service is in whose prime beneficiary is the part of the public in direct contact with the

organization with whom and on whom its members work. Here clients are the beneficiaries but they don’t have

control over them. Decisions must be governed by judgment of what will serve the clients interest best.

d) Common weal organization: The basic characteristic of commonweal organization is that public at large is their prime

beneficiary., often ,although, not necessary, to the exclusion of the very people who are the object of the

organizations endeavor. Examples of such org. are post office military service, police service etc.they either perform

protecting services for the community or serve as administrative arm.

(3) Based on compliance: the basis of beneficiary is an external dimension identifying the organizational typology

;compliance as a base for organizational typology considers internal structure of the organization. compliance involves one

party telling or directing another party to do something.Etzioni has identified three types of power : coercive, utilitarian and

normative. Coercive power rests upon the application or the threat of application of physical sanctions; utilitarian power is

based on control over material resources; and normative power rest on the allocation of symbolic rewards .

ORGANISATIONAL GOALS

Organizations being deliberate and purposive creation have some goals .The ends for which they strive are variously referred to

as “purpose” ,”mission”,”goal”,”target”:or “objective”.Organisational goals are really an extension of what the society needs for its

own survival. Thus if these views are integrated, the actual goal of the organization result from a continuous bargaining-learning

process and therefore, organizational have multiple goals. at the same time determination of a goal for collective action becomes a

standard by which the collective action is judged .

OFFICIAL AND OPERATING GOALS

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A feature of organizational goal analysis is that there is often difference between official and operating goals. Perrow states that the

official goals are general purposes of the organization as put forth in the charter, annual reports ,public statements by key and other


authoritative pronouncement. The distinction between official and operating goals is grounded on reality . Two organizations, both

having the official goal of profit making may differ drastically in the amount of emphasis they place on making profits.

Each organization or group of individuals have some goals .goals may be broad or they may be specifically mentioned. Goals

have hierarchy. The goal of each sub-unit contributes to the goals of the larger unit of which it is a part.

DETERMINATION OF ORGANISATIONAL GOALS

Before initiating any action goals must be established as they provide direction for such actions. Directional goal setting identifies

preferred style of acting for the individual or organization .the emphasis switches from carefully formulating the goal to be

accomplished to consideration of the agents thrust. This approach is more flexible than traditional goal setting. Specific goal setting

is most appropriate in the conditions marked by the following characteristics (1) when administrators want to narrow the focus and

efforts of members; (2) when the environment is relatively stable and certain;(3)when there are severe time or resource limitations

and(4)when organizational members require more defined conditions as a result of low tolerance for ambiguity and uncertainty.

ENVIRONMENTAL DETERMINENTS OF ORGANISATIONAL GOALS

One of the key elements in determining organizational goals is the environment in which organization reacts .the organization

therefore depends upon the environment for its survival .a necessary condition for this phenomenon is the environmental control

over the organizational. In this process of interaction the organization must adopt suitable strategies for coming to terms with the

environment. Thompson and McEwen have suggested 4 alternative strategies for dealing with the environment.

1) Competition: the term competition implies an element of rivalry. The organization which offers maximum attraction

to the people for which it is competing will succeed. The rivalry may be in the form of various organizations

competing for the same resources.

2) Bargaining: the tem bargaining refers to the negotiations of an agreement between two or more parties for the

exchange of goods or services; it implies flexible rather than rigid position .bargaining affects the goal setting rather

implicitly. Bargaining involves the direct interaction with other organizations in the environment rather than the third

party.

3) Co operation: co operation is the process of absorbing new elements in to the policy making structure of an

organization as a means of averting threats or maintaining its stability in a changed circumstances. Cooperation is more

than expediency.

4) Coalition: it refers to the combination of two or more individuals, groups, organizations etc for a common goal. The

goal of a coalition is to increase its power vis-à-vis other groups. This is common in political parties. Several factors

must be considered in analyzing coalition formation they include minimum size or resource principle. Cohesion,

ideology, stability and change.

GOAL SUCCESSION

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Organizational interaction with environment may result in the limitation of goal choice. This may result in goal succession .it means

adoption of new goals the goal succession may take the character of goal multiplications, expansion, or substitution of existing goals

depending on the situation the succession of goals is deliberate


GOAL DISPLACEMENT

The operational goals of the organization reflect what the decision makers believe to be the critical areas ,it follows that the

operating goals will shift as internal and external conditions inpinge upon the organization, these conditions can deflect the

organization from the pursuit of goals this phenomenon is termed as goal displacement. Factors in goal displacement are reversing

means and ends ,shifting priority and over measurement.

1) Reversing means and ends: It is the most common form of goal displacement in which the organization functions are in such a

way that the means themselves become ends. Such goal displacement may be because of two reasons: First, there may be control

group in the organization which may utilize resources for its own benefits and not for officially stated goals of the organization. The

control of organization is passed to few people and they operate the organization according to their perception of the organizational

goals or their own goals. Second ,the internal functioning of the organization may also result into reversing means-ends relationship,

it is quite common in bureaucratic organizations where rules are followed so rigidly that they themselves become ends through they

means for carrying organizational activities.

2)Priority Shifting: There is another factor in goal displacement, that is organization shifts its priority in pursuing its stated goals

either because of changes in external environment affecting the functioning of the organization or because of internal pressure.

3)Over measurement: It refer to the tendency for organization of all types to organize their goals around activities that are easily

quantified This happens particularly when it is impossible to quantify the more central and substantive output of an organization,and

when at the same time some exterior aspects of the product, which are superficially related to its substance are readily measurable.

The internal sources of goal change are a basic part of determination of the operating goals. In the extreme cases ,the changes are

dysfunctional in terms of the official and original operative goals; but process inherent in these changes is a normal part of the goal-

setting process.

GOAL DISTORTION

Goal distortion is the misunderstanding or misapplication of organizational goal. In an organization, there may be several regions for

goal distortion, particularly when the general goals are transformed into operating goals.

There are major factors in goal distortion are:

1) Overemphasis on Certain Aspects of Goals: This happens when the subunit or individual does not find the measurement of its

efforts quantitatively or precisely. Goal displacement is a reason for goal distortion as whole of the attention os attracted to

certain aspects and not to the real goals of the organization. An example may be spending of money by Government offices.

These offices are allocated certain budget which they must spend within a certain time. Thus their success is measured in terms

of amount spent and not in terms of their achievement out of such sending.

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2) Blockade in Communication: Translation of general goals into operating goals is better when it is done by both higher and

lower level units. It is not always possible because of communication blockade or misunderstanding of communication. The

major reasons are for communication breakdown are: lack of awareness of actual needs of particular units, lack in transmitting

the message, coloring of information, misunderstanding of communication etc.


3) Submit Goal Internalization: In the organization every unit or subunit internalizes its goals. Units and subunits are created by

dividing and allocating them activities which are supposed to be necessary for the achievement of organizational goals.

However in long run, the basic goals become subsidiary to these units and subunits. They emphasis their own goals which may

not necessarily coincide with the organization.

4 Remote View of Overall Goals at Lower Levels: This may happen because of two factors. First, there may be internalization of

sub goals. Second, there may be distance between the goal-setting units and goal-operating units. In the organization, means-ends

relationship, which suggests that the ends of each lower units are means for higher units, is distorted if it is extended to a large

extent. This relationship is carried out by a number of people each aware of the limited aspects of total organizational goals only.

ROLE OF BEHAVIOURAL SCIENCE

The behavioural science offers several ideas to management as to how human factors should be properly emphasized to

achieve organizational objectives. Bernard has observed that an organization is a conscious interaction of two or more persons. This

suggests that since organization is the interaction of persons, they should be given adequate importance in managing the

organization. This become more important because of the changing dimensions of human behaviour, changing from money-

motivated behaviour to multi-motivated behaviour.

1) Understanding Human Behaviour

For shaping human behaviour in definite direction for achieving certain predetermined objectives, managers must know how the

people in the organization behave. Behavioural science provides for understanding human behaviour in all the directions in which

human being interact. Thus human behaviour can be understood at the individual level, interpersonal level, group level and

intergroup level.

a) Individual level: It provides for analyzing why and how an individual behaves in a particular way. Human behaviours are

affected by large number of factors-psychological, social and cultural and others. Behavioural science integrates these factors to

provide simplicity in understanding human behaviour.

b) Interpersonal level: It is normally in paired relationship which represents man’s most natural attempt at socialization.

Behavioural science provide means for understanding interpersonal relationship in the organization.

Analysis of reciprocal relationship, role analysis, and transactional analysis are some of the common methods which provide such

understandings.

c) Group level: Research in group dynamics has contributed vitally to the behavioural science and shows how a group behaves in its

norms, cohesion, goals, procedures, communication pattern, leadership, and membership. These research results are furthering

managerial knowledge of understanding group behaviour which is very important for organizational morale and productivity.

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d) Inter-group level: Inter-group relationship may be in the form of co-operation or competition. The co-operative relationship

helps the organization in achieving its objectives. Behavioural science provides means to understand and achieve co-operative group

relationships through interaction, rotation of members among groups, avoidance of win-lose situation and focus on total group

objectives.


2. Controlling and Directing Behaviour

After understanding the mechanism of human behaviour, managers are required to control and direct the behaviour

so that it confirms to standard required for achieving organizational objectives. For this purpose behavioural science help manager

in many areas: use of power and sanction, leadership, communication and building organization climate conducive for better

interaction.

a) Use of power and sanction: Power is referred to as capacity of an individual to take certain action and

utilizing in many ways. The use of power is related with the sanction in the organization. However, mere use of power and

sanction in the organization is not enough for directing human behaviour. Behavioural science explains how various means of

power and sanction can be utilized so that both organizational and individual objectives are achieved simultaneously.

b) Leadership: Behavioural science brings new insights and understanding to the practice and theory of

leadership. It identifies various leadership styles available to the manager and analysis which style is more appropriate in a

given situation.

c) Communication: It is the building blocks of an organization. It is communication through which people

come in contact with others. People in the organization particularly, at higher level spend considerable time in communicating. To

achieve organization effectiveness, communication must be effective.

d) Organizational climate: Organizational climate takes a systems perspective and affects human

behaviour. Behavioural science suggest the approach to create organizational climate in totality rather than merely improving the

physiological conditions or increasing employee satisfaction by changing isolated work process. Satisfactory working conditions,

adequate compensation, and the necessary equipments for the job are viewed as only small part of the requirement for sound

motivational climate.

3.Organizational Adaptation:

Organizations as dynamic entities are characterized by pervasive change. In this age of environmental variability,

the real job of a manager is to provide continuity in organizations because the organizations have to adapt themselves to the

environmental changes by making suitable internal arrangements which are resisted by the internal people. Thus managers have to

face dual problems, identifying need for change and then implementing the changes without adversely affecting the need

satisfaction of organizational people. Behavioural science has the ongoing process as its goal. It is also the essence of managing

change. Management of change is seen as a self-perpetrating ever-evolving phenomenon.

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NATURE OF PEOPLE

NATURE OF HUMAN BEHAVIOUR

Organization is basically an association of human beings and a major problem of today’s organizations is to maximize the efforts

and contributions of these of human beings. Those responsible for managing the organizations must understand the way human

beings behave.

CONCEPT OF BEHAVIOUR

Behaviour is what a person does. More precisely it can be defined as the observable and measurable activity of human beings.

Activity of human beings that qualifies under this category shows great variety. It may include anything like decision making –a

mental process; or handling a machine- a physical process, there is another aspect of behaviour like feelings, attitude formation ,etc.

HUMAN BEHAVIOUR : CAUSED OR AUTONOMOUS

Behind the proposition that managers must understand the human behaviour is the assumption that is orderly, not

arbitrary; systematic, not random. It is the assumption that human behaviour is caused. Only if there are reliable cause and effect

relationships in the human behaviour does it make sense to talk of understanding and predicting human behaviour. Thus human

behaviour can be understood easily if causes behind the behaviour are analyzed and can be controlled by manipulating these causes.

It suggests that human beings are not self-contained entities but are affected by larger systems-group, family, society etc. The

concept of causality is important to the managers who must predict organizational behaviour as a basis for managerial action.

Another assumption that human behaviour is autonomous. This assumption is taken the cultural values. The idea is that

individual is an autonomous moral agent whose behaviour is interpretable in terms of good or bad in terms of cultural values.

Thus there are two implications for understanding human behaviour.

1) The human behaviour should be taken in terms of cause and effect relationships and not in philosophical terms. The

managers can better be able to intervene and direct organizational process towards the accomplishment of specific goals of they go

far deeper in analyzing the causes of human behaviour.

2) Though they can go for deeper analysis for human behaviour, the accuracy in the predictability of human behaviour is at

best a relative matter. Human behaviour, regardless of context, is not perfectly predictable because it is affected by large number of

variables and each variable itself is quite complex and subject to change. At best a manager can generalize to a limited extent and in

many cases, he has to act on the basis of partial information. This is the art of real managing.

PROCESS OF BEHAVIOUR

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Based on the analysis of behaviour process over the period of time,three models of behaviour processs have been developed .These

are S-R model, .S-O-R model, and S-O-B-C model.


S-R Model

This model suggests that the behaviour is caused by certain reasons. The reasons may be internal feeling (motivation) and external

environment (stimulus). A stimulus is an agent, such as, heat, light, piece of information, etc. that directly influences the activity of

an organism (person). Without the stimulus there is no information to be handled by the internal process prior to action by the

person. It implies that his behaviour is determined by the situation. The entire situation has been traditionally described as ‘stimulus

response’(S-R) process.

This S-R model does not give the total concept of causal nature of behaviour specially when the person concerned plays an

important role in behaviour is shapes by his internal feelings also. Thus combination of stimulus response situation and human being

will give a more comprehensive model of human behaviour denoting that the situation interacting with the human being precedes

and causes behaviour. This gives S↔O↔B model of human behaviour.

S↔O↔B MODEL

This model is achieved by inserting O (organism) in the classical S-R model. The S-O-R model is based upon the stimulus

processed by the organism and followed by a behaviour. This O is not passive and immobile as assumed in S-R model. As a

mediating function the O is constantly active scanning its surroundings, monitoring its own action, seeking certain conditions and

avoiding others. As a maintenance function, organs of O are responsible for its health and growth. There are three categories of

maintenance organs-receptors (sense organs), connectors (nervous organs) and effectors (muscle and glands). The adjustment

function of the O monitors the person’s activities so that he can overcome obstacles and satisfy his needs.

S-O-B-C Model

It incorporates a more complex mechanism of human behaviour which modifies and extends S-O-R model. In this model,

behaviour takes place because of the interaction of situation(S),organism(O),behaviour pattern(B), and consequences(C).

Though S-O-B-C model tries to explain the process of human behaviour,it presents only a ‘bare-bones’ sketch of

the behaviour.

INDIVIDUAL DIFFERENCES

The nature of human behaviour is complex and in understanding the behaviour of people they should be studied in their

totality by taking a total man concept. This concept is essentially a combination of all factors affecting human behaviour. Difference

in individuals may be reflected in individual’s different type of behaviour- conformity, difference in the rate of learning and

development, interaction with people having different personality characteristics, productivity and any such type of behaviour.

FACTORS CAUSING INDIVIDUAL DIFFERENCES

The variability in behaviour is in consequence of a combination of different factors. All these factors affect the human

behaviour in one way or the other. Various such factors are given below.

Individual behaviour caused by

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1) Individual variables – Psychological, Socio-psychological

Physiological variables are :-

• age

• sex

• physical features

Socio-psychological variables are:-

• personality

• perception

• learning

• attitudes and values

• emotional intelligence

• motivation

2) Situational variables – Organisational and Job variables

Organizational variables are:-

• Organization structure

• Organizational processes

• Organizational culture

Job variables are:-

• Nature of job

• Work environment .

INDIVIDUAL VARIABLES

Physiological Variables

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Human being possesses certain biological endowments which are vital to his behaviour. Various physiological

characteristics of hereditary, sensory organs, physical build-up, nervous system determine the outcome of his behaviour. However, a

person is not merely a conglomeration of organs, nerves, bones, muscles and brain but a much more complex. As such these factors

are essential to his maintenance and adjustments but play a relatively minor role in shaping his behaviour.


Socio- Psychological Variables

Psychological factors are more important in shaping the behaviour of a person. From the moment of birth, psychological

process- perception, learning, and motivation- become integral part. These processes do not operate as isolated, separate entities any

more than do the biological mechanisms of the body. Various psychological processes, taken as a whole, are included in the concept

of personality and this concept plays a very important role in understanding human behaviour.

PERSONALITY CONCEPT OF PERSONALITY The term personality has been derived from Latin word ‘persona which means ‘speak through’.

Personality factors are extremely important in organizational setting. While perception, learning, motivation,etc. deal with some

specific aspects of human behaviour. Personality takes the whole man concept because it affects various psychological processes.

The term personality means different things to different people. Allport defined personality as such “Personality is the dynamic

organization within the individual of those psychological systems that determine his unique adjustment of his

environment.”According to Ruch personality should include:

(i) external appearance & behaviour

(ii) inner awarness of self as a permanent organising

(Iii) the particular of measurable traits

Maddi has defined personality as “Personality is a set of characteristics & tendencies that determine those commonalities &

differences in the behaviour of people that have continuity in time & that may not be easily understood as the sole result of the social

&biological pressures of the moment.”

Personality is the sum total of all tendencies that an individual has inherited and that he has acquired by experience. In short it

can be defined as the totality of man.

PERSONALITY THEORIES Personality theorists have carried on researches to find answers to the questions: What is personality? What does

personality constitute? How is behaviour governed by personality?. These have resulted into a no. of theories of personality.

Most important theories are:- 1) Psychoanalytic Theory,2) Socio-psychological Theory, 3) Trait Theory, 4) Self Theory

PSYCHOANALYTIC THEORY It is based on the notion that man is motivated more by unseen forces than he is controlled by conscious & rational

thoughts. The major motivating force in man was unconscious framework according to Freud. This framework contains three

aspects. These are id, ego & super ego.

1. THE ID

It is the source of psychic energy and seeks immediate gratification for biological needs. Id represent a store house of all

instinct and it unconsciously direct and determines our behaviour.

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2. THE EGO

It is conscious & logical part of human personality and is associated with the reality principle. While id represents

unconscious part, ego is conscious. It constantly works to keep a healthy psychological balance between Id’s impulsive demands and

Super Ego’s restrictive gauidence.

3. THE SUPER EGO

It represents social and personal norms and serves as an ethical constraint on behaviour. The super ego provides norms

to ego to determine what is wrong or right.

SOCIO-PSYCHOLOGICAL THEORY Socio-psychological personality theory recognises the interdependence of the individual and society. The individual

strives to meet the needs of the society, while society helps the individual to attain his goal. This theory differs from above said

theory in two aspects. First, social variables are the important determinants in shaping personality. Second, behavioural motivation is

conscious; man knows his needs and wants, and his behaviour is directed to meet these needs. This theory offers answer to the

problems of emergence of personality, particularly in terms of the influence of social factors in shaping personality.

TRAIT THEORY Trait factor theory presents a quantitative approach to the study of personality. This theory postulates that an

individual’s personality is composed of definite predispositional attributes called traits. Trait may be defined as any distinguishable,

relatively enduring way in which one individual differs from another. Thus traits can be considered as individual variables. This

theory gives recognition to the continuity of personality and is very descriptive rather than analytical and is along way from being

comprehensive theory of personality.

SELF THEORY Self theory, also termed as organismic or field theory, emphasizes the totality and interrelatedness of all behaviours.

This approach treats the organism as a whole to a greater degree than do any of the other theoretical formulations. There are four

factors in self concept.

1. SELF IMAGE

It is the way one sees oneself. Every person has certain beliefs about who or what he is; taken together, these beliefs

are a person’s self image or identity

2. IDEAL SELF.

It denotes the way one would like to be. The ideal self differs from self image in the fact that the self image indicates

the reality of a person as perceived by him, while ideal self indicates the ideal position as perceived by him.

3. LOOKING GLASS SELF.

It is the perception of a person about how others perceive his qualities and characteristics. This is the perception of

other’s perception that is, the way one thinks people perceive about him and not the way people actually see him.

4. REAL SELF.

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It is what one really is. The first three concept of self concept are the functions of individual perception and they may

be same as real self or different from it.


PERSONALITY DEVELOPMENT Human personality development is a continuous process. It starts since the child is in fetal stage. After birth, the child

develops and learns and this process continues throughout his life. At each stage, a person develops different aspects of personality.

These stages may be classified in to:

1. Freudian stages.

2. Neo-Freudian stages_Erikson’s psychological stages.

FREUDIAN STAGES

According to Freud, personality develops as a result of interaction of four main Sources of stress. These sources affect

differently at each stage of the life of a person and these stages can be classified into five categories.

1. ORAL STAGE

Oral stage covers the period from birth to 18 months of age. This period may be divided into 2 stages-oral sucking and oral

biting. Oral sucking period is from birth to 8 months in which a child satisfies his sexual instinct. Oral biting starts at the age of 8

months and lasts up to 18 months. This stage consists of the earlier characteristics, and other specialities of personality also develop.

2. ANAL STAGE

This stage is from 18 months to 3 years. The child satisfies his sexual instinct by releasing urine and faeces. Ego is

developed at this stage.

3. PHALLIC STAGE

This stage extends from 3 to 7 years. At this stage the child learns to discriminate genitals.

4. LATENCY STAGE

This stage is from 7 to 12 years. At this stage the child’s sexual instincts are usually at sleep because of social fear.

5. GENITAL STAGE

This stage is from 12 to 20 years. The boys and girls see their genitals as their sex organs grow.

NEO-FREUDIAN THEORY Modern psychologists do not agree on the over emphasis of sexual instincts as determinant of personality

development as identified by Freud. Erikson’s psychological stages of personality development provide more valuable insights for

understanding the development of personality.

ERIKSON’S PSYCHOLOGICAL STAGES

While formulating his stage theory of personality, Erikson has felt that relatively more attention should

be given to the social rather than the sexual adaptations of the individuals. Based on this theme, he has identified 8 psychological

stages of personality development.

1. ORAL SENSORY STAGE

This is the stage of infancy and the child tries to resolve the crisis of trust versus mistrust.

2. MUSCULAR AND ANAL STAGE

This is the early childhood stage of the life in which the child develops the sense of autonomy if his behaviour

is approved by the parents and other people.

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3. LOCOMOTOR GENITAL STAGE


This is the play stage of the life and the child tries to resolve the crisis of initiative versus guilt. He tries to discover

how much he can do.

4. LATENCY STAGE

This is the school going stage of the life and the child tries to develop new skills and social abilities.

5. ADOLESCENCE

This is the teenage stage of the life and the person tries to gain a sense of identity; a sense of feeling who he is and tries

to establish himself as socially different from his parents.

6. EARLY ADULTHOOD

This is the stage of early 20s of the life in which the person tries to resolve the crisis of intimacy versus

isolation.

7. YOUNG AND MIDDLE ADULTHOOD

This is the late 20s stage of the life in which the person tries to resolve the crisis of generativity versus

stagnation or self absorption.

8. MATURE ADULTHOOD

This is the 30s stage of the life in which the person faces the crisis of integrity versus despair.

DETERMINANTS OF PERSONALITY It is important to know the factors that cause a given personality to change or develop. There are various

determinants of personality and these have been categorised in different ways. Both physiological and psychological factors play

important role in human personality. These factors are interrelated and interdependent. However, for the purpose of analysis these

can be classified into 4 categories.

A) BIOLOGICAL FACTORS

The general characteristics of human biological system influence the in which human being tends to sense

external event data, interpret, and respond to them.

1. HEREDITY

Heredity is the transmission of the qualities from the ancestor to descendant through a mechanism lying

primarily in the chromosomes of the germ cells.

2. BRAIN

The second biological factor is brain which is supposed to play role in shaping personality. Human brain is divided

into two parts- left hemisphere which lies in the right side of the body and right hemisphere which lies in the left side of the body.

Depending on the structure of brain, an individual’s personality develops.

3. PHYSICAL FEATURES

The third biological factor determining personality formation is

physical characteristics and rate of maturation. An individual’s external appearance, which is biologically determined, is an

important ingredient of personality.

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B) FAMILY AND SOCIAL FACTORS Family and social groups have most significant impact on personality development. These groups have their

impact through socialization and identification processes.

Socialization is a process by which an individual infant acquires those behaviour patterns that are customary

and according to the standards of his family and social groups.

Identification process occurs when a person tries to identify himself with some person whom he feels ideal in

the family.

Socialization and identification influenced by home environment, family members and social group

1. Home Environment . Total home environment is a critical factor in personality development. For example, children with

markedly institutional upbringing or children in a cold , unstimulating home have a much greater potential to be maladjusted than

children raised by parents in a warm , loving and stimulating environment .The variable is not the parents but rather the type of

environment that is generated for the child.

2. Family Members. Parents and other family members have strong influence on the personality development of the child. Parents

have more effect on the personality development as compared to other members of the family. The study by Newcomb showed the

high correlation between attitudes of parents and children with further consistency in patterns. The relationship between the parents

and children was higher than that between the children and their teachers. Besides parents, siblings also contribute to personality.

3. Social Groups. Besides a person’s home environment and family members, there are other influences arising from the social

placement of the family as the person is exposed to agencies outside the home, particularly the school, friendship, and other work

groups. Similarly, socio-economic factors also affect personality development.

C) CULTURAL FACTORS Culture is the underlying determinant of human decision making. it generally determines attitudes towards independence,

aggression, competition, and cooperation. Each culture expects and trains its members to behave in the ways that are acceptable in

the group. To a mark degree, the child’s cultural group defines the range of experience and situations he likely to encounter and the

values and personality characteristics that will be reinforced and hence learned.

D) SITUATIONAL FACTORS Apart from the biological, sociological, and cultural factors, situational factors also determine personality development. The S-O-B-

C model of human behaviours considers the situations under which the behaviour is occurring .Milgram’s research study suggests

that very powerful role the situation may play in human personality. On the basis of his research study, he states that a situation

exerts an important pressure on the individual. It exercise constraints or provide push. In certain circumstances, it is not so much the

kind of person a man is, as the kind of situation in which he is placed, that determines his actions .For example, a worker whose

personality history suggests that he had need for power and achievement ,may become frustrated and react apathetically and

aggressively if he is put in a bureaucratised work situation. Thus, he may appear lazy and trouble-maker though his personality

history may suggests that he is hard working and striving to go ahead. Thus, because of changed situation, his personality

composition changes. This aspect is very important for organisational behaviour because a manager has control over the

organisational situation.

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PERSONALITY MEASUREMENT In order to take the advantages of personality characteristics of organisational members, either existing or prospective, it is desirable

to measure their personality. There are many methods for measuring personality, some of the major methods in practice are as

follows;

a)Projective method

b)Personality inventories

c)Interview method

d)Case history method

e)Observation method.

PERSONALITY TRAITS AFFECTING BEHAVIOUR Personality has key influence on work performance. In jobs, particularly with high human relations content, where most of the

working day is spent interacting with other people. Personality is a major determinant of what will be done and how it will be done.

Each man’s personality reveals itself in the way he works with his superior, his subordinates, and other people. As a result, when the

incumbent on a job changes, everyone has to adjust to a whole series of changes in the way work is accomplished. The result is that

the organisation functions differently from the way the designer of the structure envisioned, and what organisation really is reflects

the personality of those hold key jobs. This affects the individual performance and, consequently, organisational performance.From

the very beginning of the development of psychology, psychologists have to tried to identify types of personality and personality

traits. This effort have resulted into identification of thousands of personality traits and dimensions that differentiate one person from

another. However, much of these dimensions are not really significant in organisational setting. From organisational behaviour point

of view, the following classification of personality trait is relevant.

1. Big five personality traits

2. Other personality traits

Big Five Personality Traits

In recent times, researchers have identified five fundamental traits that are specially relevant to organisations. Because these five

traits are so important and they are currently receiving so much attention, they are now called the big five personality traits. These

five traits are as follows;

1. Agreeableness

2. Conscientiousness

3. Negative emotionality

4. Extroversion

5. Openness

Each of these five personality traits has two extreme points-high and low.In general, experts agree that personality

traits closer to the left end of each dimension are more positive in organisational setting, whereas traits closer to the right are less

positive.

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Agreeableness

Agreeableness refers to a person’s ability to get along with others. Agreeableness causes some people to be gentle, cooperative,

forgiving, understanding, and good-natured in dealing with others. Though researchers have not yet fully investigated the effects of

agreeableness, it seems likely that highly agreeable people are better in developing good working relationships with co-workers,

subordinates, superiors, whereas less agreeable people are not likely to have good working relationships..

Conscientiousness

Conscientiousness refers to the number of goals on which a person focuses his attention. Persons who focus on relatively few goals

at a time are likely to be organised, systematic, careful, thorough, and disciplined; they tend to focus on small number of goals at one

time. Persons with less conscientiousness tend to pursue a wider array of goals and as a result, to be more disorganized, careless, and

even irresponsible as well as less thorough and disciplined. Researchers show that more conscientious persons tend to be higher

performers than less conscientious persons in a variety of jobs. This patterns seems to be logical since conscientious persons take

their job seriously and approach their jobs in highly responsible fashion.

Negative Emotionality

Emotions mean moving of feelings or agitation of mind. Persons with less negative emotionality are relatively poised, calm,

resilient, and secure. They are also tending to better handle job stress, pressure, and tension. Their stability also leads them to be

seen as being more reliable than their less stable counterparts. Persons with more negative emotionality are more excitable, insecure,

and reactive and subject to extreme mood swings.

Extroversion

Degree of extroversion reflects a person’s comfort level with relationships. There may be persons with either introversion or

extroversion features. Introversion is the tendency in individuals which directs them to turn inward and experience and process

feelings, thoughts and ideas with themselves. Extroversion refers to the tendency in individuals to turn outward of them searching

for external stimuli with which they can interact. Introverts are quiet, reflective and intellectual people who prefer to interact with a

small intimate circle of friends. They are more likely to be successful when they can work on highly abstract ideas such as research

and development in a relatively quiet atmosphere extroverts ,on the other hand ,are sociable, lively gregarious, and seek outward

interaction. They are likely to be more successful working in sales activities, publicity department, public relations unit, and so on

where they can interact face to face with others.

