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Sunanda K. Chavan
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Uploading MBA Notes on Organisational Behaviour - October 15th, 2011

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O.B. is the study and understanding of individual and group behaviour, patterns of structure in order to help improve organizational performance and effectiveness.ational Behaviour
1. Psychology : The science or study of individual human behaviour 2. Sociology : The study of group human behaviour 3. Social Psychology : Studies influences of people on one another 4. Anthropology : Study of the human race, and culture 5. Political Science : Behaviour of individuals in political environment.

Models of Organisational Behaviour
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1. The Autocra tic Model 2. The Custodial Model 3. The Supportive Model 4. The Collegial Model. Challenges of OB
1. Responding to Globalisation
i) Increased foreign assignments
ii) Working with People from different cultures iii) Coping with antica pitalism backlash. iv) Overseeing movement of jobs to countries with low- cost labour v) Managing people during the war on terror 2. Managing workforce Diversity
i. Embracing diversity ii. Changing demographics 3. Improving quality and productivity 4. Improving customer service 5. Stimulating innovation and changes 6. Working in networked organisations 7. Creating a positive work environment 8. Improving ethical behaviour

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Unit – 2

Personality – types-factors influencing personality-theories- lea rning-types of learners – the learning process- learning theories- organisational behaviour modification. Attitudes – c haracteristics - components - for mation- measurement. Perceptions - importance - factors influencing perception - interpersonal perception. Motivation- importance- types – effects on work behaviour. Emotions - emotional labour - emotional intelligence - theories.
- Personality describer the whole person & Attitude determiner the personality. - It may be defined as a tendency to feel and behave in a particular way towards object, people
or events. - Attitude is a state of mind of an individual towards something. - It remains unchanged for a long period of time unless he is influenced by External forces. - Attitude is evaluative statements that can be either favourable or unfavourable. Ex: if person does not like a certain aspect way of job he is said to have a Negative attitude towards the assignment. - Feelings and beliefs held by an Individual. - Way in which an individual organize his perceptions & cognitions attaches to a particular thing.
Three components - ABC Model.
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Affect, Behaviour, and Cognition AFFECTIVE - response is an emotional response that expresses an individual s degree of prefer ence for an entity. - For an exa mple: from heart, I love my job. - A component is the person s emotions or feelings about object of that attitude. BEHAVIOURAL – intention is a verbal indication or typical behavioural tendency of an individual. (Intention to act I am going to get to work early with a smile on my face) COGNITIVE response is a cognitive evaluation of the entity that constitutes an individual s beliefs about the object. (From brain- my job is interesting). “C” component include the beliefs, opinions and information the person has about the object of the attitude.
Sources of Attitudes:
- Attitudes are gained from parents, teachers & members of the peers group. Heredity also determines his personality & attitudes. - The child begins his schooling & Interacts with people; his attitudes are influenced by people whom he admires, respects or fears. - Individuals are more willing to modify their behaviour & shape their attitude to correct with the behaviour of people whom they look up to. - Companies commit with popular personalities. Such as leading actors, cricket players, such endorsement helps develop a positive attitude towards their products among the public. - It can be changed by various means, 1 by pervading new Information by involving people in problem solving. - Ex: Organisation helps to understand the competitive threats the org facing & makes them realiz e the needs for change & organ development - Both positive & negative Types of Attitudes: - Individual may have a member of attitude regarding different aspects of life. But field of OB
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focus only on the study of job-rela ted attitudes. - Focus on 3 Attitudes.

Job satisfaction Job involvement Organizational commitment.
Job satisfaction:-
Important widely study of attitudes. Refers to an individual s general attitude towards his or her job. As the positive emotional state that results when an individual evaluates his job or job
experience. 3 dimensions of job satisfaction. Job satisfaction is an emotional response to a job. This response can be inferred. Job Satisfaction is that an Individual driven from his job depends on the extent to which outcomes meet his expectations. Job satisfaction reflects others attitude of employees. – high satisfaction Ex: Salary power compare to his friends - Moderate - Low level of satisfaction

Determinate of job satisfaction: According to P.C.Smith, there are 6 job dimensions that represent the most important characteristics of a job. The work itself: Jobs include interesting tasks & provide opportunities to the employees to learn & to shoulder responsibilities bring more satisfaction.
Pay: If the compensation he receives for the work he does is comparable to that of others in similar jobs in the organise employee have a positive Attitude. Promotion opportunities:
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Level of satisfaction will higher in a job that provides him on opportunity to move up in the organisational hierarchy than in a job.
Supervision: Employee whose supervision offers him tec hnica l help & behavioura l support in times of need will experience more satisfaction in his job.
Co-wor kers: Employee will experience a higher level of job satisfaction when his follow workers are cooperative & able to offer him technical Assistance.
Working conditions: Good working conditions ha ve a positive impact on job satisfaction.

Outcomes of job satisfaction:
- Find out the impact of employee job satisfaction on organisational effectiveness. Want to know whether job dissatisfaction would lead to decline in employee output & consequently organisational performance.

- The outcomes of job satisfaction by studying the relationship b/w job satisfaction & various other organizational aspects such as productivity turnover absents etc. These relationships are.
Satisfaction & productivity:- - Assume positive relationship b/w satisfaction & performance. But there is no strong relationship b/w this factor. - These are other mediating variable like rewards, incentives that leads to increase in productivity. - Suggest, satisfaction may not bring about considerable improvement in individual performance. It does result in an overall improvement in organisational performance. Satisfaction & turnover:- - Moderate relationship b/w high job satisfaction will not eliminate
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employee turnover. But will reduce the rate of turnover. - Dissatisfied employee encourage switching organisation at the slightest opportunities for better prospects in other organisations. The satisfied employees will consider several aspects before leaving the orga nisation. Job tenure [no. Of yrs an employee s has worked in a job in an organisation] another factor that impact on turnover.

- Economic dooming even satisfied employee also ma y leave
their organisation seek better prospects. Satisfaction & Absenteeism: [inverse relationship] A high level of J.S. leads to low absenteeism; & vice versa. - Other variables such as the extent to which people consider their jobs important have an impact on absenteeism. The employee who felt that their jobs were important took less more than other types.
Other effects of jobs satisfaction : - Employees who are highly satisfied with their jobs have low stress level have less on the job accidents [mistakes] & fewer grievances. - They also showed enthusiasm in lea rning job related tasks. Satisfied employees are help fellow employees customers & other people in society by undertaking socia l activities.
Job involvement:- New concept in field of ob refers to the extent to which a person identifies himself psychologically with his job actively participates in it, & considers that his performance in the job contributes to his self-worth.

Employees who are highly involved with their jobs strongly identify themselves with the kind of work they do & strive to deliver quality work. Work hard to levels of job involvement lead to lower absenteeism & employee turnover levels.
Organisational commitment:- - Refers to an employee s satisfaction with a particular
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organisation & its goals. Who are highly committed is a strong supporter of the values & goals of the organisation and he want to strive hard to achieve the goals of the organisation.

- Org. Commitment of an employee is affected by a numbers of personal & organisational variables.

