Mba Ob

ORGANIZATIONAL BEHAVIOR
What Managers Do
Managerial Activities
Make decisions
Allocate resources
Direct activities of others
to attain goals
Daniel Jk - Faculty - Management Studies
12
Where Managers Work
13
Management Functions
Planning
Organizing
Management
Functions
Controlling
Leading
14
Management Functions (contd)
15
16
17
18
Mintzbergs Managerial Roles
EXHIBIT
1-1a
19
Mintzbergs Managerial Roles (contd)
EXHIBIT
1-1b
110
Mintzbergs Managerial Roles (contd)
EXHIBIT
1-1c
111
Management Skills
112
Effective Versus Successful Managerial

Activities (Luthans)
1. Traditional management
Decision making, planning, and controlling
2. Communications
Exchanging routine information and processing
paperwork
3. Human resource management

Motivating, disciplining, managing conflict, staffing,
and training
4. Networking
Socializing, politicking, and interacting with others
113
Allocation of Activities by Time
EXHIBIT
1-2
114
Enter Organizational Behavior
115
Contributing Disciplines to the OB Field
EXHIBIT
1-3a
116
Contributing Disciplines to the OB Field (contd)
EXHIBIT
1-3b
117
EXHIBIT
1-3c
118
EXHIBIT
1-3d
119
EXHIBIT
1-3f
120
There Are Few Absolutes in OB
x
Contingency
Variables
y
121
Challenges and Opportunity for OB
Responding to Globalization
Managing Workforce Diversity
Improving Quality and Productivity
Responding to the Labor Shortage
Improving Customer Service
122
Challenges and Opportunity for OB (contd)
Improving People Skills

Empowering People
Coping with Temporariness
Stimulation Innovation and Change
Helping Employees Balance Work/Life Conflicts
Improving Ethical Behavior
123
Basic OB Model, Stage I
EXHIBIT
1-6
124
The Dependent Variables
x
125
The Dependent Variables (contd)
126
127
128
129
The Independent Variables
Independent
Variables
Individual-Level
Variables
Group-Level
Variables
Organization
System-Level
Variables
130
131
Personality and Behavior

Personality is the combination of the
psychological traits that characterize that person.
Myers-Briggs Type Indicator (MBTI)
A method of identifying personality types uses four
dimensions of personality to identify 16 different
personality types.
Big Five model

Five-factor model of personality that includes
extroversion, agreeableness, conscientiousness,
emotional stability, and openness to experience.
832
Myers-Briggs Type Indicator (MBTI)

Extroversion versus introversion (EI)
An individuals orientation toward the inner world of
ideas (I) or the external world of the environment (E).
Sensing versus intuitive (SN)

An individuals reliance on information gathered from
the external world (S) or from the world of ideas (N).
833
Myers-Briggs Type Indicator (MBTI) (contd)

Thinking versus feeling (TF)
Ones preference for evaluating information in an
analytical manner (T) or on the basis of values and beliefs
(F).
Judging versus perceiving (JP).

Reflects an attitude toward the external world that is
either task completion oriented (J) or information seeking
(P).
834
Characteristics Frequently Associated with Myers-Briggs Types
Source: Modified and reproduced by special permission of the publisher. Consulting Psychologists Press, Inc., Palo Alto, CA 94303, from
Introduction to Type, 6th ed., by Isabel Myers-Briggs, and Katherine C. Briggs. Copyright 1998 by Consulting Psychologists Press, Inc. All rights
reserved. Further reproduction is prohibited without publishers written consent. Introduction to Type is a trademark of Consulting
Psychologists Press, Inc. (The Myers-Briggs Type Indicator and MBTI are registered trademarks of Consulting Psychologists Press, Inc.)
Exhibit
835
8.2
Big Five Model of Personality Factors
Extroversion
Agreeableness
Conscientiousness
Emotional stability
Openness to experience
836
The Big Five Model of Personality

Extroversion
A personality dimension that describes the degree to which

someone is sociable, talkative, and assertive.
Agreeableness

someone is good-natured, cooperative, and trusting.
Conscientiousness

someone is responsible, dependable, persistent, and
achievement oriented.
Emotional stability

someone is calm, enthusiastic, and secure (positive) or tense,
nervous, depressed, and insecure (negative).
Openness to experience

someone is imaginative, artistically sensitive, and
intellectual.
837
Personality Traits And Work-related Behaviors
Locus of control
A personality attribute that measures the degree to which
people believe that they are masters of their own fate.
Machiavellianism (Mach)
A measure of the degree to which people are pragmatic,
maintain emotional distance, and believe that ends can
justify means.
838
Personality Traits And Work-related Behaviors

(contd)
Self-esteem (SE)
An individuals degree of life dislike for him- or herself
Self-monitoring
A measure of an individuals ability to adjust his or her
behavior to external, situational factors
Propensity for risk taking

