Introduction to Organizational Behavior
Organizational Behavior - systematic study of the actions and attitudes that people exhibit within organizations
The field of OB seeks to replace intuitive explanations with systematic study
Goals of Organisational Behaviour
Explain, predict, and control human behavior
Why Do We Study OB?
• To learn about yourself and how to deal with others• You are part of an organization now, and will continue to be a part of various organizations• Organizations are increasingly expectingindividuals to be able to work in teams, at leastsome of the time• Some of you may want to be managers orentrepreneurs
What Is an Organization?
A consciously coordinated social unit, composed of a group of people, which functions on a relatively continuous basisto achieve a common goal or set of goals.
Determinants of Employee PerformanceProductivityAbsenteeismTurnover
organizational behaviour is a field of study that investigates the impact that individuals, groups and structure have on behaviour withinorganizations, for the purpose of applying such knowledge toward improving an organization’s effectiveness.
Systematic study - the use of scientific evidence gathered under controlled conditions and measured and interpreted in a reasonably rigorous manner to attribute cause and effect
Challenges Facing the Workplace
•Organizational Level• Productivity• Developing Effective Employees• Global Competition• Managing in the Global Village Group Level• Working With Others• Workforce DiversityIndividual Level• Job Satisfaction• Empowerment• Behaving Ethically
Psychology seeks to measure,explain,
and change behavior
Sociology studies people in relation to their
fellow human beings
Social psychologyfocuses on the
influence of peopleon one another
Anthropology is the study of societies
to learn about human beings and their activities
Political science is the study of the
behavior of individuals and groups within
a political environment
Contributing DisciplinesContributing Disciplines
Responding to GlobalizationResponding to Globalization
Increased Foreign AssignmentsIncreased Foreign Assignments
Working with People from Different Working with People from Different CulturesCultures
Coping with Anti-Capitalism BacklashCoping with Anti-Capitalism Backlash
Overseeing Movement of Jobs to Overseeing Movement of Jobs to Countries with Low-cost Labor Countries with Low-cost Labor
OB InsightsOB Insights
Improving People SkillsImproving People Skills
Improving Customer ServiceImproving Customer Service
Empowering PeopleEmpowering People
Working in Networked OrganizationsWorking in Networked Organizations
Stimulating Innovation and ChangeStimulating Innovation and Change
Coping with “Temporariness”Coping with “Temporariness”
Helping Employees Balance Work/Life Helping Employees Balance Work/Life ConflictsConflicts
Declining Employee LoyaltyDeclining Employee Loyalty
Improving Ethical BehaviorImproving Ethical Behavior
•
Definition of LearningDefinition of LearningDefinition of LearningDefinition of Learning
A relatively permanent change A relatively permanent change
in behaviour (or behaviour in behaviour (or behaviour
tendency) that occurs as a tendency) that occurs as a
result of a person’s interaction result of a person’s interaction
with the environmentwith the environment
How Learning Occurs
Classical Conditioning
Bell No Response
Unconditioned Stimulus(Food)
Unconditioned Response(Salivation)
DuringConditioning
Conditioned Stimulus(Bell)
Unconditioned Stimulus
(Food)
Unconditioned Response (Salvation)
Conditioned Response(Salivation)
Conditioned Stimulus(Bell)
Operant Conditioning
Contingencies of Contingencies of ReinforcementReinforcement
Contingencies of Contingencies of ReinforcementReinforcement
Behaviourincreases/maintained
Behaviourdecreases
Consequenceis introduced
Consequenceis removed
PunishmentPunishment
PositivePositivereinforcementreinforcement
ExtinctionExtinction PunishmentPunishment
NegativeNegativereinforcementreinforcement
Noconsequence
Schedules of ReinforcementSchedules of ReinforcementSchedules of ReinforcementSchedules of Reinforcement Behaviours
1 2 3 4 5 6 7 8 9
Continuous
Fixed ratio
Variable ratio
Fixed interval
Time (Days)1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16
Variable interval
Kolb’s Experiential Learning Kolb’s Experiential Learning ModelModel
Kolb’s Experiential Learning Kolb’s Experiential Learning ModelModel
ConcreteConcreteexperienceexperience
ReflectiveReflectiveobservationobservation
AbstractAbstractconceptualizationconceptualization
ActiveActiveexperimentationexperimentation
Developing a Learning Developing a Learning OrientationOrientation
Developing a Learning Developing a Learning OrientationOrientation
Value the generation of new Value the generation of new knowledgeknowledge
Reward experimentationReward experimentation
Recognize mistakes as part of Recognize mistakes as part of learninglearning
Encourage employees to take Encourage employees to take reasonable risksreasonable risks
Action LearningAction LearningAction LearningAction Learning
Experiential learning in which Experiential learning in which employees are involved in a ‘real, employees are involved in a ‘real, complex and stressful problem’, complex and stressful problem’, usually in teams, with immediate usually in teams, with immediate relevance to the companyrelevance to the company
– Concrete experienceConcrete experience– Learning meetingsLearning meetings– Team conceptualizes and applies a Team conceptualizes and applies a
solution to a problemsolution to a problem
Learning and OB
Stimulus generalization in Organizations
Stimulus discrimination in Organizations
Learning and Training
Learning Through Training
Employee Indiscipline
What is Personality?
Personality DeterminantsHeredityEnvironmentSituationFamilySocial
Personality Traits
The Big Five ModelThe Big Five ModelThe Big Five ModelThe Big Five Model
The Myers-Briggs Type IndicatorThe Myers-Briggs Type IndicatorThe Myers-Briggs Type IndicatorThe Myers-Briggs Type Indicator
Personality Types
• Extroverted or Introverted (E or I)
• Sensing or Intuitive (S or N)
• Thinking or Feeling (T or F)
• Perceiving or Judging (P or J)
Personality Types
• Extroverted or Introverted (E or I)
• Sensing or Intuitive (S or N)
• Thinking or Feeling (T or F)
• Perceiving or Judging (P or J)
Authoritarianism
Locus of Control
Machiavellism
Introversion Extroversion
AchievementOrientation
Self - Esteem
Risk -Taking
Self - Monitoring
Type A Type BPersonality
OTHER PERSONALITY TRAITS
PersonalityTraits
Major Personality Attributes Influencing OBMajor Personality Attributes Influencing OBMajor Personality Attributes Influencing OBMajor Personality Attributes Influencing OB
Locus of controlLocus of control
MachiavellianismMachiavellianism
Self-esteemSelf-esteem
Self-monitoringSelf-monitoring
Propensity for risk takingPropensity for risk taking
Type A personalityType A personality
Locus of ControlLocus of ControlLocus of ControlLocus of Control
MachiavellianismMachiavellianismMachiavellianismMachiavellianism
Conditions Favoring High Machs
• Direct interaction
• Minimal rules and regulations
• Distracting emotions
Conditions Favoring High Machs
• Direct interaction
• Minimal rules and regulations
• Distracting emotions
Self-Esteem and Self-MonitoringSelf-Esteem and Self-MonitoringSelf-Esteem and Self-MonitoringSelf-Esteem and Self-Monitoring
Risk-TakingRisk-TakingRisk-TakingRisk-TakingHigh Risk-taking ManagersHigh Risk-taking Managers– Make quicker decisions.Make quicker decisions.– Use less information to make decisions.Use less information to make decisions.– Operate in smaller and more entrepreneurial Operate in smaller and more entrepreneurial
organizations.organizations.
Low Risk-taking ManagersLow Risk-taking Managers– Are slower to make decisions.Are slower to make decisions.– Require more information before making decisions.Require more information before making decisions.– Exist in larger organizations with stable environments.Exist in larger organizations with stable environments.
Risk PropensityRisk Propensity– Aligning managers’ risk-taking propensity to job Aligning managers’ risk-taking propensity to job
requirements should be beneficial to organizations.requirements should be beneficial to organizations.
