INDIVIDUAL BEHAVIOUR IN

OB
 CONCEPT OF INDIVIDUAL BEHAVIOR IN OB
• Organization is composed of different people with
different behavior.
– socio-economic-cultural background,
– schooling in society and informal education system form the
perception, attitude and behavior of individual.
• Perception, attitude and behavior of individual affect the
group effort and the group dynamism gets changed.
• Thus, each individual's behavior in the organization
should be studied, understood and controlled for the
improved organizational effectiveness.
• Perception, attitude and behavior of individual
are subject to change coz:
– changing external environmental events.
– To form a complete personality the inherited
characteristics are modified by learning experiences
with continuous reinforcement.
• According to psychologist Kurt Levin individuals
are influenced by a umber of diversified factors
both genetic and environmental.
• B= F(P,E)

• He called this - Field Theory

• - B: Behaviour
• - F: Behaviour Function
• - P: Person
• - E: Enviroment around the person
 PERSONAL FACTORS
• AGE: It impacts performance, turnover, absenteeism, productivity and
satisfaction level.
• EDUCATION: Increased level of education serve to increase an individual’s
expectation about positive outcome (general and specialised).
• ABILITY: Ability refers to an individuals capacity to perform various tasks in a
given job Employee performance is enhanced when there is ability –fit for the
job.
• Intellectual abilities – verbal and analytical abilities, intelligence, memory.
• Physical abilities – Body coordination, motor skills, stamina, physical strength.
• Self-awareness abilities – How a person reacts or behaves about the task when
his manager decides the type of task he can be given.

• MARITAL STATUS: It has impact on absenteeism, turnover and satisfaction.

• NUMBER OF DEPENDENTS: Here exist a correlation
between number of dependents and absenteeism and
satisfaction.
• CREATIVITY: Creativity refers to the cognitive activity
that results in a new or novel ways of viewing and solving
a problem. They have attributes of background experience,
personal traits and cognitive abilities (analytical skills).
• EMOTIONAL INTELLIGENCE: Emotions are an
effective state of consciousness in which love, surprise, joy,
sorrow, fear, hate, surprise and anger is expressed. Feature
is : emotions are highly focused, expressions of emotions is
universal and culture determines expression of feelings.
Emotional intelligence helps us to monitor our emotions.
 ENVIROMENTAL FACTORS
• ECONOMIC FACTORS: Work in an organisation is
performed within an economical framework, which
directly or indirectly impinges on an organisational
environment. Variables like employment opportunities,
wage rates, economic outlook and technological
change.
• CULTURAL ENVIRONMENT: Cultural enviroment is
made up of institutions and other forces that affect
society’s basic values, perceptions, work ethics,
achievement needs and effort – reward expectations,
values preferences and behaviour.
• ETHICS AND SOCIAL ESPONSIBILITY: Ethics
refers to a system of moral principles; a sense of right
and wrong, goodness and badness of actions, motives
and the consequences of the actions. Social
responsibility or corporate Social Responsibility is
understood as the obligation of decision makers to
take actions that protect and improve the welfare of
the society as a whole, along with their own interest.
• POLITICAL FACTORS: The stability of government
tends to have impact on employment opportunities
and this impact employee behaviour. The political
ideology of a country affects individual behaviour
primarily through the relative freedom available to
the citizens.
 ORGANIZATIONAL SYSTEMS & RESOURCES
• FACILITIES: décor, space for employees, Lighting,
ventilation, air-conditioning etc.
• ORGANIZATIONAL STRUCTURE AND DESIGN:
The behaviour & performance of an individual is
influenced by the place an individual fits into the
overall structure and design of the organisation.
• LEADERSHIP: a leader provides direction, assistance,
advise and coaching to individual, due to which
leadership and supervision is necessary as an potential
source of influence.
• REWARD SYSTEM: the behaviour and performance
of an individual is influenced by the reward system of
an organisation.
• WORK RELATED BEHAVIOUR: The five stages of
the individuals stay in the organisation may be
distinguished by joining in the organisation,
remaining with the organization, maintaining work
attendence, performing required tasks and exhibiting
organizational citizenship.
 PSYCHOLOGICAL FACTORS
PERSONALITY, PERCEPTION, ATTITUDE, VALUES,
LEARNING

• PERSONALITY:
• The personality of a person, as misunderstood by many,
is not just determined by his physical appearance alone.
The physical characteristics of a person, no doubt, are
important but these get noticed only if accompanied by
certain intellectual qualities as stated below:
• Communication ability
• Inquisitiveness
• Perseverance
• Reasoning power
• Leadership capacity and so on.
• PERCEPTION
• Perception is an intellectual process of transforming sensory stimuli into meaningful
information. It is the process of interpreting something that we see or hear in our mind
and use it later to judge and give a verdict on a situation, person, group, etc.

