ORGANISATIONAL

BEHAVIOUR
 Table of Contents

INTRODUCTION...........................................................................................................................3
TASK 1............................................................................................................................................3
P1 Organisation's culture and policies influence on individual's and Team behaviour..............3
M1 Analysis of culture, politics, power of Unilever and its influence on individual and group 5
D1 Evaluation of relationship between culture, politics and power ..........................................6
TASK 2............................................................................................................................................7
P2 Methods to motivate individual and team .............................................................................7
M2 Influencing behaviour through mootivat5uional theories, models, concepts.......................9
D1 Relationship between culture, politics, power and motivation...........................................10
TASK 3...........................................................................................................................................11
P3 Effective Team and Ineffective Team...................................................................................11
M3 Analysing Relevant Team and Group Development Theories ...........................................13
D2 Evaluation of Relevance of Team Development Theories .................................................13
TASK 4 .........................................................................................................................................13
P4 Concepts and philosophies of Organisational Behaviour....................................................13
M4 Evaluation of concepts and policies influencing organisation in positive and negative way
...................................................................................................................................................15
D2 Relevance of team development theories in OB ................................................................15
CONCLUSION..............................................................................................................................15
REFERENCES..............................................................................................................................16

........................................................................................................................................................16

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INTRODUCTION
An individual’s behaviour in an organisation is very much important similarly an
organisation's behaviour towards its employees, customers should also be analysed very
seriously. Organisational behaviour can be defined as a study which tells about impact that
individual, group have in behaviour within the organisation. It is the study of ways in which
individuals interact within groups. This study is conducted by business organisations to become
more efficiently in its work and it suggests that scientific ideas can be applied in management of
workers. There are several theories in this which are used in HRM also (Andersson, Jackson,
and Russell, 2013). The company which will be referred here is UNILEVER which is a Dutch-
British consumer goods organisation which has its headquarters in London and Netherlands. It
produces goods like food, beverages, cleaning agents, personal care products, etc. This report
will include how company's culture and policies affect individual's team behaviour and
performance, the way theories of motivation and motivational techniques are helpful in
achieving goals of organisation, difference between an effective and ineffective team as well as
application of concepts and philosophies of organisational behaviour inside Unilever.
TASK 1
P1 Organisation's culture and policies influence on individual's and Team behaviour
A organisation can be defined as a place which organises and controls the goals and
objectives of the company and an organisational behaviour defines the ways in which people
communicate and interact with each other and how their structure and behaviour affects the
environment. An individual who is working in company are given proper training about how
they have to behave in organisation and induction training is also given in which they are told
about what is company all about, its structure, its values etc. Organisation's culture, values
politics, power have an effect on individual's , team behaviour and performance because whether
an employee work as individual or team, if they are comfortable with the work environment or
policies which are made for them then they will not be able to perform better an company's work
will be affected very much (Ashkanasy and Humphrey, 2011).
Influence of culture:- culture has a very strong influence in working of companies
because if culture maintained nicely in an organisation then employees will not feel comfortable
hence it increases chances of employee retention. The importance of culture in organisational
behaviour judges the human behaviour in an organisation. Classification of culture are:-
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  Power- culture plays important role in getting power inside the organisation. It helps
employees to adjust in the environment where power is in the hands of a single person.
 Role:- culture also helps in deciding the roles which the employees are going to perform.
They will decide what role will suit the best and to which employee.
 Task- here, it helps in giving tasks to employees as per their likes and dislikes because
then only they will be able to perform better (Avey, Palanski and Walumbwa, 2011).
Organisational culture means values and principles that are shared by manager an d
associates of organisation . It refers to the process which defines that how employees of company
are interacting and handling outstanding business transactions. An organisation's culture is made
by people who are working there and it is made slowly and slowly. The positive and negative
habits that are present in employees are reflected in their work. A company's culture is shown in
its office environment, business hours, employee benefits, clients treatment, satisfaction, their
dress code etc. it acts as a 'glue' which helps in keeping the employees at one place i.e.
integrating them . There are different types of people in an organisation who have come from
various places having different cultures and traditions therefore it is company's responsibility that
employees are feeling comfortable and their culture is not becoming a hindrance in their work.
There are around 400 brands that are owned by Unilever but their main focus is on only
13 brands that give them sales of over 1 billion. In such big company if organisational behaviour
will not be appropriate then whole work will be disturbed and company will not be able to
perform well in market. The growth of Unilever or any other company is linked with its culture
inside organisation and activities that are conducted by leaders inside organisation. Since
Unilever is an integrated firm therefore if there is an changer in one area then automatically there
will be chans in other areas as well. The leaders which are chosen by companies should be very
effective in their work because then only they will be able to find changes or improvements that
are required in company's products (Bolino and et. al., 2013).
There are many other features also that are used by company's to maintain culture in the
organisation and when these are followed then performance and behaviour of individuals and
team are automatically affected because they get to use latest technology for doing work and they
are allowed to use good resources so that quality is maintained.
Organisation's politics and power also impacts behaviour inside organisation because it
involves all those activities that are required to perform to achieve the desirable outcome which