Personal variables include: Employees age
No. Of yrs he is working. Attitude towards his job

Organisation variables include: Job design & the leadership style of a superior. Sometimes non-organisation factors influence org. commitments such as the job market & the opportunities for career options available to the employee. 3 components model for understand multidimensional nature of org. Commitment. Affective commitment:- - Concerned with employees emotional attachment & involvement with the organisation.
Continuance commitment:- Influence by the costs that could accuse to the employee if he lea ves the organisation.
Normative commitment:- Refers to the extent to which an employee feels obligated to continue in the organisation.

Albert Gordon “Personality is the dynamic or ganization within the individual of those psychological system that determines his unique adjustment to his environment.”
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“It is the sum total of ways an individual reacts to and interacts with others.” Personality is measurable - traits Personality Determinants

Personality Traits

The Big Five Model
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Extroversion Agreeableness Conscientiousness Emotional stability Openness to experience

The Big Five Model & OB High relation with job performance Conscientiousness leads to high level of job knowledge
Extroverts are good sales persons.
High on agreeableness makes a person good tea m player. People are good and quick learners if they are high on openness.
1. Type Theories 2. Trait Factor Theory 3. Psychoanalytic Theory 4. Socio-psychological Theory 5. Self Theory Personality Attributes influencing OB 1. Locus of Control Internals Vs Externals Absenteeism Turnover
Job satisfaction Job performance
Locus of Control – one s perception as to where is his locus of control. The concept was developed originally Julian Rotter in the 1950s. Do you believe that your destiny is controlled by yourself or by external forces (such as fate, god, or powerful others)? Internals – they control what happens to them
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Externals – controlled by outside forces (lady luck to chance, fate) Research has found the following trends: Males tend to be more internal than females

As people get older they tend to become more internal People higher up in organizational structures tend to be more internal However, it s important to warn people viewing notion that internal is good and external is bad (two legs well, four legs bad?). Ther e are important complexities to be considered. For example: Internals can be psychologically unhealthy and unstable. An internal orientation usually needs to be matched by competence, self-efficacy and opportunity so that the person is able to successfully experience the sense of persona l control and responsibility. Overly internal people who lack competence, efficacy and opportunity can become neurotic, anxious and depressed. In other words, internals need to have a realistic sense of their circle of influence in order to experience 'success'. Externals can lead easy-going, relaxed, happy lives.

2. Machiavellianism High Machs Pragmatic, manipulative Emotional distance, persuade others Believes in ends can justify means, win more Do high Machs make good employees?
Type of job Bargaining Less rules and regulations
3. Self Esteem High on Self Esteem • Expectations for success • Possess ability for success • Willing to take risks • Do not seek approval from others on their capabilities • High on Job Satisfaction
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4. Self Monitor ing High on SE • Expectations for success • Possess ability for success • Willing to take risks • Do not seek approval from others on their capabilities • High on Job Satisfaction 5. Risk Taking Person ability / willingness to take risk • Decision making quick • Specific to jobs (stocks) (accounts) A & B Types of Personality Type „A
Always moving, walking & eating fast Feel impatient Strive to do two or more things at once Cannot cope with leisure time Obsessed with number; how many, how much they have achieved
Type „B
Never suffer from a sense of time urgency Feel no need to display/discuss their achievements unless required Play for fun /relaxation Can relax without guilt
Type „A
Suffer high level of stress Quantity over quality Time pressure/deadlines Rarely creative Poor decision makers Behavior is easier to predict
Type „B
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Difficult to predict behavior Good decision makers Quality of work No compromise on health Wiser than hasty Creative / innovative solutions to same problem
Emotions play a very crucial role in the formation of behavior patterns. You are angry Or pleased.Work place or everyday life, we are driven by emotions. Emotions in OB are influenced by two factors Myth of rationality Mostly emotions are viewed as negative
Affect – Emotions – Mood!!
Affect – range of feelings which encompass emotions & moods. Moods – feelings which are less intense than emotion and is not directed towards anything. Emotions – intense feelings that are directed towards someone or something.
Reactions Object specific Emotions can turn into moods
Emotional labor An OB concept every employee puts in their Physical labor Mental labor
Emotional labor – employee displays desired
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(organizational) emotions. Almost all jobs require high emotional labor (customer dealing, sales, doctors, pilots service jobs, cricketer etc)
Felt emotions
Actual feelings In-born Natural response Displayed emotions
emotion exhibited desired, organizational requirements. learned
How do you fall victim to office politics is mostly a difference between felt & displayed emotions?

Emotions are never neutral. Being neutral is being emotionless

Emotions dimensions Variety
Dozens of emotions Positive & negative Six universal emotions (continuum)
Emotions are happiness, surprise, fear, sadness, anger, disgust. A variety of emotions are displayed at work place Intensity
Some people hardly express emotions Some people are always ecstatic Job requirement also determines the intensity Emotions displayed by services jobs vs lawyers, sports, etc
Frequency & duration How often and for how long a emotion is exhibited/exist Some jobs demand show of an emotion more frequently and also for a longer period of time political leaders/workers and HR personnel
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Humans cannot be emotion-free Can hide the emotions where situation requires
Alexithymia (lack of emotions) A disease where person can not express emotions at all Uncomfortable for others as well as self Appropriate for jobs where working in isolation is required Gender & Emotions Men Vs women
Women a re more emotional They react with emotions very easily They also understand/read emotions of others
Three factors count: 1. Women a re socially brought up like that. Men are required to hide their emotions 2. Women have inborn ability to read & understand others emotions. 3. Need for social approval is higher for women Emotional constraints
Organizational Influences
Though no. list of emotions is there for organizations Some organizations laid out display of certain emotions. Expression of negative emotions is discouraged
Cultural Influences
Understand the cultural value for emotions Different cultures read one emotion differently
OB applications An understanding of emotions can help us predicting a number of processes in a n organizations:
Ability and selection Person who can read own a nd others emotions has found to be
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a good performer.This is called EI (emotional intelligence). EI enables us to cope with stress and pressures.EI is a factor in selection of employees
Emotional Intelligence
EI is composed of five dimensions

Self-awareness (what you re feeling) Self-management (manage the feelings) Self-motivation (go on with -ve emotions) Empathy (feel how others are feeling) Socia l skills (handle emotions of others)
Decision making
Emotionally charged people make poor decisions, lose patience to analyze the pros & cons People experiencing positive emotions are good decision makers. Problem solving skills are sharpened
People with high motivation are emotionally committed to their work/project. Involvement with the job generates positive emotions Discouragement leads to low motivation level, henc e negative emotions can be displayed
Leader rely a lot on expression of feelings by themselves They also read and understand others emotions to be a better leader. Leaders make people follow them by making them emotionally charged .Emotionally charged people accept change readily

Interpersonal conflict
When conflict is there emotions are surfacing. When resolving conflict, a manager is supposed to keep an eye on emotional content of it.

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Deviant workplace behaviors
Actions which violate norms a nd threaten members or organizations, such actions are called employee deviance.These action scan be violent or non-violent; envy, jealousy, back stabbing, etc.

