ACHARYA INSTITUTE OF GRADUATE STUDIES

(NAAC Re Accredited ‘A’ Grade & Affiliated to Bengaluru City University)

Soladevanahalli, Bengaluru-560107

DEPARTMENT OF MANAGEMENT
ACADEMIC YEAR 2023-2024 ODD

FACULTY NAME : MANJULA BK

COURSE : BBA
SEMESTER : III SEM
SECTION : D
SUBJECT : ORGANISATIONAL BEHAVOIUR

LECTURE NOTES

UNIT 1 ORGANISATIONAL BEHAVIOUR AND FOUNDATIONS OF INDIVIDUAL

BEHAVIOUR

INTRODUCTION:

Organizational behavior is the academic study of how people interact within groups. The
principles of the study of organizational behavior are applied primarily in attempts to make
businesses operate more effectively.

The study of organizational behavior includes areas of research dedicated to improving job
performance, increasing job satisfaction, promoting innovation, and encouraging leadership and
is a foundation of corporate human resources.

Organizational Behavior (OB) is the study of human behavior in organizational settings, the
interface between human behavior and the organization, and the organization itself.
One of the main goals of organizational behavior is to revitalize organizational theory and develop
a better conceptualization of organizational life.

As a multidisciplinary field, organizational behavior has been influenced by developments in a

number of allied disciplines including sociology, psychology, economics, and engineering as well
as by the experience of practitioners.

Modern businesses are diverse and bring together people from various social and economic
backgrounds. They are also characterized by varied workforces. Some of these employees may
come from different cultures, ethnicities and nationalities.

Therefore it is essential to understand the behavioral patterns of the employees and how they affect
the functioning of the organisation, and this is where organizational behavior comes in.

What Is Organizational Behavior?

Organizational behavior is the study of individual and group behavior in the workplace and their
impact on productivity and profitability.

In simple words, organizational behavior:

  Studies individual and group human behavior: Organizational behavior closely
analyses the personal characteristics, education history, economic and cultural background
etc., of an individual to determine their behavior in specific situations. It aims to get a grasp
of the intellectual and emotional quotient of people to understand their reactions.
 Studies the behavior within an organization: Organizational behavior studies how
employees interact with each other while working and how people’s attributes influence
their work environment behavior within an organization. It digs deeper into an individual’s
social position and monitors their behavioral patterns while working with a group of
people.
 Studies human behavior’s impact on productivity and productivity: Organizational
behavior studies the impact of personality traits, culture, education, background, etc., of
the organization’s employees on the productivity of the organisation. It also studies how
organizations influence behavioral patterns of employees to bring about a change in
people’s attitudes, values, and behaviors for an increase in organizational productivity.

The Three Levels Of Organizational Behavior

OB focuses on studying three key levels of human behavior within an organization. These levels
are:
 Individual Level: This level of organizational behavior focuses on studying employees’
values, attitudes, perceptions and personal traits to determine their behavioral patterns in
the workplace. Human psychology forms the basis of individual-level analysis.
 Group Level: The group-level or team-level analysis studies the behavior of employees
while working in groups. Factors like communication, leadership, initiative, group
dynamics, conflicts, power etc., are studied at this level. It determines how
people individually and collectively interact in a group. Sociology and social psychology
form the basis of team-level analysis.
 Organisation-level: This level deals with analyzing the organizational structure, culture
and climate within an organisation. It studies how organizations differ based on their
organizational structure, work environment, human resource policies etc. Sociology and
political science form the basis of organisation system-level analysis.
The Elements of Organizational Behavior

The key elements of organizational behavior include people, structure, technology, and the
environment.

 People: They form the internal and social system of the organisation. People include the
employees, the organization’s stakeholders (those affected by the actions of an
organisation), and groups. The groups can be big or small, formal or informal, official or
unofficial.
 Structure: It is the formal and informal set of rules and practices that govern how work
gets done in an organisation. It also includes policies, procedures, guidelines, hierarchies,
communication networks, etc.
 Technology: It constitutes the tools employed in an organisation for achieving its
objectives, including the machines, work processes, software, tools, gadgets, etc.
 Environment: It can be defined as the social factors outside an organisation that affect its
employees. It includes cultural, economic, technological, political and legal factors.
The Importance of Organizational Behavior

Organizational behavior’s importance lies in the fact that it helps organizations to

