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Leadership and OB
Management Education is still new to India. The legendary Harvards,Kellogs Yales or Whartons schools of the world ?
Almost till 1980s , B schools focussed on the Tech aspects Accounting, Sales, Mrktg, Quantitative Techniques Etc
MBA Knowing Business as a system of knowledge
Corporates have long understood OB. B schools were slower to getthe message.
Human behaviour and People skills have acquired its due importance.
Today the world of business is very complex
We need Mgmt Education for a better World
Outstanding employees with a fine blend of Technical and Human
skills are in short supply..
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Organisational Behaviour
OB is nothing but people skills. Focus is on Human skills
and conceptual skills.
OB is a field of study that investigates the impact thatindividuals, groups and structure have on behaviour withinorg. for the purpose of applying such knowledge towardsimproving an Org Effectiveness.
OB is concerned with the study of what people do in anorg. and how the behaviour affects the performance of theorg.
OB is concerned with specifically employee relatedissues- Work, Absenteeism,Productivity, PerformanceMgmt, Attrition Mgmt etc to improve Org. Effectiveness
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Essential Management Skills
Concept of work Technical skills Ability to have and apply specialized
knowledge or expertise.Eg Civil Eng,Surgeon,Lawyer,Chartered Accountant,SoftwareEngineer etc
Human skills - Ability to work with, understand andmotivate people, Good interpersonal skills
Conceptual skills Mental ability to analyze anddiagnose complex situations. Good decision making
skills.
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Replacing Intuition with Systematic
study Each one of us is a student of behaviour. Parents andteachers mould us. We are a product of ourenvironment.
One can predict behaviour Behaviour in a Mall,Escalator, Ashram, Cricket match,Marriage hall,Religious function, Pub etc etc
So OB is an attempt at Systematic study Looking atrelationship, attempting to attribute causes andeffects,and drawing conclusions on scientific evidence reasonable accurate predictions of behaviour
Intuition is a gut feeling not necessarily supported byresearch.
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Contributing Disciplines to OB
OB is an Applied behavioural science
that is built on contributions from a number
of behavioural disciplines. Psychology its the science that seeks
to measure, explain and sometimes
change the behaviour of humans and
animals. Focus is on indivual behaviour.
Conscious and subconscious mind
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Contributing Disciplines to OB
Sociology Atudies people in relation to their fellowbeing. Eg. group dynamics, team work etc
Social Psychology Blends both influence of peopleon one another. Eg.Change Mgmt , Group decisionmaking process
Anthropology Study of societies to learn about humanbeings and their activities. Culture , Environment etc.
Political Science Study of inds.and groups within apolitical environment. Structure of Conflict, Allocation ofPower etc
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Challenges and Oportunities
Globalisation Responding to Globalisation or internationalisation. Economies and societies around the world are becoming
integrated
However much govts desire retain political, cultural andeconomic identities- the powerful trend to integrateinternationally is sweeping all across
All over the anxiety is to join world economies
Why Because of increased levels of trade, investment
flows, mobility of people across the globe etc etc Earlier going global was considered as an
achievementtoday it is a part of a companies survivalkit.de risk the country from a single country shock
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Challenges and Opportunities
Increased Foreign assignments, Networked organisation
Managing workforce diversity, More hetrogenous mix of
people in terms of Gender, Race, Ethinicty etc. Infosyshas 9%, Wipro has 4% foreigners
Embracing Diversity Recognise and Value differences
Coping with Anticapitalism backlash Meritocratsbroadmindedness of capitalism Eg Singur - Capitalisiticvalues are not popular
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Challenges and opportunities
Improving Quality and Productivity The constantattainment of customer satisfaction through thecontinuous improvement of all Org process.
Improving People Skills Develop your People,empower them
Stimulating Innovation and change LehmanBrothers,Merryl Lynch,AIG, Ranbaxy etc
Coping with Temporariness - Evidence of temporarinessis everywhere Jobs are being redesigned, tasks aregetting outsourced,more flexible teams than individuals,technology is changing so job descriptions are changing.
Balance worklife/conflicts
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Foundations of Individual
Behaviour We are all not created equal
Biographical characteristics
Age The relationship between age andperformance
Gender No significant difference
between men and women Tenure length of service, why retire ?
Knowledge and Desire
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Foundation of Individual Behaviour
Intelligence is but one Characteristic that people bring whenthey join an organisation.
How does age affect productivity ? Speed, Agility, goesdown. Employee turnover is reduced.
Ability matters Refers to an individuals capacity(intellectual and physical) to perform the various tasks in a
job.