Theories of Motivation

Meaning of Motivation: Motivation is one’s willingness to push up efforts to accomplish some specific goals. Definition: Motivation is a process that starts with a physiological or psychological deficiency or need that activates behaviour or a drive that is aimed at a goal or incentive. Theories of Motivation: 1) Abraham Maslow s “Need Hierarchy Theory” : One of the most widely mentioned theories of motivation is the hierarchy of needs theor y put forth by psychologist Abraham Maslow. Maslow saw human needs in the form of a hierarchy, ascending from the lowest to the highest, and he concluded that when one set of needs is satisfied, this kind of need ceases to be a motivator. As per his theory this needs are :
(i) Physiological needs : These are important needs for sustaining the human life. Food, water, warmth, shelter, sleep, medicine and education are the basic physiological needs which fall in the primary list of need satisfaction. Maslow was of an opinion that until these needs were satisfied to a degree to maintain life, no other motivating factors can work.
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(ii) Security or Safety needs : These are the needs to be free of physical danger and of the fear of losing a job, property, food or shelter. It also includes protection against any emotional harm.
(iii) Social needs : Since people are social beings, they need to belong and be accepted by others. People try to satisfy their need for affection, acceptance and friendship. (iv) Esteem needs : According to Maslow, once people begin to satisfy their need to belong, they tend to want to be held in esteem both by themselves and by others. This kind of need produces such satisfaction as power, prestige status a nd self-confidence. It includes both internal esteem factors like self-respect, autonomy and achievements and external esteem factors such as states, recognition and attention. (v) Need for self-actualization : Maslow regards this as the highest need in his hierarchy. It is the drive to become what one is capable of becoming, it includes growth, achieving one s potential and self-fulfillment. It is to maximize one’s potential and to accomplish something

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2) “Theory X and Theory Y” of Douglas McGregor : McGregor, in his book “The Human side of Enterprise” states that people inside the organization can be managed in two ways. The first is basically negative, which falls under the category X and the other is basically positive, which fa lls under the category Y. After viewing the way in which the manager dealt with employees, McGregor concluded that a manager s view of the nature of human beings is based on a certain grouping of assumptions and that he or she tends to mold his or her behavior towards subordinates according to these assumptions. Under the assumptions of theory X :
Employees inherently do not like work and whenever possible, will attempt to avoid it. Because employees dislike work, they have to be forced, coerced or threatened with punishment to achieve goals. Employees avoid responsibilities and do not work fill formal directions are issued. Most workers place a greater importance on security over all other factors and display little ambition.
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In contrast under the assumptions of theory Y :
Physical and mental effort a t work is as natural as rest or play. People do exercise self-control and self-direction and if they are committed to those goals. Average human beings are willing to take responsibility and exercise imagination, ingenuity and creativity in solving the problems of the organization. That the way the things are organized, the average human being brainpower is only partly used.
On analysis of the assumptions it can be detected that theory X assumes that lower-order needs dominate individuals and theory Y assumes that higher-order needs dominate individuals. An organization that is run on Theory X lines tends to be authoritarian in nature, the word “authoritarian” suggests such ideas as the “power to enforce obedience” and the “right to command.” In contrast Theory Y organizations can be described as “participative”, where the aims of the organization and of the individuals in it are integrated; individuals can achieve their own goals best by directing their efforts towards the success of the organization. However, this theory ha s been criticized widely for generalization of work and human behavior. 3) Frederick Herzberg s motivation-hygiene theory : Frederick has tried to modify Maslow s need Hierarchy theory. His theory is also known as two-factor theory or Hygiene theory. He stated that there are certain satisfiers and dissatisfiers for employees at work. In-trinsic factors are related to job satisfaction, while extrinsic factors are associated with dissatisfaction. H e states that presence of certain factors in
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the organization is natural and the presence of the same does not lead to motivation. However, their non presence leads to demotivation. In similar manner there are certain factors, the absenc e of which causes no dissatisfaction, but their presence has motivational impact.

Examples of Hygiene factors are : Security, status, relationship with subordinates, personal life, salary, work conditions, relationship with supervisor and company policy and administration. Examples of Motivational factors are :
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Growth prospectus job adva ncement, responsibility, challenges, recognition and achievements. 4) Contributions of Elton Mayo : The work of Elton Mayo is famously known as “Hawthorne Experiments.” He conducted behavioral experiments at the Hawthorne Works of the American Western Electric Company in Chicago. He made some illumination experiments, introduced breaks in between the work performance and also introduced refreshments during the pause s. On the basis of this he drew the conclusions that motivation was a very complex subject. It was not only about pay, work condition and morale but also included psychological and social factors. Although this research has been criticized from many angles, the central conclusions drawn were : The need for recognition and a sense of belonging are very
important. Attitudes towards work are strongly influenced by the group.
5) Vroom s Valence x Expectancy theory : The most widely accepted explanations of motivation has been propounded by Victor Vroom. His theory is commonly known as expectancy theory. The theory argues that the strength of a tendency to act in a specific way depends on the strength of an expectation that the act will be followed by a given outcome and on the attractiveness of that outcome to the individual to make this simple, expectancy theory says that an employee can be motivated to perform better when their is a belief that the better performance will lead to good performance appraisal and that this shall result into realization of personal goal in form of some reward. Therefore an employee is : Motivation = Valence x Expectancy. The theory focuses on three things :

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Efforts and performance relationship Performance and reward relationship Rewards and personal goal relationship

6) The Porter and Lawler Model : Lyma n W. Porter and Edward E. Lawler developed a more complete version of motivation depending upon expectancy theor y.
7) Clayton Alderfer s ERG Theory : Alderfer has tried to rebuild the hierarchy of needs of Ma slow into another model named ERG i.e. Existence – Relatedness – Growth. According to him there a re 3 groups of core needs as mentioned above. The existence group is concerned ma inly with providing basic material existence. The second group is the individuals need to maintain interpersonal relationship with other
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members in the group. The final group is the intrinsic desire to grow and develop personally. The major conclusions of this theory are : 1. In an individual, more than one need ma y be opera tive at the same time. 2. If a higher need goes unsatisfied than the desire to satisfy a lower need intensifies. 3. It also contains the frustration-regression dimension.

8) McClelland s Theory of Needs : David McClella nd ha s developed a theory on three types of motivating needs : 1. Need for Power 2. Need for Affiliation 3. Need for Achievement Basically people for high need for power are inclined towa rds influence and control. They like to be at the center and are good orators. They are demanding in nature, forceful in manners and ambitious in life. They can be motivated to perform if they are given key positions or power positions. In the second category are the people who are social in nature. They try to affiliate themselves with individuals and groups. They are driven by love and faith. They like to build a friendly environment around themselves. Social recognition and affiliation with others provides them motivation. People in the third area are driven by the challenge of success and the fear of fa ilure. Their need for achievement is moderate and they set for themselves moderately difficult tasks. They are analytical in nature and take calculated risks. Such people are motivated to perform when they see atleast some chances of
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McClelland observed that with the advancement in hierarchy the need for power and achievement increased rather than Affiliation. He also observed that people who were at the top, later ceased to be motivated by this
drives. 9 ) Equity Theory : As per the equity theory of J. Stacey Ada ms, people a re motivated by their beliefs about the reward structure as being fair or unfair, relative to the inputs. People have a tendency to use subjective judgment to balance the outcomes and inputs in the rela tionship for comparisons between different individuals. Accordingly :

Actual performance in a job is primarily determined by the effort spent. But it is also affected by the person s ability to do the job and also by individual s perception of what the required task is. So performance is the responsible factor that leads to intrinsic as well as extrinsic rewards. These rewards, along with the equity of individual leads to satisfaction. Hence, satisfaction of the individual depends upon the fairness of the reward.