• It can be divided into six types namely −

• Of sound − The ability to receive sound by identifying vibrations.
• Of speech − The competence of interpreting and understanding the sounds of language
heard.
• Touch − Identifying objects through patterns of its surface by touching it.
• Taste − The ability to detect flavor of substances by tasting it through sensory organs
known as taste buds.
• Other senses − Other senses include balance, acceleration, pain, time, sensation felt in
throat and lungs etc.
• Of the social world − It permits people to understand other individuals and groups of
their social world.

• A given situation is perceived differently by different people.

• Every organization requires people who are in a position to perceive things right. A
person without the capacity to make correct perceptions has to listen to those who possess
such a capacity. So perception of individuals greatly influence their behavior.
• ATTITUDE

• Attitude is the abstract learnt reaction or say response of a

person’s entire cognitive process over a time span.
• In the context of the workplace, attitude is the feeling of an
employee about his job, his superiors and fellow-employees.
Attitude may be positive or negative. An employee with a
positive attitude likes his job, carries out the tasks assigned by
his superior and maintains friendly relationships with the
fellow-employees.
• Employees with a negative attitude, on the other hand, are
insincere in their work. They quarrel frequently with their
superiors and fellow-workmen.
• VALUES

• The ‘values’ of a person indicate to him as to what is good and

what is bad. Different people have different values. For
example, some people are spendthrifts while others
consciously save. Some contribute to charity while others do
not.
• In the workplace the values of an individual do influence his
behavior. For example, if an employee’s value system tells him
that he should not strike work to express his grievances to the
employer, he will not take part in strikes. Likewise, an
employee, who wants to be sincere in his work, will not be
whiling away his time.
• LEARNING

• Learning is the process of bringing about changes in an

individual’s behavior. Employee absenteeism, for example, may
be a problem faced in many organizations. As employees are
eligible for certain types of leave, e.g., casual leave, sick leave,
earned leave etc., they may be willing to avail the same. But this
affects employee attendance.

• To secure better employee attendance certain measures may be

adopted. For example, casual leave and sick leave can be made
encashable. Such a measure would encourage good attendance.
MODELS OF INDIVIDUAL BEHAVIOUR
 THEORY X AND THEORY Y MODEL
• Theory X:Assumes an individual to be lazy,
non-creative and in need of constant probing.
• Theory Y: Assumes an individual of having
tremendous potential, effective management
can lead to achieving of organisational goals.
• Based on the manager’s perception of human
behaviour, there may be divergence of
managerial practices in the organization.
 ECONOMIC AND SELF-ACTUALIZING MODEL

• ECONOMIC MODEL: The individual has an economical

orientation. Being a scientific management concept, the
idea of standardizing jobs, specializing work functions
and providing economic benefits of those individuals who
performe better at the job was thought of.
• SELF-ACTUALIZING MODEL: this model assumes that
an individual is motivated by the opportunities to grow,
mature and become what they are capable of. Here
individuals are thought to crave for personal growth, job
competence and self fulfilment and actualization. The
challenge for the organisation is to provide proper
conditions for the growth.
• His self-actualization theory is based on the
study of healthy and mature people. It
emphasizes the uniqueness of the person and
the potential for self-direction and enhanced
functioning.
• Maslow (1968, 1987) believed that people are
motivated to search for personal goals which
make their lives meaningful and rewarding.
 Maslow’s Model
• What motivates human behavior? Maslow’s hierarchy
of needs is one of the distinguished theories of
motivation.
• Abraham Maslow was an American psychologist who
was recognized for creating Maslow’s hierarchy of
needs.
• According to Abraham Maslow, our actions are
motivated in order to achieve specific needs.
 Maslow’s Model of the Hierarchy of Needs
• Maslow first introduced his concept of a hierarchy of needs in
his paper “A Theory of Human Motivation” in the year 1943.
• This hierarchy proposes that people are motivated to fulfill
basic needs before moving on to other, more advanced needs.
• Maslow was more interested in learning about what makes
people happy and cheerful and the things that they do to
achieve that aim.
• Maslow believed that people have an innate desire to be self-
actualized, that is, to be all they can be.
• In order to achieve these ultimate goals, however, various
basic needs must be met such as the need for food, safety,
love, and self-esteem.
• There are 5 different levels in Maslow’s model of the
hierarchy of needs. Let’s deep dive at Maslow’s needs starting
at the lowest level, which is known as physiological needs.
 From Basic to More Complex Needs