Personality TypesPersonality TypesPersonality TypesPersonality Types
Achieving Personality-Job FitAchieving Personality-Job FitAchieving Personality-Job FitAchieving Personality-Job Fit
Holland’s Holland’s Typology of Typology of PersonalityPersonality
andandCongruent Congruent OccupationOccupation
ss
Holland’s Holland’s Typology of Typology of PersonalityPersonality
andandCongruent Congruent OccupationOccupation
ss
OB Applications of Understanding EmotionsOB Applications of Understanding EmotionsOB Applications of Understanding EmotionsOB Applications of Understanding Emotions
Ability and SelectionAbility and Selection– Emotions affect employee effectiveness.Emotions affect employee effectiveness.
Decision MakingDecision Making– Emotions are an important part of the Emotions are an important part of the
decision-making process in organizations.decision-making process in organizations.
MotivationMotivation– Emotional commitment to work and high Emotional commitment to work and high
motivation are strongly linked.motivation are strongly linked.
LeadershipLeadership– Emotions are important to acceptance of Emotions are important to acceptance of
messages from organizational leaders.messages from organizational leaders.
OB Applications of Understanding EmotionsOB Applications of Understanding EmotionsOB Applications of Understanding EmotionsOB Applications of Understanding Emotions
Interpersonal ConflictInterpersonal Conflict– Conflict in the workplace and individual Conflict in the workplace and individual
emotions are strongly intertwined.emotions are strongly intertwined.
Deviant Workplace BehaviorsDeviant Workplace Behaviors– Negative emotions can lead to employee Negative emotions can lead to employee
deviance in the form of actions that violate deviance in the form of actions that violate established norms and threaten the established norms and threaten the organization and its members.organization and its members.
Productivity failuresProductivity failures
Property theft and destructionProperty theft and destruction
Political actionsPolitical actions
Personal aggressionPersonal aggression
Defining MotivationDefining MotivationDefining MotivationDefining Motivation
Key Elements
1. Intensity: how hard a person tries
2. Direction: toward beneficial goal
3. Persistence: how long a person tries
Key Elements
1. Intensity: how hard a person tries
2. Direction: toward beneficial goal
3. Persistence: how long a person tries
Challenges of Motivating Challenges of Motivating EmployeesEmployees
Challenges of Motivating Challenges of Motivating EmployeesEmployees
Changing workforceChanging workforce– Younger employees have different Younger employees have different
needsneeds– Diverse workforce Diverse workforce
Layoffs, restructuringLayoffs, restructuring– Damaged trust, commitmentDamaged trust, commitment
Flatter organizationsFlatter organizations– Fewer supervisors to monitor Fewer supervisors to monitor
performanceperformance
Needs HierarchyTheory
Needs Hierarchy TheoryNeeds Hierarchy TheoryNeeds Hierarchy TheoryNeeds Hierarchy Theory
Self-Actualization
EsteemEsteem
BelongingnessBelongingness
SafetySafety
PhysiologicalPhysiological
Maslow arranged five Maslow arranged five needs in a hierarchyneeds in a hierarchySatisfaction-progression Satisfaction-progression processprocessPeople who experience People who experience self-actualization desire self-actualization desire more rather than less of this more rather than less of this needneedNot much support for Not much support for Maslow’s theoryMaslow’s theory
Theory X and Theory Y (Douglas McGregor)Theory X and Theory Y (Douglas McGregor)Theory X and Theory Y (Douglas McGregor)Theory X and Theory Y (Douglas McGregor)
Holland’s Holland’s Typology of Typology of PersonalityPersonality
and Congruent and Congruent OccupationsOccupations
Two-Factor Theory (Frederick Herzberg)Two-Factor Theory (Frederick Herzberg)Two-Factor Theory (Frederick Herzberg)Two-Factor Theory (Frederick Herzberg)
Comparison of Comparison of Satisfiers and Satisfiers and DissatisfiersDissatisfiers
Comparison of Comparison of Satisfiers and Satisfiers and DissatisfiersDissatisfiers
Factors characterizing events on the job that led to extreme job dissatisfaction
Factors characterizing events on the job that led to extreme job satisfaction
Contrasting Views of SatisfactionContrasting Views of Satisfactionand Dissatisfactionand Dissatisfaction
Contrasting Views of SatisfactionContrasting Views of Satisfactionand Dissatisfactionand Dissatisfaction
Presence Absence
ERGTheory
Needs HierarchyTheory
ERG Theory ( Alderfer)ERG Theory ( Alderfer)ERG Theory ( Alderfer)ERG Theory ( Alderfer)
Self-Actualization
EsteemEsteem
BelongingnessBelongingness
SafetySafety
PhysiologicalPhysiological
Growth
RelatednessRelatedness
ExistenceExistence
Alderfer’s model has Alderfer’s model has three sets of needsthree sets of needs
Adds frustration-Adds frustration-regression process to regression process to Maslow’s modelMaslow’s model
Somewhat more Somewhat more research support than research support than Maslow’s theoryMaslow’s theory
Innate Drives TheoryInnate Drives TheoryInnate Drives TheoryInnate Drives Theory
Drive to BondDrive to Bond
Drive to LearnDrive to Learn
• Need to form relationships and social commitments• Basis of social identity
• Need to satisfy curiosity and resolve conflicting information• Basis of self-actualization
Drive to DefendDrive to Defend• Need to protect ourselves• A reactive (not proactive) drive• Basis of fight or flight
Drive to AcquireDrive to Acquire• Need to take/keep objects and experiences• Basis of hierarchy and status
Innate Drives and MotivationInnate Drives and MotivationInnate Drives and MotivationInnate Drives and Motivation
Emotional brain centre relies on Emotional brain centre relies on innate drives to assign emotional innate drives to assign emotional markers to incoming informationmarkers to incoming information
Emotional markers influence Emotional markers influence rational thoughts and become the rational thoughts and become the conscious sources of motivationconscious sources of motivation
Learned Needs TheoryLearned Needs TheoryLearned Needs TheoryLearned Needs Theory
Some needs are learned, not innateSome needs are learned, not innateNeed for achievementNeed for achievement– desire for challenging and somewhat risky desire for challenging and somewhat risky
goals, feedback, recognitiongoals, feedback, recognition
Need for affiliationNeed for affiliation– desire to seek approval, conform, and avoid desire to seek approval, conform, and avoid
conflict conflict – try to project a favourable self-imagetry to project a favourable self-image
Need for powerNeed for power– desire to control one’s environmentdesire to control one’s environment– personalized versus socialized powerpersonalized versus socialized power
Implications of Needs-based Implications of Needs-based TheoriesTheories
Implications of Needs-based Implications of Needs-based TheoriesTheories
Organizations need to support Organizations need to support employees to achieve a balance of employees to achieve a balance of their innate needstheir innate needsPeople have different needs at People have different needs at different timesdifferent timesOffer employees a choice of Offer employees a choice of rewardsrewardsDo not rely too heavily on financial Do not rely too heavily on financial rewardsrewards
Expectancy TheoryExpectancy TheoryExpectancy TheoryExpectancy Theory
Expectancy Theory in Expectancy Theory in PracticePractice
Expectancy Theory in Expectancy Theory in PracticePractice
Increasing the E-to-P expectancyIncreasing the E-to-P expectancy– training, selection, resources, clarify roles, training, selection, resources, clarify roles,
provide coaching and feedbackprovide coaching and feedback
Increasing the P-to-O expectancyIncreasing the P-to-O expectancy– Measure performance accurately, clarify Measure performance accurately, clarify
outcomes, explain how rewards are based outcomes, explain how rewards are based on past performance, provide exampleson past performance, provide examples
Increasing outcome valencesIncreasing outcome valences– Use valued rewards, individualize rewards, Use valued rewards, individualize rewards,
minimize countervalent outcomesminimize countervalent outcomes
Effective Goal SettingEffective Goal SettingEffective Goal SettingEffective Goal Setting
SpecificSpecific
RelevantRelevant
ChallengingChallengingTaskTaskEffortEffort
TaskTaskPerformancePerformance
FeedbackFeedback
ParticipationParticipation
CommitmentCommitment
Characteristics of Effective Characteristics of Effective FeedbackFeedback
Characteristics of Effective Characteristics of Effective FeedbackFeedback
EffectiveEffectiveFeedbackFeedback
SpecificSpecific
RelevantRelevant
TimelyTimely
CredibleCredible
SufficientlySufficientlyfrequentfrequent
Multisource (360-degree) Multisource (360-degree) FeedbackFeedback
Multisource (360-degree) Multisource (360-degree) FeedbackFeedback
EvaluatedEmployee
Co-workerCo-worker
CustomerCustomer
SubordinateSubordinate
ProjectProjectleaderleader
SupervisorSupervisor
Co-workerCo-worker
SubordinateSubordinate
SubordinateSubordinate
What Is Perception, and Why Is It Important?What Is Perception, and Why Is It Important?What Is Perception, and Why Is It Important?What Is Perception, and Why Is It Important?
