Human Behavior in Organization

Module 2

Written exclusively for

CAP COLLEGE

By

IRENE A. PADRON, DBA (Cand.)

University of the East, Manila, Philippines

May 2015

1
 CAP College
Self-Learning Series

for

Human Behavior in Organization

Module 2
Nature, Theories, and Application of Motivation,
Needs, Values, and Models of Organizational Behavior

Copyright ©2015

CAP COLLEGE

126 Amorsolo cor. V.A. Rufino Sts., Makati City

and

IRENE PADRON, DBA Cand.

University of the East, Manila, Philippines

May 2015

All rights reserved

2
 INSTRUCTIONS TO THE STUDENT

At CAP College, you learn through self-instructional modules, otherwise known

as CAPSeLS (short for CAP College Self-Learning Series), such as the one you
are now reading. To gain most out of these materials, it is important that you
observe the following instructions:

• Every subject or course has an average of five modules, each one of

which contains two to five or more lessons. You must satisfy the work
prescribed by each module before you can sit for the final examination
that will determine whether you pass or fail the course.

• Make an effort to do some extra reading. The titles listed under

“Suggested Readings” are neither exclusive nor conclusive. Any
reference book on the subject will do.

• Test your own progress by performing the Self-Progress Check Test at the
end of each lesson. Read the test instructions carefully and understand
them well. Do not look at the answers while taking the test.

• Check your answers with the key at the end of the module. Unless, there
is a specific instruction on how to score your paper, compute it by dividing
the correct answers with the total number of points and multiplying the
quotient by 100. Keep your own scores. If you get 70% or higher, you
pass; otherwise, you have to review the lesson and do the re-test, if any,
before advancing to the next one. Take note that in some cases, these
lesson tests are presented as Activities or Exercises. Do them the same
way.

• After doing the test of the last lesson in each module, perform the Module
Test at the end of the module. Then clip the duly accomplished Module
Test and submit it to: The Dean of Studies, 126 Amorsolo cor. V.A.
RufinoSts., Legaspi Village, 1229 Makati City, Philippines. Or you may
just send your answer sheets to the Module Test by email:
[email protected]. Your paper will be corrected at the College
and you will be informed of the results soon thereafter. Meanwhile, go to
work on the next module, observing the same procedure all over again.

• When you have submitted all the Module Tests of a subject, you may take
the Final Examination for that particular subject. However, you may
choose to finish all the module tests of all subjects before taking the Final
Examinations.

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• Final Examinations are taken in person at CAP College or at designated
Distance Education Learning Centers or Examination Centers. If you are
residing or working abroad, arrangements will be made for you to take the
examinations at the nearest Philippine Embassy, Consulate Office or at a
venue acceptable to both CAP College and you. To arrange for the
schedule of your Final Examination, you have to inform CAP College one
week before your preferred date through any of the following: mail, email,
fax or phone. Subsequently, you will then receive a Final Notice
containing the details on how to go about your examinations.

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 MODULE 2

Nature, Theories, and Application of Motivation,

Needs, Values, and Models of Organizational Behavior

Scope of the Module

This Module consists of two lessons namely:

Lesson 1. Theories of Motivation

Lesson 2. Models of Organizational Behavior

Overview of the Module

This module is designed to provide you with an overview of the nature of

motivation, theories of motivation, and models of organizational behavior. The
theories of motivation and models of organizational behavior are discussed in
this module.

Objectives of the Module

After completion of this module, you should be able to:

 define motivation;
 recognize the nature of motivation;
 distinguish the different theories of motivation;
 determine the models of organizational behavior;
 distinguish the following models of organizational behavior: autocratic,
custodial, supportive, collegial, & system; and
 recognize the importance of the five models of organizational behavior.

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Management 23
Module II
Lesson 1. THEORIES OF MOTIVATION

Lesson Objectives:

After studying this lesson on the nature, theories and application of

motivation, needs and values, you shall be able to:

1. define motivation;
2. recognize nature of motivation; and
3. distinguish the different theories of motivation.

Introduction

According to Martires, C. (2011), motivation is one of the factors that are

critical in accomplishing a set of goals. There are many hindrances that can get
in the way of achieving these. This is why behavior, desires, and emotions must
be in control to succeed.
Furthermore, motivation is a complex phenomenon. Several theories
attempt to explain how motivation works. In management circles, probably the
most popular explanations of motivation are based on the needs of the individual.

