s. suvarna leadership education| degree ii...

S. Suvarna Leadership Education| Degree II Semester

Sanjeev Degree College, Kakinada 1

LEADERSHIP EDUCATION

Semester – IV (Total 30 Hrs)

1. Organisation – Management – Leadership –Meaning and Significance – Different theories

– Trait Theory, Blake &Mountan Theory – Other functions of Management.

2. Behavioral Concepts – Individual Behaviour – Perception – Learning – Attitude Formation

and Change – Motivation – Theories of Motivation – Personality Development.

3. Interpersonal Behaviour – Communication – Leadership – Influencing Relations –

Transactional Analysis.

4. Group Dynamics – Roles – Morale – Conflict – Groups – Inter-Group Behaviour – Inter-

Group Collaboration and Conflict Management.

5. Team Building and Management – Developing team resources – Designing team –

Participation and Repercussion – Team building activities.

Reference Books:

1. Fred Luthans, “Organizational Behaviour”, Tata McGraw Hill Publishing Co., New Delhi.

2. Robins, Stephen P, “OrganisationalBehaviour”, 9th Edition, Prentice Hall of India, New

Delhi.

3. Koontz and O “Donnell”, Essentials of Management,Tata McGraw Hill Publishing Co.,

New Delhi, 2000.

4. Keith Davis, “Human Behaviour at Work”, Tata McGraw Hill Publishing Co., New Delhi.

5. Aswathappa,”OrgnizationalBehaviour”, Himalaya Publishing House, Mumbai

6. Stoner Freeman, “Management”, Prentice Hall of India, New Delhi.



UNIT-I

MEANING OF ORGANISATION

According to John M Pfiffner and Frank P Sherwood, "Organisation is the pattern of ways in

which large number of people, too many to have intimate face- to- face contact with all

others, and engaged in a complexity of tasks, relate themselves to each other in the conscious,

systematic establishment and accomplishment of mutually agreed purposes.”

In the words of Koontz and O'Donnell, "Organisation involves the grouping of activities

necessary to accomplish goals and plans, the assignment of these activities to appropriate

departments and the provision of authority, delegation and co-ordination."

According to Noirthcott, C H, "Organisation refers to arrangements by which tasks are

assigned to men and women so that their individual efforts contribute effectively to some

more or less clearly defined purpose for which they have been brought together."

In the words of G E Milward, "Organisation is a process of dividing work into convenient

tasks or duties, of grouping such duties in the form of posts of delegating authority to each

post and of appointing qualified staff to be responsible that the work is carried out as

planned."

ORGANISATION STRUCTURE

An organisation structure shows the authority and responsibility relationships between the

various positions in the organisation by showing who reports to whom. Organisation involves

establishing an appropriate structure for the goal seeking activities. It is an established pattern

of relationship among the components of the organisation. March and Simon have stated that-

"Organisation structure consists simply of those aspects of pattern of behaviour in the

organisation that are relatively stable and change only slowly."

Determining the kind of Organisation Structure

According to Peter F Drucker-"Organisation is not an end in itself, but a means to the end of

business performance and business results. Organisation structure is an indispensable means;

and the wrong structure will seriously impair business performance and may even destroy it.

Organisation structure must be designed so as to make possible to attainment of the

objectives of the business for five, ten, fifteen years hence". Thus it is essential that a great

deal of care should be taken while determining the organization structure. Peter Drucker has

pointed out three specific ways to find out what kind or structure is needed to attain the

objectives of a specific business:

Activities Analysis: The purpose of 'activities analysis' is to discover the primary activity

of the proposed organisation, for it is around this that other activities will be built. It may be

pointed out that in every organisation; one or two functional areas of business dominate. For

example, designing is an important activity of the readymade garments manufacturer.

Decision Analysis: At this stage, the manager finds out what kinds of decisions will need to

be made to carry on the work of the organisation. What is even more important, he has to

see where or at what level these decisions will have to be made and how each manager



should be involved in them. This type of analysis is particularly important for deciding upon

the number of levels or layers in the organisation structure.

As regards decision analysis, Peter Drucker, has emphasised four basic characteristics.

They are:

1. the degree of futurity in the decision

2. the impact that decision has on other functions

3. the character of he decision determined by a number of qualitative factors,

such as, 'basic principles of conduct, ethical values, social and political beliefs

etc., and

4. whether the decisions are periodically recurrent or rates as recurrent decisions

may require a general rule whereas a rate decision is to be treated as a

distinctive event.

5. A decision should always be made at the lowest possible level and so close to

the scene of action as possible.

Relations Analysis: Relations Analysis will include an examination of the various types of

relationships that develop within the organisation. These relationships are vertical, lateral

and diagonal. Where a superior-subordinate relationship is envisaged, it will be a vertical

relationship. In case of an expert or specialist advising a manager at the same level, the

relationship will be lateral. Where a specialist exercises authority over a person in

subordinate position in another department in the same organisation it will be an instance of

diagonal relationship. Peter Drucker emphasizes that-"the first thing to consider in defining

a manager job is the contribution his activity has to make to the larger unit of which it is a

part."

Formal Organisation

Chester I Bernard defines formal organisation as -"a system of consciously coordinated

activities or forces of two or more persons. It refers to the structure of well-defined jobs,

each bearing a definite measure of authority, responsibility and accountability." The

essence of formal organisation is conscious common purpose and comes into being when

persons–

Are able to communicate with each other

Are willing to act and

Share a purpose.

The formal organisation is built around four key pillars. They are:

Division of labour

Scalar and functional processes

Structure and

Span of control

Thus, a formal organisation is one resulting from planning where the pattern of structure

has already been determined by the top management.



CHARACTERISTIC FEATURES OF FORMAL ORGANISATION

Formal organisation structure is laid down by the top management to achieve

organisational goals.

Formal organisation prescribes the relationships amongst the people working in the

organisation.

The organisation structures is consciously designed to enable the people of the

organisation to work together for accomplishing the common objectives of the

enterprise

Organisation structure concentrates on the jobs to be performed and not the individuals

who are to perform jobs.

In a formal organisation, individuals are fitted into jobs and positions and work as per

the managerial decisions. Thus, the formal relations in the organisation arise from the

pattern of responsibilities that are created by the management.

A formal organisation is bound by rules, regulations and procedures.

In a formal organisation, the position, authority, responsibility and accountability of

each level are clearly defined.

Organisation structure is based on division of labour and specialisation to achieve

efficiency in operations.

A formal organisation is deliberately impersonal. The organisation does not take into

consideration the sentiments of organisational members.

The authority and responsibility relationships created by the organisation structure are to

be honoured by everyone.

In a formal organisation, coordination proceeds according to the prescribed pattern.

ADVANTAGES OF FORMAL ORGANISATION

1. The formal organisation structure concentrates on the jobs to be performed. It, therefore,

makes everybody responsible for a given task.

2. A formal organisation is bound by rules, regulations and procedures. It thus ensures law

and order in the organisation.

3. The organisation structure enables the people of the organisation to work together for

accomplishing the common objectives of the enterprise.

DISADVANTAGES OR CRITICISMS OF FORMAL ORGANISATION

1. The formal organisation does not take into consideration the sentiments of

organisational members.

2. The formal organisation does not consider the goals of the individuals. It is designed to

achieve the goals of the organisation only.

3. The formal organisation is bound by rigid rules, regulations and procedures. This makes

the achievement of goals difficult.



INFORMAL ORGANISATION

Informal organisation refers to the relationship between people in the organisation based on

personal attitudes, emotions, prejudices, likes, dislikes etc. an informal organisation is an

organisation which is not established by any formal authority, but arises from the personal

and social relations of the people.

These relations are not developed according to procedures and regulations laid down in the

formal organisation structure; generally large formal groups give rise to small informalor

social groups. These groups may be based on same taste, language, culture or some other

factor. These groups are not pre-planned, but they develop automatically within the

organisation according to its environment.

CHARACTERISTICS FEATURES OF INFORMAL ORGANISATION

1. Informal organisation is not established by any formal authority. It is unplanned and arises

spontaneously.

2. Informal organisations reflect human relationships. It arises from the personal and social

relations amongst the people working in the organisation.

3. Formation of informal organisations is a natural process. It is not based on rules,

regulations and procedures.

4. The inter-relations amongst the people in an informal organisation cannot be shown in an

organisation chart.

5. In the case of informal organisation, the people cut across formal channels of

communications and communicate amongst themselves.

6. The membership of informal organisations is voluntary. It arises spontaneously and not by

deliberate or conscious efforts.

7. Membership of informal groups can be overlapping as a person may be member of a

number of informal groups.

8. Informal organisations are based on common taste, problem, language, religion, culture,

etc. it is influenced by the personal attitudes, emotions, whims, likes and dislikes etc. of

the people in the organisation.

BENEFITS OF INFORMAL ORGANISATION

1. It blends with the formal organisation to make it more effective.

2. Many things which cannot be achieved through formal organisation can be achieved

through informal organisation.

3. The presence of informal organisation in an enterprise makes the managers plan and act

more carefully.

4. Informal organisation acts as a means by which the workers achieve a sense of security

and belonging. It provides social satisfaction to group members.

5. An informal organisation has a powerful influence on productivity and job satisfaction.

6. The informal leader lightens the burden of the formal manager and tries to fill in the gaps

in the manager's ability.



7. Informal organisation helps the group members to attain specific personal objectives.

8. Informal organisation is the best means of employee communication. It is very fast.

9. Informal organisation gives psychological satisfaction to the members. It acts as a safety

valve for the emotional problems and frustrations of the workers of the organisation

because they get a platform to express their feelings.

10. It serves as an agency for social control of human behaviour.

Differences Between Formal and Informal Organisation

The importance of organisation can be clearly understood from the statement of Kenneth C

Towe. According to him. "A sound form of organisation is the answer to every business

problem, that a poor organisation could run a good product into the ground and that a good

organisation with a poor product could run a good product out of the market."



Facilitates Administration

A properly designed and balanced organisation facilitates both management and operation of

the enterprise. It increases management's efficiency and promptness, avoids delay and

duplication of work and motivates the employee to perform their job efficiently. By proper

division of labour, consistent delegation and clear job definition, the organization structure

siphons off the routine duties and makes them the responsibility of lower rated positions.

Facilitates Growth and Diversification

The organisation structure is the framework within which the company grows. The

organisation structure should provide for expansion and diversification of the enterprise

otherwise, the enterprise will find itself in a serious administrative crisis. Thus, the

organisation facilitates growth and diversification of the enterprise.

Provides for Optimum use of Technological Improvements

A sound organisation structure facilitates the optimum use of technological improvements

like computer systems etc. The high cost of installation, operation and maintenance of such

equipment calls for proper organisation.

Stimulates Creativity

Organisation stimulates creativity. By providing well-defined areas of work and ensuring

delegation of authority, organisation provides sufficient freedom to the managers and

encourages their initiative, independent thinking and creativity.

Facilitates stability of the organisation

By ensuring delegation of authority, two-way communication, co-operation, effective

leadership, employee morale and flexibility to adjust to changes in the conditions, a sound

organisation facilitates stability of the organisation.

Reduces Employee Turnover

Organisation increases employee satisfaction, ensures better relations between the

management and the workers, and thereby reduces employee turnover.

Reduces Duplication of Activities

Organisation avoids delay and duplication of activities and consequent confusion by ensuring

well-defined responsibilities and authority.

Fosters Coordination

By providing the framework for holding together the various functions in an orderly pattern,

organisation fosters co-ordination.

PRINCIPALS OF ORGANISATION:

1. Consideration of unity of objectives: The objective of the undertaking influences the

organisation structure. There must be unity of objective so that all efforts can be

concentrated on the set goals.

2. Specialisation: Effective organisation must include specialisation. Precise division of

work facilitates specialisation.



3. Co-ordination: Organisation involves division of work among people whose efforts must

be co-ordinated to achieve common goals. Co-ordination is the orderly arrangement of

group effort to provide unity of action in the pursuit of common purpose.

4. Clear unbroken line of Authority: It points out the scalar principle or the chain of

command. The line of authority flows from the highest executive to the lowest managerial

level and the chain of command should not be broken.

5. Responsibility: Authority should be equal to responsibility i.e., each manager should have

enough authority to accomplish the task

6. Efficiency: The organisation structure should enable the enterprise to attain objectives

with the lowest possible cost.

7. Delegation: Decisions should be made at the lowest competent level. Authority and

responsibility should be delegated as far down in the organisation as possible.

8. Unity of Command: Each person should be accountable to a single superior. If an

individual has to report to only one supervisor there is a sense of personal responsibility to

one person for results.

9. Span of Management: No superior at a higher level should have more than six immediate

subordinates. The average human brain can effectively direct three to six brains (i.e.,

subordinates).

10. Communication: A good communication sub-system is essential for smooth flow of

information and understanding and for effective business performance.

11. lexibility: The organisation is expected to provide built in devices to facilitate growth and

expansion without dislocation. It should not be rigid or inelastic.

MANAGEMENT:

Management may be defined in many different ways. Many eminent authors on the subject

have defined the term "management", some of these definitions are reproduced below:

According to Lawrence AAppley- "Management is the development of people and not the

direction of things".

According to Joseph Massie- "Management is defined as the process by which a cooperative

group directs action towards common goals".

CHARACTERISTICS OF MANAGEMENT.

1. Management aims at reaping rich results in economic terms:

Manager's primary task is to secure the productive performance through planning,

direction and control. It is expected of the management to bring into being the desired

results. Rational utilisation of available resources to maximise the profit is the economic

function of a manager. Professional manager can prove his administrative talent only by

economising the resources and enhancing profit. According to Kimball - "management is

the art of applying the economic principles that underlie the control of men and materials

in the enterprise under consideration".



2. Management also implies skill and experience in getting things done through

people: Management involves doing the job through people. The economic function of

earning profitable return cannot be performed without enlisting co-operation and securing

positive response from "people". Getting the suitable type of people to execute the

operations is the significant aspect of management. In the words of Koontz and O'Donnell

- "Management is the art of getting things done through people in formally organised

groups".

3. Management is a process: Management is a process, function or activity. This process

continues till the objectives set by administration are actually achieved. "Management is a

social process involving co-ordination of human and material resources through the

functions of planning, organising, staffing, leading and controlling in order to accomplish

stated objectives".

4. Management is a universal activity: Management is not applicable to business

undertakings only. It is applicable to political, social, religious and educational institutions

also. Management is necessary when group effort is required.

5. Management is a Science as well as an Art: Management is an art because there are

definite principles of management. It is also a science because by the application of these

principles predetermined objectives can be achieved.

6. Management is a Profession: Management is gradually becoming a profession because

there are established principles of management which are being applied in practice, and it

involves specialised training and is governed by ethical code arising out of its social

obligations.

7. Management is an endeavour to achieve pre - determined objectives:

Management is concerned with directing and controlling of the various activities of the

organisation to attain the pre-determined objectives. Every managerial activity has certain

objectives. In fact, management deals particularly with the actual directing of human

efforts.

8. Management is a group activity: Management comes into existence only when there is

an group activity towards a common objective. Management is always concerned with

group efforts and not individual efforts. To achieve the goals of an organisation

management plans, organises, co-ordinates, directs and controls the group effort.

9. Management is a system of authority: Authority means power to make others act in a

predetermined manner. Management formalises a standard set of rules and procedure to be

followed by the subordinates and ensures their compliance with the rules and regulations.

Since management is a process of directing men to perform a task, authority to extract the

work from others is implied in the very concept of management.

10. Management involves decision - making: Management implies making decisions

regarding the organisation and operation of business in its different dimensions. The

success or failure of an organisation can be judged by the quality of decisions taken by the

managers. Therefore, decisions are the key to the performance of a manager.

11. Management implies good leadership: A manager must have the ability to lead and get

the desired course of action from the subordinates. According to R. C. Davis -

"management is the function of executive leadership everywhere". Management of the

high order implies the capacity of managers to influence the behaviour of their

subordinates.



