Unit ii ob at individual level

Learning Block I: Study of OB at Individual Level

Graduate Teaching Notes on OB

(2015)

Dr Chanakya P Rijal

Nepal College of Management

In Affiliation with

Kathmandu University, School of Management

Lalitpur, Nepal

March 22, 2015 1Dr Rijal's Discourses on OB

Unit II: Organizational Psychology at Individual Level

The Contents

1. Importance of human attitude, perception, personality, learning and motivation in organizational psychology.

2. Theoretical perspectives of job satisfaction, motivation, learning, and personality development.

March 22, 2015 Dr Rijal's Discourses on OB 2

1. Human Attitude in Organizational Psychology

Meaning:

Attitude may be defined as the evaluative statement or judgment over an event, process, people, idea, or an object.

Such statements may be favorable or unfavorable about the considered event, process, people, idea, or an object.

Thus, it has two directions – positive and negative.


Attitude Meaning and Definition

The posture, action, or disposition of a figure or a statue.

Position as indicating action, feeling, or mood; as, in times of trouble let a notion preserve a firm attitude; one's mental attitude in respect to religion.

The posture or position of a person or an animal, or the manner in which the parts of his body are disposed; position assumed or studied to serve a purpose; as, a threatening attitude; an attitude of entreaty.

March 22, 2015Dr Rijal's Discourses on OB4

Attitude Vs Opinion…

Attitude generates stimuli by the help ofpredisposition.

Stimuli helps to judge a set of facts, or theevaluation of facts.

Opinion is the final outcome of thisjudgment.


• Beliefs are much stronger than the opinions.

• Beliefs are less affected by the pro or con positions fundamental in attitude, than are opinions

• Action is what separates belief from opinion.

• Attitude, opinions, and beliefs are closely tied together in real life that it is difficult to separate them except on a limited conceptual basis.


How are attitudes influenced?

They are influenced simply by --

– Culture

– Value system

– Family and social system

– Social class and religion

– Inherent personality traits

– Other circumstances


Attitude change• According to Catz (1960), attitudes may

undergo changes as per their functional types.

• Utilitarian: Adjustive ones and can be recognized most easily in change situations. One of the most controversial examples of utilitarianism was the dropping of the atomic bomb on Japan during WWII.

• Ego-defensive: these attitude protect a person from threats to the ego and the anxiety generated by them. For example, a wife who learns her husband is dying tries to learn all she can do for survive.


Attitude changeValue expressive: attitudes those attempt to protect self identity or leading to self expression and determination. e.g., "What sort of man reads Playboy?“

Knowledge function: these attitudes promote in individuals towards knowledge enhancement. e.g., "Bayer wants you to know about pain relievers"


Types of change of attitudesCongruent change: change happens in the same direction by strengthening the power of attitude. For example, a less serious student converting into a more serious one.

i. Positive: To more positive

ii. Negative: To more negative

Incongruent change: change happens in opposite direction. For example, the conversion of a dull and non-intelligent student into an interesting and intelligent student.


Factors involved in Attitude change• Person itself and his/her level of interest and

motivation

• Surrounding, or situation, or circumstances beyond the person.


Applications of attitude change Applications of attitude change in

management are: organizational change, development, re-engineering, kaizen, re-design, innovation, etc.

At the same time,

government agencies

at any level.


Components of Attitude

Basically, there are THREE components of attitude:

1. Cognitive component: Opinion or belief segment of an attitude. Example: My boss is so good!

Cognitive = Evaluation

2. Affective component: The emotional or feeling segment of attitude. Example: I am happy with my boss.

Affective = Feeling

3. Behavioral component: An intention to behave in a certain way toward someone or something. Example: I want to continue working under the supervision of my boss.

Behavioral = ActionMarch 22, 2015 Dr Rijal's Discourses on OB 13

Major Job Attitudes

1. Job satisfaction: The extent of positive feeling on a job.

2. Job involvement and engagement: The degree to which one identifies content for self with a job, participates in it, and considers job performance worth caring.