Definitions of Motivation

Motivation is the intrinsic inducement that propels an individual to think,

feel and perform in certain ways. It is internalized, and the most important, yet
elusive, determinant of work behavior.
---Martires, C. (2011)

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 Motivation is the desire that fuels a person to do certain things based on
the wants and needs of a person.

(https://www.bookfresh.com/resources/article/what-is-
the-definition-of-motivation, 2009)

Motivation is the force that initiates, guides, and maintains goal-oriented

behaviors.

(http:/psychology.about.com/od/psychologytopics/tp/t
heories-of-motivation.htm, 2015)

Nature of Motivation

Martires, C. (2011) stated that motivation is predicated on needs and

values of an individual that direct behavior toward goals. Figure 2.1 is a simple
motivation-behavior model reflecting this concept.

FIGURE 2.1
MOTIVATION-BEHAVIOR MODEL

(Source: Martires, C., Human Behavior in Organizations, 3rd Edition, 2011)

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 BEHAVIOR GOAL/EFFECT

NEEDS/VALUES MOTIVATION

According to Martires, C. (2011), as reflected in Figure 2.1, the very

simple motivation-behavior model shows that motivation is strongly influenced by
needs and values. Needs are the basic components in our life we cannot do
without. These can be prioritized according to the status and role of the person.
Values are the life’s artifacts that we prize and cherish most. Like needs, they
can also be arranged according to one’s priorities. A need could also be a value
and vice-versa. For example, a worker needs recognition and he values it too.
But not all needs are values and not all values are needs. Thus, while a worker
may need a raise in pay, he may value challenging work more. By the same
token, another worker values friends and pleasures but he needs to work
overtime in order to earn more to build his own house. Motivation is stronger
when it springs from a person’s needs which are consistent with his values. For
instance, the typical Filipino employee would rather go home to the province
during weekends to be with his family than work overtime in the city. For him,
close family ties are a stronger value than material things like money even if he
needed the latter to fight inflation.

Figure 2.1 also suggests that there are certain types of human behavior
which may not have specific goals. In fact, behavior may result in something
other than or in addition to fulfillment. Such a phenomenon is called serendipity.
Behavior may have an “EFFECT” other than that which was intended.

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 In order to understand the worker’s motivation, management should
endeavor to know and understand his underlying need and value system. Mr.
McColough of Xerox Corporation admonished managers that “to command the
right kind of loyalty you have to make the needs of the people essential, not the
needs of the organization. If you can meet the needs of the people, you will
indeed meet the needs of the organization.
THEORIES OF MOTIVATION
There are a number of different views as to what motivates workers. The
most commonly held views or theories are discussed below and have been
developed over the last 100 years or so.
According to Martires, C. (2011), a variety of theories have evolved to
explain the motivational process.
1.) The Economic Man

The so-called “economic man” is a classical role model of human

behavior. It is part of the capitalist economic theory, and one way to
explain how Europe and North America became economically dominant in
the world. The basic assumption is that people always act in ways that
benefit themselves.

Adam Smith, who lived during the 18th century, was a Scottish
philosopher and liberalist. He believed that society would benefit if people
were allowed to pursue their own interests. According to him the market
would work more efficiently due to an automatic competition and little
Government interference. This lack of influence by the Government he
called the “invisible hand”. Today, the Adam Smith Institute in the UK
promotes Smith’s ideas in a modern context to reduce Government
influence and achieve a free market.

“Every individual…generally, indeed, neither intends to promote the

public interest, nor knows how much he is promoting it. By preferring the
support of domestic to that of foreign industry he intends only his own

9
security; and by directing that industry in such a manner as its produce
may be of the greatest value, he intends only his own gain, and he is in
this, as in many other cases, led by an invisible hand to promote an end
which was no part of his intention.” – Adam Smith
(http://laurageography.wordpress.com/2012/08/26/the-theory-of-economic-man/,
2012)

The advantages and disadvantages of the theory of economic man

are as follows:

Theory of Economic Man

Table 2.1
Advantages Disadvantages
1.) Society benefits from 1.) The development gap
automatic competition. increases because weaker
countries fall further behind.
2.) Greater freedom of the 2.) Poverty is less likely to be
individual. reduced without government
help.
3.) Less power is given to the
government.

