CHAP 1 - Introduction To Organisational Behaviour
CHAP 1 - Introduction To Organisational Behaviour
Importance of OB
Organizational Behavior (OB) is crucial in understanding and managing how
individuals and groups behave within an organization. Its importance lies in several key
aspects:
1. Improved Productivity: Understanding OB helps organizations create a positive work
environment, leading to increased employee productivity and performance.
2. Effective Communication: OB concepts promote effective communication and
teamwork, reducing conflicts and enhancing collaboration among employees.
3. Employee Satisfaction: It helps identify factors that contribute to job satisfaction,
which, in turn, can lead to higher retention rates and lower turnover.
4. Leadership Development: OB theories assist in developing effective leadership skills
and styles, improving the overall leadership within an organization.
5. Change Management: Organizational behavior provides insights into how employees
react to change, facilitating smoother transitions during periods of change or
restructuring.
6. Conflict Resolution: OB helps in understanding the sources of conflicts within an
organization and provides strategies for resolving them constructively.
7. Employee Motivation: It offers insights into what motivates employees, enabling
organizations to design incentive and reward systems that boost motivation and morale.
8. Enhanced Decision-Making: A better understanding of OB can lead to more informed
and rational decision-making, as it considers the human element in the organization.
9. Adaptation to Diversity: OB helps organizations adapt to a diverse workforce by
addressing issues related to cultural differences and promoting inclusivity.
10. Overall Organizational Success: Ultimately, the effective application of OB principles
can lead to improved organizational performance, competitiveness, and long-term
success.
FOUNDATIONS OF OB
1. Individual differences: Each individual differs from the other in different ways like
intelligence, physique, personality, thinking, behaviour etc and organization has to follow
different styles to deal with them and get the work done. OB begins with individual and
studying their distinct behaviour.
2. A Whole Person: OB is based on the concept that when a person is appointed, not
only his/her skills are not hired but their social background, likes, dislikes, pride etc, are
also hired. Thus, OB takes into account the individual as a whole.
3. Caused Behaviour: OB lays on the concept that behaviour of individuals towards any
other person, thing or a situation which is caused due to some reason. Behaviour of the
employee depends on his/ her thinking towards the situation as right or wrong.
4. Human dignity: This concept is based on ethical philosophy- at treating human beings
differently from other factors of production with complete respect in humanity & dignity
and not as the economic tool.
5. Organizations are social systems: OB treats organizations as the social system having
both psychological & social needs. Two types of social system exist in organizations-
formal and informal social system. Organization environment is dynamic in nature with
all the parts of system being interdependent & influenced with each other.
6. Mutuality of Interest : Mutual interest is represented by the statement that
organisations need people, and people also need organisations. Organisations have
human purpose . People see organisations as a means to help them to reach their goals ,
while at the same time , organisations need people to help attain organizational
objectives . Thus, creates a win-win situation to both the parties.
7. Holistic Concept : When the above six fundamental concepts of OB are placed
together, a holistic concept emerges. This concept interprets people –organisation
relationships in terms of the whole person, whole group, whole organization and the
whole social system .
PERSONALITY
MEANING:
The English word ‘Personality has been derived from the Latin word per sonare.
It means ‘ to speak through’.
Personality means different things to different people. To some, it means one’s
charm, dress and attractiveness and to others it means a unitary mode of response to
life situations.
Personality, thus combines a stable set of physical and mental characteristic that
reflect how a person looks, thinks, acts and feels. It is the sum total of unique ways in
which an individual reacts and interacts with others.
DEFINITION
According to Hilgard et at, “ Personality may be understood as the characteristic
patterns of behaviour and modes of thinking that determine a person’s adjustment to
the environment”.
According to Ruch, “ Personality can be described as how he understands and
views himself, and his pattern of inner and outer measurable traits”.
Allport defines personality as “ The dynamic organization within the individual
of those psycho-physical systems that determine his unique adjustments to his
environment “.
Thus, from the above definitions it is clear that personality includes both internal
and external aspects of a person. External indicates one’s height , weight, facial
features, colour and other physical aspects and traits. One’s attitude, values, learning
etc. includes in internal aspects.
DETERMINANTS OF PERSONALITY
Personality represents a process of change and it relates to the psychological
growth and development of individuals. Therefore, it becomes important to know
the factors that cause a given personality to change or develop. Managers can deal
more effectively, then, if they understand how an individual's personality develops .
