Topic 2

Personality is a dynamic concept describing the growth and development of a person’s

whole psychological system. Personality is defined as how an individual interacts with
others. Managers need to know how to measure personality so that personality tests are
useful in hiring decisions and help managers forecast who is suitable for the job. Personality
can be determined by heredity and environment. Heredity refers to those factors were
determined at conception. The theory of genetics holds that the ultimate explanation of a
person's personality is the molecular structure of genes located on chromosomes.
Environmental factors, such as upbringing, culture, geographic location, and life
experiences, greatly influence our personality. For example, a child raised in a harmonious
environment may have a more positive or calm outlook and disposition.

Openness to experience

Openness to experience places the most emphasis on imagination and insight among the
five personality traits. People high in openness tend to have a huge range of interests and
they are curious about the world and other people, eager to learn new things and enjoy new
experiences. People high in this personality trait also tend to be more adventurous and
creative. Conversely, people low in this personality trait tend to be more traditional and may
have difficulty with abstract thinking.

Conscientiousness

Conscientiousness is defined by high levels of thoughtfulness, good impulse control, and

goal-directed behaviour. People high in conscientiousness tend to be organized and pay
attention to detail. They plan ahead, consider how their actions will affect others, and pay
attention to deadlines. People low in this major personality trait tend to be less structured
and organized. They may delay getting work done, sometimes missing deadlines entirely.

Extraversion

Extraversion is a personality trait characterized by excitability, sociability, and have a great

deal of emotional expression. People high in extraversion are extroverted and tend to gain
energy in social situations. Being around other people can help them feel energized and
excited. People low in this personality trait tend to be more reserved. They expend less
energy in social situations, which can feel exhausting.

Agreeableness

Agreeableness is a personality trait includes attributes such as trust, kindness, affection, and
other prosaically behaviours. People high in agreeableness tend to be more cooperative,
while those low in agreeableness tend to be more competitive and sometimes even
manipulative.
Emotional stability

Emotional stability is a personality trait affects our ability to cope with stress, resist
impulses, and adapt to change. People high in emotional stability tend to be more calm,
composed, and resistant to stress. They are also usually self-confident and are not easily
frustrated by setbacks.

Attitude is our evaluation of a person, an idea, or an object. Typically, attitude are

favourable or unfavourable, positive or negative. They can also be defined as a learned habit
for responding to social stimuli. Attitude form from three components which is affective,
behavioural, and cognitive.

The affective component of attitude relates to a person’s feeling or emotions in their

shaping on attitude to a person or object. For example, If you feel more positive about
someone you are more likely to address them in a positive manner.

The cognitive component relates to our knowledge about someone or a situation that
shapes our attitude. For example, if you know dogs bite is dangerous you would adapt your
attitude to dogs when you see them because of your knowledge of them.

The final component is behavioural. This component relates to our actions toward a person
or situation. For example, if we have a positive behaviour at work and there is a positive
environment we are more likely to behave in a productive manner.
Topic 3
Selective perception
Any characteristic that makes a person, object, or event stand out increases our likelihood
of perceiving it. Because we cannot absorb everything we see, we only can accept certain
stimuli. And cannot observe everything that is going on around us, we engage in selective
perception. Selective perception allows us to "speed read" others.
Halo Effect
The halo effect comes into play when we form a general impression of someone based on a
single characteristic, such as intelligence, social skills, or other. The halo effect is a cognitive
bias whereby an observer's general impression of an individual, company, brand, or product
influences the observer's feelings and thoughts about characteristics or attributes of that
entity.
Contrast effect
Comparisons with other people recently encountered who rank higher or lower on the same
characteristic influence an evaluation of a person's characteristics. For example, a student
who is actively asking a question and another student sit quietly and absorb the teacher’s
information, but the teacher will thinking that the actively student is better than the
another student
Stereotyping
Judging someone based on our perception of the group they belong to. It is a way to
simplify a complex world, and it allows us to maintain consistency. From a perceptual
standpoint, if people expect to see these stereotypes, that's what they will perceive.
Attribution Theory
Attribution theory suggests that when we observe an individual’s behaviours. We attempt to
determine whether it was internally caused or externally caused. Internally caused
behaviours are those an observer believes to be under the personal behavioural control of
the individual. Externally caused behaviour is what we imagine the situation forced the
individual to do.
Topic 4
Maslow hierarchy of need
To better understand what motivates humans, Maslow proposed that human needs can be
organized into a hierarchy. This hierarchy ranges from more concrete needs like food and
water to abstract concepts like self-actualization. According to Maslow, when a lower need
is satisfied, the next level of need in hierarchy becomes the focus of our attention.
Physiological needs, these are the basic needs such as air, water, food, clothing and shelter.
In other words, physiological needs are the needs for basic amenities of life.
Safety needs include physical, environmental and emotional safety and protection. For
example Job security, financial security, family security, health security and etc.
Social needs include the need for love, affection, care, belongingness, and friendship.
Esteem needs can be defined in two types which is internal esteem needs such as self-
respect, confidence, achievement and other, external esteem needs such as recognition,
power, status, attention and other.
Self-Actualization includes the desire to be someone you are capable or could be. It includes
the need for growth and self-fulfilment. It also includes a desire for more knowledge,
creativity and other. Self-actualization can never be fully satisfied. As individuals grow
psychologically, opportunities to continue growing emerge.