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If people feel that they are not equally rewarded they either reduce the quantity or quality of work or migrate to some other organization. However, if people perceive that they are rewarded higher, they may be motivated to work harder. 10) Reinforcement Theory : B.F. Skinner, who propounded the reinforcement theory, holds that by designing the environment properly, individuals can be motivated. Instead of considering internal factors like impressions, feelings, attitudes and other cognitive behavior, individuals are directed by what happens in the environment external to them. Skinner states that work environment should be made suitable to the individuals and that punishments actually leads to frustration and de-motivation. Hence, the only way to motivate is to keep on making positive changes in the external environment of the organization. 11) Goal Setting Theory of Edwin Locke :

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Instead of giving vague tasks to people, specific and pronounced objectives, help in achieving them faster. As the clearity is high, a goa l orientation also avoids any misunderstandings in the work of the employees. The goal setting theory states that when the goals to be achieved are set at a higher standard than in that case employees are motivated to perform better and put in maximum effort. It revolves around the concept of “ Self -efficacy” i.e. individual’s belief that he or she is capable of performing a hard task. 12) Cognitive Evaluation Theory : As per these theory a shift from external rewards to internal rewards results into motivation. It believes that even after the stoppage of external stimulus, internal stimulus survives. It relates to the pay structure in the organization. Instead of treating external factors like pay, incentives, promotion etc and internal factors like interests, drives, responsibility etc, separately, they should be treated as contemporary to each other. The cognition is to be such that even when external motivators are not there the internal motivation continues. However, practically extrinsic rewards are given much more weightage.

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Unit- 3.

Organisational structure- formation – groups in organisations – influence- group dynamics- emergence of informal leaders and working norms-group decision making techniques- interpersonal relations- communication- control.
GROUP DYNAMICS are the interactions and forces among group members in social situation.

Types of Groups
Formal - hierarchical.These groups are formed by the organizations to carry out specific tasks.
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Informal -interest groups or cliques-horizontal, vertical or random. These are the groups formed by employees themselves.
Virtual Groups - facilitated through I. T. (a) Information Sharing (b) Decision Making (c ) Solving Complex Problems Psychological Group – we feeling, sensitivity, affinity, understanding of individual strengths and personalities, sense of belonging and loyalty

Other types of Groups

1. (a)Interacting- assembly-line (b) Co-acting- work independently (c ) Counter-acting- union/ management 2. (a)Open-Matrix (b) Closed- Fixed Roles 3. (a)Membership- belongs (b)Referent-Would like to belong 4. (a)In and Out groups- Gang Wars, rivalry, competition,politics

Stages of Small Group Development


Group Structure:

1) Formal leadership 2) Roles 3) Norms
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4) Status 5) Size 6) Composition

Differences between Work Groups and Teams

Work Group: A group interacts primarily to share information and to make decision to help each group member per form within his or her area of responsibility.
Work Team: A group whose individual efforts result in perfor mance that is greater than the sum of the individual inputs.
Difference between Groups and Teams.

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Characteristics of Effective Work Teams 1. Commitment and inspiring goals 2. Role Clarity 3. Self- disclosure (incl.confronta tion) 4. Openness to feedback 5. Competence 6. Creativity with constructive confrontation 7. Collaboration /Support/Trust 8. Congruence between individual a nd group goals 9. Supportive leadership 10. Management of power Team Functioning 1. a)Cohesion- amongst team members 2. b)Confrontation-solving problems 3. c)Collaboration-working together
Team Empower ment 1. a)Clarity of Roles 2. b)Autonomy 3. c)Resources provn. 4. d)Accountable-goals TEAM EFFECTIVENESS MODEL Context Work Design -Adequate resources -Autonomy
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-Leadership and structure -Skill variety -Climate of trust -Task identity -Performa nce evaluation & -Task significance Reward systems

TEAM EFFECTIVENESS Composition Process -Abilities of members -Common purpose -Personality -Specific goals -Allocating roles -Team efficacy -Diversity -Conflict levels -Size of teams -Social loafing -Member flexibility

Organisational structure Defined “as fra mework of tasks reporting & authority relationships within which as organisation functions”. Robbins – an organisational structure defines how job tasks are formally divided grouped & co-ordinated. Classical organisation theory Bureaucratic model: - Formulated max weber. Characteristics of ideal org. structure:- Work specialization & division of labours:- Duties & responsible of a ll employee should be defined clearly. Area in which expected to perform duties & responsibilities should be clarified to avoid confusion.
Division of labour:-
Gives slope for employee to obtain expect in particular skill. Productivity & efficiencySame task gives boredom stress in employees. Divide people blue collar & white collar & gap b/w them both in org & society.
Abstract rules:- Defined rulers & regulation. Coming to office on time meeting project deadlines.

Impersonality of managers:- Manager should take rational decisions & judgement based purely on facts.
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Hierarchy:- Each member in the orga nisation is accountable for his actions in his superior. Modification of bureaucratic centralization decentralization.
Tall structure, flat structure, departmentalisation, centralisation. Decentralisation.

Work specialization: -Division of labour. The degree to which tasks in an orga nization are subdivided into separate jobs. Departmentalization:- Basis by which jobs in an organization are grouped together engineering, accounting personnel. By product:- Varity of product under a single manager By function ( HR, Marketing) By geography (North, West, South, East) By process (alloys, Hot rolling, Cold rolling, casting pressing etc. By customers (Corporate customer, Individual, overseas customers) Chain of command:- Unbroken line of authority that extends from top to lowest level & clarifies who reports to
Unity of command:- Should have only one superior to who he or she is directly responsible. Span of control:- The number of subordinates a manager can efficiently & effectively direct
Unit IV

Communication:- The transfer & understanding of meaning - Robbins. The process f meaningful interaction among people in an organisation. It is the process by which meanings are presented & understandings are reached among human beings. Process of passing information and understanding from of person to another. Process of importing ideas & making oneself understood by others. Function of communication:- 1) Control 2) Motivation 3) Emotional Expression
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4) Information Control:- Communication acts to control member s beha viour in several ways. Formal control: to ma in hierarchy among are job related to any grievant to their immediate
boss follow their job description.
Motivation:- What is to be done? How well they are doing what can be done to improve performance. Towards goals, effect of feedback.
Emotional Expression:- Group fundamental sourc e is social interaction. Communication provides a release for the emotional expression of feelings for fulfilment of social needs.
Information:- Trans mission of information. Communication performance relates to its role in facilitating decision making. It provides information that individuals & group need to make decision by transmitting the data to identify & evaluate alterative choices.