Openness

Openness refers to a person’s rigidity of beliefs and range of interests. Persons with high level of openness are willing to listen to

new ideas and to change their own ideas, beliefs, and attitudes to new information. They also tend to have broad interests and to be

curious, imaginative, and creative. On the other hand, persons with low level of openness tend to be less receptive to new ideas and

less willing to change their minds; they tend to have fewer and narrower interests and to be less curious and creative. Generally,

persons with more openness perform better due to their flexibility and the likelihood is that they are better accepted in the

organisation

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The big five personality traits still continue to attract attention of both researchers and managers .The framework of

big five traits has its potential value as it encompasses an integrated set of traits that appear to be valid predictors of certain

behaviours in certain situations .According to Mount et al.”managers who can both understand the framework and assess these traits

in their employees are in a good positions to understand how and why they behave as they do .” However, while applying this


framework in their organisations .Indian managers should take adequate precaution to ensure that possession of higher of these traits

is really in tune with their organisational requirements because these traits have been tested in organisations of the USA.

Becausof cultural difference between India and the USA, it is not necessary that the big five framework is applicable in Indian

organisations in totality.

Other Personality Traits Besides five big traits, there are certain other personality traits which are relevant for organisations. These traits are self-concept and

self-esteem, machiavellianism, locus of control, tolerance for ambiguity, type A and B, work-ethic orientation, and risk propensity.

Self-concept and self-esteem

Self-concept is the way individuals define themselves as to who they are and derive their sense of identity. Self-esteem denotes the

extent to which they consistently regard themselves as capable, successful, important, and worthy individuals. Self-esteem is an

important personality factor that determines how managers perceive themselves and their role in the organisation. People with high

self-esteem tend to take on more challenging assignments and contribute significantly to the organisational effectiveness if the

organisation rewards them suitably for their contributions.

Machiavellianism

Machiavellianism refers to manipulation of others as a primary way of achieving one’s goal. Mach scale measures the extent to

which an individual tend to be machiavellian. People with high score on mach scale, tend to be cool, logical in assessing the system

around them, willing to twist and turn facts to influence others, and try to gain control of people , events, and situations by

manipulating the system to their advantages.

Locus of Control

Locus of Control means whether people believe that they are in control of events, or events control them. Those who have internal of

locus of Control believe that they control and shape the course of events in their lives; those who have external locus of Control tend

to believe that events occur purely by chance or because of factors beyond their own control. Former category of people seek

opportunities for advancement, and rely more on their abilities and judgement at work; while later category of people remain mostly

inactive and allow the events occur on their own.

Tolerance for Ambiguity

Based on personality characteristics, some people can tolerate high level of ambiguity without experiencing undue stress and still

function effectively while people who have a low tolerance for ambiguity may be effective in structured work setting but, it is almost

impossible to operate to effectively when things are rapidly changing and much information about the future turn of events is not

available. Generally managers have to work in an environment full of uncertainty because of rapid change; therefore they to develop

high level of tolerance for ambiguity.

Type A and B

Personality has been grouped into two categories denoted by alphabets A and B. Type A people always feel a sense of time urgency,

are highly achievement oriented, exhibit a competitive drive, and are impatient when their work is slowed down for any reason.

Such people are more prone to heart attack. On the other hand, Type B people are easy going, do not have an urgency of time and do

not experience the competitive drive.

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Work-ethic Orientation

People may have different work-ethic orientation. The extremely work-ethic oriented people get greatly involved in the job. For such

people, work becomes the only consideration of satisfaction and they have very little outside interests. On the other hand, people

with low work-ethic orientation try to do the minimum that is necessary to get without being fired on the job. For effective

organisations, people with high work-ethic orientation are necessary as compared to other extremely high or low work-ethic

orientation because the extremely high work-ethic oriented people will burn their energy too quickly creating lot of health problems,

thus, affecting long term organisational effectiveness adversely, while people with low work-ethic orientation will not be able to

achieve anything meaningful for the organisation.

Risk Propensity

Risk Propensity is the degree to which a person is willing to take chances and make risky decisions. A person with high risk

propensity experiments with new ideas. In an organisational context, he may introduce new ideas, gamble on new products, and lead

the organisation in new and different directions. However, such a person may jeopardise the continued well being of the organisation

if the excessive risky decisions prove to be bad ones. On the other hand , a person with low risk propensity believes in excessive

conservatism and tries to maintain status quo. In an organisation, such a person resists changes and trying new ideas.

Based on the above discussions, some conclusions can be drawn about the desirable personality traits for effective managers. Apart

from the big five personality traits , effective managers need to have high level of self-concept and self-esteem, internal locus of

control, high tolerance for ambiguity, orientation to A type , high work-ethic orientation, and moderate risk propensity.

ORGANISATIONAL APPLICATIONS OF PERSONALITY Understanding of personality has a number of implications for managing the organisations effectively. These implications

are in the area of matching jobs and individuals, designing motivation system, and designing control system.

1. Matching Jobs and Individuals.

Every job in the organisations requires some specific characteristics of the job performer and one of the basic

characteristics is personality of the job performer. An organisation can do well if it is able to match the jobs and individuals, that is,

the personality of the job performer matches with the requirement of the job. The starting point in matching jobs and individuals is

recruitment and selection. It is a known fact that every organisation uses some sort of personality test either in written form or

through personal interview. The basic idea behind such an exercise is to discover the personality traits of the job seekers so that a

match is established between jobs and job seekers. Another area which helps in matching jobs and individuals is training and

development. Since people move upward in the organisation, the nature of their job changes which requires a realignment between

the job and job performers. The new personality traits can be developed, in a limited range, through training. The third dimension of

matching jobs and individuals is promotion where personality counts a lot.

2. Designing Motivation System

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All the people cannot be motivated by offering same incentives because of their personality differences. Some people may be

motivated by offering financial incentives; some people may not react so favourably to such offers. They may attach more


importance to non-financial incentives. Thus, a motivation system which takes into account the personality variables of the people in

the organisation is likely to be more suitable.

3. Designing Control System

In order to ensure that people contribute in the organisation in desired way, a control system is developed. Such a system may be in

the form of tight control leaving no discretion to the people or may provide flexibility. Based on the personality variables, different

people react differently to a particular type of control system. Thus, the designing of control system must take into account the

personality variables of the people.

PERCEPTION Perception is one of the most important psychological factors affecting human behaviour.It is the way an individual

experiences the situation .It may be defined as the process of selection, organization,and interpretation of sensations to provide a

meaningful experience for the individual. There are two basic elements in this definition. First perception is the process of selecting

and screening of stimuli which prevents an individual from processing irrelevant or disruptive information, second the information is

processed implying that information has to be ordered and classified in some logical manner to assign meaning to the stimulus

situation. There is a great deal of misunderstanding about the relationship between sensation and perception .perception is something

more than sensation. Perception is determined by both physiological and psychological characteristics of the organism. However

sensation only activates the organs of the body and is not affected by such psychological factors as learning and motives.

PERCEPTION PROCESS Perception process consists of several sub processes. There are five parts-stimulus, registration, interpretation, feedback and

reaction. The first process in the perception is the presence of stimulus which confronts the human being. During registration process

the physiological organs are affected. Interpretation involves attaching meaning to the stimulus and it is the most important in

perception process. The other psychological processes, particularly learning affect perceptual interpretation. Feedback is the fourth

process which is important for interpretation of the perceptual event data. The final aspect of the perception is the resultant

behaviour. The behaviour is necessary if perception is to be considered behavioural event and thus a psychological process.

PERCEPTUAL SELECTIVITY Perception is a selective process. As the people can sense only limited amount of information in the environment ,they can characteristically selective.By selection ,certain aspects of stimuli are screened out and others are admitted.Those which are screened out fall below the threshold.There are a number of factors which affect this selectivity. 1. Self concept

The way a person views the world depends a great deal on the concept or image he has about himself.The concept plays

an internal role in perceptual selectivity. It can be throught of as an internal form of attention getting and is largely based on the

individual’s complex psychological make up.Knowing oneself makes it easier to see others accurately.

2. Beliefs

A person’s belief’s have profound influence on his perception. Thus a fact is conceived not on what a person believes it to

be. The individual normally censors stimulus inputs to avoid disturbances of his existing beliefs.

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3. Expectations.


Expectations affect what a person perceives. Expectations are related with the state of anticipation of a particular

behaviuor from a person. Even in the organisational setting, expectation affects people’s perception.

4. Inner needs.

People’s perception is determined by their inner needs. The needs is a feeling of tension or discomfort when one think he

is missing something or when he feels he has not quite closed a gap in his knowledge. People with different needs usually

experience different stimuli. When people are not able to satisfy their needs they are engaged in wishful thinking which is a way to

satisfy the need in imaginary world, the day dreaming

5. Response disposition.

Response disposition refers to perceive familiar stimuli rather than unfamiliar ones. For example ,persons having a

particular value take lesser time in recognizing the words having implications in the area of that value,but take longer time in

recognizing the words not associated with value.

6. Response salience.

Response salience is the set of dispositions which are determined not by the familiarity of the stimulus situations,but by

the person’s own cognitive predispositions. Thus a particular problem in an organization may be viewed a marketing problem by

marketing personnel ,a control problem by personnel people, and human relation problem by personnel people.

7. Perceptual defense.

Perceptual defence refers to the screening of those elements which create conflict and threatening situation to the people.

They may even perceive other factors to be present that are not a part of the stimulus situation .

8.External Factors.

The above factors are related to the person involved in perception process.Perceptual selectivity is also affected by

external characteristics of stimulus situation, whether person or thing. Various factors such as intensity, size, contrast, repetition,

Motion, and novelty and familiarity affect the selectivity by forcing the subject to take attention to these objects.

DISTORTION IN PERSON PERCEPTION Perceptual distortion is a position where the person does not perceive the thing, particularly person, as it may be.

This is affected because of several factors. Such factors may be associated with person perceiving ,the person or subject being

perceived, or the situational factors in which perception process may take place.There may be many factors related with person

perceiving.

1. Mental set.

Mental set is the tendency one has to react in a certain way to a given situation. This has been illustrated by Massie and

Douglas as such.'Suppose you are a contestant in a track meet and are positioning yourself in your starting blocks as you hear the

preparatory commands,” Get ready, Get set”. When you hear the command,” Go”, you take off at once since you are already set and

ready to this command'.

2. First impression.

It is very common that people evaluate others on the basis of first impression. The evaluation based on first impression

may be correct if it is based on adequate and significant evidence. However since first impression evaluation is not based on

adequate information ,it may not be true reflection of people being perceived.

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3. Halo effect.


The term halo effect was first used in 1920 to describe a process in which a general impression which is favourable or

unfavourable is used by judges to evaluate several specific traits. The halo in such case serve as a screen, keeping the perceiver away

from actually seeing the trait he is judging.

4. Stereotype.

The word stereotype was first used by Walter in 1922 to describe bias in perceiving people.This means that the perceiver

sees the person on the basis of a single class or category to which the person belongs. Besides this categorisation, a stereotype also

implies general agreement on the attributed traits and the existence of a discrepancy between attributed traits and actual traits.

5. Projection.

Projection is process where by a person protect himself from awareness of his own undesirable traits or unacceptable feelings

by attributing them to others.People adopt this to protect their ego.For eg. If aperson is bypassed in promotion, he may project that

others have been promoted not because of their ability because of their being close with the high ups. Thus he protects his inability

by projecting it to someone else.

6. Person perceived.

The above factors are related basically to a perceiver .Apart from these, there are certain characteristics of person being

perceived which also influence the perception. The first factor is the status of the person. A person is perceived not by his actual

traits but by the status he has. Thus a person having high status may be perceived to have many desirable qualities. The second

factor is the visibility of traits. There are many traits which are not visible on surface, such as, honestly, loyalty etc. In such cases

evaluation is to be made on the basis of one’s own experience which may not be correct.

7. Situational factors

Situational factors also affect the perception. There may be structural characteristics of the place indicating the

characteristics of person occupying it. For eg. a person is perceived differently if he meets with other in a five star hotel as compared

to an ordinary place.

LEARNING

It’s a psychological process determining the human behavior. Unlike other animals, human species has extremely

high mental capacity at birth, while he may be helpless for a long time at the early stages of birth ,step by step he acquire all the

information he want. Since he has a greater capacity for adaptation in response to changed survival conditions, due to its learning

capacity.

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According to the Dictionary of psychology learning means “the process of acquiring to respond adequately to a situation which may

or may not have been previously encountered, the favorable modification of response tendencies consequent on previous experience,

particularly the building of a new series memory so that they can be recalled; the process of acquiring the insight into a situation .Thus

learning can be defined as a relatively enduring change in behavior due to experience .There are four important points in the definition

of learning.


1. Learning involves a change in behavior, but this change is not necessarily an improvement over previous behavior .Learning

generally has the connotation of improved behavior, but had habits, prejudices, stereotypes and work restrictions are also learned.

2. The behavioral change must be relatively same. Any temporary change in behavior due to fatigue or any reason is not a part of

learning.

3. The behavior change must be based on some form of practice or experience. Thus any behavioral change because of physical

maturation is not learning.

For instance, the ability to work which is based on physical maturation would not be considered for learning.

4. The practice or experience must be reinforced in order for learning to occur. If reinforcement does not accompany the

practice or experience, the behavioral will disappear.

COMPONENTS OF LEARNING PROCESS:- A person receives a variety of stimulus inputs. When some specific stimuli

became associated with specific response in a particular manner that the occurrence of the stimuli tends to form a particular

response, learning has occurred. To understand this process it is evident to know the various terms involved in learning.These

components are: Drive, Cue stimuli, Response, Reinforcement, and Retention.

DRIVE

Learning frequently occurs in the presence of drive-any strong stimulus that impels action. With out drive, learning does not take place

or, at least, is not discernible because drive arouses an individual and keep him ready to respond; thus it is the basis of motivation.

Drives are basically of two types-primary or physiological drive and secondary or psychological drives.

Cue Stimuli

Cue stimuli are any objects existing in the environment as perceived by the individual. The idea here is to discover the conditions

under which a stimulus will increase the probability of eliciting a specific response. There may be two types of stimuli so far as their

results in terms of response are concerned: generalization and discrimination.

Generalization: Generalization occurs when a response is elicited by a similar but new stimulus. If two stimuli are exactly alike, they

will have the same probability of evoking a specified response, but the more dissimilar the stimuli become, the lower will be the

probability of evoking the same response. It makes possible stability in mans actions across the time.

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Discrimination: Discrimination is opposite of generalization. This is a process whereby an organism learns to emit a response to a

stimulus but avoid making the same response to a similar but somewhat different stimulus.


Responses : The stimulus results in responses. Responses may be in the physical form or may be in terms of attitudes, familiarity,

perception or other complex phenomena. Usually, however, learning physiologists attempt measurement of learning in behavioral

terms, which is responses must be operationally defined and preferably physically observable.

Reinforcement: It’s a fundamental condition of learning. Without reinforcement, no measurable modification of behavior

takes place. Reinforcement may be defined as environmental events affecting the probability of occurrence of response with which

they are associated. The effect of reinforcement in learning has specified by Thorndike by “of several responses made to the same

situation, those which are accompanied by closely followed by satisfaction will be more likely to occur: those which are

accompanied by closely followed by discomfort will be less likely to occur.

Retention The stability of learned behavior over time is defined as retention and the converse is forgetting. Extinction is a specific

form of forgetting.

Extinction: Extinction may be defined as a loss of memory. Extinction Of a well learned response is usually difficult to achieve

because once something is learned, it is never truly unlearned.

Spontaneous recovery: The return of response strength after extinction, without intervening reinforcement, is called

spontaneous recovery. Spontaneous recovery is not unusual states. In such situations, they sometimes will recover response

tendencies that have been extinguished for many years.

Factors Affecting Learning are:-

1) →→Mental set

2) Nature of learning material

3) Practice

4) Environment

Learning Theories : Learning is acquisition of new behaviour. People acquire new behaviour frequently. The theories of

learning are classified in to 1) Conditioning theory, 2) Cognitive theory and 3) Social learning theory.

Conditioning Theory: Conditioning theory based on learning viz association. It subdivided in to two a) Classical

conditioning and b) Operant Conditioning.

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a) Classical conditioning

Classical conditioning states that behaviour which is learned by repetitive association between stimulus and response. For

Example

Before conditioning Meat (Unconditioned stimulus) →Salivation (Unconditioned response)


Bell (Neutral Stimulus) →No response

During Conditioning Meat (US) + Bell (Conditioned stimulus) →Salvation (UR)

After conditioning Bell (CS) → Salivation (Conditioned Response)

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b) Operant Conditioning

Operant can be defined as behaviour that produces effects. as per this theory, people produces responses that are rewarded and will

not produce or repeat the responses that are either not rewarded or punished.

Cognitive Theory of Learning

Cognition refers to an individual’s idea, thought, knowledge, interpretations and understanding about himself and his

environment. This theory assumes that the organism learns the meaning of various objects & events, and learned responses depend

upon the meaning assigned to stimuli. Cognitive theorist emphasis that learner form a cognitive structure in memory, which

preserves and organize information about various events that occur in a learning station.

Social Learning theory

Social learning theory stresses upon the ability of an individual to learn by observing model- parents, teachers, pears, motion

pictures, TV artists, bosses and others. The influence of the model is the centre of social learning theory

REINFORCEMENT PRINCIPLE:-

Reinforcement is very important for learning because behavioural response is conditioned by reinforcement. Some learning

theorists, however, consider that learning does not involve reinforcement. This suggests that through reinforcement is not

necessary for learning; its presence increases the learning. This is so because when a behavior is reinforcement, a person tends to

repeat the same response he was emitting at the time of reward. This increases probability of that response being emitted when

rewards are presented again. Reinforcement may be classified in many ways: positive and negative, extrinsic and intrinsic,

primary and secondary.

Positive and Negative Reinforcement:- A positive reinforcement is a stimulus which, when added to a situation, strengthens the

probability of a response. A positive consequence is called reward. A negative reinforcement is punishment which may be defined

as presenting an aversive or noxious consequence contingent upon a response. While reward strengthens behavior, punishment

weakens it.

Extrinsic and Intrinsic Reinforcement:-Positive reinforcement is a sometimes further broken in to extrinsic or intrinsic rewards.

An extrinsic reinforce has no direct relationship with behaviour itself. It is an artificial and often arbitrary, such as payment of


money to the employees for new ideas. Intrinsic rewards on the other hand, are natural consequence of behavior. They create a

psychologically expected relationship to the behavior itself, such as, acquisition of new skill, work performance to the capacity,

assuming more responsibility, etc.

Primary and Secondary Reinforcement: Positive rein forcers may also be classified as primary or conditioned. A primary

reinforce is innately satisfying to the person and directly reduces his primary motivational drive. Such rewards are independent of

past experience. Examples of primary rein forcers are food, sex, etc. which satisfy physiological needs. Secondary reinforcement,

on the other hand, depends on the individual and his past reinforcement history. Examples of such rein forcers are praise

recognition, advancement, etc.

Behaviour Modifications

Organisational Behaviour modification is a programme where managers identify performance related employee behaviours and then

implement an intervention strategy to strengthen desirable Behaviours and weaken undesirable Behaviours.

Steps in Organisational behaviour modifications are

1) Identification of critical Behaviour:- Identifying the critical behaviour which has significant impact on the performance out

come of the employee.

2) Measurement of Behaviour Rate at which the critical behaviour is occurring to be measured to initiate the action if it fall bellow

or above certain predetermined limits.

3) Functional analysis of Behaviour: It involve detailed study of employee behaviour in terms of its impact and conditions at

which each occur etc.

4) Interventions Intevention is the action taken to rmove the undesirable critical behaviours.

5) Systematic Evaluations Systematic evaluation has required to monitor the intervention strategy adopted is intact and effective or

not

Measurement of Behaviour

Desirable Behaviour Functional Analysis

Intervention Evaluation

Identification of critical behaviour

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ATTITUDE

Attitudes are major factor affecting behavior. The importance of attitude in understanding psychological

phenomenon was given formal recognition early in the history of social psychology. Till now, the researchers have developed a

loosely structured theoretical framework formulating the psychological processes underlings’ attitude change and the direct

application of the study of attitudes to contemporary social problems.

CONCEPT OF ATTITUDES: Like any other concept, attitudes may also be defined in two ways - conceptual and operational .Even

there is a quite difference in the conceptual definition of the term attitude, and divergent points of view regarding the concept of

attitude have developed .When the term attitude first entered in the field of social phenomenon, it was natural to conceive of attitude

as tendency, set, or readiness to respond to some social object. All port defines attitude as a ‘mental and neural state of readiness,

organized through experience, exerting a directive or dynamic influence upon the individual’s response to all objects and situations

with which it is related. From this point of view, attitude implies a heightened responsiveness to certain stimuli.

Many researchers have defined attitude in terms of effect and evaluation. For example, Krech and Cruthfield

define attitude as an enduring organization of motivational, emotional, perceptual, and cognitive processes with respect some aspect

of the individual’s world. The evaluative nature of is also emphasized by Katz and Scotland when they define attitude as a tendency

or predisposition to evaluate an object or symbol of that object in a certain way .The concept of attitude is operationalised in a

number of ways in most cases , studies relay on some kind of questionnaires to measure attitude. For example, Fishbein has noted

that most measures of attitudes tap an underlying dimension of favorability –un favorability and, therefore attitudes should be

regarded as synonymous with evaluating meaning.

ATTITUDE, OPINION, AND BELIEF:- There are certain other terms, such as opinion and belief, which are used quite closely with attitudes.

Thurstone defines opinions are expression of attitudes. However, Kolasa observes that ‘an opinion is response to a specifically

limited stimulus, but the response is certainly influenced by the predisposition with which the individual is operating, that is, attitude

structure. McCormick and Tiffin observe that ‘the measurement of attitude is generally based on the expression of opinions. But we

should distinguish between attitude scales which typically are used to elicit the opinion of people toward specific aspects of, for

example, their work simulation.

A belief is’ an enduring organization of perceptions and cognition about some aspects of individuals

world ‘.thus belief is a hypothesis concerning the nature of objects, more particularly, concerning ones judgment of the probability

regarding their nature. There are three elements in the attitude formation: the person, other person, and impersonal entity. Two

generic types of relationships are considered to exist between the elements: linking or sentiment relations and unit relations .the

liking relations encompass all forms of sentiment or effect, while unit relationships express the fact that two elements are perceived

as belonging together. Both linking and unit relation can be positive or negative. In a three element system, balance exists if all three

relations positive or if two relations are negative and one positive .Imbalance exists if all three relations are negative or if two

relations are positive and one is negative .People tend to so that imbalance in cognitive structures :denial , bolstering ,

differentiation and transcendence . Denial involves denying relationships when imbalance occurs. Bolstering involves adding

element in this structure that is adding another issue in the main issue .differentiation involves splitting one of the elements in to two

elements that are related in opposite ways to other elements in the system and negatively related two each other. Transcendence


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involves combining elements in to larger, more super ordinate units from a balanced structure. This process occurs in hierarchy so

that person’s attempts to resolve imbalance in the ordering are discussed.

CONGRUITY THEORY:-

Osgood and Tannenbaum have proposed the congruity theory of attitudes which is similar the balance theory.

Congruity exists when a source concept that is positively associated have exactly the same evaluations and when a source and

concept that are negatively associated have exactly the opposite evaluations attached to them. Congruity is a stable state and

incongruity is an unstable one.

AFFECTIVE COGNITIVE CONSISTENCY THEORY:-

Theory, propounded by Rosenberg, is concerned with the consistency between a person’s overall attitude or effect

towards an object or issue and his beliefs about its relationship to his more general values. It proposes that the relationship between

the affective and the cognitive components of the attitude change when an attitude is altered.

The theory postulates that a person’s effect towards or evaluation of the attitude object tends to be consistent

with the cognitive structural component. When there is a inconsistency beyond a certain level of tolerance, the individual is

motivated to reduce the inconsistency and thereby to change one or more components to make them more consistent. The theory,

thus, suggests that changes in the affective component produce changes in the cognitive component in order to bring about the

consistency between the two the theory also suggests that persuasive communication conveys information about how the attitude

object or issue furthers the attainment of certain desirable ends or conveys persuasive material that results in a re-evaluation of the

goals themselves.

COGNITIVE DISSONANCE THEORY:-

The cognitive dissonance theory, proposed by Festinger, has had by far the greatest impact on the study of

attitudes. It states that, there are three types of relationships: dissonance, consonance and irrelevance .Cognitions are dissonant

whenever they are incompatible. Cognitions are consonant when one follows from the other on basis of logic or experience

.Cognitions are totally irrelevant when two events are not interrelated. Dissonance is reduced through three methods: changing a

behavioral cognitive element, changing environmental elements, and adding new cognitive elements.

The basic model of Festinger applies to several situations affecting behavior of persons. For example, when a

person has to choose among a number of alternatives, he experiences dissonance because the positive features of rejected

alternatives and negative features of selected alternative dissonant with the choice. Dissonance–reducing changes have the net effect

of increasing the valuation of the chosen alternative and decreasing the valuation of rejected alternatives.

FUNCTIONAL THEORY:- Functional theory considers how attitudes and efforts are related to the motivational structure of the individual.

The theory focuses on the meaning of the influence situation in terms of both the kinds of motives that is arouses and the individuals

method of coping achieving his goals.

The most prominent person who visualized functional theory is Katz and he suggests four functions of attitude:

utilitarian or instrumental function, ego-defensive, value orientation, and knowledge, as discussed earlier. It can be seen that there is

some similarity in parts of this theory to cognitive dissonance theory. Katz point out is that when an attitude serves an adjective

function, one of the two conditions must prevail before it can be changed :( I) the attitude and the activities related to it no longer

provide the satisfaction they once did; or (ii) the individual’s level of aspiration has been raised. Shifts in the satisfaction which


33

come from behavior bring with them changes in attitudes. When new behaviors inconsistent with attitudes bring satisfaction, these

attitudes then must be adjusted.

Kelman has given another approach about the functional approach of attitudes. His theory is directed towards the

types of social relationships that occur in social influence situations. Kelman has distinguished three processes of attitude formation

and change compliance, identification, and internalization .Compliance occurs when an attitude is formed or group. Identification

occurs when a person forms or changes his attitude because his adoption helps him establish or maintain a positive self-defining

relationship with influencing agent. Internalization involves adopting an attitude because it is congruent with one’s overall value

system. The individual perceives the content of the induced attitude as enhancing his own values.

SOCIAL JUDGMENT THEORY:- The social judgment theory, formulated originally by Sherif and Hoveland, attempts to explain how

existing attitudes produce distortions of attitudinally related objects and how these judgments mediate attitude change. The person’s

initial attitude on an issue provides a point of reference against which he evaluates other opinions .The latitude of acceptance, which

is the range of opinions the individual finds acceptable, encompass the opinion that best characterizes his own stand. The attitude of

rejection, which is the range of opinions the individuals finds objectionable, encompasses the opinion he find most objectionable.

The attitude of non-commitments is the range of opinions that the person finds neither acceptable nor unacceptable.

FACTORS IN ATTITUDE FORMATION:- For attitude formations, all those factors must be taken into account from which people learn such factors may be

analyzed in terms of groups. Starting from the family as a group, an individual moves in a close group, then to larger groups, and

finally to the society as a whole. Apart from these groups the individuals psychological make up, particularly his personality is also

responsible for shaping his behavior and attitudes.

1. GROUP FACTORS:- The influence of groups on the attitudes of individuals is inversely proportional to the distance of the group from

the individual. From this point of view, three types of groups have different types of groups have different types of effect on the

attitudes of a person.

1. Family:- The term family may be used in a variety of ways: it may include a nuclear family which means the immediate group of

father, mother, and children; an extended family which includes nuclear family and other relatives. In fact, when a person starts

learning anything about the world, he learns it through his mother which is known as the process of socialization. Family has two

important roles, first other family members have certain personality characteristics, evaluative criteria and attitudes, and a family as

a whole has certain attitudes and values which are shared by all other persons. Second, family mediates the influence of larger social

systems on the individual’s attitudes, values, and personality characteristics. As an individual interact with other family members, he

simultaneously both influences the personality characteristics and attitudes of others and in turn is influenced by others.

2. Reference groups:- A reference group is any interacting aggregation of people that influences an individual’s attitudes of

behaviors. Reference groups serve important inputs to an individual’s learning of his attitudes and awareness of alternative behaviors

and life style. This happens through the process of socialization. Socialization is a process by which a new member learns the value

system, the norms, and the required behavior patterns of the society, organization, or groups in which he is entering.


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3. Social factors: - The social classes have important influences on individual’s attitudes. They have important task of transmitting

cultural behavior patterns to specific groups and families. They define the expectations of society for groups of people and for

families within the groups. The family then transmits these cultural expectations to the individual. Thus social classes restrict

behavior between individuals of differing social classes, specially in intimate the relationships .This is so because attitudes and

values provide goals which aid alternative evaluation and provide motivation for research and evaluation .This are transmitted

differently among social classes.

2. Personality Factories:-

Personality factors are important in attitude formation. However, many personality characteristics themselves

are determined by group and social factors, as discussed earlier. Personality differences between individuals are very important

concomitant of the discussion of attitudes. This area has been the subject of great interest of research and study particularly with

respect to border area of prejudice and social functioning. Various studies show that there is positive relationship between different

personality factors and attitudes. Adrono et al show that there was a coherent pattern of ethnocentric attitudes including anti-

Semitism among persons having authoritarian personality. McClosky has found a relationship between personality correlates of

conservation and liberals. He found that the conservative attitudes characterized at the lower end of intelligence scale with less

education and with less awareness of current events. Since personality itself is influenced by various group and social factors as well

as heredity factors, in understanding attitude formation, these factors, particularly former ones, must be analyzed.