12. Management is dynamic and not static: The principles of management are dynamic and

not static. It has to adopt itself according to social changes.

13. Management draws ideas and concepts from various disciplines: Management is an

interdisciplinary study. It draws ideas and concepts from various disciplines like

economics, statistics, mathematics, psychology, sociology, anthropology etc.

14. Management is Goal Oriented: Management is a purposeful activity. It is concerned

with the achievement of pre-determined objectives of an organisation.

15. Different Levels of Management:Management is needed at different levels of an

organisation namely top level, middle level and lower level.

16. Need of organisation:There is the need of an organisation for the success of management.

Management uses the organisation for achieving pre-determined objectives.

17. Management need not be owners:It is not necessary that managers are owners of the

enterprise. In joint stock companies, management and owners (capital) are different

entities.

18. Management is intangible: It cannot be seen with the eyes. It is evidenced only by the

quality of the organisation and the results i.e., profits, increased productivity etc.

MANAGEMENT ROLES:

1. Management is a vital aspect of the economic life of man, which is an organised group

activity. A central directing and controlling agency is indispensable for a business concern.

2. The productive resources – material, labour, capital etc. are entrusted to the organizing skill,

administrative ability and enterprising initiative of the management.

3. Thus, management provides leadership to a business enterprise. Without able managers and

effective managerial leadership

4. The resources of production remain merely resources and never become production. Under

competitive economy and ever-changing environment the quality and performance of

managers determine both the survival as well as success of any business enterpris

5. Management occupies such an important place in the modern world that the welfare of the

people and the destiny of the country are very much influenced by it.

TRAIT THEORY

This approach represents the earliest notions of leadership and until up to three decades ago

this approach was very popular. According to this theory, there are certain personal qualities

and traits which are essential to be a successful leader.

The advocates of this theory are of the opinion that persons who are leaders are

psychologically better adjusted to display better judgment and to engage themselves in social

activities. They seek more information, give more information and take lead in interpreting or



summing up a situation. Most of the Trait Theories believe that leadership traits are inherited

or in-born and these cannot be acquired by learning.

STRENGTHS/ADVANTAGES OF TRAIT THEORY

It is naturally pleasing theory.

It is valid as lot of research has validated the foundation and basis of the theory.

It serves as a yardstick against which the leadership traits of an individual can be

assessed.

It gives a detailed knowledge and understanding of the leader element in the

leadership process.

LIMITATIONS OF THE TRAIT THEORY

There is bound to be some subjective judgment in determining who is regarded as a

‘good’ or ‘successful’ leader

The list of possible traits tends to be very long. More than 100 different traits of

successful leaders in various leadership positions have been identified. These

descriptions are simply generalities.

There is also a disagreement over which traits are the most important for an effective

leader

The model attempts to relate physical traits such as, height and weight, to effective

leadership. Most of these factors relate to situational factors. For example, a minimum

weight and height might be necessary to perform the tasks efficiently in a military

leadership position. In business organizations, these are not the requirements to be an

effective leader.

The theory is very complex

IMPLICATIONS OF TRAIT THEORY

The trait theory gives constructive information about leadership. It can be applied by people

at all levels in all types of organizations. Managers can utilize the information from the

theory to evaluate their position in the organization and to assess how their position can be

made stronger in the organization. They can get an in-depth understanding of their identity

and the way they will affect others in the organization. This theory makes the manager aware

of their strengths and weaknesses and thus they get an understanding of how they can

develop their leadership qualities.

The treatment of task orientation and people orientation as two independent dimensions was a

major step in leadership studies. Many of the leadership studies conducted in the 1950s at the

University of Michigan and the Ohio State University focused on these two dimensions.

The five resulting leadership styles are as follows:

1. Impoverished Management: Managers with this approach are low on both the

dimensions and exercise minimum effort to get the work done from subordinates. The



leader has low concern for employee satisfaction and work deadlines and as a result

disharmony and disorganization prevail within the organization.

2. Task management: Also called dictatorial or perish style. Here leaders are more

concerned about production and have less concern for people. The style is based on

theory X of McGregor. The employees’ needs are not taken care of and they are

simply a means to an end. The leader believes that efficiency can result only through

proper organization of work systems and through elimination of people wherever

possible.

3. Middle-of-the-Road: This is basically a compromising style wherein the leader tries

to maintain a balance between goals of company and the needs of people. The leader

does not push the boundaries of achievement resulting in average performance for

organization.

4. Country Club: This is a collegial style characterized by low task and high people

orientation where the leader gives thoughtful attention to the needs of people thus

providing them with a friendly and comfortable environment.

5. Team Management: Characterized by high people and task focus, the style is based

on the theory Y of McGregor and has been termed as most effective style according to

Blake and Mouton. The leader feels that empowerment, commitment, trust, and

respect are the key elements in creating a team atmosphere which will automatically

result in high employee satisfaction and production.

ADVANTAGES OF BLAKE AND MOUTON’S MANAGERIAL GRID

The Managerial or Leadership Grid is used to help managers analyse their own leadership

styles through a technique known as grid training. This is done by administering a

questionnaire that helps managers identify how they stand with respect to their concern for

production and people.

LIMITATIONS OF BLAKE AND MOUTON’S MANAGERIAL GRID

The model ignores the importance of internal and external limits, matter and scenario. Also,

there are some more aspects of leadership that can be covered but are not.

FUNCTIONS OF MANAGEMENT:

1. Planning

2. Organizing

3. Staffing

4. Directing

(a) Leadership (c) Motivation

5. Coordinating



1. Planning:

Planning is a basic managerial function. Planning helps in determining the course of action to

be followed for achieving various organizational objectives. It is a decision in advance, what

to do when to do, how to do and who will do a particular task. Planning is a process which

involves thinking before doing’. Planning is concerned with the mental state of a manager.

He thinks before undertaking a work. Other functions of management such as organizing,

staffing, directing, coordinating and controlling are also undertaken after planning.

The process of Planning involves a number of steps:

(i) Gathering information;

(ii) Laying down objectives;

(iii) Developing planning premises;

(iv)Examining alternative courses of action;

(v) Evaluation of action patterns;

(vi)Reviewing limitations

(vii) Implementation of plans.

2. Organizing:

The function of organizing is to arrange, guide, co-ordinate, direct and control the activities

of other factors of production, viz., men, material, money and machines so as to accomplish

the objectives of the enterprise. In the words of Koontz and O ‘Donnel, “Organizing is that

part of managing that involves establishing and intentional structure of roles for people in an

enterprise to fill.”



To identifying the work to be performed;

To classify or group the work;

To assign these groups of activities or work to individuals;

To delegate authority and fix responsibility; and

To co-ordinate these authority-responsibility relationships of various activities.

The character and type of organization depends upon the size and nature of the enterprise.

Line organization

Functional organization; and

Line and staff organization

In line organization authority flows vertically from the top of the hierarchy to the bottom.

Under functional organization, the work is divided into different departments. Each

department deals in one type of work and it specializes in one work only.

3. Staffing:

In the words of Koontz and O ‘Donnel, “staffing is filling, and keeping filled, positions in

the organization structure through defining work-force requirements, appraising, selecting,

compensating and training.”

Manpower planning, i.e., assessing manpower requirements in terms of quantity and

quality.

Recruitment, selection and training;

Placement of man power;

Development, promotion, transfer and appraisal;

Determination of employee remuneration.

4. Directing:

Directing is concerned with carrying out the desired through people plans. It initiates

organized and planned action and ensures effective performance by subordinates towards the

accomplishment of group activities. Direction is called management in action. In the words of

George R. Terry, “Direction is moving to action and supplying simulative power to the

group.”



After planning, organizing and staffing, the manager has to guide and supervise his

subordinates. According to Massie, “Directing concerns the total manner in which a manager

influences the actions of subordinates. It is the final action of a manager in getting others to

act after all preparations have been completed.” Directing is a continuous function and is

performed at all levels of management.

The main activities involved in direction are as follows:

Leadership

Communication

Motivation

Supervision.

(a) Leadership:

A manager has to issue orders and instructions and guide and counsel his subordinates in

their work with a view to improve their performance and achieve enterprise objectives.

Leadership is ‘the process by which an executive or manager imaginatively directs/guides

and influences the work of others in choosing and attaining specified goals by mediating

between the individual and organization in such a manner that both will get maximum

satisfaction’.

(b) Communication:

The word ‘communication’ has been derived from the Latin word ‘communis’ which means

‘common’. Thus, communication means sharing of ideas in common. The essence of

communication is getting the receiver and the sender tuned together for a particular message.

It refers to the exchange of ideas, feelings, emotions and knowledge and information between

two or more persons. Nothing happens in management till communication takes place.

(c) Motivation:

The term motivation is derived from the word ‘motive’ which means a need, or an emotion

that prompts an individual into action. Motivation is the psychological process of creating

urge among the subordinates to do certain things or behave in the desired manner. It is a very

important function of management. The importance of motivation can be realized from the

fact that performance of a worker depends upon his ability and the motivation.

(d) Supervision:

Supervision is another important element of directing function of management. After issuing

instructions, the manager or the supervisor has to see that the given instructions are carried

out. This is the aim of supervision. Supervision refers to the job of overseeing subordinates at

work to ensure maximum utilization of resources, to get the required and directed work done

and to correct the subordinates whenever they go wrong.



5. Co-ordination:

Co-ordination is one of the most important functions of management. It is essential to

channelize the activities of various individuals in the organization for the achievement of

common goals. Every department or section is given a target to be achieved and they should

concentrate only on their work and should not bother about the work of other organs.

Co-ordination can be classified under two categories:

Vertical and horizontal co-ordination, and

Internal and external co-ordination.

Whereas vertical co-ordination is the co-ordination between different levels of management,

the term horizontal co-ordination is used when co-ordination has to be achieved between

departments of the same level of authority. Co-ordination is internal when it is between

different sections of the same concern and external when it is required with persons outside

the organization.

Co-ordination is regarded as the very essence of management as in order to co-ordinate the

activities of his subordinates, a manager has to perform all the other functions of

management, viz., planning, organizing, staffing, directing and controlling. It must also be

noted by the readers that co-ordination and co-operation do not mean the same thing.

6. Co-ordination and Co-operation:

Co-ordination is much wider term than co-operation. Co-operation indicates the willingness

of individuals to help each other. It is an attitude of a group of people and is largely the result

of voluntary action. Co-ordination, on the other hand, is a conscious managerial effort which

is the result of a deliberate action. Co-operation is essential for the achievement of co-

ordination but it is not a substitute for co-ordination. However, both co-operation and co-

ordination are essential in management.

7. Controlling:

Controlling can be defined as “determining what is being accomplished, that is evaluating the

performance, if necessary, applying corrective measures so that the performance takes place

according to plans.” Control is essential for achieving objectives of an enterprise. The

planning of various activities does not ensure automatic implementation of policies. Control

is the process which enables management to get its policies implemented and take corrective

actions if performance is not according to the pre-determined standards.

The process of controlling involves the following steps:

(i) Establishing standards of performance;

(ii) Measuring actual performance;

(iii) Comparing the actual performance with the standard;



(iv) Finding variances or deviations, if any; and

(v) Taking corrective action or measures.

UNIT -2

ORGANISATION BEHAVIOUR

“Organisational behaviour is directly concerned with the understanding, production and

control of human behaviour in organisations.”—Fred Luthans.

BEHAVIOURAL CONCEPTS

1. Individual Differences in Organization

People differ not only in their physical attributes but in their psychological qualities as well.

For example, there are differences in the capacity of different individuals to understand,

learn, memorize, judge, predict, conclude and so on. Knowledge of such individual

differences is important for the manager to get the best out of every employee. While

assigning work to different employees, these differences will have to be taken into account.

2. Perception of employees

‘One man’s food is another man’s poison’ is a famous quotation. The way a person sees,

understands and interprets things is what is called perception. While one employee may

welcome a particular policy of the organization, another may oppose it on the ground that it is

detrimental to the interests of the employees.

3. The concept of Whole Person in Organization

By this we mean that it is not the skill or the intelligence of the employee alone that is

important for the growth of the organization. The personal life of the employee, his emotions,

feelings etc. are equally important to get the best out of him.

The manager cannot separate or isolate the home life of employees from his official life. It,

therefore, goes without saying that unless steps are taken to satisfy the total individual, it is

not possible to benefit fully from his potentials.

4. Motivation of employees

People have different kinds of needs for the satisfaction of which they strive hard. Maslow,

for example, has pointed out five different kinds of human needs — Physiological, Safety,

Social, Esteem and Selfactualisation needs.

5. Involvement/Empowerment of employees

People in the workplace cannot be handled in the manner machines are handled. An

employee must be able to fully involve himself in the work he does for best results. In other

words, he should not do his work mechanically. The manager, should, therefore, empower the

employee by giving him all that is reasonably essential for the effective performance of his



tasks. It may be mentioned here that in an organization only human beings can be

empowered.

6. Dignity of Labour in an organization

The employees must be treated with respect and dignity. In a workplace, where the

management treats labour as a commodity that can be purchased for a price, human

relationships are bound to be poor.

Payment of fair wages, provision of good working environment and job security, creation of

facilities for training, encouraging employees’ participation in decision-making etc., indicate

that the management respects the dignity of labour.

7. Social System

An organization is a conglomeration of individuals who work for a common goal. The

activity of each individual affects and is affected by the activities of others. Two types of

social systems exist in any organization — one is ‘formal’ and the other one is ‘informal’.

The formal system is developed using the authority — responsibility relationships. It is

deliberately and consciously created. The informal system, on the other hand, develops

naturally and spontaneously due to such factors as friendship, language, personal likes and

dislikes of individuals.

8. Mutuality of Interest in organization

Just like how the organizations need people, people also need organizations. It is only the

people who work for the attainment of the organizational objectives. Similarly, it is only the

organization that satisfies the needs of the people. Thus, there is mutuality of interest without

which the conglomeration of people is meaningless.

INDIVIDUAL BEHAVIOUR

Personal Factors:



a) Age: Age has the impact on performance, turnover, absenteeism, productivity and

satisfaction.

b) Sex: The sex has its impact on absenteeism and turnover.

c) Education: This has its effect upon individual behaviour, largely through the level and

type of education received.

d) Ability: It refers to an individual’s capacity to perform various tasks in a given job.

e) Marital Status: The marital status has the impact on absenteeism, turnover and

satisfaction.

f) No. of dependents: There is a co-relation between the number of dependents an

employee has and his or absences and satisfaction. The number of children an

employee has is positively related to absence, especially among females.

g) Creativity: It refers to the congnitive activity those results in a new or novel way of

viewing or solving a problem.

h) Emotional intelligence: Emotions are private affairs. These are the effective state of

consciousness in which joy, sorrown, fear, hate, love, surprise and anger are expressed.

Environmental Factors:

a) Economic factors: The economic environment is an important determinant of

individual behaviour. All work is performed within economic framework that, both

directly and indirectly influence on organisational environment.

b) Social norms and Cultural Values: The society and the cultural environment is made

up of institutions and other factors that affect the society’s basic value, perceptions,

work ethics, preferences and behaviours.

c) Ethics and Social Responsibility: Ethics refers to a system of moral principles - a

sense of right and wrong and goodness and badness of actions and the motivation and

the consequences of these actions. As applied to a business firm ethics is the study of

good and evil right and wrong and just and unjust actions of business people.

d) Political factors: The political climate in which an individual lives can affect

individual behaviour in several ways. The stability of the government can affect

employment opportunities, both in quantity and quality.

Organisational Systems and Resources:

1. Physical facilities: Physical facilities such as lighting, ventilation, air-conditioning,

decor, space provided for each employee, equipment and the like, have an influence

on employee performance. In addition, adequate provision of secretarial support and

other staff can allow a senior manager to focus his or her attention on issues more

critical to the organisation’s effectiveness.