The willingness to take chancesa preference to assume
or avoid risk
839
Matching Personalities And Jobs
Person
Performance
Job
840
Hollands Typology of Personality

and Sample Occupations
Realistic
Conventional
Prefers physical activities

that require skill, strength,
and coordination
Investigative
Prefers rule-regulated,
orderly and unambiguous
activities
Enterprising
Prefers activities involving

thinking, organizing, and
understanding
Social
Prefers activities that
involve helping and
developing others
Prefers verbal activities

where there are
opportunities to influence
others and attain power
Artistic
Source: Reproduced by special permission of the publisher, Psychological Assessment

Resources, Inc., Making Vocational Choices, 3rd ed., copyright 1973, 1985, 1992, 1997 by
Psychological Assessment Resources, Inc. All rights reserved.
Prefers ambiguous and

unsystematic activities that
allow creative expression
Exhibit
841
8.3
Relationship Among Occupational Personality Types
Source: Reproduced by special permission of the publisher, Psychological Assessment Resources, Inc., Making Vocational
Choices, 3rd ed., copyright 1973, 1985, 1992, 1997 by Psychological Assessment Resources, Inc. All rights reserved.
Exhibit
842
8.4
Key Points of Hollands Model

There do appear to be intrinsic differences in
personality among individuals.
There are different types of jobs.

People in job environments congruent with their
personality types should be more satisfied and
less likely to resign voluntarily than people in
incongruent jobs.
843
Personality Characteristics of Entrepreneurs

Proactive personality
High level of motivation
Internal locus of control
Need for autonomy
Abundance of self-confidence
Self-esteem
High energy levels

Persistence
Moderate risk taker

Problem solver
844
Emotional intelligence (EI)

An assortment of noncognitive skills, capabilities,
and competencies that influence a persons
ability to cope with environmental demands and
pressures.
Dimensions of EI
Self-awareness own feelings
Self-management of own emotions
Self-motivation in face of setbacks
Empathy for others feelings
Social skills to handle others emotions
845
Learning
Learning defined
Any relatively permanent change in behavior that occurs
as a result of experience.
Operant conditioning (B. F. Skinner)

A behavioral theory that argues that voluntary, or
learned, behavior is a function of its consequences.
Reinforcement increases the likelihood that behavior will
be repeated; behavior that is not rewarded or is punished
is less likely to be repeated.
Rewards are most effective if they immediately follow the

desired response.
846
Learning (contd)
Social learning theory
The theory that people can learn through observation
and direct experience; by modeling the behavior of
others.
Modeling processes
Attentional processes.
Retention processes
Motor reproduction processes
Reinforcement processes
847
148
Learning in Organizations
Learning A relatively permanent change in behavior that occurs as
a result of a persons interaction with the environment
Importance of Learning to OB
Most organizational behavior is learned (remember that only 2-12%

of behavior is directly linked to personality)
By controlling the situation, a manager can influence
behavior/performance
The manager is held accountable for the performance of his/her

subordinates
149
Three
Types
of
Learning
Classical Conditioning: The learning of involuntary, reflexive
behavior, such as emotional reactions
Operant Conditioning: The learning of voluntary, goal-directed
behavior through the direct experience of consequences
Social Learning: The learning of voluntary, goal-directed behavior
through observation and imitation of others
150
Three Types of Learning
After a tightening in policy regarding lateness, a worker sees a

coworker fired for excessive tardiness, resulting in increased attention
to arriving on time
After a tightening in policy regarding lateness, a worker receives a
written reprimand for being late twice in one month, resulting in
increased attention to arriving on time
After witnessing a coworkers accidental loss of several fingers in a
machinery accident, a worker experiences anxiety when operating the
same piece of machinery
151
What Do You See?
Perception
Perception
A process by which individuals organize and interpret
their sensory impressions in order to give meaning to
their environment.
853
What Is Perception, and Why Is It Important?

Perception
A process by which
individuals organize and
interpret their sensory
impressions in order to
give meaning to their
environment.
Peoples behavior is
based on their
perception of what
reality is, not on
reality itself.
The world as it is
perceived is the world
that is behaviorally
important.
2005 Prentice Hall Inc. All rights reserved.
554
Factors That
Influence
Perception
EXHI
B I T 5
1
555
Motivation
The processes that account for an individuals intensity, direction, and

persistence of effort toward attaining a goal
Key Elements
1.Intensity: How hard a person tries
2.Direction: Toward beneficial goal
3.Persistence: How long a person tries
Maslows Hierarchy of Needs

Lower-Order Needs
Needs that are satisfied externally; physiological
Higher-Order Needs
Needs that are satisfied internally; social, esteem,
and self-actualization needs
Assumptions of Maslows Hierarchy
Movement Up the Pyramid
Individuals cannot move to the next higher level until all needs at the current (lower) level are
satisfied.
Maslow Application
A homeless person will not be motivated to meditate! Individuals therefore must move up the
hierarchy in order.
Person Perception: Making Judgments About

Others
Attribution Theory
When individuals observe

behavior, they attempt to
determine whether it is
internally or externally
caused.
Distinctiveness: shows different behaviors in different situations.