• Maslow’s model of the hierarchy of needs is always

displayed as a pyramid.
• The lowest levels of the pyramid are made up of the very
basic needs, while the most complex needs are at the top of
the pyramid.
• Needs at the bottom of the pyramid are basic physical
requirements including the need for food, water, sleep, &
warmth. Once these lower-level needs are fulfilled, people
can move on to the next level of needs, which are for
security & safety.
• As people advance towards the apex of the pyramid,
needs become more and more psychological and
social.
• Soon, want for love, friendship, & intimacy become
important.
• Moving further upwards in the pyramid, the need for
personal esteem and feelings of accomplishment take
priority.
RATIONAL AND EMOTIONAL MODEL
• Rational Model:
– in this model, the individual is assumed to collect
all the relevant information, analyze the data and
then arrive at a solution for the problem in hand.
– An individual is perceived to be highly rational
entity.
• Emotional Model:
– In this model, individuals are understood to be
guided by emotions, which most of the times are
unconscious decisions. According to Freudian, the
humans are irrational and emotional do to constant
conflicts of ID and Ego and Super Ego.
 MARS MODEL OF INDIVIDUAL BEHAVIOR
MODEL
• seeks to elaborate individual behavior as a result of
internal and external factors or influences combined
together. The name itself is an acronym for individual
Motivation, Abilities, Role Perception and Situational
Factors.
• The model can be implemented to a variety of
situations, but is usually applied in Management,
Industrial Psychology or Organizational Behavior
studies.
• This model represents that these four factors have a
mixed effect on individual performance.
• If any factor weakens, performance will decrease.
• MOTIVATION
• Motivation can be described as internal forces that
impact the direction, intensity, and endurance of a
person’s voluntary choice of behavior. It consists of −
• Direction − focused by goals.
• Intensity − bulk of effort allocated.
• Persistence − amount of time taken for the effort to
be exerted.
• For example − A team leader encourages team
members to work efficiently.
• ABILITY
• Ability is the natural tendency and learned capabilities needed to
complete a task successfully. It has four different parts namely −
• Aptitudes − natural talent that helps people learn more
efficiently and perform effectively.
• Learned capabilities − accomplished skills and knowledge.
• Competencies − abilities, individual values, personality traits
and other features of people that result in superior performance.
• Person-job fit − there are three ways to match people with jobs
– selecting qualified people
– developing employee abilities through training
– redesigning job to fit person's existing abilities
• For example − Rohan completes a task in 4 days while the time
allotted was 6 days. He has the ability to complete it before the
required time frame.
• ROLE PERCEPTIONS
• They are the beliefs about what behavior is necessary to
achieve the desired results, and have a check that
everyone is clear regarding their part. It is of four types −
• Understanding the tasks to be performed.
• Understanding associated importance of tasks allotted.
• Understanding preferred behaviors to complete respective
tasks.
• Clarifying role perceptions
• For example − Every member in a group is clear
regarding the part allotted to them. For instance, the
programmer writes the code and the tester checks it.
• SITUATIONAL FACTORS
• They are the environmental conditions like given time
bound, team members, budget, and work facilities that
limits or facilitates behavior. Factors that are beyond
the individual’s control in the short run.
PERSONALITY
 WHAT IS PERSONALITY
• The sum total of ways an individual reacts and interact with
others.
• The term personality has been derived from Latin words
‘persona’ which means ‘to speak through’. This Latin term
denotes the masks which actors used to wear in ancient Greece
and Rome.
• CHARACTERISTICS OF PERSONALITY:
1. Personality is not body structure alone.
2. Personity= Structure+Dynamics
3. It is an indivisible unit.
4. Personility is neither good or bad.
5. It is acquired.
6. It is influenced by social interaction and defined in terms of
behaviour.
 DEFINITION

