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    We are what we repeatedly do.Excellence, therefore, is not an

    act but a habit..

    Organizational Behaviour

    JNANESWAR.KAsst. Professor-HR

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    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, a least

    some of the time

    Some of you may want to be managers orentrepreneurs

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    Methods

    Case Discussion Article Review, student presentations, quiz

    Mini projects

    Role Play Group Discussion

    Panel Discussion

    Debate

    Story telling- Good old lessons in management

    concepts from an age-old fable

    Videos, Outbound learning

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    KEY Focus

    Networking

    Information searching, sharing anddocumenting

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    Unit I

    Definition of OB

    Contributing disciplines

    Historical evolution of OB

    Contemporary applications and challenges of OB

    Theoretical perspectives of human behaviour

    Psycho-analytic frame work

    Cognitive frame work

    Social learning frame work

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    Unit II

    Attention & Perception

    Impression formation and management

    Learning

    Motivation

    Emotions

    Job stress

    Job satisfaction

    Attitude Emotional Intelligence

    Personality

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    Unit III

    Decision making Decision making models

    Communication

    Improving interpersonal & organizationalcommunication

    Interpersonal dynamics

    Johari window Transactional Analysis

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    Unit IV

    Groups-definition Development of groups-group structure,

    norms, roles etc

    Teams

    Leadership

    Power & Politics

    Conflict process

    Conflict resolution strategies

    Negotiation

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    Unit V

    Organizational structure and design Organizational culture

    Effects of organizational culture

    Organizational change

    Forces of change

    Planned change model

    Organization development

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    ORGANIZATION

    Organization

    A group of people with formally assigned roles

    who work together to achieve the stated goals of

    the group.

    Characteristics:

    Common purpose/goals

    Organizational structure

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    Feedback Feedback

    OutputsInputs

    SubsystemSubsystem

    Subsystem Subsystem

    Organization

    Open Systems Anchor of OB

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    Traditional Organization

    Inflexible

    Individual oriented

    Permanent jobs

    Command oriented Managers always take

    decisions

    Rule oriented

    Relatively homogenousworkforce

    Workdays defined as 9-

    5 Hierarchicalrelationships

    Work at organizational

    facility during specifichours

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    Contemporary Organization

    Dynamic

    Flexible

    Skills focused

    Team oriented

    Temporary jobs

    Involvement oriented

    Employees participatesin decision making

    Customer oriented

    Diverse workforce

    Workdays have no time

    boundaries

    Work anywhere

    anytime

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    Financial Capital

    Processes

    Technology

    People

    UtilizationOrganisational

    Goals

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    Organizational Behaviour

    . . . a field of study that investigates the

    impact that individuals, groups and

    structure have on behaviour withinorganizations, for the purpose of applying

    such knowledge towards improving an

    organizations effectiveness.

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    17

    Contributing Disciplines to the

    OB Field

    Psychology

    Sociology

    Social Psychology

    Anthropology

    Political Science

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    18

    Social psychology

    Psychology

    Behavioral

    scienceContribution Unit of

    analysisOutput

    Anthropology

    Sociology

    Political science

    Study of

    Organizational

    Behaviour

    Organization

    system

    Learning

    Motivation

    Perception

    Training

    Leadership effectiveness

    JobsatisfactionIndividual decision making

    Performance appraisalAttitude measurement

    Employee selection

    Work design

    Work stress

    Group dynamics

    Work teams

    Communication

    Power

    Conflict

    Intergroup behaviour

    Formal organization theory

    Organizational technology

    Organizational change

    Organizational culture

    ConflictIntra organizational politics

    Power

    Organizational culture

    Organizational environment

    Behavioural change

    Attitude change

    Communication

    Group processes

    Group decision making

    Group

    Comparative values

    Comparative attitudes

    Cross-cultural analysis

    Individual

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    Individual

    Group

    Organization

    Organizational

    BehaviorSocial Psychology

    Political Science

    Anthropology

    Psychology

    Sociology

    Discipline Unit of Analysis Output

    Contributions to the Study of Organizational Behavior

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    20

    Levels within Organizational behaviour

    Workplace

    Organizational Level

    Productivity

    Developing Effective Employees

    Global Competition

    Managing in the Global Village

    Group Level

    Working With Others

    Workforce Diversity

    Individual Level

    Job Satisfaction

    Empowerment

    Behaving Ethically

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    MAJOR MANAGERIAL CHALLENGES

    Shrinking Labour pool

    Technologically sophisticated systems

    Workforce diversity

    Mergers/downsizing

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    REWARDS OF BEING A MANAGER

    Have opportunities to think creatively and useimagination

    Help others find meaning and fulfillment in

    work Support, coach and nurture others

    Play a role in influencing organisational

    outcome Receive recognition and status in organisation

    and community

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    CHALLENGES

    Do hard work

    Have to deal with a variety of personalities

    Often have to make to do with limitedresources

    Success depends on others work performance

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    ORGANIZATIONAL BEHAVIOUR

    To provide an understanding of what goes on at the workplace. Four

    aspects need to be explained viz.

    Definition, goals, forces and O.B.s major characteristics

    1. O.B. is the systematic study and careful application of knowledge

    about how people- as individuals and as members of groups act

    within organizations. It strives to identify ways in which people can

    act more effectively.

    2. O.B. provides managers with the tools to:

    (a) to understand the behaviour of individuals(b) to understand the complexities of inter-personal relations

    (c ) to examine the dynamics of relationships within small groups

    both formal teams and informal groups

    (d) organizations can be viewed as whole systems that have interor anizational relationshi s

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    GOALS: Most sciences share four goals-to describe, understand,predict

    and control some phenomena. O.B. has the following goals

    1.Describe, systematically, how people behave under a variety of

    circumstances

    2.Understand why people behave as they do.

    3.Predicting future employee behaviour

    4.Control at least partially, and develop some human activity at work

    Managers can utilize the tool of O.B.to influence human behaviour,

    skill development, team effort and productivity

    FORCES: There are a wide array of issues and trends that affect the

    nature of organizations today. They can be classified under four areas

    PEOPLE, STRUCTURE, TECHNOLOGY and the ENVIRONMENT

    R ANIZATI NAL BEHAVI UR

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    R ANIZATI NAL BEHAVI URKey forces affecting Organizational Behavior

    People

    Individuals

    Groups

    Environment

    Government

    Competition

    Societal pressure

    Organizational Behavior

    Technology

    Machinery

    Computer hardware&software

    Structure

    JobsRelationships

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    Beginning of OB- Earlier contributors

    Robert Owen: improved working conditions,prevented child labour, shortened working hours

    Munsterberg & Mary Follet: importance of

    motivation, participation and democracy Hawthorne studies: Study conducted to

    determine the effect of intensity of light onproductivity

    Size of the group, supervisory behaviour, earning,novelty of situation, workers interest andattention received.

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    Mc Gregor and Maslow: Human Relations

    movement

    Mc Gregor- Theory X and Theory Y

    Maslow- Need hierarchy theory

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    Maslows need hierarchy theory

    Maslow need hierarchy divides human needs into

    five levels.

    Physiological needs,

    Safety needs,

    Social needs,

    Esteem needs,

    Self actualization needs,

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    Maslows need hierarchy theory

    Physiological needs: These are the basic human needs

    including food, clothing, shelter and other necessities of

    life. Once these are satisfied they no longer motivate the

    man.

    Safety needs: These includes economic security, protectionfrom physical dangers.

    Social needs. Need for love, affection, emotional needs,

    warmth, and friendship.

    Self esteem. Ego or self esteem, self respect, selfconfidence, recognition.

    Self actualization needs: desire for personal achievement

    or mission of his life.