Consensus: response is the same as others to same situation.
Consistency: responds in the same way over time.
557
Foundations Of Group Behavior

Group
Two or more interacting and interdependent
individuals who come together to achieve particular
objectives
Role
A set of expected behavior patterns attributed to
someone in a given position in a social unit
Norms
Acceptable standards (e.g., effort and performance,
dress, and loyalty) shared and enforced by the
members of a group
858
Foundations Of Group Behavior (contd)

Status
A prestige grading, position, or rank within a group
May be informally conferred by characteristics such
as education, age, skill, or experience.
Anything can have status value if others in the group
admire it.
859
Reasons Why People Join Groups
Security
Status
Self-esteem
Affiliation
Power
Goal achievement
860
Group Effects
Social loafing
The tendency of an individual in a group to decrease his or her
effort because responsibility and individual achievement cannot be
measured
Group cohesiveness [Unity]
The degree to which members of a group are attracted to each
other and share goals
Some work groups are cohesive because,
the members have spent a great deal of time together
the groups small size facilitates high interaction
the group has experienced external threats that have brought
members close together.
Usually, the more cohesive the group, the more members will
follow its goals
861
The Relationship Between

Group Cohesiveness and Productivity
Exhibit
862
8.10
Group Decision Making

Two heads are better than one
Generates more possible alternatives
Fosters acceptance of the decision
Increased legitimacy [authority]
Group may work harder to implement decisions
Groups tend to reduce cognitive biases and can call on combined skills and abilities
Disadvantages of using groups to make decisions:
Domination by one individual (or a minority)
Time consuming
Pressure for consensus
Decreased or ambiguous responsibility
Groupthink: biased decision making resulting from group members striving for
agreement
Social Influence: influence that individuals or groups have on a persons

attitudes and behavior
Coworkers
Family
Other reference groups (unions, religious groups, friends)
163
Culture
Advantages
Groups can accumulate more knowledge and facts
Groups have a broader perspective and consider more alternative solutions
Individuals who participate in the decision making process are more satisfied
with the decisions and are more likely to support it
Group decision process serves an important communication function as well

as a political function
Disadvantages
Groups often work more slowly than individuals
Group decisions involve considerable compromise which may lead to less than optimal
decision
Groups are often dominated by one individual or a small clique, thereby negating many
of the virtues of group procedures

Over-reliance on group decisions can inhibit managements ability to act quickly and
decisively when necessary
Groupthink
decision
Daniel Jk -biased
Faculty - Management
Studies as striving for agreement
164
Work Teams
- A group whose individual efforts result in performance that is greater than the sum of the
individual inputs.
Management is looking for positive synergy that will allow the organizations to
increase performance.
The extensive use of teams creates the potential for organization to generate greater
outputs with no increase in inputs.
Potential makes the difference between calling a Group as a Team!
Types of Teams
Problem-solving teams
Self-managed work teams
Cross-functional teams
Virtual teams
Problem-solving Work Teams
Groups of 5 to 12 employees from the same department who meet for a few hours each
week to discuss ways of improving quality, efficiency, and the work environment
In this team:
Members share ideas or offer suggestions on how work process and methods can be improved
They involve in decision making process but limited to offer only their suggestions
165
Self-Managed work teams

Groups of 10 to 15 people who take on responsibilities of their former supervisors
Some organizations
have given freedom to the teams which can
not only solve problems but
implement solutions and
take responsibility for outcomes
Fully self-managed work teams even select their own members and have the members
evaluate each others performance. As a result of this, supervisory positions take on decreased
importance and may even be eliminated.
In this team:
Involved in planning and scheduling work, assigning task to members
Making operating decisions
Factors influencing effectiveness of self-managed work teams
Type of tasks the team undertakes
Reward structure the team operates under
Problems with Self-managed work Teams
Team members sometimes have higher absenteeism and turnover rates
166
Cross-functional work teams