Job characteristic Model

Job characteristic model state that these characteristics affect motivation, satisfaction, and
performance outcomes. The model also included intervention variables of meaning,
responsibility, and knowledge of outcomes. Much evidence supports the job characteristic
model concept that the presence of a set of job characteristic, which is skill variety, task
identity, task significant, autonomy and feedback.
Skill variety occurs when the individual engages in a wide range of activities that require
different skills. Task identity occurs when the employees completes a whole segment of
work from start to end. Task significant occurs when the job has real meaning through
making an impact on people.
Autonomy occurs when employees have freedom and discretion in deciding how to carry
out their work. And Feedback is when employees are given clear feedback on their
performance effectiveness.
Equity theory
Focuses on people’s perceptions of the fairness or lack of fairness of their work outcomes in
ratio to their work inputs. A relative outcome to input ratio comparison to oneself or to
another person perceived as similar to oneself. Equity occur when a person perceives that
their outcome or input ratio to be equal to the referent’s ration. When the employees
perceive an inequity, they can be predicted to make one of six choices such as change their
inputs, change their outcome, distort perceptions of self, distort perceptions of other,
choose a different referent, and leave the field.
Goal setting theory
Goal setting theory is an organizational psychology theory. It is also sometimes called the
goal-setting theory of motivation. According to this theory, it is more clear, specific, and
challenging goals are more motivating than simple ones. When employees are more
motivated, they are more successful in achieving their goals. The main purpose of goal-
setting theory is to better understand how the goal-setting process affects the link between
work motivation and performance. Therefore, people and teams can use this understanding
to help employees more successfully achieve their goals.
Topic 5
Legitimate power
Legitimate power is a type of formal power that you receive when you hold a specific
position in an organization. Depending on the position, it gives you power within the
company. It lasts as long as you stay in the role and the power is recognized by
subordinates. For this reason, it works well in hierarchical organizations such as army.
Legitimate power is received by demonstrating that you have the skills required for the
position. Because this power is given and can be taken. Effective leaders rely on more than
legitimate power. Instead, they combine it with others.
Reward power
Reward power means the ability to provide a reward or benefit in exchange for performing
a task or achieving a result. Rewards come in the form of raises, benefits, promotions or
public recognition. However, this power is not always as effective as some leaders believe. It
should be relevant and tangible enough to motivate your employees. It should also be
within your reach, not up to your superiors. This power may help achieve results, but it
doesn't necessarily secure employee support or commitment.
Expert power
Expert power comes from having deep technical knowledge and extensive experience in
your area of expertise. When you are an expert in your field, people from your company will
naturally come to you and benefit from your knowledge. Your expertise brings you
credibility, and people trust and respect your opinion. Expert powers allow you to influence
colleagues at every level of the organization. This enables you to guide the growth and
development of individual colleagues or the company as a whole. However, true experts
know that they must continually develop their knowledge and skills in order to maintain
credibility.
Referent power
Referent power define that the leaders gain reference through qualities that inspire trust
and respect among colleagues. These include honesty and integrity. People with referents
have excellent people skills and exude confidence. This makes them become natural
leaders. They listen to their colleagues and offer help and support. This power is internal,
not external. This is personal power and cannot be entrusted to you by others. As your
reference power grows, so does your ability to influence your colleagues
Coercive power
Coercive power is the most commonly methods used in many workplaces, but it is also the
least effective. In fact, Lipkin advises leaders never to use coercive power. It is involves using
threats to force people to do what you want. They may not agree with what they have to
do, but they do so out of fear of consequences such as losing their job. For example, in
many companies leaders require employees to constantly innovate and come up with new
ideas. Those who are not qualified face being replaced by others. While it may work in the
short term, coercive power can lead to unhappy, disengaged employees and is best avoided.
Topic 6
Organizational culture refers to a system of shared meaning held by members that
distinguishes the organization from other organizations. Organizational culture is the
collection of values, expectations, and practices that guide and inform the actions of all
team members. Think of it as the collection of traits that make your company what it is. A
great culture exemplifies positive traits that lead to improved performance, while a
dysfunctional company culture brings out qualities that can hinder even the most successful
organizations.
Seven primary characteristics
Innovation and risk orientation
Companies with a culture that places a high value on innovation encourage employees to
take risks and innovate in their job performance. Companies with cultures that don't value
innovation want their employees to do their jobs the way they were been trained to do it,
rather than looking for ways to improve performance.

