Organizational Behaviour

ORGANISATIONAL BEHAVIOR

Module 1: Nature and Principles of Management

 Evolution of management,
 Indian contributions to Management practices roles and skills of
managers,
 Foundations of OB, OB models, reasons and benefits of studying OB,
Challenges and opportunities of OB,
 OB is an Inter- disciplinary subject.

Meaning of OB

OB is the study and application of knowledge about how people, individual and group act in
organization. It is the study of the way people interact within groups. It follows as system
approach.

Definition: “Organizational behavior is to understand, predicting and controlling human

behavior at work”.

Characteristics of OB

 Integral part of management

 Inter-disciplinary approach
 Humanistic and optimistic approach
 Total system approach
 Science and art
 Normative science
 Directed towards organizational objective

Scope of OB

 Skill development
 Personal growth through insights into human behavior
 Enhancement of organizational and individual effectiveness
 Sharpening and refining of common sense

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Management

Management is the act of getting people together to accomplish desired goals and
objectives using available resources efficiently and effectively. Management comprises
planning, organizing, staffing, leading, coordinating and controlling an organization or effort
for the purpose of accomplishing a goal.

Henri Fayol. “Management is the process of planning, organizing, leading and controlling the
efforts of organization members and of using all other organizational resources to achieve
stated organizational goals”.

Evolution of management

Indian contributions to Management practices

1. Inventing and Reinventing Organization

2. Globalization
3. Building management capability
4. Mergers and Acquisitions
5. Diversity
6. Innovation and Creativity
7. Ethically honest and Socially conscious firm

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Roles of Manager

Skills of Manager

1) Motivating Subordinates
2) Developing peer relationships
3) Establishing information networks
4) Disseminating information
5) Making decisions in conditions of extreme ambiguity
6) Allocation of resources
7) Resolving conflicts
8) Carrying out negotiations

Foundations of OB

1) Organizational Behavior.
2) People:: Individual, Group.
3) Technology:: Machinery, Computer hardware and software.
4) Environment:: Government, Competition, Social pressures.
5) Structure: Jobs, Relationshi
Relationship.
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OB Models

1) Autocratic Model: The manager has the power to command his subordinates to do a
specific job. Management believes that it knows what is best for an organization.
Therefore, employees are required to follow orders.
- Only management decides right or wrong
- Power based
- Formal by nature
- Obedient orientation of employees
- Employees are dependent on boss

2) Custodial Model: This model focuses better on employee satisfaction and security.
Under this model organization satisfy the security and welfare needs of employees.
- Resource based
- Monetary affiliation
- Focuses employee security
- Employee dependence on organization
- Employee focuses on reward and benefits

3) Supportive Model: This model depends on leadership instead of power and money.
Through leadership, management provides a climate to help employees grow and
accomplish in the interest of an organization.
- Based on leadership
- Leaders support employees
- Increases participation
- Strongly motivated employees

4) Collegial Model: The term collegial relates to a body of a person having a common
purpose. It is a team concept. Management is coach that builds a better team. The
management is seen as joint contributor rather than as a boss. The employee response
to the situation is responsibility.
- Based on employee co-operation
- Focuses teamwork
- Employee feel responsible
- Employee feel satisfied

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Reasons of studying OB
OB is an existing field of study, which can help the managers in effective handling of human
resources for the realization of organizational goals.

1) Understanding of self and others:- Individual, Interpersonal, Group.

2) Motivation of human resources
3) Improvement of quality and productivity
4) Effective communication
5) Effective organizational climate
6) Good human relations
7) Introduction of change in the organization

Benefits of studying OB
1) Helps in understanding human behavior
2) Assists in controlling and directing behavior
3) Explains uses of power and sanction
4) Helps in understanding concept of leadership
5) Evaluates communication process
6) Helps in understanding organizational climate
7) Supports in organizational adaptation

Challenges and opportunities of OB

1) Enhancing quality and productivity
2) Working with people of different cultures
3) Improving the skills of people
4) Empowering people
5) Stimulating innovation and change
6) Dealing with globalization
7) Improving ethical behavior
8) Improving customer service