•People’s behavior is People’s behavior is based on their based on their perception of what perception of what reality is, not on reality is, not on reality itself.reality itself.
•The world as it is The world as it is perceived is the world perceived is the world that is behaviorally that is behaviorally important.important.
•People’s behavior is People’s behavior is based on their based on their perception of what perception of what reality is, not on reality is, not on reality itself.reality itself.
•The world as it is The world as it is perceived is the world perceived is the world that is behaviorally that is behaviorally important.important.
Emotions andEmotions andBehavioursBehaviours
Organization andOrganization andInterpretationInterpretation
Selective AttentionSelective Attention
Perceptual Process ModelPerceptual Process ModelPerceptual Process ModelPerceptual Process Model
Feeling Hearing Seeing Smelling TastingFeeling Hearing Seeing Smelling Tasting
Environmental StimuliEnvironmental Stimuli
Selective AttentionSelective AttentionSelective AttentionSelective Attention
Characteristics of the objectCharacteristics of the object– size, intensity, motion, repetition, size, intensity, motion, repetition,
noveltynovelty
Perceptual contextPerceptual context
Characteristics of the perceiverCharacteristics of the perceiver– attitudesattitudes– perceptual defenseperceptual defense– expectations -- condition us to expect expectations -- condition us to expect
events events
Factors ThatFactors ThatInfluence Influence
PerceptionPerception
Factors ThatFactors ThatInfluence Influence
PerceptionPerception
E X H I B I T 5-1
Person Perception: Making Judgments About Person Perception: Making Judgments About OthersOthers
Person Perception: Making Judgments About Person Perception: Making Judgments About OthersOthers
Distinctiveness: shows different behaviors in different situations.
Consensus: response is the same as others to same situation.
Consistency: responds in the same way over time.
Distinctiveness: shows different behaviors in different situations.
Consensus: response is the same as others to same situation.
Consistency: responds in the same way over time.
Attribution TheoryAttribution TheoryAttribution TheoryAttribution Theory
Errors and Biases in AttributionsErrors and Biases in AttributionsErrors and Biases in AttributionsErrors and Biases in Attributions
Errors and Biases in Attributions (cont’d)Errors and Biases in Attributions (cont’d)Errors and Biases in Attributions (cont’d)Errors and Biases in Attributions (cont’d)
Errors and Biases in AttributionsErrors and Biases in AttributionsErrors and Biases in AttributionsErrors and Biases in Attributions
Frequently Used Shortcuts in Judging OthersFrequently Used Shortcuts in Judging OthersFrequently Used Shortcuts in Judging OthersFrequently Used Shortcuts in Judging Others
StereotypingStereotypingStereotypingStereotyping
Process of assigning traits to people based on their Process of assigning traits to people based on their membership in a social categorymembership in a social category
– Categorical thinkingCategorical thinking
– Strong need to understand and anticipate others’ behaviourStrong need to understand and anticipate others’ behaviour
– Enhances our self-perception and social identityEnhances our self-perception and social identity
Minimizing Stereotyping BiasesMinimizing Stereotyping BiasesMinimizing Stereotyping BiasesMinimizing Stereotyping Biases
Diversity awareness trainingDiversity awareness training
– educate employees about the benefits of diversity and educate employees about the benefits of diversity and dispel mythsdispel myths
Meaningful interactionMeaningful interaction
– Contact hypothesisContact hypothesis
Decision-making accountabilityDecision-making accountability
– use objective criteria in decision-makinguse objective criteria in decision-making
Specific Applications in OrganizationsSpecific Applications in OrganizationsSpecific Applications in OrganizationsSpecific Applications in Organizations
Employment InterviewEmployment Interview– Perceptual biases affect the accuracy of interviewers’ Perceptual biases affect the accuracy of interviewers’
judgments of applicants.judgments of applicants.
Performance ExpectationsPerformance Expectations– Self-fulfilling prophecy (Self-fulfilling prophecy (pygmalion effectpygmalion effect): The lower or ): The lower or
higher performance of employees reflects preconceived higher performance of employees reflects preconceived leader expectations about employee capabilities.leader expectations about employee capabilities.
Performance EvaluationsPerformance Evaluations– Appraisals are subjective perceptions of performance.Appraisals are subjective perceptions of performance.
Employee EffortEmployee Effort– Assessment of individual effort is a subjective judgment Assessment of individual effort is a subjective judgment
subject to perceptual distortion and bias.subject to perceptual distortion and bias.
Other Perceptual ErrorsOther Perceptual ErrorsOther Perceptual ErrorsOther Perceptual Errors
PrimacyPrimacy– first impressionsfirst impressions
RecencyRecency– most recent information dominates most recent information dominates
perceptionsperceptions
HaloHalo– one trait forms a general impressionone trait forms a general impression
ProjectionProjection– believing other people are similar to believing other people are similar to
youyou
Improving PerceptionsImproving PerceptionsImproving PerceptionsImproving Perceptions
EmpathyEmpathy– Sensitivity to the feelings, thoughts, Sensitivity to the feelings, thoughts,
and situation of othersand situation of others– Cognitive and emotional componentCognitive and emotional component
Self-awarenessSelf-awareness– Awareness of your values, beliefs and Awareness of your values, beliefs and
prejudicesprejudices– Applying Johari WindowApplying Johari Window
Conflict DefinedConflict DefinedConflict DefinedConflict Defined
The process in which one party The process in which one party
perceives that its interests are being perceives that its interests are being
opposed or negatively affected by opposed or negatively affected by
another party.another party.