Attention to detail
This characteristic of an organization's culture determines how accurate an employee is at
work. A culture that pays high attention to detail expects its employees to get the job done
with precision. Cultures that underestimate this trait do not.

Outcome orientation
Companies that focus on results rather than how to achieve them place a high value on this
value of organizational culture. Companies that instruct their salespeople to get sales orders
at all costs have cultures that place a high value on outcome characteristics.

People orientation
Companies that place a high value on the characteristic of organizational culture place great
importance on how their decisions will affect the people in the organization. It is very
important for these companies to respect their employees.

Team orientation
Companies that organize work activities around teams rather than individuals place a high
value on this feature of organizational culture. People who work in these types of
companies tend to have positive relationships with their co-workers and managers.
Aggressiveness
This characteristic of organizational culture determines whether group members are
confident or agreeable in dealing with the companies they compete in the market place.
Companies with progressive cultures place a high value on competitiveness and will do
whatever it takes to outdo their competitors.

Stability
Companies that place a high value on a stable culture are rule-oriented, predictable in
nature. These types of companies typically provide consistent and predictable levels of
output and operate best under constant market conditions.

Culture
Culture can be both positive and negative to an organization. The function of culture
includes the role of defining boundaries. It conveys a sense of identity among members. It
helps with commitment. It enhances the stability of the social system. Moreover, culture is a
meaning-forming and controlling mechanism lastly, guides and shapes employee attitudes
and behaviours.
Culture is a liability when shared values are at odds with those that will increase
organizational effectiveness. This is most likely to happen when the environment is dynamic
and changing rapidly, and fixed cultures may no longer apply.
When people try to fit into a strong culture, diverse behaviours and strengths can reduce.
When a strong culture effectively removes the unique advantages that people from
different backgrounds bring to an organization, they can be a downside. They can also be a
disadvantage when strong cultures support institutional biases or become insensitive to
people who are different.
Sustain culture
Cultural creation occurs in three ways. The first is when founders hire employees who feel
the way they do things. The second employee is indoctrinated and socialized into the
founder's mind-set. Third, the behaviour of the founder serves as a role model.
Cultures can be sustained by in selection of employees. The explicit goal of the selection
process is to identify and hire individuals who possess the knowledge, skills and abilities to
successfully perform their assignments. The final decision, as it is largely influenced by the
decision maker's judgment about how the candidate will fit into the organization, identifies
those whose values are largely match with at least a large part of the organization.
Second ways is the actions of top management also have a major impact on the
organization’s culture. Through words and behaviour, senior executives establish norms that
filter through the organization about, for instance, whether risk taking is desirable, how
much freedom managers give employees, and what actions earn pay raises, promotions,
and other rewards.
Topic 7
Stress is defined as a dynamic condition in which an individual is face with an opportunity,
constraint, or demand related to what he or she desires and for which the outcome is
perceived to be both uncertain and important. Stress also can be defined as any type of
change that causes physical, emotional or psychological strain. Stress is your body's
response to anything that requires attention or action. Everyone experiences stress to some
degree. The way you respond to stress, however, makes a big difference to your overall
well-being.

Sources of stress
There are three categories of potential sources which is environment, organizational and
personal.
Environment factors are first. Environment uncertainty influences stress levels among
employees in an organization. Political uncertainties can be stress inducing. Technological
uncertainty can cause stress because new innovations can make an employee’s skills and
experience obsolete in a very short period of time
Next are the organizational factors. Pressure to avoid errors or complete task in a limited
time period, work overload, a demanding and insensitive boss are the few example. Task
demand are factors related to a person’s job such as working conditions, physical work
layout and other. Role demand relate pressures that are a function of the role an individual
play in an organization may have role conflict, role overload and other. Interpersonal
demand are pressures created by other employees which is lack of social support from
colleagues and poor interpersonal relationship can cause stress, especially among
employees with a high social need.
Next are the personality factors, there are factors in the employee’s personal life. Primarily,
these factors are family problem, economic problem and personality. Family problem is the
employee’s family facing any problem that will be influence the employee. Economic
problem created by individuals overextending their financial resources. Personality is the
stress symptoms expressed on the job may actually originate in the person’s personality.