3. Psychological empowerment: Job holder’s perceived meaningfulness of the contribution and autonomy.

4. Organizational commitment: The extent to which the organizational system is perceived to be worth serving for what it has communicated to.

5. Perceived organizational support: The extent to which the employee believes that the organization cares for its people.


Outcomes of Positive Job Attitudes

1. Employee job satisfaction

2. Employee empowerment

3. Job involvement and engagement

4. Supportive employee behavior

5. Better organizational process climate and culture

6. Higher degree of employee retention


2. PERCEPTION

Perception is the process by which an individual organizes and interprets his or her sensory impression in order to give meaning to the environment he or she is exposed to.

It is a way of sensing.


Perception refers to the way we try to understand the world around us.

We gather information through our five sense organs, but perception adds meaning to these sensory inputs.

A situation may be the same but the interpretation of that situation by two individuals may be immensely different.


Directions of Perception

Positive Negative


Elements of perception

Sensory receptors

The absolute threshold

The differential threshold

Subliminal perception


1. Sensory receptors: eyes, ears, nose, tongue, skin, etc.

2. Absolute threshold: the lowest level at which an individual can experience sensation.

3. Differential threshold: minimal differences that can be detected between two stimuli.

4. Subliminal perception: perception of very weak or rapid stimuli received below the level of conscious awareness.


Sensory organs Registration Interpretation

Action

Consequences

Attention

Interest

Feedback

PERCEPTION PROCESS


Factors influencing perception

Factors in perceiver

• Attitude

• Motives

• Interest

• Experience

• Expectation

Factors in situation

• Time

• Work setting

• Social setting

Factors in target

• Motion

• Sound

• Size

• Background

• Similarity


Social Perception

The perception people form about each other.

It refers to the processes through which we use available information to form impressions of other people, to assess what they are like.


Attribution Theory When we observe people, we attempt to develop

explanations of why they behave in certain ways.

Our perception and judgement of a person's action is significantly influenced by the assumptions we make about that person's internal state.

Attribution theory provides explanations of the ways in which we judge people differently, depending on what meaning we attribute to a given behavior.


When we observe an individual's behavior, we attempt to determine whether it was internally caused or externally caused.

Internally caused behaviors are those that are believed to be under the personal control of the individual.

Externally caused behaviors are those that are seen as resulting from outside causes i.e., the person is seen as having been forced into the behavior by the situation.March 22, 2015 25Dr Rijal's Discourses on OB

And that determination depends largely on THREE factors.a. Distinctiveness

b. Consensus and

c. Consistency

a. Distinctiveness

It refers to whether an individual displays different behavior in different situations, whether the behavior is unusual.

If it is, the behavior is judged as an external.

If the action is not unusual, it will be judged as internal attribution.March 22, 2015 26Dr Rijal's Discourses on OB

b. Consensus

We can say a behavior shows consensus, if everyone who faces a similar situation and responds in the same way.

If consensus is high, the behavior is attributed to external causes

If it is low, it would be attributed to internal causes.

c. Consistency

Lastly, it is consistency in a person's actions.

The more consistent the behavior, the more it is attributed to internal causes.


Errors or biases that distort attributions

a. Tendency of poor estimation

b. The self-serving bias

c. Stereotype

d. Halo effect

e. Projection


a. Tendency of poor estimation

We have a tendency to underestimate the influence of external factors and overestimate the influence of internal or personal factors when we make judgments about the behavior of other people.


b. The self-serving bias

Self-serving bias is the tendency for individuals to attribute their own successes to internal factors while putting the blame for failures on external factors.


c. Stereotype

Judging someone on the basis of ones perception of the group to which that person belongs to.

It is a means of simplifying a complex world, and it permits us to maintain consistency.

It is less difficult to deal with an unmanageable number of stimuli if we use stereotypes.


d. Halo effect

It refers to the tendency of forming a general impression about an individual on the basis of a single characteristic feature.

A person smart dressed and very fluent in English often tends to create favorable impression on interviewer though the job is of an accountant or engineer, requiring little or no verbal fluency.


e. Projection

Attributing one’s own characteristics to the other people.