ConflictConflict
The Conflict ProcessThe Conflict ProcessThe Conflict ProcessThe Conflict Process
Sources ofSources ofConflictConflict
ManifestManifestConflictConflict
ConflictConflictOutcomesOutcomes
ConflictPerceptions
ConflictEmotions
Conflict Escalation Cycle
Task vs. Socioemotional Task vs. Socioemotional ConflictConflict
Task vs. Socioemotional Task vs. Socioemotional ConflictConflict
Task-related conflictTask-related conflict– Conflict is aimed at issue, not partiesConflict is aimed at issue, not parties– Helps recognize problems, identify Helps recognize problems, identify
solutions, and understand the issues solutions, and understand the issues betterbetter
– Potentially healthy and valuablePotentially healthy and valuable
Socioemotional conflictSocioemotional conflict– Conflict viewed as a personal attackConflict viewed as a personal attack– Introduces perceptual biasesIntroduces perceptual biases– Distorts information processingDistorts information processing
Organizational Conflict Organizational Conflict OutcomesOutcomes
Organizational Conflict Organizational Conflict OutcomesOutcomes
Conflict ManagementConflict Management– Interventions that alter the level and Interventions that alter the level and
form of conflict for organizational form of conflict for organizational effectivenesseffectiveness
Constructive ConflictConstructive Conflict– Encourages people to learn about Encourages people to learn about
other points of viewother points of view
Organizational Conflict Organizational Conflict OutcomesOutcomes
Organizational Conflict Organizational Conflict OutcomesOutcomes
Potential benefitsPotential benefits– Improves decision makingImproves decision making– Strengthens team dynamicsStrengthens team dynamics
Dysfunctional outcomesDysfunctional outcomes– Diverts energy and resourcesDiverts energy and resources– Weakens knowledge management Weakens knowledge management – Increases frustration, job Increases frustration, job
dissatisfaction, stress, turnover and dissatisfaction, stress, turnover and absenteeismabsenteeism
Sources of ConflictSources of ConflictSources of ConflictSources of Conflict
DifferentiationDifferentiation
Task Task InterdependenceInterdependence
• Different values/beliefs• Explains cross-cultural and
generational conflict
• Conflict increases with interdependence
• Higher risk that parties interfere with each other
IncompatibleIncompatibleGoalsGoals
• One party’s goals perceived to interfere with other’s goals
more
Sources of Conflict Sources of Conflict (con’t)(con’t)Sources of Conflict Sources of Conflict (con’t)(con’t)
Ambiguous RulesAmbiguous Rules
Communication Communication ProblemsProblems
• Creates uncertainty, threatens goals• Without rules, people rely on politics
• Increases stereotyping • Reduces motivation to communicate• Escalates conflict when arrogant
Scarce Scarce ResourcesResources
• Motivates competition for the resource
Ass
erti
ven
ess
Cooperativeness
ForcingForcing Problem-SolvingProblem-Solving
CompromisingCompromising
AvoidingAvoiding YieldingYielding
High
Low High
Conflict Management StylesConflict Management StylesConflict Management StylesConflict Management Styles
Conflict resolutionConflict resolutionEmphasizing Superordinate GoalsEmphasizing Superordinate Goals Emphasizing common objectives rather than conflicting sub-goalsEmphasizing common objectives rather than conflicting sub-goals
Reduces goal incompatibility and differentiationReduces goal incompatibility and differentiation
Reducing DifferentiationReducing DifferentiationRemove sources of different values and beliefsRemove sources of different values and beliefs
Move employees around to different jobs, departments, and regionsMove employees around to different jobs, departments, and regions
Other ways to reduce differentiation:Other ways to reduce differentiation:– Common dress code/statusCommon dress code/status– Common work experienceCommon work experience
Better Communication/UnderstandingBetter Communication/UnderstandingEmployees understand and appreciate each other’s views through Employees understand and appreciate each other’s views through
communicationcommunication
– Informal gatheringsInformal gatherings
– Formal dialogue sessionsFormal dialogue sessions
– Teambuilding activitiesTeambuilding activities
Other Ways to Manage ConflictOther Ways to Manage Conflict
Reduce Task InterdependenceReduce Task Interdependence– Dividing shared resourcesDividing shared resources– Combine tasksCombine tasks– Use buffersUse buffers
Increase ResourcesIncrease Resources– Duplicate resourcesDuplicate resources
Clarify Rules and ProceduresClarify Rules and Procedures– Clarify resource distributionClarify resource distribution– Change interdependenceChange interdependence
Situational Influences on Situational Influences on NegotiationNegotiation
Situational Influences on Situational Influences on NegotiationNegotiation
LocationLocation
Physical Physical SettingSetting
Time Passage Time Passage and Deadlinesand Deadlines
AudienceAudience
Effective Negotiator Effective Negotiator BehavioursBehaviours
Effective Negotiator Effective Negotiator BehavioursBehaviours
Preparation and Preparation and Goal SettingGoal Setting
Gathering Gathering InformationInformation
Communicating Communicating EffectivelyEffectively
Making ConcessionsMaking Concessions
Types of Third Party Types of Third Party InterventionIntervention
Types of Third Party Types of Third Party InterventionIntervention
MediationMediation
ArbitrationArbitration
InquisitionInquisition
Level ofProcess Control
Level of Outcome Control
High
HighLow
Organizational Culture DefinedOrganizational Culture DefinedOrganizational Culture DefinedOrganizational Culture Defined
The basic pattern of shared assumptions, The basic pattern of shared assumptions,
values, and beliefs considered to be the values, and beliefs considered to be the
correct way of thinking about and acting correct way of thinking about and acting
on problems and opportunities facing the on problems and opportunities facing the
organization.organization.
The Basic Functions of The Basic Functions of Organizational CultureOrganizational Culture
OrganizationalCulture/basic functions
Provides asense of
identity formembers
Enhancescommitment
to the organization’s
mission
Clairifiesand
reinforcesstandards
of behavior
What Is Organizational Culture? What Is Organizational Culture? What Is Organizational Culture? What Is Organizational Culture?
What Is Organizational Culture? What Is Organizational Culture? What Is Organizational Culture? What Is Organizational Culture?
Culture Versus FormalizationCulture Versus Formalization– A strong culture increases behavioral A strong culture increases behavioral
consistency and can act as a substitute consistency and can act as a substitute for formalization.for formalization.
Organizational Culture Versus National Organizational Culture Versus National CultureCulture– National culture has a greater impact on National culture has a greater impact on
employees than does their organization’s employees than does their organization’s culture.culture.
– Nationals selected to work for foreign Nationals selected to work for foreign companies may be atypical of the companies may be atypical of the local/native population.local/native population.
What Do Cultures Do?What Do Cultures Do?What Do Cultures Do?What Do Cultures Do?
Culture’s Functions:
1. Defines the boundary between one organization and others.
2. Conveys a sense of identity for its members.
3. Facilitates the generation of commitment to something larger than self-interest.
4. Enhances the stability of the social system.
Culture’s Functions:
1. Defines the boundary between one organization and others.
2. Conveys a sense of identity for its members.
3. Facilitates the generation of commitment to something larger than self-interest.
4. Enhances the stability of the social system.
What Do Cultures Do?What Do Cultures Do?What Do Cultures Do?What Do Cultures Do?
Culture as a Liability:
1. Barrier to change
2. Barrier to diversity
3. Barrier to acquisitions and mergers
Culture as a Liability:
1. Barrier to change
2. Barrier to diversity
3. Barrier to acquisitions and mergers
Core Organizational Values Core Organizational Values Reflected in CultureReflected in Culture
•Sensitivity to needs of customers and employees
•Freedom to initiate new ideas
•Willingness to tolerate taking risks
•Openness to communication options
Physical StructuresPhysical Structures
LanguageLanguage
Rituals and Rituals and
CeremoniesCeremonies
Stories and LegendsStories and Legends
BeliefsBeliefs
ValuesValues
AssumptionsAssumptions
Artifacts ofOrganizationalCulture
OrganizationalOrganizationalCultureCulture
Elements of Organizational Elements of Organizational CultureCulture
Elements of Organizational Elements of Organizational CultureCulture
Artifacts: Stories and LegendsArtifacts: Stories and LegendsArtifacts: Stories and LegendsArtifacts: Stories and Legends
Social prescriptions of desired Social prescriptions of desired (undesired) behaviour(undesired) behaviour
Provides a realistic human side to Provides a realistic human side to expectationsexpectations
Most effective stories and legends:Most effective stories and legends:– Describe real people Describe real people – Assumed to be trueAssumed to be true– Known throughout the organizationKnown throughout the organization– Are prescriptiveAre prescriptive
Artifacts: Rituals and Artifacts: Rituals and CeremoniesCeremonies
Artifacts: Rituals and Artifacts: Rituals and CeremoniesCeremonies
RitualsRituals– programmed routines programmed routines – (eg., how visitors are greeted)(eg., how visitors are greeted)
CeremoniesCeremonies– planned activities for an audienceplanned activities for an audience– (eg., award ceremonies)(eg., award ceremonies)
Artifacts: Organizational Artifacts: Organizational LanguageLanguage
Artifacts: Organizational Artifacts: Organizational LanguageLanguage
Words used to address people, Words used to address people, describe customers, etc.describe customers, etc.