In addition, Martires, C. (2011) affirmed that the belief which

pervaded the early 1900 during the days of Frederick Taylor, the father of
scientific management, was that man worked to fulfill his economic needs.
With long and hard work comes high pay to take care of his material and
physiological needs. More profits for the organization can be realized by
increasing the productivity of the worker through the application of
scientific methods.

The figure below illustrates this theory.

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 The Theory of Economic Man

Figure 2.2

(Source: http:// www.pehub.com, 2015)

2.) The Social Man

Elton Mayo believed that workers are not just concerned with
money but could be better motivated by having their social needs met
while at work (something that Taylor ignored). He introduced the Human
Relation School of thought, which focused on managers taking more of an
interest in the workers, treating them as people who have worthwhile
opinions and realizing that workers enjoy interacting together. Mayo and
Roethlisberger conducted a series of experiments at the Hawthorne
factory of the Western Electric Company in Chicago. They isolated two
groups of women workers and studied the effect on their productivity
levels of changing factors such as lighting and working conditions. They
expected to see productivity levels decline as lighting or other conditions

11
 became progressively worse. What they actually discovered surprised
them: whatever the change in lighting or working conditions, the
productivity levels of the workers improved or remained the same. From
this, Mayo and Roethlisberger concluded that workers are best motivated
by:
 Better communication between managers and workers (Hawthorne
workers were consulted over the experiments and also had the
opportunity to give feedback);
 Greater manager involvement in employees working lives
(Hawthorne workers responded to the increased level of attention
they were receiving); and
 Working in groups or teams. (Hawthorne workers did not previously
regularly work in teams).
In practice, therefore, businesses should re-organize production to
encourage greater use of team working and introduce personnel
departments to encourage greater manager involvement in looking after
employees’ interests. This theory most closely fits in with a paternalistic
style of management.
Thus, the experiments by Roethlisberger and Mayo at the
Hawthorne plant of the Western Electric Company, Chicago in the 1930’s
showed that man is largely gratified in a social environment. He craves for
affiliation and communion with his fellow workers. It is in and with a group
that he develops himself and performs more. The opinions of fellow
workers, job comfort, enjoyment, long range security are more persuasive
than financial considerations. The work group, it turns out, is a stronger
motivator than expected.

3.) The Complex Man

The theory on the complex nature of man was conceived by

Abraham Maslow who claimed that man’s needs fall into a hierarchy of

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relative pre potency. Maslow put forward a theory that there are five
levels of human needs which employees need to have fulfilled at work. All
of the needs are structured into a hierarchy (see below) and only once a
lower level of need has been fully met, would a worker be motivated by
the opportunity of having the next need up in the hierarchy satisfied. For
example a person who is dying of hunger will be motivated to achieve a
basic wage in order to buy food before worrying about having a secure job
contract or the respect of others. A business should therefore offer
different incentives to workers in order to help them fulfill each need in turn
and progress up the hierarchy (see below). Managers should also
recognize that workers are not all motivated in the same way and do not
all move up the hierarchy at the same pace. They may therefore have to
offer a slightly different set of incentives from worker to worker.
Thus, needs range from the most basic physiological to the most
complex psychological state of self- fulfillment. This hierarchical structure
is illustrated in Figure 2.3. A need ceases to be powerful when it is met
and man strives to satisfy the next step of needs as shown in the model
below.

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 Maslow’s Hierarchy of Needs
Figure 2.3
(Source: http://www.strategosinc.com, 2015)

4.) The Motivated Man

Frederick Herzberg had close links with Maslow and believed in a
two-factor theory of motivation. He argued that there were certain factors
that a business could introduce that would directly motivate employees to
work harder (Motivators). However, there were also factors that would de-
motivate an employee if not present but would not in themselves actually
motivate employees to work harder (Hygiene factors). Motivators are
more concerned with the actual job itself. For instance, how interesting
the work is and how much opportunity it gives for extra responsibility,

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recognition and promotion. Hygiene factors are factors which surround
the job rather than the job itself. For example, a worker will only turn up to
work if a business has provided a reasonable level of pay and safe
working conditions but these factors will not make him work harder at his
job once he is there.
The hygiene factors produce no real growth in the worker’s
motivation and output. But their absence makes him dissatisfied.
Meanwhile, the real satisfying factors act primarily as motivators.
However, their absence only rarely leads to dissatisfaction. His model is
shown in the matrix below.