Employees from about the same hierarchical level, but from different work areas, who come
together to accomplish a task
In this team:
People formed as an effective means for allowing people from diverse areas within an
organization [or even between organizations] to exchange information
To develop new ideas and solve problems
To coordinate projects
Problems with Cross-functional team
Members should learn to work with diversity and complexity
It takes time to build trust and teamwork, especially among people from different backgrounds
with different experiences and perspectives
167
Virtual Teams
Teams that use computer technology to tie together physically dispersed members in order to
achieve a common goal
Previously described types of teams do their work face-to-face. But here, they use computer
technology to collaborate online-using communication links such as WAN, video conferencing, or
email whether they are only a room away or continents apart. Nearly all teams today do at
least some their work remotely because the virtual teams are pervasive and technology has
advanced so far.
Factors that make effective Virtual Teams
Trust should be established among team members [a negative comment for one email member
can severely undermine team trust all over]
Team progress is monitored closely [so the team doesnt lose sight of its goals and no team
member disappears]
The efforts and products of the viral team are publicized throughout the organization [so the
team doesnt become invisible]
Problems in virtual teams
Despite their ubiquity [making presence everywhere] , virtual teams face special challenges
Theres less social rapport and less direct interaction among members
Unable to duplicate the normal give & take of face-to-face discussion
As members haven't personally met, virtual teams tend to be more task oriented and exchange
less social-emotional information than face-to-face teams.
Members report less satisfaction with the group interaction process than other teams
168
Trait Theories
Traits Theories of
Leadership
Theories that consider
personality, social,
physical, or intellectual
traits to differentiate
leaders from non-leaders.
Leadership Traits:
Ambition and energy
The desire to lead
Honest and integrity

Self-confidence
Intelligence
High self-monitoring
Job-relevant knowledge
1170
What is Leadership?
Leadership is a process by which an executive can direct, guide and influence the
behavior and work of others towards accomplishment of specific goals in a given
situation.
Leadership is the ability of a manager to induce the subordinates to work with
confidence and zeal.
Importance of Leadership
Leadership is an important function of management which helps to maximize efficiency
and to achieve organizational goals. The following points justify the importance of
leadership in a concern.
Initiates action
Motivation
Providing guidance
Creating confidence
Building morale
Builds work environment
Co-ordination
Daniel Jk Faculty Managem

ent
Studies171
LEADERSHIP CONCEPTS :
A leader should have the following concepts
People, Paradoxically, need security and independence at the same time.
People are sensitive to external and punishments and yet are also strongly self motivated.
People like to hear a kind word of praise. Catch people doing something right, so you
can pat them on the back.
People can process only a few facts at a time; thus, a leader needs to keep things
simple.
People trust their gut reaction more than statistical data.
People distrust a leaders rhetoric if the words are inconsistent with the leaders actions.
THE 7 HABITS OF HIGHLY EFFECTIVE PEOPLE :

1.Be Proactive
2.Begin with the End in mind
3.Put First Things First
4.Think Win Win
5.Seek First to Understand, then to Be Understood
6.Synergy
7.Sharpen the Saw (Renewal)
Daniel Jk Faculty Managem
ent
Studies172
What Is Leadership?
Leadership
The ability to influence a

group toward the
achievement of goals.
Management
Use of authority inherent
[inbuilt] in designated
formal rank to obtain
compliance from
organizational members.
1173
Trait Theories
Traits Theories of
Leadership
Theories that consider
personality, social,
physical, or intellectual
traits to differentiate
leaders from nonleaders.
Leadership Traits:
Ambition and energy
The desire to lead
Honest and integrity

Self-confidence
Intelligence
High self-monitoring
Job-relevant knowledge
1174
What is Leadership?
Leadership is a process by which an executive can direct, guide and influence the
behavior and work of others towards accomplishment of specific goals in a given
situation.
Leadership is the ability of a manager to induce the subordinates to work with
confidence and zeal.
Importance of Leadership
Leadership is an important function of management which helps to maximize efficiency
and to achieve organizational goals. The following points justify the importance of
leadership in a concern.
Initiates action
Motivation
Providing guidance
Creating confidence
Building morale
Builds work environment
Co-ordination
175
Role of a Leader
1.
2.
3.
4.
5.
Required at all levels

Representative of the Organization
Integrating Personal Goals with Organizational Goals
Soliciting Support
A Philosopher, Guide & Friend
176
Qualities of a Leader
Qualities of a Leader
A leader has got multidimensional traits in him which makes him
appealing and effective in behavior. The following are the requisites to be
present in a good leader:
Physical appearanceVision and foresightIntelligenceCommunicative skillsObjectiveKnowledge of workSense of responsibilitySelf-confidence and will-powerHumanistEmpathyDaniel Jk - Faculty - Management Studies
177
Leader Vs Manager
Basis
Manager
Origin
A person becomes a A person becomes a

manager by virtue of his leader on basis of his
position.
personal qualities.
Formal Rights
Manager has got formal

Rights are not available to
rights in an organization
a leader.
because of his status.
Followers
The group of employees

The subordinates are the
whom the leaders leads
followers of managers.
are his followers.
Functions
A manager performs all Leader influences people

five
functions
of to work willingly for group
management.
objectives.
Leader
178
Leader Vs Manager
Necessity
A leader is required to
A manager is very create cordial relation
essential to a concern.
between person working
in and for organization.
Stability
It is more stable.
Mutual Relationship
All leaders
All managers are leaders.
managers.
Accountability
Manager is accountable
for self and subordinates Leaders have no well
behaviour
and defined accountability.
performance.
Concern
A leaders concern is
A managers concern is
group
goals
and
organizational goals.
members satisfaction.
Leadership is temporary.
are
not
179
Leader Vs Manager
Followers
People follow manager by People follow them on

virtue of job description. voluntary basis.
Role continuation
A manager can continue