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    Theory X

    People do not like work and try to avoid it

    Managers have to control, direct and threatenemployees to get them to work

    People prefer to be directed, so as to avoidresponsibility and want security- they have

    little ambition

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    Theory Y

    People do not naturally dislike work People are internally motivated to objectives

    People are committed to goals to the degree thatthey receive personal rewards when they reachtheir objectives

    People will seek and accept responsibility underfavorable conditions

    People have the capacity to be innovative insolving organizational problems

    Potential of people is always under utilized

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    Organizational behaviour influenced by

    Systems approach

    Socio technical approach

    Democratic approach

    Contingency approach

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    Changing context

    Old logic

    Bureaucracy is the most effective source of control

    Top management and experts should add most of thevalue

    Hierarchical processes are key to organizationaleffectiveness

    Organizations should be designed around functions Effective managers are the key to organizational

    effectiveness

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    New logic

    Organization can be the ultimate competitiveadvantage

    Involvement is the most effective source of control

    All employees should add significant value

    Lateral processes are key to organizationaleffectiveness

    Organizations should be designed around products

    Effective leadership is the key to organizationaleffectiveness

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    Trends

    Changing profiles of customers and employees

    Globalization

    Information Technology

    Outsourcing

    Diversity

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    LEARNING

    Relatively Permanent change in behaviour

    Improvement

    Changing ones mindset

    Understanding/ Internalizing

    Improvement

    Accepting changes

    Removing ignorance

    Coming out with innovation

    Acquiring latest trends

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    38

    Theories of Learning

    4. SocialLearning

    3. Cognitive

    Learning

    2.OperantConditioning

    1. Classical

    Conditioning

    Theoriesof

    Learning

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    Key Concepts

    Unconditioned stimulus

    Unconditioned response Conditioned stimulus

    Conditioned response

    Classical Conditioning Theory

    A type of conditioning in which an individualresponds to some stimulus that would not

    ordinarily produce such a response.

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    Classical Conditioning

    Dr. I. P.

    Pavlov-Conditioned Reflexes.

    Oxford University Press,

    1927

    http://images.google.com/imgres?imgurl=www.nobel.se/medicine/educational/pavlov/images/serie2.gif&imgrefurl=http://www.nobel.se/medicine/educational/pavlov/readmore.html&h=212&w=150&prev=/images?q=pavlov%27s+dogs&svnum=10&hl=en&lr=&ie=UTF-8&oe=UTF-8&safe=off&sa=G
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    A type of conditioning in which desired voluntary behavior

    leads to a reward or prevents a punishment.

    2. Operant Conditioning or Reinforcement Theory

    Behaviour is a function of its consequences

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    Operant Conditioning

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    Types of Reinforcement

    Positive reinforcement

    Providing a reward for a desired behavior.

    Negative reinforcement

    Removing an unpleasant consequence when the desiredbehavior occurs.

    Punishment

    Applying an undesirable condition to eliminate an

    undesirable behavior. Extinction

    Withholding reinforcement of a behavior to cause itscessation.

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    Reinforcement Punishment

    Positive

    Consequences

    Negative

    Consequences

    Apply Withhold

    Withhold Apply

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    Emphasizes that people learn by observing otherpersons (models) whom they believe are credible andknowledgeable.

    Recognizes that behavior that is reinforced or rewardedtends to be repeated.

    The models behavior or skill that is rewarded isadopted by the observer.

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    4 - 46

    Attention RetentionMotor

    Reproduction

    MotivationalProcesses

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    Whats your Learning style??

    involved tentative discriminating practical

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    ..involved.tentativediscriminatingpractical

    .receptiveimpartialanalyticalrelevant

    feelingwatching.thinking.doing

    acceptingawareevaluativerisk taker

    intuitivequestioninglogical.productive

    ..concreteobservingabstractactive

    Present orientedreflectingfutureoriented..pragmatic

    ..opentonewexperienceperceptiveintelligent.

    competent experienceobservationconceptualization

    experimentation

    ..intensereservedrationalresponsible

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    Concrete Experience

    Reflective observation

    Abstract conceptualization

    Active Experimentation

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    Perception

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    Perceptual process

    Perception is the process of receiving,

    selecting, organizing, interpreting, checking

    and reacting to sensory stimuli and data

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    Perception creates individual differences

    Our perception is our understanding of the

    world around us

    Social perception is the process of interpreting

    information about the other person

    Perception is also culturally determined

    C t th b f F i th

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    Count the number of Fs in the

    sentence

    Finished files are the result of years of scientific

    study combined with the experience of years

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    Factors that influence Perception

    Factors in the perceiver

    Factors in the target

    Factors in the situation

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    Characteristics of the perceiver

    Familiarity with the target

    Attitude

    Mood

    Self concept

    Cognitive structure

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    Characteristics of the target

    Physical appearance

    Verbal communication

    Nonverbal cues

    Intentions

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    Characteristics of the situation

    Time

    Social setting

    Selection of stimuli influence of

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    Selection of stimuli-influence of

    external factors

    Intensity

    Size

    Contrast

    Movement

    Repetition

    Familiarity Novelty

    Selection of stimuli influence of

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    Selection of stimuli-influence of

    internal factors

    Psychological need

    Background

    Experience

    Personality

    Self acceptance

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    Barriers to social perception Selective perception: our tendency to prefer information

    that supports our view points

    StereotypingJudging someone on the basis of onesperception of the group to which that person belongs

    First impression error

    ProjectionAttributing ones own characteristics to otherpeople

    Self-fulfilling prophecies: The situation in which ourexpectations about people affect our interaction with them

    in such a way that our expectations are fulfilled Halo effectDrawing a general positive impression aboutan individual on the basis of a single characteristic.

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    Attribution Theory

    A person tries to determine whether another

    persons behavior is caused by internal or

    external factors. This is conditioned by three

    attributes:

    consensus in behavior.

    consistency in behavior.

    distinctiveness in behavior.

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    Attribution Theory

    Individual Behavior

    Distinctiveness Consistency Consensus

    LowInternal

    cause

    HighExternal

    cause

    LowExternal

    cause

    HighInternal

    cause

    LowInternal

    cause

    HighExternal

    cause

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    Attribution Theory Errors

    Self-serving bias

    This is a tendency for

    individuals to attribute their

    own success to internalfactors and place blame for

    failures on external factors.

    Their approach is self-

    serving.

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    Attribution Theory Errors

    Fundamental attribution

    error

    We tend to underestimatethe influence of external

    factors and overestimate

    the influence of internalfactors.

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    MOTIVATION

    WILLINGNESS TO EXERT HIGH LEVELS OF

    EFFORT TO REACH GOALS

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    What is Motivation?

    The word 'motivation' comes from the

    Latin word meaning 'to move

    External motivation: bonus, work conditions(getting the office with the window)

    An inner (self-motivation) or outer drive to

    meet a need or goal

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    Why is Motivation Important?

    It is one of the three key elements inperformance

    Performance = f {Ability x Motivation xOpportunity}

    Ability refers to a natural talent to do something mentalor physical

    Motivation is not a stable individual characteristic.Motivation is not a trait.

    Opportunity refers to the different situations thatworkers may find themselves in.

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    Content Perspectives on Motivation

    Content Perspectives Approaches to motivation that try to answer the question,

    What factors in the workplace motivate people?

    Content Perspectives of Motivation

    Maslows Hierarchy of Needs

    Alderfers ERG Theory

    Herzbergs Two-Factor Theory

    McClellands Achievement, Power, and Affiliation Needs

    Content Perspectives on Motivation

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    Content Perspectives on Motivation

    (contd)

    The Need Hierarchy Approach Maslows Hierarchy of Needs

    Physiologicalbasic survival and biological function.

    Securitya safe physical and emotional environment.