Furthermore, Herzberg believed that businesses should motivate

employees by adopting a democratic approach to management and by
improving the nature and content of the actual job through certain
methods. Some of the methods managers could use to achieve this are:
 Job enlargement – workers being given a greater variety of
tasks to perform (not necessarily more challenging) which
should make the work more interesting.
 Job enrichment - involves workers being given a wider range of
more complex, interesting and challenging tasks surrounding a
complete unit of work. This should give a greater sense of
achievement.
 Empowerment means delegating more power to employees to
make their own decisions over areas of their working life.

Figure 2.4
HERZBERG’S TWO-FACTOR THEORY OF MOTIVATION
(Source: Martires, C., Human Behavior in Organizations, 3rd Edition, 2011)

Relating to
Environment Relating to

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 Hygiene Factors: Around the job Satisfying Factors: the Job Itself

Policies and administration Achievement

Supervision Recognition for accomplishment
Working conditions Challenging work
Interpersonal relations Increased responsibility
Money Growth and development
Security

5. The Three-Tiered Satisfied Man

Clayton Alderfer postulates a three-tiered model of needs
progressing from Existence to Relatedness and last to Growth (ERG).
To begin his theory, Alderfer collapses Maslow's five levels of needs into
three categories. Existence needs are desires for physiological and
material well‐being. (In terms of Maslow's model, existence needs include
physiological and safety needs). Relatedness needs are desires for
satisfying interpersonal relationships. (In terms of Maslow's model,
relatedness is congruent to social needs). Growth needs are desires for
continued psychological growth and development. (In terms of Maslow's
model, growth needs include esteem and self‐realization needs).

This approach proposes that unsatisfied needs motivate behavior,

and that as lower level needs are satisfied, they become less important.
Higher level needs, though, become more important as they are satisfied,
and if these needs are not met, a person may move down the hierarchy,
which Alderfer calls the frustration-regression principle. What he means by
this term is that an already satisfied lower level need can become
reactivated and influence behavior when a higher level need cannot be
satisfied. As a result, managers should provide opportunities for workers

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 to capitalize on the importance of higher level needs. This theory is
shown in Figure 2.5.

The Three-Tiered Satisfied Man

(ERG Theory vs. Hierarchy of Needs Theory)
Figure 2.5
(Source: http://www.mbaskool.com, 2015)

6. The Achiever

David McClelland's acquired needs theory recognizes that

everyone prioritizes needs differently. He also believes that individuals are

17
not born with these needs, but that they are actually learned through life
experiences. McClelland identifies three specific needs:
a.) Need for achievement is the drive to excel.
b.) Need for power is the desire to cause others to behave in a
way that they would not have behaved otherwise.
c.) Need for affiliation is the desire for friendly, close interpersonal
relationships and conflict avoidance.

McClelland associates each need with a distinct set of work

preferences, and managers can help tailor the environment to meet these
needs. High achievers differentiate themselves from others by their
desires to do things better. These individuals are strongly motivated by job
situations with personal responsibility, feedback, and an intermediate
degree of risk. In addition, high achievers often exhibit the following
behaviors:
 Seek personal responsibility for finding solutions to problems;
 Want rapid feedback on their performances so that they can tell
easily whether they are improving or not; and
 Set moderately challenging goals and perform best when they
perceive their probability of success as 50-50.

An individual with a high need of power is likely to follow a path of

continued promotion over time. Individuals with a high need of power often
demonstrate the following behaviors:
 Enjoy being in charge;
 Want to influence others;
 Prefer to be placed into competitive and status-oriented situations;
and
 Tend to be more concerned with prestige and gaining influence
over others than with effective performance.

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 People with the need for affiliation seek companionship, social
approval, and satisfying interpersonal relationships. People needing
affiliation display the following behaviors:
 Take a special interest in work that provides companionship and
social approval;
 Strive for friendship;
 Prefer cooperative situations rather than competitive ones;
 Desire relationships involving a high degree of mutual
understanding, and
 May not make the best managers because their desire for social
approval and friendship may complicate managerial decision-
making.