A leader can maintain his
in office till he performs
position only through day
his duties satisfactorily in
to
day
wishes
of
congruence
with
followers.
organizational goals.
Sanctions
A leader has command

over different sanctions
Manager has command
and related task records.
over
allocation
and
These
sanctions
are
distribution of sanctions.
essentially of informal
nature.
180
Trait Theories
Limitations:
No universal traits found that predict
leadership in all situations.
Traits predict behavior better in weak than
strong situations.
Unclear evidence of the cause and effect of
relationship of leadership and traits.
Better predictor of the appearance of leadership

than distinguishing effective and ineffective
leaders.
1181
Behavioral Theories
Behavioral Theories of Leadership
Theories proposing that specific behaviors

differentiate leaders from nonleaders.
Trait theory:
Leaders are born, not made.
Behavioral theory:
Leadership traits can be taught.
1182
Ohio State Studies

Initiating Structure
The extent to which a leader is
likely to define and structure his
or her role and those of subordinates in the search for goal
attainment.
Consideration
The extent to which a leader is likely to have job
relationships characterized by mutual trust, respect
for subordinates ideas, and regard for their feelings.
1183
University of Michigan Studies

Employee-Oriented Leader
Emphasizing interpersonal relations; taking a
personal interest in the needs of employees and
accepting individual differences among members.
Production-Oriented Leader
One who emphasizes technical
or task aspects of the job.
1184
The
Managerial
Grid
(Blake and Mouton)
EXHI
B I T 11
1 1185
Scandinavian Studies
Development-Oriented Leader
One who values experimentation,

seeking new ideas, and generating
and implementing change.
Researchers in Finland and Sweden
question whether there are only two
dimensions (production-orientation and
employee-orientation) that capture the
essence of leadership behavior. Their
premise is that in a changing world,
effective leaders would exhibit
development-oriented behavior.
1186
Contingency Theories
Fiedlers Contingency Model
The theory that effective groups depend on a proper
match between a leaders style of interacting with
subordinates and the degree to which the situation
gives control and influence to the leader.
Least Preferred Co-Worker (LPC)
Questionnaire
An instrument that purports to

measure whether a person is taskor relationship-oriented.
1187
Fiedlers Model: Defining the Situation

Leader-Member Relations
The degree of confidence, trust, and respect
subordinates have in their leader.
Task Structure
The degree to which the job assignments are
procedurized.
Position Power
Influence derived from ones formal structural
position in the organization; includes power to hire,
fire, discipline, promote, and give salary increases.
1188
Cognitive Resource Theory

Cognitive Resource Theory
A theory of leadership that states that stress can
unfavorably affect a situation and that intelligence
and experience can lessen the influence of stress on
the leader.
Research Support:
Less intelligent individuals perform better in leadership roles
under high stress than do more intelligent individuals.
Less experienced people perform better in leadership roles
under low stress than do more experienced people.
1189
Hersey and Blanchards Situational Leadership

Theory
Situational Leadership Theory (SLT)
A contingency theory that focuses on followers
readiness.
Unable and
Unwilling
Unable but
Willing
Able and
Unwilling
Able and
Willing
Follower readiness:
ability and willingness
Leader: decreasing need
for support and supervision
Directive
High Task and Relationship

Orientations
Supportive
Participative
Monitoring
1190
Leadership Styles and Follower Readiness

(Hersey and Blanchard)
Follower
Readiness
Able
Willing
Unwilling
Supportive
Participative
Monitoring
Leadership
Styles
Unable
Directive
High Task
and
Relationship
Orientations
1191
LeaderMember Exchange Theory

Leader-Member Exchange (LMX) Theory
Leaders create in-groups and out-groups, and
subordinates with in-group status will have higher
performance ratings, less turnover, and greater job
satisfaction.
1192
Leader-Member Exchange Theory
EXHI
B I T 11
3 1193
Path-Goal Theory
Path-Goal Theory
The theory that it is the leaders
job to assist followers in attaining
their goals and to provide them the
necessary direction and/or support
to ensure that their goals are
compatible with the overall
objectives of the group or
organization.
1194
The Path-Goal Theory
EXHI
B I T 11
4 1195
Leader-Participation Model
Leader-Participation Model (Vroom and Yetton)
A leadership theory that provides a set of rules to
determine the form and amount of participative
decision making in different situations.
1196
Leadership Styles
All leaders do not possess same attitude or same perspective.
As few leaders adopt the carrot approach and a few adopt the
stick approach.
Thus, all of the leaders do not get the things done in the same
manner.
Their style varies.
The leadership style varies with the kind of people the leader
interacts and deals with.
A perfect/standard leadership style is one which assists a leader in
getting the best out of the people who follow him
197
Important Leadership styles
Autocratic leadership style