These can be classified into four broad categories:
1. Biological factors,
2. Family and social factors,
3. Cultural factors, and
4. Situational factors.
The impact of these factors on the personality may be as follows :
Biological Factors
INDIVIDUAL
Socio-Cultural factors PERSONALITY Environmental Factors
Situational factors
1. Biological Factors
The study of the biological contribution to personality can be divided into three
major categories—heredity, brain, and physical features.
a). Heredity. Heredity is the transmission of the qualities from ancestor to
descendant through their chromosomes of the germ cells. It has been studied
through researches on animals that physical and psychological characteristics can be
transmitted through heredity
b). Brain. The second biological factor is brain which is supposed to play role in
shaping personality. The structure of human brain and have divided it into two
parts—left hemisphere which lies in the right side of the body and right hemisphere
which lies in the left side of the body. Depending on the structure of the brain, an
individual's personality develops.
c) Physical Features. The third biological factor determining personality formation
is physical characteristics and rate of maturation. A person's physical features have
some influence on his personality because he will influence others and, in turn, will
affect his self-concept.
2. Socio-cultural Factors
Socio-cultural factors encompass the influence of society, culture, and the social
environment on personality development.
a. Family and Upbringing: Family dynamics, parenting styles, and early socialization
experiences greatly shape an individual's personality. For instance, authoritative
parenting may foster self-confidence and independence.
b. Cultural Norms: Cultural values, beliefs, and norms dictate how individuals express
their personalities. Cultural variations can lead to different personality traits being
valued or discouraged.
c.Peer Influence: Interaction with peers during childhood and adolescence can exert
significant pressure on personality development. Peer groups can shape behavior,
attitudes, and interests.
d. Socioeconomic Status: Socioeconomic factors, such as income level and access to
education and resources, can impact an individual's opportunities and life
experiences, consequently affecting personality development.
3. Situational Factors
Situational factors refer to the impact of specific life events and circumstances on an
individual's personality.
a. Life Events: Major life events such as marriage, divorce, trauma, or significant
achievements can lead to changes in personality traits. For instance, a traumatic
experience may result in increased anxiety.
b. Stress and Coping Mechanisms: An individual's response to stressors and their
coping strategies can influence personality. Effective coping can lead to resilience
and adaptability.
c. Education and Work Environment: Educational experiences and workplace
dynamics can shape personality traits like ambition, diligence, and collaboration.
Different environments foster different sets of skills and behaviors..
4. Environmental Factors :
Environmental factors encompass the broader context in which an individual
lives, including physical and cultural elements.
a. Physical Environment: The physical surroundings, whether urban or rural, can
influence personality. Urban environments may encourage independence, while
rural settings may promote a sense of community.
b. Cultural Environment: The prevailing cultural attitudes and practices in a region
can shape personality traits and behaviors. Cultural norms regarding individualism
or collectivism can have a significant impact.
c. Media and Technology: Exposure to media, including social media, can shape
attitudes and behaviors. It can introduce individuals
2. Machiavellianism:
It refers to an individuals capacity to manipulate people for achieving his/ her self-
interest. An individual who are high in Machiavellianism tend to be cool, logical and
assessing the situations by manipulating the system to his advantage. In sum, ''if it works,
use it" is consistent with a high Machiavellianism.
They manipulate more, win more, and persuade others to such activities that help
their personal interest. However, these high outcomes are the results of situational
factors.
However, the Machiavellianism can be considered as good in jobs that need
bargaining skills (for example, labour negotiations) or in jobs offering substantial rewards
for winning (such as commissioned sale). But in jobs where being ethical is required the
Machiavellianism do not perform better.
3) Introvert & Extrovert Personality (Extroversion & Introversion):
Introvert Personalities: Introverts are shy people. They are more concerned with the
inner world of their mind. They enjoy thinking, exploring their thoughts and feelings.
They often avoid social situations because they feel uncomfortable when they are
around people
Have trouble remembering names and Are often good at greeting people.
faces.
Like to think a lot before they act, Often act quickly, sometimes without
sometimes without acting thinking.
Work contentedly alone. Like to have people around.
Have some problems communicating Usually communicate freely.
Tend not to mind working on one project Are often impatient with long slow jobs.
for a long time uninterruptedly.
Dislike telephone intrusions and Often do not mind interruptions of
interruptions. answering the telephone.
4) Locus of Control:
Locus of control refers to ones belief that what happens is either within ones
control or beyond ones control. Thus the ones who believe that things happen within
their control are called internal locus of control and those who believe that things
happen beyond their control are called external locus of control.