ATTITUDE MEASUREMENT:- Attitudes are subjective attributes of people. They can be regarded as constructs in the sense that they

are conceptualizations of human qualities that are formed on the basis of either rational consideration or statistical evidence. Attitude

measurement, developed largely by social psychologists, is concerned with efforts to tap these attitudes as they are characteristics of

individual. There are many methods of attitudes measurement. In pulling together numerous methods of dealing with attitude

measurement, Summers uses the following organization which, in effect, is classification of methods of attitude measurement: 1.

self- report(usually elicited with questionnaires dealing with beliefs, feelings, and behaviors); 2 indirect tests(such as projective

techniques and disguised approaches);3 direct observation techniques; and 4 psychological reaction techniques. Measurement of

attitudes based on questionnaires uses several scaling which are commonly used in attitude measurement: Thurston type of scale,

Liker scale, and semantic differential.

The Thurston type of scaling goes back to the early work of Thurston and Chavez, who collected a number of

statements relating to the area in which attitudes were to be measured. The statements are both favorable and unfavorable, and are

placed in 11 piles, with most favorable statement being placed in pile 1 and the most unfavorable one is being placed in pile 11.

Other statements are placed in between, their position depending on the degree of favorability or un favourability. The scale is then

presented to the respondents. Each respondent checks the statement with which he agrees. His attitude score is then based either on

the average or the median scale of the statements that he has checked.

Liker’s attitude scale uses five points. The statement relating to the measurements of attitudes is given to the person

concerned and he is asked to check one of the five points given for every statement. These points show degree of agreement or

disagreement with given statements. The Liker scale is considered better as compared to Thurston because of several positive facts.

For example, in this scaling, there is not much problem in making numerous statements because for every aspect, only one statement

is required which will show both positive and negative degrees.


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The semantic differential, an attitude scaling techniques that lends itself to various applications, was developed by

Osgood, Suci, and Tannenbaum

Semantic differential means the successive allocation of a concept to a point in the multidimensional space by selection

from among a set of given scaled semantic alternatives. For any give purpose it consists of several or many types of opposite

adjectives or phrases, with scale values in between. In using this scale, the respondent marks the position along each scale that

reflects his attitude to the attitude object. Scale values (often ranging from 1 to 7) are associated with the different responses and

individual’s attitude score usually is the sum of these.

Apart from these measures of attitudes, certain other scales have also been developed. These include the Guttman

technique, the error- choice method, and the sentence completion method.

ATTITUDE CHANGE:- World is a changing one and people must change their attitudes appropriate to situation. Organizations adopt a

number of techniques for changing attitudes of their members so that their behavior corresponds with organizational requirement.

The change techniques can be more effective, if three basic factors are considered adequately: 1 the characteristics of attitudes; 2 the

personality of attitude holder; and 3 the group affiliation of the attitude holder. These factors have been derived from two sources:

theory of attitude formation and the factors affecting attitude formation.

1. CHARACTERISTICS OF ATTITUDES:-

Theories of attitudes suggest numerous types of their characteristics. Such characteristics may be 1

extremeness of the attitude, 2 multiplicity, 3 consistency, 4 interconnectedness, 5 consonance of attitude cluster of which the focal

attitude is a part, 6 the number and strength of the needs which are served by the attitude, and 7 centrality of related values. Taking

these characteristics of attitudes, there may be two types of attitude change: congruent and incongruent. The congruent change

involves an increase in the strength of an existing attitude, either to make a positive attitude more strongly negative. An incongruent

change is one in which is the direction of change is opposite to the originally held attitude. Congruent change is easier to produce

than incongruent one – especially when the attitude held is extreme, central in the attitude system, and interconnected with

supporting attitudes.

Another characteristic involved in changeability of attitudes is their simplicity. It is more likely to

produce change in simple attitude than the complex on. The degree of interconnectedness determines the changeability of attitudes.

2. PERSONALITY OF ATTITUDE HOLDER:-

The personality factors of attitude holder are also important in attitude change in the sense that some persons are more

pursuable as compared to others. Per suability is the tendency of a person to accept a persuasive communication. Several personality

factors suggest different types of persuasibility. First is level of self-esteem of the person. The more inadequate a person feels and

the more social inhibitions he has, the more likely is he to be pursuable.

Related to the personality factors, there is a style of thinking referred to as close minded or dogmatism. Dogmatism is a

form of authoritarianism where there is admiration of those in authority and hatred for those opposed to authority.

In Such cases attitude change is often resisted. However, personality factors should not be over-emphasized in attitude

change because the change because the change makes much more sense in the context of total change attempt situation.

3. GROUP AFFILIATION:-


Individual often express their attitudes in terms of group. This is so because membership in the group prevents

existing attitudes from being disturbed by filtering the information. Information likely to cause dissonance or inconsistency is either

omitted or perceived according to group norms with some modification or is rejected or considered irrelevant. This is particularly

true of primary group, such as family, friendship group, etc.

METHODS OF ATTITUDE CHANGE:-

Various methods have been adopted for attitude change. Cohen has classified them into four categories:

Communication of additional information approval and disapproval of a particular attitude, group influence, and inducing

engagement in discrepant behavior. In practice, the central variable in attitude change is the feeling component associated with the

attitude object. Thus from organization’s point of view, a manager may take the following actions in bringing out change in the

attitudes of organizational members. Such a course of action may be in the form of group action, persuasion through leadership,

persuasion through communication, and the influence of total situation.

VALUES

Values are very much important for shaping the behavior of a person. Values are convictions and a frame work of philosophy of an

individual on the basis of which he judges what is good and bad, desirable and undesirable, ethical and non ethical.

According to the famous socio-psychologist Rokeach ‘values represent basic convictions that a specific mode conduct (or end state of

existence) is personally or socially preferable to an opposite mode of conduct (or end state of existence).

As per the definition it has following characteristics;

Part of Culture: Values are elements of culture, and culture is the complex of values, ideas, attitudes, and other meaningful symbols

to shape human behavior in the society.

Learned Responses: Human behavior represent learned behavior. Unlike other animals, human beings learned everything from

experience. Since he lived in a society having some cultural characteristics, which prescribe him to behave in a particular way.

Inculcated: Values are inculcated and are passed through generation to generation by specific groups and institutions. Such a

transmission starts from the family itself.

Social Phenomenon: Values are a social phenomenon that is culture habits are shared by aggregates of people living in organized

society.

Gratifying Responses: Values exists to meet the biological and other needs of peoples in the society. Thus elements in culture

become extinguished when they no longer are gratifying to members of the society. The society rewards behavior which are gratifying

to members.

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Adaptive Process: Culture is adaptive, either through a dialectical process or evolutionary process. When value system of culture

associated with gratification of only one group, dialectical change occurs. In evolutionary process change occurs slowly as a gradual

process, but not through revolution.


VALUES AND ATTITUDES:-

Fishbein and Ajzen have included three components in attitude- informational (ideas, beliefs and values, and

information), emotional (feelings of likes and dislikes or positive and negative) and behavioral (tendency to behave) .Thus, they

have taken values as apart of attitudes. In addition to being more general than attitudes, values often contain statements of goodness

or badness associated with the attitudes which people hold. Values are then, beliefs about which attitudes we should have or how we

should behave.

VALUES AND BEHAVIOUR:-

Behavior of a people is influenced by the values which they hold, particularly in terms of those stimuli which

have some value orientation.

Values influence the behavior in following manners;

Values influence an individual’s perception about the problems he faces and consequently the decisions he make to overcome those

problems

.Values influence the way in which an individual looks at other individuals and groups of individuals, that is interpersonal

relationship. Values become the basis of interpersonal interactions.

Individuals set limit for the determination of what is ethical or unethical behavior for themselves as well as for others.

Individuals judge organizational success as well as its achievement on the basis of their value systems.

Values determine the extent to which individuals accept organizational pressures and goals.

FACTORS IN VALUE FORMATION:-

In particular, there are five sources of value formation in any society. These are value forming activities of various social

institutions, values of an organization, peers and colleagues in the organization, work and career, and professionalization’s and

professional code of conduct.

Value forming institutions: - The life and development of a society are both based upon and produce values. Therefore, there

can be various institutions in the society which inculcate values in an individual. In particular, there are four major institutions

which provide the basic sources of values for persons and organizations: family, school, state, and religion. Value systems are

constructed over a life-time of experience in which the value-shaping influences of these institutions predominate.

The basic process of value formation by these institutions is that they prescribe what is good or bad for an individual.

Good behavior is rewarded and bad behavior is punished.

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Organizational values: - An organization has its own values which are reflected in the form of collective values of individuals

who join it. However since various organizational processes are designed mostly by the managers at comparatively higher

levels, organizational values are more in tune with the values of these managers. An individual may subscribe those

organizational values easily match with his own values. Where the organizational values do not match with the value, he may

either leave the organization or he may adjust himself to the values of organization.


Peers and colleagues: - An individual gets clue of behavior from his peers and colleagues. An individual in a work group tend

to conform to the group’s norm as long as he values friendship and approval of his associates the or fears the possibility that

they will cut from rights, privileges, and benefits they can offer. In the case of values, the individual feels an intimate

involvement with a number of people, a nation, a society, or a business organization, or a work group. Values strengthens,

protect, and solidify a given group, and while departure from values may invoke no penalty, a sense of estrangement may

follow. Therefore, the individual tries to follow that group norm of behavior.

Work and carrier:- Work consists of the tasks or responsibilities associated with a particular job or position in an

organization. In organizations, this work is organized, directed, controlled and entrusted to individuals willing to become

employees through a more or less permanent association with the organization. An individual’s experience over a period of time

constitutes his career. Generally, this career is within an occupation and in an occupational career, the individual follows a

related, progressive series of jobs, positions or stages of development. Work and career create special values that give unity,

cohesion and meaning to persons and groups.

Professional codes:- Professional codes are an increasing source of ethical norms for managers in business organizations.

There are three types of codes in available in an organization. First are the so- called company creeds or philosophies which

usually cover those basic philosophies and behaviors that govern the business.

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Second, a code is found in companies operational policies which setup guides to action that have an ethical

content. Third, since people belong to various professions, they are also governed by code of conduct framed by their associations.

Such codes have been devised by various professional bodies like All India Management Association. Institute of Cost and Works

Accountants of India, and so on. These codes are consonant with customs, mores, beliefs, social values, public laws, and generally

desirable behavior. The enforcement of these codes is by various sanctions such as fines or even the expulsion of deviant members.

TYPES OF VALUES:- All portals have classified personal values into six categories. Graves has classified values five categories while England

has classified into two categories. Rokeach has classified values into two major categories but he has a further classification.

ALLPORT’S CLASSIFICATION:-

All port have classified values into six categories: economic, theoretic, political, social, aesthetic, and religious based on

the orientation of people towards certain things. People having values of economic orientation attach importance to what is useful.

Theoretic persons involve themselves in the use of rational, critical, and empirical processes. Political persons place great emphasis

on power. Social people attach importance to love and affection. Aesthetic people put emphasis on artistic values and harmony.

Religious people attach more importance to unity. Allport suggest that a person may have different values in different degrees but he

is affected more by the most important values held by him.

GRAVE’S CLASSIFICATION:-

Graves has classified various personal values in to five categories. These are existentialism- orientation of

behavior congruent with existing realities, confirmistic - orientation towards achievement of material believes through control over

physical resources, sociocentric - orientation with getting people, tribalistic - orientation towards safety by submitting to power,

egocentric - orientation to survival and power.


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ENGLAND’S CLASSIFICATION:-

England has classified personal values in to two categories: pragmatic and moralistic. A pragmatic is one who

takes a pragmatic view of the situation which is stereo typed. He opts for concepts and actions which appear to him as important and

successful irrespective of good or bad. A moralist is one is guided by the ethical considerations of right or wrong, just or unjust,

honest or dishonest.

ROKEACH’S CLASSIFICATION:-

Rokeach has classified various personal values in to two main categories: terminal values and instrumental

values. Terminal values reflect what a person is ultimately striving to achieve. E.g.: comfortable life, family security, self respect,

achievement etc. instrumental values related to means for achieving desired ends. E.g.: ambition, courage, honesty, imagination etc.

individuals differ in holding terminal values, at least in the context of degrees. Similarly individuals may differ in respect of

instrumental values for achieving a particular terminal value.


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Module 2 Motivation Theories Of Motivation Need Theory Hygiene Theory Theory X and Y Expectancy Model ERG Theory Job Design and Motivation Communication Dynamics of Communications Process and forms of Communications Barriers in Communication Managing Communication


MOTIVATION Motivation is one of the most important factors affecting human behaviour and performance.Likert has called motivation as the core of management.Effective directing of people leads the organisation to effectiveness,both at organisational and individual levels. CONCEPT OF MOTIVATION Technically, the term motivation can be traced back to Latin word movere, which means to move.We need to examine three terms: motive, motivating and motivation and their relationship. Motive: Motive has been defined as follows: “A motive is an inner state that energizes, activates, or moves, and that directs behaviour towards goals.” Motivating: Motivating is a term that which implies that one person (say a manager)induces another(say employee) to engage in action(work behaviour) by ensuring that a channel to stisfy the motive becomes available and accessible to the individual.In addition to channelising the strong motives in a direction that is satisfying to both the organisation and employees, the manager can also activate the latent motives in individuals and harness them in a manner that would be functional for the organisation. Motivation: While motive is an energizer of action, motivating is the channelisation and activation of motives,motivation is the work behaviour itself.Dubin has defined motivation as “Motivation is the complex forces starting and keeping a person at work in an organisation.Motivation is something that moves the person to action,and continues him in the course of action already initiated.” We can see the relationship between motive,motivating and motivation, Nature of Motivation. Based on definitions of motivation,we can derive its nature as relevant for human behaviour in organization Following characteristics of motivation clarify its nature: 1.Based on Motives.Motivation is based on individuals motives which are internal to the individual. These motives are in the form of feelings that the individual lacks something.In order to overcome this feeling of lackness, he tries to behave in a manner which helps to overcome this feeling. 2.Affected by motivating.Motivation is affected by the way individual is motivated.The act of motivating channelises need satisfaction.Besides it can also activate the latent needsin the individual,that is the needs that are less strong and somewhat dormant, and harness them in a manner that would be functional to organisation.

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Motive Motivating Motivation

Needs in individuals Activating needs & providing Need satisfaction

environment

Enhancement in work behaviour


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3.Goal-directed behaviour. A goal directed behaviour is one which satisfies the causes for which behaviour takes place. Motivation leads to goal directed behaviour. 4.Related to satisfaction. Satisfaction refers to the contentment experiences of an individual which he derives out of need fulfillment. Thus satisfaction is a consequence of rewards and punishments associated with past experiences.It provides means to analyse outcomes already experienced by the individual. 5. Person Motivated totality. A person is motivated in totality and not in part. Each individual in the organisation is a self contained unit and his needs are interrelated. These affect his behaviour in different ways. 6. Complex Process. Motivation is a complex process; complexity emerges because of the nature of needs and type of behaviour that is attempted to satisfy those needs.These generate complexity in many ways as: a) Needs are internal feelings of individuals.They themself maynot be aware of it.Understanding of human needs and providing means for their satisfaction becomes difficult. b) Even if needs are identified,a particular need may result into different behaviours from different individuals because of their differences. c) Goal directed behaviour may not lead to goal achievement.There may be many constraints in the situation which may restrain the goal attainment of goal-directed behaviour.This may lead to frustration in an individual creating lots of problem. TYPES OF NEEDS There are many needs which an individual may have and there are various ways in which they are classified.Needs may be divided into three categories: 1.Primary needs 2.Secondary needs 3.General needs Primary needs.Primary needs are also caled as physiological,biological,basic,or unlearned needs.Primary needs are animal drives which are essential for survival.These are commeon to all human beings,their intensity though varies from person to person.Few examples are food,sex,sleep,air to breathe,satisfactory temperature etc.These needs are essential for survival and preservation of species. Secondary needs.Secondary needs are not natural but are learned by the individual by his experience and interaction.These are called learned or derived needs.There ma be different types of secondary needs like needs for power, achievement ,status,affiliation etc. General needs.There are number of needs that lie in the grey area between primary needs and secondary needs.To be included in this category, a need must not be learned but at same time, it is not completely physiological.eg: need for competence,curiosity,affection,manipulation etc.

THEORIES OF MOTIVATION From the beginning, when human organisations were established, people had tried to find out the answer of 'what motivates people in the organisation most'.The starting was made by Frederic.W.Taylor and his followers Frank Gilberth,Lillian Gilberth and Henary Gantt, in the form of scientific management and more particularly 'differential piece rate system'.In early 1960s, those concerned with work motivation started to search for new theoretical foundation and to attempt to device new techniques for application.These approaches were based on types of need that people had and the way these needs could be satisfied so that people would be motivated.These theories were known as content theories of motivation.Maslow gave the theory of need heirarchy;Herzberg proposed two factor theory; McClelland emphasized on power affiliation and achievement motives; and Alderfer proposed three groups of core needs: existence relatedness and growth( Erg model) Because of lack of uniform findings in various researches based on content approaches, scholars tried to find out the process involved in motivation which leads to emergence of process theories of motivation. Vroom proposed the theory of work motivation based on valence and expectancy.


Some scholars tried to relate nature of human beings with the work motivation. Though these propositions are not confined to work motivation, they offer some insights in understanding work motivation. Prominent theories in this group are McGregor's theories X and Y and Ouchi's theory Z. MASLOW’S NEED HIERARCHY The behaviour of an individual at a particular moment is usually determined by his strongest need. Psychologists claim that needs have a certain priority, as the more basic needs are satisfied, an individual seeks to satisfy the higher needs. If his basic needs are not met, efforts to satisfy the higher needs are postponed. The hierarchy into which human needs are arranged is shown below. Self-actualization Esteem Social Security Physiological CRITICAL ANALYSIS OF MASLOW’S THEORY 1 Lack of hierarchycal structure of needs(assumption—man has limited resources which he can use alternatively) 2 lack of direct cause effect relationship b/w need and behaviour. 3 Higher level need is tried if lower level need is reasonably satisfied.This reasonable level is a question of subjective matter. Satisfaction differs from person to person. McCLELLAND’S NEED THEORY 3TYPES OF BASIC MOTIVATING NEEDS .They are classified as 1 POWER Motive It is the ability to influence or induce behaviour. To explain it the need to manipulate others or drive for superiority over others.Adler developed the concepts of inferiority complex & compensation. It was found that people with high power need have greater concern for exercising influence & control,seek leadership. They involve in conversation, are demanding, outspoken, forceful. 2 AFFILIATION Motive Since people are social animals, most individuals like to interact and be with others in situations where they feel they belong and are accepted. Those with high need for affiliation derive pleasure from being loved & tend to avoid the pain of being rejected.They are concerned with maintaining pleasant social relationship, enjoying intimacy, understanding & consoling. 3 ACHIEVEMENT Motive Some have an intense desire to achieve. This can be isolated from others. Four basic characteristics of high achievers are

A. Moderate Risks.....Simple most descriptive characteristic. B. Immediate Feedback.............Person with high need for achievement (n/ACH) desires activities that give immediate &

precise feedback about how he is progressing. C. Accomplishment.........Person with high n/ACH finds accomplishing a task intrinsically satisfying in and of itself, or does

not expect or necessarily want the material rewards. D. Preoccupation with the Tasks......Once a high achiever selects a goal, he tends to be preoccupied with the task until it is

successfully completed. This type of dedicated commitment often reflects on its outward personality, which has negative effect on those who come in contact with him.

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IMPLICATIONS OF THE THEORY As per the research, managers show high on achievement & power and low on affiliation. Chief executives of smaller companies show higher achievement compared to those of larger companies. Middle level managers have higher n/ACH compared to the chief executive. This is because chief executives have already achieved, and those below are striving to advance.

Achievement motivated people can be the backbone of most organisations. When they are promoted their success depends not only on their work but on other’s activities. They sometimes lack human skill and patience. Such persons can be better managers in production, research and development compared to personnel activity. An organisation may need managers with varying degrees of achievements and affiliation motives

HERZBERG'S MOTIVATION-HYGIENE THEORY A research study was conducted by Fredrick Herzberg and associates of Case Western Reserve University. This study consisted of an intensive analysis of experiences and feelings of 200 engineers and accountants. They were asked to describe a few previous job experiences in which they felt 'exceptionally good' or 'exceptionally bad' about jobs. They were also asked to rate the degree to which their feelings were influenced-for better or worse-by each experience which they described.


On analyzing, Herzberg concluded that there are two categories of needs. There are some job conditions that operate primarily to dissatisfy employees when conditions are absent, however their presence does not motivate them in a strong way. These are called maintenance or hygiene factors. Another set of job conditions operate primarily to build strong motivation and high job satisfaction. But their absence rarely proves strongly dissatisfying. These are known as motivational factors. Hygeine Factors According to Herzberg,there are ten maintenance or hygiene factors. These are company policy and administration, technical supervision, interpersonal relationship with supervisors, interpersonal relationship with peers, interpersonal relationship with subordinates, salary, job security, personal life, working condition and status.These factors are necessary to maintain at a reasonable level of satisfaction in employees.Any increase beyond this level will not provide any satisfaction to the employees, however any cut below this level will dissatisfy them. As such they are called dissatisfiers. Motivational Factors Herzberg includes six factors that motivate employees. These are: achievement, recognition, advancement, works itself, possibility of growth, and responsibility. An increase in these factors will satisfy the employees: however any decrease will not affect their level of satisfaction. From this point of view individuals maybe classified into two groups-motivation seekers and maintenance seekers. The motivation seekers are generally those who primarily motivated by 'satisfiers' such as advancement, achievement and other factors associated with work. On the other hand maintenance seekers tend to be more concerned with factors surrounding job such as supervision, working condition, pay etc. However Hertzberg’s Theory is not applied in all conditions. Few arguments against the theory are as follows: 1.Job satisfaction and dissatisfaction are two opposite points on a continuum. Individual on job are affected by any change either in job environment or in job content. 2.Herzberg's model is 'method bound’. and number of other methods used for similar study have shown different results not supporting his contentions. Thus theory has limitations in general acceptability. 3.This theory does not attach importance to pay, status or interpersonal relationship which are generally as important as important as contents of satisfaction. McGREGOR’S THEORY X AND THEORY Y According to McGregor, the management’s action of motivating human beings in the organization involves certain assumptions, generalizations and hypothesis relating to human behaviour and human nature. These assumptions may be neither consciously crystallized nor overtly stated; however these serve the purpose of predicting human behaviour. The basic assumptions behind human behaviour may differ considerably because of the complexity of factors influencing this behaviour. McGregor has characterized these assumptions in two opposite points-Theory X and Theory Y. Theory X In this theory, McGregor has certain assumptions about human behaviour. These assumptions are

1. Management is responsible for organizing the elements of productive enterprises-money, material, equipment, people- in the interest of economic ends.

2. With respect to people, this is a process of directing their efforts, motivating them, controlling their actions, modifying their behaviour to fit the needs of the organization.

3. Without this active intervention by management, people would be passive- even resistant- to organizational needs. They must be persuaded, rewarded, punished, controlled, and their activities must be directed. This is management’s tasks. We often sum it up by saying that management consists of getting things done through other people.

4. The average man is by nature indolent- he works as little as possible. 5. He lacks ambition, dislikes responsibility, prefer to be led. 6. He is inherently self centered, indifferent to organizational needs. 7. He is, by nature resistant to change.

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8. He is gullible, not very bright, the very dupe of charlatan and the demagogue.


Here the last five deal with the human nature and first three with managerial actions. These assumptions about the human nature are negative in their approach. McGregor believes that these assumptions about human nature have not changed drastically though there is a considerable change in behavioral pattern. Theory Y The assumptions of Theory Y are described by McGregor in the following words.

1. The expenditure of physical and mental effort in work is natural as play or rest. The average human being does not inherently dislike work. Depending upon controllable conditions work may be source of satisfaction or a source of punishment.

2. External control and the threat of punishment are not the only means for bringing about effort towards organizational objectives. Man will exercise self direction and self control in the service of the objectives to which he is committed.

3. Commitment to objectives is a function of the reward associated with their achievement. The most significant of such regards, can be a direct product of effort directed towards organizational objectives.

4. The average human being learns under proper conditions not only to accept but to seek responsibility. Avoidance of responsibility, lack of ambition and emphasis on security are generally consequences of experiences, not inherent human characteristics.

5. The capacity to exercise a relatively high degree of imagination ingenuity and creativity in the solution of organizational problems is widely, not narrowly, distributed in the population.

6. Under the conditions of modern industrial life, the intellectual potentialities of the average human beings are only partially utilized.

The assumption of Theory Y suggests a new approach in management. It emphasizes on the cooperative Endeavour of management and employees. The attempt is to get maximum output with minimum amount of control and direction . Comparison of Theories X and Y The difference between two sets of assumptions can be visualized as follows.

1. Theory X assumes human beings to be inherently distasteful towards work. Theory Y assumes that for human beings work is as natural as play. 2. Theory Y emphasizes that people do not have ambitions and try to avoid responsibility in jobs. The assumptions under

Theory y are just the reverse. 3. According to theory X most people have little capacity for creativity while according to Theory Y the capacity for

creativity is widely distributed in the population. 4. In Theory X motivating factors are the lower needs. In Theory Y higher order needs are more important for motivation,

though unsatisfied lower needs are also important. 5. In Theory X people lack self motivation and require to be externally controlled and closely supervised to get maximum

output from them. In Theory Y, people are self directed and prefer self control. 6. Theory X emphasizes scalar chain system and centralization of authority in the organization while Theory Y

emphasizes decentralization and greater participation in the decision making process. 7. Theory X emphasizes autocratic leadership; Theory Y emphasizes democratic and supportive leadership.

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Implications of Theory X and Theory Y The major implications of Theories X and Y may be seen in the management processes which are presented in the table. sl.no Management activities Theory X Theory Y 1 Planning Superior sets objectives

for subordinates. Little participation in objective setting and plan formulation. Few alternatives are explored.

Superior and subordinate set objectives jointly. Great deal of participation in objective setting and plan formulation. Many alternatives are explored.

2 Directing Low commitment to objectives and plan. Autocratic leadership based on authority. Top-down communication with little feedback. Limited information flow.

High commitment to objectives and plan. Participation and teamwork leadership based on competence. Two-way communication with plenty of feedback. Free information flow.

3 Appraising and controlling

Low trust in appraisal. Control is extreme and rigid. Focus on past and fault finding.

High trust in appraisal. Internal control based on self control. Based on past but forward looking and problem solving.

VROOM’S EXPECTANCY THEORY Criticizing the content theories of motivation which are based on the needs of the people and their priority. Vroom has presented an alternative theory which is based on motivation process. Various theories which are based on motivation process are more concerned with the cognitive antecedents that go into motivation or efforts and the way they relate to each other. Vroom’s expectancy theory has its roots in the cognitive concepts in the choice behaviour and utility concepts of classical economic theory. According to Vroom, people will be motivated to do things to achieve some goals to the extent that they expect that certain actions on their part will help them to achieve the goal. Vroom’s model is built around the concepts of value, expectancy and force; its basic assumption is that the choice made by a person among alternative course of action is lawfully related to psychological events occurring contemporaneously with the behaviour. Vroom’s concept of force is basically equivalent to motivation and may be shown to be the algebric sum of products of valences multiplied by expectations. Thus, Motivation (force) = Σ Valence X Expectancy As shown above, the model is built around the concepts of valence, instrumentality and expectancy and therefore, this model is referred to as VIE theory. Various terms used in Vroom’s model are explained below. Valence. According to Vroom, valence means the strength of an individual’s preference to a particular outcome. Other terms equivalent to valence used in various theories of motivation are incentives, attitude and expected utility. In order for the valence to be positive for individual, he must prefer attaining the outcome to not attaining it; a valence of zero occurs when the individual id indifferent towards the outcome and the valence is negative when the individual prefers not attaining the outcome to attaining it.

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Instrumentality. Another major input into the valence is the instrumentality of the first – level outcome in obtaining a derived second – level outcome. Hunt and Hill exemplified it by promotion motive. For example, assume that an individual desires promotion and feels that superior performance is very strong factor in achieving that goal. His first – level outcome is then superior, average or poor performance. His second –level outcome is promotion. The first – level outcome of high performance, thus, acquires a positive valence by virtue of the expected relationship to the preferred second – level outcome of promotion. In the case, the person would be


motivated for superior performance because of his desire to be promoted. The superior performance (first – level outcome) is being instrumental in obtaining promotions (second – level outcome). Expectancy. Another factor in determining the motivation is expectancy, that is, the probability that a particular action will lead to the outcome. Expectancy is different from instrumentality input into valence. Expectancy differs from instrumentality in that it relates efforts to first – level outcomes whereas instrumentality relates first – and second – level outcomes to each other. Thus, expectancy is the probability that a particular action will lead to a particular first – level outcome. The strength of motivation to perform a certain act will depend on the sum of the products of the values for the outcomes times the expectancies. Implications of the Theory One of the important features of this theory is that it recognised individual differences in work motivation and suggests that motivation is a complex process as compared to Maslow’s or Herzberg’s simplistic models. It also clarifies the relationship between individual and organizational goals. Hunt and Hill point out that ‘instead of assuming that satisfaction of a specific need is likely to influence organizational objectives in a certain way, we can find out now important to the employees are the various second – level outcomes (worker goals), the instrumentality of various first – level outcomes (organizational objectives) for their attainment and the expectancies that are held with respect to the employees’ ability to influence the first – level outcomes. Nevertheless, from a theoretical standpoint, the Vroom model seems to be a step in the right direction but does not give the manager practical help in solving his motivational problem.