The Laissez Faire Leadership Style
Democrative/Participative
style
leadership
Bureaucratic leadership
198

Autocratic leadership style:
leader has complete command and hold over their employees/team.
The team cannot put forward their views even if they are best for the teams or
organizational interests.
They cannot criticize or question the leaders way of getting things done.
The leader himself gets the things done.
The advantage
it leads to speedy decision-making and greater productivity under leaders supervision.
Drawbacks
it leads to greater employee absenteeism and turnover.
This leadership style works only when the leader is the best in performing or when the
job is monotonous, unskilled and routine in nature or where the project is short-term
and risky.
199
The Laissez Faire Leadership Style:

The leader totally trusts their employees/team to perform the job themselves.
He just concentrates on the intellectual/rational aspect of his work and does not
focus on the management aspect of his work.
The team/employees are welcomed to share their views and provide suggestions
which are best for organizational interests.
This leadership style works only when the employees are skilled, loyal, experienced
and intellectual.
Democrative/Participative leadership style:
The leaders invite and encourage the team members to play an important role in
decision-making process, though the ultimate decision-making power rests with the
leader.
The leader guides the employees on what to perform and how to perform, while
the employees communicate to the leader their experience and the suggestions if
any.
The advantages it leads to satisfied, motivated and more skilled employees. It leads
to an optimistic work environment and also encourages creativity.
Drawbacks has the only drawback that it is time-consuming
1100

Bureaucratic leadership:
The leaders strictly adhere to the organizational rules and policies. Also, they make
sure that the employees/team also strictly follows the rules and procedures.
Promotions take place on the basis of employees ability to adhere to organizational
rules. This leadership style gradually develops over time.
This leadership style is more suitable when safe work conditions and quality are
required.
Drawbacks this leadership style discourages creativity and does not make employees
self-contented
1101
1102
Power & Politics

Getting others to do what you want them to do
Five Bases of Power
Organizational
Power:
Power
and Politics
Reward power: Promising or granting rewards
Coercive power: Threats or actual punishment
Legitimate power: Based on position or formal authority
Personal Power:
Expert power: Sharing of knowledge or information
Referent power: Power of ones personality (charisma)
1103
Power & Politics

Power
A capacity that A has to influence the behavior of B so that B acts in accordance with
As wishes.
Bases of Power
Formal Power
Is established by an individuals position in an organization; conveys the ability to coerce
or reward, from formal authority, or from control of information.
Coercive Power
A power base dependent on fear.
Reward Power
Compliance achieved based on the ability to distribute rewards that others view as
valuable.
Legitimate Power
The power a person receives as a result of his or her position in the formal hierarchy of
an organization.
Personal Power
Expert Power
Influence based on special skills or knowledge.
Referent Power
Influence based on possession by an individual of desirable resources or personal traits.
1104
The Evolution of Power: From Domination to Delegation
Power Distribution
Followers granted
authority to make
decisions.
Degree of Empowerment
High
None
Power Sharing
Manager/leader and
followers jointly
make decisions.
Power Distribution
Followers granted
authority to make
decisions.
Authoritarian
Power
Manager/leader
imposes decisions.
Domination
Consultation
Participation
Delegation
Power & Politics

Power Tactics
Ways in which individuals translate power bases into specific actions.
Political Behavior
Activities that are not required as part of ones formal role in the organization, but that
influence, or attempt to influence, the distribution of advantages or disadvantages
within the organization.
Legitimate Political Behavior-Normal everyday politics.
Illegitimate Political Behavior-Extreme political behavior that violates the implied rules
of the game.
Organizational politics: Involves intentional acts of influence to enhance

or protect the self-interest of individuals or groups.
Managing Organizational Politics
Reduce System Uncertainty

Reduce Competition
Break Existing Political Fiefdoms
Prevent Future Fiefdoms
1106
Factors That Influence Political Behaviors
1107
Employee Responses to Organizational Politics
1108
Dynamics of Organizational Culture

Organizational Culture
A system of shared meaning held by members that distinguishes the organization
from other organizations
Characteristics of Organizational Culture
1.Innovation & Risk Taking the degree to which employees are encouraged to be
innovative and take risks
2.Attention to detail the degree to which employees are expected to exhibit
precision, analysis, and attention to detail
3.Outcome Orientation the degree to which management focuses on results or
outcomes rather than on the techniques and processes used to achieve those outcomes
4.People orientation the degree to which management decisions take into
consideration the effect of outcomes on people within the organization
5.Team orientation the degree to which work activities are organized around teams
rather than individuals
6.Aggressiveness the degree to which people are aggressive and competitive rather
than easygoing
7.Stability the degree to which organizational activities emphasize maintaining the
status quo in contrast to growth
1109

Are created by SHARED psychological climates
It is the employees PERCEPTION of the work environment and not the environment that is
important
Definitions of Culture
The shared values, beliefs, and behavioral norms in an organization (Ouchi, 1981)
The social process by which members share their values, beliefs, and norms
Differences - Culture & Climate

Culture describes the social context of the work environment
Climate describes the psychological impact of the work environment
Why are climate and culture important?