Communication Process:-

Steps between sources and receiver that result in transfer and understanding of meaning. Formal channel establish by organisation to transmit message to professional activities. Informal channel individual choice Directions of Communication:
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Downward Flow of authority, Maintenance of hierarchy, Reasoning, Memo Upward Feedback, report submission, request, permission Lateral Communication a mong sa me work group
Oral communication
Speech. Formal one – to- one and group discussion. Advantage: Best way to get informa tion from and to employees. Disadvantage: If a one way communication, when it reach to destination, very different from its original. Written communication: All memos, letters, fax, ema ils, text messages, magazines, notices and reports. These all are used as a record of communication and evidence, reference. It should be clear. Disadvantage 1. Time consuming, 2. Language barriers, 3. No feedback. Non- verbal Body la nguage and sign boards are called non-verbal communication. Advantage Quick feedback Disadvantage Cultural difference, no universal meaning for body language. Organisational communication
1. Chain 2. Wheel
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3. Network
Criteria Chain wheel Networ k Speed Moderate Fast Fast Accuracy High High Moderate Emergence leader Moderate High None Member satisfaction Moderate Low High

Grapevine It is an informal way of communication. Electronic Communication E-mail, text message, network software (Orkut, face book), web blogs, Tele/ video conference.

It is a process of monitoring activities to ensure they are being accomplished as planned and of correcting any significance deviation. Process of control Measure present performance. Monitoring and evaluation Compareeffect of measurement range of variation. Goal Vs Performance. Managerial actions correct a ctual performance. Revise standard one. *******************
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Unit - IV
Meaning- importance- leadership styles- theories- leaders Vs managers- sources of power- power centres- power and politics. Leadership

Definition: “as the ability to influence a group toward the ac hievement of a vision or set of goals”. Sources of this influence may be formal based on the managerial rank in an organisation. Leadership role simply because of position he/she hold in organisation. Not all leaders are mana gers, all managers are leaders. Organisation needs strong leadership and strong management for optimal effectiveness. Leader is a personal and active interest in achieve goals.

Traits of effective leaders. - Cognitive and psychological factors like intelligence ambition and aggressiveness are the traits commonly found in leaders. - Others believe physical characteristics like height (more than average), weight large body structure and personal attractiveness are important. - Leaders traits Initiative, desire to lead, integrity, self confidence, analytical ability, and knowledge of the specific company industry and technology. - Factors are supplemented with traits such as charisma. Power to inspire / enthuse in other people creative and flexibility.
Traits theories Behavioural theories I) Ohio Theory II) Leadership Grid.

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Contingency approach Situationa l theory Lea dership – Member Exchange theory Path- Goal Theory
TRAIT THEORIES OF LEADERSHIP - Theories that consider personal qualities and characteristics that differ entiate deader from non-leaders. - Big Five Model- it support to trait theory. For example. Ambition energy, sociable, dominate, heredity,
appearance, personality, experience BEHAVIOURAL THEORIES - Theories proposing that specific behaviours differentiate leaders from leaders from non-leader.

Leader s behaviour is described by employees. Initiating structure Consideration
It is 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. Assign group members to particular tasks, expected workers to maintain definite STD of performance and emphasizes the meeting of deadlines.
Giving importance to human relationship in another way the leader has an empathetic (see others problem in their point of view) attitude. Friendly with followers.
University of Michigan Studies. Employee Oriented
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Production Oriented
It emphasis interpersonal relationship they look a personal interest in the need of their employee and accepted individual difference among members.

It emphasizes the technical on task aspects of the job, main concern to accomplishing their group s tasks and the group members.

Concern for People / Production HIGH (1, 9) (9, 9) Participate, Country Club Team Mgt

Concer n for People (5, 5)
Organisation man Mgt

Authority, obedience
LOW (1, 1) Impoverished Mgt (9, 1) LOW HIGH
Concern for production

Author - Fiedler
The theory that effective groups depends on a proper match between a Leader’s styles of interacting with subordinate s situation gives control and influence to the leader. Leadership style:
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To measure whether the person is task or performance oriented. SITUATION: Match leader with situation ther e are 3 contingency dimensions. Lea der-Member Relations Task Structure
Position power
It is the degree of confidence, trust and respect members have in their leader. Leader is accepted by his subordinates. For Ex PAYROLL Manager. Respected and employees have confident with boss / superior

It is the degree to which the job assignments are procedurised (structure or unstructured).degree of ta sk on hand. For example. Tasks for payroll manager are wage computation, check writing, and report filing.
It is the degree of influence a leader has power variables such as hiring, firing, discipline, promotions and salary increases. He is in position to decide the rewards and incentives for his followers.
Leadership that states that stress unfavourably affect a situation and that intelligence and experience can reduce the influence of stress on the leader. Due to the stress, leadership style affect by situation.

PATH – GOAL Theory:
It states that it is the leader s job to assist followers in attaining their goals and to provide the necessary direction and / or support to ensure that their goals are compatible with the overall objectives of the group or organisation. Clarify the path to help their followers get from where they are to the
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achievement of their work goals and make the journey along the path easier by
reducing road blocks.
It is that supports leaders creation of in-groups and out –groups; subordinates with in-group status will have higher performa nce ratings, less turnover and greater job satisfaction, because of time pressure , leaders establish special relationship with small group of their followers. Individual s makeup in-groups. They are trusted, get disproportionate amount of the leader s attention more likely to receive special privileges.

TRANSACTIONAL LEADERS Leaders who guide or motivate their followers in the direction of established goals by clarifying role and taks requirement. Ohio, Fiedler, Path-Goal theory are transactional leadership type.
TRANSFORMATIONAL LEADERS : A leader who inspire followers to transcend their own self-interest and who are capable of having a profound and extraordinary affect on followers is called transformational leaders.

• A capacity tha t “A” has to influence the behaviour of “B” so that B acts in accordance with A s Wishes. Dependency: “B”s relationship to “A” when „A possesses something that B requires. Bases of Power: 1. Formal power 2. Infor mal Power
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• Based on individual s position in a n organization. It can come from formal authority.
Coercive Power Base that is dependent on fear. E.g. „A can dismiss, suspend Reward Power Compliance achieved based on the ability to distribute rewards that others view as valuable. E.g. Promotion bonuses, pay rates raises. Formal Power


The power a person receive as a result of his/her position in the formal hierarchy of an organization. It represent the formal authority to control and use organisational resources. E.g. Production Manager can control the wastage for the material from the production Personal Power Power comes from an individual s unique characteristics.
EX PERT POWER Influence based on special skills and knowledge. E.g. Accountants, Economists
REFERENT POWER Influence based on possession by an individual of desirable resources or personal traits. E.g. Brand Ambassador. They have a power to influence your choice of chocolates and credit cards. Sachin

Personal sources of power. Expert and reference power are positively related to employees satisfaction with supervision, their organisation commitment and their performance, where an reward and legitimate power seem to be unrelated to these outcome
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THE KEY OF POWER-DEPENDENCY FACTOR • IMPORTANCE To create dependency, the things you control must be perceived as important.