Those who have internal locus of control believe that they are masters of their own
fate. On the other side, those who have external locus of control see themselves as
victim of fate and believe that what happens to them in their lives is due to luck or
factors beyond their control.
{A large number of research comparing the influence of internal with externals
have proved that externals are less satisfied with the jobs and have higher absenteeism
rates than internals. But the dissatisfied internals are more likely to quit a dissatisfying
job.}
5) Self - Esteem:
An individual’s liking or disliking of oneself is called self- esteem. This trait will vary
from individual to individual. Self- esteem is related to those aspects of individuals who
regard themselves as capable to achieve success. The research on self - esteem has
revealed that individuals with high self - esteem tend to take on more challenging
assignments. People with low self- esteem, usually depend upon the approval of others
on decision making relating to their problems and they move ahead. They depend on
positive feedback from others. As regards to job satisfaction, individuals with high - self-
esteem are found more satisfied with their jobs than those with low self-esteem.
6) Self - Monitoring:
Self - monitoring is a personality trait that has recently received increasing attention.
Self- monitoring is an individuals ability to adjust his/ her behaviour to external factors /
situations. Individuals with high self- monitoring trait show greater adaptability to adjust
themselves with external situations. They can behave differently in different situations.
Hence, there is a very less behavioural consistency between who they are and what they
do. It can be said that individuals high in self - monitoring are likely to be more successful
managers who at times are required to play multiple managerial roles.
7) Risk - Taking
Individuals differ in taking risks. The attitude to face or avoid risks affects a
managers behaviour in making decisions. Research has shown that managers with high
risk - taking abilities prove to be good managers. Risks varies depending upon the nature
of the job. For example, a high risk - taker may be good for a stock trader in a brokerage
firm which demands rapid decision - making. But the same personality trait may not be
considered is good in auditing activities which require concentration and low risk -taking.
8) Type A and Type B Personality :
Type A Personality: Type A people are characterised by hard-working, highly
achievement -oriented, impatient, have sense of time urgency, aggressive, self- directed
etc. Such people tend to be very productive and work very hard. In fact, they are
addicted to work. They are impatient and aggressive and such people mostly get heart
attack.
Type B Personalities: Easy-going, sociable, free from urgency of time, laid-back and
non-competitive are the characteristics of Type B personalities. Such people do better on
tasks involving, judgments, accuracy rather than speed and team work.
1. Extraversion (E) & Introversion (I) People can be either extroverts or introverts
depending on the way they respond and interact with the world around them. We all
exhibit extraversion and introversion to some degree, but most of us have a preference
for one or the other.
Extroverts are mostly “outward-turning” as they are oriented towards outside world of
people and things. They attend to external reality and are effective in talking through
problems in group. Extroverts will want to talk through their ideas and continually seek
feedback. They compare and contrast their own opinions with the opinions of others.
Introverts on the other hand are “inward-turning” or oriented towards inner world of
ideas. They tend to be thought-oriented, and enjoy deep and meaningful social
interactions. Introverts want to reflect on the problem and are more likely to consider
their own understanding of important concepts and ideas. They need to have time and
space to think and clarify their ideas before they begin talking.
2. Sensing (S) & Intuition (N) This categorisation is according to how we gather
information from the world around. Just like the above type, we all spend some time
sensing and intuiting depending on the situation. However, we tend to be dominant in
one area or the other.
Sensing types prefer to seek everything and sense everything based on facts and details
from past and present. They base it on personal experience or practicality of solutions
and conform to standards. Sensing types lay a great deal to what they can learn from
their own senses, focus more on facts and details, and are more realistic/ practical.
People with intuition preferences will more likely attend to the meaningfulness of the
facts. They pay more attention to patterns, details, consider prospects for originality.
Intuition types spend more time in thinking about possibilities, look for connections, and
exhibit tendency to develop new, original solutions.
3. Thinking (T) & Feeling (F)
Thinking types deal with information on basis of its structure and function. Individuals
with thinking preference will tend to use logic and analysis during problem solving. They
make decisions based on the information that they gathered from their sensing or
intuition functions and prefer solutions to make sense in terms of facts, models and/or
principles.
Those who prefer feeling pay more attention to people and their emotions when arriving
at a conclusion. They evaluate solutions based values and tend to be subjective in their
decision-making. Also, they consider values and feelings of others and how their
decisions can affect them.
PERCEPTION
MEANING OF PERCEPTION:
Perception means perceiving i.e., giving meaning to the environment around us.
It is perceiving of objects that we are faced with.
According to Udai Pareek and others "Perception can be defined as the process of
receiving, selecting, organizing, interpreting, checking and reacting to sensory stimuli
or data".
