ELEMENTS & ATTRIBUTES OF

EFFECTIVE LEADERSHIP IN
COOPERATIVES

HUMAN BEHAVIOUR IN
ORGANIZATIONS
 ORGANIZATION AS SOCIAL SYSTEM
INDIVIDUALS

FORMAL INFORMAL
GROUPS GROUPS
FORMAL • Created to fulfill specific
GROUPS goals or undertake
specific tasks.
Set up by the
• Have a formal status and
management of
role conferred by the
an organization
organisation.
to undertake
duties in the • Have definite structures
pursuit of with prescribed leadership
organizational and established rules,
goals. processes and roles.
• Tend to be permanent.
INFORMAL • Created by individual
GROUPS members for the purpose
of sharing a common
Grouping which interest or meeting a
employees
shared need.
themselves
develop in • Emerge from
accordance organisational interactions
with their own and may be contained
needs. Every within formal task groups.
organization
has this kind of
groups.
INFORMAL • Exist for as long as they
GROUPS serve a common interest
or fulfill a common need.
Grouping which
employees • Communication tends to
themselves be flexible and rapid.
develop in Communication within
accordance and between groups is
with their own known as the grapevine.
needs. Every • Could be positively or
organization
negatively contributing.
has this kind of
groups.
 INFORMAL GROUPS
Benefits
Lightens workload on management Encourages negatives attitudes
Helps get the work done
Tends to encourage cooperation
Gives satisfaction and stability to
work groups
Improves communication
Provides a safety value for
employee emotions
Contributes to higher cohesiveness
Problems
Resists change
Leads to interpersonal and
intergroup conflicts
Weakens motivation and
satisfaction
Operates outside of management’s
control
Supports conformity
 ORGANIZATION AS SOCIAL SYSTEM

ENVIRON
PEOPLE
MENT

CULTURE
RELATIONSHIPS
 CULTURE

“The specific collection of values and

norms that are shared by people and
groups in an organization and that
control the way they interact with
each other and with stakeholders
outside the organization."
 Corporate Culture
“…is the total sum of the values, customs,
traditions and meanings that make an
organization unique. Corporate culture is
often called ‘the character of an
organization’ since it embodies its
philosophy, values & vision…”

“… The values of a corporate culture

influence the ethical standards within the
organization as well as managerial
behavior…”
Culture & Organizational Behavior
PHILOSOPHY, VALUES, VISION & GOALS

ORGANIZATIONAL CULTURE
Formal Org Informal Org Social Environment

*Type of leadership *Communication

*Group Dynamics

*Performance *Individual Satisfaction

*Personal Growth & Development
 ORGANIZATION AS SOCIAL SYSTEM

ENVIRON
PEOPLE
MENT

LEADERSHIP

CULTURE
RELATIONSHIPS
 LEADERSHIP & ORGANIZATIONAL
BEHAVIOUR
Human … determines
behavior in an the quality of
organization... work,
progress and
success of the
organization.
“…It is what people do or do not
do that ultimately determines
what the organization can or
cannot become…”
 Human Behavior in Organizations
• About how • About how
individuals, individuals,
people and people and
groups act in groups relate to
organizations one another in
(individualization) organizations
(socialization)
 Individual rights
INDIVI Self-respect
Loosely knit
DUALI
social networks
ZATION Personal rewards
& careers

Group SOCIA
Harmony LIZA
“What is best for
the TION
organization?”
TOO HIGH HIGH SOCIALIZATION
SOCIALIZATION & & HIGH
TOO LITTLE INDIVIDUALIZATION
INDIVIDUALIZATION CREATIVE
CONFORMITY INDIVIDUALISM
TOO LITTLE TOO LITTLE
SOCIALIZATION & SOCIALIZATION &
TOO LITTLE TOO HIGH
INDIVIDUALIZATION INDIVIDUALIZATION
ISOLATION REBELLION
Models of Organizational Behaviour

AUTOCRATIC CUSTODIAL

SUPPORTIVE COLLEGIAL
Models of Organizational Behaviour

Power: orientation
AUTOCRATIC CUSTODIAL
of authority
 Employee
orientation: obedience
& dependence on boss
Employee need met:
subsistence
SUPPORTIVE COLLEGIAL
Performance result:
minimal
Models of Organizational Behaviour

AUTHOCRATIC CUSTODIAL

Economic resources: orientation on

money
 Employee orientation: security,
SUPPORTIVE COLLEGIAL
benefits & dependence on org’n
Employee need met: security
 Performance result: passive
cooperation
Models of Organizational Behaviour
Leadership: orientation of support
 Employee orientation: job
performance & participation
AUTHOCRATIC CUSTODIAL
 Employees need met: status &
recognition
Performance result: awakened drives

SUPPORTIVE COLLEGIAL
Models of Organizational Behaviour

Partnership:
orientation of
AUTHOCRATIC
teamwork CUSTODIAL
 Employee
orientation: responsible
behaviour & self-
discipline
Employee need met:
SUPPORTIVE
self-actualization COLLEGIAL
 Performance result:
moderate enthusiasm
 Models of Organizational Behavior

• Although there are four separate

models, almost no organization
operates exclusively in one. There
will usually be a predominate one,
with one or more areas over-
lapping in the other models.
“It is widely expected that when
people take pride in the organization
they work for, they perform better
and will more readily put themselves
out to help achieve corporate goals.”
- Peter Drucker
 References
• Clark, D. R., Leadership & Organizational Behavior
(http://www.nwlink.com/~donclark/leader/leadob.html)