ALDERFER'S ERG THEORY Alderfer has categorized the various needs into three categories:existence needs,relatedness needs,and growth needs.The first three letters of these needs are used to call it ERG theory. Existence needs:Existence needs include all needs related to physiological and safety aspects of an individual.Thus existence needs group physiological and safety needs of Maslow into one category as these have similar impact on behaviour of individuals. Relatedness needs:Relatedness need include all those needs that involve relationship with other people who the individual cares. Relatedness needs cover Maslow's social needs and that part of esteem needs which is derived from the relationship with other people. Growth needs: Growth needs involve the individual making creative efforts to achieve full potential in the existing environment. These include Maslows' self actualisation needs and that part of esteem needs which is internal to the individual like feeling of being unique, feeling of personal growth etc. ERG theory offers the following propositions : 1. Three need categories form a heirarchy only in the sense of decreasing concreteness. As people move from a focus on existence to relatedness and to growth needs, the way in which they can satisfy those needs become increasingly abstract. 2. The rise in level of satisfaction of any lower order need may result into decrease in its importance. Its place is taken by another need. Thus individual is able to move to become productive and creative and as he moves to this level, he sets a higher goal for himself. 3. People are likely to try to satisfy their most concrete needs first and then, they move on to the abstract needs. In this way, progression of need satisfaction of ERG theory is similar to Maslow's need heirarchy, that is people first satisfy their lower needs and gradually progress to the satisfaction of higher needs in that order. However Alderfer goes one step ahead. He argues that along with satisfaction-progression, people can experience frustration-regression, that is, if people cannot satisfy their needs at a given level of abstraction, they 'drop back' and again focus on more concrete needs.

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Job Design and Motivation

Job design has key role in motivating the people. Job must be allocated or assigned so as to match the individual interest and capacity to render it. The major variables in this direction are

1) Personality predisposition and characteristics such as need pattern, values etc. 2) Characteristics of job via skill requirement, challenges and autonomy it offers. 3) Facilities at work place and proper rewarding / recognizing system.

A better fit among all these variables can be achieved by designing suitable jobs and quality of work life which would lead to individual satisfaction and, consequently, better job performance. A job is grouping of task within a prescribed unit or units of work. A job design is a deliberate attempt made to structure the technical and social aspects of work. Factors in job design Factors in job design are

1) Core Job Characteristics: It includes five job characteristics and three psychological states. Five job characteristics are: Skill variety, Task identity, Task specification, Autonomy and Feed back from job itself. Three psychological states are Feeling of meaningfulness, Responsibility and Knowledge of result of personal performance.

2) Individual factors Individual characteristics such as personality determines the probable derivative of job satisfaction level.

3) Environmental factor It may be in the form of technical and social aspects.

Mechanism of Job Design It consider two aspects of job namely volume and complexity. Nature of a job can be tabulated as below

High Variety of task of similar nature

Variety of task of different nature

Number of Task

Low Few task of similar nature

Few task of different nature

Task Complexity Low High The factors like Job simplification, Job rotation, Job enrichment and job enlargement etc have to be examined and suitably placed to optimize the performance. Job Enrichment versus Job enlargement: Job enrichment is concerned with designing job that includes variety of work content that requires higher level of skill and knowledge and it provides higher degree of freedom in planning and execution of job thereby ensuring personal growth and meaningful experience of the worker. It focuses on the depth of the job. Job enlargement is centered on the volume of the job rather than the job complexity. It main focus is on number of task in job.

High Job enrichment

Jon Enrichment and Enlargement

Focus on Depth Low Routine Job

Job Enlagement.

Number of Task Low High

QUALITY OF WORK LIFE

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“Quality of work life is concerned about the impact of work on people in the organization effectiveness and the idea of

participation on organizational problem solving and decision making”


FigurE 10.3 : factors in QWL and their impact

1. Flexibility in work schedule:- There may be three aspects of flexibility: flexitime – a system of flexible working hours:

staggered working hours – different time intervals for beginning and end of working hours, and compressed work week

more working hours per day with lesser number of working days per week

2. Autonomous work group: Creation of autonomous work group helps in creating positive feelings among employees.

They may be given freedom to choose their own teams.

3. Job enrichment:

4. Opportunity for growth: If work provides him opportunity for personal growth and to develop his personality, he will feel

committed to the job and the organization.

5. Participation: Higher degree of participation increases the QWL and overall organizational climate.

6. Communication: To make QWL sound, effective two way communication is necessary. Through the downward

communication, employees would receive information about the various aspects of the organization. Through upward

communication employees can share their views, grievance and how to overcome these, and suggestions for improving the

work performance.

Effects of QWL

1. Job involvement: Job involvement indicates the extent of people’s identification with or ego investment in the job.

2. Sense of competence: Sense of competence denotes the feeling of confidence that one has in one’s own competence

3. Job satisfaction: Job satisfaction is a set of favourable or unfourable feelings with which employees view their jobs.

4. Job performance and productivity: Job involvement, job satisfaction and sense of competence affect job performance

and productivity of employees.

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Individual factors ability work ethic need pattern

Job factors nature of job

Organizational factors participation communication support

Job Involvement

Sense of competence

Job satisfaction

Performance productivity


JOB SATISFACTION

“Job satisfaction is the amount of pleasure or contentment associated with a job. If you like your ob intensity, you will experience

high job satisfaction. If you dislike your job intensely, you will experience job dissatisfaction.”

DETERMINATS OF JOB SATISFACTION

Individual factors

1. Level of education: The possible reason for this phenomenon may be that highly educated persons have very high

expectations from their jobs which remain unsatisfied.

2. Age: Individuals experience different degree of job satisfaction at different stages of their life.

3. Other factors: If an individual does not have favourable social and family life, he may not feel happy at the workplace.

NATURE OF JOB

1. Occupation Level: Higher level jobs provide more satisfaction as compared to lower levels.

2. Job content: Job content refers to the intrinsic value of the job which depends on the requirement of skills for performing

it, and the degree of responsibility and growth it offers.

Situational variables

Situational variables related to job satisfaction lie in organizational context formal and informal.

1. Working conditions: Conditions of workable and associated facilities for performing the job determine job satisfaction.

These work in two ways. First, these provide means for job performance. Second, provisions of these conditions affects the

individuals’ perception about the organization.

2. Supervision: In employee-oriented supervision, there is more concern for people which is perceived favourably by them

and provides then more satisfaction. In job-oriented supervision, there is more emphasis on the performance pf the job and

people become secondary.

3. Equitable Rewards. The type of linkage that is provided between job performance and rewards determines the degree of

job satisfaction.

4. Opportunity for promotion. It is true that individuals seek satisfaction in their jobs in the context of job nature and work

environment but they also attach importance to the opportunities for promotion that these jobs offer.

5. Work Group. Individuals work in group either created formally or they develop on their own to seek emotional

satisfaction at the workplace.

EFFECT OF JOB SATISFACTION

Physical and Mental Health: The degree of job satisfaction affects an individual’s physical and mental health. Since job

satisfaction is a type of mental feeling, its favourableness or unfavourableness affects the individual psychologically which

ultimately affects his physical health.

PRODUCTIVITY

There are two views about the relationship between job satisfaction and productivity:

1. a happy worker is a productive worker.

2. a happy worker is not necessarily a productive worker.

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ABSENTEEISM.

Absenteeism refers to the frequency of a job holder from the workplace either unexcused absence due to some avoidable or

long absence due to some unavoidable reasons.

EMPLOYEE TURNOVER

Turnover of employee is the rate at which employee leave the organization within a given period of time. When an

individual feels dissatisfaction in the organization, he tries to overcome this through various ways of defence mechanism.

IMPROVING JOB SATISFACTION

Job satisfaction plays significant role in the organization. There fore, managers should take concrete steps to improve the

level of job satisfaction. These steps may be in the form of job redesigning to make the job more interesting and challenging,

improving quality of work life, linking rewards with performance, and improving overall organizational climate

COMMUNICATION

Communication is the process of exchanging information and understanding between two people. The word Communication is

derived from the Latin word “Communis” which means common. It is an obvious fact that Communication is such a vital part

of each of us that it contributes widely to success or failure of every human activity. Communication is highly significant as it

can destroy or create interpersonal relations. The working and maintenance of these relationships is possible only through

communication which provides the exchange of information and sharing of ideas. Communication becomes a necessary element

in human relationship by providing the foundation for human interaction. There are various definitions of Communication but

we will discuss only the important ones.

Communication is best described as a process because it is active, continuous, reciprocal and dynamic. Communication

involves people at least two - one to transfer the message (sender) and another to receive the message. People cannot literally

communicate to other individuals a meaning attitude perception, belief or feeling rather they use a message or messages to

represent what they see, feel or experience. Just as an artist uses a brush to paint to depict a beautiful sun set or landscape, so

too, do communicators use messages to represent their perception thoughts and feelings.

DYNAMICS OF COMMUNICATION:

We can discuss separate elements of communication process such as senders, receivers or messages as if they were

discrete or static for convenience. Any model that portrays communication as beginning what a sender and proceeds until it

reaches a receiver inadequately represents the dynamics of communication. The term process refers to flow of information

through inter related stages of analysis directly towards the achievement of an object. There are four elements in the process-

action, continuous change in time, advancement or progress over time and a goal or result. The communication being a social

process is a dynamic one and it cannot be studied in sort of stop action. Not withstanding this, some sequential arrangement in

communication can be thought of treating it a sort of stop action.

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One of the best ways to view communication in a sort of stop action is through the use of models. Communication

models do have some drawbacks like unnatural act of stopping a process over simplifying and providing not more than a partial

view of such a complex a definitive method which is clear and easy to use in grasping a set of concepts which are central to an

issue. In the case of communication, fortunately, such models are available. Such models range from simply one way persuasive


model to complex information model. Three such models which are used to understand communication process are : Shannon-

Weaver Model, Berlow’s Model and Transactional Process model.

Shannon-Weaver Model

This model is based on information theory that is mechanical approach of communication that is information devoid of meaning.

The information is communicated both accurately and correctly. The basic information theory model involves and information

source which selects a desired message out of all the possible messages that it can select, a transmitter that changes the messages

into a signal which can be sent over some communication channel to a receiver, a destination to whom the message was originally

intended, and finally a noise source which can introduce extraneous information into a signal

Berlow Model

This model is known as dynamic process model which presented communication as a dynamic, interactive process.

Berlow has treated communication process as an ongoing one which involves feedback as well, though in his model, he has not

mentioned it specifically.

Transactional Model

This model of communication is based on the social approach to organizational behavior. The reciprocal determinism of

social learning is very similar to transactional approach of communication. From organizational point of view such an approach

is more accurate and useful way of viewing communication than the more limiting information flow perspective of

communication.

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Source

Transmitter (Encoder) Channel

Receiver (Decoder)

Destination

Message Signal

Noise present in channel

Signal Message

SENDER Ideas Needs

CHANNEL Medium carrier

RECIEVER Ideas Needs

MESSAGE Code Set of symbols

ENCODER Motor skills Muscle system

DECODER Motor skills Muscle system

SENDER

MESSAGE

ENCODING

MESSAGE DECODING

RECIEVER

CHANNEL


PROCESS AND FORMS OF COMMUNICATION:

The process of inter-personal communication is illustrated in figure:

The process comprises several parts: 1. The sender 2. Encoding 3. The message 4. The channel 5. Decoding 6. The receiver 7.

Feedback.

The communication process begins with the sender of the source. The sender has an intended message to communicate.

The characteristics of the sender influence the communication process. The personality of the sender affects the manner in

which the message is transmitted. A sensitive person, for instance, will look at the communication process from the receiver’s

perspective. An insensitive person will be primarily concerned with his own needs.

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ORGINATES ENCODES TRANSMITS

NO REPLY End communication

CHANNEL Verbal Oral written electronic Non verbal Body language Tone of voice Touch

NOISE

PERCEIVES DECODES RESPONDS

REPLIES ENCODES TRANSMITS

CHANNEL Verbal Oral written electronic Non verbal Body language Tone of voice Touch

RESPONDS DECODES PERCEIVES

NO REPLY One way communication


The sender encodes the information to be transmitted by translating it into a series of symbols or gestures. Encoding is

necessary because information can only be transferred from one person to another through representations of symbols. Encoding

can be fairly simple or difficult.

The message is the physical form into which the sender encodes the information. “when we speak, the speech is the

message. When we write, the writing is the message. When we gesture, the movements of our arm, the expression on our face is

the message”.

The channel is the medium through which the message is transmitted. Oral communication via sound waves is the verbal

channel utilized in speeches, meetings, phone calls or discussions. Nonverbal channels such as touch, facial expression and tone

of voice can convey nuances that mere words are not capable of communicating. Written communication channels include

letters, memorandums, reports, manuals and forms. Written materials provide hard copies for storage and retrieval in case

documented evidence is needed later. Electronic channels include e-mails, voice mails, portable telephones, facsimile (fax)

machines, telecommunicating, networked computers and video conferencing. Electronic mails enable people to exchange

messages through computers. Voice mail is a computer based answering machine system accessed by telephone to receiver

transmits the message. Online communication improves efficiency and result in better productivity. On the other hand,

minimizing face to face contact and opportunities for solidity feedback can lead to misunderstandings and lack of non verbal

support, which are often the keys to effective communication and motivation.

The receiver is the person who receives the message and has the responsibility for decoding it. The decoding is the

process by which the symbols are interpreted by the receiver. Although some complex messages such as those in foreign

languages require an actual translation, in most cases decoding is simply the interpretations by the receiver.

A feedback is the response of the receiver to the message. A feedback is desirable because the sender can discover that

the receiver has correctly interpreted the message. It is a check of how successfully the sender has been transmitting messages

as originally intended.

In both transmitting the message and receiving its feedback, the message may be disrupted by the noise which include

anything from ambiguous wording of a message to a poor telephone connection or static from a poor TV antenna. Any factor

that disrupts distorts, interfere with the receivers ability to receiver the message is called noise.

FORMS OF COMMUNICATION:

There are several forms of communication in organization. By far, the most common form is the spoken word, since it is

the quickest. Further, oral communication is likely to be quiet accurate because message can be clarified through on going

dialogues.

Verbal Communication: Oral and Verbal

In addition to oral communication, there is written communication, which supplements the former. Employees devote

large amount of their work time to send message in written form. Memos, letters, reports, orders, e-mail, and the like can serve

as permanent records in addition to conveying messages.

Nonverbal Communication: Symbols and facial expressions

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The third form of communication is non verbal which consist of unspoken cues that a communicator sends in conjunction

with spoken or written messages. One’s posture and manners also may have communication significance. Frown on the face, for


instance, means expression of unhappiness and raised eyebrows indicate disbelief or amazement. Even the physical distance

between two individuals engaged in private conversation reflects the nature of their relationship. Less talked about but equally

significant are such non verbal symbols as the sort of clothes a person wears, his or her hair style. And not to be ignored are the

style of print and kind of paper used in written message which are important non verbal characteristics.

Though verbal and non verbal communications are separated, they operate at the same time. The verbal part of send

message conveys content or information. The non verbal component indicates how the verbal message should be interpreted and

thus is a Meta communication.

In fact, it has been suggested that the total impact of message is the function of following.

Total impact = .07 verbal+ .38 non verbal+ .55 facial

Communication Network 1) Formal Communication

Based on formal organizational relationship and its channels are prescribed and no deviations are allowed. The

communication will be authentic and distortion bear minimum. Formal channel communication subdivided based on the

network in to 1) Single chain, 2) Wheel, 3) Circular, 4) Free flow and 5) inverted V

2) Informal communication

It is an outcome of social interaction among the people and its channel depends on the individual relationship and it is

flexible and travel faster. The authenticity will be under question and messages often get distorted. Grapevine

communication comes under this category. Rumour is a subset of grapevine communication and it the dark side of

grapevine communication. Generally it is incorrect and is the product of vested interest and ambiguity of prevailing

situations.

Direction of Communication Flow

Based on direction of communication flow it is categorized in three

1) Downward Communication

2) Upward Communication

3) Horizontal Communication

BARRIERS IN COMMUNICATION:

Because of the complicity of communication process, problems arise at every stage resulting in distortion of

communication. Noise, as a barrier, was identified in communication model. For convenience of study the barriers are classified

into three categories- sender related barrier, situation relation barrier, and receiver related barrier.

1) Sender related barriers: The sender is responsible for defining the communication, encoding, ideas, thoughts, and

feelings to messages that can be understood by the receiver and creating a favorable communication climate.

The following communication barriers are caused by the sender.

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Communication goals: There must be some goal or objective in communication. This goal provides the sender with the

basis for formulating the message. Lack of such a goal can lead to formulation of incoherent messages.


Communication skills: Communication skills refer to clarity of thought correct word usage, grammatical accuracy, and

proper delivery of message, correct spelling or pronunciation. Absence of these makes it difficult for the receiver to

understand.

Interpersonal sensitivity: The sender may convey the message clearly and accurately to the receiver but fails to get the

intended result because the message does not motivate the receiver.

Different frames of reference: Effective communication requires that the encoding and decoding process may be based

on common field of experience lack of shared experience may result in misunderstanding.

Improper diction: The way the sender utters a word or phrase is often not clear to the receiver communication

obviously fails in such circumstances.

Inconsistent non verbal signals: the tone of voice, facial expression, and bodily postures can hinder communication.

Either or thinking: An individual’s behavior- is often based on “either or” thinking. By taking the position of either or

a person is committed to a position where compromising or viewing a situation correctly is not possible. This places rigidity in

communication.

Fear: Fear is another barrier to effective communication. A person under the influence of fear is likely to loose balance

and communication skills will be affected adversely.

Sender credibility : A sender’s credibility refers to the attitudes the receiver has towards the reliability or trust

worthiness of the sender’s message. Expertise, reliability, intentions, warmth, dynamism, and reputation are the characteristics

which contribute to credibility. No receiver will take a sender seriously if there is a wide chasm between what he preaches

and practices.

2) Receiver related barriers: The receiver is responsible for effective communication as much as the sender is.

Communication is effective when the receiver evinces keen interest in the message transmitted and provides a feedback to the

sender. If the receiver fails to do it poor and ineffective communication results.

The barriers related to the receiver are as follows:

Selective and poor listening: Selective listening refers to the people’s tendency to hear only what they want. Poor

listening distorts communication. There are six bad habits that prevent effective listening. (1) Faking attention. (2) Listening too

hard for the small details that major points are missed. (3) Refusing to listen when the subject matter is difficult. (4) Dismissing

a subject prematurely as uninteresting. (5) Criticizing the delivery or physical appearance of the sender and (6) yielding to

distractions.

Evaluating the source: receiver has a tendency to evaluate the sender and not the message. If the receiver says,”I don’t

like the person” or “I don’t like what the person is saying”. The messages hardly reach the receiver.

Perceptions: The receiver’s perceptions-stereotyping, projection and halo effect make communication ineffective.

Stereotyping refers to the tendency to categorize the people in to a single class on the basis of some trait. Projection is a

perceptual process by which we try to attribute our own thoughts and feelings to others. The halo effect refers to the process of

forming opinion based on one element from a group of elements and generalizing that perception to all other elements.

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Lack of responsive feedback: Non response or inappropriate response discourages the sender of the message. A non

response means that the receiver is not interested in the message and it is difficult to communicate with such a person. An

appropriate response hurts the sender’s ego or feelings.


Meta communication: Meta communication means an additional idea accompanying every idea that is expressed. The

receiver is more likely to concentrate on the Meta communication than on communication itself. This results in

miscommunication.

Situation related barriers: Several communication barriers are attributed to factors other than the sender and receiver.

These are explained below.

Jargon: Jargon means unintelligible talk or writing familiar only to a group or profession. It is full of special words

known only to the members of a group. Each profession has its own jargon or special vocabulary. When it is used outside the

group it becomes unintelligible.

Information overload: When the receivers are bombarded with more messages than they can they can possibly handle,

they experience communication overload. Because of this overload, the receiver cannot accommodate a heavy load of message

from the sender. Miscommunication will be the result.

Time pressure: It can cause poor communication by preventing the sender from providing adequate information to the

receiver. As a result communication may become relatively superficial and this superficiality can adversely affect effective

communication.

Communication climate: The climate in which communication takes place influences its effectiveness. If

communication takes place in an atmosphere of trust and confidence it is likely to produce a positive response. If a message is

incomplete, the receiver is likely to fill in the missing part with the favorable interpretations. Conversely, if communication

takes place in a climate where distrust prevails, even a well intended message can be negatively distorted.

Noise: it will disrupt, distort or interfere with the receiver’s ability to receive the messages correctly.

Distance: there will be delay in communication if the distance between the sender and the receiver is long. This is

particularly true if the mode of communication is letter writing. Communication delayed is communication denied.

Mechanical failure: the failure of mechanical equipment in disruption of communication is too clear for needing any elaboration.

OVERCOMING THE BARRIERS: MANAGING COMMUNICATION The barriers can be overcome if conscious efforts are made by both sender and receiver. The efforts shall be on following

lines:

SENDERS RESPONSIBILITY: Being the initiator of communication process, the sender has the following

responsibilities

1. Setting communication goals

2. Using appropriate language

3. Practicing emphatic communication

4. Improving communicator’s credibility

5. Encouraging feed back

6. Using face to face communication

7 Using a correct amount of redundancy

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8. Developing trusting climate


9. Using illustration

RECIEVERS RESPONSIBILITY: The receiver has greater responsibility to make communication effective. If the receiver

plays his part well communication will be effective in spite of barriers. The role of receiver will be on the lines below

1. Effective listening

2. Providing responsive feedback

Communication barriers Strategies to overcome the barriers

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Sender related barriers: Communication goals Communication skills Interpersonal sensitivity Differing frames of reference Non verbal signals

Situation related barriers: Jargon Information overload Time pressure Climate Distance Noise

Receiver related barriers: Selective and poor listening Evaluating the source Perceptions

Receiver’s responsibilities: Listening Avoid premature judgment.

Sender’s responsibilities: Goals Language Empathy Credibility feedback


Module 3 Interpersonal Behaviour Group and Group Dynamics Group Behaviour Group Effectiveness Leadership Theories of Leadership Trait Theory Behavioural Theory Situation and Contingency Model Leadership Styles.

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Inter Personal Behaviour Nature of Interpersonal Behaviour People spend a large portion of their time in an organization interacting with others. These interactions are paired relationships. That is, they are two person contacts- with superior, subordinate, co-worker, or outsider. Thus there may be either cooperative interpersonal behaviour or conflicting interpersonal behaviour. Cooperative Interpersonal Behaviour When the interaction between two persons is mutually gratifying, it is cooperative behaviour. In this case, both persons get engaged in complementary transactions. In this process, both persons get satisfied over the objectives of mutual interaction. Conflicting Interpersonal Behaviour Because of several reasons like personality differences, different value system, interest conflict, lack of interpersonal skills, and improper approach of mutual interaction, conflicting interpersonal behaviour may emerge. This is dysfunctional to both organization and individuals. Conflicting interpersonal behaviour can be replaced by cooperative interpersonal behaviour by developing interpersonal skills. Skills for Cooperative Interpersonal Behaviour Since cooperative interpersonal behavior is functional both for the organization and the employees, managers should ensure that this type of behaviour is adopted throughout the organization. Such skills are

1. Positive Thinking. Generally a person with positive thinking looks for positive aspects in any person, object, or event. Positive aspects bring gratification and negative aspects bring frustration. When both the individuals mutually interact with positive thinking, many issues that lead to conflicting interpersonal behaviour like clash of mutual interest, differences over tiny matters, etc. can be sorted out easily.

2. Mutual Trust. Two individuals interacting among themselves should have mutual trust. Trust is a two way traffic, that is, if

one wants that others should trust him, he should trust others. Mutual interaction becomes qualifying when negative things are substituted by positive things.

3. Empathy. Empathy means understanding other’s viewpoint from his own point of view. When empathy is practised in

interpersonal interaction, many of the false assumptions on which a particular viewpoint is based are corrected and mutuality of agreement is arrived at leading to cooperative interpersonal behaviour.

4. Courtesy. Courtesy means an act of civility and respect which is shown towards others. With this the environment of

mutual interaction becomes quite positive which leads to free expression of one’s ideas and understanding of other’s ideas in right perspective.

5. Avoidance of Ego Problem. Emphasising on one’s ego is dysfunction in any kind of human interaction. An egoist thinks

and speaks too much of himself or of things as they affect him. Such a person remains arrogant about his opinion and knowledge. This egoism has been called as ego-fed mental fever. Therefore it is desirable to overcome this problem by developing positive thinking based on reality.

One can develop most of these skills by understanding and practicing transactional analysis.

Transactional Analysis Transactional analysis (TA) offers a model of personality and the dynamics of self and its relationship to others that makes possible a clear and meaningful discussion of behaviour. It is a method of analysing and understanding interpersonal behaviour. TA involves analysis of awareness, structural analysis (ego states), analysis of transactions, script analysis, and games analysis. Levels of Self Awareness Self is a core of personality pattern which provides interaction. Such a concept is cognitive. Joseph Luft and Harrington ingham have developed a diagram that gives to look at what one is conscious in one’s social exchanges and what one is not.

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This model is made up of four different quadrants that together represent total person in relation to others on the basis of awareness of behaviours, feelings and motivation. They are 1. The Open Self. The open quadrant refers to states about an individual such as behaviours, feelings, and motives that he knows and is willing to share with others. It is clear to both what he is doing, how he is feeling, and what his motives are. 2. The Blind Self. The blind quadrant refers to states about an individual known to others but not known to him. Other people know what is happening to him but he is not aware of it. Often such blind behaviour is copied by the individual from significant people unconsciously, right since their childhood. 3. The Hidden Self. The hidden quadrant refers to states about the individual known to him but known to others. This is private and only the people concerned knows what is happening. He does not want to share with others. 4. The Unknown Self. The unknown quadrant refers to states that neither the individual nor other people know about him. Many times, motives and feelings go very deep and no one, including the person concerned, knows about these. People often experience these parts of life in dreams or in deep-rooted fears or compulsions. Ego States People interact with each other in terms of three psychological positions, or behavioural patterns, known as ego states. Thu ego states are a person’s way of thinking, feeling, and behaving at any time. They are related with the behavioural aspects of age. These ego states are: Parent Ego. The parent ego state incorporates the attitudes and behaviours of all emotionally significant people who serve as parent when an individual was a child. Characteristics of a person acting with parent ego include being over protective, distant, dogmatic, indispensable, and upright. There can be two types of parent ego states: nurturing and critical. Nurturing parent ego state reflects nurturing behaviour not only towards children but also to other people in interaction. Critical parent ego state shows critical and evaluative behaviour in interaction with others. Adult Ego. Person interacting with adult ego views people as equal, worthy, and responsible human beings. The adult is characterized by logical thinking and reasoning. The process of adult ego state formation goes through one’s own experience, and updates their parent and child data. He blocks his child and parent ego states and use only his adult ego based on his experience. Child Ego. Characteristics of child ego include creativity, conformity, depression, anxiety, dependence, fear and hate. It reflects early childhood conditions and experience perceived by individuals in the early years of their life. It is characterized by non-logical and immediate actions which result into immediate satisfaction. There are three parts of child ego: natural, adaptive, and rebellious. The natural child is affectionate, impulsive, sensuous, and does what come naturally. But he is also fearful, self-centered, and aggressive. The adaptive child is the trained one and he is likely to do what parents insist on, and sometimes, learns to feel non-OK. The rebellion child experiences anger, fear, and frustration. Life Script

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In TA , a person’s life is compared to a play and the script is the text of that play. A person’s psychological script is a life plan, a drama which he writes and feels compelled to live out. When confronted with a situation, a person acts according to his script which is based on what he expects or how he views his life position. Thus every person has a life script. According to Berne, “Script is a complete plan of living, offering both structures-structures of injuctions, prescriptions, and permissions, and structure which make one winner or loser in life.” In a sense, man’s behaviour becomes quasi-programmed by the script which emerges out of his experience. Life Positions Very early in childhood, a person develops from experience a dominant philosophy. Such a philosophy is tied into their identity, sense of worth, and perception of other people. This tends to remain with the person for life unless major experiences occur to change it. Such positions are called life positions or psychological positions, and fall into four categories as shown in fig.

1. I am O.K. you are O.K. This is a rationally chosen life position. It is made after the individual has a large number of O.K. experiences with others. People with this position about themselves and others can solve their problems constructively. They accept the significance of other people and feel that life is worth living. This based on adult ego. 2. I am O.K. you are not O.K. This position is taken by people who feel victimized or persecuted. They blame others for their miseries. This is the case of aggrieved person with an attitude that whatever they do is right. This is distrustful life position. It usually results when a person was too much ignored when he was child. These are the people with rebellion child ego. In this life position, the persons operate with parent ego. 3. I am not O.K. you are O.K. This position is common to persons who feel powerlessness with comparison to others. It is based on one’s feelings about oneself. Individuals who feel a clear distinction between themselves and the people around them who could do many things that the individuals could not do, hold this life position. Persons with this life position always grumble for one thing or the other. 4. I am not O.K. you are not O.K. This is desperate life position. This position is taken by those people who lose interest is living. They feel that life is not worthy living at all. In extreme cases, they commit suicide or homicide. This is the case of individuals who are neglected seriously by their parents and are brought by servants. TRANSCATIONS When people interact, they involve in a transaction with others. Thus, when a stimulus (verbal or non verbal) from a person is being responded by another person, a transaction is said to occur. The transaction is routed from ego states. Depending on the ego states of persons involved in transactions, there may be three types of transactions-complementary, crossed and ulterior Complementary Transactions A transaction is complementary when the stimulus and response patterns from one ego state ato another are parallel. Thus the message by a person gets predicted response from other person. In all there can be nine complementary transactions, its complementary because both are acting in the perceived and expected ego states. in such cases both persons are satisfied and communication is complete, complementary transactions are elaborated as follows:

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1. Adult-Adult transaction- The manager in the adult ego state tries to reason out issues clarifies and informs employees of issues and has concern for facts and figures and human needs. His life position is I am O.K you ar O.K. This is an ideal


transaction; it is very effective because both persons are acting in a rational manner. Data is processed, decisions are made and both the parties are working for the solutions. Satisfaction is achieved by both superior and subordinate. Some inherent disadvantages to the adult-adult transactions is that ,the elimination of child ego can make the transactions dull due to the lack of stimulation that child can provide, it may also prevent decisions being reached due to rational data-processing procedures and a deadline may emerge. In such a case the superior may have to take the decision with his parent ego state. However this is the best type of transaction for organizational functioning.