Physical ability The capacity to do tasks demandingstamina, dexterity, strength, etc
Egs Physical Recruitment in the Army,Tyres industry,Airlines etc
.
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Individual aspects of OB
Intellectual abilities are those needed to perform mentalactivites- thinking, reasoning and problem solving.
However motivated you are you cant act like SivajiGanesan, play golf like Tiger woods, Write horror books
like Stephen King, or write Murder Mysteries like likeAgatha Christie
Jobs differ on Physical and intellectual abilities
Productivity Achieve its goals inputs to outputs at thelowest cost. Productivity implies both effectiveness andefficiency. Eg Hospital meets the needs of the client ,its effectiveit is efficient when it does at a low cost
Job Satisfaction A collection of feelings that anindividual holds towards his or her job.
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Learning
Human being are essentially blank slates that areshaped by the environment.
Learning occurs all the time
Each one of us is continuously going to school
All complex behaviour is learned.
Learning is a change in behaviour
Any relatively permanent change in behaviour thatoccurs as a result of exp. is learning
We infer that learning has taken place if an individualbehaves, reacts , responds as a result of exp.in amanner different from the way he formerly behaved.
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Theories of learning
1. Classical conditioning Pavlov -Teaching dogs to
Salivate when the bell rings thinking that its given food.
The bell was an artificial response.Christmas Carols
bring fond memories of Childhood. Boss not at office relax, go slow etc. Entering a 5 star hotel.
2 Operant conditioning Behaviour is a function of its
consequences. Eg if you work extra hours for the next
4 weeks u will get promotion it does not happen
next time will you work ?
3 Social learning Watch parents, teachers, peers, boss
etc observation and direct experience is social
learning. Eg Choosing a specialization
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Shaping behaviour
Behaviour has to be moulded learninghappens
Why ?
Common behavioural problems - Coming late tooffice, speaking in the regional language,Improper dress code, mixing pleasure andwork, mobile phones, internet usage, Leave
protocol, Bill submissions, Poor interpersonalskills, insubordination etc
Hence behaviour has to be moulded.
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Reinforcement and work
arrangements Shaping behaviour Systematicallyreinforcing each successive step thatmoves an individual closer to the desired
response. We mould individuals by guiding their
learning in graduated steps.
Methods of shaping behaviour Positive reinforcement Boss praises an
employee for a job well done.
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Shaping behaviour
Punishment is causing an unpleasant condition in an
attempt to eliminate an undesirable behaviour. Two days
suspension
Extinction When behaviour is not reinforced it tends toget extinguished . Eg ignore students who have doubts
and raise a hand.Theory of the broken glass
Fixed Interval schedule Rewards are spaced at
uniform time interval
Variable interval schedule Rewards are initiated after
a fixed or constant number of responses
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Schedules ofReinforcement
Continuous reinforcement A desired behaviour is
reinforced every time it is demonstrated.
Intermittent reinforcement A desired behaviour is
reinforced often enough to make the behaviour worthrepeating but not every time its demonstrated.
Behaviour Modification
A. Identify critical behaviour for the employees job
performance.
B. Develop Base line performance data. How many
times it occurs
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Values
Values represent basic convictions.
Established in childhood parents, friends
They contain a judgement element carry an
individuals idea what is right, good ordesirable.Eg Capital punishment good or bad
Values basic convictions that a specific modeof conduct is personally or socially preferable toan opposite mode of conduct ..eg girls wearing
jeans in a village. Values Differs from country to country, Org to
Org etc
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Value systems
We assign importance to values such as freedom,pleasure, self respect, honesty, equality, obedience etc..
Values have both content and intensity attributes.
Content attribute says a mode of conduct is important.
The intensity speaks of it importance
When we rank a person values in terms of their intensity,we obtain value system
Eg Infosys honesty, integrity, respect for process,
Delight the customer,employees are precious assets etc Phanesh Murthy
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Attitudes
Attitudes are evaluative statements
either favourable or unfavourable
concerning objects, people or events They
reflect on how one feels about something
I like my job I am expressing my attitude
about work.
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Perception
Perception is a process by which individuals organiseand interpret their sensory impressions in order to givemeaning to their environment.
However what one perceives can be substantially
different from objective reality Individuals behave in a given manner based not on theway their external environment actually is but on whatthey see or believe it to be.
Dissatisfaction with working conditions or the belief thatthere is a lack of promotional opportunities are
judgements based on attempts to create meanings out ofones job. Importance of Socializing new employee orinduction programme, etc
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Personality
Some people are quiet and passive.
Some are loud and aggressive
Some have a smiling face Psychologists talk of Personality as adynamic concept
Its deals with the growth and development
of a persons whole psychological system It is the sum total of ways in which an
individual interacts and reacts with others.