It is easy to judge other people by assuming that they are similar to us.

A person who engages in projection tends to perceive the other people according to what he/she is personally like rather than according to what they are really like.


Outcomes of Improved Employee Perception

1. Improved interpersonal and organizational value

judgment system

2. Improved organizational decision-making

3. Increased level of interdependence among the people

4. Improved organizational relations within and beyond

the organizational boundaries

5. Improved level of trustworthiness at individual, group

and systems level


3. Personality

Meaning

The inside-out features of a person observed and sensed by the fellow members is known as one’s personality.

Personality refers to a dynamic and organized set of characteristics possessed by a person that uniquely influences his or her cognitions, motivations, and behaviors in various situations.

Personality is the sum total of ways in which an individual reacts and interacts with others.

Basically, personality comprises of psychological, physiological and social dimensions of individual traits.


Personality is the combination of emotional, attitudinal, and behavioral response patterns of an individual.

The pattern of responses may vary according to change in situation and environment.

Personality is broad amorphous designation relating to fundamental approaches of person to other and themselves.

It is a study of the characteristics of an individual relationships between these traits and the ways in which the person adjusts to other people and situation.


PERSONALITY DEVELOPMENT Family is the major source for the development of personality.

Self-discipline is an important factor in bringing change in personality.

Marriage may bring large difference in a man or woman.

Personality development consists of personal development that includes physical, mental and social development.

The profile of stable beliefs, moods, and behavior that differentiate among children and adults who live in a society.

Role modeling plays a vital role in personality development.

Awarding more importance to personality development is significant in all societies and organizations today.

The children wish to possess the qualities that their culture regards as good.


Attributes of Personality

1. Physical or biological attributes: Gender, body structure, height, hair style, color of the pupil of the eyes, etc.

2. Psychological or intellectual attributes: Skill competence, scholarship, knowledge, memory, etc.

3. Social attributes: friendliness, outgoing, people-based, team player, etc.


Determinants of Personality

a. Heredity

b. Environment

c. Situation


a. HeredityThe factors determined at

conception. Physical stature, facial

attractiveness, sex, temperament, energy level, and biological rhythms are characteristics generally considered to be brought down to you from your parents.

The contribution of heredity to personality development is vividly clear for developing external appearance, behavior, social stimuli, self inner awareness, and other traits.


b. EnvironmentCultural factors: The accepted norms of social behavior are known asculture. The way in which people behave with others and the drivingforce of such functions are considered significant components ofculture.Religion: A strong belief in a supernatural power that controls humandestiny. Religion plays a significant role in shaping one's personality.Hindus have different personalities compared to Buddhists.Family: Children learn from their parents, sisters and brothers. Familyis the first factor affecting personality development, after hereditarycharacteristics are endowed. Children nurtured under a warm, lovingenvironment are positive and active as compared to the childrenneglected by their parents.Parental Influences: Positive or negative personalities of children aredependent on their parents characteristics and mutual behavior.Children develop negative personalities if their parents do not havegood relationship. Proper parental guidance to children makes themactive and efficient.March 22, 2015 41Dr Rijal's Discourses on OB

c. Situation

Internal Factors: The beholder’s level of socialization,understanding, knowledge, maturity, experience, age,tenure, etc. may have significant impact indetermining personality and its development.

External Factors: Time and urgency, requirements,fellow members’ familiarity with the beholder andtheir acceptance, etc. also may have varying effectson personality formation and development.


Effect of locus of control in personalityRefers to the extent to which individuals believe that they can control events that affect them.

Individuals with a high internal locus of control believe that events result primarily from their own behavior and actions. Those with a low internal locus of control believe that powerful others, fate, or chance primarily determine events.


Some Personality Test and Application Tools

a. Myers-Briggs Type Indicator (MBTI)

b. The Big FIVE Model

c. Risk Taking

d. Personality Types


a. Myers-Briggs Type Indicator (MBTI)

The Myers-Briggs Type Indicator (MBTI) assessment is a psychometric questionnaire designed to measure psychological preferences in how people perceive the world and make decisions.