2. Adult –Parent transaction- While the manager attempts to use the information he has processed, the employee in the

parent ego prefers to use clichés and rules of the past. The employee tries to control and dominate the manager by using the parent ego, but this style is effective only on a temporary basis. It can help a new manager understand the rules and guidance under which the employee operates. Some problems of this style is that, an employee in the parent ego may create hostile feeling towards managers with adult ego, particularly in the long run. The employee may create other problem when other employees are working with their child ego and recognizing his parent ego because he may have better interaction with other employees.

3. Adult-Child transaction- This can be effective when the manager is aware of the ego state of the employee. In such a case

the manager can allow the employees in the child ego to be creative. But the problem arises when the employee acts irrationally because of his child ego. Another problem in this context may be in the form of assumption of employee’s ego who may be taken in adult ego but this assumption may not hold good. This creates a situation that may be frustrating to the manager and the employee

4. Parent-Parent transaction-The manager in the parent ego uses I am O.K you are not O.K life position .He will be a source

of admonitions, rewards, rules, criticisms, praise. This can be beneficial in cases where employee joins forces with manager and supports him. The disadvantage of this situation is that it may lead to unnecessary competition between the manager and the employee because the latter will promote his own ideas than those of the manager.

5. Parent-Adult transaction- In this type the manager may be frustrated because the employee will not perform as directed.

At the same time the employee may also feel frustration because of the manager’s failure to act as adult, thus such relationship may not last for long.

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6. Parent-Child transaction-This may be the ideal situation if the manager is interacting with parent ego and the employee is acting in his child ego. The employee finds this transaction advantageous in that it eliminates much responsibility and pressure. The child prevents much conflict and provides for ease operation. However this situation may not be advantageous to the long run. This depends on the feeling that employee is not capable of doing anything. The employee suffers from this interaction he has to surrender his adult ego. He may be frustrated because he feels his personality is not developed.

7. Child-Parent transaction- The manger in the child ego may contribute very little to the effectiveness of management

because, creativity is one of the characteristics of child, and the role of manager goes beyond this creativity. In this transaction the employee controls the manager in the child ego. The parent will be strong and bearing on the child, and the manager will yield to the employee. The employee may hold threats of punishment to the manager in the form of ridicule loss of popularity or even in demotion.

8. Child-Adult transaction-In this transaction the adult employee will control child manager. The employee may become discouraged particularly when the manager makes decisions on the basis of whims, fancies and emotions which pose problems to employee who wants to interact on the basis of rationality. A major disadvantage is that, the organization may lose many good employees, particularly those who act on rational basis.

9. Child-Child transaction- The manager interacting in child-child ego is not capable of leading his employee successfully

and proves to be a liability to the organization .This transaction may not be lasting because the organization will review performance. Both manager and employee are acting on the whim and fancy, consequently jeopardizing the organizational performance.

All though all these are possible complimentary transactions in the organization because the line of communication is parallel, all these are not ideal only adult-child transactions are good. Non-Complimentary Transactions Non-complementary or crossed transactions may occur when the stimulus-response lines are not parallel. This happens when the person who initiates transaction expecting a certain response do not get it. In this case the manager tries to deal with the employee on adult to adult basis but the employee responds on child to parent basis and the communication is blocked. Crossed transaction is not a satisfactory one. Ulterior Transactions

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These are most complex because the communication has double meaning. When an ulterior message is sent, it is often disguised in a socially accepted way. On the surface level, the communication has a clear adult message, whereas it carries a hidden message on the psychological level, these are undesirable.


STROKING It is an important aspect of transactional analysis defines as any act of implying recognition of another’s presence. People seek recognition in interaction with others. Lack of stroking has its consequences both on physiological and psychological well being of the persons. People need strokes for their sense of survival and well being on job, infact it is a basic unit of motivation. There are two types of strokes -positive and negative. The stroke that makes one feel O.K is a positive one, eg. Words of recognition, affection, pat on the back. The stroke that makes one feel as not O.K is a negative one, e.g. Criticism, hating and scolding. However negative strokes rarely change the undesirable behaviour. The positive behaviour can be secured by avoiding the punishing parent-to-child approach and initiating an adult -to-adult interaction. PSYCHOLOGICAL GAMES The psychological game is a set of transactions with three characteristics.

1. the transaction tend to be repeated; 2. they make sense on superficial or social level; and 3. one or more of the transaction is ulterior

The set of transactions ends with a predictable payoff-a negative feeling, payoffs usually reinforce a decision made in childhood about oneself or about others. They reflect feelings on non O.K ness. When people play games they do things like to fail to come through for other, pass the buck, make mistakes, complain about and dote on their own sorrows inadequacies and catch others in the act. Game players usually assume one of the three basic roles: persecutor, victim or rescuer. Persecutors are characterized by such people who make unrealistic rules, enforce rules in cruel ways. Victims are people who provoke others to put them down use them and to hurt them. Rescuers are characterized by people, who offer helpfulness to keep others dependent on them, do not really help others. These three roles are not independent. Psychological game denotes that people assume the role of game players and differ from reality. Reasons for psychological games People usually learn their game patterns right since their childhood. They learn to believe certain things about themselves and about others and act accordingly. As grown-ups they play games for a variety of reasons, important of them being:

1. To get strokes-people want positive strokes on their jobs. However, when they are not able to get these from others, they try to set a situation where they satisfy their needs for strokes.

2. To strengthen psychological positions-games are generally played to strengthen psychological positions, which people hold. If people hold non-O.K positions, they try to emphasize it through the games.

3. To avoid or control intimacy-people who fear openness, accountability and responsibility in relationships play games as avoidance. This is to put distance between people.

Methods of preventing games Games are essentially two-way transactions, thus it can be broken on either side. The person may be cured only of playing the game in that particular situation or with that person and there is a possibility that the person may play that game elsewhere. Jongeward has suggested the following steps to overcome the psychological games:

1. avoidance of the complementary hand 2. avoidance of acting roles involved in games, particularly victim roles 3. avoidance of putting others and oneself down 4. giving and taking positive strokes as against negative strokes 5. investing more of life’s time in activities and intimacy 6. leveling the thinking with others

BENEFITS AND USES OF TA TA is an approach towards understanding human behaviour. Thus it can be applied to any field of human interactions. Following are some of the specific areas where TA can be applied beneficially: Developing positive thinking

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TA brings a clear change from negative feeling of confusion, defeat, fear, frustration, loneliness, pessimism and suppression to positive feelings of clear thinking, victory achievement, courage, gratification, decision, friendship optimism and fulfillment. Such changes are a source of psychic energy. Positive attitude makes people stronger and negative makes them


exhausting. Some of the specific areas for developing positive thinking through TA are stroking , positive reinforcement , inner dialogue as related to decision making ,active listening and time-structuring. Interpersonal Effectiveness TA improves interpersonal relationship by providing understanding of ego states of persons involved in interaction. It emphasizes complementary transactions which ensure complete communication and problem solving approach. People can improve interpersonal relationships through TA. TA provides managers with a theoretical framework within which to examine interactions with the employees. The manager may be able to identify the ego states from which both parties are interacting; it makes them more comfortable, confident and effective. It also brings effectiveness to the organization. Motivation TA can be applied in motivation where it helps in satisfying the human need a through complementary transactions and positive strokes. Managers can enrich jobs for people by helping them to engage in kinds of activities that give them more positive strokes. It emphasizes strokes from the intrinsic value of the work, rather than depending entirely on strokes from extrinsic. The job enrichment in this case means increasing the number of intrinsic strokes gained from work activity. TA helps in changing the managerial style more suitable to emergent situation Organization Development Organization development applies a humanistic value system to work behaviour and a reorientation of man’s thinking and behaviour towards his work organization. The major goal of organization development is to fight past in the present in order to choose freely the future. TA can help in organization development process. Jongeward has identified the role of TA in sox areas of organization development: to maintain adult-adult transactions, to give an O.K to natural child, to identify and untangle quickly crossed transactions, to minimize destructive game playing, to maximize encounters (intimacy) and to develop supportive systems , policies and work environment. TA can be compared with managerial grid of Blake and Mounton, a technique for adopting appropriate leadership styles and organization development. Various leadership styles may be described in terms of life positions, ego states and transactions. Besides these major areas, TA can be utilized anywhere the people come to interact. Jongeward has suggested that transactional analysis is a practical and useful interrelationship model for organization because:

1. it is easy to learn 2. it gives a positive communication tool that is practical and almost immediately usable 3. it helps to increase a person’s on-the job effectiveness because of better self- understanding and greater insight into

personalities and transactions. 4. it may help solve personal and family problems. 5. it gives a common language for people working together to attempt to solve their own communication problem. 6. it is a non-threatening approach to self-evaluation, and 7. it offer a method for analyzing not only people but also organizational scripts.

GROUP

In sociology, a group is usually defined as a collection of humans or animals, who share certain characteristics, interact with one another, accept expectations and obligations as members of the group, and share a common identity. Using this definition, society can appear as a large group.

While an aggregate comprises merely a number of individuals, a group in sociology exhibits cohesiveness to a larger degree. Characteristics that members in the group may share include interests, values, ethnic/linguistic background, and kinship ties.

Muzafer Sherif (1916-1982) formulated a more technical definition with the following elements:

• A social unit consisting of a number of individuals interacting with each other with respect to:

1. Common motives and goals; 2. An accepted division of labor, i.e. roles, 3. Established status (social rank, dominance) relationships;

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4. Accepted norms and values with reference to matters relevant to the group;

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5. Development of accepted sanctions (praise and punishment) if and when norms were respected or violated.²

Types of groups

Groups were classified as:

• Primary and secondary Groups • Reference and Membership Groups • Command and Task groups • In-Groups and Out-Groups

Primary groups consist of small groups with intimate, kin-based relationships: families, for example. They commonly last for years. They are small and display face to face interaction. A primary group is a typically small social group whose members share close, personal, enduring primary relationships. These groups are marked by members' concern for one another, shared activities and culture, and long periods of time spent together. Examples include family, childhood friends, and highly influential social groups (team sports groups, academic groups, etc...).

Secondary groups, in contrast to primary groups, are large groups whose relationships are formal and institutional. Some of them may last for years but some may disband after a short lifetime. The formation of primary groups happens within secondary groups. People in a secondary group interact on a less personal level than in a primary group, and their relationships are temporary rather than long lasting. Since secondary groups are established to perform functions, people’s roles are more interchangeable.

The distinction between primary and secondary group is based on the nature of the exchange relation. A primary group is a group in which one exchanges implicit items such as love, caring, concern, animosity, support, and such. Examples, of these would be family groups, love relationships, crisis support groups, church groups and such.

Secondary groups are groups in which on exchanges explicit commodities, such as labor for wages, services for payments, and such. Examples of these would be employment, vendor-to-client relationships, and such

Individuals almost universally have a bond toward what are known as "Reference Groups". These are groups to which the individual conceptually relates him/ herself, and from which he/she adopts goals and values as a part of his/her self identity.

A reference group is a sociological concept referring to a group to which another group is compared. Reference groups are used in order to evaluate and determine the nature of a given individual or other group's characteristics and sociological attributes. Reference groups provide the benchmarks and contrast needed for comparison and evaluation of group and personal characteristics.

“ "[Reference groups are] groups that people refer to when evaluating their [own] qualities, circumstances, attitudes, values and behaviors." - William Thompson & Joseph Hickey, Society in Focus, 2005.

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Membership Group is a group to which the individual realy belongs. An individual may be a member of several groups at atime but he may not participate actively in all such groups.

TASK GROUP

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A task force (TF) is a temporary unit or formation established to work on a single defined task or activity. Originally introduced by the United States Navy, the term has now caught on for general usage and is a standard part of NATO terminology. Many non-

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IN GROUP

In sociology, an in-group is a social group towards which an individual feels loyalty and respect, usually due to membership in the group. This loyalty often manifests itself as an in-group bias. Commonly encountered ingroups include family members, people of the same race, culture or religion, and so on. Research demonstrates that people often privilege in-group members over out-group members even when the in-group has no actual social standing; for instance, a group of people with the same color shirts, when the other group has another color of shirt. The term originates from social identity theory.

OUT GROUP

In sociology, an out-group is a social group towards which an individual feels contempt, opposition, or a desire to compete. Members of outgroups may be subject to outgroup homogeneity biases, and generally people tend to privilege ingroup members over outgroup members in many situations. The term originates from social identity theory.

As an example, in the Harry Potter stories the non-sorcerers ("Muggles") are an outgroup, although they are treated with condescension rather than contempt.

There are many types of groups of people. Some are listed below.

Clique - An informal, tight-knit group, usually in a High School/College setting, that shares common interests. There is an established yet shifty power structure in most Cliques. The effects of Cliques are varied. Club - A club is a group, which usually requires one to apply to become a member. Such clubs may be dedicated to particular activities, such as sporting clubs. Community - A community is a group of people with a commonality or sometimes a complex net of overlapping commonalities, often - but not always - in proximity with one another with some degree of continuity over time. They often have some organization and leaders. Franchise- this is an organisation which runs several instances of a business in many locations. Gang - A gang is usually an urban group that gathers in a particular area. It is a group of people that often hang around each other. They can be like some clubs, but MUCH less formal. Group - a group is a basic term for a number of people that associate themselves with each other. This is a basic term which has many uses. Mob - A mob is usually a group of people that has taken the law into their own hands. Mobs are usually a group which gather temporarily for a particular reason. Posse - A posse was initially an American term for a group of citizens that had banded together to enforce the law. However, it can also refer to a street group. Squad - This is usually a small group, of around 3-8 people, that would work as a team to accomplish their goals. Team - similar to a squad, though a team may contain many more members. A team works in a similar way to a squad.

DEVELOPMENT OF A GROUP

If one brings a small collection of strangers together in a restricted space and environment, provide a common goal, and maybe a few ground rules, a predictable flow of behavior will follow. Interaction between individuals is the basic requirement. At first, individuals will differentially interact in sets of twos or threes while seeking to interact with those with whom they share something in common: i.e., interests, skills, and cultural background. Relationships will develop some stability in these small sets, in that individuals may temporarily change from one set to another, but will return to the same pairs or trios rather consistently and resist change. Particular twosomes and threesomes will stake out their special spots within the overall space.

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Again depending on the common goal, eventually there will be integration of twosomes and threesomes into larger sets of six or eight, and corresponding revisions of territory, dominance ranking, and further differentiation of roles. All of this seldom takes place without some conflict or disagreement: for example, fighting over the distribution of resources, the choices of means and different

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http://en.wikipedia.org/wiki/Clique

http://en.wikipedia.org/wiki/High_School

http://en.wikipedia.org/wiki/College

http://en.wikipedia.org/wiki/Club

http://en.wikipedia.org/wiki/Community

http://en.wikipedia.org/wiki/Franchising

http://en.wikipedia.org/wiki/Gang

http://en.wikipedia.org/wiki/Group

http://en.wikipedia.org/wiki/Ochlocracy

http://en.wikipedia.org/wiki/Posse

http://en.wikipedia.org/wiki/Squad

http://en.wikipedia.org/wiki/Team


subgoals, the development of what are appropriate norms, rewards and punishments. Some of these conflicts will be territorial in nature: i.e., jealousy over roles, or locations, or favored relationships. But most will be involved with struggles for status, ranging from mild protests to serious verbal conflicts and even dangerous violence.

By analogy to animal behavior, these behaviors can be termed territorial behaviors and dominance behaviors. Depending on the pressure of the common goal and on the various skills of individuals, differentiations of leadership, dominance, or authority will develop. Once these relationships solidify, with their defined roles, norms, and sanctions, a productive group will have been established.5,6,7

Aggression is the mark of unsettled dominance order. Productive group cooperation requires that both dominance order and territorial arrangements (identity, self concept) be settled with respect to the common goal and with respect to the particular group. Often some individuals will withdraw from interaction or be excluded from the developing group. Depending on the number of individuals in the original collection of strangers, and the number of hangers-on that are tolerated, one or more competing groups of ten or less may be formed, and the competition for territory and dominance will then also be manifested in the inter-group transactions.

Forming, Storming, Norming and Performing - developmental sequence in groups

Even a quick glance at the literature of group development reveals a wide range of theoretical models concerning developmental processes. Most commentators assume that groups go through a number of phases or stages if they exist for an extended period. It is clear, for example, that people tend to want to know something about the other members; have to develop a degree of interdependence in order that the group or team may achieve its tasks and be satisfying to its members; and has to learn at some level to deal with conflict if it is to survive. The most influential model of the developmental process - certainly in terms of its impact upon texts aimed at practitioners - has been that of Bruce W. Tuckman (1965). While there are various differences concerning the number of stages and their names - many have adopted a version of Tuckman's model - forming, storming, norming and performing. He was later to add a fifth stage - adjourning (Tuckman and Jensen 1977). To begin we will look at his original formulation.The collection contained 50 articles, many of which were psychoanalytic studies of therapy or T-groups. The task of organizing and integrating them was challenging. After separating out two realms of group functioning, namely, the interpersonal or group structure realm and the task activity realm, I began to look for a developmental sequence that would fit the findings of a majority of the studies. I hit on four stages going from (1) orientation/testing/dependence, to (2) conflict, to (3) group cohesion, to (4) functional role-relatedness. For these I coined the terms: ‘forming,’ ‘storming,’ ‘norming,’ and ‘performing’ (Tuckman 1984)

This is how Tuckman described the stages in the original article: Forming: Groups initially concern themselves with orientation accomplished primarily through testing. Such testing serves to identify the boundaries of both interpersonal and task behaviors. Coincident with testing in the interpersonal realm is the establishment of dependency relationships with leaders, other group members, or pre-existing standards. It may be said that orientation, testing and dependence constitute the group process of forming.

Storming: The second point in the sequence is characterized by conflict and polarization around interpersonal issues, with concomitant emotional responding in the task sphere. These behaviors serve as resistance to group influence and task requirements and may be labeled as storming.

Norming: Resistance is overcome in the third stage in which in-group feeling and cohesiveness develop, new standards evolve, and new roles are adopted. In the task realm, intimate, personal opinions are expressed. Thus, we have the stage of norming.

Performing: Finally, the group attains the fourth and final stage in which interpersonal structure becomes the tool of task activities. Roles become flexible and functional, and group energy is channeled into the task. Structural issues have been resolved, and structure can now become supportive of task performance. This stage can be labeled as performing. (Tuckman 1965 - page 78 in the 2001 reprint)

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So it was that the influential model was formulated. As Bruce W. Tuckman has noted these terms would come to be commonly used to describe developing groups for the following 20 years and their character probably accounted for the paper’s popularity.


A fifth stage - adjourning In 1977 Bruce W. Tuckman proposed an update of the model (in collaboration with Mary Ann Jensen). He has subsequently commented:

We reviewed 22 studies that had appeared since the original publication of the model and which we located by means of the Social Sciences Citation Index. These articles, one of which dubbed the stages the 'Tuckman hypothesis' tended to support the existence of the four stages but also suggested a fifth stage for which a perfect rhyme could not be found. We called it 'adjourning'. (Tuckman 1984)

Adjourning involves dissolution. It entails the termination of roles, the completion of tasks and reduction of dependency (Forsyth 1990: 77). Some commentators have described this stage as 'mourning' given the loss that is sometimes felt by former participants. The process can be stressful - particularly where the dissolution is unplanned (ibid.: 88). In many respects Tuckman and Jensen's addition of 'adjourning' was less an extension of the model, more an after word. The original article was written from the perspective of the functioning group, the fifth 'stage' takes us beyond that assessment

Several things need saying about Bruce W. Tuckman's model. First, it can be subjected to a more general critique of stage theory (which is discussed elsewhere with regard to life span development). The sheer scale of such theory - by seeking to present a universal or general picture can mean it over-reaches itself. While there may be some 'universals of development' when we come to examine, in this case, the individual group things are rarely that straightforward. Human processes are frequently characterised by variability and flux. Furthermore, our own experiences of groups are likely to show significant deviations from the path laid out by stage theories. 'Stages' may be missed out, other ways of naming a phase or experiences may be more appropriate.

Second, we need to explore the robustness of the actual categories. There is some overlap between the different stages in Bruce W. Tuckman's model - the demarcation is not that clear-cut. For example, 'when group conflict is waning... feelings of cohesion may be increasing, but these time-dependent changes do not occur in a discontinuous, steplike sequence' (Forsyth 1990: 89). However, the take-up of the model isn't simply a matter of some catchy titles. Many theorists and commentators have used the categories (often re-titled) with only marginal amendment.

Third, Bruce W. Tuckman's model is linear (sometimes described as 'successive-stage'). A number of other theorists have proposed cyclical models. An example of how this may occur comes from Bales (1965). He argued that group members tend to seek a balance between accomplishing the task and building interpersonal relationships in the group. At one point the focus will be on the former, at another on the latter. The result is, effectively, a movement between norming and performing. Below we have represented Tuckman's initial model in a way that follows the same phases but allows for issues recurring at different points in a group's life.

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Fourth, there is a question of the extent to which the attractiveness of the labelling Bruce W. Tuckman adopted has contributed to unthinking application by trainers and a reading onto groups of the phases. This really isn't an issue with the formulation - rather how a nice turn of phrase can lead to laziness on the part of practitioners and trainers. Bruce W. Tuckman's model offers us a way of

http://www.infed.org/biblio/lifecourse_development.htm#_Stages


thinking about the groups we encounter and participate within in. It offers, in Donald Schön's terms a metaphor or image that we can play

Problems due to Informal Organisation The working of an informal organization produces both functional and dysfunctional aspects. On the one hand, it benefits both its members and organization as a whole; on the other hand, it creates difficulty in the smooth functioning of the organization. The major difficulties that emerge because of informal organization are resistance to change, role conflict, rumour, and conformity.

1. Resistance to Change: Most dynamic organizations water asnt changei in work methods and routines; informal groups have tendency to perpetuate the status quo. Each group tries to maintain equilibrium. In trying to maintain equilibrium, a group develops responses to return to its perceived best way of life whenever any change occurs. Though people perceive the outcome of a change individually if the outcome of change is precise and definite, oten, they show their reaction in group, and since informal groups are bound by convention, custom, and culture, often they resist any change.

2. Role Conflict: Since informal organizations try to meet the social needs of their members, there is a natural tendency to produce role conflict. An individual perceives role conflict when he has to fulfill conflicting requirements of both his group as well as of organization as a whole. Such conflicts may be dysfunctional from organizations point of view. Much of the conflicts can be avoided by carefully cultivating mutual interest with informal groups. The more the interests, goals, methods, and evaluation system of formal and informal organizations can be integrated, the more productivity and satisfaction can be expected. 3. Rumour is a phenomenon of social communication that supplements the transmission of information through formal

communication. Rumour is a specific proposition for belief, passed from person, usually by words of mouth, without secured standards of evidence being present. Rumour deals with temporary events in a way that implies that whatever is said is true even though there is not much information to support it. The basic reason for the circulation of rumours is ambiguous circumstances and relieving of emotional tensions felt by people in those ambiguous situations. Since most of the time rumours carry false informations, they carry detrimental to organizational functioning. The best course of action to deal with rumours is the identification of their soursce and cause. Getting at cause is vise use of t he preventive approach, instead of a tardy curative approach. When people feel secured, understand the things that matter to othem, and feel on the team, there are few rumours because there is very little ambiguity in the situation.

4. Conformity: The informal groups exert strong pressures for conformity. Water hen conformity is mentioned, a person usually thinks of an autocratic boss and organizational rules. The members identify so much with the informal group that it becomes a part of their everyday life. Accordingly, they hardly realize the powerful pressures which it exerts to get them to conform to its code of conduct. The conformity to informal group implies that members become subject to willful control of an informal leader who may manipulate the group towards selfish or undesirable ends. The informal leader wields group power without the official controls, weight of responsibility, and public regulations that formal leader has. In this way, the informal group can become an instrument of neurotic source of conflict or non-responsible rabble using the group for their own selfish ends.

DEALING WITH INFORMAL ORGANIZATION Informal organization is a natural outcome of the operation of the social factaors at work. As such, it can neither be created nor dispensed with. It affects the functioning of the formal organization favourably as well as unfavourably. Therefore, management has to devise actions in such a way that makes the informal organization to contribute positively or to minimise its dysfunctional consequences. Management can adopt three types of actions in this context.

1. Ignoring informal organization 2. Making use of informal organization, and 3. Influencing informal organization

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Ignoring informal organization: Management can ignore the existence of informal organization and does not take any action. This is possible when the informal organization does not interfere strongly in the formal organizational processes. However, where the impact of the former is strong on the latter, management cannot afford to ignore the situation except only at the cost of its own peril. Management, sometimes, tries to evade this reality by emphasising the formal organization even to the point of trying to obreak up

http://www.infed.org/thinkers/et-schon.htm


whast it regards as destructive cliques. But loyalty to the face-to-f ace group, to one’s fellow workers, is much stronger than loyalty to the larger entity. Thus, ignoring informal organization is not a desirable action. Taking use of informal organization: Management can treat informal organization as complementary to formal organization. This is based on maxim that “formal and informal oroganizations are necessary for any group action just as two blades are essential to make a pair of scissors workable”. Management may make use of informal organization by establishing a rapport with informal leaders who may provide valuable information about what is exactly happening in the organization which may not be available through formal information system. This not only contributes to the organizational performance positively but also helps in minimising the negative consequences of informal organization. Influencing informal organizations: Management can influence informal organization by taking suitable actions. It can modify informal behaviour to make it more meaningful for organizational functioning. Since informal organization operates during work as water ell as away, management can influence it by such means as what management communicates, which people are permitted to work close together, and how management recognizes informal leaders. Keith Davis has identified following functions of a manager in this context.

1. Manager should let employees feel that management accepts and understands informal organization; 2. He should consider possible influence upon informal systems when taking any decision; 3. He can integrate interest of informal groups with that of formal organization; 4. He can keep formal activities from unnecessarily threatening informal organization in general.

The implication of these actions is the adaptation of flexible and accommodating approach to solve a problem arising out of the functioning of informal organization because such an approach hardens the attitudes of the members of informal organization, consequently, leading to generate counteraction and severe destructive conflicts. Thus, the best approach would be to recognize the existence of informal organization with formal one.

Group Behaviour In the context of groups, it happens that some groups perform well and generate synergy whereas some groups do not perform well and result into social loafing. This happens because there are several factors, both within groups and outside these, which affect group performance. Such factors have been presented in figure below.

External Conditions: A group is not an independent identity but is created by an organization to perform certain specified work. Thus, a group has to work within the framework provided by the organization. Organizational factors that impose conditions for group working are organization’s strategy, its resources, rules and regulations, authority structure, performance evaluation and reward systems, physical work setting, and culture. To the extent these are positive, group performance will be positive. In alternative scenario, group performance will be negative.

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Group Member Resources: A group’s potential performance depends, to a great extent, on the resources that its individual members bring to the group. These resources may be classified into two groups: knowledge, skills, and abilities; and personality characteristics. If the knowledge, skills, and abilities of group members match with group requirements, group performance is likely to be better. Besides these, members’ personality characteristics are also relevant to group performance. It has been found that personality traits, such as sociability, openness, initiative, and flexibility contribute positively to group performance while authoritarianism, dominance, and unconventionality tend to result into poor group performance. Group Structure: A group is not an unorganized mob of few individuals but a conscious and purposive creation. Therefore, the group must have structure just like an organization has structure. In a simple term, structure is t he pattern in which various parts or components of an object are interrelated or interconnected. In the case of a physical object, such a pattern is visible but in the case of a social object like work group, this is not visible. Therefore, the structure of a work group has to be deducted from its various components and how they work. These are group composition, group size, role, leadership, group norms, group cohesiveness, and status. All these affect group performance. Group Composition: The composition of a group plays an important role in determining group performance. Group composition is most often defined in terms of homogeneity or heterogeneity of the group members. A group is homogeneous if the members are similar in one or several ways that ate critical to the work of the group, such as age, work experience, education, technical speciality etc. In the heterogeneous group, the members differ in one or more ways that are critical to the work of the group. Whether homogeneous or heterogeneous group should be created depends on the type of task the group is expected to perform. In certain types of tasks, homogeneous groups are more appropriate while in other types of tasks heterogeneous groups are more appropriate as shown in table. Task variables and group composition Homogeneous groups suitable for Heterogeneous groups suitable for Simple tasks Complex tasks Sequential tasks Collective tasks Tasks that require cooperation Tasks that require creativity Tasks that must be done quickly Tasks that need not be done quickly Group Size: Group can have as few as two members or as many members as canb interact meaningfully and influence one another. Group size can have important effect on group performance while a larger group has advantage over a smaller group in terms of idea generation and availability of resources. It may produce inhibition for interaction and communication among group members. Further, a larger group’s behavioural pattern may result into social loafing which affects group performance adversely. A smaller group may be affective in terms of interaction and communication among group members but lacks ability to handle complex tasks. Therefore, the group size should be determined by taking into consideration such factors as nature of tasks to be performed, maturity of group members, and the ability of group leader to manage communication, conflict, and group activities. Though experts view that group size of 5 –7 members is the most effective; in certain cases, group size beyond these numbers may be effective if the above factors are highly positive. Roles: The role is the pattern of behaviours expected of a person occupying a particular position in a social unit. Since a person may be part of several social units like family, friendship group, organization, etc. he may occupy several positions at the same time. Even in an organization working as an employee, a person may hold a position; say chief accountant but the same person may be a superior, a subordinate, a peer, a member of finance committee, and so on. Every such form of position, behaviours expected from him may be different. Thus, there are certain actual behaviours and they create role identity. There are two elements that define this role identity: role perception and role expectations. Role perception: An individual; is expected to behave according to his own perception in the group or organization. The person forms this perception on othe basis of certain stimuli like description, clues provided in training programmes, role narration by peers, and so on. However, this perception may or may not be correct. In order to correct this perception, an analysis of role expectations is required.