The success of Human Services organizations generally depends on the relationships
and interactions between service providers and service recipients. These
relationships are central to the quality and outcome of services.
1110

Organization Cultures Functions:
1.Defines the boundary between one organization and others.
2.Conveys a sense of identity for its members.
3.Facilitates the generation of commitment to something larger than self-interest.
4.Enhances the stability of the social system.
Dominant Culture - expresses the core values that are shared by a majority of the
organizations members.
Sub Culture mini cultures within an organization, typically defined by department
designations and geographical separation
Core Values the primary or dominant values that are accepted throughout the
organization
Advantages of having Strong Culture over Weak Cultures
Organizations core values are both intensely held and widely shared
Cultures become strong when members accept the core values and commit them
greatly towards it
It will have a great influence on the behavior of its members bcoz of shared & intensity
It lowers the employee turnover and shows high agreement between members about
the organizations goals
It builds cohesiveness, loyalty, and organizational commitment
It reduces the employees intentions to quit [leave] the organization
1111

How Employees Learn Culture
Stories
Rituals
Material Symbols
Language
Stories - they circulate through many organizations and typically contain a narrative of
events about the organizations founders, rule breaking, rags-to-riches successes,
reductions in the workforce, relocation of employees, reactions to past mistakes, and
organizational adjustments.
Rituals - are repetitive [repeating] sequences of activities that express and reinforce
the key values of the organization such as
What goals are most important
Which people are important
Which people are expendable
1112

Material Symbols it includes the layout of the corporate headquarters, the types of
automobiles top executives are given, and the presence or absence of corporate
aircraft, the size of offices, the elegance of furnishings, executive perks and attire
[dress]. These symbols convey to employees
who is important
the degree of egalitarianism [equality] desired by top management
the kinds of behavior risk taking, conservative, authoritarian] that are appropriate
Language Organizations used to develop unique terms to describe equipment,
offices, key personnel, suppliers, customers, or products that relate to its business.
Many organizations and units within organizations use languages as a way to identify
members of a culture or subculture. By learning this language, members attest to their
acceptance of the culture and in so doing, help to preserve it.
1113

Socialization - a process that adapts employees to the organizations culture
Pre arrival stage the period of learning in the socialization process that occurs
before a new employee joins the organization
Encounter Stage - the stage in the socialization process in which a new employee
sees what the organization is really like and confronts the possibility that
expectations and reality may diverge [differ].
Metamorphosis Stage the stage in the socialization process in which a new
employee changes and adjusts to the job, work group and organization
Productivity
Pre-arrival
Encounter
Metamorphosis
Commitment
Turnover
1114
Sergio Marchionne
Fiat, CEO
1115
1116
Factors Affecting Organization Culture

Culture represents the beliefs, ideologies, policies, practices of an organization. It gives the
employees a sense of direction and also controls the way they behave with each other. The work
culture brings all the employees on a common platform and unites them at the workplace.
There are several factors which affect the organization culture:
The first and the foremost factor affecting culture is the individual working with the organization.
The employees in their own way contribute to the culture of the workplace. The attitudes, mentalities,
interests, perception and even the thought process of the employees affect the organization culture.
Example - Organizations which hire individuals from army or defence background tend to follow a
strict culture where all the employees abide by the set guidelines and policies. The employees are
hardly late to work. It is the mindset of the employees which forms the culture of the place.
The sex of the employee also affects the organization culture. Organizations where male
employees dominate the female counterparts follow a culture where late sitting is a normal feature.
The male employees are more aggressive than the females who instead would be caring and
softhearted.
The nature of the business also affects the culture of the organization. Stock broking industries,
financial services, banking industry are all dependent on external factors like demand and supply,
market cap, earning per share and so on. When the market crashes, these industries have no other
option than to terminate the employees and eventually affect the culture of the place. Market
fluctuations lead to unrest, tensions and severely demotivate the individuals. The management also
feels helpless when circumstances can be controlled by none. Individuals are unsure about their
1117
career as well as growth in such organizations.