It taps four characteristics and classifies people into 1 of 16 personality types.

Extroverted vs. Introverted (E or I)Sensing vs. Intuitive (S or N)Thinking vs. Feeling (T or F)Judging vs. Perceiving (P or J)


Practice this tool in SAL given to you

A FEW PERSONALITY COMPARISION EXAMPLES


b. The Big FIVE Model1. Openness to experience: (inventive/curious vs. consistent/cautious). Appreciation for art, emotion, adventure, unusual ideas, curiosity, and variety of experience.2. Conscientiousness: efficient/organized vs. easy-going/careless). A tendency to show self-discipline, act dutifully, and aim for achievement; planned rather than spontaneous behavior.3. Extraversion – (outgoing/energetic vs. solitary/reserved). Energy, positive emotions, and the tendency to seek stimulation in the company of others.4. Agreeableness – (friendly/compassionate vs. cold/unkind). A tendency to be compassionate and cooperative rather than suspicious and antagonistic towards others.5. Emotional stability/Neuroticism – (sensitive/nervous vs. secure/confident). A tendency to experience unpleasant emotions easily, such as anger, anxiety, depression, or vulnerability.


c. Risk-Taking

High Risk-taking Managers• Make quicker decisions• Use less information to make decisions• Operate in smaller and more entrepreneurial

organizations

Low Risk-taking Managers• Are slower to make decisions• Require more information before making

decisions• Exist in larger organizations with stable

environmentsMarch 22, 2015 48Dr Rijal's Discourses on OB

Assess your tendency of risk taking by practicing

the SAL exercise

d. Personality TypesType A: Type A individuals are more ambitious, aggressive, business-like, controlling, highly competitive, impatient, preoccupied with their status, time-conscious, and tightly-wound. Type A people are often high-achieving "workaholics" who multi-task, push themselves with deadlines, and hate both delays and ambivalence. Because of these characteristics, Type A individuals are often described as "stress junkies" by individuals with Type B or other personality types.

Type B: Type B individuals are perfect contrast to those with Type A personality. People with Type B personality are generally patient, relaxed, easy-going, and at times lacking an overriding sense of urgency. Because of these characteristics, Type B individuals are often described as apathetic and disengaged by individuals with Type A or other personality types.


Using SAL exercise, try to figure out your personality type.

Outcomes of Personality

1. Rationalized employee selection and development

2. Interdependence, relationship and trustworthiness

3. Contribution in the organizational culture

4. Institutional promotion and market relationship

5. Increased self confidence and commitment

6. Enhanced creativity through expertise, task

motivation and creative skills


4. Learning

Meaning Learning is a means to create relatively permanent

change in one’s behavior. Change in behavior refers to shaping up the behavior

for some defined purpose. Relatively permanent in the sense that it may go on

accumulating the knowledge about things, events or people over time.

Learning in behavioral science, is beyond academic knowledge or skill competence in doing something; it is all about knowing or understanding the phenomenon.

Learning is always situational.


Three Major Theories of Learning in OB

1. Classical Conditioning

2. Operant Conditioning

3. Observational Learning

4. Social Learning


Pavlov’s Classical Conditioning Theory of Learning Evan Pavlov, a Russian Psychologist and winner of Nobel

Prize in 1904 for his work on digestion, is best known for his research on Classical Conditioning and propagating a universal approach in learning as the outcomes of the research.

Classical conditioning is a basic form of learning in which one stimulus comes to serve as a signal for the occurrence of a second stimulus. For example, ringing the bell followed by serving the food to the dog and salivation happening in the dog.

During classical conditioning, organisms acquire information about the relations between various stimuli, not simple association between them.


Pavlov’s Classical Conditioning Theory of Learning


Unconditioned Stimulus (UCS)

Unconditioned Response (UCR)

A stimuli that can evoke an unconditioned response in the first time it is presented. Calling the dog with its name, following a bell-ring.