 Discover and understand human behavior,

 Properly motivate their employees to perform better,
 Create a conducive work environment to bring about higher employee productivity,
 Ensure effective communication along with its elements,
 Maintain ethical workplace practices, and
 Build positive relationships among employees for cooperation.
It also empowers organizations acting as a:

 Conflict resolution mechanism: It gives the managers an upper hand and brings them to
the depth of the workplace behavior and what could lead to possible conflicts. These issues
are taken care of effectively by either preventing them or addressing them timely.
 Relation building technique: It helps the managers and supervisors understand the
relationship between employees and workplace behavior. This builds stronger relationships
through communication, developing trust, and building effective teamwork due to higher
cooperation among employees.
 Policy framing tool: Policymakers get an insight into the aspirations of their employees
and formulate welfare policies accordingly. They can meet the expectations of the
stakeholders by close study of organizational behavior.
 Vigilance strategy: The study of organizational behavior helps to keep a check on any
malpractices or work-related corruption. Thus, it promotes the right kind of business ethics
and integrity within an organisation.

Characteristics of Organizational Behavior

Organizational behavior is the systematic study of individual behavior within an organization. It

also deals with understanding human behavior in the context of organizational processes and
practices, job satisfaction and involvement, etc.
According to experts, organizational behavior has six distinct characteristics. These are:

 It is a behavioral approach: It is a behavioral approach that deals with human behavior

in relation to the work environment. It concentrates on individual behaviors in
organizations, including individuals’ attitudes and opinions towards their managers, co-
workers etc.
 It is a cause and effect relationship- Organizational behavior study predicts the human
actions and understands what causes the behavior and its consequent effect on the
organisation. These projections assess the efficiency, time for production cycle etc.
 It is an art as well as science- Organizational behavior is a science as it involves
systematic knowledge and prediction of human behavior. It is also an art as it uses soft
skills, understanding, and communication to predict and control behavior.
 It is interdisciplinary- Organizational behavior draws its know-how from diverse
disciplines like sociology, anthropology, human resource management, psychology etc.
Understanding different people of different ages, languages, incomes and regional and
religious groups requires diverse knowledge.
 It is goal-oriented: The main objective of this behavioral approach is to deal with the
behavior of an individual in relation to the organization’s goals, objectives and desired
outcomes. This means that it does not focus on individual behaviors themselves but rather
the fact that these behaviors are linked to achieving certain organizational goals like job
satisfaction, higher efficiency, better management etc., that benefit both individuals and
the organisation. The company may also use it as a metric to track the company’s
performance.
 It is a branch of social science: It is a social science that deals with the interaction of
people in their organisation. It uses analysis, observation and measurement to study the
same.

Objectives of Organizational Behavior

The main objective of organizational behavior is to ensure organizational effectiveness by

understanding and predicting human behavior. This objective is further divided into four sub-
objectives –
  Ascertain: It aims to determine and explain how individuals absorb a situation and
respond to it. This study determines the factors that make an individual act in a certain way.
This helps the company to analyses the risky situations along with their probabilities,
effects and possible outcomes.
 Comprehend: OB follows the behaviors and deduces why people behave in a particular
way. It reveals an individual’s work ethic and commitment towards the organisation.
 Forsee: It predicts behavior and explains how individuals will respond to specific
situations. These projections are made based on inherent behaviour and past trends. It helps
the company figure out the future capabilities of its employees and create contextual job
design and work environment policies that can help increase productivity.
 Command: OB also aims to control and influence individual and group behaviour. The
learning aims to influence a positive impact on the business. It tries to control the behaviour
to bring the desired results.

Besides these key objectives, several companies have specific goals they wish to accomplish by
studying organizational behavior. These include:

1. Determining the motivation level of the employees

2. Studying the impact of factors like overload, stress and conflict on individuals
3. Creating a congenial environment for the employees to work in.
4. Finding out the reason for low productivity and devising ways to improve the same
5. Measuring employee satisfaction and absence levels
6. Developing different training programs for employees based on their roles and
responsibilities