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Role expectations: Role expectations are defined as how others believe one should behave in a given situation. Combining both role perception and role expectations, actual role description for an individual, say an employee, proceeds in the following way:


1. Initial perception of employee’s own role. 2. Manager’s expectations from employee based on manager’s perception of employee’s role. 3. Interaction of two sets of perception leading to develop employee’s perception of the employee’s role as seen by the manager. 4. Prescription of actual role of the employee.

This process takes place in the case of group members too and each member becomes clear what role one is required to perform to achieve group objectives. Unless roles are clarified and agreed upon by group members, conflicts will inevitably arise. Leadership: A group leader plays an important role in the functioning of the group. He may take the group to a new height by channelising the group members’ resources through effective use of his leadership or may bring the group to low level through ineffective use of his leadership. Role of leadership in managing an organization has become so important that it has attracted the attention of both management and practitioners. Keeping this in view, a separate chapter has been devoted to study leadership. Group Norms: Functions of groups are sometimes termed as normative in that they cause people to behave in a similar pattern as well as evaluative in providing a reference point to an individual for his own behaviour. The normative function of group norms is of great importance in organizational behaviour because it helps a manager to understand how and why an individual will behave according to group norms. Group members tend to form and conform norms. Norms are rules of behaviour or proper ways of action which are accepted as legitimate by group members. The kinds of behaviour that are expected from goup members are specified by these norms. According to Hackman, group norms have five characteristics.

1. Norms summarise and simplify group influence processes. They summarise and highlight those things that the group feels important to control.

2. Norms apply only to behaviours, and not to private thoughts and feelings. It will be sufficient if there is behavioural compliance from the members. Private acceptance of norms is not necessary.

3. Norms are generally developed only for behaviours which are considered as important by most group members. 4. Norms usually develop gradually, but the process can be shortened if members so desire. If, for some reasons, group

members decide that a particular norm is nowmi desired, they may simply agree to institute such a norm suddenly by declaring that ‘from now on’ the norm exists.

5. Not all norms apply to everyone in the group in the same manner. High-status members enjoy more freedom to deviate from the ‘letter of the law’ than do other members.

Group norms perform two functions. First, norms help the group to accomplish its goals. Approved procedures for movements towards an agreed upon goals are often the source of pressure of uniformity. If methods are seen as assuming progress towards a goal, then members view these procedures as the proper way to behave. Second, norms help the group maintain itself as a group. These ensure that group will continue to maintain entity by putting pressure against behaviour that may divide or threaten the existence of group, or make members uncomfortable and ready to resign also serve to ensure that the group survives. FACTORS AFFECTING CONFORMITY TO GROUP NORMS. People confirm to the group norms for their own benefits. Homans, anoted sociologist,has provided the equation of theory.’to explain why people confirm to group norms. This theory is built up on the premise that interpersonal activities and centiments emitted by one individual responding to another are more or less reinforcing or punishing to the behaviour of the other individual,ie,they are more or less valuable to him.the nature of interactions is determinedby an individuals perception of the profit of the interaction. This can be defined in familiar economic terms: Profit =Reward-Cost Usually following factors affect the conformity to group norms

1. The more stble and cohesive a group is,the more likely to exercise conformity to its norms. 2. When group goals meshed with individual goals, members are quite willing to adhere to norms.when there are

differences in two sets of goals,and few rigid and definite standards are used to evaluate group norms, non-confirmity is likely to increase.

3. Situational factors in group processes affects the degree of conformity. Thus, the pressure for the conformity increases for an individual as the number of persons agreeing to group norms increases.

4. Personality characteristics of individuals affect the degree of conformity to group norms. More intelligent members are likely to show lesser degree conformity as compared to less intelligent members.

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ENFORCING GROUP NORMS Group norms may vary from a very simple rule to very complex set of priscription and prohibition. Therefore it is not always possible to enforce norms quite easily.

1. Education : Adherence to group norms can be increased through educating the group members about how the group norms contribute to the achievement of group goals. They may be educated and persuaded to give up their gains in favour of the groupo gains. Increasing each members’ involvement in the group’s activities also helps in adherence to group norms.

2. Surveillance: Surveillance of adherence to group norms provides clue to measure the degree to which group members

adhere to norms. Such a clue helps managers to devise suitable actions for ensuring conformity to norms. If the deviation to norms can not be detected directly, some other means can be developed to measure this.

3. Warning: Deviant members can be warned of the consequences of non-adherence to group norms. Such a warning may

induce the deviant members to reappraise their profit or loss from adherence or non-adherence to group norms.

4. Sanctions: This is the stage of taking actions against deviant members. However, sanctions have some negative consequences. Therefore, they should be used quite judiciously. Sanctions should be used only if means of persuading deviant members are exhausted.

Group Cohesiveness: Group cohesiveness is another important factor, besides group norms, which affects group behaviour. Group cohesiveness means the degree of attachment of the members to their groups. If group cohesion is high, the interaction between the members of the group is high and the degree of agreement in group opinion is high. A cohesive group usually has the following features:

1. The members share the group goals and norms and have common interests and backgrounds. 2. The number of members is small. 3. The members interact among themselves quite frequently and interpersonal communication is very effective. 4. Group loyalty among the members is high because the group enjoys high status. 5. The members stand united against any perceived external threats to the group. 6. The members keep themselves glued to the group as they feel that their needs would be satisfied by the group. 7. The group has a history of past success.

Factors affecting group cohesiveness: There are various factors which determine the degrees of group cohesiveness. Such factors are as follows:

1. Degree of dependency on the group: The more dependent a person is on a group for some result or effect, the greater will be the group’s attractiveness, and consequently greater is its cohesiveness. It has been suggested that the greater the number of individual needs a group can or does sastisfy, the greater is its attractiveness and its cohesiveness.

2. Size: Other things being equal, size has an inverse relationship with group cohesiveness. This is so because group cohesiveness increases through interaction among group members. Thus, larger a group becomes, the lesser opportunity exists for interaction among the members.

3. Homogeneity and stable membership: Groups whose members have different interests and backgrounds are often less effective in promoting their interests, Similarly, stable relationship among members enhance group cohesiveness. This is so because the relation-ship have to persist over a period of time to permit people to know one another to develop common understanding of shared goals and values.

4. Location of group: Location of the group affects group cohesion in two ways. First, if the group members are located close to each other, they interact themselves frequently and freely. Therefore, group cohesion would be high. Where the line dividing between one group and other groups does not exists, cohesion is not easy to achieve because a chain of interaction develops among members of various groups.

5. Group status. A group with high status with success stories is more attractive to its members. Therefore they show solidarity among themselves and and group cohesions tends to be high. As against this, a group which is denounced by all tends to have less cohesion.

6. Group leadership. The qualities of the group leader determine the extent to which the group mamers bind themselves with the group. If the leadr is dynamic

Group Cohesiveness and Productivity – Established by Hawthorne

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Group cohesiveness ,taken together with group norms for productivity affects productivity.Hawthorne found that the workers tended to set their own norms of production for the group as a whole. And because of group cohesiveness they used to stick to these norms.It has two types of characteristics as below:


1. The productivity of members of a cohesive group tends to be uniform. 2. In the group with low cohesiveness, productivity tends to show wide variation among members reflecting that the group has lower social control over its own members. Relationship of productivity and cohesiveness of the group depend on alignment of group’s attitude towards the organizational goals.it is reprented in figure below:

High High productivity Moderate productivity Performance Norms Low Low productivity Moderate to low productivity Cohesiveness

High Low

Fig : group cohesiveness and Productivity

We can see that for high productivity both cohesiveness and performance norms should be high. Even in the case of high performance norms, less cohesive group may produce more as compared to highly cohesive group because of lower impact on its individual members. Status The existence of status is a common feature of every organized group whether it is society , organization or work group. Status is the relative ranking that a person holds in a group, organization or society. The positions people occupy in society are established according to needs of society .In the society, a person ma have to perform a variety of roles, and there is possibility that different roles may attract different status. Individuals are bound together in status systems which define their rank relative to others in the system. Two types of status are

1. Social status 2.organisational status

Social status refers to the ranking in a society and an individual’s relative position is often based on a number of factors. Organisational status typically refers to a specific hierarchical position within a particular organization. Barnard defines the status of an individual as “It is a condition of the individual that is defined by a statement of his rights, privileges, immunities, duties and obligations in the organization and obversely , by a statement of restrictions, limitations and prohibitions governing the behaviour , both determining the expectations of others in reference thereto” Status Determinants Since there are various determinants of status in the society, different scales have been developed to measure status. there are FOUR scales by which one can describe various types of status. They are 1. Ascribed-Achieved 2. Functional-Scalar 3. Personal-Positional 4. Active- Latent 1.Ascribed-Achieved The ascribed- achieved dimension of status measures the extent to which the prestige or value is earned or s a matter of birth-right. The status in the society may be achieved by the acquisition of special skills, education and other qualities by virtue of which a person is given higher status . 2.Functional-Scalar Functional-scalar dimension is related with the vertical and horizontal positions. Positions in certain functional areas may be more prestigious or they may enjoy more authority. Sometimes this may be a sufficient ground for organizational conflicts, particularly between staff and personnel. 3.Personal-Positional Personal-positional scale relates status to the extent to which prestige or value is based on characteristics of the individual himself or based on the position he holds without regard to the person who occupies it. The individual may gain prestige because of his characteristics such as connections, sociability, attractiveness without formally occupying a position. 4. Active-latent

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Active –latent dimensions arise because a person performing various roles may have different status with each role.\In actual practice, such a status may affect his functioning other roles also.


For e.g. a person may be lowly placed in an orgnisation. Consequently, his status is very low in the organization. But if he is holding a high office in civic affairs, This status may affect his working in an organisation . Functions of Status System Status system is fundamentally determined by the necessities associated with the needs and interests of individuals as biological and social units, and upon requirements arising from the physical and social limitations inherent in the systems of operation. Bernard has identified two three functions of status system in an organization:

1) Communication 2) Incentives 3)Responsibility

1) Communication: It is the fundamental process in cooperation. Communications are authentic, authoritative and intelligible. For the communication to be authoritative , status plays an important role. Authoritativeness in communication is of two types:

1) Functional Authoritativeness 2) Scalar authoritativeness Both functional and scalar systems of status are essential to establishing in a practical degree, the authoritativeness of communication.

2) Incentives Status system functions as an important part of the system of incentives. Maintenance and improvement of status are among

the essential incentives to cooperation. Status as an incentive has two aspects: a) Prestige for its own sake as the reinforcement of ego, as security for integrity of the person. b) Prestige is a valuable or indispensable form means to the other ends.

3) Responsibility The status system is a stronger developer of the sense of responsibility and therefore of stability and reliability. The desire for development of status and specially the desire to protect status appears to be the basis of sense of general responsibility. Responsibility is established and enforced by specific penalties for specific failures and by limitation of status or by loss of a par on the bais of ticular status for failure.

Status Symbols Symbols are the features for identifying anything. Status symbols are a set of externally visible markings that systematically rank the individuals and groups in relation to each other. There can be several types of symbols:

1) Insignia Places or people having different status can be distinguished on the basis of insignia marks of identification differentiating things or people of different status. For e.g. A Minister’s car bearing a flag

2) Titles and \designations People also differentiated on the basis of various titles and destinations carried with them. Since people are motivated by status symbols, various organizations assign very impressive looking titles to their people. For e.g. A personnel manager to be designated as personnel director

3) Pay and Perquisites Though pay and perquisites are given in accordance with the contribution of individuals, it may not happen so always. Special perquisites are given to maintain high status, For e.g. personal allowances

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4) Physical Facilities Status people can be distinguished on the basis of various facilities provided to them at workplace of different sizes For e.g. Exclusive parking places to distinguish among different status


Problems of Status System The basic purpose of granting status symbols is to maintain coordination, communication and motivation. Status system creates many problems and becomes dysfuntional The major problems in this area are

1) Status as an end: Status aim to establish two kinds of relationships 1) one of equals 2) one of superior subordinates. Because of

these status differentials, the gulf between superior and subordinates becomes so wide as to preclude any kind of joint action or real agreement in goals.

2) Emphasis on position: Status creates emphasis on position rather than the man and his acts. It frequently occurs that system is not in

accordance with the general perception of the way in which rewards and perquisites within the organization should be fairly distributed. This creates serious problems of morale and motivation.

3) Problems of Equity : The status holder may be preoccupied too much in taking care of maintenance of his status and symbols.Thushe may not contribute meaningfully for achievement of goals. Thus there arises a feeling that those who have status, they have got too much in the organization. It creates tussle among persons to acquire more status.

5) Financial Burdens :

Maintenance of status system is financially difficult and a burden on the part of the organization. Often the contribution of position holders may not be according to the expense involved on maintenance of their status symbols.

Status and Group Norms Status has significant effect on the power of group norms and pressure to conform. This happens because high status members are highly valued by group members and therefore the latter accept the behavior of formers. Thus high status members have a high range of discretion for behavior. Group Processes A process can be defined as a systematic method of handling activities. Within a work group, processes that have important implications for group performance are communication, leader behavior, power dynamics, conflicts and cooperation and group decision making. Group processes have effect on group performance because of operation of social facilitation effect. Socio Facilitation Effect Social Facilitation effect refers to the tendency for performance improvement or decline in response to the presence of others. The researches suggest that performance of simple, routine tasks tends to be speeded up and made more accurate by the presence of others. Because of the operation social facilitation effect and effect of group factors, two types of features may appear in groups : synergy in group and social loafing. Synergy in Group The concept of synergy is quite popular in strategic management and is defined as follows: “Synergy is the process of putting two or more elements together to achieve a sum total greater than the sum total of individual elements separately. This effect can also be described as 2+2=5 effect.” Synergy effect depends on how a particular element affects another and is affected by it. Concept of synergy in group works means members of the group are complementary to each other and they contribute positively to one another. Social Loafing Social \Loafing is the antithesis of synergy in group work which suggests that people working together on a common task may actually decrease their individual efforts. For e.g. A simple phenomenon of social loafing may be observed in a group assignment to students during their study.\In such an assignment, students find that one or two students do not put their weight for completion of project. These students are called as Loafers who frequently miss the project group’s meetings and fail to perform their assigned tasks. They rely on the fact that more reliable members will complete the project without their help and still expect to share the credit and obtain same marks from the professor since he will not be concerned with determining who worked and who did not

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GROUP EFFECTIVENESS

Group effectiveness is related to organizational productivity. The term “Organisation” is typically defined as a cluster of groups. Group effectiveness depends on the ability of the members in the group to work together cooperatively and productively.

Factors Influencing Group Effectiveness

1 Goals: All groups should have their own goal to achieve. Every member of the group should know when these goal to be accomplished. Group effectiveness will be high in such situation. 2 Participation: Active participation of all members is another key prerequisite for group effectiveness 3 Feelings: Group members must be provided adequate opportunity to express their feeling for better group effectiveness. 4 Diagnosis of Group Problems: Timely diagnosis and corrective measure of group problem is essential for high degree of group effectiveness. 5 Leadership: Leadership definitely has some influence, however, it effect in group effectiveness is only moderate as it not totally depends on a single person in majority of cases. 6 Decision: Decision of the group should be made on the basis of consensus. Once decision has taken, the group should adhere to it. 7 Trust: Mutual trust between the group members is essential for group effectiveness. 8 Creativity: Group must seek the new idea or methods to do things / job in better ways. This creative approach will enhance the group effectiveness.

Guidelines to improve Group Effectiveness:

a) Learn about the group and how they operate b) Discuss group functioning during group meetings c) Take the feed back from group members d) Consider the feed back seriously and ensure measures are in place to implement it. e) Always keep focus on group f) Keep group as small as possible to ensure effective and proper communication among group members g) Give sufficient time for planning h) Allow enough time to accomplish its goals and tasks i) Realise the members that group effectiveness is the joint responsibility.

CONCEPT OF LEADERSHIP Leadership, in the business context is one of the means of direction and represents the part of managers activities by which he guides and influences the behavior of his sub ordinates and the group towards the accomplishment of some specialized goals. Leadership is a quality that can create and convert anything. Definition of Mc Faland: According to Mc Farland leadershipis “the process of inter personal influence by which the executive or manager influences the activities of others in chosing and attaining ends. Tennenbaumetal have defined as follows “Leader ship is interring personal influence exercised in a situation and directed through communication process, towards the attainment of specified goals.” According to Terrys definition leadership is essentially a continuous process of influencing behavior. A leader breathes life in to the groups and motivates it towards goals. The lukewarm desires for achievement are transformed into a burning passion for accomplishment.” A more recent definition of leadership is as follows: “Leadership is the process of influencing and supporting other to work enthusiastically towards achieving objectives” CHARECTERISTICS OF LEADERSHIP

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1. A leader should have followers . The reason is that there cannot be leadership without followers.


2. Leadership considers deeply inter personal relationships. It is rooted in feeling and attitude that have grown out of reactions of individual personalities to each other. 3. A leader should lead continuously because leadership is a continuous and ever evolving process. 4. Leadership includes directing guidelines , guiding and influencing the behavior of individuals and groups so that future activities and behaviour can be modified in the appropriate direction. 5. The leader must b self motivating subordinates to struggle willingly for mutual objective. 6. The leader must set an ideal before his subordinates. His behavior must stimulate the followers for hard and honest woek.

LEADERSHIP THEORIES TRAIT THEORY: Trait theory says that there are identifiable qualities or characteristic that is unique to leaders. Trait is defined as relatively enduring quality of individuals. The trait approaches seeks to determine ‘what make a successful leader’ from the leader‘s own personal characteristics. From very beginning, people have emphasized that a particular individual was successful leader because of his certain qualities or characteristics. Various research studies have given intelligence, attitudes personality and biological factors as ingredient for effective leaders. The current research on leadership trades suggested that some factors do help differentiate leaders from non-leaders: the most important trades are a high level personal drive, desire to lead, personal integrity, and self-confidence. Cognitive ability business knowledge, charisma, creativity, flexibility, and personal warmth’s are also frequently desired Innate qualities are those which are passed by various individuals’ science their birth. These qualities are natural and often called as god-gifted. On the basis of good qualities, it is said that ‘leaders are bone and not made’. These qualities cannot be acquired by the individuals. Trait theory has identified long list qualities that a leader should possess. 1. PERSONALITY

The term personality here means not only physical appearance but also inter personal qualities .Such qualities include emotional stability and maturity , self confidence , decisiveness , strong drive, optimum extrovertness, achievement operation , purposefulness, discipline , skill in getting along with others , integrity in character and a tendency to b co operative.

2. INTELIGENCE Acquirable qualities of leadership are those which can be acquired and increased through various processes. In fact, when child is born he learns many of the behavioral patterns through socialization and identification processes. Such behavioral patterns are developed among the chilled as various traits over a period of time. Many of these traits can be increased through training programmers. Following are the major qualities essential for leadership;

3. HUMAN RELATIONSHIP A success fill leader should have adequate knowledge of human relation that is, how he should deal with human beings. Since an important part of a leader’s job to develop people and get their voluntary co-operation for achieving work, he should have intimate knowledge of people and their relationship to each other. the knowledge of human beings behave and how they react to various situations quite meaningful to a leader. 4 . EMPATHY Empathy relates to observing the thing or situations from others points of view. The ability to look at things objectively and understanding from others point of view is an important aspect of successful leadership. When one is empathetic, he knows what makes the other fellows think as they do, even though he does not necessarily agree with others thoughts. Empathy requires respect for the other person, their rights, beliefs, values and feelings 5. OBJECTIVITY Objectivity implies that what a leader does should be based on relevant facts and information. He must assess these without any bias of prejudice. The leader must base his relationship on his objectivity. He is objective and does not permit himself to get emotionally involved to the extent that he finds it difficult to make an objective diagnosis and implement the action required

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6. MOTIVATING SKILLS


Not only a leader is self motivated but he has requisite quality to motivate his followers. Though there are many external forces which motivate a person for higher performance, there is inner drive in people also for motivation to work. Leader can play active role in simulating these inner drives for his followers. Thus a leader must understand his people to this extent that he can know how he can activate them. 7. TECHNICAL SKILLS] The leading of people requires adherence to definite principles which must be understood and followed for greater success. The ability to plan, organise, delegate, analyse,seek advice,make decision,control,and win co-operation requires the use of important abilities which constitute technical competence of leadership. The various technical competence of leader may win support from the followers. 8 .COMMUNICATING SKILLS A successful leader knew how to communicate effectively. Communication has great force in getting the acceptance from the receivers of communication. A leader uses communication skilfully for persuasive, informative, and stimulating purposes. Normally, a successful leader is extrovert as compared to introvert. 9. SOCIAL SKILLS A successful leader has social skills. He understands people and knows their strengths and weaknesses. He has the ability to work with people and conducts himself so that he gains their confidence and loyalty, and people co-operative willingly with him. Though all these qualities contribute to the success of leadership, but it cannot be said for certain about the relative contribution of these qualities. Moreover, it is not necessary that all these qualities are possessed by successful leader in equal quantity. The list of qualities may be only suggestive and not comprehensive. Leadership is too nebulous a concept to be definitely identified by a listing of its important attributes. IMPLICATION OF THE THEORY 1. The theory emphasizes that leader requires some traits and qualities to be effective . 2. Many of these qualities may be developed in individuals through training and development programmes. However, the theory suffers from two sets of limitations: generalisation of traits and applicability of traits.

BEHAVIOURAL THEORY

The behavioral theory emphasis on the fact that the leadership is the outcome of effective role of behavior. Behavioral theory of leadership emphasizes that strong leadership is the result of effective role behavior. Leadership is shown by a person’s acts more than by his traits. Leadership behavior may be viewed in two ways: Functional and dysfunctional. Functional behavior influences followers positively and includes such functions such as setting clear goals, motivating employees for achieving goals, raising the level of morale. building spirit, effective two way communication, etc. dysfunctional behavior is unfavorable to the followers and denotes ineffective leadership. Such a behavior may be inability to accept employeees’ideas,display of emotional immaturity, poor human relations ,etc. IMPLICATION OF THE THEORY Behavior theory of leadership has some important implication of managers. They can shape their behavior which appear to be functional and discard the behavior which appear to be dysfunctional. Researchers who have taken behavior theory for analyzing leadership behavior have prescribed various leadership styles which may be applied in managing the people in organizations. we shall discuss these styles in the next section.

LIMITATION OF THIS THEORY A particular behavior may be functional at a point of time but it may be dysfunctional at another point of time. Thus, the time element will be decider of the effectiveness of the behavior and not the behavior itself. Second, effectiveness of leadership behavior depends on various factors which are not in the leader but external to him like nature of followers and the situations under which the leader’s behavior take place. These factors have not been given adequate considerations. To that extent, the theory does not explain leadership phenomenon fully.

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SITUATIONAL THEORY The situational approach does not deny the importance of individual traits in leadership. But it goes further and asserts that leadership pattern is the product of situation in particular group and that leadership will be different in different situation. The prime attention in situational theory of leadership (also known as contingency theory) is given to the situation in which leadership is exercised. Therefore, effectiveness of leadership will be affected by the factors associated with situation. These dimensions of leadership have been presented in figure It was conducted in a research conducted by Bavelas and Barlet that no individual emerges as leader when all participants have equal access to the information and that the individual commanding maximum helpful information will sooner or later emerge as a leader. The various factors affecting leadership effectiveness may be broadly be classified into two major categories: leader’s behavior and situational factors. the combination of both these factors determine leadership effectiveness.Let us discuss these factors and their impact in leadership effectiveness. LEADER’S BEHAVIOUR Leader’s behavior is affected by two variables: Leader’s characteristics and his hierarchical position in the organization. 1.LEADERS CHARECTERISTICS An individual’s behavior is influenced by intelligence and ability, his characteristics like his personality characteristics, attitudes, interest, motivation, and physical characteristics such as age, sex, and physical features. 2.LEADERS HIRARCHIAL POSITION Leader’s Hierarchical position in the organization is important because persons at different kind of problem which affect the degree of participation between the superior and his subordinates in arriving at decision to solve the problems. Managers at higher level are more concerned with long run complex problem which require more participation in decision making. Managers at higher level are more concerned with short run problem involving the daily operation which are not require at higher level of participation . The degree of this participation affects the leader’s behavior.

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SITUATIONAL FACTORES

Leader’s situation

Group factors

Group performance

Leadership effectiveness

Leader’s behavior

Leader’s characteristics

Leader’s Hierarchical position

Organisational Factors

Subordinate’s characteristics


SITUATIONAL FACTORS Besides the leader’s related factors, leadership effectiveness is affected by situational factors as these factors affect the leadership behavior. To extend, a leader matches the requirement of these factors, his leadership will be effective. Various situational factors must be grouped into four categories: subordinates characteristic, leader’s situation, group factors and organizational factors. 1.SUBORDINATE CHARECTERISTIC Various factors which affect an individual’s behavior, as discussed in the case of leader, are relevant for subordinate too. 3.LEADER’S SITUATIONS The leader’s situation in respect to his subordinate is an important factors affecting leadership effectiveness. There are two main variables which determine the leader’s situation. Leader’s position power and leader-subordinate relation. Leader’s position power simplifies the leader’s task of influencing others. Thus, high-position power makes the leader’s task more difficult. Another factor that is leader’s subordinate relation is based on classic exchange theory which suggests that there is two-way influence in a social relationship. Thus good followers need to succeed in their own jobs with help of the leader while helping the leaders to succeed theirs. Thus, if the leader have good subordinate and good relations with them, is likely tope more effective. 4.GROUP FACTORS Various group factors like task design, group composition, group norms, group cohesiveness, and peer-group relationship affect leadership effectiveness and performance

5. ORGANISATIONAL FACTORS Organizational factors like organizational climate and organizational culture affect leadership effectiveness. IMPLICATION OF THIS THEORY

Situational theory has wide implication for managers in the sense that to offers clues why a manager who is successful in one situation, fails when there is a change in the situation. Therefore the managers may do better by adopting management practices including leadership which match with the situational variables. In fact, the system and contingency approach have become the way of thinking in management and leadership is no exception.

LEADER SHIP STYLES The term leadership styles can be defined as a leaders behaviour towards group members. It refers to the behavioral pattern followed by a leader at the time of supervising his subordinates. These patterns emerge in the leader as he begins to respond in the same fashion under similar condition: he developed habits of actions that become somewhat predictable to those who work with him. some of the important theories /models prescribing leadership styles are given below. Based on behavioral approach

1. Power orientation 2. Leadership as a continuum 3. Employee-production orientation 4. Linkers management system 5. Managerial grid 6. Tri-dimensional grid

Based on situational approach 1. Fiedler’s contingency model 2. Hursey and bkanchard’s situational model 3. Path-goal model

1) POWER ORIENTATION Power orientation approach of leadership styles is based on the degree of authority which a leader uses in influencing the behavior of his subordinates. Based on the degree of use of power; there are three leadership styles:

1. Autocratic leadership 2. Democratic style 3. Free-rein leadership

2) AUTOCRATIC LEADERSHIP.

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Autocratic leadership is also known as authoritarian, directive or monothetic style. in autocratic leadership style, a manager centralizes decision making power in himself. He structures the complete situation for his employees and they do what they are told.


Here the leadership may be negative because followers are uninformed, insecure, and afraid of leaders authority. There three categories of autocratic leaders.

1. strict autocrat 2. benevolent autocrat 3. incompetent autocrat

ADVANTAGES

1. It provides for quick decision making because here only one person , the leader takes the decision. It provides strong motivation and reward to a manager exercising his style.

2. Mostly subordinates like to work to work under centralized authority and strict supervision. 3. As there is no consultation with subordinates confidential matters ca be kept secretly..

DISADVANTAGES 1. People in the organization dislike it specially when it is strict and the motivational style is negative. 2. Employee lack motivation. Frustration, low morale, and conflict develop in the organization jeopardizing the

organizational efficiency. 3. There is more dependence and less individuality in the organization. As such, future leaders in the organization do not

develop.

3) DEMOCRATIC STYLE Democratic style of leadership is also known as participative or group centered style. This style allows substantial participation by members of the group in management and decision making process of the leader.Very often subordinates are consulted by the leader on wide ranging problems. A democratic leader takes decision only in consultation with the subordinates . ADVANTAGE

1. It is a highly motivating technique to employees as they feel elevated when their ideas and suggestions are given weight in decision making.

2. The employee’s productivity is high because they are party to the decision. Thus they implemented the decision whole heartedly.

3. They share the responsibility with the superior and try to safeguard him also. 4. It provides organizational stability by raising moral and attitudes of employees high and favourable.

DISADVANTAGE 1. Decision cannot be taken quickly because under the democratic style of leadership, the leader consults the subordinates

before arriving at the decisions.. 2. Some people in the organization wand minimum interaction with their superiors. For them participation technique is

discouraging. 3. Participation can be used covertly to manipulate employees. Thus, some employees may prefer the open tyranny of an

autocrat as compared to convert tyranny of a group.

4) LAISSEZ FAIR STYLE Free rein or laissez-faire technique means giving complete freedom to subordinates. In this style, manager once determine policy, programs and limitations for action and the entire process is left to subordinates. Group members perform everything and the manager usually maintains contacts with outside persons to bring the information and materials which the group needs. ADVANTAGE 1.it provides complete freedom to subordinates so that their motivation and moral can be improved . 2. There is full scope for initiative and creativity on the part of the subordinates.

3. There is a free flow of communication between the leader and the members of the group. DISADVANTAGE

1. Leaders contribution is completely ignored. 2. Members of the group do not get the guidance of the leader.

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3. This type of leadership styles is suitable where the organizational goals have been communicated well in advance and are acceptable to subordinates.


Module 4 Organisational Change Nature and factors Resistance to Change Organisational Effectiveness Approach to Measure Organisational Effectiveness Oraganisational Development Concept Of Organisational Development Organisational Development Interventions Values and Organizational Developments.