2. Organisation structure and design: These have to do with the way in which the

different groups and departments in an organisation are set up and the way in which,

the reporting relationships and lines of communication are established among

different positions in the organisation. The behaviour and performance of an

individual by where that person fits into the overall structure and design if the

organisation



3. Leadership: An organisation establishes a system of leadership and supervision to

provide direction, assistance, advice, and coaching to individual members.

4. Reward System: Organisations establish reward system to compensate their

employees for good work done. The behaviour and performance of an individual is

influenced by the reward system his or her organisation has established.

5. Work related behaviour: An individual behaviour is influenced by what stage he or

she occuies in an organisation.

PSYCHOLOGICAL FACTORS:

1. Personality: Personality refers to the attributes of an individual which make him or

her different from others.

2. Perception: Perception refers to the process of seeing what is there to be seen.

3. Attitudes: The attitudes are the poor or good performance of the internal factors.

These are either the positive or negative in general.

4. Values: Values represent stable long-lasting beliefs about what is important. They are

evaluative standard that help us define what is right or wrong good or bad, in the

world. Some people value money while others consider morals are more important.

5. Learning: Learning is the modification of behaviour through practices, training or

experience. It is an important input in the individual behaviour.

MARS MODEL: This model is very useful starting point to understand the drivers of

individual behaviour and results. This model highlights the four factors that directly influence

an employee’s voluntary behaviour and resulting performance: Motivation, Ability, and Role

Perceptions and Situational factors. These four factors are represented by the acronym

MARS Model of individual Behaviour The MARS Model shows that these four factors have

a combined effect on individual performance. If any factor weakens, employee performance

will decrease. Personality and Values are the most stable characteristics. Emotions, attitudes

and stress are much more fluid characteristics, where as individual perceptions and learning

usually lie some where between. Each of these factors relate to MARS model in various

1) Employee Motivation: Motivation represents therforces within a person that effect his/her

direction, intensity and persistence of voluntary behaviour.

2) Ability: Employee’s abilities also make a difference in behaviour and task performance.

Ability includes both the natural aptitudes and learned capabilities required to successfully

complete a task. These are employees learn specific tasks more quickly and perform them

better

3) Role Perceptions: Employees have accurate role perceptions when they understand the

specific tasks assigned to them, the relative importance of those tasks, and the preferred

behaviours to accomplish those tasks. Employees know exactly what their objectives are and

how they relate to business units and ultimately, the entire enterprise.

4) Situational factors: Situational factors include conditions beyond the employee’s

immediate control that constrain or facilitate his or her behaviour and performance. Some



characteristics such as consumer preferences and economic conditions originate from the

external environment .

MEANING AND DEFINITION OF PERCEPTION:

“Perception is the process through which the information from outside environment is

selected, received, organised and interpreted to make it meaningful to you. This input of

meaningful information results in decisions and actions.”

DEFINITION:

“Perception may be defined as a process by which individuals organize and interpret their

sensory impressions in order to give meaning to their environment.”

meaning and Definition of Perception:

According to Joseph Reitz, “Perception includes all those processes by which an individual

receives information about his environment—seeing, hearing, feeling, tasting and smelling.

The study of these perpetual processes shows that their functioning is affected by three

classes of variables—the objects or events being perceived, the environment in which

perception occurs and the individual doing the perceiving.”

NATURE OF PERCEPTION:

Perception has been explained by Ajit Singh as follows:

Perception refers to the interpretation of sensory data. In other words, sensation involves

detecting the presence of a stimulus whereas perception involves understanding what the

stimulus means.

For example, when we see something, the visual stimulus is the light energy reflected from

the external world and the eye becomes the sensor. This visual image of the external thing

becomes perception when it is interpreted in the visual cortex of the brain. Thus, visual

perception refers to interpreting the image of the external world projected on the retina of the

eye and constructing a model of the three dimensional world.”

Perception is determined by both physiological and psychological characteristics of the

human being whereas sensation is conceived with only the physiological features. Thus,

perception is not just what one sees with the eyes it is a much more complex process by

which an individual selectively absorbs or assimilates the stimuli in the environment,

cognitively organizes the perceived information in a specific fashion and then interprets the

information to make an assessment about what is going on in one’s environment.

Importance of Perception:

(i) Perception is very important in understanding the human behaviour, because every person

perceives the world and approaches the life problems differently- Whatever we see or feel is

not necessarily the same as it really is. It is because what we hear is not what is really said,

but what we perceive as being said. When we buy something, it is not because it is the best,

but because we take it to be the best. Thus, it is because of perception, we can find out why

one individual finds a job satisfying while another one may not be satisfied with it.

(ii) If people behave on the basis of their perception, we can predict their behaviour in the

changed circumstances by understanding their present perception of the environment. One

person may be viewing the facts in one way which may be different from the facts as seen by

another viewer.



(iii) With the help of perception, the needs of various people can be determined, because

people’s perception is influenced by their needs. Like the mirrors at an amusement park, they

distort the world in relation to their tensions.

(iv) Perception is very important for the manager who wants to avoid making errors when

dealing with people and events in the work setting. This problem is made more complicated

by the fact that different people perceive the same situation differently. In order to deal with

the subordinates effectively, the managers must understand their perceptions properly.

Thus, for understanding the human behaviour, it is very important to understand their

perception, that is, how they perceive the different situations. People’s behaviour is based on

their perceptions of what reality is, not on reality itself. The world as it is perceived is the

world that is important for understanding the human behaviour.

Meaning of Learning:

In a Layman’s view, “Learning is something we did when we went to school.” In reality,

each of us is continuously going to school. Learning is occurring all the time. With every new

experience, new event or new situation we learn something. But this concept of learning is

purely theoretical. We cannot observe learning as we can observe the personality of a person

or his attitude. We can see changes taking place but not the learning itself. Learning is used in

many contexts. Simply speaking, learning refers to this modification of behaviour through

practice, training and experience.

According to E.R. Hilgard, “Learning is a relatively permanent change in behaviour

that occurs as a result of a prior experience.”

According to W.Mc Gehee, “Learning has taken place if an individual behaves, reacts,

responds as a result of experience in a manner different from the way he formerly

behaved.”

Nature of Learning:

1. Change in Behaviour:

Learning involves change in behaviour, although the change may be good or bad from an

organization’s point of view. The change in behaviour need not be an improvement over the

previous behaviour, although learning usually connotes improved behaviour. For example,

bad habits like smoking, prejudice and stereotype are often learned by individuals.

2. Change in Behaviour must be Relatively Permanent:

All the changes do not reflect learning. To constitute learning, change should be relatively

permanent. Temporary changes may be only reflective and fail to represent any learning. Any

temporary change in behaviour caused due to fatigue or drugs or temporary adaptations are

not covered in learning.

3. Change Must Be Based on Some Experience, Practice or Training:

The behavioural change must be based on some form of practice, experience or training. Any

change in behaviour due to physical maturation, any disease or physical damages do not

constitute learning. This change may not be evident until a situation arises in which the new

behaviour can occur.

4. Reinforcement:

The practice or experience must be reinforced in order for learning to occur. If reinforcement

does not accompany the practice or experience the behaviour will eventually disappear.



5. Learning is Reflected in Behaviour:

A change in an individual’s thought process or attitudes not accompanied by behaviour is not

learning. Further learning needs to result in behaviour potentiality and not necessarily in the

behaviour itself. For example, if a person is thinking of using drugs, but has not actually used

them and he finds out that a friend of his has died because of drugs, he will never get

involved with drugs. This experience has changed his behaviour potential.

IMPORTANT PRINCIPLES OF LEARNING:

To teach effectively, the teacher must understand the basic principles of learning. Based on

the different concepts of the learning process and the laws that govern them, the following

general principles of learning are presented for guidance in teaching:

1. Learning is considered as the acquisition of knowledge, habits, skills, abilities, and

attitudes through the interaction of the whole individual and his total environment. Responses

are considered an integral part of the unified self in meeting life’s demands.

2. Learning is meaningful if it is organized in such a way as to emphasize and call for

understanding, insight, initiative, and cooperation. When the learner is capable of gaining

insight or understanding into the learning situation, then and only then will learning take

place. Understanding is an organizing, synthesizing process that integrates experiences into

larger meaningful units.

3. Learning is facilitated by motives or drives. Needs, interests, and goals are fundamental to

the learning process. If the individual has to learn, he must have some goal to be

accomplished. Learning is best when the learner knows and understands his motive in

learning.

4. Learning is facilitated by the law of readiness or mindset. Learning does not occur unless

the learner is ready to act or to learn. When a person is ready to learn, he learns more

effectively and with greater satisfaction than when unprepared. When a person feels ready to

act and is prevented from doing so, he feels annoyed. Mental set is conductive to effective

learning.

5. Learning is facilitated by the law of exercise. Practice and exercise are so common that

they are universally accepted as an active means of learning. Lack of practice or exercise

causes memory of learned materials weaken; and in general, the longer the period of disuse,

the greater the loss. We learn and retain by exercise and forget through disuse.

6. Learning is facilitated by the law of effect. The law of effect pertains to the influence of

satisfying or unsatisfying feeling tones that accompany a response and either strengthen or

weaken that response. When the learner finds the correct answer to a question, he feels

pleased about his achievement and the connection is consequently strengthened. A feeling of

satisfaction fixes a response, whereas a feeling of annoyance tends to destroy it.

7. Learning is facilitate by the law of belongingness. When the learner perceives the

relationship of facts presented, the speed of learning is greatly increased. In other that

learning, in the classroom will be more meaningful to the learner, it must be related in some

way to his previous knowledge. It must belong to the context of learning the learner has

already achieved.

8. Learning is facilitated when the teacher provides the learner with the proper stimuli and

guides, and uses the principle of conditioning or associating those learning functions that



need to be made automatic for most effective learning. Automatic responses are of prime

importance in the formation of new habits or skills for they increase power and lessen fatigue.

They serve as time-and-energy-saving habits.

9. Learning “is conditioned by the attitude of the learner, the environmental conditions

conducive to learning, and the attitude and skill of the teacher in setting the stage for learning,

which includes teaching skill itself. Learning is most effective in an atmosphere of security

and belonging.

10. Learning difficulty is due to many factors within the learner himself. The most common

factors which affect the learning process are the intellectual, physical, emotional and social

factors. All of these factors may be found in the individual himself.

11. Learning is effective when more senses are utilized by the learner. The combination of

seeing and hearing with touch, taste, and smell will facilitate the learning and understanding

of the ‘learning situation. The use of different senses will also add electiveness in causing

learning to be meaningful and functional.

12. Learning is effective when it is made functional and aided by understanding derived from

experience. The experiences of the pupil when utilized by the teacher will add to the

understanding of the learning situation.

ATTITUDE: NATURE

1. Attitudes refer to feelings and beliefs of individuals or groups of individuals. For example

“He has a poor attitude”, “I like her attitude.”

2. The feeling’s and beliefs are directed towards other people, objects or ideas. When a

person says, “I like my Job”. It shows that he has a positive attitude towards his job.

3. Attitudes often result in and affect the behaviour or action of the people. Attitudes can lead

to intended behaviour if there are no external interventions.

4. Attitudes constitute a psychological phenomenon which cannot be directly observed.

However, an attitude can be observed indirectly by observing its consequences. For example,

if a person is very regular in his job, we may infer that he likes his job very much.

5. Attitudes are gradually acquired over a period of time. The process of learning attitude

starts right from childhood and continues throughout the life of a person. In the beginning the

family members may have a greater impact on the attitude of a child.

6. Attitudes are evaluative statements, either favourable or unfavourable. When a person says

he likes or dislikes something or somebody, an attitude is being expressed.

7. All people, irrespective of their status and intelligence hold attitudes.

8. An attitude may be unconsciously held. Most of our attitudes may be about those which we

are not clearly aware. Prejudice furnishes a good example.

COMPONENTS OF ATTITUDES:

Attitudes comprise of three basic components: emotional, informational and behavioural.

These three components are described below:

1. Informational or Cognitive Component:

The informational component consists of beliefs, values, ideas and other information a person

has about the object. It makes no difference whether or not this information is empirically



correct or real. For example, a person seeking a job may learn from his own sources and other

employees working in the company that in a particular company the promotion chances are

very favourable. In reality, it may or may not be correct. Yet the information that person is

using is the key to his attitude about that job and about that company.

2. Emotional or Affective Component:

The informational component sets the stage for the more critical part of an attitude, its

affective component. The emotional components involve the person’s feeling or affect-

positive, neutral or negative-about an object. This component can be explained by this

statement.” I like this job because the future prospects in this company are very good”.

3. Behavioural Component:

The behavioural component consists of the tendency of a person to behave in a particular

manner towards an object.

For example, the concerned individual in the above case may decide to take up the job

because of good future prospects. Out of the three components of attitudes, only the

behavioural component can be directly observed. One cannot see another person’s beliefs

(the informational component) and his feelings (the emotional component). These two

components can only be inferred. But still understanding these two components is essential in

the study of organisational behaviour or the behavioural component of attitudes.

The components are illustrated in the following table:

ABC Model of Attitude:

All the three components of attitude explained above constitute, what is OF called the ABC

model. Here, in the ABC model, the alphabet A stands for Affective component, B for

Behavioural and C for the cognitive component. The importance of this model is that to have

a proper and thorough understanding of the concept of attitude, all the three components

mentioned above must be properly assessed. It is only the behavioural component which can

be directly observed, the other two components: affective and cognitive can however only be

inferred.

Formation/Sources of Attitudes:

Attitudes refer to the feelings and beliefs of “individuals or groups of individuals. But the

question is how these feelings and beliefs developed? The point which has been stressed by

many people are that attitudes are acquired, but not inherited. A person acquires these

attitudes from several sources.

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The Attitudes are acquired but not important sources of acquiring attitudes are as

discussed below:

1. Direct Personal Experience:

A person’s direct experience with the attitude object determines his attitude towards it. The

personal experience of an individual, whether it is favourable or unfavourable, will affect his

attitude deeply. These attitudes which are based on personal experience are difficult to

change.

For example, an individual joins a new job, which is recommended to him by his friend. But

when he joins the job, he find his work repetitive, supervisors too tough and co-workers not

so co-operative, he would develop a negative attitude towards his job, because the quality of

his direct experience with the job is negative.

2. Association:

Sometimes an individual comes across a new attitude object which may be associated with an

old attitude object. In such a case, the attitude towards the old attitude object may be

transferred towards the new attitude object.

For example, if a new worker remains most of the time in the company of a worker, who is

in the good books of the supervisor, and towards whom the supervisor has a positive attitude,

the supervisor is likely to develop a favourable attitude towards the new worker also. Hence

the positive attitude for the old worker has been transferred towards the new worker because

of the association between the old and the new worker.

3. Family and Peer Groups:

Attitudes like values are acquired from parents, teachers and peer group members. In our

early years, we begin modeling our attitudes after those we admire, respect or may be even

fear. We observe the way our family and friends behave and we shape our attitudes and

behaviour to align with theirs. We do so even without being told to do so and even without

having direct experience. Similarly, attitudes are acquired from peer groups in colleges and

organisations. For example, if the right thing is to visit “Hot Millions”, or the “Domino’s”,

you are likely to hold that attitude. If your parents support one political party, without being

told to do so, you automatically start favouring that party.

4. Neighbourhood:

The neighbourhood in which we live has certain cultural facilities, religious groupings and

ethnic differences. Further, it has people, who are neighbours. These people may be

Northerners, Southerners etc. The people belonging to different cultures have different

attitudes and behaviours. Some of these we accept and some of these we deny and possibly

rebel. The conformity or rebellion in some respects is the evidence of the attitudes we hold.

5. Economic Status and Occupations:

The economic status and occupational position of the individual also affect his attitude

formation. Our socio-economic background influences our present and future attitudes.

Research findings have shown that unemployment disturbs former religious and economic

values. Children of professional class tend to be conservatives. Respect for the laws of the

country is associated with increased years of higher education.