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is impossible to achieve in a normal situation. The tactics that are applied here are like vlemingh
others unnecessarily, framing others in fraud situations, plotting against other employees,
pressurizing them to perform a certain work and many more (Carpenter, Berry and Houston,
2014). All these tactics have a very bad impact on individuals behaviour and team behaviour
because it creates a bad environment inside the organisation in which employees d not feel
comfortable to work and so their performance also hampers .
It is very important to have knowledge on cultural awareness and it is to be given to employees
as well because if the company will discriminate between employees on the basis of their culture
or employees themselves doesn't accept each others culture then this wil create a bad
environment inside organisation. So each and every culture should be accepted with open hands
as Unilever is an international company and hence they must be having different people coming
from different culture.
There are many powerful people in an organisation who rule an organisation. In Unilever
also there will people who are in senior level position and everybody follows their order. This
situation has both positive and negative impact because if leader is a positive person then
organisation will grow and employees will also be happy but if the leader is not a good person
then he will try to create tension in the organisation and will try to harass employees. This
creates a negative environment inside the organisation and employees behaviour will also change
towards its leader and working in pressure is also not acceptable to employees which will be
shown in their performance.

M1 Analysis of culture, politics, power of Unilever and its influence on individual and group
Since Unilever is world's largest consumer goods company therefore there are so many
employees who must be working there coming from different cultures and background (Choi,
2011). The culture which is maintained in company effects behaviour and performance of
employees because of 'Winning Together is Unilever's global campaign in which thy help and
motivate people to innovate,, take opportunities, take intelligent risks. They perform activities
smartly and their 'Time Saving Ideas' campaign help them in producing more and more ideas
which can be used in producing more products. Its politics and power affects the employees in
various ways like obligations are created inside organisation and employees are not provided
correct information then at these moments employees feel negative about the organisation. Office

5
politics are always having negative influence towards the behaviour of individuals. When people
tries manipulation instead of persuasion , it is clear politics (Colquitt and et. al., 2011). Even in
case of power, when a senior employee unnecessarily harass its juniors on account on work done
and using his power to rule over the employees so that they follow their orders is against office
rules and because of this employees doesn't feel comfortable and sometimes they leave the
company also on account of fear.

D1 Evaluation of relationship between culture, politics and power

Culture, politics and power exists plays a very crucial role in developing relations inside
companies and deciding performance and behaviour of employees. In Unilever, they believe that
power to decide every thing is in the hands of the consumer and now no injustice will happen
with them. Culture that exists inside company acts as a base for employee's behaviour and
therefore it is duty of employer that he maintains good atmosphere in the company. Since its an
international company therefore maintaining different cultutres is a bit difficult since so many
people who have come from all over world are working with them. In case of politics also,
company should try that none of its employees are unsatisfied and if this happens that there will
be less politics in organisations. It is difficult but company should try to do this. Few
recommendations that Unilever is required to implement are like:-
 They should now start targeting unexplored market and try using new ways to do work.
 Focus should also be on emerging markets,
 Maintenance of common standards for all its products is also required
 employees should be empowered with the company's strategies so that they know what
they have to achieve (Demir, 2011).