Individual Behavior: Individual behavior can be defined as a mix of responses to

external and internal stimuli. It is the way a person reacts in different situations and
the way someone expresses different emotions like anger, happiness, love, etc.
FACTORS INFLUENCING TO INDIVIDUAL BEHAVIOR:
Personal Factors
Personal factors are of 2 types: Biographic and Learned Characteristics
Biographic Characteristics: Biographic characteristics are genetic nature and are inherited by
individual by their parents or forefathers (ancestor). These are gifted features that an individual
possesses by birth. All of these biographic characteristics are listed below: –
 Psychical Characteristics- Personal characteristics relates to skin, complexion, vision,
height, weight, size of nose etc. which influence the performance of individual. A person
with good physical characteristics have an attractive personality, they dress well and
behave gently in an organization.
 Age- Age is an individual inherited characteristic that is determined by date of birth. Young
people are expected to be more efficient, energetic, risk-taking, innovative and ambitious.
 Gender- Gender is an inherited characteristic as being a men or women is genetic in nature.
Woman are expected to be more emotional than men and generates high turnover rates. It
is due to more likeness of woman quitting their job citing personal reasons.
 Religion- Religious values of individual influence distinct aspects of his/her behavior in
organization. Highly religious person is stricter towards following moral values, ethics and
code of conduct while performing their roles.
 Marital Status- Researcher indicated that with marital status, responsibilities of individual
get inclined and for them having steady proper job becomes more important. Such
employees have less absences, low turnovers and more job satisfaction.

Learned Characteristics: Learned characteristics refers to the changes in person’s behavior that
comes from his/her interactions with environment.
 Personality- Personality solely do not refer to physical characteristics of person but
indicates the growth of individual’s psychological system. These are the personal traits of
persons that comprises of patience, extrovertness, dominance, aggressiveness etc.
 Perception- It is a viewpoint of individual through which it interprets a particular situation.
Perception is defined as a process via which information enters mind and an interpretation
takes place for providing some sensible meaning to world.
 Values- These are global beliefs that guides distinct actions and judgements in several
Situations. It comprises of idea of an individual that is based on good, right and desirable
opinions.
Environmental Factors
The external environment has an effective role in influencing the individual behavior.

 Employment level- Employment opportunities available within the country act as a major
determinant of individual behavior. In case of less employment opportunities, he/she will
remain stick to same job level irrespective of how much satisfaction is attained. However,
if there are more employment opportunities available then employees will shift to other
jobs.
 Wages Rate- Monetary compensation is a major factor that every employee considers
before joining any organization. Therefore, a decision whether to stay in a particular
company or shift anywhere else is taken on the basis of wages he/she is getting.
 General Economic Environment- Economic cycle in a country greatly influences the
behavior of individual in an organization. They are subject to retrenchment and layoffs.
Job security and a stable income are the most relevant factors of motivation for these type
of employees. Whereas, employees of public sector undertakings are not affected by
 economic position within the country as they receive their fixed salaries irrespective of
economic conditions.

 Political Factors- Political factors indirectly influences the behavior of an individual.

 Political factors, in the context of the external environment in which a business functions,
are a type of external constraint acting upon a business.
 They're related to actions of governments and political conditions in the location where the
business conducts business or seeks to conduct business.
 There will be large opportunities of steady job positions. It will provide better freedom to
individual which will influence their career choice, performance and jib design.
 Ideology and Values: Political factors contribute to the formation of individual ideologies
and values. The political environment, including political parties, movements, and leaders,
can influence the beliefs and perspectives individuals adopt.
 Voting Behavior: Political factors play a crucial role in shaping individuals' voting
behavior. Factors such as party platforms, candidates' positions, and political campaigns
can influence how individuals cast their votes in elections.
Organizational Factors
Wide range of organizational factors influence behavior of individual which are listed below: –

 Physical Facilities- Physical environment at work place have a great influence on behavior
of individual. It comprises of factors like lighting, cleanliness, heat, noise level, office
furnishing, strength of workers etc.
 Structure and Design- It is concerned with set-up design of departments within an
organization. Individual behavior is influenced by where an individual perfectly fits in a
hierarchy of organization.
 Reward System- Fair reward system adopted by company for compensating its employees
enhances the overall performance and behavior of individual.
PERSONALITY

Personality: Meaning and Determinants of Personality!

Man is not born a person. At birth he is an infant possessing the potentiality of becoming a person.
After birth he associates with other human beings and comes under the influence of their culture.
As a result of a variety of experiences and social influences he becomes a person and comes to pos

sess a personality.

The nature of personality and to show the role of culture and social experience in the formation of
personality along with the problem of personality.

Since socialization plays the most important part in the development of personality and we have
discussed it already, the present discussion, therefore, can only be brief.
I. The Meaning of Personality:
The term ‘personality’ is derived from the Latin word ‘persona’ which means a mask. According
to K. Young, “Personality is a …. Patterned body of habits, traits, attitudes and ideas of an
individual, as these are organized externally into roles and statuses, and as they relate internally to
motivation, goals, and various aspects of selfhood.” G. W. Allport defined it as “a person’s pattern
of habits, attitudes, and traits which determine his adjustment to his environment.”