    Belongingnesslove and affection. Esteempositive self-image/self-respect and recognition and

    respect from others.

    Self-actualizationrealizing ones potential for personal growthand development.

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    Maslows Hierarchy of Needs

    Content Perspectives on Motivation

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    Content Perspectives on Motivation

    (contd)

    The ERG Theory

    Needs are grouped into three overlapping categories:

    Existence needsphysiological and security needs.

    Relatedness needsbelongingness and esteem by others.

    Growth needsself-esteem and self-actualization.

    ERG theory assumes that:

    Multiple needs can be operative at one time (there is no absolutehierarchy of needs).

    If a need is unsatisfied, a person will regress to a lower-level needand pursue that need

    Content Perspectives on Motivation

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    Content Perspectives on Motivation

    (contd)

    The Two-Factor Theory (Herzberg)

    Satisfaction and dissatisfaction are influenced by two

    independent sets of factors.

    Theory assumes that job satisfaction and jobdissatisfaction are on two distinct continuums:

    Motivational factors (work content) are on a continuum that

    ranges from satisfaction to no satisfaction.

    Hygiene factors (work environment) are on a separate continuumthat ranges from dissatisfaction to no dissatisfaction.

    Content Perspectives on Motivation

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    1675

    Content Perspectives on Motivation

    (contd)

    The Two-Factor Theory (contd)

    Theory posits that motivation is a two-step

    process:

    Ensuring that the hygiene factors are not deficient andnot blocking motivation.

    Giving employees the opportunity to experience

    motivational factors through job enrichment.

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    The Two-Factor Theory of Motivation

    McClelland's Achievement

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    McClelland s Achievement

    Motivation

    McClelland's Achievement MotivationTheory is based upon the idea that people

    have an achievement need. An

    achievement need is the need to besuccessful and to receive recognition foryour success.

    3 h t i ti f l

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    3 characteristics of people

    1. Need for Achievement - doing innovative,new, interesting and challenging things.

    2. Need for Affiliation - the need for

    feedback / contact with others.3. Need for Power - the need for

    responsibility, or to be responsible forothers.

    A hi

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    Achievement

    The need for achievement is characterised by the

    wish to take responsibility for finding solutions to

    problems, master complex tasks, set goals, getfeedback on level of success.

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    THE NEED FOR ACHIEVEMENT (N-ACH)

    The n-ach person is 'achievement motivated'and therefore:

    seeks achievement,

    attainment of realistic but challenging goals, advancement in the job.

    There is a strong need for feedback as to

    achievement and progress, accompained witha need for a sense of accomplishment.

    Affili ti

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    Affiliation

    The need for affiliation is characterised bya desire to belong, an enjoyment of

    teamwork, a concern about interpersonal

    relationships, and a need to reduceuncertainty.

    ( )

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    THE NEED FOR AFFILIATION (N-AFFIL)

    The n-affil person is 'affiliation motivated', He has a need for friendly relationships and is

    motivated towards interaction with other

    people. The affiliation driver produces motivation and

    need to be liked and held in popular regard.

    These people are team players.

    P (I fl )

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    Power (Influence)

    The need for power is characterised by adrive to control and influence others, a

    need to win arguments, a need to

    persuade and prevail.

    THE NEED FOR AUTHORITY AND POWER (N-

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    THE NEED FOR AUTHORITY AND POWER (N

    POW)

    The n-pow person is 'authority motivated'. Thisdriver produces a need to be

    influential,

    effective

    to make an impact.

    There is a strong need to lead and for their ideas toprevail.

    There is also motivation and need towards increasingpersonal status and prestige.

    Motivation In Action: TIPS For Motivating

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    Motivation In Action: TIPS For Motivating

    Employees

    1. Set Goals

    2. Use Pay for Performance

    3. Use Recognition

    4. Empower Employees

    5. Enrich the Jobs

    6. Provide Lifelong Learning

    E E l

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    Empower Employees

    Empowerment

    The act of giving employees the authority, tools,

    and information they need to do their jobs with

    greater autonomy and confidence.

    E i h th J b

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    Enrich the Jobs

    Job Enrichment

    The inclusion of opportunities for achievement

    and other motivators in a job by making the job

    itself more challenging.

    C t ti ti l i

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    Current motivational issues

    Diverse work force ?

    Professionals?

    Contingent workers?

    Low-skilled minimum wage workers

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    Motivation: Applications

    Design of Work Systems

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    g y

    Job Specialization

    Creates jobs with very narrow task(activity) assignments

    Resulted in high efficiency, quicklyachieved job competency, low training

    costs, but created monotonous jobs Job Enlargement

    An increase in task variety to relieveboredom

    Job Rotation Employees moved across different

    specialized positions

    Enlargement & rotation add variety but

    not necessarily responsibility

    Five Core Job Characteristics

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    Skill variety

    Extent to which work

    allows employee to usevariety of skills

    Task identity

    Extent to which workallows employee tocomplete whole oridentifiable piece ofwork

    Task significance

    Extent to whichemployee perceivesthat work is important& meaningful to thoseinside or outsideorganization

    Autonomy

    Extent to whichemployee is able towork & determine workprocedure at owndiscretion

    FeedbackExtent to which workallows employee togain sense of how welljob responsibilities

    are met

    Alternate work arrangements

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    Alternate work arrangements

    Flextime

    Telecommuting

    Employee Involvement &

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    p yParticipation

    Consists of those practices whichare initiated principally by themanagement and are designed to

    increase employee information aboutand commitment to the organization

    Forms of employee involvement &

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    p y

    Participation

    Upward communication

    Upward problem solving

    Consultation and representative participation

    Financial involvement and participation

    Quality Circle

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    Quality Circle

    Small groups of volunteers whoare engaged in related work andwho meet regularly to discuss

    and propose ways of improvingworking methods or arrangementsunder a trained leader

    Aims

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    Aims

    Give those doing the job more scopeto use their experience and know-how

    Improve productivity and quality Improve employee relations

    Win commitment to the organization

    Provide opportunities to tap theknowledge of employees

    Essential Features

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    Essential Features

    Consist of volunteers

    Have a trained leader

    Hold regular meetings which arestrictly limited in duration

    Have 5-10 members Usually select which problems totackle but may be steered away fromproblems which are clearly beyond

    their scope or are already beingdealt with

    Contd

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    Contd..

    Use systematic analyticalmethods or brain stormingtechniques in which they are

    trained Present results to management

    Implement accepted proposals

    Attitude survey

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    Attitude survey

    Valuable way of involvingemployees by seeking their

    views on matters that concernthem

    Uses

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    Provide particular information onthe preference of employees

    Giving warning on potential areas

    Diagnose the cause of particularproblems

    Compare morale in different partsof the organization

    Suggestion Schemes

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    Suggestion Schemes

    Provide a valuable means foremployees to participate inimproving the efficiency

    Established procedure for

    submitting and evaluating ideas

    SAP INDIA LABS

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    SAP INDIA LABS

    INFORMAL CHATS AT TIMES THROW UP GOODIDEAS

    REFERRALS BY EMPLOYEES COMPRISES 50

    PERCENT OF ALL HIRING

    SCOPE INTERNATIONAL

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    SCOPE INTERNATIONAL

    SMART WORK & SMART REWARD

    ALLOWS EMPLOYEES TO SHIFT JOBS IF THEY DESIRE

    CREATED A NEW POSITION EMPLOYEEENGAGEMENT MANAGER

    Summer camp/cultural events

    Recognition via Global Training opportunities

    MIND TREE CONSULTING

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    MIND TREE CONSULTING

    TO RUN A TIGHT SHIP, KEEP YOUREMPLOYEES CLOSE AND EXTENDED FAMILY

    EVEN CLOSER

    GOES BEYOND ITS EMPLOYEES AND

    CONNECTS WITH THEIR SUPPORT GROUP

    Contd

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    Contd

    Hiring people without probation

    PIP for poor performers

    The Best Manager One Can Have Award

    The New Heroes Gallery-Wall of Fame

    NTPC

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    NTPC

    Employees participation in management aspart of employee relations strategy

    Suggestion Melas at each location with reward

    of Rs15000/-

    Culture of reward and recognition

    Equal Opportunity Employer

    Extended maternity leaves, child care leave,

    child care centre

    GODREJ CONSUMER PRODUCTS LTD

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    GODREJ CONSUMER PRODUCTS LTD