TASK 2
P2 Methods to motivate individual and team
Many people in organisation have expertise in their work but if they are not motivated
then they will not be able to recognize their true potential. People who are motivated generally
have a positive outlook in their life and they kn ow very well where they have to invest their time
and where not. When a person is motivated then he is able to perform well and enjoy the work .
Therefore motivation plays a very important role in performance of employees. Normally, for

6
motivating employees leaders are appointed by companies who wants that all its employees
should become equally confident and responsible like the leaders (Fisher and To, 2012.
There are basically two types of motivation which are:-
Extrinsic:- It is that type of motivation where external factors plays an important role in
encouraging people to do what they want to do. These are like giving bonus checks, extra
holidays, pay raise etc.
Intrinsic:- In this type of motivation, people are motivated by using their personal desires like
giving them a challenge or interaction with their favourite clients or customers . It gives great
amount of satisfaction to the employees.
These two methods are applied on individuals or teams because we know that every
person is different so methods of motivating is also different. Everyone in organisation wants to
be more productive but if they are not well motivated then it is nearly impossible to achieve what
you want. Various scientists who are studying motivation since decades have come up with
various theories that are applied in various organisations to bring peace and harmony inside
companies. There are so many motivational theorists like Maslow, Herzberg, Alderfer Adams etc.
and the motivational theories proposed by them are divided into two parts which are:-
Content Theories:- These are also referred as Need theories because it concentrates on
importance of what employees wants and how are they motivated. Here basically they try to
identify the 'needs' of people and then relate it with motivational factors.
Process Theories:- in these types of theories, they try to explain how behaviour is
directed and addressing issues like how process will work inside companies.
Various motivational theories are:-
1. Maslow's Need Hierarchy Theory:- This theory focuses on psychological needs of
employees. He divided whole theory in five level of human needs which employees need
to fulfil at work (French and Holden, 2012). Basically a structure has been set where all
needs have been kept in order i.e. from lower to higher. Needs are classified as:-
 Psychological needs- These are basic needs that must be fulfilled in order to survive like
food, shelter and clothing.
 Safety needs- it consists of personal; and financial security matters that are required for
well being of employees

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  Social needs- here need for love , support, friendship, belongingness, family which are
required for emotional satisfaction of employees are included.
 Self Esteem needs- in this employees need related to respect that he gets from his
colleagues and confidence which is required in him in included (Griffin and Moorhead,
2011).
 Self Actualization- here the need is to achieve everything that we can and desire to
achieve what they want to.
2. Hertzberg Two factor theory:- According to this theory, there are two factors that affect
motivation and that too in different ways like:-
 Hygiene Factors :- These are types of factors that motivates employees if they are absent
but with their presence employee is not affected by it. For ex. When a person is addicted
to drugs and if it is not given to them then person does anything to get it same is the case
with hygiene factors. These are like security benefits, working benefits etc.
 Motivators:- these type of factors motivates the employees when they are 0presenty io n
organisation. But if these factors are not present dissatisfaction is also not created. It
includes self actualization needs of employees.
3. Alderfer's ERG Theory:- here need is classified into three categories:-
 Growth Needs- here employee's potential is recognized and devlopement of competence
is also conducted
 Relatedness needs- in this it is seen that employees are having satisfactory relation with
others or not in the company.
 Existence Needs- In this it is checked that whether employee is physically fit or not.
He believed that if employees higher level needs are satisfied first then they get more
intense like their demand might increase more (Kinicki and Kreitner, 2012).
4. Vroom Theory:- This theory considers motivation as partly decision making process
that evaluates outcomes. They believe that people will choose to behave in a way in
which they believe that the outcome will be good which means the employees decide
what they have to do based on the outcome which will be generated. This theory is based
on three elements like:-
◦ Expectancy
◦ Instrumentality