• SCARCITY Opposite-abundance. This not create power / dependency. When things come scarcity it create dependency and power. • NON-SUBSTITUTABILITY. When particular resource have no proper substitute then that person control tha t resource will have power over those who require that resource.

POWER Positive Negative 1. Positive motivation primitive in nature 2. Socia l power lose- win situation 3. Loyalty &commitments negative consequence
Motivation is outcome, when individual tries to bring about parity between the cost he incurs and the reward he gets. 1. Person possess expert /reference power that position determine and control profit and loss of an another person 2. Expert power- compliance with expert s wishes lead to positive outcomes 3. Legitimate power- incurs profit by confirming to accepted std and procedures. Non compliance with legitimate power Lead to a loss in form of punishment or non-acceptance by colleagues.
POWER STRUCTURE • High ranking persons have more power. • Power relationship may be direct or indirect

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POWER PROCESS- ELEMENTS Dependency Balancing Power relationship Reaction to imbalance Power ploys Note: Dependency we already discussed earlier. Nature of power in organization: Some individuals always seek power to influence benefits in favors for him. Some give more important and some not give important to get power. Individual Difference too.
POWER BALANCE If Degree of dependency is equal to degree of power exercise. Dependency = power exercise. If the above is not equal that is called power imbalance. Dependency =power exercise.

Unit-5 .

Organisational climate- factors affecting organisational climate- importance . Job satisfa ction- determinants- measurements- influence on behaviour. Organisational change-importance-stability Vs change- proactive Vs reaction cha nge- the change process- resistance to change- managing change. Stress –work stress-prevention and management of stress- balancing work and life. Organisational development – characteristics- objectives- team building. Organisational effectiveness.

CULTURE : “A system of shared meaning held by members that distinguishes the
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organisation from other organisations”. (Set of values and key characteristics) .Organisational culture is the set of assumptions, beliefs, values, norms that are shared by an organisation s members. Organisational Assumptions, values, norms which are known as abstract elements of the culture. Externally oriented characteristics like products, dresses, buildings etch, are called material Element.
A set of attributes specific to an organisation that may be inducing from the way the organisation deals with its members. It is current situation in an organisation and linkage among individuals, work groups and work performance.
CHARACTERISTICS Innovation Degree to which employees are encouraged to be innovative and task risk.
Attention to details Degree to which employee are expected to exhibit to precision analysis and attention to detail.
Outcome orientation: Degree to which management focuses on results/ outcomes rather than on the techniques and processes used to achieve those outcomes
People orientation : The Degree to which ma nagement decisions take into consideration the effect of outcomes on people within the organisation.
Team Orientation: The degree to which work activities are organised around tea ms rather than individuals.
Aggressiveness: The Degree to which peoples are aggressive and competitive rather than
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Stability: The degrees to which organisational activities are emphasize maintaining the status quo in contrast to growth. Based on these characteristics, organisation culture should be identified


Based on anthropology and sociology Study of climate base on psychology. Culture is a mea ns through which members learn Climate does not deal with values and norms it is and communicate what is accepted and concerned with the current atmosphere in the unaccepted in an organisation on the light of its organization values and norms .Culture is more difficult to change in short period Climate is subject to manipulation by managerial of time actions even in short-term.
CULTURE IS A DESCRIPTIVE TERM Organisational culture is concerned with how employees perceive the characteristics of organisation. It is a descriptive term, it is important because differentiate the concept of job satisfaction. Job satisfaction seeks to measure of affective response to work environment. It concern with how employees feel about the organisation’s expectation, rewards, policies and etc...
DOES ORGANISATION HAVE NIFORM CULTURE? Many organisation have dominant culture and many number of sub culture.
DOMINANT CULTURE: It expresses the core values that are shared by a majority of the organisation s members. Macro view of culture tha t gives an organisation its distinct personality.
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SUB-CULTURE This is mini culture within an organisation, typically defined by department designations and geographical separation. It includes core values of dominant culture plus additional values unique to members or the concerned department.
STRONG Vs WEAK CULTURE Strong culture impact on employee behaviour and or more directly related to r educed turnover. Primary and dominant values that are accepted throughout the organisation. It influence on the behaviour of its members because the high degree of sharedness and intensity creates an internal climate of high behavioural control. Builds cohesiveness loyalty and commitment less opportunity to leave organisation.
CULTURE Vs FORMALIZATION Cultures increase behavioural consistency. Strong culture can act a s a substitute for formalization. Formalization refers to the degree to which the organisations are standardized. Both are two different roads but common designation Strong organisational culture less management need to concern rate on rules and
regulations to guide employee s behaviours
ORGANISATIONAL CULTURE Vs NATIONAL CULTURE: National culture is greater impact on employees than organisational culture .National culture strongly shaped this company s organisational culture.
ORGANISATION: Boundary defining roles: it relates distinction between one organisations from another. Represent a sense of identity for organisation culture: culture facilitate the generation of commitment of something larger than one s self-interest. It enhance the stability of social system: culture is the social glue that helps the organisation together by providing appropriate stds for what employees should say and do. Serve as sense-making and control mechanism that guides and shapes attitude and behaviour of employees. For example: Disney theme park- attractive, clean wholesome looking with smile face. Image of
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Disney Strong culture support by formal rules and regulations that Disney theme park employees will act in uniform and predictable way.

CULTURE AS A LIABILITY: Culture should match with environment. In many organisations with strong culture practice that led to previous success can lead to failure when those practices no longer match up well with environment needs .consistency of behaviour is an asset to an organisation.

CREATING AND SUSTAINING CULTURE: Origin of a culture: Organisation current customs traditional and formal way of doing things. Characteristics of founder: personality aggressive, competitive, highly discipline traits, personality, values, attitudes, past work experience, good bad experience from his own life, family culture and customs, learning s from varies personalities and situations.
HOW TO KEEP A CULTURE ACTIVE? OR PROCESS OF CREATION OF ORGANISATIONAL CULTURE Establishing Creating Operationalising Socialisation of values vision values and vision employees

Establishing Values: Define values- value is define as what is right and what is wrong what is desirable and what is undesirable and so on. It depends upon the founders and other key personnel s values. Bajaj auto limited is an example. He is Gandhi ideology. More opportunity in business he selected trading in auto parts. Expect liquor and mill cloth. Values also determine how organisational activities will be ca rried out.
CREATING VISION: Vision represents imagination of future event and prepares the organisation for the same. Visionary companies hold distinct set of values. Vision derived from values. A good vision helps several ways to organisationa l member It inspir es and exhilarates them. It helps in the creation of a common identity
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and a shared sense of purpose. It creates competitiveness originality uniqueness. It fosters risk-taking and experimentation. It fosters long term thinking.
Operational sing values & vision:- These are not put into action. For putting values & vision in action, the organisation can unfertile full activities. Organisation prepares a written statement containing its value & vision & communicates these two organisation members land books. Take care should be takes while selecting an employees, that their values match organisational values. Reward system put enough provisions in the reward system.
Socialization of employees:- It means process that a dopts employees to the organisa tion cultures. For that 5 month training programme where they learn way of doing everything. From how to speak to superiors to proper grooming & dress. Company considered it is entered for transforming young employee s fresh out of school into dedicated corporate warriors.
Socialization process:- Pre-Arrival:- Before join the organisation he understands what is organisation from kerning friend & family. At the recruitment stage most of the org give job previews which help the prospective employees to learn more about the job & the organisation.
Encounter:- Expectation true with realities he adopt org culture quickly. Expectation & realities is different Expectation abt the person her boss, co-workers. The new employee must undergo socialization tha t will detach him from her previous assumptions & replace them with another set that org deems desirable. A new member become totally disillusioned with the actualities (disappointed) of her job. Proper selection should significantly reduce the probability of latter encounter or occurrence.