The response evoked by an unconditioned stimulus. The dog looks at the source/s of the call.

Conditioned Stimulus (CS) Unconditioned Response (CR)

The stimulus that is repeatedly paired with an unconditioned stimulus.Once the dog is ready to look at, serving of food to eat.

The response to the conditioned stimulus. Salivation on seeing the food.

Operant Conditioning

Learning based on consequences.

Operant learning is a form of learning in which behavior is maintained, or changed, through consequences.

For example, the views the politicians express often reflect the public opinion through different polls.

Employee satisfaction may be taken as a result of level of care and support by the boss.


Operant Conditioning Theory of Learning


Operant Conditioning Reinforcement

A process through which organisms learn to repeat behavior that yields positive outcomes, or permit them to avoid or escape from negative outcomes

The application or removal of a stimulus to increase the strength of a specific behavior.

Positive Reinforcement Premack Principle

The stimuli that strengthens responses that precede them.

Principle stating that a more preferred activity can be used to reinforce a less preferred activity.

Social Learning

The newly hired employee understands the reality within the organization after socializing with the peer workers.

What boss had said about the organization during the selection interviewed may not rightly be the truth. What the peer workers said about it may be the truth.

Learning may go in positive or negative direction.


Observational Learning

The theory believes that a significant amount of learning results from watching other people’s behavior in action in many instances.

We learn so many things by watching the children in action.

The subordinates perform better in a critical problem if they are provided with a finely designed demonstration of the operating process before they perform.

I see, I learn.


4. Motivation1. Definition of motivation2. Content theories of motivation

a. Maslow’s Need Hierarchyb. Herzberg’s Two-Factor Theoryc. McClelland’s Learned Needs Theoryd. ERG Theory

3. Process theories of motivationa. Adam’s Equity Theoryb. Vroom’s Expectancy Theoryc. Locke’s Goal Setting Theory

4. Cognitive Theories of Motivation

a. Achievement Theory

b. Attribution Theory


Definition of Motivation

• A tendency to expend effort to achieve goals

• The psychological processes that cause for arousal, direction, task persistence, task involvement, and goal directed behavior are the keys to motivation

• Motivation is only one determinant of performance

• Performance is also influenced by abilities or traits and role perceptions and opportunities


Motivation Defined• The forces that move people to perform their jobs. • An stimulus, internal or external, influences,

persuades, or directs the behavior of human beings.

• Motivation is the willingness to achieve organizational objectives.

• Through the motivation process, people go from need to motive to behavior to consequence and finally to either satisfaction or dissatisfaction.

• Motivation is a general term applying to the entire class of drives, desires, needs, wishes, and similar forces.


The Need-Want-Satisfaction Chain

actions

Needsgive

raise towants

whichcause

tensionswhich give

raise tothat result in

satisfaction


Difference between Motivation and Satisfaction

Motivation Results

Satisfaction


Challenges of Motivating Employees

• Layoffs, restructuring

–Damaged trust, commitment

• Flatter organizations

–Fewer supervisors to monitor performance

• Changing workforce

–Younger staff have different needs

–Diverse workforce variety of motivation practicesMarch 22, 2015 64Dr Rijal's Discourses on OB

What Motivates Employees• Money• Participation• Quality of work life• Job enrichment• Need enrichment• Physical conditions• Training and development• Recognition• Challenging job• Good coworkers, boss, inspectors, and so on


Selected Theories of Motivation

I. Content Theories of Motivation

II. Process Theories of Motivation

III. Cognitive Theories of Motivation


I. Content Theories

• Focus on factors within a person

• Attempt to identify what specific needs motivate people

• Also known as need theories of motivation

• The main content theories of motivation include:

Maslow’s Hierarchy of Needs

Herzberg’s Two-Factor Theory

McClelland’s Learned Needs Theory

ERG Theory


Self-

Actualization

Esteem

Belongingness

Safety

Physiological

Growth

Relatedness

Existence

MHerzberg’s

Two-Factor Theory

Motivators

Hygienes

Need for

Achievement

Need for

Power

Need for

Affiliation

McClelland’ Learned

Needs Theory

Alderfer’s

ERG Theory

Maslow’s Needs

Hierarchy Theory



• Defines five needs arranged in hierarchical order:

• Physiological needs are physical needs common to all (e.g. need for food, water)

• Safety needs refer to physical or psychological protection

• Social needs refer to love and social acceptance

• Esteem needs refer to master life experiences; the need for success

• Self actualization needs refer to achieve one’s creative potential; to be all that one is capable of being


Self-Actualization

Esteem

Love/Belongingness

Safety

PhysiologicalLower Order Higher

Strength Needs

Higher Order Lower

Strength Needs


Needs Hierarchy Theory

Needs Hierarchy Theory

• Maslow arranged five needs in a hierarchy

• Satisfaction-progression process

• People who experience self-actualization desire more rather than less of this need

Self-Actualization

Esteem

Belongingness

Safety

Physiological



• Recap: Individuals attempt to satisfy basic needs before directing behavior toward higher order needs

• Practical value: user-friendly theory for managers

• Limitations:

– Doesn’t address individual differences (eg., order and intensity of need deprivation, time between stages, etc.)

– Needs are dynamic and are subject to change


Self

Actualization

Esteem

Love/Belongingness

Safety

Physiological

Relatedness

Growth

Alderfer’s ERG Theory

Existence


ERG

Theory

Needs Hierarchy

Theory

ERG Theory: Originated from Maslow’s Hierarchy

• Alderfer’s model has three sets of needs

• Adds frustration-regression process to Maslow’s model

Self-

Actualization

Esteem

Belongingness

Safety

Physiological

Growth

Relatedness

Existence


Herzberg’s Two-Factor Theory

Recap: not all elements of a job can motivate…but they can certainly aggravate!

– Hygiene factors are necessary, but not sufficient

– Motivators have to be there

Practical value: Managers can fine-tune job and job environment to include motivators

Limitations:

– Assumes every employee has similar needs

– Hasn’t been updated to reflect current situation toward job security and pay


Extremely satisfied Neutral Extremely dissatisfied

Motivators• Achievement• Recognition• Work itself• Responsibility• Advancements• Growth

Hygiene Factors• Supervision• Company policy• Relationship with supervisors• Working conditions• Salary• Relationship with peers• Personal life• Relationship with subordinates• Status• Security


McClelland’s Learned Needs Theory

Recap: Certain needs are learned, and individuals will be more likely to engage in behavior to satisfy these needs.

• Need for achievement (set difficult goals for him/her)

• Need for power (encourage individual to make decisions and to persuade others)

• Need for affiliation (place person in work teams)

Practical value: management can focus on these needs in employees so that needs satisfaction can match organizational goals.

Limitations

– Complicated to understand

– Lack of testing of the motivators and hygiene factors


Implications of Content Theories

• Match rewards with employee needs

• Offer employees a choice of rewards

– people have different needs at different times

• Limit use of financial rewards as a source of motivation


II. Process Theories

• Focus on factors external to a person

• Attempt to identify how behavior is initiated, directed, and sustained

• The key process theories:

Adam’s Equity Theory

Vroom’s Expectancy Theory

Locke’s Goal Setting Theory


Adam’s Equity Theory• A theory based on the social comparison between

an individual and a referent

• Focuses on perception of how fairly individual is being treated

• Equity is achieved when the ratio of individual’s outcomes to inputs equals that of a referent other’s

Inputs – characteristics the person brings to the job such as education, skills, experience, etc.

Outcomes – what the individual receives from job such as pay, recognition, benefits, etc.