Leaders use phrases and special Leaders use phrases and special vocabulary as cultural symbols vocabulary as cultural symbols – eg. Container Store’s “Being Gumby”eg. Container Store’s “Being Gumby”
Language also found in subculturesLanguage also found in subcultures– eg. Whirlpool’s “PowerPoint culture”eg. Whirlpool’s “PowerPoint culture”
Artifacts: Physical Structures and Artifacts: Physical Structures and SymbolsSymbols
Artifacts: Physical Structures and Artifacts: Physical Structures and SymbolsSymbols
Building structure -- may shape Building structure -- may shape and reflect cultureand reflect culture
Office design conveys cultural Office design conveys cultural meaningmeaning– Furniture, office size, wall hangingsFurniture, office size, wall hangings
Organizational CultureOrganizational Culture Organizational CultureOrganizational Culture
The Process of InnovationThe Process of Innovation
Stage 1
Settingthe
Agenda
Stage 2
Settingthe
Stage
Stage 3
Producingthe
Ideas
Stage 4
Testing andImplementing
the Ideas
Stage 5
OutcomeAssessment
End
EndSuccess
Failure
Progress
Motivation
Individualor Team
Productivity
Resources
Skills
Creating a Customer-Responsive CultureCreating a Customer-Responsive CultureCreating a Customer-Responsive CultureCreating a Customer-Responsive Culture
Managerial Actions:
• Select new employees with personality and attitudes consistent with high service orientation.
• Train and socialize current employees to be more customer focused.
• Change organizational structure to give employees more control.
• Empower employees to make decision about their jobs.
Managerial Actions:
• Select new employees with personality and attitudes consistent with high service orientation.
• Train and socialize current employees to be more customer focused.
• Change organizational structure to give employees more control.
• Empower employees to make decision about their jobs.
Creating a Customer-Responsive CultureCreating a Customer-Responsive CultureCreating a Customer-Responsive CultureCreating a Customer-Responsive Culture
Managerial Actions (cont’d) :
• Lead by conveying a customer-focused vision and demonstrating commitment to customers.
• Conduct performance appraisals based on customer-focused employee behaviors.
• Provide ongoing recognition for employees who make special efforts to please customers.
Managerial Actions (cont’d) :
• Lead by conveying a customer-focused vision and demonstrating commitment to customers.
• Conduct performance appraisals based on customer-focused employee behaviors.
• Provide ongoing recognition for employees who make special efforts to please customers.
Keeping Culture AliveKeeping Culture AliveKeeping Culture AliveKeeping Culture AliveSelectionSelection– Concerned with how well the candidates Concerned with how well the candidates
will fit into the organization.will fit into the organization.– Provides information to candidates about Provides information to candidates about
the organization.the organization.
Top ManagementTop Management– Senior executives help establish behavioral Senior executives help establish behavioral
norms that are adopted by the norms that are adopted by the organization.organization.
SocializationSocialization– The process that helps new employees The process that helps new employees
adapt to the organization’s culture.adapt to the organization’s culture.
Stages in the Socialization ProcessStages in the Socialization ProcessStages in the Socialization ProcessStages in the Socialization Process
How Organization Cultures FormHow Organization Cultures FormHow Organization Cultures FormHow Organization Cultures Form
How Employees Learn CultureHow Employees Learn CultureHow Employees Learn CultureHow Employees Learn Culture
• Stories
• Rituals
• Material Symbols
• Language
• Stories
• Rituals
• Material Symbols
• Language
Spirituality and Organizational CultureSpirituality and Organizational CultureSpirituality and Organizational CultureSpirituality and Organizational Culture
Characteristics:• Strong sense of
purpose
• Focus on individual development
• Trust and openness
• Employee empowerment
• Toleration of employee expression
Characteristics:• Strong sense of
purpose
• Focus on individual development
• Trust and openness
• Employee empowerment
• Toleration of employee expression
““Vulnerable Sensitive. Honest about your weakness. Vulnerable Sensitive. Honest about your weakness. Just the qualities you need to be a strong leader”.Just the qualities you need to be a strong leader”.Consider leading softly is more effective than armour Consider leading softly is more effective than armour plated command and control.plated command and control.
Harvard Business ReviewHarvard Business Review““Failing Organisations are usually over-managed and Failing Organisations are usually over-managed and
under-led”. under-led”. Warren G BennisWarren G BennisToday’s Presentation is aimed at:Today’s Presentation is aimed at:
Discussing the necessity of leadership.Discussing the necessity of leadership.Understanding and finding implications of different Understanding and finding implications of different leadership styles.leadership styles.Identifying differences between Manager and Leader.Identifying differences between Manager and Leader.Theories of leadership.Theories of leadership.
““Leadership is the ability to persuade others to seek Leadership is the ability to persuade others to seek defined objectives enthusiastically. It is the human factor defined objectives enthusiastically. It is the human factor which binds a group together and motivates it towards which binds a group together and motivates it towards goals”. goals”. Keith DavisKeith Davis““Leadership is the art or process of influencing people so Leadership is the art or process of influencing people so that they will strive willingly and enthusiastically towards that they will strive willingly and enthusiastically towards the achievement of group goals”.the achievement of group goals”. KoontzKoontz““Leadership is the quality of behaviour of individuals Leadership is the quality of behaviour of individuals whereby they guide people or their activities in organising whereby they guide people or their activities in organising efforts”.efforts”. Chester BarnardChester Barnard
It implies:It implies:– It is a continuous process.It is a continuous process.– Essentially a process of influencing.Essentially a process of influencing.– Basically a personal quality.Basically a personal quality.– A continuous motivation process.A continuous motivation process.– Functioning of a common goals determines leader follower relationship.Functioning of a common goals determines leader follower relationship.
NECESSITYNECESSITY
Motivating Employees.Motivating Employees.
Creating Confidence.Creating Confidence.
Building Morale.Building Morale.
Developing Team Work.Developing Team Work.
Securing Group Effectiveness.Securing Group Effectiveness.
Counselling People.Counselling People.
STYLES OF LEADERSHIPSTYLES OF LEADERSHIP
Autocratic LeadershipAutocratic LeadershipParticipative LeadershipParticipative LeadershipFree-rein LeadershipFree-rein Leadership
Autocratic LeadershipAutocratic Leadership
Authoritarian, directive or nomothetic style.Authoritarian, directive or nomothetic style.Ultra-utilization of power.Ultra-utilization of power.Result may be negative leadership.Result may be negative leadership.
Types of Autocratic LeadershipTypes of Autocratic Leadership
Strict AutocratStrict AutocratBenevolent AutocratBenevolent AutocratIncompetent AutocratIncompetent Autocrat
Participative LeadershipParticipative Leadership
Democratic, consultative or ideographic style.Democratic, consultative or ideographic style.
Team building and goal sharing.Team building and goal sharing.
Consultation and participation of subordinates.Consultation and participation of subordinates.
Decentralised decision - making process.Decentralised decision - making process.
Free-rein LeadershipFree-rein Leadership
Super democratic style.Super democratic style.
Policy of no intervention.Policy of no intervention.
Manager’s only contribution in framing policy Manager’s only contribution in framing policy programmes and limitation.programmes and limitation.
Manager only maintains a contact.Manager only maintains a contact.
Leadership TheoriesLeadership TheoriesTrait Theories.Trait Theories.
Behavioural Theories.Behavioural Theories.