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Personality
Personality is the Dynamic organisation within theindividual of those psychological systems that determinehis unique adjustments in his environment.
External and internal
It is often described in terms of measurable traits that aperson exhibits
Emotions are intense feelings that are directed atsomeone or something egs anger
Moods are feelings that tend to be less intense thanemotions and that lack a contextual stimulusyou arenot just normal at that time, mood swings
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Personality determinants
1. Heredity are factors that were determined at
conception.Physical stature, facial
attractiveness, gender, biological rhythms etc
are characteristics that are generally consideredto be either completely or substantial influenced
by who your parents are : by their biological,
physiological and inherent psychological
makeup. Personality factors are not completely dictated
by heredity.
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Personality determinants
2. Environment
The culture in which we are raised, our early
conditioning
The norms among are family friends, and
social groups etc. Competitive environment
3. Situation
Personality changes as per situation- Egjoining politics,HR role in manufacturing, IT etc
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Personality Traits
Personality revolves around attempts to identify
and label enduring characteristics that describe an
individuals behaviour
Shy, Aggressiveness, Submissive, lazy, ambitious,
loyal timid, are some popular characteristics.
These characteristics when exhibited in a large
number of situations are called personality Traits.
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Foundations of Group Behaviour
A group is defined as two or more individuals ,interacting and interdependant who have cometogether to achieve particular objectives. Groups
can be formal or informal. A formal group we mean those defined by theorg. structure with designated workassignments. Eg Six members taking making upan airline crew is a formal group.
Informal groups - the alliances are neitherformally structured nor organisationallydetermined.These are natural formations.
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Stages of Group development
5 Stage Model
Groups generally pass thru a standardizedsequence in their evolution.
Forming - Testing the waters, uncertanity stage
purpose, structure etc Storming stage Knowing each other
Acceptance stage
Norming stage Closeness develops -
Discussion stage Performing stage Functional - Action oriented
Adjourning stage Results, wrapping up
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Why do people join groups
Security Dont want to stand alone
Status Provides recognition and status
Self Esteem Feeling of self worth.
Affliliation Groups can fulfill social needs, thejob interactions are sources for fulfilling theirneeds for affiliation
Power There is power in numbers what cant
be achieved individually Goal achievement Pool talents, knowledge, to
achieve group goals
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Teams
Groups and Teams are not the same.
Teams - different meanings
A number of people with complementary skills
who are committed to a common purpose,goals
and approach for which they are mutually
accountable. Team
A work Team A group whose individual effortsresult in a performance that is greater than the
sum of the individual inputs.
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Org. Structure and Design
An org. structure defines how job tasks are formally defined,
grouped and coordinated. Six Key elements
1. Work specialisation To what degree are activities subdivided
into separate jobs? Henry Ford did it effectively. Every employeewas given a specific task division of labour.
2. Departmentalisation On what basis will jobs be groupedtogether Result - Obtain efficiency by putting like specialiststogether.
3. Chain of command To whom do individuals and groups report to
The unbroken line of authority extends from the top CEO to thebottom most worker. Authority and Unity of command/
4. Span of control How many individuals can a manager efficientlyand effectively direct. Narrow or wide..it depends
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Common Org Designs
Simple structure Not elaborate , low degree ofdepartmentalization, wide spans of control. Centralizedin a single person. Small firms
The bureaucracy Highly routine operating tasks, veryformal rules and regulations, narrow spans of control,high degree of standardization .Govt. offices
Matrix structure Breaks the unity of command, two
bosses, dual chain of command. There are multiplicity ofcomplex and interdependent variables. But here there isefficient allocation of specialist. Eg Hospitals, Advt firms,Mgmt consultancy firms etc
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New Design Options
Team structure The use of teams as the central device to
coordinate work activities. It breaks down dept. barriers and
decentralizes decision making.
Virtual org. Do things project by project. Why own when you can
rent..outsourcing firms are best egs. Earlier movie making byMGM, Warner brothers, 20th century fox etc.. Huge employee
strengthnow small cos come together do films as projects by
projects.
Boundaryless Organisation Jack Welch ex CEO OF General
Electric coined this term. He wanted GE to become a BO. It has not
achieved this monstrous sizebut good progress made. Here it
eliminates the chain of command, little spans of control, with
empowered teams
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Power and Politics
Not easy to talk on Power
People who have it deny it.
People who want it try as though they are not seeking for it
Those who are good at getting it are secretive about how they gotity.