•
“Personality is the dynamic organization within the
individual of those psychophysical systems that
determine his characteristics behavior and though”
(Allport, 1961, p. 28).
• “The characteristics or blend of characteristics that
make a person unique” (Weinberg & Gould, 1999).
DETERMINANTS OF PERSONALITY
 BIOLOGICAL FACTORS
• Biological factors may be studied under three heads –
• The heredity
• The brain
• Physical features

• Heredity
• Certain characteristics, primarily physical in nature, are inherited from
one’s parents, transmitted by genes in the chromosomes contributed by
each parent.
• Research on animals has showed that physical and psychological
characteristics can be transmitted through heredity. But research on
human beings is inadequate to support this viewpoint.
• However, psychologists and geneticists have accepted the fact that
heredity plays an important role in one’s personality.
• The importance of heredity varies from one personality trait to another.
• For instance, heredity is generally more important in determining a
person’s temperament than values and ideals.
• Brain
• Another biological factor that influences personality is the
role of the brain of an individual.
• The psychologists are unable to prove empirically the
contribution of human brain in influencing personality.
• Preliminary results from the electrical stimulation of the
brain (ESB) research gives indication that better
understanding of human personality and behaviour might
come from the study of the brain.
• Physical features
• Perhaps the most outstanding factor that contributes to
personality is the physical stature of an individual.
• An individual’s external appearance is proved to be having
a tremendous effect on his personality.
– For instance the fact that a person is short or tall, fat or skinny, handsome or
ugly, black or whitish will undoubtedly influence the person’s effect on others
and in turn, will affect the self-concept.
• A person’s physical characteristics may be related to his
approach to the social environment, to the expectancies of
others, and to their reactions, to him. These in turn may
have impacts on personality development.
• Psychologists contend that the different rates of
maturation will also influence an individual’s personality.
 Cultural Factors
• Culture is traditionally considered as the major determinant
of an individual’s personality.
• The culture largely determines what a person is and what a
person will learn.
• The culture within which a person is brought up is very
important determinant of behaviour of a person.
• The personality of an individual, to a marked extent, is
determined by the culture in which he is brought up.
• According to Mussen “...each culture expects, and trains, its
members to behave in the ways that are acceptable to the
group.”
 FAMILY AND SOCIAL FACTORS
• in order to understand the effects of a family on
individual’s personality, we have to understand the
socialisation process and identification process.
• Socialisation Process
• The contribution of family and social group in
combination with the culture is known as socialisation.
• In the words of Mussen “socialisation is the process by
which an individual infant acquires, from the
enormously wide range of behavioural, potentials that
are open to him at birth, those behavioural patterns that
are customary and acceptable according to the standards
of his family and social group.”
• Socialization initially starts with the contact with mother
and later on the other members of the family (father,
sisters, close-relatives) and the social group play
influential role in shaping an individual’s personality.
• Identification process
• Identification starts when a person begins to identify
himself with some other members of the family.
Normally a child tries to emulate certain actions of his
parents.
• Identification process can be examined from three angles:
• (a) it can be viewed as the similarity of behaviour
between child and the model, and
• (b) it can be looked as the child’s motives or desires to be
like the model and
• (c) it can be viewed as the process through which the
child actually takes on the attributes of the model.

• Apart from the socialisation and identification

processes, the home environment influences the
personality of an individual. There is substantial
empirical evidence to indicate that the overall
environment at home created by parents is critical to
personality development.
 SITUATIONAL FACTOR