Interestingly enough, a high need to achieve does not necessarily

lead to being a good manager, especially in large organizations. People
with high achievement needs are usually interested in how well they do
personally and not in influencing others to do well. On the other hand, the
best managers are high in their needs for power and low in their needs for
affiliation.
This theory is illustrated in Figure 2.6.

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 McClelland's Theory of Needs
Figure 2.6
(Source: http://www.authorstream.com, 2015)

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7.) The Expectant Man
According to Martires, C. (2011), the expectancy theory was first
developed by Vroom in 1964. Since then, some developments have taken
place but the model is based on four assumptions as laid out by Lawler.

1. Individuals have preferences for various outcomes (goals that are

potentially desirable to them.)
2. Individuals have expectancies about the likelihood that an action on
their part will lead to satisfactory performance.
3. People have certain instrumentalities (probabilities) about performance
that will lead to the attainment of desirable outcomes.
4. In any situation, the action a person chooses to take is determined by
the expectancies, instrumentalities and preferences that he has at the
time.
Figure 2.7
AN EXPECTANCY MODEL
(Source: Martires, C., Human Behavior in Organizations, 3rd Edition, 2011)
A version of an expectancy model of Lawler and Porter appears in
diagrammatic form in Figure 2.7.

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 Ability
Perceived
Equitable
Reward

Expectancies Extrinsic
Outcomes

Preferences Motivation Effort Performance Satisfaction

Intrinsic
Instrumentalities Outcomes

At the risk of being simplistic, the following straight-forward

explanation of the model is offered utilizing the above assumptions.
Preferences refer to the worker’s goals which may either be extrinsic or
intrinsic outcomes or both. Expectancies would be influenced by, among
other things, the workers perceived competence to do a job well and the
equitable reward which he considers fair and just. Instrumentalities
consist of effort and ability and would be determined by the worker’s
perception as to whether rewards will be received in relation to the level of
performance. It is the intrinsic outcomes that truly motivate him to put
more effort and make use of his ability towards a certain performance. All
these ingredients with emphasis on his expectancies would affect
satisfaction. The expectancy theory hinges on the concept that “…
motivation is much more about expectations than satisfaction…” A worker
who expects a salary of P12,000 a month considering his abilities, talents

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 and effort, would feel very demotivated if he receives only P10,000.
Although the expectancy theory still needs further testing, refining and
extending, it has been concluded by many behavioral scientists that “… it
represents the most comprehensive, valid and useful approach to
understanding motivation…” It also gives management strong reason for
good screening of work applicants and to discuss with them openly their
abilities, skills, motivations and expectations.

8.) The Managed Man

The manager’s assumptions about people and their consequent
operationalization largely define his style of managing them. Douglas
McGregor argues that “. . . a manager’s effectiveness is a function about
human nature, and that his leadership behavior will be crucially affected
them…” He has labeled two categories of these assumptions: Theory X
and Theory Y. (Martires, C., 2011)
Shown below are the distinctions of McGregor’s Theory X and
Theory Y, together with Ouchi’s Theory Z.

MCGREGOR’S THEORY X AND THEORY Y

Theory X says that most people do not like to work and will
avoid it if they can. Theory X managers believe that they need to force
and threaten people to work. On the other hand, Theory Y says that
people can direct and control themselves, working towards the goals
set by a company.

Ouchi’s Theory Z
Theory Z says that workers, managers and employers can
share control, work as a team to accomplish the company’s goal.

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MCGREGOR’S THEORY X AND THEORY Y
Figure 2.8

(Source: http://www.mixologist84.com, 2015)

24
 MCGREGOR’S THEORY X AND THEORY Y
& OUCHI’S THEORY Z
Figure 2.9

(Source: http://pixshark.com, 2015)

Theory X Theory Y Theory Z

Employees dislike Employees view work Employees like work
work and will try to as a natural part of
avoid it. life.