OB is an inter-disciplinary subject
1) Psychology: personality, perception, attitude, learning, motivation, job satisfaction, training,
leadership effectiveness, performance appraisal, employee selection, work design.
2) Medicine: stress, tension, depression.
3) Sociology: group dynamics, communication, leadership, power and politics, conflicts,
organizational structure, formal and informal, organizational culture, organizational change.
4) Social psychology: behavioral change, attitude change, communication, group processes,
group decision making.
5) Anthropology: individual culture, organizational culture, organizational environment.
6) Political science: organizational power, politics, conflicts.
7) Industrial engineering: work measurement, productivity measurement, workflow analysis
and design, labor relations.
8) Economics: government policies, allocation scared resources.

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Module 2: Personality

 Personality
- Shaping of personality,
- Types of personalities,
- Determinants of personality,
- Personality and work perception.

 Perception
- Perception process and managing the perception process,
- Perception influencing decision making ,
- Ethical issues in decision making from an individual and
Organization perspective.

 Learning
- Explicit and implicit knowledge,
- Principles of learning,
- Learning process and theories of learning.

 Organizational reward system.

 Attitudes
- changing and work-related attitudes,
- components and types of attitudes,
- Values and Human dignity.

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Personality
Personality is the total sum of ways in which an individual reacts and interacts with others. It
means how people affect others and how they understand and view themselves, as well as
their pattern of inner and outer measurable traits and the person situation interaction.

Definition: “Personality can be defined as those inner psychological characteristics that

both determine and reflect how a person responds to their environment”.

Nature of personality

 Unique
 Result of both heredity and environment
 Integration of various traits
 Psychophysics system
 Reflects individual difference
 Learned or acquired
 Dynamic process
 Social

Shaping of personality

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Types of personalities

1) Sensing Managers: Sensing managers take in information through their senses and
attend to the details of problems.
2) Intuitive Managers: Intuitive managers like solving new problems. They are
imaginative and social learning.
3) Feeling Managers: Feeling manager heavily emphasize the human aspects in dealing
with organizational problems and is more process oriented.
4) Thinking Managers: thinking managers are logical and analytical in their problem
solving and search for additional information in logical manner.
5) Intuitive thinkers: They are architects of progress and ideas. They are interested in
the principles in which the organization is built and they seek the answers.
6) Intuitive feelers: They have personal commitment to the people they lead. They
communicate their caring and enthusiasm and let the employees in decision making
process.
7) Sensation thinkers: They are decisive and excellent decision makers. They are
precise and they want the organization to run efficiently.
8) Sensation feelers: They deal with concrete problems. They have the power of
observation regarding how an organization is run.

Determinants of personality

1) Biological Factor: The general biological characteristics of human biology influence

the way in which human beings tends to sense external events data interpretation
and respond to them. Heredity, Brain and physical features.
2) Cultural Factor: Cultural is traditionally considered as the major determinants of an
individual personality. It generally determines attitude towards independence,
aggression, competition and co-operation.
3) Family and Social Factor: Development of individual proceeded under the influence
of many socializing forces and agencies from nuclear family to more distant or global
groupings. Environment, family members and social groups.
4) Situational Factor: Situational factors of personality are changing according to the
social situation. Every person faces many situations in their life which enables them
to change their behavior.
5) Physical Environment Factor: it includes land, mountains, hills, forests, plain area,
atmosphere etc., which affects the personality and brings the result of physical
environment of to which an individual belongs.

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Personality and work perception

Personality has key influence on work behavior. Major personality traits that influence the
behavior at work place are as follows:-

1) Self-Monitoring: Control the way they present themselves to others.