6. Mass Communications:

Attitudes are generally less stable as compared to values. Advertising messages for example,

attempt to alter the attitude of the people toward a certain product or service. For example, if



the people at Hyundai Santro can get you to hold a favourable feeling toward their cars, that

attitude may lead to a desirable behaviour (for them)-your purchase of a Santro car.

All these sources can be illustrated with the help of the following figure:

MEANING:

Motivation is an important factor which encourages persons to give their best performance

and help in reaching enterprise goals. A strong positive motivation will enable the increased

output of employees but a negative motivation will reduce their performance. A key element

in personnel management is motivation.

According to Likert, “It is the core of management which shows that every human being

gives him a sense of worth in face-to face groups which are most important to him….A

supervisor should strive to treat individuals with dignity and a recognition of their personal

worth.”

Definitions:

Motivation has been variously defined by scholars.

Berelson and Steiner:

“A motive is an inner state that energizes, activates, or moves and directs or channels

behaviour goals.”

Nature of Motivation:

Motivation is a psychological phenomena which generates within an individual. A person

feels the lack of certain needs, to satisfy which he feels working more. The need satisfying

ego motivates a person to do better than he normally does.

From definitions given earlier the following inferences can be derived:

1. Motivation is an inner feeling which energizes a person to work more.

2. The emotions or desires of a person prompt him for doing a particular work.

3. There are unsatisfied needs of a person which disturb his equilibrium.

4. A person moves to fulfill his unsatisfied needs by conditioning his energies.

5. There are dormant energies in a person which are activated by channelizing them into

actions.




Types of Motivation:

When a manager wants to get more work from his subordinates then he will have to motivate

them for improving their performance. They will either be offered incentive for more work,

or may be in the space of rewards, better reports, recognition etc., or he may instill fear in

them or use force for getting desired work.

The following are the types of motivation:

1. Positive Motivation:

Positive motivation or incentive motivation is based on reward. The workers are offered

incentives for achieving the desired goals. The incentives may be in the shape of more pay,

promotion, recognition of work, etc. The employees are offered the incentives and try to

improve their performance willingly.

According to Peter Drucker, the real and positive motivators are responsible for placement,

high standard of performance, information adequate for self- control and the participation of

the worker as a responsible citizen in the plant community. Positive motivation is achieved

by the co-operation of employees and they have a feeling of happiness.

2. Negative Motivation:

Negative or fear motivation is based on force or fear. Fear causes employees to act in a

certain way. In case, they do not act accordingly then they may be punished with demotions

or lay-offs. The fear acts as a push mechanism. The employees do not willingly co-operate,

rather they want to avoid the punishment.

Though employees work up-to a level where punishment is avoided but this type of

motivation causes anger and frustration. This type of motivation generally becomes a cause

of industrial unrest. In spite of the drawbacks of negative motivation, this method is

commonly used to achieve desired results. There may be hardly any management which has

not used negative motivation at one or the other time.

Concept of Motivation:

The term motivation is derived from the word ‘motive”. The word ‘motive’ as a noun means

an objective, as a verb this word means moving into action. Therefore, motives are forces

which induce people to act in a way, so as to ensure the fulfillment of a particular human

need at a time. Behind every human action there is a motive. Therefore, management must

provide motives to people to make them work for the organization.

Motivation may be defined as a planned managerial process, which stimulates people to work

to the best of their capabilities, by providing them with motives, which are based on their

unfulfilled needs.

“Motivation means a process of stimulating people to action to accomplish desired goods.”

—William G. Scott

“Motivation is the process of attempting to influence others to do your will through the

possibility of gain or reward.” — Flippo



CONCEPTS OF MOTIVATION

1. Motivation is a personal and internal feeling:

Motivation is a psychological phenomenon which generates within an individual.

2. Motivation is need based:

If there are no needs of an individual, the process of motivation fails. It is a behavioural

concept that directs human behaviour towards certain goals.

3. Motivation is a continuous process:

Because human wants are unlimited, therefore motivation is an ongoing process.

4. Motivation may be positive or negative:

A positive motivation promotes incentives to people while a negative motivation threatens

the enforcement of disincentives.

5. Motivation is a planned process:

People differ in their approach, to respond to the process of motivation; as no two individuals

could be motivated in an exactly similar manner. Accordingly, motivation is a psychological

concept and a complex process.

6. Motivation is different from job satisfaction:

The process of motivation is illustrated in the figure given below:

Figure 15.1 shows an employee has a need or urge for promotion to a higher position. If this

need is strong, the employee will fix his goal and find alternatives to reach the goal. The

might have two alternatives, namely, (i) hard work and (ii) enhancement of qualification

(e.g., getting MBA) and hard work.

He might choose the second alternative and succeed in getting promotion (goal achievement)

thus, his need for promotion would be satisfied and he would start again for the satisfaction

of a new need.

Significance/Importance of Motivation:

Motivation is an integral part of the process of direction.

1. High Efficiency:

A good motivational system releases the immense untapped reservoirs of physical and mental

capabilities. A number of studies have shown that motivation plays a crucial role in

determining the level of performance. “Poorly motivated people can nullify the soundest

organisation.” said Allen.

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By satisfying human needs motivation helps in increasing productivity. Better utilisation of

resources lowers cost of operations. Motivation is always goal directed. Therefore, higher the

level of motivation, greater is the degree of goal accomplishment.

2. Better Image:

A firm that provides opportunities for financial and personal advancement has a better image

in the employment market. People prefer to work for an enterprise because of opportunity for

development, and sympathetic outlook. This helps in attracting qualified personnel and

simplifies the staffing function.

3. Facilitates Change:

Effective motivation helps to overcome resistance to change and negative attitude on the part

of employees like restriction of output. Satisfied workers take interest in new organisational

goals and are more receptive to changes that management wants to introduce in order to

improve efficiency of operations.

4. Human Relations:

Effective motivation creates job satisfaction which results in cordial relations between

employer and employees. Industrial disputes, labour absenteeism and turnover are reduced

with consequent benefits. Motivation helps to solve the central problem of management, i.e.,

effective use of human resources. Without motivation the workers may not put their best

efforts and may seek satisfaction of their needs outside the organisation.

The success of any organisation depends upon the optimum utilisation of resources. The

utilisation of physical resources depends upon the ability to work and the willingness to work

of the employees.

Motivation Cycle or Process:

As stated earlier, motivation is a process or cycle aimed at accomplishing some goals. The

basic elements included in the process are motives, goals and behaviour. A brief mention of

these follows:

Motives:

Almost all human behaviour is motivated. It requires no motivation to grow hair, but getting

a hair cut does. Motives prompt people to action. Hence, these are at the very heart of

motivational process. Motives provide an activating thrust towards reaching a goal. The

examples of the needs for food and water are translated into the hunger and thrust drives or

motives. Similarly, the need for friends becomes a motive for affiliation.

Goals:

Motives are generally directed towards goals. Motives generally create a state of

physiological or psychological imbalance. Attaining goals restores balance. For example, a

goal exists when the body of the man is deprived of food or water or one’s personality is

deprived of friends or companions.

Behaviour:

Behaviour is a series of activities to be undertaken. Behaviour is directed to achieve a goal.

For example, the man goes to saloon to cut his hair. Diagrammed simply, the cycle or process

of motivation is presented in




Importance of motivation:

1. Organisations are run by people. Hence, mangers cannot afford to avoid a concern with

human behaviour at work. This is because the motivated employees are more productive and

quality- conscious than apathetic ones.

2. Motivation as a pervasive concept affects and is also affected by a host of factors in the

organisational milieu. It enables managers to understand why people behave as they behave.

3. Organisational effectiveness becomes, to some extent, the question of management’s

ability to motivate its employees. Hence, an appreciation of motivation helps the managers

how to motivate their employees.

4. Machines become necessary in case of complex technology. However, these remain

inefficient vehicles of effective and efficient operations without man to operate them.

Therefore, organisations need to have employees with required capability and willingness to

use the advanced complex technology to achieve the organisational goal.

5. With the realisation that organisations will run in more complex milieu in future, an

increasing attention has been given to develop employees as future resources (a ‘talent

bank’). This facilitates the managers to draw upon them as and when organisations grow and

develop.

Some of the most important theories of motivation are as follows:

1. Maslow’s Need Hierarchy Theory

2. Herzberg’s Motivation Hygiene Theory

3. McClelland’s Need Theory

4. McGregor’s Participation Theory

5. Urwick’s Theory Z

6. Argyris’s Theory

7. Vroom’s Expectancy Theory

8. Porter and Lawler’s Expectancy Theory.

From the very beginning, when the human organisations were established, various thinkers

have tried to find out the answer to what motivates people to work. Different approaches

applied by them have resulted in a number of theories concerning motivation.

These are discussed in brief in that order.

1. Maslow’s Need Hierarchy Theory:

It is probably safe to say that the most well-known theory of motivation is Maslow’s need

hierarchy theory Maslow’s theory is based on the human needs.




1. Physiological Needs:

These needs are basic to human life and, hence, include food, clothing, shelter, air, water and

necessities of life. These needs relate to the survival and maintenance of human life. They

exert tremendous influence on human behaviour.

2. Safety Needs:

After satisfying the physiological needs, the next needs felt are called safety and security

needs. These needs find expression in such desires as economic security and protection from

physical dangers. Meeting these needs requires more money and, hence, the individual is

prompted to work more. Like physiological needs, these become inactive once they are

satisfied.

3. Social Needs:

Man is a social being. He is, therefore, interested in social interaction, companionship,

belongingness, etc. It is this socialising and belongingness why individuals prefer to work in

groups and especially older people go to work.

4. Esteem Needs:

These needs refer to self-esteem and self-respect. They include such needs which indicate

self-confidence, achievement, competence, knowledge and independence. The fulfillment of

esteem needs leads to self-confidence, strength and capability of being useful in the

organisation. However, inability to fulfill these needs results in feeling like inferiority,

weakness and helplessness.

5. Self-Actualisation Needs:

This level represents the culmination of all the lower, intermediate, and higher needs of

human beings. In other words, the final step under the need hierarchy model is the need for

self-actualization. This refers to fulfillment.

The term self-actualization was coined by Kurt Goldstein and means to become actualized in

what one is potentially good at. In effect, self- actualization is the person’s motivation to

transform perception of self into reality.

According to Maslow, the human needs follow a definite sequence of domination. The

second need does not arise until the first is reasonably satisfied, and the third need does not

emerge until the first two needs have been reasonably satisfied and it goes on. The other side

of the need hierarchy is that human needs are unlimited. However, Maslow’s need hierarchy-

theory is not without its detractors.

The main criticisms of the theory include the following:

1. The needs may or may not follow a definite hierarchical order. So to say, there may be

overlapping in need hierarchy. For example, even if safety need is not satisfied, the social

need may emerge.

2. The need priority model may not apply at all times in all places.

3. Researches show that man’s behaviour at any time is mostly guided by multiplicity of

behaviour. Hence, Maslow’s preposition that one need is satisfied at one time is also of

doubtful validity.

4. In case of some people, the level of motivation may be permanently lower. For example, a

person suffering from chronic unemployment may remain satisfied for the rest of his life if

only he/she can get enough food.

Notwithstanding, Maslow’s need hierarchy theory has received wide recognition, particularly

among practicing managers. This can be attributed to the theory’s intuitive logic and easy to



understand. One researcher came to the conclusion that theories that are intuitively strong die

hard’.

2. Herzberg’s Motivation Hygiene Theory:

The psychologist Frederick Herzberg extended the work of Maslow and propsed a new

motivation theory popularly known as Herzberg’s Motivation Hygiene (Two-Factor) Theory.

Herzberg conducted a widely reported motivational study on 200 accountants and engineers

employed by firms in and around Western Pennsylvania.

When did you feel particularly good about your job, and

When did you feel exceptionally bad about your job? He used the critical incident

method of obtaining data.

The responses when analysed were found quite interesting and fairly consistent. The replies

respondents gave when they felt good about their jobs were significantly different from the

replies given when they felt bad. Reported good feelings were generally associated with job

satisfaction, whereas bad feeling with job dissatisfaction. Herzberg labelled the job satisfiers

motivators, and he called job dissatisfies hygiene or maintenance factors. Taken together, the

motivators and hygiene factors have become known as Herzberg’s two-factor theory of

motivation

According to Herzberg, the opposite of satisfaction is not dissatisfaction. The underlying

reason, he says, is that removal of dissatisfying characteristics from a job does not necessarily

make the job satisfying. He believes in the existence of a dual continuum. The opposite of

‘satisfaction’ is ‘no satisfaction’ and the opposite of ‘dissatisfaction’ is ‘no

dissatisatisfaction’.

According to Herzberg, today’s motivators are tomorrow’s hygiene because the latter stop

influencing the behaviour of persons when they get them. Accordingly, one’s hygiene may be

the motivator of another.

1. People generally tend to take credit themselves when things go well. They blame failure on

the external environment.




2. The theory basically explains job satisfaction, not motivation.

3. Even job satisfaction is not measured on an overall basis. It is not unlikely that a person

may dislike part of his/ her job, still thinks the job acceptable.

4. This theory neglects situational variable to motivate an individual.

Because of its ubiquitous nature, salary commonly shows up as a motivator as well as hygine.

Regardless of criticism, Herzberg’s ‘two-factor motivation theory’ has been widely read and

a few managers seem untaminar with his recommendations. The main use of his

recommendations lies in planning and controlling of employees work.

3. McClelland’s Need Theory:

Another well-known need-based theory of motivation, as opposed to hierarchy of needs of

satisfaction-dissatisfaction, is the theory developed by McClelland and his associates’.

McClelland developed his theory based on Henry Murray’s developed long list of motives

and manifest needs used in his early studies of personality. McClelland’s need-theory is

closely associated with learning theory, because he believed that needs are learned or

acquired by the kinds of events people experienced in their environment and culture.

Need for Achievement:

This is the drive to excel, to achieve in relation to a set of standard, and to strive to succeed.

In other words, need for achievement is a behaviour directed toward competition with a

standard of excellence. McClelland found that people with a high need for achievement

perform better than those with a moderate or low need for achievement, and noted regional /

national differences in achievement motivation.

Through his research, McClelland identified the following three characteristics of high-

need achievers:

1. High-need achievers have a strong desire to assume personal responsibility for performing

a task for finding a solution to a problem.

2. High-need achievers tend to set moderately difficult goals and take calculated risks.

3. High-need achievers have a strong desire for performance feedback.

Need for Power:

The need for power is concerned with making an impact on others, the desire to influence

others, the urge to change people, and the desire to make a difference in life. People with a

high need for power are people who like to be in control of people and events. This results in

ultimate satisfaction to man.

People who have a high need for power are characterized by:

1. A desire to influence and direct somebody else.

2. A desire to exercise control over others.

3. A concern for maintaining leader-follower relations.

Need for Affiliation:

The need for affiliation is defined as a desire to establish and maintain friendly and warm

relations with other people’. The need for affiliation, in many ways, is similar to Maslow’s

social needs.

The people with high need for affiliation have these characteristics:

1. They have a strong desire for acceptance and approval from others.

2. They tend to conform to the wishes of those people whose friendship and companionship

they value.

3. They value the feelings of others.



4. McGregor’s Participation Theory:

Douglas McGregor formulated two distinct views of human being based on participation of

workers. The first basically negative, labeled Theory X, and the other basically positive,

labled Theory Y.

Theory X is based on the following assumptions:

1. People are by nature indolent. That is, they like to work as little as possible.

2. People lack ambition, dislike responsibility, and prefer to be directed by others.

3. People are inherently self-centered and indifferent to organisational needs and goals.

4. People are generally gullible and not very sharp and bright.

On the contrary, Theory Y assumes that:

1. People are not by nature passive or resistant to organisational goals.

2. They want to assume responsibility.

3. They want their organisation to succeed.

4. People are capable of directing their own behaviour.

5. They have need for achievement.

What McGregor tried to dramatise through his theory X and Y is to outline the extremes to

draw the fencing within which the organisational man is usually seen to behave. The fact

remains that no organisational man would actually belong either to theory X or theory Y. In

reality, he/she shares the traits of both. What actually happens is that man swings from one

set or properties to the other with changes in his mood and motives in changing .environment.