According to Robert E. Park and Earnest W. Burgess, personality is “the sum and organization of
those traits which determine the role of the individual in the group.” Herbert A. Bloch defined it
as “the characteristic organization of the individual’s habits, attitudes, values, emotional
characteristics……. which imparts consistency to the behavior of the individual.” According to
Arnold W. Green, “personality is the sum of a person’s values (the objects of his striving, such as
ideas, prestige, power and sex) plus his non- physical traits (his habitual ways of acting and
reacting).” According to Linton, personality embraces the total “organized aggregate of
psychological processes and status pertaining to the individual.”

Personality, as we understand it, says MacIver, “is all that an individual is and has experienced so
far as this “all” can be comprehended as unity.” According to Lundberg and others, “The term
personality refers to the habits, attitudes, and other social traits that are characteristic of a given
individual’s behavior.” By personality Ogburn means “the integration of the socio psychological
behavior of the human being, represented by habits of action and feeling, attitudes and opinions.”
Davis regards personality “a psychic phenomenon which is neither organic nor social but an
emergent from a combination of the two.”
According to Anderson and Parker, “Personality is the totality of habits, attitudes, and traits that
result from socialization and characterizes us in our relationships with others.” According to N.L.
Munn, “Personality may be defined as the most characteristic integration of an individual’s
structure modes of behavior, interests, attitudes, capacities, abilities and aptitudes.” According to
Morton Prince, “Personality is the sum total of all the biological innate dispositions, impulses
tendencies and instincts of the individual, and the acquired disposition and tendencies acquired by
experience.” According to Young, “Personality is the totality of behavior of an individual with a
given tendency system interacting with a sequence of situations.”
Lawrence A. Pewin has given a working definition of personality in these words, “Personality
represents those structural and dynamic properties of an individual or individuals as they reflect
themselves in characteristic responses to situations.”

There are four major determinants of personality:

 Biological/Physical Determinants: Hereditary and physical features

 Social Determinants: Sociological aspects related to the community and his/her role in
the community
 Psychological Determinants: Behaviour, emotions, sentiments, thought patterns and
complexes of an individual
 Intellectual Determinants: Values, Humour, Morality, etc.

Physical Determinants of Personality

Biological traits are the foremost parameter that reflects various factors of one’s personality. Being
the essential determinant of personality, it incorporates a majority of other factors as well which
bring out the various insights about an individual. Some important constituents under the physical
determinants of personality are:

 Hereditary: The features that can be determined from the time of conception are generally
put under hereditary. Sex, physical stature, temperament, muscle composition, facial
features, height etc are the characteristics that one usually inherits from parents. Thus,
through the hereditary approach, it is evident that the genes located in chromosomes are
the ultimate explanation of personality.

 Physical Features: Physical appearance is also amongst the integral determinants of

personality. How one appears physically actually plays an important role in how they are
perceived by others. Whether one is short, tall, slim, fat, black or white will obviously have
an impression on others and this will have an influence on the self-conception of the
individual. Physical characters include but are not limited to height, skin tone, weight, hair
color, and beauty.
Psychological Determinants of Personality

Considering a personality as a particular style pertaining to each individual, the psychological

approach is amongst the major determinants of personality. This specific style which is different
for each individual actually gets determined through the accumulative characteristics of mental
trends, emotions, sentiments, thought patterns and complexes. Further, it also studies an
individual’s mental conflicts, wishes, aspirations, feelings of repression, sublimation and
emotional well-being.

Cultural Determinants of Personality

Just as we are born with biological determinants, cultural determinants of personality are the ones
with which we grow up with. The ritual and norms in the family, the early conditioning, the way
we are raised up, the social group in which we hang out are the factors that have an impactful
emphasis on our personality formation. Each culture trains and expects its members to behave and
breathe in a way that is acceptable by society. Hence, factors like aggression, independence,
cooperation and competition are major cultural contributors to personality determination. Thus, it
is quite evident to filter out the individuals brought up in the western part of the world from the
citizens of our country as the cultures we have been brought up with are poles apart.

Family Factors

The most significant out of the different determinants of personality is that of familial. The
environment at home blended with the direct influence of the parents is the major contributors to
the traits that build our personality. A critical impact is driven by the family especially in the early
and naive age. For example, a child brought up in a violent household will be quite different and
emotionally and socially timid and cold as compared to a child reared in a warm, adjusting and
healthy environment.