    Welcome gift

    Internal Customer satisfaction survey

    Every Employee, a Leader philosophy

    Mentoring

    JOHNSON & JOHNSON LTD

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    JOHNSON & JOHNSON LTD

    J&J e-University Education Assistance Scheme

    Idea works/Encash program

    Web based discussion forum Touch point Peer Awards

    Small Company Environment-Big company Impact

    Google India Pvt. Ltd

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    g

    Bring your friend to work day

    Nooglers (New Googlers) survey

    Transferable stock options

    Google India Women in Engineering-Award

    Oversize whiteboards and suggestionboxes all over the work places

    Education reimbursement and 2-5 yearleave of absence to pursue highereducation

    American Express India

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    American Express India

    Celebrates family day

    Every unit celebrates its Foundation Day

    New hire orientation program

    Women Integration Network Comprehensive training curriculum

    Leadership visibility on the operation

    floor

    Marriot hotel India

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    Marriot hotel, India

    Every associate starts his day by readingthe Daily Packet

    Speak Out! Program

    Integrity Hotline

    Each associate receives a Passport to

    Success booklet to track their progress

    Contd

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    Contd

    Birthday Voucher Cross training

    Guarantee of Fair Treatment

    Coffee with the GM

    Community services

    Agilent Technologies

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    Agilent Technologies

    Ask the CEO Open Door Policy

    Coffee Talks

    Education Assistance Programs

    Flexible work Arrangement

    Agilent Results Bonus Equal Opportunity

    Classic Stripes Pvt Ltd

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    Classic Stripes Pvt. Ltd

    Morning Meetings Open Communication Forum

    Relationship Committee

    Associate of the Month

    Long term Awards

    CSR Activities Various celebrations

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    Stress Management

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    Stress Management

    Stress - a dynamic condition in which anindividual is confronted with an opportunity,

    demand or resource related to what the

    individual desires and for which the outcomeis perceived to be both uncertain and

    important

    Stress also have a positive value

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    p

    Challenge stressors- stressors associated withwork load, pressure to complete the task andtime urgency

    Hindrance stressors- stressors that keep you fromreaching the goals

    Challenge stressors are less harmful thanhindrance stressors

    Stress is associated with demands and resources

    Potential sources of stress

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    Potential sources of stress

    Environmental factors- Economic uncertainty,Political uncertainty, Technological change

    Organizational factors- Task demands, Roledemands, Interpersonal demands

    Personal factors- Family problems, Economic

    problems, Personality

    Type A Personality

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    Type A Personality

    A person with a Type A personality isaggressively involved in a chronic, incessant

    struggle to achieve more and more in less and

    less time, and if required to do so, against theopposing efforts of other things or other

    persons

    Type As

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    yp

    Are always moving, walking and eating rapidly

    Feel impatient with the rate at which most

    events take place

    Strive to think or do two or more things atonce

    Cannot cope with leisure time

    Are obsessed with numbers, measuring theirsuccess in terms of how many or how much of

    every thing they acquire

    Contrast to Type A personality is Type B

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    Type B never suffer from a sense of urgency

    Can relax without guilt

    Type A operate under moderate to high level ofstress

    Type As do better than Type B in job interviews

    as they are likely to be judged as having desirabletraits such as high drive, competence and successmotivation

    Consequences of stress

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    Physiological symptoms: create changes inmetabolism, increase in heart and breathingrates, increase in blood pressure, bring onheadaches and induce heart attacks

    Psychological symptoms: job relateddissatisfaction, tension, irritability, boredom

    Behavioural symptoms: changes inproductivity, absence, changes in eatinghabits, smoking, consumption of alcohol,sleep disorders

    Managing stress

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    g g

    Individual approach: implementing timemanagement techniques, increasing physical

    exercises, relaxation training and expanding social

    support network

    Organizational approach: improved personnel

    selection and job placement, training, use of

    realistic goal setting, redesigning jobs, more

    employee involvement, improved organizationalcommunication, corporate wellness programs

    Frustration

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    Blocking or slowing down of a goal directedactivity

    Resultant feeling caused by a sense ofprivation, deprivation or conflict in relation to

    goal directed activity

    Dynamics of frustration

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    y

    F=f L x V x O+ I + P

    L= expectation to achieve the goal

    V= valence (attractiveness)O= opportunity to achieve the goal in the near

    future

    I= investment of effort and other inputsP= public knowledge of the expected

    achievement

    Frustration cycle

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    Adaptive

    deterioration

    Isolation

    Defensive

    behaviour

    Distortedperception

    Hope cycle

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    Problem

    solving

    Insight

    Realistic

    analysis

    Exploration

    Coping behaviour

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    p g

    Aggression

    Regression

    Flight

    Exploration

    Aggression

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    gg

    General aggression: General irritation,restlessness, and violent /destructiveexpressions of aggression

    Target-directed aggression: Anger, blamingothers and hostility towards people seen ascausing disappointment

    Self- directed aggression: blaming himself

    Displaced aggression: aggression directed to athird person

    Regression

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    g

    Regression is characterized by primitive orpreviously used modes of behaviour

    Under emotional pressure a person mayrevert to earlier behavioural mode which

    make him feel more secure

    Flight

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    g Apathy: A manager may not pay any attention to

    the frustrating situation and may neglect it Withdrawal: A frustrating employee in an

    organization may leave it or avoid attendingmeetings

    Denial: A person may deny feeling any frustration,one may repress feeling of pain and denyexperiencing any frustration

    Fantasy: day dream pleasant things and createfantasies of doing something one cannot do inreal life

    Exploration

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    p

    Problem solving mode Explores issues with others, take steps to

    analyze the situation and prepare alternative

    strategies of action Self action, Action by others , Joint action

    Managing frustration

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    g g

    Listen to the feelings of the staff Share own feelings of disappointment

    Share feelings of guilt if any

    Help the staff to accept and confront reality

    Develop alternatives to solve problems

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    Personality

    Personality

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    Sum total of ways in which an individual reactsto and interacts with others

    Often described in terms of the measurable traitsa person exhibits

    Main ways in which personality is measured are :self- report surveys, Observer ratings surveys andprojective measures

    Personality test can help in screening, successionplanning, career planning, team building andmanagement development activities

    Personality determinants

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    Heredity: factors determined at conception,ones biological, physiological and inherent

    psychological make up

    Environment

    Myers-Briggs Type Indicator

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    Most widely used 100 question personality test that asks people

    how they usually feel or act in particular

    situations Individuals are classified as extraverted versus

    introverted, Sensing or intuitive, Thinking or

    feeling and Judging or perceiving

    Myers-Briggs Type Indicator (MBTI)

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    Style of

    Decision Making Judgmental (J)

    Perceptive (P)

    Preference for

    Decision Making Thinking (T)

    Feeling (F)

    Type of SocialInteraction Introvert (I)

    Extrovert (E)

    Preference for

    Gathering Data Intuitive (N)

    Sensing (S)

    Extraverted individuals are outgoing, sociable

    and assertive; Introverts are quiet and shy

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    ; q y

    Sensing types are practical and prefer order;

    Intuitive rely on unconscious processes and

    look at the big picture

    Thinking types use reason and logic to handle

    problems; Feeling types rely on personal

    values and emotions

    Judging types want control, structured,

    organized; Perceiving types are spontaneousand flexible

    In work settings, extraverts prefer variety and donot mind being interrupted by phone calls orvisits They communicate freely

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    visits. They communicate freely.