Contingency Theories.Contingency Theories.
Situational Theories.Situational Theories.
LMX Theory.LMX Theory.
Leadership-participation Theory.Leadership-participation Theory.
Path-Goal Theory.Path-Goal Theory.
LEADERSHIP AS A CONTINUUMLEADERSHIP AS A CONTINUUM
Leadership in a practical world is between two Leadership in a practical world is between two extremes of autocratic and free-rein.extremes of autocratic and free-rein.Tannenbaum and Schmidt proposed a continuum Tannenbaum and Schmidt proposed a continuum moving from authoritarian leadership behaviour to moving from authoritarian leadership behaviour to free-rein.free-rein.
Manager takes decisions and
announces
Manager presents ideas and invities suggestions
Manager presents problems, gets
suggestions and makes decisions
Manager permits subordinates of
function within limits defined by superior
Manager sells decisions
Manager presents tentative decision subject to change
Manager defines limits, asks groups to
make decision
Use of authority by the Manager
Area of freedom for subordinates
Autocratic
(boss centered leadership)
Free-rein
(subordinate centered leadership)
DIFFERENCES BETWEEN MANAGER DIFFERENCES BETWEEN MANAGER AND LEADERAND LEADER
““Managers are people who do things right, and leaders are Managers are people who do things right, and leaders are people who do the right thing. Management’s efficiency lies people who do the right thing. Management’s efficiency lies
in climbing the ladder of success, leadership determines in climbing the ladder of success, leadership determines whether the ladder s leaning against the right wall”.whether the ladder s leaning against the right wall”.
Warren Bennis and Burt NanusWarren Bennis and Burt NanusLEADERSHIP MANAGEMENT
1. Leader leads people.2. Leader can use his/her
informal influence.
3. Leaders create a vision andinspire others to achieve thisvision.
4. Leader processes non-sanctioned influences ability.
5. Leader inspires enthusiasm.
1. Manager manages things.2. Managers hold formal
position.
3. Managers achieve results bydirecting the activities ofothers.
4. Manager enjoys formaldesignated authority.
5. Manager engenders fear.
Way to Effective LeadershipWay to Effective LeadershipFinding the Leader in YouFinding the Leader in You Starting to CommunicateStarting to Communicate Motivating PeopleMotivating People Expressing Genuine Interest in othersExpressing Genuine Interest in others Seeing Things from the Other Person’s point of viewSeeing Things from the Other Person’s point of view Listening to LearnListening to Learn Teaming up for TomorrowTeaming up for Tomorrow Respecting the dignity of othersRespecting the dignity of others Recognition, Praise, and RewardsRecognition, Praise, and Rewards Handling Mistakes, Complaints, and CriticismHandling Mistakes, Complaints, and Criticism Setting GoalsSetting Goals Focus and DisciplineFocus and DisciplineAchieving BalanceAchieving BalanceCreating a Positive Mental AttitudeCreating a Positive Mental AttitudeLearningnot to worryLearningnot to worryThe Power of EnthusiasmThe Power of Enthusiasm
Organisational ChangeOrganisational Change““Organisational Change is the process by which Organisational Change is the process by which organisations move from their present state to some organisations move from their present state to some desired future state to increase their effectiveness”desired future state to increase their effectiveness”
Gareth. R. JonesGareth. R. Jones
Sources of Change
Org Level ForcesOrg structure
Org CultureionOrg Strategy &
Over Determination
Individual Level ForcesCognitive Biases
UncertaintyFear of Loss
Selective PerceptionHabit
Logical Reasons
Group level ForcesGroup Norms
Group CohesivenessGroupthink
Sub Unit Level ForcesDifferences in Orientation
Power & Conflict
Planned & Unplanned ChangePlanned & Unplanned ChangePlanned change are the activities that are Planned change are the activities that are intentional and goal oriented intentional and goal oriented
First order change – Linear and ContinuousFirst order change – Linear and Continuous
Second order change – that is multidimensionalSecond order change – that is multidimensional
multilevel, continuous and radicalmultilevel, continuous and radical
Change Agents: Can be managers or non Change Agents: Can be managers or non managers, employees or consultantsmanagers, employees or consultants
Change agents can change structure, Change agents can change structure, technology, physical setting and peopletechnology, physical setting and people
DesiredConditions
CurrentConditions
BeforeChange
AfterChange
DrivingForces
RestrainingForces
Force Field Analysis ModelForce Field Analysis Model
DuringChange
DrivingForces
RestrainingForces Driving
Forces
RestrainingForces
Forces forForces forChangeChangeForces forForces forChangeChange
Resistance to ChangeResistance to Change
Nature of the WorkforceNature of the Workforce
TechnologyTechnology
Economic ShocksEconomic Shocks
CompetitionCompetition
Social TrendsSocial Trends
World PoliticsWorld Politics
Creating an Urgency for Creating an Urgency for ChangeChange
Inform employees about driving forcesInform employees about driving forces
Most difficult when organization is doing Most difficult when organization is doing well well
Must be real, not contrivedMust be real, not contrived
Customer-driven changeCustomer-driven change– Adverse consequences for firmAdverse consequences for firm– Human element energizes employeesHuman element energizes employees
CommunicationCommunication Highest priority and first Highest priority and first strategy for changestrategy for change
Improves urgency to Improves urgency to changechange
Reduces uncertainty Reduces uncertainty (fear of unknown)(fear of unknown)
Problems -- time Problems -- time consuming and costlyconsuming and costly
Minimizing Resistance to Minimizing Resistance to ChangeChange
CommunicationCommunication Increases ownership of Increases ownership of changechange
Helps saving face and Helps saving face and reducing fear of unknownreducing fear of unknown
Includes task forces, Includes task forces, search conferencessearch conferences
Problems -- time-Problems -- time-consuming, potential consuming, potential conflictconflict
Minimizing Resistance to Minimizing Resistance to ChangeChange
TrainingTraining
Employee Employee InvolvementInvolvement
CommunicationCommunication When communication, When communication, training, and involvement training, and involvement do not resolve stressdo not resolve stress
Potential benefitsPotential benefits–More motivation to changeMore motivation to change–Less fear of unknownLess fear of unknown–Fewer direct costsFewer direct costs
Problems -- time-Problems -- time-consuming, expensive, consuming, expensive, doesn’t help everyonedoesn’t help everyone
Minimizing Resistance to Minimizing Resistance to ChangeChange
TrainingTraining
Employee Employee InvolvementInvolvement
Stress Stress ManagementManagement
CommunicationCommunication
When people clearly lose When people clearly lose something and won’t something and won’t otherwise support changeotherwise support change
Influence by exchange-- Influence by exchange-- reduces direct costsreduces direct costs
ProblemsProblems–ExpensiveExpensive– Increases compliance, not Increases compliance, not
commitmentcommitment
Minimizing Resistance to Minimizing Resistance to ChangeChange
TrainingTraining
Employee Employee InvolvementInvolvement
Stress Stress ManagementManagement
Negotiation
CommunicationCommunication
When all else failsWhen all else fails
Assertive influenceAssertive influence
Firing people -- radical Firing people -- radical form of “unlearning”form of “unlearning”
ProblemsProblems–Reduces trustReduces trust–May create more subtle May create more subtle
resistanceresistance
Minimizing Resistance to Minimizing Resistance to ChangeChange
TrainingTraining
Employee Employee InvolvementInvolvement
Stress Stress ManagementManagement
Negotiation
Coercion
Refreezing the Desired Refreezing the Desired ConditionsConditions
Realigning organizational systems and Realigning organizational systems and team dynamics with the desired changesteam dynamics with the desired changes
– Alter rewards to reinforce new behavioursAlter rewards to reinforce new behaviours
– Feedback systemsFeedback systems
Help employees learn how they are doingHelp employees learn how they are doing
Provide support for the new behaviour Provide support for the new behaviour patternspatterns
Strategic Vision & ChangeStrategic Vision & Change
Need a vision of the Need a vision of the desired future statedesired future state
Minimizes employee fear Minimizes employee fear of the unknown of the unknown
Clarifies role perceptions Clarifies role perceptions
Change AgentsChange AgentsAnyone who possesses Anyone who possesses enough knowledge and enough knowledge and power to guide and facilitate power to guide and facilitate the change effortthe change effort
Change agents apply Change agents apply transformational leadershiptransformational leadership– Help develop a visionHelp develop a vision
– Communicate the visionCommunicate the vision
– Act consistently with the visionAct consistently with the vision
– Build commitment to the visionBuild commitment to the vision
Successfully Diffusing ChangeSuccessfully Diffusing Change
Successful pilot projectSuccessful pilot projectReceives visibilityReceives visibilityTop management supportTop management supportLabour union involvementLabour union involvementDiffusion strategy described clearlyDiffusion strategy described clearlyPilot project people moved to other areasPilot project people moved to other areas
Action Research PhilosophyAction Research PhilosophyChange needs both action and Change needs both action and research focusresearch focusAction orientationAction orientation– Solve problems and change the Solve problems and change the
organizational systemorganizational system
Research orientationResearch orientation– Concepts guide the changeConcepts guide the change– Data needed to diagnose problem, Data needed to diagnose problem,
identify intervention, evaluate changeidentify intervention, evaluate change
EstablishEstablishClient-Client-
ConsultantConsultantRelationsRelations
DisengageDisengageConsultant’sConsultant’s
ServicesServices
Action Research ProcessAction Research Process
DiagnoseDiagnoseNeed forNeed forChangeChange
IntroAduceIntroAduceChangeChange
Evaluate/Evaluate/StabilizeStabilizeChangeChange
Appreciative Inquiry PhilosophyAppreciative Inquiry Philosophy
Directs the group’s attention Directs the group’s attention
away from its own problems away from its own problems
and focuses participants on and focuses participants on
the group’s potential and the group’s potential and
positive elements.positive elements.