• According to Mailgram’s research situation exerts an

important pressure on the individual. It exercises
constraints or provides push.
• In certain circumstances, it is not so much the kind of
person is, as the kind of situation in which he is
placed, which determines his actions.
LEARNING
• Learning is natural act of living creature in which each change
personality, performance and behavior.
• It is the process of acquiring new knowledge, skills and values
which relatively changes the behavior of individual.
• In organization, various people with varieties of skills,
knowledge and perception need to work jointly. They learn from
each other. Managers, supervisors, lower level employees and
even organization should learn.
• Learning is usually a need based activity. Learning is relatively
permanent change in human behavior which can be measured.
• People can learn through formal or informal programs. In
organizational behavior, it is taken as vital process as without
learning people resist changes in the organization.
• This means, to make employees ready to change, learning is
essential.
 CONCLUSION
• learning is a process of acquiring knowledge, skills or
technique through experience, practice or instruction.
• It changes behavior of individual more permanently.
• Managers in organization, concern regarding the tendency
of individual for learning new knowledge and skills so that
they can easily accept any changes in organization.
• It can be planned or unplanned.
• Productivity, profitability, quality of work life, modified
attitude, acceptable behavior, readiness to change, etc. are
consequence of learning.
• Learning ensures that employees behave, react or respond
positively and more formally as per expectation.
 Significance or importance of learning in OB
• related to their survival and prosperity.
• It is not only important to organization, but equally
important to individual as it also serves personal growth.
• For people, learning changes the behavioral orientations
such as knowledge, skills, values, personality and
competency. In organizational setting, importance of
learning can be justified with the following reasons:
• 1. Helps to understand and predict human behavior at
work
• 2. Helps to manage diversity
• 3. Helps to adapt changing technology
• 4. Helps to maintain TQM
• 5. Facilities organizational change and development
• 1. Helps to understand and predict human
behavior at work
• Different roles, skills, and knowledge in the
organization are acquired through learning.
Managerial skills such as technical, human and
conceptual are, however, learned and these
skills are paramount for understanding and
predicting behaviors of subordinates. Learning
is essential to understand how other people
behave in organization. This is equally
important to middle level and operating level
employees.
• 2. Helps to manage diversity
• Diversity in human resources in terms of their gender,
socio-economic background, social and national
culture, physical abilities, level of skills and knowledge,
etc. The issue of diversity has emerged in political as
well as legal concern. Such diversities in people at work
place create differences in their needs, attitudes, level
of motivation and workplace behaviors. Such
diversities are most essential to manage to increase
productivity or organization and morale of employee.
For this, learning is initiated to the managers and
workers through training.
• 3. Helps to adapt changing technology
• Frequently changing technology has not only changed the
processing of converting input into output but also has
affected the patterns of industrial relations. This is being
one of the vital sources for resistivity to change. To work
with a new technology, we need to learn new skills.
Similarly, it is necessary to redefine workplace relations
along with decentralization in work system, telecommuting,
and virtual teams. Learning is important to manage
knowledge workers, computer programmers, computer
scientists and other processional workers in organizational
settings. Learning boosts up the level of confidence of
employees to adapt change. Thus, to initiate change,
learning is essential.
• 4. Helps to maintain TQM
• The objective of TQM can be achieved only by involving
people concerned with quality management which is
possible through adapting new knowledge continuously. In
the process of implementing TQM, the role of leader is
dominant to involve employees and enhance their sense of
ownership and commitment at work. Moreover, in the
process of implementing TQM and work processes
successfully, behavioral dimensions such as leadership
behavior, workplace decentralization, group dynamics,
empowerment, communication and interpersonal relations
are to be properly implemented. All these things are
possible through learning.
• 5. Facilities organizational change and development
• Learning facilitates organizational change and
development. Some of these forces for organizational
change and development are globalization, technology
and demographics. Such change compel managers to
reconfigure organizations processes. Technological
changes in transportation and telecommunication have
change job responsibilities and authority. Learning and
understanding of such forces will help managers to
enhance commitment. Learning is also important for
managing planned changes (organizational
development) in the organization.
 Learning Process in OB
• Learning is a process of acquiring skills, knowledge, attitude and behavior.
It takes following four stages.
• 1. Stimulus
• In learning process, there should be stimulus to the learner. Stimulus is the
source of motivation or incentives. Learner should be clear about
stimulus. There will be no learning takes place if there is no stimulus or
learner has not understood the stimulus. Such stimulus can be -
•