    Introverts prefer to concentrate quietly, aredetail oriented and do not mind working on aproject for a long time. They dislike interruptionsand may have trouble in recalling names andfaces

    At work sensing types prefer specific answers toquestions and can be frustrated by vagueinstructions. They like jobs yielding tangibleresults and use established skills than learn new

    ones Intuitive types like solving new problems, enjoy

    learning new skills and tend to think severalthings at once

    Thinking types tend to show less emotion,

    firm minded and like putting things into a

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    firm minded and like putting things into a

    logical frame work

    Feeling types are comfortable with emotion in

    workplace, enjoy pleasing people andreceiving frequent praise and encouragement

    Big Five Personality Model

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    Extraversion: Captures ones comfort levelwith relationships

    Agreeableness: Refers to an individuals

    propensity to defer to others Conscientiousness: Is a measure of reliability

    Emotional stability: Taps a persons ability to

    withstand stress Openness to experience: Addresses ones

    range of interests and fascination with novelty

    Extraversion

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    The

    Big Five Personality

    Model

    Openness to Experience

    Agreeableness

    Conscientiousness

    Emotional Stability

    Extraversion: outgoing, gregarious, active,

    assertive and high spirited

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    assertive and high spirited

    Agreeableness: Compassionate, good natured,warm, trusting

    Conscientiousness: well organized,

    dependable, persistent, have high standards,strive to achieve goals

    Emotional stability: calm, confident and

    secure Openness to experience: Creative, curious,

    have broad interest and very imaginative

    Other Personality Traits

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    Locus of control Machiavellianism

    Narcissism

    Type A

    Risk taking

    Proactive personality

    HIGH MACS are:

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    Pragmatic

    Maintains emotional distance

    Believes that ends can justify the means

    Manipulate more

    Win more

    Persuaded less

    Persuade others more

    Persuaded by 3 factors

    - Face-to-face interaction

    - Situation having minimum number of rules & regulations ,allowing latitudefor improvisation

    - Emotional involvement with details irrelevant

    As 11th per Edition

    Narcissism

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    The tendency to be arrogant, have a grandiosesense of self importance, require excessive

    admiration and have a sense of entitlement

    Subordinates often rate Narcissists as badleaders

    Narcissists treat others as inferior

    Selfish, exploitative, carry the attitude thatothers exist for their benefit

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    Groups

    Group

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    Two or more individuals, interacting andinterdependent, who have come together to

    achieve particular objectives

    Can be either formal or informal

    Can be further classified into command, task,interest or friendship group

    Command group: A group composed of the

    individuals who report directly to a given

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    p y g

    manager

    Task group: People working together to

    complete a job task

    Interest group: People working together to

    attain a specific objective with which each is

    concerned

    Friendship group: People brought together

    because they share one or more common

    characteristics

    Why do people join Groups?

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    Security

    Status

    Self esteem

    Affiliation

    Power

    Goal achievement

    Stages of group development

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    Forming

    Storming

    Norming

    Performing

    Adjourning

    Stages of Team Development

    O i t ti (F i )

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    Orientation (Forming)

    This is simply the bringing together of a group of individuals.

    At this stage, members are:

    Moderately eager

    Have generally positive expectations

    Have some anxiety about why they are there and what it all

    means

    Have some anxiety about other members such as who they

    are and what they are like

    Contd..

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    During orientation,

    How to approach Goals, and what skills are needed.

    The length of this stage will depend on how clearly thetask is defined.

    This is an important stage because it serves to clarify

    the team's mission and bond team members.

    Stages of Team Development

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    Storming

    This stage is characterized by:

    argument

    conflict

    a dip in morale

    It results from differences between initial expectations

    and the reality of the situation as perceived by the

    members. Members may have varying opinions of what

    the group was to do and how to accomplish it

    Members are also beginning to confront the

    differences in their personalities and values, a

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    condition that is present anytime strangers meet.

    Members may feel anger or frustration with the task

    or with other members or may even resent the

    presence of formal leadership.

    Generally, the dissatisfaction stage is relatively short.

    Some groups, however, may become stuck in this

    stage and continue to be both demoralized and

    relatively unproductive.

    In the worst cases, some groups never emerge from

    this stage and, if possible, disband in frustration.

    Stages of Team Development

    Resolution (Norming)

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    Resolution (Norming)

    This stage in the group's development involves the: Resolving of issues

    Setting up group processes

    Setting of group policies, procedures, and values

    Increasing production

    Members are now resolving differences and clarifying the mission

    and roles.

    Members are less dissatisfied as in the previous stage because they

    are now learning more about each other and how they will work

    to ether

    Members are making progress toward their goals.

    They are developing tools to help them workbetter together such as a problem solving

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    better together such as a problem solving

    process, a code of conduct, a set of team values,and measurement indicators.

    Member attitudes are characterized by

    decreasing animosities toward other members;feelings of cohesion, mutual respect, harmony,and trust; and a feeling of pleasure inaccomplishing tasks.

    The work is characterized by slowly increasingproduction as skills develop. The group isdeveloping into a team.

    Stages of Team Development

    Production (Performing)

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    Production (Performing)

    The team is accomplishing work effectively.

    Production is high and the climate is positive.

    Member attitudes are characterized by positive feelings and

    eagerness to be part of the team.

    Members are confident about the outcome, enjoy open

    communication, exhibit high energy, and disagreement is

    welcome and handled without emotional conflict.

    Although work is being accomplished through all the stages, this

    stage reflects the work being accomplished most effectively.

    Stages of Team Development

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    Termination

    In the case of temporary teams such as task forces, design

    teams, and problem solving teams, a fifth stage reflects the

    ending of the process.

    Depending on the team's success in accomplishing its task

    and how strongly the members have bonded, this stage may

    reflect either a sense of loss or relief. When a team ends,

    time should be spent addressing how it should be done to

    properly recognize the team's accomplishments.

    Role

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    A set of expected behaviour patternsattributed to someone occupying a given

    position in a social unit

    Our behaviour varies with the roles we are

    playing

    Role identity: Certain attitudes and behavioursconsistent with a role and they create the roleidentity

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    identity

    Role perception: An individuals view of howhe or she is supposed to act in a givensituation

    Role expectations: How others believe aperson should act in a given situation

    Role conflict: A situation in which an individualis confronted by divergent role expectations

    Norms: Acceptable standards of behaviour

    within a group that are shared by the

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    members of the group

    All groups have established norms

    Performance norms, appearance norms, social

    arrangement norms, resource allocation

    norms etc

    Conformity: The adjustment of ones

    behaviour to align with the norms of the

    group

    Status: A socially defined position or rank

    given to groups or group members by others

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    According to status characteristics theory,

    status tends to be derived from one of three

    sources

    1. The power a person wields over others

    2. A persons ability to contribute to a groups

    goals

    3. An individuals personal characteristics

    Group size

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    Smaller groups are faster at completing tasks

    than larger ones

    Individuals perform better in smaller groups

    than in larger ones

    Larger groups are effective in fact

    finding/problem solving

    Social loafing: Is the tendency for individuals

    to expend less effort when working

    collectively than when working individually

    Cohesiveness

    Degree to which group members are attracted

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    Degree to which group members are attracted

    to each other and are motivated to stay in thegroup

    Suggestions to encourage group cohesiveness

    1. Make the group smaller2. Encourage agreement with group goals

    3. Increase the time members spend together

    4. Increase the status of the group5. Stimulate competition with other groups

    6. Give group rewards

    Group decision making

    Strengths

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    Strengths

    1. Generate more information and knowledge

    2. Can bring heterogeneity to the decision

    process

    3. Increased acceptance of a solution

    Weaknesses

    1. Time consuming

    2. Conformity pressures in groups

    3. Suffer from ambiguous responsibility

    Groupthink

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    A phenomenon in which the norm for consensus

    overrides the realistic appraisal of alternativecourses of action

    Describes a deterioration in an individualsmental efficiency, reality testing and moral

    judgment as a result of group pressure

    Suggestions to minimize groupthink

    Monitor group size, encourage group leader to play

    an impartial role, appoint one group member asdevils advocate, encourage active discussions

    Team

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    A team comprises a group of people linked in a

    common purpose.