Reframes relationships Reframes relationships
around the positive rather around the positive rather
than being problem orientedthan being problem oriented Courtesy of Amanda Trotsen-Bloom
Appreciative Inquiry ProcessAppreciative Inquiry Process
DiscoveryDiscovery
Discovering Discovering the best of the best of “what is”“what is”
DreamingDreaming
Forming Forming ideas about ideas about “what might “what might
be”be”
DesigningDesigning
Engaging in Engaging in dialogue dialogue
about “what about “what should be”should be”
DeliveringDelivering
Developing Developing objectives objectives
about “what about “what will be”will be”
Parallel Learning Structure Parallel Learning Structure PhilosophyPhilosophy
Highly participative social structures Highly participative social structures
Members representative across the formal Members representative across the formal hierarchyhierarchy
Sufficiently free from firm’s constraintsSufficiently free from firm’s constraints
Develop solutions for organizational Develop solutions for organizational change which are then applied back into change which are then applied back into the larger organizationthe larger organization
OrganizationParallel
Structure
Parallel Learning StructuresParallel Learning Structures
Cross-Cultural and Ethical Cross-Cultural and Ethical Concerns Concerns
Cross-Cultural ConcernsCross-Cultural Concerns– Linear and open conflict assumptions different Linear and open conflict assumptions different
from values in some culturesfrom values in some cultures
Ethical ConcernsEthical Concerns– Privacy rights of individualsPrivacy rights of individuals– Management powerManagement power– Individuals’ self-esteemIndividuals’ self-esteem– Consultant’s roleConsultant’s role
CommunicationCommunication Communication may be understood as the process of Communication may be understood as the process of
exchanging information and understanding between exchanging information and understanding between peoplepeople
Significance:Significance:a.a. Control member behaviourControl member behaviourb.b. Fosters motivationFosters motivationc.c. Provides InformationProvides Informationd.d. Changing people’s attitudesChanging people’s attitudese.e. Essence of social behaviourEssence of social behaviourf.f. Role in knowledge managementRole in knowledge managementTypes of Communication:Types of Communication:a.a. VerbalVerbalb.b. Non Verbal Non Verbal c.c. WrittenWritten
Proemics
Kinesics
Para language
Organisational CommunicationOrganisational CommunicationFactors Influencing Organisational CommunicationFactors Influencing Organisational Communication
a.a. Formal channel of communicationFormal channel of communication
b.b. Authority structureAuthority structure
c.c. Job specialisationJob specialisation
d.d. Information ownershipInformation ownership
Communication FlowsCommunication Flowsa.a. Downward communicationDownward communication
b.b. Upward communicationUpward communication
c.c. Lateral communicationLateral communication
d.d. Diagonal communiactionDiagonal communiaction
e.e. External communicationExternal communication
Communication NetworksCommunication NetworksWheel NetworkWheel Network
A
B
C
D EB
C
D
E
AChain Network
C
A B
D
E
D C
BE
A
D C
E B
A
Y Network
All Channel Network
Circle Network
Communication Rolesa. Gatekeepersb. Liasonsc. Isolatesd. Cosmopolites
Informal Communication ( Grapevine )a. Chain Systemb. Cluster Systemc. Gossip Sustem
Communication ProcessCommunication Process
Channel
Decoding
Reciever
Encoding
Source
Message
Message
Message
Message
FEEDBACK
Communication BarriersCommunication BarriersSender Related Barriers:Sender Related Barriers:
Communication GoalsCommunication GoalsCommunication SkillsCommunication SkillsInterpersonal SensitivityInterpersonal SensitivityDiffering frames of referenceDiffering frames of referenceImproper DictionImproper DictionInconsistent Non – Verbal SignalsInconsistent Non – Verbal SignalsFearFearSender CredibilitySender Credibility
Receiver Related BarriersReceiver Related BarriersSelective & Poor ListeningSelective & Poor ListeningEvaluating the SourceEvaluating the SourcePerceptionsPerceptionsLack of responsive feedbackLack of responsive feedbackMeta communicationMeta communication
Situation Related Barriers:a. Jargonb. Information Overloadc. Time Pressured. Communication Climatee. Noise f. Distanceg. Mechanical Failureh. Murphy’s Law of Communication
Overcoming the Barriers:Sender’s Responsibilitya. Setting communication goalsb. Using appropriate languagec. Using empathic communicationd. Improving Coommunicator’s Credibilitye. Using face to face communicationf. Encouraging feedback
g. Using a correct amount of redundancyh. Developing trusting climatei. Using picture
Receiver's Responsibility:a. Effective Listening ( Barriers to effective listening ):i. Physiological Limitationii. Inadequate background informationiii. Selective memoryiv. Selective expectationv. Fear of being influenced or persuadedvi. Bias and pre judgmentvii. Selective perceptionviii.Influence from emotionsix. Avoiding evaluative judgementx. Providing responsive feedback
International OBInternational OB
Trends in International BusinessTrends in International Business International joint ventures, Multinational mergers & International joint ventures, Multinational mergers & Acquisitions and global strategic alliancesAcquisitions and global strategic alliances More earning from international business than domesticMore earning from international business than domesticABB, Honda, BP, Siemens, Motorola and Eastman kodak ABB, Honda, BP, Siemens, Motorola and Eastman kodak functioning in more than 50 countriesfunctioning in more than 50 countries Most assets owned by different nationalitiesMost assets owned by different nationalities Trade volume growing since WW II from $51 Billion to $415 Trade volume growing since WW II from $51 Billion to $415 Billion in 1972 and since then $18 trillion till recent timesBillion in 1972 and since then $18 trillion till recent times
Cultural Similarities & DifferencesCultural Norms, Values, cultural symbols, stories and rituals vary from nation to nation
AmericansFreedomIndependenceSelf – RelianceEqualityIndividualismCompetitionEfficiencyTimeDirectnessOpennessAggressivenessInformalityFuture OrientationRisk – TakingCreativitySelf AccomplishmentWinningMoneyMaterial PossessionsPrivacy
JapaneseBelongingnessGroup HarmonyCollectivenessAge / SeniorityGroup ConsensusCooperationQualityPatienceIndirectnessGo BetweenInterpersonalHierarchyContinuationConservativeInformationGroup AchievementSuccess RelationshipHarmony with NatureNetworking
ArabsFamily SecurityFamily HarmonyParental GuidanceAgeAuthorityCompromiseDevotionVery PatientIndirectnessHospitalityFriendshipFormal/AdmirationPast & PresentReligious BeliefTraditionSocial RecognitionReputationFriendshipBelongingnessFamily Network
Cultural Clusters
AngloAustralia CanadaIrelandNew zealandSouth AfricaUKUSA
NordicDenmarkFinlandNorwaySweden
GermanicAustriaGermanySwitzerland
Latin AmericanArgentina ChileColumbiaMexicoPeruVenezuela