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ORGANISATIONAL CHANGE

Organisational change is the process by which organisation moves from their present state to some desired future state to increase improved ways of using resources and capabilities in order to increase an organisation‘s ability to create value and improve returns to its stakeholders. An organisation in incline may need to restructure its resources to improve its fit with the environment. On the other hand, even thriving organisation may need to change the way it uses its resources so that it can develop new products or find new markets for its existing products.

TARGETS OF CHANGE HUMAN RESOURCES Human resources are the organisation’s most important asset. Their skills and abilities give an organisation a competitive advantage. Typical kind of change efforts directed at human resources includes: a) New investment in training and development activities so that employee acquires new skills and abilities. b) Socializing employees into the organisational culture so that they learn the new routines on which organisational performance depends. c) Changing organisational norms and values to motivate a multicultural and diverse work force. d) Ongoing examinations of the way in which promotion and reward system operate in a divorce work force. e) Changing the composition of the top management team to improve organisational learning and decision making. FUNCTIONAL RESOURCES An organisation can improve the value that its functions create by changing its structure, culture and technology. The change from a functional to a product team structure, for example, may speed the new product development process. Alternations in functional structure can help provide setting in which people are motivated to perform. The change from traditional mass production to a manufacturing operation based on self-managed work teams often allow companies to increase product quality and productivity if the employees can share in the gains from the new work system. TECHNOLOGICAL CAPABILITIES Technological capabilities give an organization an enormous capacity to change itself in order to exploit market opportunities. The ability to develop constant stream of new products or to modify existing products so that they continue to attract is one of an organization’s core competence. ORGANISATIONAL CAPABILITIES Through the design of organizational structure and culture of organization can harness its human and functional resources to take advantage of technological opportunities. Organisational change often involves changing the relationship between people and functions to increase their ability to create value. Change in structure and culture takes place at all levels of the organization and include change in the routines an individual uses to great customers, changing work group relationships, improving interaction between divisions, and changing cooperate culture by changing the top management team.

NATURE OF ORGANISATIONAL CHANGE

It implies a new equilibrium between different components of the organisation-technology, structural arrangement, job design and people. Organisational change may have the following features. 1) When change occurs in any part of the organisation, it disturbs the old equilibrium necessitating the development of a new equilibrium. The type of new equilibrium depends on the degree of change and its impact on the organisation. 2) Any change may affect the whole organisation; some parts of the organisation may affected more, others less; some parts are affected directly, others indirectly. 3) Organisational change is continuous process. However some changes which are of minor type may be absorbed by the existing equilibrium; others which are major ones require special change efforts.

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FACTORS OF ORGANISATIONAL CHANGE Orgasnisational change is required to maintain equilibrium between various external and internal forces to achieve organizational goals. Therefore, factors may be grouped into two categories External and Internal. External Factors

a) Technological Changes b) Changes in marketing conditions c) Social Changes d) Political and legal changes

Internal factors 1) CHANGE IN ENVIORNMENT: Every organisation exists in some context ‘no organisation is an island unto itself’. Each must continually interact with other organisations and individuals-the consumers, suppliers, union shareholders, government – and many more. Each organisation has goals and responsibility related to others in its environment. The present day-environment is dynamic will continue to be dynamic. So in order to survive in a changing environment, organisation must change. 2) CHANGE IN MANAGERIAL PERSONNEL: Besides environmental changes there is change in managerial personnel. Each manager brings his own ideas and way of working in the organisation. The relationships, more particularly informal ones, because changes in managerial personnel. More over attitudes of the personnel changes even though there is no change in them. The result is that an organisation has to change accordingly. 3) DEFICIENCY IN EXSTING ORGANISATIONS: Sometimes, changes are necessary because of deficiency in the present organisational arrangement and process. The deficiencies may be in the form of unmanageable span of management, large number of managerial levels, lack in coordination between various departments, obstacles in communication, multiplicity of committees, lack of uniformity in policy decision, lack of co-operation between line and staff, and so on. 4) TO AVOID DEVELOPING INERTIA: In many cases, organisational change takes place just to avoid developing inertia of inflexibility. Conscious managers take into account of this view that the organisation should be dynamic because any single method is not the best tool of management at every time. Thus, changes are in cooperated so that the personnel develop liking for change and there is no unnecessary resistance when major change in the organisation brought up. HUMAN REACTIONS TO CHANGE There is close relationship between change and human attitudes .Thus; reaction to change undesirable human response satisfaction in the organisation .This reaction to change may be in following forms: Acceptance:If the individual perceives that a change will affect him favourably, he accept it Resistance: If the individual feels that the change will affect unfavourably, resist it. Resistance to change becomes more forceful when the person concerned has a feeling that through resistance he may eliminate the change. Indifference: Sometimes people fail to realise the impact of change or they feel that they will not be affected by the change; either way they remain indifferent. Forward acceptance: Sometimes people are forced to accept the change, though they may resist it at the initial stages but when change forces overpower resistance forces people have to accept it. Since attitudes determine the reaction and response to change, management must understand human attitudes towards change. Each group tries to maintain equilibrium. In trying to maintain equilibrium a group develops responses to return to its perceived best way of life whenever any change occurs. When a change is minor and within the scope of corrective action, the adjustment is fairly quick and routine, but when a change is major, more serious upsets occur.

Reactive and proactive Change A reactive change is undertaken when it is pressed by some factors, either external or internal to organization where as proactive changes is brought out of the anticipation of the likely behaviour of the forces having impact on the organization. Planned Change: Is a deliberate design and implementation of structural innovation, a new policy or goal, or change in operating philosophy, climate or style.

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Objectives of Planned changes are 1) Environmental Adaptation, 2) Individual Adaptation, 3) Structural Adaptation, 4) Technological Adaptation and 5) Task Adaptation.


RESISTANCE TO CHANGE Though resistances are necessary for successful organisational functioning, these are generally resisted by the people. Individuals tend to resist many type of changes because new habits or sacrifices are required .Similarly, social systems tend to resist change because of homeostasis .Homeostasis implies self correcting characteristics of organisation to maintain equilibrium as a result of change, that is, people act to institute a steady state of need fulfillment and to secure them self from disturbance 0f that balance. When change is minor and within a scope of correcting programme, adjustment is fairly quick and routine, but when a change is major or unusual, more serious upset may occur. People want changes favourable to them. Moreover, resistance to change is not necessarily an undesirable human response, nor is change always a positive good FACTORS IN RESISTACE TO CHANGE Degree and force of resistance to change depends upon how people feel about change. Thus, there may be real impact on people or there may be emotional feeling towards the impact of change. People generally resist change because of following factors: 1) Perhaps the important factor to resistance of change is the problem of adjustment. Adjustment depends upon how people interpret the impact of change. If the change affects one’s position, status and authority relationships adversely, he resists it. 2) Another factor which brings resistance to change is the effect of change on individual’s level of need satisfaction. 3) Sometimes individual resist change because the group to which they belong resists it .Though each person interprets change individually, often he expresses it through group. Besides a person’s emotional reasons for resistance to change are more important. However, behind emotional resistance, there are certain fears of adverse effect because of lack of confidence in the change agent. Such fears may be of following forms ECONOMIC: These fears may be technological unemployment, reduction in monetary compensation, demotion etc PERSONEL: These are implied criticisms of present method, reduction in personnel importance, greater specialisation resulting in freedom, monotony, and decreased sense of worthwhileness and unknown impact of change. SOCIALThese are dislike for new adjustments, breaking present social relationships, reduced social satisfaction, feeling of outside interference in the form of change agent, and feeling that change is to benefit the organisation rather than the individuals.

ORGANISATIONAL EFFECTIVENESS

Organisational effectiveness, also called organisational success or growth, is defined and conceptualised in different ways, and no unanimity is found in different approaches. The various terms are often used interchangeably, such as efficiency, productivity, organisational growth to denote organisational effectiveness. “Effectiveness degree may be defined as the process to which the organisation realises its goal.” “Effectiveness of an organisation can be seen in terms of survival of the organisation.” “An organisation remains effective as long as it uses it resources in an efficient manner and continues to contribute to the large system.” Since an organisation can be effective or ineffective on a number of different facets that may be relatively independent of one another, OE has no operational definition. EFFICIENCY AND EFFECTIVES Organisational effectiveness is the degree to which operative goals have been attained while the concept of efficiency represents the cost| benefit rate incurred in the pursuit of these goals.

APPROACH TO MEASURE ORGANISATIONAL EFFECTIVENESS Four types of approaches are I) GOAL APPROACH Goal approach attempts at measuring organisational effectiveness in terms of goal by an organisation. Organisation, being a deliberate and purposive creation, has some specific goals and dreams. Goal approach defines effectiveness as ‘profit maximisation’, ‘providing an efficient service ‘,’high productivity’,’ or good employee morale’ In studying effectiveness in terms of goal-achievement, theories tend, implicitly or explicitly to make two assumption. Complex organisation have an ultimate goal towards which they strive Ultimate goal can be identified empirically and progress toward it measured. None of the single criterion has proved to be entirely satisfactory as the sole or universal measurement of effectiveness. Another approach is to measure organisational effectiveness on the basis of multiple criteria. The idea is that managers in the organisation follow many goals simultaneously and the fulfilment of these goals may be taken as the basis of organisational effectiveness.

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LIMITATIONs Both conceptual as well as practical –in applying goal approach for organisational effectiveness criteria. Goal approach is probably most useful in comparative organisational study, that is, in relative than absolute terms. With the exception of productivity, practically all variables as criteria of organisational effectiveness have been found inadequate and unsatisfactory. This is so because organisations in different sectors have different stated goals. Thus goal approach can be rejected as the base of organisational effectiveness because of two reasons. 1) Goals as ideal states do not offer the possibility of realistic assessment. 2) Goals as cultural entities arise outside the organisation as social system cannot arbitrarily be attributed as properties of the organisation itself. Another problem implicit in goal approach is the identification of organisational goal. No doubt, organisations are purposive creations with certain specified goals, in practice; such goals do not reflect the real functioning of the organisation. II) BEHAVIORAL APPROACH Behavioural approach of measuring organizational effectiveness takes into account the behaviour of people in the organization which ultimately determines the degree of goal achievement by an organization. This approach is based on two assumptions: 1) Organizations as collectively of people have one set of goals and people as individuals have another set of goals. 2) Degree of organizational effectiveness depends on the degree of integration of organizational and individual goals. The integration of individual and organizational goals affects the organizational effectiveness because each individual tries to satisfy his needs by working in the organization. Thus, he may try to satisfy his own needs without taking into account the organizational needs if he is able to do so. Thus, because of the operation of fusion process, both set of goals- individual and organizational – will be integrated. Therefore, individual and organizational goaled relationship may show a number of alternatives ranging from totally opposite to perfectly identical. In between these two extreme points, there may be three alternative levels of integration. a. Low degree of goal integration: this is the situation where the organizational members are opposed to the organizational goals. There is a general disregard for the welfare of the organization. Individuals see their goals totally opposed to the organizations and consequently only one set of goals can be fulfilled at the cost of the other. This results into low level of morale and performance. b. Moderate degree of goal integration: the organizational and individual goals are somewhat compatible but they are not exactly the same. The result of interaction between two sets of goals is a compromise, and actual performance is a combination of both. c. High degree of goal integration: individual goals are identified with the organizational goals. The climate of the organization is such that either of the two things may occur. The individuals in the organizations may perceive their goals being the same as the goals of the organization or see their own goals being satisfied as a direct result of working for the goals of the organization. This approach has lead managements to devise organization strategy, particularly in regard to management of personnel in the organization that both set of the goals come nearer. LIMITATION The approach has left many other factors important to determine organizational effectiveness. III) SYSTEM RESOURCE APPROACH This model emphasis the distinctiveness of the organization as an identifiable social structure or entity, and emphasis the interdependency of processes that relate the organization to its environment. These are scare and valued resources. The idea of resources here is quite comprehensive and includes things beyond the concept of resources to physical or economic objects, such as human activity. These scarce and valued resources are the focus of competition between organizations. This competition which may occur under different social settings and which may take different forms is a continuous process underlying the emergence of a universal hierarchical differentiation among social organization. “ the organizational effectiveness, as such, is defined in terms of bargaining position, as reflected in the ability of organization, in either absolute or relative terms, to exploit its environment in the acquisition of scarce and valued resources”. The specific goals, however, may bring incorporated in 2 ways: 1) As the specification of the means or strategies employed by members towards enhancing the bargaining position of the organization 2) As the specification of personnel goals of certain members or classes of members within the organization. If the natural resources are also taken into account, the following steps seem necessary for the meaningful comparison. 1) To provide an inclusive taxonomy of resources 2) To identify the different types of resources that is mutually relevant for the organization under study. 3) To determine the relative positions of the compares organization on the basis of information concerning the amount and kinds of resources that are available for the organization and its efficiency in using these resources to get further resources.

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IV) STRATEGY CONSTITUENCIES APPROACH It has been derived from system- resource approach with 2 major differences. a) This approach considers only relevant environment of the organization under reference and takes into account of those factors which have their impaction the operation of the organization. b) This approach does not only consider taking inputs from the degree to which the organization is able to satisfy these constituencies. In order to apply this approach, an organisation has to: 1. Identify the relevant strategic constituencies and their impact on the organization 2. Identify the expectation of these constituencies and the way of meeting these expectations. LIMITATIONS It has some problems in its implementation Strategic constituencies and their impact on organisation are quite flexible and dynamic. They are changeover period of time.

CONCEPT OF ORGANIZATIONAL DEVELOPMENT A liberal interpretation of the term organizational development refers to a wide range of strategies for organizational improvement; the term has come to take fairly specific meaning in management literature as well as in practice. it can be termed as only fairly specific because the boundaries of organizational development are not entirely clear; perceptions of different authors and practitioners vary somewhat, and the field is evolving. These differences we can find in conceptual framework, steps involved and techniques used in organizational development. A dictionary of organizational behaviour defines OD as follows:“Organization development encompasses a collection of planned-change interventions built on humanistic-democratic values that seek to improve organizational effectiveness and employee well-being”.Thus the focus of OD is more on organizational culture rather than on other aspects of the organization. Since organizational culture affects organization structure and processes as well as other organizational elements, these may also be changed during the process of OD. French and Bell have offered a more comprehensive definition of organisational development.According to them organisational development is a long term effort to improve an organisation’s problem solving and renewal processes,particularly through a more effective and collaborative management of organisation culture-with special emphasis on the culture of formal work teams-with the assistance of a change agent or catlyst,and the use of theory and technology of applied behavior science, including action research. Based on definitions various features of organisational development are as fallows: 1 Planned Change. Organisational development is a strategy of planned change for organisational improvement. This planned emphasis seperates organisational development efforts from other kinds of more haphazard changes that are frequently undertaken by organisations. 2. Comprehensive Change. organisational development efforts focus on comprehensive change in the organisation,rather than focusing attention on individuals, so that change is easily absorbed. The concept of comprehensive change is based on the systems concept-open, dynamic, and adaptive system. Organisational development efforts take an organisation as an interrelated whole and no part of it can be changed meaningfully without making corresponding changes in other parts. 3.Long range Change. Organisational development efforts are not meant for solving short-term, temporary,or isolated problems. Rather, organisational development focuses on the elevation of an organisation to a higher level of functioning by improving the performance and satisfaction of organisational members on long term basis. 4. Dynamic Process. organisational development is a dynamic process and includes the efforts to guide and direct changes as well as to cope with or adapt changes imposed. It recognises that organisational goals change, so the methods of attaining these goals should also change. 5. Participation of Change Agent. Most organisational development experts emphasise the need for an outside, third party change agent or catlyst. They discourage ‘do it yourself ‘ approach. There is a close working relationship between the change agent and the target organisational members to be changed. 6. Emphasis on Intervention and Action Research. Organisational development approach results into an active intervention in the ongoing activities of the organisation. Action research is the basis for such intervention. 7. Normative Educational Process. Organisational development is based on the principle that ‘norms form the basis for behaviour and change is a re-educative process of replacing old norms by new ones’. This is done to arrive at certain desirable outcomes that may be in the form of increased effectiveness, problem solving, and adaptability for the organisation as a whole.

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ROLE OF ORGANIZATIOAL DEVELOPMENT

Organisational development, as a long term strategy for change, plays key role in organisational improvement. The basic problem in a change effort which not comprehensive is that it does not work properly unless there is a proper change in the internal environment of the organisation in which people work. Since organisational development attempts to bring comprehensive change in the organisation, it is quite suitable for improving organisational performance on long-term basis. Thus organisational development can be utilised for the following results in the organisation: 1) To place emphasis on humanistic values and goals consistent with these values. 2) To treat each human being a complex person with a complex set of needs importent in his work and his life. 3) To increase the level of trust and mutual emotional support among all organisational members. 4) To increase the level of enthusiasm and personal satisfaction at all levels of the organisation. 5) To increase the level of self and group responsibility in planning and its implementation. 6) To increase the openness of communications in all directions-vertically, horizontally and laterally. 7) To create an environment in which authority of assigned role is augmented by authority based on knowledge and skills.

PROBLEMS IN ORGANIZATIONAL DEVELOPMENT Organisational development,however has invited sharp criticism as a strategy to increase organizational viability and effectiveness because many organizational development programmes have failed. Much of the enthusiasm created at the begining of organisational development programmes vanished over the period of time. Research studies also failed to conclude significant contributions of organisational development in the organisations,particularly in bottom line ones. There for, organisational development can not be taken as panacea for curing all organisational problems. In general, organisational development is criticised on the following lines: 1) There is a discrepancy between ideal and and real situations. Organizational development tries to achieve ideal without taking into account real. 2) organizational development makes people unfit for the real organisational world because no organization can fully adopt open system concept. 3) Resistance to change is a natural phenomenon and organisational development puts undue pressure to change. And hence, it fails even as a long-term strategy. 4) Organisational development fails to motivate people with low level of achievement needs. If an organisation is ladden with these people, it is useless to try organisational development. 5) Organisational development programmes are often quite costly, and only large organisations can afford this luxury without any guarantee of positive outcome. It can be seen that many of these criticisms are based on reality and experience. People realized its dysfunctional aspects only when many organisational development efforts failed. However, it may be emphasized that OD programmes are likely to fail when these are not undertaken properly. In fact, there have been cases of wrong implementation of OD programmes and hence failure. For example, Evans has identified there factors which have been responsible for the failure of OD programmes: (i) failure of the management consultant group to correctly tailor the programme to actual needs of the organization: (ii) failure to correctly model appropriate personnel behaviour in the programme: (iii) failure to increase employee motivation through participation and development of personal growth and self-esteem. Thus, it can be visualized that OD itself may not be dysfunctional but application may be. Therefore, in order to make best use of OD efforts, some specific efforts are required. Some of these efforts are as follows: 1. There should be genuine support of OD programme from top management.

2. Organization must formulate the objectives of OD programme very clearly and specifically.

3. Enough time should be allowed so that the effects of OD programme are realised.

4. There should be proper use of OD interventions. These should be based on the specific needs of the organisation.

5. Only fully competent OD consultant should be pressed for the service and he should develop understanding with internal change

agents.

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PROCESS OF ORGANIZATION DEVELOPMENT

OD can be taken as a process of changing people and other related aspects of an organisation. Thus, it consists of many sub processes or steps. However, theorists and practitioners both differ about the various steps and their sequence in OD. This is because most of the ideas in OD have generated from practices and these practices have differed from organisation to organisation. It is not necessary that each organisation may involve all the steps with same results from OD strategy. As such, uniformity in the steps involved cannot be expected. In OD programmes, various steps may be problem identification and diagnosis, planning change strategy, intervening in the system, and evaluation. These steps are not exclusive to each other and do not follow the same sequence but interact with each other. 1. Problem Identification and Diagnosis. OD programme leads to meet certain objective in the organisation because OD is a means and not an end in itself. Thus, it attempts to solve some organisational problems. The problems may be a gap between desired path of action and actual path of action, that is, the organisation fails to meet its objective on a long-term basis. OD programme starts with the identification of the problems in the organisation. Analysis of various symptoms both overt and covert may help in identifying the problems. Diagnosis gives correct identification of a problem and its causes and determines the scope of future course of action. Diagnosis in OD involves a number of techniques concerned with identifying concerns and issues, establishing priorities, and translating them into aims and objectives. At this stage itself, the collection and analysis of data is undertaken. Problem identification flows almost immediately into analysis. Once a problem is identified, the analysis will show why the problem exists. The analysis will identify the variables that can be altered or changed by the organisation and its management, such as leadership style, organisation structure, organisational objective, etc. In other words, analysis brings the identification of environment that has caused problems. 2. Planning Strategy for Change. When the problems are diagnosed, the OD practitioner— either consultant or management, but preferably consultant—plans the various courses of action in OD. Attempts are made to transform diagnosis of the problem into a proper action plan involving the overall goals for change, determination of the basic approach for attaining these goals, and the sequence of detailed scheme for implementing the approach. Although it is a relatively simple matter to identify changes after they have occurred, it is considerably more difficult to influence the direction thrust of changes while they are under way planning and implementation of change are interdependent; the way in which change is planned has an impact, on the way in which it is carried out, and conversely, the problem of implementing change have an impact on the way in which it is planned. 3. Intervening in the System. Intervening in the system refers to implementation of the planned activities during the course of an

OD programme. These planned activities bring certain changes in the system which is the basic objective of OD. There may be

various methods through which external consultant intervenes in the system, such as education and laboratory training, process

consultation, team development, etc which will be discussed later.

4. Evaluation. This step relates to evaluate the results of OD programme so that suitable actions may be followed up. Since OD is a

long process, there is an urgent need for case 1 monitoring to get precise feedback regarding what is going on as soon as an OD

programme starts. In this respect, the use of critique sessions, systematic appraisal of change efforts and pre- and post-training

behavioural pattern are quite effective. This step again involves data gathering because such data will provide the basis for OD

efforts evaluation and suggest suitable modification or continuation of OD efforts in similar direction. All parties concerned in OD

programme need to realise that if major organisational improvements are to be made and sustained, managerial practices with

respect to many subsystems will need to be modified if these practices are not congruent with the OD efforts because there exists the

possibility of slip back and regression to old behavioural pattern if adequate changes in other parts integrating behavioural change

are not made.

ACTION RESEARCH MODEL OF OD

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The OD process can be conveniently presented in the form of action research model. OD emphasises the process of problem solving,

and trains the participants to identify and solve problems that are important to them. For this purpose, various steps of OD- problem


identification and diagnosis, planning for change, interventions for change, and evaluation of change-are undertaken on continuous

and cyclical basis. This cyclical process of using research to guide action, which generates new data as the basis for new actions, is

known as action research. French and Bell have defined action research as follows:

Action research is the process of systematically collecting research data about an ongoing system relative to some objective, goal, or

need of that system: feeding these data back into the system taking actions by altering selected variables within the system based

both on the data and on hypothesis; and evaluating the results of actions by collecting more data.

Various activities involved in action research are presented in Figure1.

The action research model given in Figure 26.1 is self-explanatory. The model involves data collection and diagnosis, providing

feed back to client, and discussion and determination of action at various stages. Action research is the basis for designing strategies

of OD. Specifically, it is important in the following context.

1. It involves all those who take action or who are affected by change in the organization. Therefore, chances of willing

acceptance of change are quite high.

2. It accustoms the members of a group to work together effectively and to develop way for emotional and philosophical

adjustments to change.

3. It rationalizes the action by providing accurate knowledge of the context in which it occurs.

Organisational perceptions of problems

Further data collection by consultant

Reassessment of situation through further data collection

Data collection and diagnosis by consultant on the problems

Feedback and discussion with client to work on the problems

Feedback to client and discussion to work on the feedback

Feedback to the client about the nature and causes of the problems

Determination of objectives and plans of action

New plan of action

Joint action planning for solving the problems

Determination of action behaviour for achieving these objectives

Action behaviour

FIGURE: (1) Action research model of OD

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ORGANIZATIONAL DEVELOPMENT INTERVENTIONS

OD interventions refer to various activities which a consultant and client organisation perform for improving

organisational performance through enabling organisational members better manage their behaviour, their work group, and

organisational culture. OD interventions are also referred as OD techniques or OD strategies as they are designed to accomplish

specific objectives. French and Bell have defined OD interventions as "sets of structured activities in which selected organisational

units (target groups or individuals) engage with a task or a sequence of tasks where the task goals are related directly or indirectly to

organisational improvement. Interventions constitute the action thrust of organisation development; they make things happen."

CLASSIFICATION OF OD INTERVENTIONS.

There are various OD interventions and they are classified in different ways. Further, various consultants and practitioners have

different opinions about the activities which can be included in interventions. OD interventions can be classified on two bases:

approach adopted in using OD interventions and target of OD interventions. On the basis of approach adopted in using OD

interventions, these are classified into two categories: process interventions and structural interventions. Process interventions are

those Which emphasise process to accomplish a change. Structural interventions involve an adjustment or change in the

organisation's structure to accomplish changed goals.

Process and structural OD interventions

Process OD interventions structural OD interventions

Sensitivity training, Team building, Survey

feedback, Behaviour modification, Grid

organisation development, Career planning, Job

expectation technique, Organizational renewal

process

Job redesign , Work schedule options, Process consultation,

Management by objectives, Collateral organisation, Decision

centres

OD interventions for specific targets

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Target

Interventions

Individuals Life and career planning, Role analysis technique, Coaching and counseling,

Sensitivity training, Skill development for technical task, relationships, decision

making,, Problem solving, planning, and goal setting, Grid OD phase I

Dyad Processconsultation, Third party peacemaking, Grid

OD phases1and II

Teams and groups Team building, Family T-group, Survey feedback, Process consultation, Role analysis

technique, Skill development for decision making, problem solving, planning, and

goal setting in group activities

Intergroup relations

Intergroup activities, Organisational mirroring, Techno structural interventions,

Process consultation, Third party peace making at group level, Survey feedback

Grid OD phase III

Total organization Technostructural interventions, Confrontation meetings, Strategic planning activities

From the above description it may be seen that particular interventions may be used for more than one target. So most commonly

used OD interventions are considered for study and they are are sensitivity training, grid OD, survey feedback, process consultation,

team building, and management by objectives.

SENSITIVITY TRAINING.

Sensitivity training is a small-group interaction process in the unstructured form which requires people to become sensitive to

others' feelings in order to develop reasonable group activity. The objectives of sensitivity training are as follows:

a) To make participants increasingly aware of, and sensitive to, the emotional reactions and expressions in themselves and

others.

b) To increase the ability of participants to perceive, and to learn from, the consequences of their actions through attention to

their own and others" feelings.

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Survey feedback Grid OD phases IV V and VI


c) To stimulate the clarification and development of personal values and goals consonant with a democratic and scientific

approach to problems of personal and social decisions and actions.

d) To develop achievement of behavioural effectiveness in participants.

e) To develop concepts and theoretical framework for linking personal values and goals to actions consistent with these inner

factors and-situational requirements.

Process of sensitivity training

Sensitivity training focuses on small group (T-group) with number of members ranging from ten to twelve Based on the sources

from where these members are drawn, there may be three types of T-group: stranger-lab, cousin-lab, and family-lab. In the stanger-

lab, all participants are from different organisations and they are.strangers to each other. In cousin-lab, all participants are from the

same organisation but from different units. They may know each other but not too well. In family-lab, all participants are from the

same unit and know each other quite well.

4 These events run as follows:

1. In the beginning, there is an intentional lack of directive leadership, formal agenda, and recognised power and status. This

creates a behavioural vacuum which the participants fill with enormously rich projections of traditional behaviour.

2. In the second phase, the trainer becomes open, nondefensive, and empathetic and expresses his or her own feelings in a

minimally evaluative way. However, the major impact on each participant comes from the feedback received from here-and-

now behaviour of the other group members.

3. In the third phase, interpersonal relationships develop. The members serve as resources to one another and facilitate

experimentation with new personal, interpersonal, and collaborative behaviour.

4. The last phase attempts to explore the relevance of the experience in terms of "back-home" situations and problems.

The above sequence of events is more relevant for stranger-lab. For cousin-lab and family-lab, some adjustment is made in the

above sequence and more attention is given to intergroup linkages in the form of interfacing of diagnostic surveys, interviews, and

confrontation sessions dealing with a variety of policy, problem solving, and interpersonal issues.

Evaluation of Sensitivity Training

Sensitivity training has attracted lot of appraisal both in positive and negative forms. Therefore, it has become one of the

most controversial techniques. To those who have criticised sensitive training, George Odiorne has incurred personal attacks on the

following line of reasoning.

"The very fact that you attack sensitive training indicates that you are in favour of autocratic management and, therefore, need

sensitivity training to straighten out your personal inadequacies."15 Though this may appear too personalised, this indicates that

sensitivity training has positive effects on the participants. A comprehensive research reviewp{ OD interventions by Porras and Berg

suggests that sensitivity training is the second most researched intervention (after team building). However, it has the lowest rate of

positive change in both process (becoming sensitive to group process) and outcome (growth in effective membership) variables.

Another research review by Nicholas, however, indicates positive impact of sensitivity training and it has done better than other

techniques in terms of its impact on performance variables—workforce variables, such as turnover, absenteeism, grievances, etc.;

monetary variables, such as profit and cost; and quality variables, such as rejects, error rates, complaints, and returns.

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Sensitivity training has attracted lot of appraisal both in positive and negative forms.


Positive Consequences. In general, sensitivity training contributes in the following directions:

a) Sensitivity training results into more supportive behaviour, more sensitive people, and more considerate managers.

b) Participants to the training programme become more open and self-understanding.

c) Communication is improved a lot and leadership skills are well developed.

d) It provides an opportunity to gain insight into personal blind spots and participants become aware of the group norms, role

flexibility, and sense of belongingness.