Stephen P.Robbins, defines perception as "a process by which individuals organize
and interpret their sensory impressions in order to give meaning to their
environment".
Thus, Perception can be broadly defined as a "process which involves seeing,
receiving, selecting, organizing, interpreting and giving meaning to the environment".
The functioning of the whole process is influenced by the individual perceiving the
objects or events being perceived, and the environment in which perception occurs.
FACTORS AFFECTING PERCEPTION:
Factors that influence perception relate to the perceiver, perceived and situation. All
these factors are of two kinds - i) Internal (Endogeneous) Factors, and ii) External
(Exogeneous) Factors. These are as follows.
A. Internal Factors:
These factors are internal to the person concerned. These include ones needs, desires,
personality and experience:
i. Needs and Desires: An individual’s perception about stimuli is influenced by his
needs and desires at that time. Perception varies with the variations in his/ her
needs and desires from time to time.
ii. Personality: Closely related to needs and desires is the personality of the
perceiver. Research studies suggest that secure individuals tend to understand or
perceive others as warm and self-accepting individuals perceive themselves as liked,
wanted and accepted by others.
iii. Experience: Experience and knowledge serve as a basis for perception. While
ones successful experience enhances his/ her perceptive ability, failure reduces his/
her self- confidence. Successful experience also helps perceiver to understand stimuli
with more accuracy.
B. External Factors:
The external factors relate to what is to be perceived and situation.
i. Size: The principle of size says that the larger the object, the more is the probability
that it is perceived. Size attracts the attention of the individual. A full - page spread
advertisement attracts more attention than a few lines in a classified section.
ii. Intensity: Intensity is closely related to size. The intensity principle of attention
states that the more intense the stimuli, the more likely it is to be perceived. For eg: a
loud noise or strong odour (smell) will be noticed more than a soft sound and weak
odour (smell). Thus, Advertisers use different colours to attract and gain the
consumers attention.
iii. Frequency / Repetition: The repetition principle states that a repeated external
stimulus is more attention - getting than a single one. It is for this reason that
advertisers go for repetitions in advertising to gain the customers attention to their
product.
iv. Contrast: As per the contrast principle, the external stimuli which stands out
against the background will receive more attention. For example, plant safety signs
with black letters on a yellow background or white letters on a red background are
more attention - attracting.
v. Status: Status held by an individual also influences his/ her perception about
things or events. Researcher suggest that people with high status often have high
more influence on the perception of an individual as compared to those having low
status.
vi. Movement: The movement principle says that people pay more attention to a
moving object than the stationary (stagnant) ones. People will be attracted more by a
running train than one standing on the platform.
1. Receiving Stimuli:
The perception process begins with sensory organs receiving stimuli from the
environment. Sensory organs include the eyes (see), ears (hear), nose (smell ), tongue
(taste), and skin (feel). Sensory organs convert these stimuli into neural signals that the
brain can process. Stimuli can be external (e.g., seeing a car) or internal (e.g., feeling
muscle contractions).
B. Internal Factors:
a) Learning: Past experiences shape what individuals perceive.
b) Psychological Needs: Unmet needs can influence perception.
c) Age Difference: Different age groups may perceive things differently.
d) Interest: Personal interests guide selective attention.
e) Ambivalence: Mixed feelings can lead to selective perception.
f) Paranoid Perception: Excessive selectivity in perception can lead to paranoia.
3. Perceptual Organization:
Perceptual organization involves grouping stimuli into related patterns. This includes:
a. Ambiguous Figures: When stimuli are confusing or disorganized, perception becomes
challenging.
b. Figure-Background Relationship: Distinguishing between the main figure and its
background is fundamental in organizing perception.
c. Perceptual Grouping Principles: The principles of grouping includes:
(i) Similarity: Similar objects are grouped together.
(ii) Proximity: Close objects are perceived as belonging together.
(iii) Closure: Incomplete information is filled in to create a meaningful whole.
(iv) Continuity: Objects are seen as continuous patterns.
d. Perceptual Constancy: It allows perceiving certain object characteristics as constant
despite varying sensory input. Includes shape constancy, size constancy, and color
constancy.
2) SELECTING STIMULI
Not all the stimulus are received by the human organism are accepted by it.
Some stimuli are noticed and others are screened out. The process of filtering (
screening) information received by our senses is selecting stimuli or selective attention.
Several factors influence selective attention. Some of them are external and others are
internal to the body.