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 Employees prefer to Employees prefer Employees help
be controlled and limited control and make decisions
directed. direction.
Employees seek Employees will seek Employees take
security, not responsibility under individual
responsibility. proper work responsibility
conditions.
Employees must be Employees perform Employers and
intimidated by better in work managers share
managers to environments that are control
perform. not intimidating.
Employees are Employees expect
motivated by Employees are long term
financial rewards. motivated by many employment, slower
different needs. rates of promotion

Theory X, Y and Z
Table 2.2

(Source: http://www.studymode.com/essays/five-models-of-organization-
behavior-1506220.html, 2013, by Rana Real Boy)

9.) The Learning-Reinforced Man

Martires, C. (2011), affirmed that man learns from his environment
and greater control of this environment improves his development.
Through understanding the principles of learning, one understands much
about how human behavior makes the individual learn and perform
accordingly. Skinner and the other behaviorists deny the idea of instinct
and the importance of motivation.
In this lesson on B.F. Skinner & Company, Sanzotta quotes
Skinner’s position:

“Instinct and drive are fictitious things put inside so that a person
behaves in certain ways… Don’t look for something inside that person. If

26
 food is reinforcing, it’s not because food reduces drive, but because it has
been a very good thing for the species that food has reinforced the
behavior of hungry people.”

The enforcement theory concentrates on observed behavior, using

goals or rewards external to the person to modify and shape behavior by
rewards continues whereas unreinforced behavior ceases. The basic
premise of this theory is that behavior is controlled by its immediate
consequences. This operant conditioning theory has been tried
successfully in modifying behavior. Hence, it is also called behavior
modification theory. It utilizes positive reinforcement upon the occurrence
of a desired response. Behavior follows which makes that response more
likely to reoccur. The individual is exposed to the same reinforcing
stimulus until the same response is repeated and thus develops in him the
habit of responding favorably. Learning takes place through
reinforcement. This theory is demonstrated in Figure 2.10.

27
 Operant Conditioning Theory
Figure 2.10
(Source: http://wikispaces.psu.edu, 2015)

(SEE NO. 3 OF “INSTRUCTIONS TO THE STUDENT”)

Module II

Lesson 1

SELF-PROGRESS CHECK TEST

(Answer the following questions as best as you can from what you have
understood from lesson 1. Be fair with yourself. Make this test a real gauge of
what you know of the course.)

Multiple Choice: Choose the best answer and write the corresponding letter

on the blank space provided before each number.

_____ 1. It is the desire that fuels a person to do certain things based on the
wants and needs of a person.

a. Ability

28
 b. Motivation

c. Performance

d. Values

_____ 2. Elton Mayo believed that workers are not just concerned with
money but could be better motivated by having their social needs met while at
work.
a. The Achiever

b. The Economic Man

c. The Expectant Man

d. The Social Man

_____ 3. This is a classical role model of human behavior. Its basic

assumption is that people always act in ways that benefit themselves.

a. The Complex Man

b. The Economic Man

c. The Motivated Man

d. The Social Man

_____ 4. Frederick Herzberg argued that there were certain factors that a

business could introduce that would directly motivate employees to work

harder---Motivators. However, there were also factors that would de-motivate an

employee if not present but would not in themselves actually motivate employees

to work harder---Hygiene factors.

a. The Economic Man

29
 b. The Managed Man

c. The Motivated Man

d. The Social Man

_____ 5. This theory was conceived by Abraham Maslow who claimed that

man’s needs fall into a hierarchy of relative pre potency. He put forward a theory

that there are five levels of human needs which employees need to have fulfilled

at work. Needs range from the most basic physiological to the most complex

psychological state of self-fulfillment.

a. The Complex Man

b. The Economic Man

c. The Motivated Man

d. The Three-Tiered Satisfied Man

_____ 6. Alderfer collapses Maslow's five levels of needs into three

categories namely Existence, Relatedness, and Growth (ERG).

a. The Achiever

b. The Expectant Man

c. The Learning-Reinforced Man

d. The Three-Tiered Satisfied Man

_____ 7. Individuals have expectancies about the likelihood that an action on

their part will lead to satisfactory performance.
a. The Achiever

b. The Expectant Man

c. The Learning-Reinforced Man

d. The Managed Man

30
_____ 8. The manager’s assumptions about people and their consequent
operationalization largely define his style of managing them.
a. The Achiever

b. The Economic Man

c. The Expectant Man

d. The Managed Man

_____ 9. High achievers differentiate themselves from others by their desires

to do things better. These individuals are strongly motivated by job

situations with personal responsibility, feedback, and an intermediate

degree of risk. In addition, high achievers often

a. The Achiever

b. The Expectant Man

c. The Learning-Reinforced Man

d. The Managed Man

_____ 10. Man learns from his environment and greater control of this

environment improves his development.