2) Self-Esteem: Pride in themselves and their capabilities.
3) Need patterns: To perform challenging tasks and to meet their own personal
standards for excellence.
4) Locus of control: It refers to an individual’s belief that events are either within
control or beyond one’s control.
5) Authoritarianism: It tends to place high moral values on their beliefs and are
strongly oriented towards conformity to rules and regulations.
6) Machiavellianism: It represents the degree to which an individual is pragmatic,
maintains emotional distance and believes that ends can justify means.
7) Introversion and Extroversion: nonsocial and social.
8) Bureaucratic: The depersonalization of relationships.
9) Risk taking: How long it takes to make a decision and how much information require
before making their choice.
10) Type A and Type B: people who are impatient, aggressive and highly competitive are
termed as Type A personality. But those who are easy going, laid back and non
competitive are termed as Type B personality.

Perception
Perception is the ability to see, hear, or become aware of something through the senses.

Perception plays a tremendous important role in organization, it is the process of

interpreting something that we see or hear in our mind and use it later to judge and give a
verdict on a situation, person and group etc. people actions based on their perception.

Perception process

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1) Perception Selection: It refers to the tendency to select certain objects from the
environment for gaining attention such that these objects are consistent with our
existing beliefs, values and needs.
2) Perception Organization: It emphasizes on the subsequent activities that take place
in the perception process after the stimulus is received. Then person perceives
organized patterns, stimuli and identifiable whole object.
3) Perception Interpretation: After the data have been received and organized,
Interpretation is the process by which we represent and understand stimuli that
affect us. Our interpretations are subjective and based on personal factors.

Managing the perception process

 High level of self awareness

 Gathering information from different sources
 Be empathetic
 Influence others perception
 Avoid common perceptual distortions
 Avoid in appropriate attributions
 Use of diversity management programmer
 Know yourself

Perception influencing decision making

1) Awareness that a problem exists

2) Interpretation and evaluation of information
3) Bias in analyses and conclusions

Ethical issues in decision making from an individual and Organization perspective

1) Information overload
2) Not having enough information
3) Misidentifying the problem
4) Overconfidence in the outcome
5) Impulsiveness
6) Opinions and objectivity

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Learning

Learning is the process by which a person constructs knowledge, skills and capabilities.

Nature of learning

 Growth
 Adjustment
 Organizing experience
 Acquisition of knowledge and skills
 A process of conditioning
 Brings change
 Continuous
 Transferable

Implicit and Explicit knowledge

Principles of learning

1) Principle of Association: It is the process by which two cognitions become paired

together, so that thinking about one evokes about the other.
2) Principle of Readiness: It implies a degree of single mindedness and eagerness.
Individuals learn best when they are ready to learn and they do not learn well, if they
see no reason for learning.
3) Principle of Effect: It is based on the emotional reaction of the learner. It states that
learning is strengthened when accompanied by a pleasant or satisfying feeling and
that learning is weakened when associated with an unpleasant feeling.

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4) Principle of Intensity: A learner will learn more from the real thing then from a
substitute.
5) Principle of latest: It states that things most recently learned are best remembered.
Conversely, the further a learner is removed time-wise from a new fact or
understanding, the more difficult it is to remember.
6) Principle of Reinforcement: Positive reinforcement, negative reinforcement,
extinction and punishment.

Theories of learning

1) Classical conditional theory: proposed by Ivan P. Pavlov

- Involuntary change in behavior
- Stimulus = response approach
- Dog and meat experiment
2) Operant conditional theory: proposed by B.F. Skinner
- Voluntary change in behavior
- Change in behavior due to consequences
- Positive behavior = Positive consequences
- Negative behavior = Negative consequences
3) Social learning theory: proposed by Albert Bandura
- Learning from others (role model)
- 4 Stages of learning: Attention > Retention > Replication > Motivation.
- Bobo boll experiment
4) Cognitive learning theory: it involves ideas, concepts, attitudes and facts that
contribute to our ability to reason, problem solving and learn relationships without
direct experience or reinforcement.
- Prior learning
- Behavioral choice
- Perceived consequences
- Feedback

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Organizational reward system

A reward or compensation can be defined as any form of gratification that an employee

gains from their employment with an employer.