Metamorphosis stage:- New employee adjusts to his/her work groups values & norm
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Methods of socialization with organisation

How employees learn culture. Stories, rituals, material symbols, language.
Stories:- Learning org norms & values through stories include circulation of informal & oral narration of events about the organisation.
Rituals:- Rituals repetitive sequence of a ctivities that express & re-in force the key values of the organisation. What goal is most important who is important?

Corporation rituals. May – Kay cosmetics annual award meeting. Miss American pageants wear. This show act as a motivator by publicly recognising outstanding sales performance. In convey to sales persons that reaching their quote is important & that through hard work & encouragement they too can achieve success.

Material symbols:- Various materials symbols used by org convey specific means high status people can be distribution the bases of various facilities provided to him equality.
Language:- Many organisations & units within organisation use language as a way to identify members of a culture or sub culture by learning these language members at least to their acceptance of the culture & in so doing help to preserve it. It acts as common denominator that unties members of an organisational culture.

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Changing the org culture:-
Predict the current culture set unique goals. Recruit personnel with previous experience so that they are able to interact well. Make changes from top to bottom so that consistent message is delivered Include employees in this process of change when making changes in rules & policies. Stay the course of being persistent.

Job Satisfaction - Mental feeling of favourable. Which an individual has abt his job.

Determinants of job satisfaction. Individual factors, nature of job, situational variables.
Individual factors:- Level of Education: Highly educated person have very big expectations from their jobs, which rema in unsatisfied. Age: Starting stage is org high job satisfa ction gradually reduced.
Other factor: If individual not satisfied with family & social life. He may not satisfy with org also.
Nature of job:- Occupation level:- High level job provide more satisfaction carry prestige status.
Job content:- Refers to intrinsic value of the job which depends on the requirement of skills for performing it & the degree of responsibility & growth it offers. Routine repetitive job provides lesser satisfaction. Job satisfaction in job rotation, enlargement, enrichment.

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Situational variables:- Working condition:- Condition of work place & associated facilities for performing the job.

Type of supervision:- Employee oriented supervision Production – oriented supervision.
Equitable rewards:- Job performances rewards determine reward is based on job performance reward based on consideration.

Opportunity for promotion:- If the present job offers opportunity of promotion in future, it provides more satisfaction.
Work group:- Either created formally or they develop on their own to seek emotional satisfaction at work place. Such groups are cohesive, degree satisfaction is high.

Effect of job satisfaction:- Productivity, absentees, turnover, organisation citizenship behaviour, customer satisfaction, work place.
How to improve satisfaction:-

Improve level of job satisfaction. Inform go job redesigning to make the job more interesting & challenging. Improving quality of work-life. Linking rewards with performance. Improving overall organisation climate.

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DEFINITION OF STRESS: “Stress is an adaptive response, mediated by individual characteristics and/or psychological processes, that is consequence of any external action, situation, or event that places special physical and /or psychological demands upon a person”. DEFINITION JOB STRESS: “Job stress is a condition arising from the interaction of people and their jobs and characterised by changes within people that force them to deviate from their normal functioning”. CHALLENGE STRESSORS: It associated with work load, pressure to complete taks and time urgency.

HINDRANCE STRESSORS: Its keep you from reaching your goals (office politics, confusion, over job responsibilities) Stress is associated with demand and resources. Demands are responsibilities, pressure, obligations and uncertainty. Resources – things within an individual s control that can be used to resolve demands.

ENVIRONMENTAL FACTORS There are three main uncertainties. That is economic uncertainty, political uncertainty, technology changes.
Economic Uncertainty Changes in business cycle create economic uncertainty that people become anxious about job security.
Political uncertainty Political threats and changes.
Technology changes New innovation can make employees skills and experience become obsolesce in very short time period.
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ORGANISATIONAL FACTORS Task demands It related to person s job include design of the individual job (task variety, degree of automation) working conditions. Physical work layout. For example cover crowded, room visible location, noise, interruption, increase anxiety, and stress.
Role demand Role conflict, role over load, unclear role.
Interpersonal demand Lack of social support from peer groups. Poor interpersonal relationship creates stress. PERSONAL FACTORS Family Personal relationship, marital difficulties, breaking off of a relationship, discipline troubles with children.
Economic - financial problem in family and organisation make feel stress.
Personality – type A and introversion personality person are easy undergoing stress.

Individual Differences: Perception – laying of job security Experience - Voluntary retirement service, family commitments make stress. Social support - lack of mutual understanding and relationship are ca uses of stress. Personality - type A and introversion emotional people are highly feels stress.

CONSEQUENCE OF STRESS: PHYSIOLOGICAL SYMPTOMS: Heart diseases, breathing rates, high BP, headache, heart attack.
PSYCHOLOGICAL SYMPTOMS: tension, anxiety, irritability, boredom.
BEHAVIOURAL SYMPTOMS: changes in productivity, absenteeism, turnover,
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eating habit, high smoking and drinking, rapid speech, sleep disorders. Manage Stress 1. Individual Approach 2. Organisational Approach
Individual Approach: Take personal responsibility for reduce stress level Strategies include Time Management, Techniques –Physical exercise, relaxation training, expands social supports and network.
TIME MANAGEMENT- Scheduling activities according to priorities. Knowing daily cycle and handling most demand part it increases part of cycle. Be alert and productive. Making daily list of activity accomplished Prioritizing activities, importance, and urgency.
PHYSICAL EXERCISE: Cycling, swimming, jogging, riding bicycle.

Do meditation daily 15-20 minutes. Deep relaxation it keep your mind relax and also physically relaxed.


Keep good relationship with family members, peers group, neighbourhood.
ORGANISATIONAL APPROACH Task and role demand can be controlled by management and it can be modify and change in organisation
Recruitment and personnel sections: Organisation doesn’t give importance to experience candidate. Some candidates
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will be external locus of control.

Goal setting: Get feedback from employees it will motivate to employees. Redesigning job Make less dependence, more responsibility to employees, more meaningful work. It reduces employee stress related to managerial control and power.

ORGANISATIONAL CHANGES (Making things different).
Change refers to alternation in the total work environment. People should adopt themselves to the changing situations. i.e. the change towards the growing trend.