a. The Achiever

b. The Expectant Man

c. The Learning-Reinforced Man

d. The Three-Tiered Satisfied Man

(SEE NO. 4 OF “INSTRUCTIONS TO THE STUDENT”)

31
Management 23
Module II
Lesson 2. MODELS OF ORGANIZATIONAL BEHAVIOR

Lesson Objectives:

After studying this lesson on models of organizational behavior, you shall

be able to:
1. determine the models of organizational behavior;
2. distinguish the following models of organizational behavior: autocratic,
custodial, supportive, collegial, and system; and
3. recognize the importance of the five models of organizational
behavior.

Introduction

Models are possible explanations which explain how things work in an

organization. Models are guides to understanding owners and management
behavior in particular. Top managers can and do influence the whole

32
organization. However, these models may be in use within a department or
branch or in the whole organization. No model can explain everything.
Managers choose models based on people, technology, environment and
structure. Models can change over time depending on circumstances.

Five Models of Organizational Behavior

Below are the most common models in use over the last 100 years. They
are in order. Some of the oldest are still practiced.

FIVE MODELS OF ORGANIZATIONAL BEHAVIOR

FIGURE 1.11

(Source: http://www.studymode.com/essays/five-models-of-organization-
behavior-1506220.html, 2013, by Rana Real Boy)

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1.) Autocratic Model
This model came about during the industrial revolution, in the 1800’s and
1900’s. It depends on power. The manager has the power to demand “you
do this or else” – and an employee who does not follow orders is punished.
The manager has formal, official, authority over employees.
This model assumes that employees have to be directed and pushed into
doing the work. In this model, management does the thinking, employees
obey orders and depend on the manager. Employees are tightly controlled.
The manager can hire, fire and “perspire” them. Employees may obey
managers but employees may not respect management. Typically,
employees receive minimum pay for minimum expected performance.
Employees may have lower skills. Often, employees work in the authority
model because they have to provide subsistence for themselves and their
families.
Its weakness is that it leads to “micro management” With micro
management, managers control all details of daily operations. Managers
control time and processes, they put their needs above those of employees,
they insist on complicated approval processes for even the smallest things
and closely monitor all results. The problem with the autocratic model and
micro management is that it leads to low employee morale, poor decision-
making (no one will make a decision because he/ she is afraid of the decision
being over turned) and high turnover. As well, employees kept quiet about
hating the workplace, they certainly made their feelings known at home and in
the community. This model can get things done but it has high human costs.
It can be useful in crisis situations, within armies or with short-term
employees.
The autocratic model was acceptable 100 years ago. However, today’s
understanding of people’s needs as well as changing society values show
better ways of to organize behavior.

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2.) Custodial Model
In the late 1800’s, employers realized that employees might work better if
their basic needs were more satisfied, if they were more secure and had a
better quality of work life. This was called paternalism- taking care of
employees by providing them with benefits to meet their security needs. The
custodial approach depends on economic resources – money for wages and
benefits - to motivate employees. The company has to have enough money
to cover these costs. By the 1930’s most employers were offering welfare
programs…for example, housing, medical care and insurance, fewer working
hours, sick pay, pensions and paid vacation time off.
The problem with the custodial model is that it leads to dependence on
the organization by the employee because of the security offered. Employees
do not want to leave the organization, not so much because they like the job,
but because they like or depend on the benefits that go with it. They cannot
afford to quit.
In this model, employees may focus on economic rewards. They may be
reasonable content, but may not be highly motivated – just passively
cooperative. Companies that adopt the custodial approach normally have a
lower staff turnover. However, employees do not produce their best work and
are not motivated to grow to their full potential. The custodial model is a
good foundation for organizations to grow to the next approach.

3.) Supportive Model

The supportive model came from research done in the 1920’s and 1930’s.
It depends on leadership, not authority or money. Through leadership,
managers provide a work situation in which employees can develop. The
supportive model assumes that employees want to work and will take
responsibility. Employees are encouraged to be involved in the organization.
Employees are more strongly motivated because their status and
recognition needs are better met than with earlier models. The supportive

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 approach is not about money, but about the way people are treated at work.
A supportive manager helps employees solve problems and accomplish their
work. However, some managers may agree with the model but not actually
practice it at work.
This model is followed widely, especially in the West, because it responds
to employee drives for complex needs. It is especially useful in production
work places. Employees in developing countries are aware of management
practices around the world and are demanding more modern approaches.