5. Urwick’s Theory Z:

Much after the propositions of theories X and Y by McGregor, the three theorists Urwick,

Rangnekar, and Ouchi-propounded the third theory lebeled as Z theory.

The two propositions in Urwicks’s theory are that:

o Each individual should know the organisational goals precisely and the amount of

contribution through his efforts towards these goals.

o Each individual should also know that the relation of organisational goals is going to

satisfy his/her needs positively.

In Urwick’s view, the above two make people ready to behave positively to accomplish both

organisational and individual goals.

However, Ouchi’s Theory Z has attracted the lot of attention of management practitioners as

well as researchers. It must be noted that Z does not stand for anything, is merely the last

alphabet in the English Language.




Theory Z is based on the following four postulates:

1. Strong Bond between Organisation and Employees

2. Employee Participation and Involvement

3. No Formal Organisation Structure

4. Human Resource Development

Ouchi’s Theory Z represents the adoption of Japanese management practices (group decision

making, social cohesion, job security, holistic concern for employees, etc.)by the American

companies. In India, Maruti-Suzuki, Hero-Honda, etc., apply the postulates of theory Z.

6. Vroom’s Expectancy Theory:

One of the most widely accepted explanations of motivation is offered by Victor Vroom in

his Expectancy Theory” It is a cognitive process theory of motivation. The theory is founded

on the basic notions that people will be motivated to exert a high level of effort when they

believe there are relationships between the effort they put forth, the performance they

achieve, and the outcomes/ rewards they receive.

Thus, the key constructs in the expectancy theory of motivation are:

1. Valence:

Valence, according to Vroom, means the value or strength one places on a particular outcome

or reward.

2. Expectancy:

It relates efforts to performance.

3. Instrumentality:

By instrumentality, Vroom means, the belief that performance is related to rewards.

Thus, Vroom’s motivation can also be expressed in the form of an equation as follows:

Motivation = Valence x Expectancy x Instrumentality

Being the model multiplicative in nature, all the three variables must have high positive

values to imply motivated performance choice. If any one of the variables approaches to zero

level, the possibility of the so motivated performance also touches zero level.

However, Vroom’s expectancy theory has its critics. The important ones are:

1. Critics like Porter and Lawler lebeled it as a theory of cognitive hedonism which proposes

that individual cognitively chooses the course of action that leads to the greatest degree of

pleasure or the smallest degree of pain.

2. The assumption that people are rational and calculating makes the theory idealistic.

3. The expectancy theory does not describe individual and situational differences.

But the valence or value people place on various rewards varies. For example, one employee

prefers salary to benefits, whereas another person prefers to just the reverse. The valence for

the same reward varies from situation to situation.




8. Porter and Lawler’s Expectancy Theory:

In fact, Porter and Lawler’s theory is an improvement over Vroom’s expectancy theory. They

posit that motivation does not equal satisfaction or performance. The model suggested by

them encounters some of the simplistic traditional assumptions made about the positive

relationship between satisfaction and performance.

There are three main elements in this model. Let us briefly discuss these one by one.

Effort:

Effort refers to the amount of energy an employee exerts on a given task. How much effort an

employee will put in a task is determined by two factors-

o Value of reward and

o Perception of effort-reward probability.

Performance:

One’s effort leads to his/her performance. Both may be equal or may not be. However the

amount of performance is determined by the amount of labour and the ability and role

perception of the employee. Thus, if an employee possesses less ability and/or makes wrong

role perception, his/her performance may be low in spite of his putting in great efforts.

Satisfaction:

Performance leads to satisfaction. The level of satisfaction depends upon the amount of

rewards one achieves. If the amount of actual rewards meet or exceed perceived equitable

rewards, the employee will feel satisfied. On the country, if actual rewards fall short of

perceived ones, he/she will be dissatisfied.

Rewards may be of two kinds—intrinsic and extrinsic rewards. Examples of intrinsic rewards

are such as sense of accomplishment and self-actualisation. As regards extrinsic rewards,

these may include working conditions and status. A fair degree of research support that, the

intrinsic rewards are much more likely to produce attitudes about satisfaction that are related

to performance.

There is no denying of the fact that the motivation model proposed by Porter and Lawler is

quite complex than other models of motivation. In fact motivation itself is not a simple cause-

effect relationship rather it is a complex phenomenon Porter and Lawler have attempted to

measure variables such as the values of possible rewards, the perception of effort-rewards

probabilities and role perceptions in deriving satisfaction.

They recommended that the managers should carefully reassess their reward system and

structure. The effort-performance-reward-satisfaction should be made integral to the entire

system of managing men in organisation.

UNIT 3

MEANING OF DEFINITION:

When people interact in organisations, there is a social transaction in which one person

responds to another. ERIC BERNE is usually credited with starting the transactional

movement for psychotherapy in the 1950s. He observed in his patients that often it was as if

several different people were inside each person. He also observed that these various selves

transmitted with people in different way.



In the words of Eric Berne, “The unit of social intercourse is called a transaction. If two or

more people encounter each other in a social aggregation, sooner or later one of them will

speak or give some other indication of acknowledging the presence of the other. This is called

the transactional stimulus. Another person will then says or do something which is in some

way related to this stimulus and that is called the transactional response.”

Definition and Principles of Communication:

Communication involves giving or receiving a message to another individual with the

conscious intent of eliciting and evoking a response and checking out its meaning.

Communication refers to all behaviour, both verbal and non-verbal, which occur in a social

context. Another word for communication could be ‘interaction’.

1. The intentions, ideas, feelings of the sender, and the behaviour he selects to engage in, all

of which lead to his sending a message which conveys some content.

2. The sender encoding his message by translating his ideas, feelings and intentions into a

message appropriate for transmission.

3. The transmission of the message to the receiver.

4. The channel through which the message is transmitted.

5. The receiver decoding the message by taking the stimuli received and interpreting its

meaning. The interpretation of the meaning of a message depends upon the receiver’s

comprehension of the content of the message and of the intention of the sender.

6. The receiver responding internally or externally to the interpretation of the message.

There is always some amount of noise in these steps. Noise is an element that interferes with

the communication process.

In the sender, noise can refer to such things as the attitudes, prejudices, or frame of reference

of the sender and the inappropriateness of his language etc.

In the receiver, it refers to such things as the attitudes, background, and experiences of the

receiver which affect the decoding and interpretation.

In the channel noise refers to environmental factors such as weather, or traffic, speech

problems such as a tendency to fumble, or other distractions. To a large extent, the success of

communication is determined by the degree to which noise is overcome or controlled.

COMMUNICATION PROCESS/ELEMENTS OF COMMUNICATION PROCESS:

The communication process begins when sender thinks of an idea or message to be conveyed

to other person. Then the sender encodes the message, i.e., plans out the words or the

language in which the message must be sent to the other party. After encoding the message

the sender transmits or transfers the message by using different ways and means. After

transmission the message reaches to receiver.

The receiver decodes the message to understand the message and give his response or

feedback to the sender. When the feedback reaches back to sender then only the

communication process ends which means the communication is a circular process which

starts with sender and ends with sender.



1. Sender:

Sender is the person who conveys the message. The communication process begins

immediately when the idea comes in the mind of sender.

2. Message:

The contents of ideas or message or suggestion which sender wants to share with receiver is

called message.

3. Encoding:

Receiver cannot read the mind of sender. So receiver converts the idea into a language or

other communication symbols such as pictures, gestures, etc. This is known as encoding.

4. Media:

It is the way or means through which encoded message has to be transmitted to receiver. The

common ways of transmission are phone, letter, internet, message, etc.

5. Decoding:

Decoding refers to converting the encoded message into language and understanding the

message.

6. Receiver:

Receiver is the person who receives the communication and understands the message.

7. Feedback:

After understanding the message the receiver sends his response on that idea or message to

sender. When response reaches the sender then only communication process ends.

8. Noise:

Noise is any element which results in disturbance, distraction or interruption in the flow of

information. The noise can be a loud sound made by any vehicle, disturbance in the telephone

line, disconnection of line, losing of letter or documents on the way, poor connectivity in the

e-mail or internet. Due to noise the message is not conveyed to receiver and receiver is not

able to decode the message in the same manner as expected by the sender.

Importance of Communication:

The communication is an important element of directing because of following points:

1. Act as basis of Coordination and Cooperation:

Generally the organisational objectives are set up at planning stage and these objectives have

to be communicated to management at all levels. That is why through communication only

the objectives and goals of the organisation are made clear to every employee.

2. Act as basis for Decision Making:

For taking any major decision or solving any problem in the organisation there is a need to

get the most accurate information and information moves in organisation through




communication only. Whenever the managers are taking decisions they keep in mind the

‘pros’ and ‘cons’ or positive or negative aspects. The accurate information regarding the

positive and negative aspect comes only through communication.

3. Increase managerial efficiency:

Every individual in the organisation is assigned a job or task. He is made responsible for

some activities. He is granted authority to carry on those responsibilities. This classification

of task, responsibility and authority is possible only when the information reaches accurately

to the employees.

4. Establish effective leadership:

If there is two way information flows between the superiors and subordinates then there will

be definitely positive reaction of employees. Generally rules are framed by the top level

authority but these are applied on all the employees in the organisation.

5. Helps in Process of Motivation and Morale Development:

Motivation is a psychological process of developing willingness to work. In the motivation

process the superiors try to analyse the needs of subordinates and the needs can be recognised

only when there is smooth flow of information and exchange of views between the superiors

and subordinates.

6. Helps in Smooth Working of an Enterprise:

All interactions in organisation depend upon communication. Smooth working of an

enterprise is possible only when there is no communication gap. Right from establishing of

enterprise till its survival communication is essential.

7. Promotes Cooperation and Peace:

Through two way communication process managers try to develop mutual understanding

between management and workers. Through smooth flow of communication subordinates

and superior can discuss their problems, grievances and aspirations. Cooperation brings peace

in the organisation.

Forms of Organisational Communication:

There are two forms of organisational communication:

i. Formal Communication; and

ii. Informal Communication.




1. Formal communication:

Formal communication refers to official communication taking place in the organisation.

Whenever there is exchange of views or message or information related to official matter

such as assignment of task, fixing of responsibilities, granting authority or setting up of

targets, objectives etc. then it is known as formal communication.

Formal communication generally takes place in the written form such as issue of notice,

letter, memo, document, etc. Verbal or oral channels are avoided in formal communication as

there is no record or proof of such communication.

According to direction of flow formal communication can be divided into four types:

i. Downward Communication:

The flow of information from the top level or from the superiors to lower level or

subordinates is known as downward communication. In this communication the manager

passes instructions to his subordinates and the success of downward communication depends

upon communication skill of the managers.

ii. Upward Communication:

When the subordinates inform or pass any information to superiors then it is known as

upward communication. This communication flows from subordinates to superiors. Upward

communication generally consists of work performance, opinion, grievances or problems of

the employees.

iii. Horizontal Communication:

Horizontal communication is the communication between the two or more persons working

at the same level of authority. Generally different departmental heads discuss the policy of

their department with each other. That will be considered as the horizontal communication.

Discussion between two managers of same rank is also a horizontal communication.

iv. Diagonal Communications:

Diagonal communication is a flow of information between the persons working in different

departments and holding different levels of authority.

Advantages of Formal Communication:

1. The formal communication is very systematic and ensures orderly flow of information.

2. The source of information can easily be located.

3. In formal communication it is easy to fix the responsibilities of different employees as

there is proof for the information.

4. Through formal communication it is easy to exercise control over the work performance of

different employees.

Disadvantages:

1. The information is delayed as generally scalar chain is followed while passing of

information.

2. In formal communication the information is conveyed or passed in impersonal manner.

3. The information may not be transmitted accurately to avoid the unfavourable effect of

communication.



The common networks of formal communication are:

1. Wheel Pattern:

It is the most centralised way of communication. Under wheel pattern all the information

flows from one person only who is generally leader of the group. The other members have no

communication link with each other. It is a common pattern of centralised organisation.

2. Chain Pattern:

Under the chain pattern each person gets the information from one person that is their

immediate boss and passes the information to one person who is their immediate subordinate.

So, every member is attached to one person.

3. Circle Pattern:

In the circle pattern each person communicates with two more persons in a group. The person

may receive or give information to two more persons in the organisation. In this type of

organisation every member participates equally in flow of information. That is why it is more

decentralised.

4. All Source (Channel) Pattern:

Under all channel pattern there is no fixed pattern of communication. All the members in the

organisation are linked to each other and information can flow from anywhere in the

organisation. It is most decentralised organisation.

5. Inverted V:

In this network a subordinate is allowed to communicate with his immediate superior and

also with the superior of his superior. However in latter case only limited communication can

take place.



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2. Informal Communication:

Informal communication between different members of organisation who are not officially

attached to each other is known as informal communication. Generally, the social

interactions, friendly talks and non-official matters are discussed in the informal

communication.

There is no fixed direction or path for the flow of information under informal

communication. The information moves in a very vague, confusing and zig-zag manner. That

is why the network of informal communication is known as Grape Vine.

But the common networks of informal communication are:

1. Gossip:

Under gossip pattern one person tells many ^4 f which means information is with one

member of organisation and he shares the information with many other people in his social

group.

2. Clusters:

Under this pattern or method the information is shared between two persons who trust each

other, then one of the persons from that group passes the information to members of other

group and one person from other group may pass it to another and so on. So, under cluster

method one person tells the information to select other persons.

3. Single Strand:

In single strand pattern each individual communicates to the other in sequence.

4. Probability:

In probability network the individual communicates randomly with other individuals.

Advantages of Informal Communication (benefits from employees’ point of view):

The employees can develop friendly relationship and get social satisfaction.





Through informal communication the matters can be discussed which cannot be

discussed through official channels.

It provides information to all the members cutting across the official channels.

Benefits from management point of view:

The managers can fill up communication gap if there is any through informal

communication.

Informal communication travels very fast. So urgent matters can be communicated

informally.

The managers can get true and accurate response of subordinates on various policy

matters.

Informal communication provides emotional relief to employees and results in reducing

union and management problems.

Disadvantages of Informal Communication:

The information travels in a very unsystematic manner and gets distorted while passing

through various channels.

Informal communication helps in spreading rumors and false facts.

Responsibilities cannot be fixed as the source of information cannot be known.

The confidential information may get leaked under informal communication.

Improving Communication Effectiveness:

All organizations face barriers to effective communication. By using following measures they

can overcome such barriers.

1. Clarify the idea before communication:

In the first place we must be clear about what we want to communicate. The message can be

conveyed properly only if it is clearly formulated in the mind of the communicator. The

message should be encoded in direct and simple language so that the receiver is able to

understand it without much difficulty.

2. Communication according to the need of the receiver:

Whenever we communicate we must keep in mind the needs of the receiver of the message or

it should be our effort to see that whatever message or information we send across must be of

value to receiver. This will make receiver more receptive. Sender must select the words

according to the education level of receiver.

3. Consult others before communicating:

Before communicating the message it is advisable to consult others. Effective communication

is the responsibility of all persons in the organisation as all have to work towards a common

goal. If plans are developed with consultation and involvement of subordinates, they will

accept it with full cooperation.

4. Use of proper language, tone and contents of message:

For an effective communication the words, tone and symbols used in message must be

selected very carefully. The language used should not offend the sentiments of listener. The

symbols used in message must be known to the listener.

5. Proper feedback:

Feedback helps to know the effect or success of communication given by sender.

Communication is complete only when the message is understood by the receiver.



We can never know whether receiver has understood the message or not unless we get the

feedback. Feedback also provides opportunity for suggestions and criticism.

6. Communication for the present as well as for future:

Communication must meet the need of present organisation as well as for future organisation.

There must be consistency in the past, present and future communication.