Factors: Internal changes (changes in ma nagerial personal) External changes. (defic iency in existing organisation)
- Stimulates changes in organisation.
Work Force The educational level of work force seems to be cause for organizational cha nges. Human resource policy and practices must be changed as to concentrate in an effective work force. Organisation spends a lot of money in development skills of the employees. Technology: It is changing jobs and organisation speed /fast technology change.
Economic Shocks: Boom, recession these two factors influence financial decision, investment decisions, dividend decision, capital structure. Competition:
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It is changing capable of new product development rapidly and getting them to market quickly. Social trend We used post cards to communicate to some people but now we communicate through internet chat room and mobiles. Baby boomers – future generation adjust organisation product and marketing strategy to be sensitive to changing social trends. Chain Effect of Change: Change touches a sequence of related and supporting changes. It is known as Domino Effect. For example: organisation is not able to face competition in the market because of old techniques of production and competitors. New technique only alternative is to onlchange. If Organisation acquiring new technology change job content, it completely the recruitment new employee or training given to existing employee. Environment constrain – job structure change, internal relationship change Reactive and Proactive changes: Reactive change is undertaken when it is pressed by some factors. Either internal or external to the organisation most of organisation believe in traditional pattern of working often go for reactive changes. Organisation introduces certain methods or systems when they are forced for that. For example: population control devices they did when they are forced by government. Proactive change is brought out of the likely behaviour of the forces having impact on the organisation. Organisation known as prospectors which constantly interact with their environment to identify new opportunity and threats. Regularly basis changes in order to avoid developing inertia of inflexible. Planned Changes - Planned changes are change activities that are intentional and goal oriented. - Planned change aims to prepare the total organisation or a major portion of it to adapt to significant changes in the organisation s goals and direction

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- Implementation of a structural innovation a new policy or goal or a change in operating philosophy climate or style.
First order change: said to be continuous that ther e will be no fundamental shift in the assumptions regarding the improvement to be made in the functioning of the orga nisation.(moderate changes/ adjustments. It can easily reversible) Second order change/ fundamental / quantum. It is sa id to be a discontinuous one that the a ssumptions are to be reframed by the organisation.(completely different nature from old state )
RESISTANCE to CHANGE: Whenever an idea is proposed, i. e to make some changes in the organisation, there will be resistance to a dapt those changes. When there is resistance, then the merits and demerits of that idea will be discussed and it is good for organisation. The resistance may fall under 4 types. They are Overt (explicit ) Implicit (covert) Immediate Deferred Explicit a nd immediate resistance that occurs after implementation of a certain changes initiative is rather easier to ma nage than implicit or deferred resistance. Implicit and deferred are more complicated. When resistanc e is not open, the management does not even have inkling of the resistance of its actions by employees.

CAUSES OF RESISTANCE TO CHANGE: Individual resistance Organisational resistance
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INDIVIDUAL RESISTANCE It is related to human characteristics. They are Habit. The habits developed by an individual are difficult to change. Security. Individual resist change if this likely to decrease their income or sources of earning. Economic factors. People tend to resist change that threatens their safety and security. Fear of the unknown. People fear the unknown and uncertainty associated with it and hence resists change. Selective information processing. Individuals process information selectively to make it compatible with their perceptions. ORGANISATIONAL RESISTANCE:
Limited focus of change. Group inertia Threat to expertise Threat to established power relationship Threat to established resource allocations. HOW TO OVERCOME RESISTANCE TO CHANGE? Education and communication. Employees should be educated on the logic of changes by explaining the full facts and all doubts must be cleared in order to reduce the resistance. Participation. It becomes difficult for the individuals to resist a change decision in which they take active participation. Facilitation and support. Change agents can offer a range of supportive efforts like counselling, training, paid leave, etc. Use of group force. Group can exert more pressure on attitude, values and behaviour. By identifying strong cohesive groups and ma king them involve a nd participate in the decision making process, the resistance is reduced. Leadership for change. A strong leader /manager can use personal reasons for change without resistance. He brings a climate for
psychological support from the subordinates. Negotiation. A few powerful individual can be offered a specific reward package and negotiated. Manipulation. Twisting information, creation of false rumours, with-holding undesirable information are some of the tactics of manipulation
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to decrease the intensity of resistance to change. Coercion. This is the application of force or direct threats of transfers, loss of promotions, negative performance evaluation. Here the change agents credibility will be zero.

APPROACHES: LEWIN s Three steps Model:

Unfreezing: Employees are educated about external and internal factors that make change important. Movement of changes: Employees convinced on pr epared for change, the actual cha nge proc ess begins doing a way of practices and adopting new methods. Job duties are redefined. Refreezing: It is an implemented stage. Reforming changes so that organisation does not revert to old state of things. New skills are adopted with the help of training and management ask to demonstrate new skills like Role

OD is a unique organisational improvement strategy. Objective - is to improve performance of individuals and groups in organisations. It deals with “people problem” such as poor mora le, low productivity, poor quality, interpersonal conflict, intergroup conflict, poor team performance, poor customer relations, poor designed task etc.
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Dreaming From discover stage, used to speculate on possible future for the organisation Design: Based on dream, participants focus on finding a common vision of how the organisation will look and agree on its unique qualities. Destiny Participants discuss how the organisation is going to fulfill its dream. It includes the writing of action plans and development of implementation strategies. *******************
“Effectiveness may be defined as the degree of which an organisation realises its goals” OE also called as organisational success or growth. Efficiency, productivity, profitability, organisational growth to denote organisational effectiveness. Barnard defined Organisational effectiveness as it is degree to which operative goals have been attained. While the concept of efficienc y represents the cost/benefit rate incurred in the pursuit of these goals. Effectiveness related to goals and is externally focussed. Efficiency refers to relationship between input and output. There are 3 situations in organisation Organisation may be efficient, may not be effective.(efficient- low cost producing. Not effective- fails to follow price strategy) Organisation may be effective, may not be efficient. (effective- earn profit, efficient – not control cost of production) Organisation may be both effective and efficiency. ( Long term survival in market)

APPROCHES TO MEASURE EFFECTIVENESS: There are 2 reasons for measure effectiveness. 1. To know whether organisation is doing things rightly, if not additional efforts require.
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Re: MBA notes on organisational behaviour - November 9th, 2014

Thanks that was really helpful. Please keep uploading such post. Thanks
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Re: Uploading MBA Notes on Organisational Behaviour - June 5th, 2015

Organisational behaviour act as a mirror for the organisation. The way they act is the way they are. i just wanted to tell you that organisational behaviour can be easily recognized by the way they present themselves and how they communicate with their consumers. The moment of truth is when the company meets with client for the first time and there you can see their behaviour.
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Re: Uploading MBA Notes on Organisational Behaviour - April 22nd, 2016

Originally Posted by sunandaC View Post
hey buddies

uploading MBA notes on organisational behaviour

This is not the end here

The forums is filled with

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>> just surf over the forums and you would get many MBA papers and many


if you have Question papers or other similar stuff with you with you do

keep uploading here; as your other buddies here would get benefited


help others to help yourself >>>>>>>>
hey dear,

Please check attachment for Study Notes on Management Concepts & Organisational Behaviour, so please download and check it.
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