The culture of the organization is also affected by its goals and objectives. The
strategies and procedures designed to achieve the targets of the organization also contribute
to its culture.
Individuals working with government organizations adhere to the set guidelines but do not
follow a procedure of feedback thus forming its culture. Fast paced industries like advertising,
event management companies expect the employees to be attentive, aggressive and hyper
active.
The clients and the external parties to some extent also affect the work culture of the
place. Organizations catering to UK and US Clients have no other option but to work in shifts
to match their timings, thus forming the culture.
The management and its style of handling the employees also affect the culture of the
workplace. There are certain organizations where the management allows the employees to
take their own decisions and let them participate in strategy making. In such a culture,
employees get attached to their management and look forward to a long term association with
the organization. The management must respect the employees to avoid a culture where the
employees just work for money and nothing else. They treat the organization as a mere
source of earning money and look for a change in a short span of time.
1118
1119
Change
Organizational Change
Making things different

Forces for Change
1. Nature of the Workforce
Overcoming Resistance
2. Technology
1. Education & Communication
3. Economic Shocks
2. Participation
4. Competition
3. Building support & Commitment
5. Social Trends
4. Implementing Changes fairly
6. World Politics
5. Manipulation & Cooptation
6. Selecting People Who Accept Change
7. Cooercion
Sources for Resistance to Change
Individual Sources
Organizational Sources
1. Habit
Structural Inertia
2. Security
Limited Focus of Change
3. Economic Factors
Group Inertia
4. Fear of the Unknown
Threat to expertise,
5. Selective Info processing
Established power reltshp
1120
Resource Allocation
Lewins Three Step Model

Unfreezing
Managing Organizational Change
Movement
Refreezing
Unfreezing Changing to overcome the pressures of both

individual resistance and group conformity
Movement A change process that transforms the organization
from the status quo to a desired end state
Refreezing Stabilizing a change intervention by balancing driving
and restraining forces
Driving forces Forces that direct behvaiour away from the status
quo.
Restraining Forces Forces that hinder movement from the
existing equilibrium.
1121
Managing Organizational Change
Action Research A Change process based on systematic collection of data

and then selection of a change action based on the what the analyzed data
indicate
Five steps of Action Research
1. Diagnosis
2. Analysis
3. Feedback
4. Action
5. Evaluation
Organizational Development A collection of planned change interventions,

built on humanistic-democratic values, that seeks to improve organizational
effectiveness and employee well-being.
Values of Organizational Development
1. Respect for people
2. Trust and support
3. Power equalization
4. Confrontation
5. Participation
1122
Stress / Work Stressors
Stress A dynamic condition in which an Individual is confronted with

an opportunity, a demand, or a resource related to what the individual
desires and for which the outcome is perceived to be both uncertain
and important.
Challenge Stressors Stressors associated with work load, pressure to
complete tasks, and time urgency
Hindrance Stressors Stressors that keep you from reaching your goals
[red tape, office politics, confusion over job responsibilities]
Demand responsibilities, pressures, obligations
uncertainties that individual face in the workplace
and
even
Resources Things within an individuals control that can be used to

resolve demands.
1123

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ORGANIZATIONAL BEHAVIOR

Daniel Jk - Faculty - Management Studies

Where Managers Work

Daniel Jk - Faculty - Management Studies

Daniel Jk - Faculty - Management Studies

Management Functions (contd)

Daniel Jk - Faculty - Management Studies

Management Functions (contd)

Daniel Jk - Faculty - Management Studies

Management Functions (contd)

Daniel Jk - Faculty - Management Studies

Management Functions (contd)

Daniel Jk - Faculty - Management Studies

Mintzbergs Managerial Roles

Mintzbergs Managerial Roles (contd)

Mintzbergs Managerial Roles (contd)

Daniel Jk - Faculty - Management Studies

Effective Versus Successful Managerial

3. Human resource management

Allocation of Activities by Time

Enter Organizational Behavior

Daniel Jk - Faculty - Management Studies

Contributing Disciplines to the OB Field

Contributing Disciplines to the OB Field (contd)

Contributing Disciplines to the OB Field (contd)

Contributing Disciplines to the OB Field (contd)

Contributing Disciplines to the OB Field (contd)

There Are Few Absolutes in OB

Challenges and Opportunity for OB

Daniel Jk - Faculty - Management Studies

Challenges and Opportunity for OB (contd)

Improving People Skills

Daniel Jk - Faculty - Management Studies

Basic OB Model, Stage I

The Dependent Variables

The Dependent Variables (contd)

Daniel Jk - Faculty - Management Studies

The Dependent Variables (contd)

Daniel Jk - Faculty - Management Studies

The Dependent Variables (contd)

Daniel Jk - Faculty - Management Studies

The Dependent Variables (contd)

Daniel Jk - Faculty - Management Studies

The Independent Variables

Daniel Jk - Faculty - Management Studies

Daniel Jk - Faculty - Management Studies

Personality and Behavior

Big Five model

Daniel Jk - Faculty - Management Studies

Myers-Briggs Type Indicator (MBTI)

Sensing versus intuitive (SN)

Daniel Jk - Faculty - Management Studies

Myers-Briggs Type Indicator (MBTI) (contd)

Judging versus perceiving (JP).

Daniel Jk - Faculty - Management Studies

Characteristics Frequently Associated with Myers-Briggs Types

Daniel Jk - Faculty - Management Studies

Big Five Model of Personality Factors

Daniel Jk - Faculty - Management Studies

The Big Five Model of Personality

A personality dimension that describes the degree to which

A personality dimension that describes the degree to which