Adam’s Equity Theory

Restoring equity: Individuals can…

• Change inputs (eg., put in less hours)

• Change outcomes (eg., ask for raise)

• Change referent other (eg., compare to peer)

• Change the situation (eg., quit job)

Note: maintaining employee perceptions of equity is critical role of managers


Elements of Equity Theory

Outcome/input ratio– inputs -- what employee contributes (e.g. skill)– outcomes -- what employees receive (e.g. pay)

Comparison other– person/people we compare ratio with– not easily identifiable

Equity evaluation– compare outcome/input ratio with

the comparison other


Overreward vs Underreward Inequity

YouComparison

Other

Outcomes

Inputs

Outcomes

Inputs

Overreward

Inequity

Outcomes

Inputs

Outcomes

Inputs

Underreward

Inequity


Equity Theory

I/O = I/O


Consequences of Inequity

• Change inputs

• Change outcomes

• Change perceptions

• Leave the field

• Act on the comparison other

• Change the comparison other


Equity Sensitivity

Benevolent

– Tolerant of being underrewarded

Equity Sensitive

– Want ratio to be equal in comparison to others

Entitled

– Prefer receiving proportionately more than others


Workmotivation

Growthsatisfaction

Generalsatisfaction

Workeffectiveness

Job Characteristics Model

Feedbackfrom job

Knowledge

of results

Skill variety

Task identity

Task significance

Meaningfulness

Autonomy Responsibility

Individual

differences

CriticalPsychological

States

Core JobCharacteristics

Outcomes


Vroom’s Expectancy TheoryMotivation depends on individuals’ expectations about their ability to perform tasks and achieve desired rewards

E P expectancy: putting effort into a given activity will result in high performance

P O expectancy: successful performance of a task will lead to desired outcome

Valence: the value a person places on an outcome

Problem: Assumes that employees always make conscious decisions


Effort Performance

E-to-P

Expectancy

P-to-O

Expectancy

Outcomes

& Valences

Outcome 1+ or -

Outcome 3+ or -

Outcome 2+ or -

Expectancy Theory of Motivation


Expectancy Theory in Practice

Increasing the E-to-P expectancy– training, selection, resources, clarify roles,

provide coaching and feedback

Increasing the P-to-O expectancy– Measure performance accurately, explain how

rewards are based on past performance

Increasing outcome valences– Use valued rewards, individualize rewards,

minimize countervalent outcomes


VIE Theory

Valence

Instrumentality

Expectancy


VIE Theory

Valence: The importance (valence) of the reward; is the reward important?

Instrumentality: Does one believe that improved performance leads to greater rewards?

Expectancy: Does one believe that increased effort leads to improved performance?


Locke’s Goal Setting Theory• Process of establishing goals to achieve motivation

– typically involving superior and subordinate working together

– goal is defined as a specific target that an individual is attempting to achieve

• Attributes of cognitive process of goal setting:

• Goal specificity – degree of clarity of goal

• Goal difficulty – degree of proficiency or performance sought

• Goal commitment – amount of effort used to achieve goal


Locke’s Goal Setting TheoryTends to encourage motivation when

– Goals are stated in specific, clear terms

– Goals are difficult, but not attainable

– Individuals can participate in goal setting process

Criticisms

– Difficult to sustain

– Doesn’t work well for complex jobs

– Game playing is encouraged (e.g., setting low goals)

– Goal accomplishment can become an obsession


Effective Goal Setting

Task

Effort

Task

Performance

Specific

Relevant

Challenging

Difficulty

Participation

Commitment


Goal Setting at CDW Computer CentersCDW Computer Centers has

become a leading direct

marketer of computers and

peripherals by setting specific,

challenging goals for its

employees. “We set BHAGS --

which are big, hairy aggressive

goals,” says CEO John A.

Edwardson (shown here).


Area of

Optimal

Goal

Difficulty

Effect of Goal Difficulty on Performance

High

Task

Perf

orm

an

ce

Low Moderate Challenging Impossible

Goal Difficulty


III. Cognitive Theories of Motivation

Suggests that motivation is a function of cognition and thought; that is, what we think about what is happening influences motivation

• Achievement Theory

• Attribution Theory


Achievement Theory

• Suggests that motivation is a function of the interaction between one’s need for achievement/fear of failure and the difficulty level of the task

• The need for achievement can be defined as a tendency to approach new/novel tasks

• The fear of failure can be defined as a tendency to avoid new/novel tasks


High Need for

Achievement

Low Fear of

Failure

Low Need for

Achievement

High Fear of

Failure


Initial Success Initial Failure

High

Need for

Ach.