Let us understand the importance of parents and family as crucial determinants of personality with
the help of the American-Australian Psychologist Walter Mischel’s theory:
  Identification can be done by observing the similarity of the behaviour like feelings and
attitude between the child and their parents.
 Identification can be viewed as the child’s desire and aspiration to be like their parents.
 It can be looked as the method through which the child actually takes on the attributes of
the personality from their parents.

Social Determinants of Personality

The social determinants analyse a personality as per the status of the individual in their social
group or community and consider the individual’s conception of their role in the group is like. The
key factor that this approach weighs in is what others perceive us as plays a greater role in the
formation of our personality.

The era has seen the widespread emergence of communication tools, especially through social
media. Social media influencers hold an authoritative power to influence the masses around the
globe. Hence, anyone’s personality is majorly persuaded by the social lives they lead and are a
part of. Through socializing, be it virtual or real, one encounters a plethora of other individuals
which some way or the other leave a mark on our personalities. The process starts as soon as we
step into the real world from the playschool we go to peers and friends, amongst others. Our social
life is one of the essential determinants of personality and that’s why we are always advised to
choose our social circle wisely.

Situational Factors

In our discussion of various determinants of personality, a vital mention should go to the situational
category. It would not be difficult for you to relate to the fact that we as humans, react differently
to distinct situations. Although, it would not be correct to say that situational factors determine an
individual’s personality in the most correct manner but it surely reflects how a person’s behaviour
is and how they react in a given situation. The traits shown through situational factors usually vary
a lot as different people exhibit different situational personality traits. For Example: You may
behave differently in front of your boss in the office than at a club with your friends.

Intellectual Determinants of Personality

Intelligence is another essential factor that can play an important role in the development of our
personality. Our intellect can influence various aspects and areas of our behaviour which in turn,
can determine our personality. Here are the intellectual determinants of PersonalitY

 Humour: Humour is one of the integral intellectual determinants of personality as it helps

us get a realistic view of things, facilitates social acceptance and further also ironically
brings forward a lighter perspective of life.
 Morality: Our intellect and worldview plays a crucial role in the development of our
morality and how we see certain things as moral or immoral. Thus, morality is another
factor that determines our intellect and thus overall personality as well.
 Values: An individual learns about values from his/her upbringing as well as from the
society they are brought up in. These values and beliefs also form our intellectual behaviour
and thus are an important determinant of our personality.

PERCEPTION

“Perception is the process through which the information from outside environment is selected,
received, organised and interpreted to make it meaningful to you. This input of meaningful
information results in decisions and actions.”

According to Joseph Reitz, “Perception includes all those processes by which an individual
receives information about his environment—seeing, hearing, feeling, tasting and smelling. The
study of these perpetual processes shows that their functioning is affected by three classes of
variables—the objects or events being perceived, the environment in which perception occurs and
the individual doing the perceiving.”

Characteristic of Perception

a. Perception is a process.
b. Perception is preparation to response.
c. Perception involves sensation.
d. Perception is highly individualized concept.

A. The process of perception

 1. Bottom-up processing: Bottom-up processing consists of the progression of recognizing
and processing information from individual components of a stimuli and moving to the
perception of the whole.
2. Top-down processing: In top-down processing, perception is guided by higher-level
knowledge, experience, expectation, and motivation.

Bottom-up processing:

Sensory input

⬇️

Selective attention

⬇️

Perceptual organizing

⬇️

Interpretation

⬇️

Behavioral Response

Top-down processing:

Perceptual Process: (Path ways in brain and top-down and bottom-up processing)

Perceptual process is the sequence of psychological state that a person uses to organize and
interpret information from the outside world.

The perceptual process consists of six steps:

1. The presence of object: Information encoding.

 2. Observation: Out of activities sense organ observation.
3. Selection: After observation, just import needed information is selected by sense organ.
4. Organization: Selected information is organizing by sense organ and store that in mind.
5. Interpretation: In our mind there is so many information so that sense organ interrelated
that, situation match information finds out situation intimation that is interpretation.
6. Response: Interpretation behavior

Perceptual selection is determined by internal and external factors. There are to general processes
involve a perception.

a) Bottom-up Approach:

- Bottom-up processing readers to processing sensory information as it is coming in. It

readers to way, to build up from the smallest pieces of sensory information. Perception that consist
of recognizing and processing information about the individual component of the stimuli.

b) Top-down Approach:

Top down processing refers to perception that is determined by cognitive information

processing guided by higher level mental processes. It includes knowledge, experience and
motivation.
Factors in the Perceiver

The factors in the perceiver that affect perception are:

Attitudes- Attitudes have a powerful influence on what we pay attention to, what we remember,
and how we interpret information. Different attitudes lead to different interpretations.