3) PERCEPTUAL ORGANIZATION
Perceptual organization is the process by which people group stimuli into
recognizable patterns. Selected stimulus are now put in order and it gains attention
mow appears as a whole There is so much to learn about how the human mind
assembles, organizes, and categories information.
The below are certain factors in perceptual organization, such as ambiguous
figure, figure background, grouping, and constancy are helpful in understanding
perceptual organization :
a) Ambiguous Figures: Perceptual organization becomes a difficult task when there are
confusing and disorganized stimuli in the external environment.
b) Figure Background: Figure - ground is considered to be the most basic form of
perceptual organization. The figure background principle states that the relationship of
a target to its background influences perception.
For example, in a noisy and crowded restaurant, one is able to hold a meaningful
conversation with a colleague. This is possible because the person is capable of
distinguishing the sight and sound of the colleague (figure) from the sight and sound of
the other people and objects present (background).
Managers face similar experiences in organizations. People pay more attention to
some stimuli than others and run the danger of overlooking relevant clues.
c) Perceptual Grouping: The principles of grouping includes:
i. The principle of similarity means when objects of similar shape, size, or colour to be
grouped together. For example: All the workers having similarity in certain aspects
may be perceived to have a similar opinion about their boss.
ii. The principle of proximity emphasis the tendency to perceive stimuli which are near
to one another as belonging together.
iii. The principle of closure states when people face with incomplete information, they
tend to fill the gaps themselves to make it more meaningful. They may do it on the
basis of their experience, guess or past data. Thus, the tendency to form a complete
message from stimuli is known as closure.
iv. The principle of Continuity is the tendency to perceive objects as continuing
patterns. Continuity is an useful organizing principle, but it may also have negative
aspects. In business forecasting, a common continuity error is to assume that the
future will simply reflect current events and trends.
d) Perceptual Constancy: A more confusing part of perceptual organisation is constancy,
our ability to perceive certain characteristics of an object as remaining constant, despite
of variations in the stimuli that provide us with conflicting information. Such constancy
of changing stimuli is necessary if we are to adjust to our world. There are several
aspects of constancy. Such as : (i) Shape constancy, (ii) Size constancy, (iii) Colour
constancy .
4) THE PROCESS OF INTERPRETING
After the data have been received and organized, the perceiver interprets or
assigns meaning to the information. Assigning meaning to data is called “interpretation”.
Several, factors contribute towards the interpretation of data. They are:
a) Perceptual Set: Previously-held beliefs about objects influence an individual's
perceptions of similar objects. This is called perceptual set. For example, a manager
tends to interpret the behaviour of the workers according to his mental set.
b) Attribution: Attribution refers to the process by which the individual assigns can
behaviour he or she conceives. People are interested not only in observing behaviour in
organizations, for example, but in determining its causes.
c) Stereotyping: When the individuals are judged on the basis of the characteristic of the
group to which they belong, this is called ‘Stereotyping’.
It is the tendency to assign attributes to someone only on the basis of a
category of people to which that person belongs. The process of stereotyping helps
individuals assigns meaning to a mass of data.
d) Halo Effect: Drawing a general impression about an individual is based on a single
characteristic or trait is called the Halo effect. For example , An employee based on Halo
effect, may be rated as bad in one trait but good in other trait.
Halo effect need not always mean overrating positive characteristics (Halo
effect). An individual may be down rated based on the negative evaluation of his or her
behaviour (Horn effect).
e) Perceptual Context : The context in which an object is placed influences perception. The
visual stimuli by themselves are meaningless. Only when the doodles are placed in a
verbal context do they take on meaning and value for the perceiver.
f) Perceptual Defence: According to the principle defence, an individual is likely to put up a
defence when confronted with conflicting , unacceptable or threatening stimuli.
g) Implicit Personality Theory: In judging and making inferences about others, an
individual's perceptions are influenced by his belief that certain human traits are
associated with one another. For example, the trait honesty is associated with
hardworking are perceived to be honest.
h) Projection: Under certain conditions, people tend to see in another person traits that
they themselves possess. That is, they project their own feelings, tendencies, or motives
into their judgement of others.
5) THE PROCESS OF CHECKING
After data have been received and interpreted, the perceiver tends to check
whether his interpretations are right or wrong. He or she will put a series of questions to
himself or herself and the answers will confirm whether his or her perception about an
individual or object is correct or otherwise.
6) THE PROCESS OF REACTING
The last step in perception is the reaction. The perceiver will react in some
action in relation to his or her perception. The action depends on whether the
perception is favourable or unfavourable.