Latin EuropeanBelgiumFranceItalyPortugalSpain
Near EasternGreeceIranTurkeyPortugalSpain
ArabAbu DhabiBahrainKuwaitOmanSaudi ArabiaUAE
Far EasternHong KongIndonesiaMalaysiaPhilippinesSingaporeTaiwanThailandVietnam
IndependentBrazilIndiaIsrael Japan
HR Practices
• Hourly Wage rates in Mexico plays little role as it is mandatory for the employers to pay wages for 365 days• In Aus and Brazil employees get 1 month leave for one yr of work• In Japan seniority is the basis of promotions and performance• In UK maternity leave is 40 weeks 18 of these paid •In sweden 87% of companies HR managers are on board of directors
Hofstede’s Cultural Dimension
• Power Distance – is the extent to which less powerful members of institutions of and organizations accept that power is distributed unequally• Uncertainty Avoidance – is the extent to which people feel threatened by ambiguous situations, and have certain beliefs and institutions that try to avoid these• Individualism – is the tendency of people to look after themselves and their family• Masculinity – refers to a situation in which the dominant values in a society are success, money, and other material things• Cultural Diversity – Source of energy - can be great source of energy and organizational effectiveness
Motivation Across CulturesMotivation Across Cultures
•Management Styles
• Control
• Emotional Appeal
•Recognition
•Material Awards
•Threats
•Cultural Values
American
Leadership, Friendliness
Independence, DecisionMaking, Space, Time, Money
Opportunity
Individual Contribution
Salary, Commission, Profit – Sharing
Loss of Job
Competition; Risk TakingMaterial Possession; Freedom
Japanese
Persuasion, FunctionalGroup activities
Group Harmony
Group Participation;Company Success
Group Identity, BelongIng to group
Annual Bonus, SocialServices, Fringe Benefits
Out of Group
Group harmony, Achievement,Belonging
Arab
Coaching, Personal attention, Parenthood
Of parents \ parenthood
Religion, Nationalistic,Admiration
Individual Status, Class\ society, Promotion
Gift for self\familyFamily affair, salary increase
Demotion
Reputation, Family security, Religion, Social Status
Compensation Across CulturesCompensation Across Cultures
Japanese get paid more than three times the wages of other Asian Japanese get paid more than three times the wages of other Asian countries like Korea, Singapore, Taiwancountries like Korea, Singapore, Taiwan
Korean & Japanese workers expect bonuses twice a yearKorean & Japanese workers expect bonuses twice a year
In, Denmark more than 80% of employees belong to trade unionsIn, Denmark more than 80% of employees belong to trade unions
In Germany a minimum 18 days paid annual leave is mandatoryIn Germany a minimum 18 days paid annual leave is mandatory
In IndiaIn IndiaMNC employees are paid more for identical workMNC employees are paid more for identical work
Distinction in salaries in different industries for identical worksDistinction in salaries in different industries for identical works
Huge gaps between employees of organized and unorganized sectorsHuge gaps between employees of organized and unorganized sectors
Distinction between salaries of public and private sector organizationsDistinction between salaries of public and private sector organizations
In Govt. sector salary gaps between different departmentsIn Govt. sector salary gaps between different departments
CoreCompetitive Cash
Performance BasedEmployability
Work Challenges
Customize
Flexible Schedules
Benefit Choices
Base /Bonus
ChoiceAssignments
Tax Deferral
Base/ BonusMix
StockPurchase
MNC Pay Schedules
Phases of Cultural AdjustmentPhase 1 – Expatriate experiences range of emotionsPhase 2 – Crisis / Shock leading to negative appraisalsPhase 3 - Psychological adjustment for the expatriatePhase 4 – Adjustment to the new environment
Leadership across CulturesLeadership across CulturesEmotional Intelligence individual & socialEmotional Intelligence individual & social
1.1. Self AwarenessSelf Awareness
2.2. Self RegulationSelf Regulation
3.3. MotivationMotivation
4.4. EmpathyEmpathy
5.5. Social SkillsSocial Skills
National ContextCultural InfluencesWorker Needs &
Expectations
National ContextCulture influencesWorker needs and
expectations
Subordinate Motivation
National ContextCultural institutions
Influence organizationsand group structures
National Contextculture and
educational trainingdefine leader
preferences for behaviors and
traits
Work SettingNature of tasks
Organizational structureNature of work group
Subordinate Characteristics
NeedsAchievement
Motivation
OutcomesPerformanceSatisfaction
Leader Behaviors &Traits
Leadership Across CulturesLeadership Across CulturesUniversalism in LeadershipUniversalism in Leadership Articulates a Vision Articulates a Vision Breaks from the Status QuoBreaks from the Status Quo Provides goals and a planProvides goals and a plan Gives meaning or a purpose to goalsGives meaning or a purpose to goals Takes risksTakes risks Is motivated to leadIs motivated to leadBuilds a power baseBuilds a power base Demonstrates high ethical and moral standardsDemonstrates high ethical and moral standards
Multicultural TeamsMulticultural Teams Token Teams – One member from one cultureToken Teams – One member from one culture Bicultural Teams – Members from two culturesBicultural Teams – Members from two cultures Multicultural Teams – Members from three or more culturesMulticultural Teams – Members from three or more cultures
Managing Culturally Diverse TeamsManaging Culturally Diverse Teams Task – related selectionTask – related selection Establishing a visionEstablishing a vision Equalizing Equalizing
Negotiating GloballyNegotiating Globally
High VeryImportant Important
SufficientlyLow High Very
Low
VeryHigh
LowVeryLow
UnImportant
UnImportant
Low
Negotiate
Bargain
Take itor
Leave it
Value of ExchangeStrategy Relationship Commitment Time
Available
PowerDistribution
Yours/Theirs
When to Negotiate
Step 1Preparation
Step 2Building the Relati
ship
Step 3Exchange of Infor
mation and first offer
Step 4Persuasion
Step 5Concessions
Step 6Agreement
Steps in International Negotiations
Negotiating Tactics•Promise• Threat• Recommendation• Warning•Reward• Punishment• Normative Appeal• Commitment• Self – Disclosure• Question• Command
Communicating Across CulturesCommunicating Across Cultures Language and CultureLanguage and Culture1.1. High & Low Context Languages – in which people state High & Low Context Languages – in which people state
things directly and explicitly are low context language things directly and explicitly are low context language and indirectly and implicitly is high context languageand indirectly and implicitly is high context language
2.2. Use of Interpreters Use of Interpreters
3.3. Non – Verbal Communication – facial gestures, voice, Non – Verbal Communication – facial gestures, voice, intonation, physical distance, smile, battling of eyelid, intonation, physical distance, smile, battling of eyelid, kiss, handshake, and silencekiss, handshake, and silence