Effective reward system encourages good behavior. Reward is desirable outcome that is
obtainable in dependence on behavior. Psychological researchers have attributed two
functions to reward – the first is ‘reinforcement’ for learning new behavior, the second is
‘incentive’ for motivating behavior.

 Effective reward system encourage good behavior

 Motivates employees for better performance

 Encourages healthy competition and collaboration

 Helps to differentiate between good and poor performers

 Stimulates employee involvement

 Strengthens organizational competitiveness

Attitudes
Attitude is a state of mind of an individual towards something. It may be defined as a
tendency to feel and behave in a particular way towards objects, people or events.

Work related attitude

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Changing of attitude

 Give feedback
 Provide positive conditions
 Positive role model
 Providing new information
 Use of fear
 Influence of colleagues
 Co-operating approach
 Group membership
 Rewards

Components and Types of Attitude

1) Cognitive Component :
- It is the opinion or belief segment of an attitude.
- It is the thoughts about an attitude.
- For example: People who are scared of spider, they justify their actions against the
spider, believing it to be dangerous in some way.
2) Affective Component :
- It is the emotional or feeling segment of an attitude.
- For example: A person may say I don't like spider because it is dangerous.
3) Behavioral Component:
- It reflects the intention to behave in certain ways. It is the predispositions to act
towards an attitude.
- For example: If the person scared of spiders sees one, they will react and scream.

Values

Values can be defined as broad preferences concerning appropriate course of action or outcomes.
As such, values reflect a person’s sense of right and wrong or what ought to be.Values are so
embedded that they can be inferred from people’s behavior and their perception, personality and
motivation. They generally influence their behavior. Values are relatively stable and enduring; this is
because of the way in which they are originally learnt.

Definition: “values are global beliefs that guide actions and judgments across a variety of situations”.

Human dignity

Human dignity is the recognition that human beings possess a special value intrinsic to their
humanity and as such are worthy of respect simply because they are human beings.

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Module 3: Motivation Theories

 Motivation across cultures,

 Managerial issues and motivational challenges,
 Motivation in work settings,
 Employee Involvement,
 Organizations are social system Stress management,
 Work stress model,
 Stress and performance Group and team dynamics,
 Group development,
 Group decision making,
 Types of teams,
 Team vs. Groups,
 Team issues and effective teamwork.
 Leadership and management,
 Theories of leadership,
 Leadership styles and their implications,
 Power and politics, ethics of power and politics.

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Motivation

Motivation may be defined as the process of stimulating people to action, to accomplish

desired goals. It involves arousing needs and desires in people to initiate and direct their
behavior in a purposive manner. It is a psychological phenomenon which arises from the
feeling of needs and wants of individuals. It causes goal directed behavior.

Nature of motivation

- Psychological concept
- Continuous process
- Dynamic and situational
- Not easily observed phenomenon
- Goal oriented process
- Influenced by social and cultural norms

Managerial issues and motivational challenges

1. Changing workplace
2. Organizational Re-structuring
3. Changing business system
4. Participation in decision making
5. Slow growth of workforce

Motivation in work setting

1. Rewards
2. Job design
3. Employee involvement programs
4. Management by objective
5. Employee recognition programs

Employee involvement

When employees take part in crucial management meetings it is known as employee

involvement. It is the process of keeping the employees aligned with the organization's
values and work ethics. Involving the employees gives them more autonomy for better
performances.

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Organizations are social system stress management

- Increase individual’s autonomy and control

- Ensure that individuals are compensated property
- Maintain job demand/requirement
nd/requirement at healthy level
- Ensure that associates have adequate skills to keep up
up-to-date
date with technical
changes in the workplace
- Increases associate involvement in important decision making
- Improve physical working condition
- Provides job security and career development
- Provides healthy work schedules
- Improve communication to help to avoid uncertainty and ambiguity

Work stress model

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Group Dynamics

Group dynamics deals with internal nature of groups, how they are formed, what structure
and processes they adopt, how they function and affect individual members, other groups
and the organization.

Group development

Group decision making

Decisions can be taken alone or by a group. When decisions is taken alone by a manager, it
is known as individual decision making and when a group takes a decision, it is called group
decision making.