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 ◦ Valence
5. Adam's Theory of Motivation:- It is also called as 'Equity Theory' which speaks about
balance of inputs and outputs that are invested by employees (Lazaroiu, 2015). This
theory believes that employees in company become demotivated if they think that they
are not getting rewards for their work and their inputs are more than outputs. A balance
between inputs and output should be maintained by company as well as employees so
that there is equity in organisation.
6. Lockey's Theory of Motivation:- it is also called as Goal Setting Theory which says that it
is important to achieve the goals of organisation but not more important than what you
become by achieving these goals. They have given five goal setting principles that can
improve chances of success. They are:-
 Clarity of goals
 Commitment towards teams
 Feedback gain
 Challenging goals
 Task Complexity

M2 Influencing behaviour through mootivat5uional theories, models, concepts

It is known to every company that their efficiency is dependent on effectiveness of
employees and same is the case with Unilever therefore employees should be highly motivated in
order to perform well (Lu, 2014). In this highly competitive business environment, retaining
employees in an organisation is a very difficult task. This happens because employees doesn't
feel motivated to perform their job. If they will b motivated enough then employee retention can
be reduced and commitment towards company can be achieved.
Unilever has used various innovative ways to motivate employees of company. For ex.
Unilever Klev is one method that are applied by them for motivation in which employee's
feedback is taken through a machine where they can tell company about how was their day by
pressing red or green button. Also, they did extensive use of technologies because of which

9
communication was made easier inside company (Luthans, Luthans and Luthans, 2015). Various
motivational theories are also applied by company to satisfy employees so that their performance
is improved. Unilever also used methods like tracking employee satisfaction and taking care of
communication with the help of employee scheduling. Various campaigns have also been
organised by Unilever to enhance motivation. All content theories like Maslow's, Herzberg,
Alderfer have their own importance in Unilever and same with Process theories. There are
various types of employees and to motivate them these different methods are applied.

D1 Relationship between culture, politics, power and motivation

There is very strong relation between all these four factors in an organisation. In
Unilever, employees have come from different background. Some employees adjust very fast but
some take time. Company should try that employees feel comfortable in their work place and get
adjusted fast. For achieving this, various steps have to be taken by company also like:-
 maintaining good organisational culture,
 conducting various activities and involving new employees also so that they get a chance
to get mixed with old employees,
 various benefit plans should be introduced,
If company follows all these steps then employees feels satisfied and it acts as a
motivating factor for them. Since all these steps are taken just to built motivation inside
employees so that they give commitment and become a loyal employee (MacKenzie, Podsakoff
and Podsakoff, 2011). In Unilever, the employees are considered as important assets there
company do so many campaigns , activities to motivate its employees. Once employees are
motivated then they will not be able to do politics inside company because of their loyalty
towards company. Similarly, motivated employees have nothing to do with power, they believe
in hard work because they enjoy what they perform. Therefore, all these four factors are
connected with motivation.

TASK 3
P3 Effective Team and Ineffective Team
A team can be defined as a group of players that are come together to achieve a common
goal. An organisational team means a project team which has been created by employees who

10
have come together to perform a group task to achieve individual as well as organisational goals
and producing results thereof (Martinko, Harvey and Dasborough, 2011). A team which is made
can be effective as well as ineffective.
Effective Team:- These are teams where team members are committed towards group
goals and do open communication with other members and haver good knowledge about the
subject and they are not dependent on their leader for performing tasks.
Ineffective Teams:- These are the types of teams that doesn't share their issues and
concerns with each other and they are overly dependent on their leader and are incapable of
taking any decision with themselves.
There are various types of organisational teams which are used in an organisation to perform
tasks effectively. They are:-
 Functional Team:- These are the teams that perform specific functions in a organisation.
The members who are included in this team belongs to same department or those who
meet regularly. Here the subordinates have to report to manager of company who is
having primary responsibility of the team. In these type of teams 4 types of roles are
played which are:-
◦ Team Leader:- the decision making power is there with whole team but someone is
required to supervise all the activities and that is why 1 member is appointed as a
leader.
◦ Record Keeper:- Ac record is required to be kept in which all the decisions that are
taken and which will be taken , summary of meetings are recorded here (Miao and et.
al., 2013).
◦ Progress Chaser:- A team always requires a member who can keep all schedule which
is required for the team so that work assigned is able to be completed on time.
◦ Document controller:- Every team needs a person who will keep all the documents
that are necessary for team . It is a big responsibility therefore only trusted members
are only given this task.
 Problem Solving Team:- These types of team consists of members who come from
different department have different roles, interests etc. their main aim is to give fast
solution to a specific problem which can solve the problem permanently. They keep this
as their priority. It is a temporary team which has different group members so it becomes