7. Follow up communication:

There should be proper follow up of the information given by manager to subordinate. This

follow up helps to remove hurdles, misunderstanding of instructions given by manager to

subordinates.

8. Good listener:

The sender must listen to receiver’s words alternatively; on the other hand receiver must also

listen with due attention. Patient and attentive listening solve many problems.

9. Open mind:The parties to communication must have open mind. They should not try to

withhold information for their personal interest. They should not react before receiving and

listening the full message.

10. Completeness of message:

A message is effective only when it is given completely. The receiver should not be left

guessing. It may lead to misunderstanding. A complete message carries all necessary facts

and figures.

“Leadership is the quality of behavior of individuals whereby they guide people or their

activities in organising efforts” — Chester I. Barnard

“Leadership is the ability of a superior to induce subordinates to work with confidence and I

zeal” — Koontz and ‘Donnell

Importance of Leadership:

The following points highlight the importance of leadership:

(i) Effective direction:

An organisation comes into existence with certain objectives. To attain the objectives, the

activities of the organisation must be directed. Direction of the activities is effected through

leadership. In short, effective leadership directs the activities of an organisation towards the

attainment of the specified organisational goals.




(ii) Source of motivation:

Leadership is the motivating power to group efforts. Effective leadership motivates the

subordinates for higher productivity.

(iii) Confidence:

Leadership creates confidence in-the subordinates by giving proper guidance and advice.

(iv) High morale:

Good leadership increases the morale of the employees which, in turn, contributes to higher

productivity.

(v) Development of team spirit:

Effective leadership promotes team-spirit and teamwork which is quite essential for the

success of any organisation.

(vi) Encouraging initiative:

A progressive, forward and democratic minded leader, always encourages initiative on the

part of the followers.

(vii) Overcoming resistance to change:

A leader overcomes resistance, if any on the part of followers to organisational changes;

through explaining to them the utility of such changes to both—the enterprise and the

employees.

Characteristics of Leadership:

1. Leadership is a process of Influence:

Influence is the ability of an individual to change the behaviour, attitude, and belief of

another individual directly or indirectly. Someone has rightly defined leaderships as the

“process of social influence in which one person can enlist the aid and support of others in

the accomplishment of a common task”.

2. Leadership is not one-dimensional:

The Essence of leadership is Followership. Leadership is a systems thinking in multiple

dimensions. In terms of systems thinking, the organizational performers (followers) are must

in the leadership process. Without followers there can be no leadership.

3. Leadership is Multi-faceted:

Leadership is a combination of personality and tangible skills (drive, integrity, self-

confidence, attractive personality, decisiveness, etc), styles (Authoritarian to laissez-faire),

and situational factors (organisation’s internal and external environment, objectives, tasks,

resources, and cultural values of leaders and the followers).

4. Leadership is Goal oriented:

Leadership is “organizing a group of people to achieve a common goal.” Thus, the influence

concerns the goals only. Outside the goals, the concerns are not related to leadership.



5. Leadership is not primarily a Particular Personality Trait:

A trait closely linked to leadership is charisma, but many people who have charisma (for

example, movie actors and sports heroes) are not leaders.

6. Leadership is not primarily a Formal Position:

There have been many great leaders who did not hold high positions—for example, Mahatma

Gandhi, Martin Luther King, Jr. and—and Anna Hazare . On the other hand there are people

who hold high positions but are not leaders.

7. Leadership is not primarily a Set of Important Objectives:

It involves getting things done.

8. Leadership is not primarily a Set of Behaviours:

Many leadership manuals suggest that leadership involves doing things such as delegating

and providing inspiration and vision; but people who are not leaders can do these things, and

some effective leaders don’t do them at all.

Nature and Characteristics of Leadership:

1. Leadership is a personal quality.

2. It exists only with followers. If there are no followers, there is no leadership?

3. It is the willingness of people to follow that makes person a leader.

4. Leadership is a process of influence. A leader must be able to influence the behaviour,

attitude and beliefs of his subordinates.

5. It exists only for the realization of common goals.

6. It involves readiness to accept complete responsibility in all situations.

7. Leadership is the function of stimulating the followers to strive willingly to attain

organizational objectives.

8. Leadership styles do change under different circumstances.

9. Leadership is neither bossism nor synonymous with management.

Some of the qualities of a good leader are as follows:

1. Good personality.

2. Emotional stability.

3. Sound education and professional competence.



4. Initiatives and creative thinking.

5. Sense of purpose and responsibility.

6. Ability to guide and teach.

7. Good understanding and sound judgment.

8. Communicating skill.

9. Sociable.

10. Objective and flexible approach.

11. Honesty and integrity of character.

12. Self confidence, diligence and industry.

13. Courage to accept responsibility

Human Relations:

Concept:

Human relations are the study of the ways in which people relate to each other in group

situations, especially work, and how communication skills and sensitivity to other people’s

feelings can be improved.

According to Keith Davis ‘human relations deals with motivating people in organizations to

develop teamwork which effectively fulfills their objectives and achieves organizational

objectives’.

In the words of Scott, ‘human relations is a process of an effective motivation of individuals

in a given situation in order to achieve a balance of objectives which will yield greater human

satisfaction and help accomplish company goals’.

The human relations movement presents a counterpoint to the scientific management view

that focuses on maximizing the productivity and income of individual manual workers, and

on the separation of mental and physical work between management and workers. In contrast,

supporters of the human relations movement believe that workers want to feel a part of the

team with socially supportive relationships and to grow and develop.

Nature of Human Relations:

Human relations can be defined as the cordial atmosphere in an organization in which people

practice the art of living in such a way that they communicate, act, interact and transact in a

cordial manner, recognizing each other’s needs, views, values and temperaments so that

every interaction and transaction taking place in an organization would have concern for each



other’s interests and feelings, leading to better motivation and morale of people at all levels in

the organization.

The main characteristics of human relations are as follows:

1. Human relations are an important process through which an individual’s attitude and work

are integrated with a view to achieving a willing cooperation on their part in the achievement

of the interests of an organization as a whole.

2. Members of the organization contribute their bit to get individual and group satisfaction.

3. The satisfaction desired by employees may be economic, social and psychological.

4. Human relations in an organization are a process of improving motivation by proper

working condition, training programmes, timely payment of wages and incentives etc.

5. Human relations are an integrated approach derived from different disciplines such as

psychology, sociology, economics and management.

6. Human relations are all pervasive; they are required in business and non-business

organizations, small and large organizations, and at all levels.

7. Human relations are a continuous activity.

8. Human relations are a goal-oriented and focused approach.

Factors Affecting Human Relations:

individual

work group,

leader, and

work environment.

Individual:

The individual is an important part of the organization and each individual is unique. While

motivating the employees, management should give due consideration to their economic,

social and psychological needs.

Work Group:

The work group is the centre of focus of human relations approach. It has an important role in

determining the attitudes and performance of individual workers.

Work Environment:

It is important to create a positive work environment where organizational goals are achieved

through satisfaction of employees. In general, when employees’ needs are satisfied, the work

environment is termed positive.

Leader:



The leader must ensure complete and effective utilization of all organizational resources to

achieve organizational goals. They must be able to adjust to various personalities and

situations.

Analysis of Transactions:

A transaction is a basic unit of social interaction. The heart of transactional analysis is the

study and diagramming of the exchanges between two persons. Thus, where a verbal or non

verbal stimulus from one person is being responded by another person, a transaction occurs.

T.A. can help us to determine which ego state is most heavily influencing our behaviour and

the behaviour of the other people with whom we interact.

Complementary transactions

Crossed transaction

Ulterior transactions.

(I) Complementary Transactions:

Complementary transactions are those where the ego states of the sender and the receiver in

the opening transaction are simply reversed in the response. In these transactions stimulus

and response patterns from one ego state to another are parallel. The message by one person

gets the predicted response from the other person. There can be nine complementary

transactions:

1. Adult-Adult Transactions:

In these transactions, the manager and his subordinate interact with each other from adult-

adult ego. This is an ideal transaction. Complementary transactions in these ego states are

psychologically mature and effective because both the boss and the subordinate are acting in

a rational manner. Both are attempting to concentrate on problems, developing alternatives

and trying to choose the best possible alternative to solve the problem.

Adult-Adult transaction is presented in the following figure:

However, there are some inherent problems in this transaction. At times, these transactions

may prevent reaching any decisions because of rational data processing procedure and a

deadline may emerge. Moreover, the absence of child ego state may make the transactions

dull due to the lack of stimulation a child can provide. In such situations, the boss may move




to the parent ego state to take a decision to solve the problems. In-spite of these problems,

this type of transaction is generally considered best from the organisational point of view.

2. Adult-Parent Transaction:

In adult parent transaction, the manager has the adult ego and he attempts to use the

information he himself has processed. On the other hand, the subordinate has the parent ego

and he prefers to use the clicks and rules of the past. The employee’s parent ego tries to

control and dominate the boss. This type of transaction can be effective only on a temporary

basis and it can help a new manager in understanding the rules and guidelines under which

his subordinate operates.

The following figure presents the Adult-parent transaction:

There can be a lot of problems in this type of transactions. In the long run the employee with

the parent ego may have hostile feelings towards the managers with adult ego. Such problems

can be further aggravated if the other employees working in the organisation have child ego

and they are under the influence of the employee with the parent ego. As he may be having

better interaction with the employees with child ego, the employee with the parent ego can

come into direct conflict with the manager with adult ego.

3. Adult-Child Transaction:

An adult child transaction occurs when the manager has an adult ego but the

subordinate has a child ego as shown in the following figure:

Such a transaction can be effective only if the manager is aware of the child ego state of the

employee. Further, he must be aware that what type of child ego state the employees is in. If

the subordinate has the little professor style child ego, the manager can allow the employee to





be creative. But the problems in this interaction may arise if the employee behaves

irrationally because of his child ego. Another problem may arise if the manager assumes the

employee to be in adult ego, whereas he is in child ego. This may create frustration both for

the manager and his subordinate.

4. Parent-Parent Transaction:

If the manager has got a parent ego, he will be characterised by admonitions, rewards, rules

criticisms and praise depending upon whether he has a nurturing or a critical parent ego. As,

on the other hand, the subordinate has also got a parent ego, this transaction can be effective

only if the subordinate joins hands with the manager and supports him.

Such a transaction can lead to some problems also. There will be unnecessary competition

between manager and the subordinate. The manager will want to enforce his own ideas,

whereas the employee will like to promote his own ideas rather than that of the manager.

5. Parent -Adult Transaction:

In such type of transaction, the boss has got a parent ego whereas the subordinate has got an

adult ego as shown in the following figure:

Such a relationship may not last for a long period because they will be frustration on both the

sides. The manager will feel frustrated because the employee will not act as directed. The

employer will feel frustrated because of the manager’s failure to act as an adult.

6. Parent-Child Transactions:

The parent-child transaction is considered the ideal situation. The manager will be satisfied

because he can dictate his own terms. The employee will be satisfied because he will escape

from responsibility and pressure. The child ego in the subordinate presents much conflict and

there will be chances of smooth working in the organisation.





In the long run, this transaction will not be advantageous. The manager will start having the

feeling that the employee is not capable of doing anything on his own. The employee will

start becoming frustrated because he may feel that his personality is not developed and this

interaction has made him surrender his adult ego.

7. Child-Parent Transaction:

This is not a very effective style of transaction. The manager with the child ego may be

creative, but the role of the manager goes beyond creativity. In the child-parent transaction,

there is a reversal of roles and the employee controls the manager. As the parent ego is strong

and overbearing, the manager will yield to the employee. The manager will always perceive

the employee as a threat because in his mind there will always be a fear of ridicule, loss of

popularity and even of demotion.

8. Child-Adult Transaction:

When the manager has a child ego and the employee has an adult ego, the adult employee

will control the child manager.






The child ego in the manager will discourage the employees, particularly, when decisions are

made by the manager on the basis of his whims, fancies and emotions. This will pose

problems for the adult employees who want to interact on the basis of their rationality. The

organisation may lose many good employees particularly those who want to act on the basis

of their rationality but their managers have got a child ego.

9. Child-Child Transaction:

When the manager has got a child ego and the employees have also got a child ego, the

transaction will not be long lasting. The manager in such a transaction will not be able to lead

the employees successfully and will prove to be a liability to the organisation. Because of

their child egos, both the employees and the manager will act on their whims and fancies. It

will jeopardies the performance of the organisation. Whenever there is a review of the

situation by the management, steps will be taken to change this situation.

From the above discussion it is clear that all the complementary transactions are not ideal for

the organisation or for the people concerned. Adult-Adult transactions are good from the

organisational and people’s point of view. In some circumstances, parent-child

complementary transactions may also prove to be good.

(II) Crossed Transactions:

A crossed or non-complementary transaction is one in which the sender sends a message or

exhibits a behaviour on the basis of his ego state, but this message or behaviour is reacted to

by an un-compatible and unexpected ego state on the part of the receiver. Such transactions

occur when the stimulus and response are not parallel.





In this case, the manager tries to deal with the employee on adult to adult basis, but the

employee responds on child to parent basis and the communication is blocked. Crossed

transactions should be avoided as far as possible. Whenever such transactions occur,

communication tends to be blocked and a satisfactory transaction is not accomplished.

Conflicts often follow soon afterwards. The conflicts may cause hurt feelings and frustration

on the part of the parties involved and possible dysfunctional accomplishments for the

organisation.

(III) Ulterior Transaction:

Ulterior transactions are the most complex because unlike complementary and crossed

transactions, they always involve more than two ego states and the communication has

double meaning. An ulterior transaction occurs when a person appears to be sending one type

of message but is secretly sending another message. Thus, the real message is often disguised

in a socially acceptable way. On the surface level, the communication has a clear adult

language, whereas on the psychological level it carries a hidden message. Just like crossed

transactions, ulterior transactions are also undesirable.

Script Analysis:

In a layman’s view, a script is the text of a play, motion picture or radio or TV programme. In

TA, a person’s life is compared to a play and the script is the text of that play. As

Shakespeare said, “All the world is a stage. And all the men and women merely players. They

have their exits and their entrances. Each man in his time plays many parts.”

A person’s psychological script is a life plan, a drama he or she writes and then feels

compelled to live out. These plans may be positive, negative or circular-endless repetition

headed nowhere. According to Eric Berne, “A script is an ongoing programme, developed in

early childhood under parental influence which directs the individual behaviour in the most

important aspect of his life.” “A script is a complete plan of living, offering both structures,

structure of conjunctions, prescriptions and permissions and structure which makes one

winner or loser in life.”

Thus, every person has a script. A person’s script may resemble a soap opera, a wild

adventure, a tragedy, a sage, a farce, a romance, a joyful comedy or a dull play that bores the

players and would put an audience to sleep. According to Jongeward, “Life script resembles

the script of drama-characters, dialogues, actions and scenes, themes and plays, culmination

towards a climax and ends in final curtain. She also uses the concept of a person’s two stages

for action-the public stage and the private stage.”

McClelland produces a scientific study of life script of people who have studied the

relationship between stories heard and read by children and their motives in living. His

researches have shown that achievers’ scripts are based on the success stories whereas the

scripts of power oriented persons are based on stories of risk.

Every person in his life time plays three basic roles which are called as the prosecutor, the

rescuer and the victim. These roles can further be classified as legitimate and illegitimate.



Legitimate Roles:

These roles are realistically appropriate to the situation. Some legitimate roles are:

A Prosecutor:

Someone who sets necessary limits on behaviour or is charged with enforcing a rule.

A Victim:

Someone who qualifies for a job but is denied the job because of race, sex or religion.

A Rescuer:

Someone who helps a person who is functioning inadequately to become rehabilitated and

self reliant.

Analysis of Life Positions:

In the process of growing up, people make basic assumptions about their own self worth as

well as about the worth of significant people in their environment. These assumptions tend to

remain with the person for life, unless major experiences occur to change them. Harris called

the combination of assumptions about self and the other person, a LIFE POSITION.