Group decision making is defined as “the process of making a choice among two or more
alternatives via the interaction of two or more people”.

Nature of group decision making

- Meeting
- Active interaction
- Related to situation
- Joint responsibility
- Common issue
- Conflicting opinions
- Brainstorming

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Team Dynamics

Team dynamics refers to the interaction that occurs among team members under different
conditions.

Team

A team is a co-operative group whose members are in regular contact and interact with
each other towards the accomplishment of specified objectives.

A group of people who are united in working towards a common goal.

- Group of people
- Basic unit of performance
- Represents set of values
- Energized by challenges
- Outperform individuals
- Flexible and responsive to change
- Deep sense of commitment
- Interdependence
- Positive synergy

Types of teams

1) Informal:
- Social in nature
- Leaders may differ from those appointed by the organization
2) Traditional
- Departments/functional areas
- Supervisors/managers appointed by the organization
3) Problem-Solving
- Temporary teams
- Frequently cross-functional
- Focused on a particular project
4) Leadership
- Steering committees
- Advisory councils
5) Self-Directed
- Small teams
- Little or no status differences among team members
- Have authority to decide how to get the work done
6) Virtual
- Geographically spread apart
- Meetings and functions rely on available technology

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Team vs. Group

Team issues

- Clash of ideas
- Ineffective leadership
- Interpersonal conflicts
- May lack individual growth
- Struggle with efficiency
- Interdependent
- Individual skills are random and varied
- Communication breakdown
- Overreliance on meeting
- Lack of trust
- Non co-operative attitude
- Time delays
- Unequal participation
- Lack of competence

Effective teamwork

Teamwork is the ability of people to provide complementary skills, a willingness to share knowledge
and skills and assist other team members to achieve a common goal

Effective teamwork means all team members having a sound knowledge of their job and
responsibilities as well as those of other team members.

- Commitment and co-operation to achieve team goals,

- Open communication channels,
- Recognizing everyone in the team is important Work in a Team.

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Leadership and Management

Leadership: Leadership is a management approach in which leaders help set strategic goals
for the organization while motivating individuals within the group to successfully carry out
assignments in service to those goals
goals.

Management: Management is the process of guiding the development, maintenance, and

allocation of resources to attain organizational goals. Managers are the people in the
organization responsible for developing and carrying out this management process.

Theories of leadership
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1. The Great Man Theory: Thomas Carlyle proposed the Great Man Theory in the
1840s, and it merely believes that leadership is an inherent trait of a person who is
destined to become a great leader by birth and they prove themselves when the
great need arises. In other words, some people are born to become leaders and
leadership is a heroic act.
- It was a male-centric approach when women have proved to be great leaders
too.
- This theory explains that leadership cannot be learned or taught it’s an
inherent trait.
- There is no scientific validation to support this theory.
- It neglected the environmental and situational factors which affect the
leadership process.

2. The Trait Theory: Ralph M. Stogdill proposed the trait theory of leadership in the late
1940s; he explained that an individual must possess the key personality traits and
characteristics to be an effective leader and these traits are inherent by birth. Some
of the core leadership traits based on this theory can be categorized as follows:
- Physiological traits: Height, weight, structure, colour, appearance and so
forth.
- Socioeconomic characteristics: Gender, religion, marital status, age,
occupation, literacy and earnings.
- Personality traits: Extraversion, self-confidence, patience, agreeable, reliable,
honesty and leadership motivation.
- Intellectual traits: Decisiveness, intelligence, judgmental ability, knowledge
and emotional attribute.
- Task-related traits: Attainment drive, dedication, initiative, determination
and business expertise.
- Social characteristics: Socially active, cordiality and cooperation.

3. Behavioural Theory: The behavioral theory of leadership evolved in the 1950s. After
understanding that the personal traits of a leader are essential for effective
leadership, the researchers were now keen to know that what leaders do to become
effective leaders. Thus, they now focused on the leader’s behavior rather than traits.
To study the behavior of leaders, two major research programs were started by two
different universities namely, the Ohio State Leadership Studies and the University of
Michigan Studies.