A capacity that A has to influence the behaviour of B so that Bacts in accordance with As wishes
Bases of power
a) Formal power - it is based on an individuals position in an org.
b) Cooercive power Here the power base in dependent on fear
c) Reward power Compliance is achieved based on the ability todistribute rewards that others view as valuable. Pay rises, bonusetc
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Power and Politics
a) Cooercive power Here the power base is dependenton fear
b) Reward power Compliance is achieved based on theability to distribute rewards that others view as
valuable. Pay rises, bonus etcc) Legitimate power Its the formal authority to control
and use org. resources. Its based on structural position
Information power Comes from access to controlover information
Personal power No formal position in an org. Its fromones individuals uniques characteristics.
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Personal Power
Expert Power is influence weilded as a resultof expertise , special skill,or knowledge.Specialists, Domain experts,
Referent power is based on identification witha person who has desirable resources orpersonality traits. If I like , respect and admireyou, you can exercise power over me because Iwant to please you.
Charismatic power Its an extension of referentpower - Charismatic qualities
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Power and Politics
Political Behaviour There have been noshortage of definitions for org. politics
Its focussed on the use of power to affect
decision making in the org. or on behaviours bymembers that are self servicing andorganisationally unstructured
Activities that are not required as part of ones
formal role in the org.but that influence orattempt to influence the distribution ofadvantages and disadvantages within theorganisation.
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Decision Making
We dont see things as they are, we see things as we
are.
Perception is a process by which individuals organize
and interpret their sensory impressions in order to givemeaning to their environment.
Attribution theory When individuals observe behaviour ,
they attempt to determine whether it is internally or
externally caused.
Selective perception
Halo effect
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Rational decision making process
Define the problem What course to do, whatspecialization to take, Co. where to do sales ?
Identify the decision criteria what is relevant indecision making if its studies eg interest,scope etc
Allocate weights to the criteria Huge payoffs
Develop the alternatives For a job IT ormanufacture
Evaluate the alternatives Four personal careerplans
Select the best alternative
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Decision making in Org
Improve creativity in Decision making egrejecting many techs while recruitment ,train them.
Bounded Rationality Individuals makedecisions by constructing simplifiedmodels that extract the essential featuresfrom problems without capturing all thecomplexity.
Ethics in decision making
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Conflict and Negotiation
I dont want any yes men around me. I want everybodyto tell me the truth even if it costs them their job, SGoldwin.
No shortage of definitions
Conflict can be a serious problem in an org.
Conflict also has a positive side.
Conflict is akin to Negotiation.
Conflict as a process begins when one party perceives
that another party has negatively affected , or is about tonegatively affect , something the first party cares for.
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Types of conflict
Traditional view
All conflicts are bad. Its negative.Its used with negative
synonyms violence, destruction, irrationality etc.
This is based on the group behavious in 1930s and1940s
Conflict was seen as a dysfunctional outcome mainly
resulting from poor communication,a lack of openess
and trust between people,failure of Managers to respond
to needs of employees.
So conflict has to be avoided.
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The Types of conflict
Interactionist View
Conflict is not only a positive force but it isabsolutely necessary for a group to
perform effectively.
Have a minimum level of conflict
encourage to keep the group viable, self
critical and creative.
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Stress Management
Stress is discussed mostly in a negative
context but it has a positive value also.
Eg superior performance of an athelete,ora stage performer etc. Professionals use
stress postively,job satisfaction, challenge
etc
Stress is associated with constraints and
demands.
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Constraints and Demands
Constraints Prevents you from doing
what you desire
Demands Refers to the loss of
something desired
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Potential sources
Environmental factors
Economic uncertainity
Political uncertainity
Technology uncertainity
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Organisational factors
Task demands
Role demands
Interpersonal demands Org. structure
Org leadership
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Individual factors
Family problems
Economic problems
Personality
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Individual differences
Perception
Job experience
Social support Belief in locus of control
Self efficacy
Hostility
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Consequences
Physiological symptoms headaches,
high blood pressure, heart diseases
Psychological symptoms anxiety,depression, decrease in job
satisfaction
Behavioural symptoms- Low productivity,
absenteeism, turnover etc
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Communication
Its the transference and understanding of
meaning
Communication process Sender and
receiver
Sender
Encoding a thought
Message Actual physical product
Channel medium
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Communication
Decoding To be translated to a form to
be understood by the receiver
Noise Communication barrier
Feedback
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Stephen Robbins
First edition was published in 1979
This is a global text book.Used in more than1000 colleges and universities world wide.
Its the number one selling book OB book in USCanada, Mexico, Hongkong, Africa, Australiaetc
The book has been written in a veryconversational style
Students may not remember a concpetbutthey will remember an exmplelots of examplesin this book