11
 easy to solve problem because various people can give variety of advices so the problem
can be be solved easily (Miner, 2015).
 Work Group:-employees who are given same task in organisation can perform their task
together by forming a work group. It will give benefit to company only as their resources
will get saved and they will be able to support the organisation in best possible way.
 Quality Team:- These teams are also called as excellence teams which perform task of
protecting employees from workflow issues and any negative impact that is going on in
organisation. These are generally temporary and cross functional in nature.
 Virtual Team:- These teams communicate online i.e. through conferencing or through
other technologies. Here also, employee's geographical location doesn't matter, all
members are connected through technology. Members of these teams are selected very
carefully because their good communication skills acts as a base for interacting with
other members
Technology has a big impact in functioning of these teams because every company uses
different types of technologies to reduce its work load so team members should be technology
friendly to work in these teams. Use of technologies is sometimes good and sometimes bad also.
In case any new technology is launched in a company the employees should be told about it and
should be given time to learn it (Moore and et. al., 2012). Various technologies that have
improved team functioning are;-
 E-mails
 Smart phones
 Smart PC's
 Groupware etc.
Tuckmans' Team Development model- This model explains the team development in a very
elegant way. It is a four way model which are:-
3. Norming- here, roles and responsibilities are 2. Storming- here storm occurs when decision
divided between employees and are accepted taking session is going on within group. All the
also. Big decisions are taken by group members tries to prove their part.
agreement only (Osland and Turner, 2011).
4. Performing- here, whole team knows that 1. Forming- here, members are more
what task are they performing and competing it dependent on leader for guidance and direction

12
without an help from leader.

This model says that as an when team develops maturity in themselves, a relationship is
established inside the organisation and thus now leader is free to change the leadership style.
After completing this whole process team is able to create a new leader within themselves and
the old leader can now move forward and train a new team. In this as the authority and
responsibility of team members increases , control of team leader decreases.

M3 Analysing Relevant Team and Group Development Theories

There are various tea an group development theories that are applied in Unilever. In order
to develop teams , Belbin has suggested some clusters that are required to be followed by team
members which are also called as team roles, they are;-
 Resource investigator- the leader finds various ideas to apply them in team so that team
development can happen,
 Team worker:- In this, leader tries to help its employees by providing them good
guidance about the work which are to be performed by them.
 Coordinator- he coordinates all the activities that are conduced by team members and also
keep a check on them (Pinder, 2014).
 Specialist- he specializes in various fields that is why is he is selected as a leader in
company.
 Implementer- he tries to implement all the possible theories and activities that are
considered good for team.
Another theory that is discussed in this report is Tuckman's theory which says that a
team or a group is developed when the members which are present in team become mature and
is in a situation to taken their own decisions. This theory is considered as one of the best theory
because it is helping in creating new leader for the organisation (Sinclaire, 2011).

D2 Evaluation of Relevance of Team Development Theories

Theories that are applied for team development help Unilever in maintaining
organisational behaviour and the philosophies helps the organisation in doing tasks effectively. in
order to become an effective team there should be open communication between the team
members and there are various types of teams that are used by organisation like problem solving

13
ream , quality team, functioning team and many more. All these trams perform different tasks in
an organisation which provided various type of benefits to every individual person in the group
as well as organisation. Companies should continue doing this activity of making groups because
it reduces the work load from an individual person and helps in solving problems effectively.