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4. Contingency Theory: Contingency theories of leadership state that effective

leadership comprises of all the three factors, i.e. traits, behavior and situation. A
leader’s behavior varies as per the situation. To support this theory of leadership
various models were developed and multiple studies were conducted in this
direction.

5. Charismatic Leadership Theory: This theory believes that a leader must possess
some extraordinary and exceptional qualities to become an effective leader. Such
leaders lead by their key traits i.e.
- Envisioning/Foreseeing: Leaders foresees future possibilities and create a
vision accordingly, usually having high expectations and dreams.
- Energizing/Empowering: Leaders are highly enthusiastic, proactive, energetic
and confidently aiming towards success.
- Enabling/Guiding: Leaders provide complete support and guidance and show
compassion and trust in followers. Such leaders are highly focused and
committed towards their goal accomplishment.

6. Transactional Leadership Theory: Transactional Leadership Theory emphasizes the

realization of a desired outcome and result. The leaders motivate the followers by
way of a reward system, i.e. rewarding the performers and punishing the non-
performers. The theory emphasizes maintaining a cordial relationship with the
followers, leaders and followers must work mutually to meet organizational goals.

7. Transformational Leadership Theory: The transformational theory states that a

leader is effective only if he can transform or change the perceptions, behaviour and
expectations of the followers and direct them towards a common goal which will
lead to the accomplishment of the leader’s vision. Such leaders have a charismatic
and influential personality.
Following are the key factors behind Transformational Leadership:
- Psychological transformation: Bring about a change in the perception and
mindset of the follower.
- Influential: Creates a strong impact on the followers.
- Motivational: Generates positive energy within followers.
- Inspirational: Encourages them to achieve something.
- Individual impact: Creates a powerful effect on the behaviour and perception
of the followers.

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Leadership styles and their implications

Leadership style is a leader’s approach to providing direction, implementing plans, and motivating people.

1. Autocratic leadership: An authoritarian leadership style is exemplified when a leader

dictates policies and procedures, decides what goals are to be achieved, and directs
and controls all activities without any meaningful participation by the subordinates.
Such a leader has full control of the team, leaving low autonomy within the group.
The group is expected to complete the tasks under very close supervision, while
unlimited authority is self-bestowed by the leader. Subordinates responses to the
orders given are either punished or rewarded.
2. Paternalistic leadership: Paternalistic leadership is useful in advocacy and
advocating on behalf of another. The way a paternalistic leader works is by acting as
a parental figure by taking care of their subordinates as a parent would. In this style
of leadership the leader supplies complete concern for their followers or workers. In
return they receive the complete trust and loyalty of their people.
3. Democratic leadership: The democratic leadership style consists of the leader
sharing the decision-making abilities with group members by promoting the interests
of the group members and by practicing social equality.
4. Laissez-Faire leadership: Laissez-faire leaders allow followers to have complete
freedom to make decisions concerning the completion of their work. It allows
followers a self-rule, while at the same time offering guidance and support when
requested. The laissez-faire leader using guided freedom provides the followers with
all materials necessary to accomplish their goals, but does not directly participate in
decision making unless the followers request their assistance.
5. Transactional leadership: Transactional leaders focus their leadership on motivating
followers through a system of rewards and punishments. There are two factors
which form the basis for this system: Contingent reward; and management-by-
exception.
- Contingent reward provides rewards, materialistic or psychological, for effort
and recognizes good performance.
- Management-by-exception allows the leader to maintain the status quo. The
leader intervenes when subordinates do not meet acceptable performance
levels and initiates corrective action to improve performance.
6. Transformational leadership: The main objective is to work to change or transform
their followers' needs and redirect their thinking. Leaders who follow the
transformation style of leading, challenge and inspire their followers’ ideas with a
sense of purpose and excitement. Transformational leaders also create a vision of
what they aspire to be, and communicate this idea to others (their followers).