Negative Consequences. Any behavioural training is double-edged sword. It may contribute positively if handled properly; it may

damage if handled improperly. For example, those who criticize sensitivity training offer the following reasons:

a) Many participants of sensitivity training have reported a feeling of humiliation, manipulation, decline in self-confidence, and

psychological damage.

b) It incites anxiety with many negative impacts like causing the people to be highly frustrated, unsettled, and upset.

c) Participants' increased sensitivity may be a continuing source of frustration and problem if they return to their workplace in

which openness, trust and sensitivity they were trained to espouse is frowned upon or repulsed.

GRID ORGANIZATION DEVELOPMENT

Grid organisation development was developed by Blake and Mouton.18 It is a comprehensive and systematic OD programme

which aims at individuals, groups, and the organisation as a whole. It utilises a considerable number of instruments, enabling

individuals and groups to assess their own strengths and weaknesses; focuses on skills, knowledge, and processes

necessary for effectiveness at the individual, group, intergroup, and total organisation levels. Its specific objectives are as

follows:19

1. To study the organisation as an interactive system and apply techniques of analysis in diagnosing its problems.

2. To understand the importance and rationale of systematic change.

3. To evaluate the styles of leadership and techniques of participation to produce desirable results.

PROCESS OF GRID ORGANIZATION DEVELOPMENT

The basic content of grid organisation development is managerial gird as discussed in Chapter 16. The whole orientation is

to develop 9, 9 managerial style through the application of behavioural science knowledge. The grid organisation development

consists of six phases.

1. Managerial Grid. It covers various aspects of assessing managerial styles, problem solving, communication skills, and

teamwork. The individuals try to learn to become 9, 9 managers by practice.

2. Teamwork Development. The focus in this stage is to develop teamwork by analysing team culture, traditions and the alike. The

skills relating to planning, objective setting, and problem solving are also developed.

3. Intergroup Development. At this phase, the focus is on intergroup behaviour and relations. The thrust is on moving groups from

conflict to cooperation. Each group separately analyses the ideal intergroup relationship. Action steps to move towards the ideal are

developed and assigned to individuals who may be engaged in building cooperative intergroup relationships.

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4. Developing Ideal Strategic Corporate Model At this stage, the focus shifts to the total organisation and to develop skills


necessary for organisational excellence. The action is designed to identify the characteristics of the ideal organisation. The

members of the organisation are trained for achieving this excellence.

5. Implementing the Ideal Strategic Model. The implementation stage includes the building of the organisation on the model of

ideal organisation on the basis of concepts developed under stage 4. Each group may be given assignment to evolve strategy for

making ideal organisation with the help of the consultant. The strategy is then implemented.

6. Systematic Critique. In this stage, the various efforts from phase 1 to phase 5 are evaluated and critical analysis is made. The

analysis will bring out the shortcomings that may be there. In this light, the various programmes may be redesigned.

EVALUATION OF GRID ORGANIZATION DEVELOPMENT

Most of the support to grid OD has come from its originators—Balke and Mouton. They have maintained that "managerial

and team effectiveness can be taught to managers with outside assistance. Furthermore, it appears that this type of educational

strategy can help to make significant contributions to organisational effectiveness."20 In a later work, they maintained the same

stand.21

Though research studies on the application of grid OD are not many, some of them have not supported the claims made by Blake

and Mouton. Grid OD programme is criticised on the

basis that it lacks contingency approach and, therefore, it discounts reality as discussed in Chapter 16. Further, grid OD is a non-

rigorous method. In spite of these criticisms, grid OD has some positive contributions for organisational effectiveness.

2.SURVEY FEEDBACK

The basic objectives of survey feedback are as follows:

1. To assist the organisation in diagnosing its problems and developing action plan for problem solving.

2. To assist the group members to improve the relationships through discussion of common problems,

PROCESS OF SURVEY FEEDBACK

Survey feedback usually proceeds with sequential activities involving data collection, feedback of information, developing action

plans based on feedback, and follow up.

a) Data Collection. The first step in survey feedback is data collection usually by a consultant based on a structured questionnaire.

The questionnaire may include different aspects of organisational functioning. ISR has prepared a questionnaire which includes

questions on leadership—managerial support, managerial goal emphasis, managerial work facilitation, peer support, peer goal

emphasis, peer work facilitation, and peer interaction facilitation; organisational climate—communication with the company,

motivation, decision making, control within the company, coordination between departments, and general management; and

satisfaction—satisfaction with the company, satisfaction with the supervisor, satisfaction with the job, satisfaction with the pay, and

satisfaction with the work group.22 The questionnaire is administered personally either by the members of consulting firm or by

organisation's personnel. After the questionnaires are completed, data are classified, tabulated, and analysis is made to arrive at some

meaningful conclusions.

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b) Feedback of Information. After the data are analysed, feedback is given to the persons who have participated in the filling-up of

questionnaires. The feedback may be given either orally or in a written form. In oral system of feedback, it is provided through

group discussion or problem-solving sessions conducted by the consultant. Alternatively, feedback may be given in the form of a

written summary of findings. Whatever the method of giving feedback is adopted, it should be constructive and suggestive, rather,


threatening and emotion hurting as survey feedback is aimed at identifying weaknesses which must be overcome through follow-up

actions and not the fault-finding technique for criticism.

c) Follow-up Action. Survey feedback programme is not meaningful unless some follow-up action is taken based on the data

collected. One such follow-up action may be to advise the participants to develop their own action plans to overcome the problems

revealed through a feedback or as is more commonly the case, follow-up action may be in the form of developing some specific OD

interventions particularly process consultation and team building, by the consultant.

PROCESS CONSULTATION.

Process consultation (P-C) is a technique for intervening in an ongoing system. The basic content of P-C is that the consultant works

with individuals and groups in the organisation to help them learn about human and social processes and to solve problems that stem

from process events. Edgar Schein, the leading writer and consultant on P-C, has defined it as:

"the set of activities on the part of the consultant which help the client to perceive, understand, and act upon the process events

which occur in the client's environment."

The basic objectives of P-C are as follows:

a) To bring desired change in the various organisational processes like leadership, communication, roles and functions of group

members, group decision making and problem solving, group norms, and intergroup cooperation and conflict.

b) To understand how various organizational processes can be linked to objective achievement in the organisation.

STEPS IN PROCESS CONSULTATION

Schein has suggested the following specific steps which the consultant should follow in a P-C programme of OD;

1. Initiate Contact. This is the beginning stage of P-C in which the client makes initial contact with the consultant with a view to

solve the problems faced by the organization which cannot be solved by existing processes or resources.

2. Define the Relationship. At this stage, client and consultant enter into agreement covering various aspects of consultancy services

like fees and spelling out services, time, etc. At this stage, it is also decided the client's expectations and hoped-for results.

Select the Setting and the Method. It involves a clear-cut understanding of where and how the consultant will do the job that is

required. At this stage, the consultant is introduced to the organisational members and basic objectives of the P-C are

communicated to them with a view that they cooperate with the consultant.

4. Gather Data and Make a Diagnosis. Information is collected from various sources through the use of questionnaires,

observations, and interviews about the problems spelled 6ut at the initial stage. This data gathering occurs simultaneously with the

entire consultative process Information collected is processed to diagnose the problems and their underlying causes.

5. Intervene. At this stage, the consultant intervenes in the organisational processes by using different interventions like agenda

setting, feedback, coaching, and/or structural change.

6. Reduce Involvement and Terminate. When the work of P-C is completed, the consultant disengages from the client organisation

by mutual agreement but leaves the door open for future involvement.

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EVALUATION OF PROCESS CONSULTATION

Process consultation is quite in-depth activity of OD in which the consultant plays a major role. Though he is involved only in

suggesting the various changes in the processes, he assists the organisational members to incorporate those changes. From this

point of view, P-C is very effective intervention for organisational improvement.

However, like other OD intervention techniques, P-C is also not free from criticisms. In the review of various P-C programmes,

significant correlation between the outcome variables such as performance and satisfaction of employees and P-C programmes has

not been found. One basic reason for this phenomenon may be the consultant's inability to steer the organisation out of troubles.

Another problem may emerge at the level of the organisation and its members in terms of how they inculcate the new processes and

culture as suggested by the consultant. However, both these problems may be overcome by engaging a suitable consultant and

developing willingness amcmg the members for change

TEAM BUILDING

Team building is the most important, widely accepted, and applied OD intervention for organisational improvement. For

example, French and Bell have opined that "probably the most important single group of interventions in the OD are the team-

building activities, the goals of which are the improvement and increased effectiveness of various teams within the organisation." A

possible reason for this phenomenon is that people in the organisation work in groups (teams) and the effectiveness of these groups

ultimately determines organisational effectiveness. Team-building process attempts to improve effectiveness of a team by having

team members to concentrate on:

a) setting goals and priorities for the team,

b) analysing how team's goals and priorities are linked to those of the organisation,

c) analysing how the work is performed,

d) analyzing how the team is working, and

e) analyzing the relationships among the members who are performing the job.

For achieving these, the team-building exercise proceeds in a particular way as shown in Figure 26.2.

Process of team building

Various steps of team-building process are not one-shot action, rather, they are repetitive and cyclical as explained below:

I. Problem Sensing. There are a number of ways in which problems of a team can be identified. Often, the team itself defines

which aspects of team building it wishes to work on. This problem can better be identified in terms of what is hindering team

effectiveness. At this stage, generally most of the members come forward with their arguments as to what the real problems are. The

view may be quite different ranging from the organisational problems, group problems to even personal problems. In problem

identification, the emphasis should be on -consensus. The consensus-seeking part of the process necessitates that each person

becomes thoroughly aware and understand clearly the basic concepts of team development. Much of the problems may be solved

through effective communication and training sessions.

+Problem sensing Examining

perceptual differences

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Giving and receiving feedback

Developing interactive skills

Follow-up action


II. Examining Differences. The perception of people on an issue differs because of their differing backgrounds, such as their value

systems, personality, and attitudes. The perception may be brought to conformity through the process of exercise on perception

which involves a number of psychological exercises particularly on perceptual differences. The role of communication is important

in this context because it will help in clarifying the actual problems to the members.

III. Giving and Receiving Feedback. The step of perceiving things and listening to each other may be relayed back to the members

as there is a possibility that such processes may create tense situation in the team. Often, members report about the painful feelings

that they have at the time of evaluation of their feelings. The discussion should continue until all members of the team have

commented. The feedback should be given to the members about their feelings, about the issue, the way people talk about the issue,

the staying with the topic or going off on tangents, who was talking more or who was talking less, who was trying to resolve the

differences, etc. Such feedback generally provides members to evaluate the values but at the same time, also provides opportunity to

understand themselves. The concept of Johri window may also be applied. This suggests that even people are not fully aware of

themselves.

IV. Developing Interactive Skills. The basic objective of this process is to increase the ability among the people as to how they

should interact with others and engage in constructive behaviour. Following are the examples of constructive and negative

behaviours:

Constructive Behaviours:

(i) Building: developing and expanding the ideas of others.

(ii) Bringing in: harmonizing, encouraging others to participate.

(iii) Clarifying: resting, ensuring, understanding, seeking relevant information.

(iv) Innovating: bringing in new relevant ideas, information, feelings, etc.

Negative Behaviours:

(i) Overtalk: interrupting, talking together with speaker.

(ii) Attacking: deriding, belittling, criticising person.

(iii) Negative: cooling, cynicism, undermining morale.

At the time of discussion of feedback, people themselves take assignments to increase specific constructive behaviours and decrease

specific negative behaviours. If this process is adopted several times, there is a strong possibility that members may learn

constructive behaviours and leave negative behaviours. This is quite helpful in developing teamwork.

V. Follow-up Action. This is the final stage in team building. At this stage, the total team is convened to review what has been

learned and to identify what the next step should be. Follow-up action also helps in overcoming the drawback involved at the initial

stages of team building. It involves deciding who will take care of each area of the team's responsibilities, and who will be

responsible for team projects in a group that has not developed a satisfactory division of responsibility; clarifying and settling

differences in perception concerning responsibility and authority in the team, with complex division of responsibility and authority

among members.

Team building contributes to the organisational performance in the following manner:

1. It improves the organisation's problem-solving and decision-making ability.

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2. It helps in developing effective interpersonal relationships by stimulating the group members for that.


3. It helps developing communication within the group and intergroup and overcoming" many psychological barriers that

block communication flow.

However, team building has been termed as one-sided effort and it suffers from the following limitations:

1. It focuses only on work teams, and other major organisational variables, such as technology, structure, etc., are not given

adequate attention.

2. Team building becomes a complicated exercise when there is frequent change in team members. New member may find it

difficult to adjust with the team because of his confusion over his roles in terms of task performance and building good

relationships.

VALUES AND ORGANIZATIONAL DEVELOPMENT MANAGEMENT BY OBJECTIVES

Management by objectives (MBO) though not strictly on OD intervention in the sense, in which other interventions have

been discussed so far, is a technique and system which helps in improving organizational performance. Its basic idea have been

derived from the concept of participative goal setting as a technique of OD. The term MBO was coined by Drucker in 1964

when he emphasized the concept of managing by results. Though there are some variations in the practices of MBO and,

therefore its definitional aspect, it has been defined as follows: “MBO is a comprehensive managerial system that integrates

many key managerial activities in a systematic manner, consciously directed towards the effective and efficient achievement of

organizational objectives.” The integration of individual and organizational objectives through MBO has been emphasized by

Chakraborty when he has defined MBO as follows: ‘MBO is a result-centered, non-specialists, operational managerial process

for the effective utilization of material, physical, and human resources of organization by integrating the individual with the

organization and organization with the environment.”

Based on definitions of MBO, its features can be identified as follows:

1. MBO is an approach and philosophy to management and not merely a technique. A management technique can be applied

in selected parts of organization and will have limited implications for its other parts. It is a particular way of thinking about

management.

2. As an approach to management, with objective orientation as its essence, MBO is bound to have some relationship with

every management technique. Certain degree of overlapping is there. MBO is a joint application of a number of principles

and techniques. It works as an integrating device.

3. The basic emphasis of MBO is on objectives. Whereas the various techniques of management help in measurement of

results in resources, MBO is also concerned with determining what these results and resources should be. Objectives

provide the means for integrating the organization with its environment, its subsystem and people.

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4. The MBO is characterized by the participation of concerned managers in objective setting and performance reviews.

Therefore each manager takes active part in setting objectives for himself and also in evaluating his performance about how

he is performing. The total management process revolves round the objectives set jointly by the superior and the

subordinate. Therefore managers have the opportunities for clarifying their job relationships with peers, superiors, and

subordinates.


5. Periodic review of performance is an important feature of MBO. The performance review is held regularly, normally once a

year. It emphasizes initiative and active role by the manager who is responsible for achieving objectives. Review is future

oriented because it provides basis for planning and corrective action.

6. Objectives in MBO provide guide line for appropriate system and procedures. Resource allocation, delegation of authority

etc are determined on the basis of objectives. Similarly, reward and punishment system is attached with the achievement of

the objectives.

PROCESS OF MBO

MBO is a system for achieving organizational objective, enhancement of employee commitment and participation. Therefore,

its process should facilitate translation of basic concept into management practices. The MBO process is characterized by the

emphasis on rigorous analysis, the clarity and the balance of objectives, and participation of managers with accountability for

results. The MBO process is not as simple as it appears to be. Managers made training and experience for developing the

required skills. The process has many nuances which can be understood from figure and its explanation.

1. SETTING OF ORGANIZATIONAL PURPOSE AND OBJECTIVES

The first basic step in MBO is the definition of organizational purpose and objectives. Questions, such as, “why does

the organization exists,” “what business are we in” and ”what should be our business” provide guidelines for the statement of

purpose. This, in interaction with external factors, then determines the long range strategic objectives like (i) whether to achieve

growth through expansion in the same line of business or diversify; (ii) what should be blending of trading and manufacturing

activities: (iii) what should be the degree of vertical integration and so on. Usually ,the objective setting starts at the top level of

the organization and moves downward to the lowest managerial level. This will go in a sequence like this (i)defining the

purpose of the organization , (ii)long-range and strategic objectives, (iii) short-term organizational objectives, (iv)

divisional/departmental/sectional objectives, (v) individual manager’s objectives.

2. KEY RESULT AREAS

Organizational objectives and planning premises together provide the basis for the identification of key result areas

(KRAs). It may be emphasized that KRAs are derived from the expectations of various stake holders and indicate the

priorities for organizational performance. KRAs also indicate the present state of an organisation’s health and top

management perspective for the future.examples of KRAs applicable to most of the business organizations are profitability,

market standing, innovation, productivity, worker performance, and public responsibility.

3. SETTING SUBORDINATE’S OBJECTIVES

Oranisational objectives are achieved through individuals. Therefore each individual manager must know in advance

what he is expected to achieve. Every manager in the managerial hierarchy is both superior and subordinate except the person at

the top level and the lowest level. Therefore there is a series of superior and subordinate relationships. The process of objective

setting begins with superior’s proposed recommendations for his subordinate’s objectives. In the beginning of MBO process in

an organization there may be wide gap between recommended objectives by the superior and subordinate’s stated objectives

because the latter may like to put lesser burden on him by setting easily achievable objectives,

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4. MATCHING RESOURCES WITH OBJECTIVES


When objectives are set carefully, they also indicate the resource requirement. In fact, resource availability becomes

an important aspect of objective Setting because it is proper application of resources which ensures objective achievements,

Therefore there should be matching between objectives and resources. By relating these to objectives and resources, a superior

manager is better able to see the need and economy of allocating resources. The allocation and movement of resources should

be done in consultation with the subordinate manager.

5. APPRAISAL

Appraisal aspect of MBO tries to measure whether his subordinate is achieving his objective or not .if not ,what r the

problems and how these problems can be overcome? Appraisal is under taken as an ongoing process with a view to find out

deficiency in the working and also to remove it promptly .it is not taken merely to punish the non performer or to reward the

performer .it is taken as a matter of system to ensure that everything is going as planned and the organization is able to achieve

its objectives.

6.RECYCLING

Thogh appraisal is the best aspect of MBO process,it is used as an input for recycling objectives and other

actions.objectives are neithr st at the top and communicated to the bottom nor are they set at the bottom and they go

up.objective setting is a joint process through interaction between superior and the subordinate.therefore,what happenens at each

interval may effect other levels also.the outcome of appraisal at one level is recycled to see if the objectives have been set

properlyat the level concerned and also at the next higher level.

The three aspects involved in the recycling process includes setting of objectives at various levels,action planning in

the context of those objectives ,and the performance review.each of these aspects give base for others.for example objectives

give basis for action planning which,inturn give basis for action planning which,inturn,give basis for performance review, and

performance review gives basis for objective setting and action planning.the process goes on a continues basis.

BENEFITS OF MBO

The experience of many organization suggests that when used as an approach to management,MBO has a wide range of

benefits.For example Beck and Hilmer have given as much as thirty-five reasons why MBO is a better and effective concept for

managing an organization.this is possible because MBO can be applied inseveral aspects of organizational activities like

performance appraisal,organization development,long-range planning,integration of individuals and organization objectives and

so on.therefore the benefits of MBO can be seen in the following terms.

1.BETTER MANAGING

MBO helps in better managing the organizational resourses and activivties.resorses and activities aare put in such a

way that they results in better performance. these are

1. Clarity of objectives.

2. Role of clarity

3. Periodic feedback of performance

4. Participation of managers in management process

5. Realising that, there is always scope for improvement of performance in every situation.

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Taking these assumptions, MBO tries to improve the performance in five ways


1. Relationship between clarity of objectives and improvement of performance is corner stone of MBO philosophy. People do

better what exactly they have to do because they can focus their attention exactly at where it is required .Further objectives aids

in planning and facilitate evaluation and control resulting into corrective action.

2. Clarity of roles including the areas of authority and responsibilities lead to improved performance. This facilitates improved

cooperation on both vertical and lateral levels and helps in avoiding unnecessary friction

3.Periodic reviews helps in better performance by giving feedback about ones action and its results. It provides opportunities for

taking stock of situations and planning future course action.

4. Participation of MBO process is expected to ensure achievement of objectives. Participation elicits commitment of people

and motivate them.they have a sense of feeling that they are achieving their own objectives

5.MBO provides a base for the philosophy that there is always scope for improved performance. These feelings are provided by

MBOs because objectives are evaluated more frequently and managers become keen for settling performance at higher level

because of their motivation and commitments. Performance is multi0dimensional and improvement can takes place in one or

more dimensions ,while other dimensions may remains constant. Thus performance can be improved in four different ways:

decreased time, decreased resourses, increased quality and increased quantity

2.CLARITY IN ORGANISATIONAL ACTION

MBO tends to improve the key result areas where organizational efforts are needed.

A key factor in objective setting is the external environment in which the organization operates.therefore,any change in

environmental factors is taken care of at the level of objective setting itself.thus It provides basis for long range planning in an

organization.the organization can look forward to what it intends to do in the future,in short run aswell as in long run.besides the

external factors,internal factors can also be taken suitably while formulating plans as all internal factors are made explicitly in

terms of what organization can do,where it lacks and how this gap can overcome.

4 .PERSONAL SATISFACTION

MBO provides greatest oppourtunity for personnal satisfaction.this is possible because of two closely related

phenomenas:participation in objective setting and rational performance appraisal.when the individuals are involved in the

objective setting,they derive satisfaction because of the feeling that they are important to the organization.

They enjoy considerable authority which is a source of inspiration for better performance

5. BASIS FOR ORGANISATIONAL CHANGE.

MBO stimulate organizational change sand provides a frame work and guide lines for planned changes,enabling the top

management to initiate ,plan direct and control the direction of speed of change.to cope up with the change the organization has

to change appropriately.a very difficult problem comes in the way is that people resist it.if the MBO is applied ,thee change

process becomes easier because there is lesser amount of resistance to change as people become more innovative and dynamic

and changes can be incorporated very easily as compared to rigid system of objective setting and performance evaluation by the

superior alone.

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PROBLEMS AND LIMITATIONS OF MBO

MBO is not without its problems and weaknesses. MBO is generally, taken as panacea for all problems or magic wand which can

deliver everything. On the contrary, many organizations have been overwhelmed by the problems of MBO and have failed to deliver

the expected results. Some problems are given below.

1. Time and cost

MBO is not as simple as it looks to be. It is the process which requires large amount of the most scarce in the organization-time of

the senior managers. This is particularly so at the initial stages, when MBO is seen as something over and above the normal work.

Sometimes managers get frustrated and feel overburdened. Further MBO generates paper work because large number of forms are to

be designed and put into practice. Therefore there is a problem of communication overload. However such problems are transitory

and emerge only at the initial stages. Once the MBO becomes the part of the organizational life, these problems disappear.

2. Failure to teach MBO philosophy

MBO is a philosophy of managing an organization in a new way. However managers fail to understand and appreciate this new

approach. They have a number of doubts about MBO like what purpose is served by MBO, how the performance is to be

appraised, and how the organization will benefit. MBO demands rigorous analysisas an integral element of management process

but the organization may not be used to rigour. Frequently both the base data and expertise for analysis are not available. If

corrective action not taken early, the objectives become imprecise, control information may not be available, and one would not

know if something was achieved. This is done on a schematic basis and managers seldom appreciate this. They take MBO as

another tool for control. Moreover their old way of thinking puts difficulty in introducing MBO because they may not

appreciate full view of MBO.

3. Problems in objective setting

MBO requires verifiable objectives against which performance can be measured. However setting such objectives is difficult

atleast in some areas. Objectives are the more in the form of statement rather than in quantitative form. Of course some

objectives can be broken in terms of time period but others lack this characteristic for further course of action.

4.Emphasis on short-term objectives

Sometimes, in order to be more precise, there is a tendency to emphasis short-term objectives usually for a year or even less. No

doubt, this may help in performance appraisal but there is always a danger in emphasizing short-term objectives at the cost of

long-term objectives. Sometimes, an organisation’s short-term and long-term objectives may be incompatible because of certain

specific problem.

5. Inflexibility

MBO represents the danger of inflexibility in the organization, particularly when the objectives need to be changed. In a

dynamic environment, a particular objective may not be valid for ever. Inflexibility created by applying MBO may cause harm

than what it may contribute.

6. Frustraton

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Sometimes MBO creates frustration among managers. This frustration may be because of 2 reasons: first as experience shows

many organizations could not implement MBO properly, resulting into utter chaos. Second, introduction of MBO tends to

arouse high expectation for rapid change, particularly among the young and junior managers.


In spite to these obstacles and problems in MBO, it continues to be a way of managing the organization. In fact, many of

the problems and weakness of MBO can be overcome by implementing it properly.

Prerequisites for installing MBO programme

MBO is a philosophy, rather than mere a technique. As such, its installation requires a basic change in the organizational culture

and environment. Many of the organizations are designed so as to undermine MBO philosophy. This is because they could not

create the proper environment required for the adoption of MBO. Stated below are some of the prerequisites and problems

contained therein for installing the MBO programme.

1. PURPOSE OF MBO

MBO is a means rather than an end. It has to achieve certain things in the organization, it has to solve some problems. Thus the

organization should be very clear about the purpose for which it is being implemented. An economically, affluent organization

might contemplate using MBO to change its management style so that it conforms to a more advanced and germane model of

man-in–the-organization. In both these cases, the details and emphasis of the system will vary. Thus if the purpose of MBO is

not precisely defined and particular techniques in MBO suitable to the purpose are not emphasized, there is every possibility

that MBO does not produce the results as anticipated.

2. TOP MANAGEMENT SUPPORT

The presence or absence of top management support is a critical factor in determining the degree to which an MBO programme

will be successful. Many studies on

MBO suggest that out of the several factors determining the success or failure of MBO, no single factor had greater correlation

than the subordinate’s perception of superior’s attitude toward MBO. MBO is a way of managing on a day-to-day basis rather

than an exercise of writing objectives once a year. The manager has the responsibility of

1. Personally discussing with each subordinates the objectives that were set.

2. Evaluating progress made in achieving these objectives.

3. Assisting and supporting the subordinates by removing the obstacles that hinder his work accomplishment. Vigorous

involvement among the top management is essential.

3. TRAINING FOR MBO

Systematic training is required in the organization for disseminating the concepts and philosophy underlying MBO. If people in

organization are not clear about the reasons for which MBO is being under taken, they will fear and may show the resistance

because people tend to show fear to what they do not understand. This fear can lead to suspicion and mistrust which in turn

undermines people’s enthusiasms which is very important during the initial stage of MBO.

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Another type of training should be in the intra group, inter group and inter personal relationships because MBO entails a lot of

such elements. Educational components of OD are quite useful for MBO.Beck and HIlimar suggests that “conditions for human

effectiveness are joinly determined by interpersonal competence, achievement and self actualization, meaningful goals, and helpful

systems. And efforts in these 4 directions starting with interpersonal competence can be organized simultaneously with and

independently of formal goal setting in the organizational co ntext. MBO is effective method for bringing about organizational

changes in its structural aspects. Such changes may cause behavioural changes because of the new configuration of authority


responsibility relationships. The basics for superior- subordinate interaction in a MBO system may require that bot superior and

subordinate may change their behaviour to adjust themselves in the new role requirements.

4. PARTICIPATION

Success with MBO requires a commitment on the part of each individual involved in these type of systems. Their

commitment in turn is a function of their identification with and participation in the system. The subordinate should not

perceive that MBO is anothet technique being used by his superior to control his performance. Subordinated role should

include

1. the identification of important areas of accountability of his job

2. the determination of mutually agreeable performance measures

3. identification of his present performance level.

However the area and scope for participation may vary in their relative emphasize according to the functional area

or hierarchial level to which an individual belongs. Thewre cannot be a standard set of participation and each

organization may make its own diagonosis about the extend and type of participation it desires under given

conditions. In evaluating whether participation will work or not , following questions should be asked

1. has the type of participation required been carefully thought out?

2. does higher management really mean to share certain managerial prerogatives that supposedly go with their rank

3. is participation perceived as a trap by subordinates

4. have subordinates the right skills and knowledge in order to shed their defences and participate meaningfully.

5. FEED BACK FOR SELF DIRECTION AND SELF CONTROL

One of the strong points in MBO is that in this system, a person can direct and ntrol his own performance. For such a purpose

the person, who has performance objectives and knows how well he is achieving them, should know ‘where he stands’ and

‘where he is going’ so that he can make necessary adjustments to achieve the desired results on his own. As such, feed back is

necessary. By feed back, here, is not meant merely the regular supply of control information to each manager. The inter

personal aspect of feed back is equally important. Feed back under MBO should take 2 forms.

1. The individual should get periodic reports on where he stands on an overall performance basis. This is required

especially when the subordinate requires help from the superior.

2. Feed back is necessary in the form of periodic counseling and appraisal interview. The superior helps to evaluate

progress, identify problems, offer planning suggestions.

6. OTHER FACTORS

a) Implementing MBO at lower levels

If the full benefits of MBO are to be realized it must be carried all the way down to the first line of organization.

b) MBO and salary decision

One of the most illusive aspects of MBO is to tie the organisation’s compensation system with the MBO programme.

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Though this problem does not arise at the initial level, later on, this becomes a crucial issue. There are various problems to the

organizational remuneration with MBO


1. There is the problem of equating the 2nd degree of difficulty to the achievement of various objectives in various functional

areas.

2. If the monitory difference between the superior and average performer is not perceived being significant the superior performer

will lose enthusiasm to continue his outstanding performance.

3. Some argue that link MBO with reward-punishment system would amount to bringing in the piece –rate system from the shop

floor to the managers office.

c) Conflicting objectives

One of the outcomes of MBO programme is that, to a degree, it builds a competitive climate. This is because MBO generates

commitments. The accomplishment of results in organizations largely requires inter departmental co operation and integration of

efforts. Some educational efforts is needed to enable managers to adopt an overall approach to performance review at regular

intervals which should reveal the human dynamics of such sub optimal behaviors

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References

1) Organisational Behaviour by L.M Prasad , Publishers: Sultan Chand & Sons

2) Organisational Behaviour by Stephen P. Robbins, Timothy A. Judge and Seema

Sanghi, Publishers Pearson Prentice Hall.

3) Organisational Behaviour by Abdul Assis.Koroth and K. Venugopal, Publishers:

Calicut University Central Co-op Stores.

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