TASK 4
P4 Concepts and philosophies of Organisational Behaviour
In order to understand the concept of organisational behaviour in Unilever it is very
important to look at its cultures, values, principles because these are considered as the basic
elements of any company. The corporate culture and Values of Unilever guides employees in
their judgements and decisions that they take everyday. Some of them are:-
 Integrity:- Company is committed towards their integrity because they believe that it
creates their reputation in market.
 Respect:-they are committed towards respect because they believe that people all over
should be treated with honesty and fairness.
 Responsibility:-they care for their employees and customers and also the environment an
society in which they operate. Whatever they promise to deliver they do so.
 Pioneering:- company is created through this and is still running. It give passion for
winning and creating a better future (van Dijke and et. al., 2012).
Path goal Theory of Leadership – This theory is based on describing a leadership style or
behaviour that fit best in work environment and also on the employees . Their main aim to
increase employee's motivation and also to empower them and motivate them so that they
become more productive and gives more output to organisation. This theory is based on V room's
theory of motivation which is also called as Expectancy theory in which employees will act in a
certain way which h is based on expectations that they have from outcome (Wagner III, and
Hollenbeck, 2014). It can also be explained as a process in which leaders select specific
behaviours for their employees that best suites them so that best guidance is provided to
employees for performing their daily routine activities. The steps followed in this theory are:-
 Determination of employee and environment characteristics

14
  Selection of leadership styles
 Focussing on motivational factors that will help employees in getting success

Illustration 1: Path Goal theory

Source:- Path Goal Theory,2015
Employee characteristics;- In this theory employees are able to interpret their leaders
behaviours on the basis of their needs , ability, desires etc.
Environment characteristics;- overcoming problems of employees ids the main focus of
this their (Walumbwa and et. al., 2011). If leader comes to know that employee is in big problem
the he will come and help he employee by shoeing him correct path so that employees walk
right. Some more duties perform,d by them are like designing the whole task for employees,
formation of authority system , Forming work groups etc.
Leadership styles:- In this theory basically four types of leadership styles are prescribed
which are Directive, supportive, Participative, Achievement. These styles are used to provide
correct leadership to employees (Witt and Schwesinger, 2013).
Application:- in this they believe that employees are flexible which means that their
behaviour and style can be changes anytime depending upon the situation.
While studying organisational behaviour it is very important to include barriers which creates
problem in effective behaviour and social behaviour and situational resistance. Some Barriers to
effective behaviour of employees are:-

15
  Manipulating senders information before it reaches to receiver,
 Selective perception in which people assume from what they see ,
 Information flow exceeds the listening capacity of then person which creates irritation.
 Language barrier is created in which people assume different meanings of same word.
Contingency Theory- This theory is an organisational theory which says that there is no best
way to lead a company or make decision. In this leader himself chooses the leadership sty;e
which he wants to apply on a specific employee on a right situation. They believe that there are
cretin principles that are more effective for the company and can be applied and understood. This
theory classifies the leader's situation which are;-
 Position power of leader- in this authority that is associated with leader's formal position
is discussed.
 Structure of team's task- in this, clarity in the activity that the team performs is checked,
 Leader's quality- it is checked by examining the interpersonal relationship between the
team members.

M4 Evaluation of concepts and policies influencing organisation in positive and negative way
The concepts and policies that are applied in Unilever have influence in behaviour and
performance of employees. Various theories like path goal theory and contingency theory are
discussed in order to bring changes in organisation (Bolino and et. al., 2013). Path goal theory
states that leader provides guidance and way to its employees if they are not able to perform wee.
Similarly in contingency theory, it is described that there is no best easy to make a decision in an
organisation, here leader decides its own style to give guidance to its employees as per situation
at that time.

D2 Relevance of team development theories in OB

Team development theories that are applied in Unilever should be relatable to the
objectives of the organisation. This is because if the theories applied are not as per the vision of
company ,then employees might leave from their original objective and therefore company's
mission will not be achieved (Carpenter, Berry and Houston, 2014). The corporate culture and
values of an organisation plays a very important role in shaping the behaviour inside companies.

16
CONCLUSION
From the above mentioned this report it can be concluded that organisation and human
resource correlated with each other. It played significant role in every company. This report has
been defined about culture, polices and powers as well as has been elaborated the major
relationship among them. Additionally, has been defined different type of motivational theories
with the help of them company could increased motivation and confidence level of employees.
Therefore, it has been defined team and group development theories. As well as this assignment
has been explained about concept of philosophy of organisation behaviour in effective and
efficient manner.

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