LowNeed for

Ach.

Motivation

Decreases

Motivation

Increases

Motivation

Increases

Motivation

Decreases

High

Need for

Achievement

Low Need for

Achievement

EasyModerate Difficult

Low

Motivation

High

MotivationLow

Motivation

High

Motivation

Low

Motivation Low

Motivation

Task Difficulty


Initial Success Initial Failure

High

Need for

Achievement

Low

Need for

Achievement

Motivation

Decreases

Motivation

Increases

Motivation

Increases

Motivation

Decreases


Attribution Theory

• Motivation decreases when we attribute our failures to stable factors like ability and task difficulty

• Motivation increases when failure is attributed to unstable factors like effort

• Motivation is influenced by the reasons we attribute ourselves for successes and failures

• Four attributions: ability, effort, task difficulty, and luck

• The attributions can also be categorized in two dimensions: locus of control (internal, external) and stability (stable, unstable)

• Motivation is high when we attribute our successes and failures to internal factors like ability and effort

• Motivation is low when we attribute our successes and failures to external factors like task difficulty and luck


Internal

Locus of

Control

Stable Unstable

Behavior Behavior

External

Locus of

Control

Effort

Luck

Task

Difficulty

Ability


5. Job Satisfaction

Meaning

It is the extent to which the job holders show pleasure or displeasure of being involved in a particular job.

Job satisfaction is a dependent variable in organization psychology as it is an outcome of job performance and working environment within an organization.

It is measures in two directions, viz. satisfaction and dissatisfaction.


It is perceived from the employees’ points of views on a job.

Can be measured using a number of qualitative as well as quantitative tools.

Is highly instrumental in enhancing organizational productivity, employee loyalty, retention and punctuality.

A satisfied employee intends to create a number of satisfied customers for a company.


Job Satisfaction• One of the primary job attitudes measured.

– Broad term involving a complex individual summation of a number of discrete job elements.

• How to measure?

– Single global rating (one question/one answer) - Best

– Summation score (many questions/one average) - OK

• Are people satisfied in their jobs?

– In the U. S., yes, but the level appears to be dropping.

– Results depend on how job satisfaction is measured.

– Pay and promotion are the most problematic elements.

March 22, 2015Dr Rijal's Discourses on OB 107

Causes of Job Satisfaction

• Pay influences job satisfaction only to a point.– After about $40,000 a year (in the U. S.), there is

no relationship between amount of pay and job satisfaction.

– Money may bring happiness, but not necessarily job satisfaction.

• Personality can influence job satisfaction.– Negative people are usually not satisfied with

their jobs.– Those with positive core self-evaluation are more

satisfied with their jobs.March 22, 2015Dr Rijal's Discourses on OB 108

There may be a number of means of generating job satisfaction, but more important ones are:

Achievement through challenging job

Reward and promotion on achievement

Job excellence contributing to interpersonal relations

Involvement in decision making

Leadership role

Institutional responsiveness and accountability

Position and power given on a job


Causes of Job Satisfaction


Employee Responses to Dissatisfaction

Exit

• Behavior directed toward leaving the organization

Voice

• Active and constructive attempts to improve conditions

Neglect

• Allowing conditions to worsen

Loyalty

• Passively waiting for conditions to improve


Active

Destructive Constructive

Passive

Outcomes of Job Satisfaction1. Job performance: Satisfied workers are more productive

AND more productive workers are more satisfied!

2. Organizational citizenship behavior: Satisfaction influences OCB through perceptions of fairness.

3. Customer satisfaction: Satisfied frontline employees increase customer satisfaction and loyalty.

4. Absenteeism: Satisfied employees are moderately less likely to miss work.

5. Workplace deviance: Dissatisfied workers are more likely to unionize, abuse substances, steal, be tardy, and withdraw.

March 22, 2015Dr Rijal's Discourses on OB

112

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Unit ii ob at individual level

Education