    Teams are especially appropriate for conducting

    tasks that are high in complexity and have many

    interdependent subtasks

    Why Have Teams Become SoPopular ?

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    Teams typically outperform individuals.

    Teams use employee talents better.

    Teams are more flexible and responsive tochanges in the environment.

    Teams facilitate employee involvement.

    Teams are an effective way to democratize anorganization and increase motivation.

    p

    Work Group

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    A group that interacts primarily to share informationand to make decisions to help each group memberperform within his or her area of responsibility.

    Work Team

    A group whose individual efforts result in aperformance that is greater than the sum of theindividual inputs.

    Comparing Work Groups and Work Teams

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    P bl S l i T

    Types of Teams

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    Problem-Solving Teams

    Groups of 5 to 12 employees from the samedepartment who meet for a few hours eachweek to discuss ways of improving quality,efficiency, and the work environment.

    Self-Managed Work Teams

    Groups of 10 to 15 people who take on theresponsibilities of their former supervisors.

    planning and scheduling of work,. assigningtasks to members, making operating

    decisions taking actions on problems

    Types of Teams (contd)

    C F i l T

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    Cross-Functional Teams

    Employees from about the same hierarchical level,but from different work areas, who come together toaccomplish a task.

    Types of Teams (contd)

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    Virtual Teams

    Teams that use computertechnology to tie togetherphysically dispersed

    members in order toachieve a common goal.

    Tend to be more task oriented and exchange less social-emotional

    information than face to face teams.

    Team effectiveness- Contextual factors

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    Adequate resources

    Leadership and structure

    Climate of trust

    Performance evaluation and rewards

    Team effectiveness- composition

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    Ability of members Personality of members

    Allocation of roles

    Diversity of members

    Team size

    Member preferences

    Key roles of Teams Producer

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    Producer

    Organizer

    Assessor

    Promoter

    Creator

    Linker

    Adviser Maintainer

    Controller

    Team effectiveness- Process

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    Common purpose Specific goals

    Team efficacy

    Mental model

    Conflict levels

    Social loafing

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    Training game- Team building

    The top management team of a manufacturingorganisation was deployed for an outboundtraining program focused on team building

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    There was a specified training need of trust andteam functioning under stressful conditions

    The trainer deployed a training game titled asnighttrek in a dense forest

    The team was given the task of reaching aspecified point in the jungle by following a handmade map

    On the map there were clues which indicated

    the path that the team had to follow

    Three hour activity each team was given

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    Three hour activity, each team was given

    resources like water, torches and fruit

    The team was accompanied by the trainer

    whose role was to observe the functioning of

    the team in conditions of stress andsubsequently catalyze learning by quoting live

    data regarding the performance of the different

    team members

    There was no light or sound except the light heartedhumour of the participants

    The team functioned like a well oiled machine

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    The unit head became the de-facto leaderThere was rampant enthusiasm and a spring in the step

    of the participants as they searched for clues given on

    the map

    After the second clue team lost its way. They went one

    way, lost track, returned and then explored different

    routes, all to no avail

    The teams energy began to sagA large group of the participants stood around with hand

    on their hips and passive looks on their faces

    The first crack in the team began to show

    The participation of the person who wanted to goback declined

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    back declined

    His criticism of the event went to go upSome other members began to pay heed to hisutterances

    Finally a group of participants were standingaround doing nothing in particular

    A small group of participants was still at work

    They were poring over the map and trying todecipher it

    The team was lost, it was pitch dark

    A small subgroup of the team was busy findinglandmarks while this altercation was going on

    The team leader along with his small set of croniesdi i f h

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    set a direction for the team

    As the team went into action, the unrest subsided

    The leader asked some team members to exploreahead

    The behaviour of the two sets of team members caneasily be classified into two categories

    One set was energetic, willing to take risks, explore

    ahead and provide direction

    When the team reached the camp site, there was a little bit o

    a pandemonium Some participants spoke angrily to the participants, What isthe meaning ofthis?

    The team leader said, This is how life is. It puts up itschallenges. We need to take them on. It was quite anexperience

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    experience

    Some active participants added, It was fun, I had a greattime On listening to these comments, the pugnacious group

    quietened and the situation returned to normalcy Then everybody started poking fun at each other especially

    the ones who panicked during the night trek at stressfulpoints.

    That is when the learning began to sink in The performers got the kudos and respect of their fellowmen

    This was a classical case of team dynamics under stressfulconditions

    For the trainer it was just like being in human behaviour lab

    He could spot the changes in the functioning of the team as

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    He could spot the changes in the functioning of the team as

    the situation went from under-control to out -ofcontrol AS the situation deteriorated, the veneer that the executives

    developed after attending team building workshops slowlydisappeared

    Therefore when the team really needed to function as one, itwas segmented and divided

    It is easy to talk about teams and their relevance in a classroom

    It is easy to be a good team member and put goody-goody

    behaviour when times are good and success ia at hand

    It is only when times are bad that one is able todistinguish between genuine team members and

    others to wear the clock of Sprit de corps

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    From the team dynamics in this game, it becomesclear that because of numerous and omnipresent

    training programs on team building, executives in

    organisations have realized the relevance of

    functioning as a team.

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    Leadership

    What Do Leaders Do?

    Leadership

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    p

    One person influencing another to willingly worktowards a predetermined objective.

    Effective Leadership

    A balance of traits and skills, and leadership stylesor behaviors, all combined in a way thats right for a

    particular situation.

    Studying Leadership

    Focus on the leaders traits and skills, on his or her

    behavior, or on how the situation influences what

    type of leader is best.

    What Is Leadership?

    Leadership

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    Leadership

    The ability to influence a group toward theachievement of goals.

    Management

    Use of authority inherent in designated formal rankto obtain compliance from organizational members.

    Trait Theories

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    Leadership Traits:

    Ambition and energy

    The desire to lead

    Honest and integrity

    Self-confidence

    Intelligence

    High self-monitoring

    Job-relevant knowledge

    Traits Theories of

    Leadership

    Theories that considerpersonality, social,

    physical, or intellectualtraits to differentiateleaders from non leaders.

    Behavioral Theories

    Behavioral Theories of Leadership

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    Trait theory:

    Leaders are born, not made.

    Behavioral theory:

    Leadership traits can be taught.

    Behavioral Theories of Leadership

    Theories proposing that specific behaviorsdifferentiate leaders from nonleaders.

    Ohio State Studies

    Initiating Structure

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    Initiating Structure

    The extent to which a leader is likely to define andstructure his or her role and those of sub-ordinatesin the search for goal attainment.

    Consideration

    The extent to which a leader is likely to have jobrelationships characterized by mutual trust, respect

    for subordinates ideas, and regard for their feelings.

    University of Michigan StudiesEmployee-Oriented Leader

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    Emphasizing interpersonal relations; taking apersonal interest in the needs of employees andaccepting individual differences among members.