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Power

Power is defined as the ability to get someone to do something one wants to be done or the
ability to make things happen in the way the person wants them to. The essence of power is
control over the behavior of the others. Power is the force one can use to make things
happen in an intended way.

Politics

- Organization politics is the term for the ways in which individual and groups within
an organization get and use power or influence, usually to protect or enhance their
position. It involves intentional acts of influence to enhance or protect the self
interest of individual or groups.
- Organizational politics is the management of influence to obtain ends not sanctioned
by the organization or to obtain sanctioned ends through non sanctioned means.
- Organization politics can be defined as strategically designed behaviors that
maximize self interest.
- Politics refers to structure and process of the use of authority and power to affect
definition of goals, direction and the other major parameters of the organization.
Decisions are not made in a rational way but rather through compromise,
accommodation and bargaining.

Ethics of power and politics

 Criterion of utilitarian outcomes: The behavior results in optimization of satisfaction

of people inside and outside the organization, that is, it produces the greatest good
for the greatest number of people.
 Criterion of individual rights: The behavior respects the rules of justice, that is, it
treats people equitably and fairly as opposed to, arbitrary.
 Criterion, of distributive justice: The behavior respects the rules of justice, that is, it
treats people equitably and fairly as opposed to, arbitrarily.

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Module 4: Communication and Conflict

 Organization communication,
 Methods and tools used in communication,
 Informal communications,
 Changing views of conflict,
 The process of conflict, conflict resolution,
 Effects of conflicts in organization,
 Transactional analysis,
 Johari window.

Organization communication

Organizational communication is defined as the channels and forms of communication in

which organizations such as corporations, non-profits, and governmental bodies engage,
including both the internal communications that occur within an organization, and external-
facing communications between an organization and its stakeholders.

Methods and tools used in communication

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Informal communication

The Informal Communication is the casual and unofficial form of communication wherein
the information is exchanged spontaneously between two or more persons without
conforming the prescribed official rules, processes, system, formalities and chain of
command.

Conflicts

Organizational conflict, or workplace conflict, is a state of discord caused by the actual or

perceived opposition of needs, values and interests between people working together.
together

Causes of conflicts

- Misunderstanding
- Disagreement in n different types of personalities
- Unclear
nclear work assignments
- limited resources
- Authority issues
- Lack of cooperation
- Differences over methods or style
- Value or goal differences
- Inadequate communication
- Interdependent
nterdependent work duties
- unrealistic / confusing ru
rules and norms
 Organizational Behaviour

Changing views of conflict

The process of conflict

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Conflict resolution

Conflict resolution is the process by which two or more parties engaged in a disagreement,
dispute, or debate reach an agreement resolving it.

Five Conflict Management Styles:

Effects of conflicts in organization

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Transactional analysis

The Transactional Analysis refers to the psychoanalytic process wherein the interpersonal
behaviors are studied.

When people interact with each other, the social transaction gets created which shows how
people are responding and behaving with each other, the study of such transactions
between people is called as the transactional analysis.

Johari window

The Johari window is a technique designed to help people better understand their
relationship with themselves and others. It was created by psychologists Joseph Luft and
Harrington Ingham, and is used primarily in self-help groups and corporate settings as a
heuristic exercise. Luft and Ingham named their model "Johari" using a combination of their
first names.

The objective behind the creation of a Johari window is to enable an individual to develop
trust with others by disclosing information about himself and also to know what others feels
about himself through feedback.

The four quadrants of Johari window:

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1. Open Self: This quadrant shows the behavior, motives, attitudes, and knowledge
skills of an individual that he is aware of and is willing to share it with others. The
open self is characterized as a state wherein the individual is open and straight
forward to himself and others about what he is doing, how is he doing and what his
intentions are.
2. Blind Self: The blind self shows the state of an individual known to others but not
known to him. It usually happens, when an individual or a subject copies the
behavior of some significant personalities unconsciously since his childhood.
3. Hidden Self: This quadrant of the Johari window shows the state of an individual
known to him but not known to the others. This is generally seen in the individuals
who are introvert and do not like to share their private lives with anyone. The
individual keeps his feelings, ideas or thoughts to himself and do not disclose it in
front of the others.
4. Unknown Self: The unknown self is the mysterious state of an individual neither
known to him, nor others know about it. Often the feelings, thoughts or ideas go so
deep down the individual that it becomes difficult for the individual as well for the
other people to understand it.