(i) I am OK, you are OK

(ii) I am OK, you are not OK

(iii) I am not OK, you are OK

(iv) I am not OK, you are not OK.

These life positions can be shown with the help of the following figure also.

1. I am OK-You are OK:

This is a rationally chosen and mentally healthy position. It appears to be an ideal life

position. People with this type of life position have confidence in themselves as well as trust

and confidence in others. They accept the significance of other people and feel that life is

worth living. The people who have this position behave from adult, nurturing parent and

happy child ego state.

When managers have this type of position, they have complete confidence and trust in their

subordinates. They display a very high level of mutual give and take. They delegate authority

throughout the organisation. These managers encourage free flow of communication not only




up and down the hierarchy but among the peers also. In short, people with these feelings have

positive outlooks on life. They seem to be happy-active people who succeed in whatever they

do.

2. I am OK-You are not OK:

This is a distrustful psychological position. This position is taken by people who feel

victimized or prosecuted. They blame others for their miseries. This is the attitude of those

people, who think that whatever they do is correct. Such behaviour is the outcome of a

situation in which the child was seriously neglected and ignored by his parents in his

childhood. Criminals often have this position, based on rebellious child ego, which in

extreme cases may lead to homicide also. In his life position, people operate from critical

Parent Ego.

3. I am not OK-You are OK:

This is a common position for those people who feel powerless when they compare

themselves to others. People with this position always feel themselves at the mercy of others

and grumble for one thing or the other. They have a tendency to withdraw, experience

depression and in extreme cases become suicidal. People who have this position operate from

child ego state.

4. I am not OK-You are not OK:

People in this position tend to feel bad about themselves and see the whole world as

miserable. These people tend to give up. They do not trust others and have no confidence in

themselves. This is a desperate life position. In extreme cases these people commit suicide or

homicide. This is the case of individuals who were seriously neglected by their parents in

their childhood and were brought up by servants. At times, persons with this life position

begin to use intoxicated drugs.

One of the above four life positions dominates each person’s life. The desirable position and

the one that involves the greatest likelihood of adult to adult transaction is “I am OK-you are

OK”. It shows healthy acceptance of self and others. The other three life positions are less

mature and less effective. However, regardless of one’s present life position, the “I am OK-

you are OK” position can be learnt. If all the people in the society operate from this life

position, there will be hope for improved interpersonal transactions.

Stroking:

Stroking is an important aspect of transactional analysis. The term stroke refers to “giving

some kind of recognition to the other.” Strokes are exchanged whenever two persons interact

with each other. The word stroking originated from the studies of the needs that babies have

for physical affection for complete psychological development. As we grow from infancy

into childhood and adulthood, we do not entirely lose our need for stroking. A part of original

need for physical stroking seems to be satisfied with symbolic stroking like verbal

recognition and eye contact between persons.



Jongeward and Seyer observe that “People need strokes for their sense of survival and well

being on the job.” Lack of stroking can have negative consequences both on physiological

and psychological well being of a person.

In-fact, strokes are a basic unit of motivation because:

The quantity and quality of strokes serves as either positive or negative motivation for

employees.

A good share of satisfaction we get from work depends on the strokes available from

other people.

We can get strokes from the activities of the work itself, especially if what we are

doing really fits and we can take responsibility for it.

There are three types of strokes:

1. Positive Strokes:

The stroke that makes one feel good is a positive stroke. Recognition, approval, pats on the

back are some of the examples of positive strokes. For positive results on the jobs, it is

crucial to give positive strokes to people.

2. Negative Strokes:

A stroke that makes one feel bad or not good is a negative stroke. Negative strokes hurt

physically or psychologically. Hating, criticing and scolding are some of the examples of

negative strokes.

3. Mixed Strokes:

A stroke may be of a mixed type also. An example of combination of positive and negative

strokes may be the boss’s comment to a worker “you did an excellent job in-spite your

limited experience.” Excellent job is a positive stroke and lack of experience is a negative

stroke.

A psychological game is a set of transactions with three characteristics:

The transaction tends to be repeated.

They make sense on superficial or social level.

One or more of the transactions is ulterior.

The set of transactions end with a predictable payoff-a negative feeling. This negative feeling

generally reinforces a decision made in childhood about oneself or about others. They reflect

feelings of non-oneness. Psychological games prevent people and organisations to become

winners.



1. To get Strokes:

Every person wants to have positive strokes on the jobs. When they are not in a position to

get these strokes from the others, they try to play psychological games to satisfy their need

for strokes.

2. To Strengthen Life Positions:

Games are generally played to strengthen life position which the people hold. If people hold

non. OK positions, they try to emphasise it through the games. Sometimes, a person acts like

a loser in order to win the game. For example, in a game of KICK ME a player provokes

someone else to a putdown response.

3. To Avoid or Control Intimacy:

Some people are afraid of openness, accountability and responsibility in relationships. Such

people generally play games to avoid or control intimacy, because games generally put

distance between people.

Benefits and Utility of TA:

Transactional analysis is an approach towards understanding human behaviour. It is

particularly useful in studying interpersonal relationships.

The understanding of TA can help us in the following ways:

1. Improved Interpersonal Communication:

With the help of TA people can understand their own personalities. It can help them

understand why people sometimes respond as they do. With the help of TA, a manager can

understand when a cross communication occurs and he can immediately take steps to convert

into complementary communication. As a result there will be improvement in interpersonal

communication.

2. Source of Psychic Energy:

The purpose of TA is to bring positive approach towards life and hence positive actions. A

clear change can be brought from negative feelings to positive feelings. Such a change from

negative attitude to positive attitude is a source of psychic energy. Thus, the application of

TA can enhance the trust and credibility felt towards the organisations which are essential for

good employee relations.

3. Understanding the Egostates:

With the help of TA, managers will be able to identify the ego states from which both parties

are interacting. A better understanding of themselves and of other people will make them

more comfortable, confident and effective. The improved interpersonal relations will make

the organisation more effective. This will lead to self-development of individuals also.

4. Motivation:

TA helps in changing the managerial styles more suitable to the emergent situation. TA can

be applied very successfully in motivation where it will help in satisfying human needs



through complementary transactions and positive strokes. If the manager emphasises adult-

adult interaction with life position “I am OK, you are OK, it will be motivating for employees

and beneficial to the organisation as a whole.”

5. Organisational Development:

TA can help in organisational development process.

The role of TA in six areas of organisation development:

To maintain adult transactions

To give an OK to the natural child

To identify and untangle quickly crossed transactions

To minimize destructive game playing

To maximize encounters.

To develop supportive systems, policies and work environment.

TA is used in business and industry as a way to increase the capability of the executives to

cope with problems and deal more sensibly with people. Besides the major area, TA can be

utilized anywhere the people come to interact.

Features of "Transactional Analysis"

· what is meant by an "Ego State"

· how we can respond to others from 6 different ego states

· what is meant by the Nurturing Parent

· the errors of the Critical Parent

· the 3 kinds of Child in us

· why the Natural Child is often the most assertive and honest state

· how to create predominantly successful transactions with others.

UNIT 4

GROUP DYNSMICS:

Meaning:

The word dynamics means ‘force’. Group dynamics means the study of forces within a

group. Since human beings have an innate desire for belonging to a group, group dynamism



is bound to occur. In an organization or in a society, we can see groups, small or large,

working for the well-being.

The social process by which people interact with each other in small groups can be called

group dynamism. A group has certain common objectives and goals and members are bound

together with certain values and culture.

In organizational development, group dynamics refers to the understanding of behaviour of

people in groups that are trying to solve a problem or making a decision. A good manager can

act as a facilitator and assist the group in accompanying its objectives and arrive at correct

decisions.

IMPORTANCE OF GROUP DYNAMISM:

1. The group can influence the thinking of its members. The members are always influenced

by the interactions of other members in the group.

2. A group with a good leader performs better as compared to a group with weak leader.

3. The group can give the effect of synergy, that is, if the group consists of positive thinkers

then its output is more than the double every time.

4. Group dynamism can give job satisfaction to the members.

5. The group can also bring team spirit among the members.

6. Even the attitude, perceptions, and ideas of members depend on group dynamism. For

example, the negative thinkers can be converted to positive thinkers with the help of the

facilitator.

7. If the group works as a cohesive group, the cooperation and convergence can result in

maximization of productivity.

8. Lastly, group dynamism can reduce the labour unrest and labour turnover due to emotional

attachment among the group members.

TYPES OF GROUPS:

There are two types of groups in every organization:

Formal groups and Informal groups

1. Formal Groups:

An organization creates and maintains formal groups to fulfill needs or tasks that are included

in its mission or organizational goals. In order to achieve its ultimate goal, an organization

creates sub-goals which it assigns to different units or departments. These formal groups

created by the organization itself are regulated by the organizational rules and regulations.



Life of the formal groups may be permanent or temporary depending upon the specific

objectives to be fulfilled. Examples of permanent formal groups are board of directors,

managing committees etc. and temporary formal groups are exemplified by task force or

temporary committees created to fulfill certain specified objectives.

2. Informal Groups:

Informal groups are created voluntarily and spontaneously due to the socio- psychological

forces operating in the workplace. Individuals working together often develop liking for each

other and socialize with each other to overcome the psychological fatigue, boredom and

monotony associated with their work.

Informal groups are formed as they satisfy the social needs of individuals while at work. As

they are not created by the organization, the working of informal groups is not regulated by

organizational rules and regulations.

Meaning of Role:

The position or the situation that a person occupies in society is called status. As a result of

that status and position he is expected to discharge certain functions. These functions are

known as roles. In life, we have a great variety of roles – father, mother, businessman, shop

assistant, consumer, bus-driver, teacher, voter, and politician and so on. These roles are an

integral part of group behaviour.

“According to Linton. The term role is used to designate the sum total of the cultural pattern

associated with a particular status. It thus includes attitude, values and behaviour ascribed by

the society to any and all person occupying this status…. In so far as it represents overt

behaviour and a role has the dynamic aspect of the status: what is the individual has to do in

order to validate the occupation of the status.”

Characteristics of the Role:

1. Action Aspect of Status:

The role is in fact the action aspect of status. In involves various types of actions that a

person has to perform in accordance with the expectations of the society. These actions are



dependent not on the individual’s will but on the social sanction. That is why it is said that

every social role has a cultural basis.

2. Changing Concept of Role:

Social roles as already stated, are in accordance with the social values, ideals, patterns etc.

These ideals, values and objects change and so the concept of the role also changes. The role

which is justified at a particular time may not be justified at some other time.

3. Limited Field of Operation:

Every role has a limited area of operation and the role has to be confined within that. For

example an officer has a role to play in the office but when he reaches his family, that role

ceases.

4. Roles are not Performed 100% for the Fulfillment of the Expectations:

It is not possible for anyone to perform his role fully in accordance with the expectations of

the society. There is bound to be some distinctions. For example one may not be able to

perform his role to the full satisfaction of the children.

5. Difference in the Importance of Role:

From the socio-cultural point of view all the roles are not equally important. Some of the

roles are more important while the others are less. The, roles that are most important are

called key roles while the roles that are of general importance, are called general roles.

Role Conflict:

Role conflict is the psychological stress created when persons do not filter roles (personal

role-conflict), when relevant others disagree with the individual about his or her role (intra

role-conflict), or when several different roles make mutually exclusive demands on an

individual (intra role conflict).

Role Conflict is a social-psychological concept used to investigate and explain individual’s

experiences of competing or conflicting demands.

A social group, as already observed, carries on its life smoothly and harmoniously to the

extent that roles are clearly assigned and each member accepts and fulfills the assigned role

according to expectations.

In actual practice, however, we find that there is doubt or disagreement as to what behaviour

is expected in a given role and sometimes an individual resents the role assigned to him and

fails to live up-to the expectations. Consequently, there is much of group tension and conflict.

In a simple culturally homogeneous and relatively stationary society, there may be

comparatively less role conflicts. But in a complex and heterogeneous social system as ours

the role conflicts have increased leading to more and more group tensions.



MORALE

Meaning:

“Morale” a French word means “condition with respect to discipline and confidence pride,

fixing of purpose, faith in the course fought for”.

It has been defined in many ways but all definitions revolve around the attitude towards work

for the accomplishment of organizational goals. Thus morale is intimately connected with

organization. If the morale of employees/ workers is high, not only the production/ output is

increased and maintained but the workers feel satisfied and contented.

MORALE OF EMPLOYEES

(i) Willing cooperation towards goals of the organization.

(ii) Loyalty to the organization and its leadership.

(iii) Good discipline or voluntary conformance to rules and regulations.

(iv) High degree of employee’s interest in his work and organization.

(v) Pride in the organization.

(vi) Reduction of rates of absenteeism and labour turnover.

Low morale represents the presence of mental unrest. The mental unrest not only restricts

production but also leads to ill health of the employees. Low morale exists when doubt and

suspicion are common and when employees are depressed and discouraged i.e. there is a lot

of mental tension.

(i) High rates of absenteeism and labour turnover.

(ii) Much complaints and grievances.

(iii) Frustration among the employees.

(iv) Friction among the employees.

(v) Feeling of opposition towards leadership to the organization.



(vi) Lack of discipline.

“It can be created only by introducing into the work situation certain conditions which are

favourable to its development. High morale is not the cause of good human relations. High

morale is the result of good human relations; it is the result of good motivation, respect and

dignity of the individual, relation of the individual difference, good leadership, effective

communication, participation, counseling and many other human relation practices”.

IMPORTANCE OF MORALE

Management always pursue the employees to keep their morale high because :

(i) Production and productivity are directly affected by high morale.

(ii) It promotes good feelings about the policies, practices, of the organization. Morale is

one of the important factors, in success or failure of the industry.

(iii) Several labour problems like absenteeism, turnover, indiscipline, etc., are overcome

without much difficulty.

MORALE AND MOTIVATION OBJECTIVES

• Meaning and importance of morale

• Relationship between morale and productivity

• Methods of measurement of employee morale

• Distinguish between morale and motivation

• Steps in motivation

• Ways of motivating the employees

• Major theories of motivation.

Professor Ralph C. Davis says about morale, "Good organizational morale is a condition in

which individuals and groups voluntarily make a reasonable subordination of their personnel

objectives of their organization."

Another theory of morale comes from B. Flippo morale is, "a mental condition or attitude

of individuals and groups which determines their willingness to cooperate. Good morale is

evidenced by employee enthusiasm, voluntary conformance with regulations and orders and a

willingness to cooperate with others in the accomplishment of an organization's objectives.

Poor morale is evinced by surliness, insubordination, a feeling of discouragement and dislike

of the job, company and associates."



CHARACTERISTICS OF MORALE

• Morale is a state of mind.

• Morale is a relative term it may be high or low.

• Morale is intangible.

• It is the aggregate of attitudes, feelings, emotions, sentiments etc.

• Morale influences human behavior and performance.

IMPORTANCE OF MORALE

Morale is a state of mind or willingness to work which in turn affects individual and

organizational objectives. The importance of morale are:

• Higher performance.

• Better quality of work.

• Low absenteeism.

• Good discipline.

• Fewer industrial accidents.

• Stability and growth of the organization.

There are some scales on which we can measure employee's Morale:

• The supervisor/executive's impressions

• The guided interview

• The unguided interview

• A combination of the guided and unguided interview

• An analysis of company records

Meaning of Conflict:

Conflict can be defined in many ways and can be considered as an expression of hostility,

negative attitudes, antagonism, aggression, rivalry and misunderstanding. It is also associated

with situations that involve contradictory or irreconcilable interests between two opposing

groups.



“A simple definition of conflict is that it is any tension which is experienced when one person

perceives that one’s needs or desires are or are likely to be thwarted or frustrated.” Follett

simply defines conflict as, “the appearance of difference, difference of opinions, of interests.”

According to David L. Austin, “It can be defined as a disagreement between two or more

individuals or groups, with each individual or group trying to gain acceptance of its view or

objectives over others.”

FEATURES OF CONFLICT:

1. Conflict occurs when individuals are not able to choose among the available alternative

courses of action.