Motives- Motives stimulate individuals. It is unsatisfied need. They exert strong influence on
perception. For example; hungry people tend to see images of food.

Emotions- An individual’s emotional state strongly influences perception. Anger and frustration
distort perception.
Interests- Individual interests differ considerably. Interest influences the focus of attention.
Differences in individual interests result in differing perceptions.

Experiences- Past experiences affect the focus of attention. Individuals tend to perceive those
objects or events to which they can relate to.

Expectations- People see what they expect to see.

Factors in the Target

The factors in the target that affect perception are:

Novelty- Novelty targets are more likely to be noticed than the targets observed in the past.

Motion, sound, size- They shape the way we see the target. Loud people are more likely to be
noticed.

Background- a target is not looked at in isolation. The relationship of target to its background
influences perception.

Proximity- Objects that are close to each other tend to be perceived together.

Similarity- Similar things need to be grouped together. For example; black people are perceived
as alike even in unrelated characteristics.

Factors in the Situation

The factors in the situation that affect perception are:

Time- The time at which an object or event is seen affects perception. For example; a daily report
arriving after two days may be ignored by the perceiver.

Work setting- The changing context of the work setting influences perception. For example;
stressful work situations distort perception.
Social setting- The changing social setting influences perception. For example; a male student
wearing earrings may not be noticed in a disco but highly noticeable in the classroom.

Perceptual errors:

Perceptual errors are called when folks generally use several shortcuts when they judge others.
They have frequently used shortcuts in judging others. They are:

 Selective perception: Since we cannot observe everything going on about us, we engage in
selective perception.
 Halo effect: refers to the tendency of judging the person entirely based on a single trait that
may be favorable or unfavorable.
 Stereotyping: Generalizing or grouping
 Contrast effect: We don’t evaluate a person in an isolation. Contrast error occurs when we
evaluate characteristics of a person with other people, it happens all the time in a job
interview.
 Projection: refers to the tendency of people to see their own traits in other people. As the
saying goes, ‘to an honest man, everybody is honest’ and vice versa.
 Impression: ‘the first impression is the last impression’. This may sometimes lead to
perceptual distortion like first bench students are disciplined and intelligent, and last bench
students are undisciplined and weak.

OR

The perceptual process may result in a person making errors in judgment or understanding of
another person. The most common types of perceptual errors are:

1. Accuracy in judgment

2. Perceptual defense

3. Stereotyping

4. The halo effect

5. Projection
 6. Role of culture

7. Horn Effect

8. Recency effect

9. Self Serving Biasness

10. Self Fulfilling Prophecy

Accuracy in judgment

1. Similarity error – assuming that people who are similar to us (in terms of background,
interests, and hobbies) will behave like us.
2. Contrast error – comparing people to others rather than to some absolute standard.
3. Overweighting of negative information – a tendency to overreact to something negative.
4. Race, age, and gender bias – tendency to be more or less positive based on one’s race, age,
or sex.
5. First-impression error – forming first impressions that are resistant to change.

Perceptual defense

The tendency for people to protect themselves against ideas, objects, or situations that are
threatening.

Stereotyping

The belief that all members of a specific group share similar traits and behaviors.

Halo effect

A tendency to color everything we know about a person because of one recognizable favorable or
unfavorable trait.

Projection
is the tendency to see one’s traits in others. The role of culture: Culture influence our perception
in selecting information and exhibiting a behavioral pattern in situations

Recency Effect

When the most recent information influences our judgment, even though we have a whole of other
information on the person.

Horn Effect

Based on one Negative quality, we assumed the person is BAD i.e. we perceived the whole person,
based on ONE quality.

Self-serving Bias

 It is the tendency of attributing own success to internal causes while failure to external
causes.

 It represents one’s tendency to take more personal responsibility for success rather than for
failure.

 This business tends to increase as time passes after an event.

Ex- Rishi gets the best journalist award in Nepal but fails to get selected as the top 1000 journalist
in South Asia. He attributes his success as his ability and his failure as a lack of capability of the
judge to determine his ability.

Self-fulfilling prophecy:

People’s preconceived expectations and beliefs determine their behavior, thus, serving to make
their expectations come true. E.g. Negative expectations= Negative result.