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Module 5: Organizational Structure and Types

 Organization structure,
 Organizational design,
 Organizations for future Organizational culture creating and
sustaining a positive culture,
 effects of culture,
 Types of culture in the organization changing culture.

Organization structure

An organizational structure defines how activities such as task allocation, coordination, and
supervision are directed toward the achievement of organizational aims.

Organizational structure is a way or method by which organizational activities are divided,

organized and coordinated. The organizations created the structures to coordinate the
activities of work factors and control the member performance.

Organizational design

Organizational design is the process of aligning the structure of an organization with its
objectives, with the ultimate aim of improving efficiency and effectiveness.

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Creating and sustaining a positive culture for future organizational culture

Positive attitudes and positive actions make for a positive workplace culture. Foster
collaboration and communication: Leadership and management style that encourages
teamwork, open and honest communication is vital to creating a positive feeling in the
workplace.

- Focus on the Positive

- Ensure Shared Values
- Give and Receive Feedback
- Follow-Through
- Care About Your Team Members
- Play to Strengths and Look for the Bright Spots
- Set Expectations
- Evaluate Processes and Procedures
- Create Opportunities for Collaboration
- Be Consistent

Effects of culture

The culture creates the environment in the organization and influences the nature of the
long-term plans that move the organization toward its vision. Culture also dictates the
policies and processes that enable the organization to live its mission every day.

Culture in an organisation serves the following purposes:

- Effective control
- Promotion of Innovation
- Strategy formulation and Implementation
- Strong commitment from employees
- Performance and satisfaction

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Types of culture in organization

Changing culture

1) Technological – applications of technology to enhance operations or improve

efficiency.
2) Structural – change in organizational structure lateral expansion, consolidation of
resources, downsizing, product group consolidation…
3) Philosophical – the entire mission and direction of an organization changes to
reinvent itself to be current and sustainable
4) Psychological – changing organizational culture, leadership styles, management
processes, HR policies… for the purpose of improving efficiency, innovation, and
engagement.

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Module 6: Organizational Development

 Types of change
 Forces for change in organizations,
 Resistance to change,
 Organizational development,
 Human resource policies and methods of OD

Types of change

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Forces for change in organizations

1) Internal forces:
- Change in organization goals
- Existing organizations deficiencies
- Change in policies
- Sequential change
- Change in top management
- Change in personnel
- Employee pressure
- Change in work climate
2) External change:
- Market conditions
- Social pressures
- Technological development
- Political and legal factors
- Economic condition and policy
- Globalization
- Workforce diversity

Resistance to change

1) Logical and Rational:

- Time required to adjust
- Extra effort to relearn
- Possibility of less desirable condition
- Economic costs of change
- Questionable technical feasibility of change
2) Psychological and emotional:
- Fear of unknown
- Low tolerance of change
- Dislike of management/change agents
- Lack of trust in other
- Need for security
- Desire for status quo
3) Sociological resistance:
- Political coalitions
- Opposing group values
- Narrow outlook
- Vested interest
- Desire to retain existing friendships

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Organizational development

Organization development is the study and implementation of practices, systems, and

techniques that affect organizational change, the goal of which is to modify an
organization's performance and culture.

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Human resource policies and methods of OD

Human resource policies are the formal rules and guidelines that businesses put in place to
hire, train, assess, and reward the members of their workforce.

Policies:

- Employment contract
- Employee wages
- Code of Conduct
- Leave policy
- Employee provident fund
- Gratuity Policy
- Paternity and maternity leave policy

Methods:

- Management by objectives
- Team building
- Process consultation
- Grid development
- Survey feedback

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