    Production-Oriented Leader

    One who emphasizes technical or task aspects ofthe job.

    QUOTES FROM PETER DRUCKER

    O I S I U IO CA OSSI LY SU VIV I I S

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    NO INSTITUTION CAN POSSIBLY SURVIVE IF IT NEEDS

    GENIUSES OR SUPERMEN TO MANAGE IT. IT MUST

    BE ORGANISED IN SUCH A WAY AS TO GET ALONG

    UNDER A LEADERSHIP COMPOSED OF AVERAGE

    HUMAN BEINGS MANAGEMENT IS DOING THINGS RIGHT;

    LEADERSHIP IS DOING THE RIGHT THINGS

    PRACTICES FOLLOWED BY EFFECTIVE

    LEADERS

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    WHAT NEEDS TO BE DONE WHAT IS RIGHT FOR THE ENTERPRISE

    ACTION PLANS

    RESPONSIBILITY FOR DECISIONS RESPONSIBILTY OF COMMUNICATING

    FOCUSED ON OPPORTUNITIES RATHER THAN

    PROBLEM

    PRODUCTIVE MEETINGS

    THOUGHT AND SAID WE RATHER THAN I

    Comparison of Transformational and

    Transactional Leadership

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    Transformational Leadership Promotes change

    Shares vision, values and

    emotional bonding

    Provides intellectualstimulation

    Develops pride, gains trust

    and respect

    Provides personal attention

    Transactional leadership Maintains stability

    Goes into contractual

    arrangement

    Provides guidance and roleclarification

    Promises reward for

    performance

    Interactions mostly formaland officious

    Key competencies in Transformational leaders

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    Ability for assessment of current situation Ability to challenge the status quo

    Adaptability to the changing environment

    Ability to have a long term vision

    Capability to articulate and practice a set of corevalues

    Risk taking ability

    Communication skills Ability to arouse passion

    Contd..

    Understanding and practice of equity, power

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    and freedom Building coalitions

    Flexibility and openness to experience

    Ability to make fast decisions

    Ability to modify systems

    MENTORING

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    Form of coaching in which an ongoing

    relationship is developed between a senior

    and junior employee

    FEATURES TO BE CONSIDERED INMENTORING PROGRAM

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    Top Management support Integration into the career development process

    Voluntary involvement

    Assignment of mentees to mentors Relatively short phases to the program

    An established orientation

    Monitoring of the process

    Mind Tree Consulting- Mentor Me

    Mindtrees program that transfers experiential knowledge and

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    connects mentor-mentee & tries to build a connect acrosslevels of employees

    Learner centric mentoring

    Bi-directional that focuses on a developmental partnership

    between knowledge rich giver and knowledge seeker Performed a needs analysis

    Formalized the several mentoring engagements under a single

    umbrella program MentorMe

    Individual development as well as collective learning

    T b i b h i l i d h i l

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    Two sub programs viz behavioural mentoring and technical

    mentoring

    Mentors provide cushion for the knowledge seekers and

    cocoon mentees with the much needed personal care and

    guidance

    Two way learning approach

    Intellectual and emotional

    Training is provided

    Role of mentoring consultant Requires a certain level of engagement

    M t t i f CLAS i ll d lid

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    Mentee engagement is a process ofCLAS in small and solid

    steps

    Two levels of engagement viz intellectual engagement and

    emotional engagement

    Open to all across competencies and is voluntary

    Available pool of experts for those who want to learn

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    Decision making

    Phases in decision making

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    Identification phase

    Development phase

    Selection phase

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    Programmed decisions: routine and repetitivedecisions that are normally handled by

    bureaucratic procedures

    Non programmed decisions: are made by

    individuals using the information available and

    their own ability to judge the situation

    Models of decision making process

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    Rational decision making model: it is assumedthat people are economically rational and thatthey are making an attempt to maximizeoutcomes in all situations

    Bounded rationality model: assumes that peopleare bounded by certain constraints, may seek forthe best solution but usually settle for much lessbecause the decisions they confront typically

    demand greater information processingcapabilities than they possess

    Heuristics

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    Rule that guides the search for alternativesinto areas that have a high probability of

    yielding satisfactory solutions

    Based on what has worked in past experiences

    Shortcuts in decision making that save mentalactivity

    Group decision making techniques

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    Brain storming

    Nominal technique

    Delphi technique

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    Organizational structure and design

    What Is Organizational Structure?

    Organizational Structure

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    Key Elements:

    Work specialization

    Departmentalization

    Chain of command

    Span of control

    Centralization and

    decentralization

    Formalization

    Organizational Structure

    How job tasks are formallydivided, grouped, andcoordinated.

    Work Specialization

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    Division of labor:

    Makes efficient use of employee skills

    Increases employee skills through repetition

    Specialized training is more efficient.

    Allows use of specialized equipment.

    The degree to which tasks in the organization aresubdivided into separate jobs.

    Departmentalization

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    Grouping Activities By:

    Function

    Product

    Geography

    Process

    Customer

    The basis by which jobs are grouped together.

    Authority

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    Chain of Command

    The unbroken line of authority that extends from thetop of the organization to the lowest echelon andclarifies who reports to whom.

    The rights inherent in a managerial position to giveorders and to expect the orders to be obeyed.

    Unity of Command

    A subordinate should have only one superior to whomhe or she is directly responsible.

    Span of Control

    The number of subordinates a manager can efficientlyand effectively direct.

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    Narrow Span Drawbacks:

    Expense of additional layers of management.

    Increased complexity of vertical communication.

    Encouragement of overly tight supervision anddiscouragement of employee autonomy.

    Concept:

    Wider spans of management increase organizationalefficiency.

    Centralization

    The degree to which decision making isconcentrated at a single point in the organization

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    concentrated at a single point in the organization.

    Formalization

    The degree to which jobs within the organization arestandardized.

    Decentralization

    The degree to which decision making is spreadthroughout the organization.

    Common Organization Designs

    Simple Structure

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    A structure characterized by a low degree ofdepartmentalization, wide spans of control, authority

    centralized in a single person, and littleformalization.

    Common Organization Designs (contd)

    Bureaucracy

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    A structure of highly operating routine tasksachieved through specialization, very formalized

    rules and regulations, tasks that are grouped intofunctional departments, centralized authority, narrowspans of control, and decision making that followsthe chain of command.

    The Bureaucracy

    Strengths Weaknesses

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    Strengths

    Functional economies of

    scale

    Minimum duplication of

    personnel and

    equipment

    Enhanced

    communication

    Centralized decision

    making

    Weaknesses

    Subunit conflicts with

    organizational goals

    Obsessive concern with

    rules and regulations

    Lack of employee

    discretion to deal with

    problems

    Common Organization Designs (contd)

    Matrix Structure

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    Key Elements:

    + Gains the advantages of functional and productdepartmentalization while avoiding their weaknesses.

    + Facilitates coordination of complex and interdependentactivities.

    Breaks down unity-of-command concept.

    A structure that creates dual lines of authority andcombines functional and product departmentalization.

    New Design OptionsTeam Structure

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    Characteristics: Breaks down departmental barriers.

    Decentralizes decision making to the team level.

    Requires employees to be generalists as well as specialists.

    Creates a flexible bureaucracy.

    The use of teams as the central device to coordinatework activities.

    New Design Options (contd)

    Virtual Organization

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    Concepts:

    Advantage: Provides maximum flexibility while concentrating

    on what the organization does best.

    Disadvantage: Reduced control over key parts of the

    business.

    A small, core organization that outsources its majorbusiness functions.

    Highly centralized with little or no departmentalization.

    New Design Options (contd)Boundaryless Organization

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    T-form Concepts:

    Eliminate vertical (hierarchical) and horizontal

    (departmental) internal boundaries.