4.) Collegial Model

This model began about 50 years ago. Collegial means people working
together cooperatively. In this model, management builds a feeling of
partnership with employees. The environment is open and people participate.
The collegial model is about team work. Managers are coaches to help
build better teams. Employees are responsible – they feel obliged to others
on the team to produce quality work. Employees must be self-disciplined.
Many employees feel satisfied that they are making a worthwhile contribution.
This leads to self-actualization and moderate enthusiasm in the way they
perform. The collegial model is especially useful for creative work, like
marketing or communications or in thinking environments, like education or
planning.

5.) System Model

This is the most recent model. In this model, people want more than
money, job security and cooperative teams. Employees today want trust, an
ethical workplace, managers who show care and compassion and a
workplace that has a sense of community.
The system model focuses on “identifying developing and managing the
strengths within employees”. Managers focus on “helping employees develop
feelings of hope, optimism, self confidence, empathy, trustworthiness,
esteem, courage, efficacy and resiliency.”

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 In the system model, “Managers protect and nurture their employees…to
develop a positive workplace culture which leads to organizational success
and committed employees.” Both managers and employees need social
intelligence in this model with managers as facilitators.
In the system model, managers and employees see the mutual benefits
and obligations they share in the complex system (the organization).
Everyone has psychological ownership for the organization, its products and
services. Everyone feels possessive, responsible and “at home” in the
organization. Employees can reach a state of self-motivation. Their highest
order needs are met. They have passion and commitment to organizational
goals, not just their own personal wants and needs.

Autocratic Custodial Supportive Collegial System

Based on Power Economic Leadership Partnership Trust, sharing
resources
Managerial Authority Money Support Teamwork Caring,
Orientation compassion
Employee Obedience Security and Job Responsible Psychological
Orientation benefits performance behavior ownership
Employee Dependence Dependence Participation Self-discipline Self motivation
psychological on boss on
result organization
Employees Subsistence Security Status and Self- Wide range
needs met (survival) recognition actualization
Performance Minimum Passive Awakened Moderate Passion and
result cooperation drives enthusiasm commitment to
organizational
goals

FIVE MODELS OF ORGANIZATIONAL BEHAVIOR

TABLE 2.3

(Source: http://www.studymode.com/essays/five-models-of-organization-
behavior-1506220.html, 2013, by Rana Real Boy)

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 (SEE NO. 3 OF “INSTRUCTIONS TO THE STUDENT”)

Management 23
Module II
Lesson 2

SELF- PROGRESS CHECK TEST

(Answer the following questions as best as you can from what you have
understood from lesson 2. Be fair with yourself. Make this test a real gauge of
what you know of the course.)

Multiple Choice: Choose the best answer and write the corresponding letter

on the blank space provided before each number.

a.) Autocratic c.) Supportive e.) System

b.) Custodial d.) Collegial
_____1. This model came about during the industrial revolution, in the 1800’s
and 1900’s. It depends on power.
_____2. This is the most recent model and focuses on identifying, developing
and managing the strengths within employees.
_____3. This model is especially useful for creative work, like marketing or
communications or in thinking environments, like education or planning.

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_____4. This model assumes that employees want to work and will take
responsibility. Employees are encouraged to be involved in the organization.

_____5. This model depends on economic resources – money for wages and
benefits - to motivate employees.
_____6. Its performance results are passion and commitment to organizational
goals.
_____7. This model is about team work.
_____8. This model is not about money, but about the way people are treated at
work.
_____9. In this model, managers and employees see the mutual benefits and
obligations they share in the complex system---the organization.
_____10. In this model, management builds a feeling of partnership with
employees.

(SEE NO. 4 “INSTRUCTIONS TO THE STUDENT”)

Management 23

Module II

ANSWER KEYS TO THE SELF-PROGRESS CHECK TESTS

Lesson 1

1. b 6. d
2. d 7. b
3. b 8. d
4. c 9. a

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5. a 10. c

Lesson 2

1. a 6. e
2. e 7. d
3. d 8. c
4. c 9. e
5. b 10. d

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