2. Conflict between two individuals implies that they have conflicting perceptions, values and

goals.

3. Conflict is a dynamic process as it indicates a series of events. Each conflict is made up of

a series of interlocking conflict episodes.

4. Conflict must be perceived by the parties to it. If no one is aware of a conflict, then it is

generally agreed that no conflict exists.

FUNCTIONAL CONFLICTS:

1. Release of Tension:

Conflict when expressed can clear the air and reduce the tension which might otherwise

remain suppressed. Suppression of tension can lead to imaginative distortion of truth, sense

of frustration and tension, high mental exaggerations and baised opinions resulting in fear and

distrust.

2. Analytical Thinking:

When a group is faced with a conflict, the members display analytical thinking in identifying

various alternatives. The conflicts may induce challenge to such views, opinions, rules,

policies, goals and plans which would require a critical analysis in order to justify these as

they are or make such changes that may be required.

3. Group Cohesiveness:

Inter group conflict brings about closeness and solidarity among the group members. It

develops group loyalty and greater sense of group identity in order to compete with the

outsiders. This increases the degree of group cohesiveness which can be utilized by the

management for the attainment of organisational goals in an effective manner.

4. Competition:

Conflicts promote competition and hence it results in increased efforts. Some persons are

highly motivated by conflict and severe competition. Such conflict and competition, thus,

lead to high level of effort and output.



5. Challenge:

Conflicts test the abilities and capacities of the individuals and groups. It creates challenges

for them for which they have to be dynamic and creative. If they are able to overcome the

challenge, it will lead to search for alternatives to existing patterns which leads to

organisational change and development.

6. Stimulation for Change:

Sometimes, conflict stimulates change among the people. When they are faced with a

conflict, they might change their attitudes and be ready to change themselves to meet the

requirements of the situation.

7. Identification of Weaknesses:

When a conflict arises, it may help in identifying the weaknesses in the system. Once the

management comes to know about the weaknesses, if can always take the steps to remove

them.

8. Awareness:

Conflict creates awareness of what problems exist, who is involved and how to solve the

problem. Taking cue from this, management can take the necessary action.

9. High Quality Decisions:

When conflicting, persons express their opposing views and perspectives, high quality

decisions result. The people share their information and check each other reasoning to

develop new decisions.

10. Enjoyment:

Conflict adds to the fun of working with others when not taken seriously. Many people find

conflict enjoyable to competitive sports, games, movies, plays and books.

Characteristics of Conflict:

1. Conflict is a Process:

Conflict occurs in ‘layers’. First layer is always misunderstanding. The other layers are

differences of values, differences of viewpoint, differences of interest, and interpersonal

differences. It is also called a process because it begins with one party perceiving the other to

oppose or negatively affect its interests and ends with competing, collaborating,

compromising or avoiding.

2. Conflict is Inevitable:

Conflict exists everywhere. No two persons are the same. Hence they may have individual

differences. And the differences may be because of values or otherwise, lead to conflict.

Although inevitable, conflict can be minimized, diverted and/or resolved. Conflict develops

because we are dealing with people’s lives, jobs, children, pride, self-concept, ego and sense

of mission. Conflict is inevitable and often good, for example, good teams always go through

a “form, storm, norm and perform” period.



3. Conflict is a Normal Part of Life:

Individuals, groups, and organisations have unlimited needs and different values but limited

resources. Thus, this incompatibility is bound to lead to conflicts. The conflict is not a

problem, but if it is poorly managed then it becomes a problem.

4. Perception:

It must be perceived by the parties to it, otherwise it does not exist. In interpersonal

interaction, perception is more important than reality. What we perceive and think affects our

behaviour, attitudes, and communication.

5. Opposition:

One party to the conflict must be perceiving or doing something the other party does not like

or want.

6. Interdependence and Interaction:

There must be some kind of real or perceived interdependence. Without interdependence

there can be no interaction. Conflict occurs only when some kind of interaction takes place.

7. Everyone is inflicted with Conflict:

Conflict may occur within an individual, between two or more individuals, groups or between

organisations.

8. Conflict is not Unidimensional:

It comes into different ways in accordance with degree of seriousness and capacity. At times,

it may improve even a difficult situation.

TYPES OF GROUPS IN AN ORGANISATION:



1. Formal Groups:

By formal groups, we mean those groups defined by the organization’s structure, with

designated work assignments and establishing tasks. In formal groups, the behaviours that

one should engage in are stipulated by and directed towards organisational goals.

The features of formal groups are as follows:

(i) Formal groups are part of the organisational structure.

(ii) These are created deliberately and consciously by the management to perform the

assigned duties.

(iii) The pattern of communication is also defined and the rules are laid down to regulate the

behaviour of group members.

(iv) These groups may be either permanent in the form of top management team such as

Board of Directors or staff groups providing specialized services to the organisation and so

on; or these formal groups may be constituted on temporary basis for fulfilling certain

specified objectives.

Formal Groups

(i) Command Groups:

The command group is the most frequent type of formal group. It is relatively permanent and

is specified by the organisation chart. It comprises of managers or supervisors and

subordinates, who meet regularly to discuss general and specific ideas to improve product or

service. In business organisations, most employees work in such command groups.

COMMAND GROUPS:

Thus, a manager and his supervisors reporting to him form one command group. The

supervisor and the subordinates reporting to him from other command groups.

(ii) Task Forces:

Task groups are also organisationally determined. But it is a temporary group representing

the employees who are working together to complete a job task or particular project.

However, a task group’s boundaries are not limited to its immediate hierarchical superior.




(iii) Committees:

The committees are also set up for some special projects. These can be permanent such as

planning committee or a budget committee and may become an integral part of the

organisational structure. A committee can also be temporary such as a special task force

which is set up for a particular purpose and is disbanded when the purpose is achieved.

2. Informal Groups:

Informal groups are alliances that are neither formally structured nor organisationally

determined. These groups are natural formations in the work response to the common

interests of the organisation members such as self defense, work assistance and social

interaction.

The features of these groups are as follows:

(i) The informal groups are formed by the members of such groups by themselves rather than

by the management.

(ii) These groups arise spontaneously in the organisation because of social interaction

between the people.

(iii) These are based on common interests, language, taste, caste, religion, background etc.

(iv)These groups exist outside the formal authorities system and without any set rigid rules.

(v) Though officially unrecognized, these groups exist in the shadow of the formal structure

as a network of personal and social relations which must be understood and respected by the

management.

(vi)These groups have their own structure, with their own leaders, and followers, group goals,

social roles and working patterns. They have their own unwritten rules and a code of conduct

which every member accepts implicitly. Members trust and respect each other.

(vii) The informal groups are more flexible than the formal groups. Rules and procedures

being unwritten, they can change from situation to situation.

(viii) Since these groups concentrate on the personal contact between the members, they

represent the human side of enterprise as compared to technical side represented by the

formal groups.

INFORMAL ORGANISATIONS

(i) Interest and Friendship Groups:

People who may or may not be aligned into common command or task groups may affiliate

to attain a specific objective with which each is concerned. This is called an interest group. A

friendship group includes close friends or relations.



(ii) Cliques:

Another type of informal groups is called cliques. These groups consist of colleagues or those

who commonly associate with each other and observe certain social norms and standards, but

the number of members tends to be smaller, and only rarely exceeds five or six.

M. Dalton has identified three types of cliques:

(a) Vertical Clique:

This group consists of people working in the same department drawing membership

regardless of ranks. In this case, the superior may be a member in the group consisting mainly

of subordinates. Such groups which cut across hierarchical lines develop because of the

earlier acquaintance of people or because the superior is dependent upon the subordinates for

some formal purposes like filling gaps in his abilities.

(b) Horizontal Clique:

This group consists of people of more or less the same rank and working more or less in the

same area. Members are able to find some points of commonness and keeping the objectives

in mind, come together. This is the commonest type of informal group.

(c) Random or Mixed Clique:

This group draws members from different ranks, departments and physical locations. Again,

people having some similarities come together for a common purpose. The members may be

residing in the same locality, travelling by the same bus or may be members of the same club.

(iii) Sub-Cliques:

This group consists of some members of a clique inside the organisation forming a group

along with persons outside the organisation. The members of the cliques give these outsiders

due recognition because of some members of their group being associated with them. Such

groups are regarded as partially external to the organisation.

(iv) Sayles’ Classification of Group:

(a) Apathetic Groups:

This group is characterised by relatively few grievances and it hardly ever uses pressure

tactics. In the group, no one ever emerged as an acceptable leader and therefore, there is lack

of clearly defined leadership. These groups are composed of relatively low paid and low

skilled assembly line workers who lack unity and power and hardly ever use pressure tactics.

Such groups are generally indifferent to formal organisations.

(b) Erratic Groups:

Members in the erratic groups are easily inflamed and easily pacified. There is lack of

consistency in their behaviour. Sometimes they show antagonism towards the management

while on other occasions, they may be cooperative. In such a group, any active member could

assume the reins of the group and become the leader. These groups are composed of semi-



skilled workers who work together in performing jobs that require some interaction. They

display considerable unity, but it is very difficult to predict their behaviour.

(c) Strategic Groups:

The members of such group are able to prepare a strategy for putting pressure on other groups

and the management. Members of such groups are generally performing technologically

independent jobs and are comparatively better placed than members of earlier categories. It is

difficult to apply exact time standards for judging their performance as their jobs are of such

a nature that personal judgment matters. These people are highly united and actively

participate in union activity. These people maintain a relatively consistent antagonism.

(d) Conservative Groups:

These groups are composed of professionals and highly skilled employees in the plant. They

are found at higher levels of the organisation and display considerable self confidence. They

work on their own and the nature of their jobs is such that they can shut down the plant if

they so desire. These people are found to be very strong and very stable among informal

groups.

Such groups exercise restrained pressure for highly specified objectives and display moderate

internal unity and self assurance. In terms of union activities there are Activity-Inactivity

Cycles. They are cooperatively oriented most of the times. They adopt antagonistic attitude

towards management only when highly specific goals are sought by group members acting

together.

The relationship between formal and informal groups is mutually reinforcing and competing.

Informal groups can assist formal groups in solving a complex problem.

UNIT- 5

Meaning of Effective Teams:

Although the term “team” is frequently used for any group, but groups and teams are not the

same things. “A work group is a number of persons usually reporting to a common superior

and having some face to face interaction, who have some degree of inter dependence in

carrying out tasks for the purpose of achieving organisational goals.”

According to Jon Katzenbach and Douglas Smith, “A team is a small number of people with

complementary skills who are committed to a common purpose, set of performance goals and

approach for which they hold themselves mutually accountable.”

CHARACTERISTICS OF EFFECTIVE TEAMS:

Rensis Likert and Douglas McGregor, were among the early writers who directed attention to

the importance of team functioning. They identified some of the characteristics of well

functioning effective teams.

McGregor’s lists of characteristics are as follows:

1. The atmosphere tends to be relaxed, comfortable and informal.



2. The team task is well understood and accepted by the members.

3. The members listen well to each other and there is a lot of task relevant discussion in

which most members participate.

4. People express both their feelings and ideas.

5. Conflicts and disagreements are present but are centered around ideas and methods, not

around personalities and people.

6. The group is self conscious about its own operations.

7. Decisions are usually based on consensus, not on majority votes.

DEVELOPING TEAM RESOURCES:

Developing your team is an important part of your job, whether you're a new team leader or

an experienced manager. And it doesn't apply only to new hires. People need training and

support throughout their careers, both as individuals and as teams, to develop their skills and

continue to work effectively.

If you work in a small or medium-sized organization, you may perform the roles of recruiter,

trainer and team leader. The resources in this article can help you to perform to the best of

your ability in each of these roles. If you work within a large organization, the Human

Resources or Learning and Development department will likely provide development

opportunities for your team.



As a manager, however, you are in a great position to know how your people work, to

identify what training they need to perform better, and to work closely with HR or L&D to

deliver the right training to the right people at the right time.

In this article, we'll look at several areas of team development, and explore some practical

tips and tools to help you get the best out of your people and achieve your objectives.

TEAM BUILDING ACTIVITIES

Team building exercises can be fun and effective ways to improve teamwork and identify

people's strengths and weaknesses. If you decide to run one, you should select the exercise

very carefully, so that it meets your training objective.

It's important to identify your team's biggest challenges before you choose an exercise. By

doing this, you can ensure that the event is more than just a nice day out of the office. For

example, if you have noticed that poor communication has led to your team making mistakes

or missing deadlines, you may want to select exercises that improve

essential communication skills like listening, empathy and verbalization.

Some team building activities encourage creativity and develop leadership , while others

strengthen problem-solving abilities and build your team's planning and strategy skills.

Team approaches need adequate planning. A certain period of investigation, reflection and

soul searching is necessary before plunging into any team initiatives. Some companies may

form the wrong kind of teams for a specific job in a hurry. Managers should examine their

organisation’s goals, objectives and culture to evaluate its readiness to develop and support

team-based initiatives.

(i) Clarity in team goals

(ii) An improvement plan

(iii) Clearly defined roles

(iv) Clear communication

(v) Beneficial team behaviours

(vi) Well-defined decision procedures

(vii) Balanced participation

(viii) Established ground rules

(ix) Awareness of group process and



(x) Use of the scientific approach.

The following team building , activities, and exercises help build unity, teamwork,

community, and improved group dynamics. They are often challenging and require planning,

problem solving, coordination, and trust. Using them will certainly make a difference. Try

these activities with your group or classroom

TEAM DESIGNING

Team building is a collective term for various types of activities used to enhance social

relations and

define roles within teams, often involving collaborative tasks. It is distinct from team

training, which is

designed by a combine of business managers, learning and development/OD (Internal or

external)

and an HR Business Partner (if the role exists) to improve the efficiency, rather than

interpersonal

relations.

Many team-building exercises aim to expose and address interpersonal problems within the

group.

Over time, these activities are intended by whom? to improve performance in a team-based

environment.Team building is one of the foundations of organizational development that can

be

applied to groups such as sports teams, school classes, military units or flight crews. The

formal

aligning around goals

building effective working relationships

reducing team members; role ambiguity

finding solutions to team problems

Team building is one of the most widely used group-development activities in organizations.

Of all organizational activities, one study found team-development to have the strongest

effect versus

financial measures for improving organizational performance. A 2008 meta-analysis found

that team-

development activities, including team building and team training, improve both a team &

objective

performance and that team & subjective supervisory ratings



TEAM BUILDING ACTIVITIES:

Bigger and Better

Chariot Race

Connecting Stories

Collaborative Drawing

Defend the Egg

Electric Current Game

Fear in a Hat

Icebreaker Questions

Intimate Cooperation Games

Lost on a Deserted Island

Newspaper Towers

PARTICIPATION AND REPERCUSSION:

Once you have determined the structure of the team with regard to size, diversity, and

leadership style that will bring out the maximum psychological benefit of team

building, you must now consider further psychological tactics.

Two of the most important elements when it comes to effectively operating a team

unit include participation methods and repercussions of team decisions.

You should have some idea at this point how much input you want your team

members to have based upon your team goals, the individual benefits each team

member brings to the table and most importantly how much decision making ability

you want your team members to have. It becomes quite common and understandable.

That many managers and supervisors are hesitant to give too much latitude to team

members when it comes to making decisions. After all, in most scenarios, if

something goes awry is likely to be the manager or team leader who is judged

responsible for the error and its results.

Consequently, it becomes psychologically understandable for team leaders to insist

upon making decisions themselves. Moreover, there is nothing inherently wrong

about this strategy; the issue that exists is primarily determining if this is the right

strategy for the team as a whole, not just for the team leader or supervisor's comfort.

A football team tends to operate at its best under the direction of the coach (or

coaches). However, the players may have some measure of input regarding particular

plays or identifying strengths and weaknesses, especially of themselves.

In doing this, they are serving the team as a whole by improving themselves,

communicating with the coach, and letting the coach make final decisions.

s. suvarna leadership education| degree ii...

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