    Breakdown external barriers to customers andsuppliers.

    An organization that seeks to eliminate the chain ofcommand, have limitless spans of control, andreplace departments with empowered teams.

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    Why Do Structures Differ? Strategy

    Innovation Strategy

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    A strategy that emphasizes the introduction of majornew products and services.

    Cost-minimization Strategy

    A strategy that emphasizes tight cost controls,avoidance of unnecessary innovation or marketingexpenses, and price cutting.

    Why Do Structures Differ? Size

    Size

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    Characteristics of large organizations:

    More specialization

    More vertical levels

    More rules and regulations

    How the size of an organization affects its structure.As an organization grows larger, it becomes moremechanistic.

    Why Do Structures Differ?Environment

    Environment

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    Key Dimensions-

    Capacity: the degree to which an environment can support

    growth.

    Volatility: the degree of instability in the environment.

    Complexity: the degree of heterogeneity and concentration

    among environmental elements.

    Institutions or forces outside the organization thatpotentially affect the organizations performance.

    Organizational Designs andEmployee Behavior

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    Research Findings:

    Work specialization contributes to higher employee productivity, but

    it reduces job satisfaction.

    The benefits of specialization have decreased rapidly as employees

    seek more intrinsically rewarding jobs.

    The effect of span of control on employee performance is contingent

    upon individual differences and abilities, task structures, and other

    organizational factors.

    Participative decision making in decentralized organizations ispositively related to job satisfaction.

    Organizational Change

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    Any alteration of people, structure ortechnology in an organization

    Why do people resist change?

    Uncertainty

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    y

    Habit

    Concern over personal loss

    Belief that the change is not in theOrganization's best interest

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    Managerial Actions to Reduce Resistance to

    Change

    Education & Communication

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    Communicate with employees to help them tosee the logic of change

    Educate employees

    Appropriate if source of resistance is eitherpoor communication or misinformation

    Must be mutual trust and credibility between

    managers and employees

    Participation

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    Allows those who oppose a change toparticipate in the decision

    Assume that they have the expertise to make

    meaningful contribution

    Involvement can reduce resistance, obtain

    commitment to seeing change succeed and

    increase quality of change decision

    Facilitation & Support

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    Provide supportive efforts such as employeecounseling, new skills training or short paid

    leave of absence

    Can be time consuming and expensive

    Negotiation

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    Exchange something of value to reduceresistance

    May be necessary when resistance comes

    from a powerful source

    High costs and likelihood of having to

    negotiate with other resisters

    Coercion

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    Using direct threats or force

    Inexpensive way

    May be illegal.

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    Planned change

    Lewins change model

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    Conceived change as modification of forceskeeping a systems behaviour stable

    A particular set of behaviours at any moment

    is the result of two groups of forces: those

    striving to maintain the status quo and those

    pushing for change

    Change process consists of three steps:

    Unfreezing, moving and refreezing

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    Action research model

    Problem identification

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    Consultation with a behavioural expert

    Data gathering and preliminary diagnosis

    Feedback to a key client or group

    Joint diagnosis of the problem

    Joint action planning

    Action

    Data gathering after action

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    Communication

    Functions of Communication

    Communication

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    Communication Functions

    1. Control member behavior.

    2. Foster motivation for what is to be done.

    3. Provide a release for emotional expression.

    4. Provide information needed to make decisions.

    The transference and the understanding of meaning.

    Elements of the CommunicationProcess

    The sender

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    Encoding

    The message

    The channel Decoding

    The receiver

    Noise

    Feedback

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    Interpersonal Communication

    Oral Communication

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    Advantages: Speed and feedback.

    Disadvantage: Distortion of the message.

    Written Communication

    Advantages: Tangible and verifiable.

    Disadvantages: Time consuming and lacks feedback.

    Nonverbal Communication

    Advantages: Supports other communications and providesobservable expression of emotions and feelings.

    Disadvantage: Misperception of body language or gesturescan influence receivers interpretation of message.

    Grapevine Grapevine Characteristics

    f l ll d b

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    Informal, not controlled by management. Perceived by most employees as being more

    believable and reliable than formalcommunications.

    Largely used to serve the self-interests ofthose who use it.

    Results from:

    Desire for information about important situations Ambiguous conditions

    Conditions that cause anxiety

    Computer-Aided Communication

    E-mail

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    Advantages: quickly written, sent, and stored; low costfor distribution.

    Disadvantages: information overload, lack of

    emotional content, cold and impersonal. Instant messaging

    Advantage: real time e-mail transmitted straight tothe receivers desktop.

    Disadvantage: can be intrusive and distracting.

    Computer-Aided Communication(contd)

    Intranet

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    A private organization-wide information network.

    Extranet

    An information network connecting employees withexternal suppliers, customers, and strategic partners.

    Videoconferencing

    An extension of an intranet or extranet that permits

    face-to-face virtual meetings via video links.

    Knowledge Management (KM)

    Knowledge Management

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    Why KM is important:

    Intellectual assets are as important as physical assets.

    When individuals leave, their knowledge and experience goes with

    them.A KM system reduces redundancy and makes the organization

    more efficient.

    A process of organizing and distributing anorganizations collective wisdom so the rightinformation gets to the right people at the right time.

    Choice of Communication Channel

    Channel Richness

    Th t f i f ti th t b t itt d

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    Characteristics of Rich Channels

    1. Handle multiple cues simultaneously.

    2. Facilitate rapid feedback.

    3. Are very personal in context.

    The amount of information that can be transmittedduring a communication episode.

    Barriers to Effective Communication

    Filtering

    A d i l ti f i f ti th t it ill

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    A senders manipulation of information so that it willbe seen more favorably by the receiver.

    Selective Perception

    People selectively interpret what they see on thebasis of their interests, background, experience, andattitudes.

    Information OverloadA condition in which information inflow exceeds anindividuals processing capacity.

    Barriers to Effective Communication(contd)

    Emotions

    Ho a ecei e feels at the time a message is ecei ed

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    How a receiver feels at the time a message is receivedwill influence how the message is interpreted.

    Language

    Words have different meanings to different people.

    Communication Apprehension

    Undue tension and anxiety about oralcommunication, written communication, or both.

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    Organizational Communication

    Organizational Communication

    C i ti th t l

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    Communication that occurs among severalindividuals or groups.

    Downward communications go from superior to

    subordinate.

    Lateral (horizontal) communications move betweendepartments or between people in the same

    department.

    Upward communications move from subordinates to

    superiors.

    Fostering Upward OrganizationalCommunication

    Social gatherings

    U i bli ti

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    Union publications

    Regular meetings

    Performance appraisal meetings

    Grievances

    Attitude surveys

    A suggestion system

    An open door policy

    E-Mail

    Getting Upward Feedback Request feedback from people whom you trust and who will

    be honest with you.

    If the feedback is too general, ask for examples of specific,

    recent behavior

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    recent behavior.

    Dont be defensive, make excuses, or blame others whenyou hear criticism.

    Do not overreact or under-react to feedback.

    Once the feedback is complete, summarize what the speakersaid to make sure that you understand.

    Explain what you are going to do in response to thefeedback, do it, evaluate the consequences on performance,and then let the feedback-giver know of the outcome.

    Thank the person for his or her concern and advice.

    Improving Downward Communication

    Open-Book Management

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    A management style in which a company opens its

    books to the employees, sharing financial data,

    explaining numbers, and rewarding workers for

    improvement.

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    Organization Development

    OD

    Planned, managed and systematic process tochange the culture systems and behaviour of an

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    change the culture, systems and behaviour of anorganization in order to improve theorganizations effectiveness in solving itsproblems and achieving its objectives

    Improving orga