Consequences
The Consequences of Stress first includes Physiological Symptoms. Most early concern with
stress was directed at physiological symptoms because most researchers were specialists in
the health and medical sciences. Their work concluded that stress causes changes in
metabolism, increases heart and breathing rates and blood pressure, and other.
Psychological symptoms caused by stress are simple such as job related stress can cause job
related dissatisfaction. Job dissatisfaction is the simplest and most obvious psychological
effect of stress. And multiple and conflicting demands increase stress and dissatisfaction.
The less control people have over the pace their work, the greater the stress and
dissatisfaction.
Next are behaviours symptoms, research on behaviour and stress has been conducted
across several countries and over time. And the relationship appear relatively consistent.
Behaviours related stress symptoms included reductions in productivity, turnovers, as well
as changes in eating habits and other.
Topic 8
Conflict is a process in which one person or a group perceives that its interests are being
opposed or negatively affected by another party. Conflict management is the diagnostic
processes, interpersonal styles, and negotiation strategies that are designed to avoid
unnecessary conflict and reduce or resolve excessive conflict.

Intrapersonal conflict is within a person. In the workplace, this is often the result of
competing motivations or roles. There have three type of intrapersonal conflict, first is
approach-avoidance conflict that is they are both attracted to and repelled by the same
object. Similarly, a person can be attracted to two equally appealing alternatives, such as
two good job offer which is approach-approach conflict. Or repelled by two equally
unpleasant alternatives, such as the threat of being fired if one fails to identify a co-worker
guilty of breaking company rules that is avoidance-avoidance conflict.

Interpersonal conflict occurs between two or more people in a larger organization. It can
result from different personalities or differing perspective on how accomplish goals.
Interpersonal conflict may even occur without one party realizing there was ever conflict.
And there are 4 type of role conflict, the first is intrasender conflict, is occur when a role
sender requires a role receiver to perform contradictory or inconsistent roles. Second is
intersender conflict is a role receiver experiences this type of conflict if the role behaviour
demanded by one role sender is congruent with the role behaviour demanded by another
role sender. Third is inter-role conflict it may occur when role pressures associated with
membership in one group are incompatible with pressures stemming from membership in
other groups. Person-role conflict is may occur when role requirements are incompatible
with the focal person’s own attitudes, values or views of acceptable behaviour.

Intragroup conflict, this level of conflict occurs between members of a single group when
there are multiple people with varying opinions, background and experiences working
toward a common goal, even though they may all want to achieve the same goal, they may
disagree about how to reach it. Intergroup conflict can also occur when team member have
differences in communication styles and personality.

Intergroup conflict, this level of conflict occurs between different groups within a larger
organization or those who do not have the same overarching goals. The types of groups may
include different department employee, or management in a company or competing
company that supply the same customers. Department may conflict over budget allocations,
management may disagree over work rules, and supplies may conflict with each other on
the quality of parts.
Topic 9
There are a number of organizational structures available to companies. The most basic
structure is the simple structure. This structure has a low degree of departmentalization,
wide spans of control, and centralized decision making with little formalization in job design.
This type of design is very common in small start up businesses. For example in a business
with few employees the owner tend to be the manager and controls all of the functions of
the business.
Standardization is the key concept for all bureaucracies. The bureaucracy is characterized by
six traits. First is a highly routine operating task achieved through specialization. Second is
much formalized rules and regulations, third suggests that task that are grouped into
functional departments. Fourth, there is a strong centralized authority. Fifth is narrow spans
of control, and lastly which is decision making that follows the chain of command. The
advantages of bureaucracy is in its ability to perform standardized activities in a highly
efficient manner. Putting like specialties together in functional departments result in
economies of scale. The weaknesses include that specialization creates conflict, functional
unit goals can override the organization’s goals.
The Matrix Structure is another option, it is used in construction companies, hospitals,
government agencies, universities, and other. It combines two forms of departmentalization
which is functional and product. The strength of functional departmentalization is putting
like specialists together and the pooling and sharing of specialized resources across products
its major disadvantage is the difficulty of coordinating the tasks. Product
departmentalization facilitates coordination. It provides clear responsibility for all activities
related to a product, but with reproduction of activities and costs.
Virtual organization in which management outsources all of the primary functions of the
business. Managers in virtual structures spend most of their time coordinating and
controlling external relations, typically by way of computer-network links. The major
advantage to the virtual organization is its flexibility. The primary drawback is that it reduces
management’s control over key parts of its business. Virtual organizations’ drawbacks have
become increasingly clear as their popularity has grown. They are in a state of perpetual flux
and reorganization, which means roles, goals, and responsibilities are unclear, setting the
stage for political behaviour. And it have highly centralized with little or no
departmentalization, provides maximum flexibility while concentrating on what the
organization does best. And reduce control over key parts of the business.

The mechanistic model it is synonymous with the bureaucracy and has extensive
departmentalization, high formalization, a limited information network mostly downward,
and little participation in decision-making. Cost minimizers seek the efficiency and stability
of the mechanistic structure.
The organic model a lot like the boundaryless organization. It uses cross-hierarchical and
cross-functional teams, low formalization, a comprehensive information network, and high
participation in decision-making. Innovators need the flexibility of the organic structure.
They use a mechanistic structure to maintain tight controls and low costs in their current
activities but create organic subunits in which to pursue new undertakings.