• expansion of knowledge, skills and abilities,

• improving quality of work life,
• productivity and profitability,
• effectiveness,
• career advancement,
• financial and non financial rewards.
• 2. Response
• Response is the reaction of learner towards the stimulus. This means,
response in learning process is the outcome of first step. To take place the
learning, learner should have positive response. Only if learner is
convinced for positive changes in behavior, s/he responds positive
otherwise negative response. Thus, organization management must
encourage employees for learning with ensuring the rewards. Employees
should be allowed and encouraged to practice the performance response.
• 3. Motivation
• Motivation is the drive to encourage individual to learn. Without drive or
motivation, learning cannot take place. This provides interest and attitude
to learn. Whatever learning and understanding ability of the person,
without motivation, none of the person can learn.
• 4. Rewards
• Rewards are incentives satisfying the motive.
There should be proper reward system in learning
process. It should be transparent and predictive.
Employees should know what will be their return
or rewards when they learn at different levels.
For examples, praise is the incentive which
satisfies the motive of social approval. Salary
increment is the incentive which satisfies the
motive of financial security. Rewards can be
financial as well as non financial.
 COMPONENTS OF LEARNING IN OB

Learning becomes complete if it comprises following

components:
1. Change in behavior
2. Relatively permanent
3. Experience
4. Reinforcement
• 1. Change in behavior
• Learning should change the behavior of people. Such change can be
positive or negative, good or bad but organization always seeks
positive changes in behavior in employees. Negative behavior like
high absenteeism, bad habits, prejudice, stereotype, misbehave to
other employees as well as customers, etc. are expected to change
by positive behavior. Whatever may be positive or negative, fast or
slow, more permanent or relatively permanent, there should be
change in learning.
• 2. Relatively permanent
• To be learning, the behavioral change should be relatively
permanent. Temporary change (reflexive) cannot be supposed to be
learning.
• 3. Experience
• To occur learning, some form of experience is necessary.
Understanding and familiarity in know-how or concept of
work areas are necessary in learning. For example, ability of
work based on maturation cannot be considered as
learning.
• 4. Reinforcement
• In order to have permanent learning, there should be
reinforcement in practice. Learning activities i.e. practices
in activities must be regular or at least repeated at
minimum possible time. If there is no reinforcement in
practice or learning, changes in behavior gradually
disappear and the original state my not be seen.
 MAJOR LEARNING THEORIES IN OB

• Research in learning is one of the most popular

areas in psychology.
• Basically, there are four major theories in
learning as:
– Classical conditioning theory,
– Operant conditioning theory,
– Cognitive theory and
– Social learning theory.
MOTIVATIONAL PROCESS
 Definitions of Motivation
• The word Motivation derives from the Latin word
“Movere”. The Latin word “Movere” means “To
move”, “To drive” or “To drive forward” etc.
• Motivation can be defined as stimulating, inspiring
and inducing the employees to perform to their best
capacity.
• Motivation is a psychological term which means it
cannot be forced on employees. It comes automatically
from inside the employees as it is the willingness to do
the work.
• Joe Kelly defined Motivation as “Motivation is a
process where by needs instigate behavior
directed towards the goals that can satisfy those
needs.”
• According to W. G. Scot, “Motivation means a
process of stimulating people to action to
accomplish the desired goals.”
• According to Michael J. Jucius, “Motivation is the act
of stimulating someone or oneself to get a desired
course of action, to push the right button to get a
desired results.”
PROCESS OF MOTIVATION
• Unsatisfied need. Motivation process begins when there
is an unsatisfied need in a human being.
• Tension. The presence of unsatisfied need gives him
tension.
• Drive. This tension creates an urge of drive in the human
being an he starts looking for various alternatives to
satisfy the drive.
• Search Behavior. After searching for alternatives the
human being starts behaving according to chosen option.
• Satisfied need. After behaving in a particular manner for
a long time then he evaluates that whether the need is
satisfied or not.
• Reduction of tension. After fulfilling the need the human
being gets satisfied and his tension gets reduced.
 TYPES OF MOTIVATION
• Achievement Motivation:
• It is the drive to pursue and attain goals.
• An individual with achievement motivation wishes to
achieve objectives and advance up on the ladder of
success.
• Here, accomplishment is important for himself and not
for the rewards that accompany it. It is similar to
‘Kaizen’ approach of Japanese Management.

• Affiliation Motivation:
• It is a drive to relate to people on a social basis.
• Persons with affiliation motivation perform work better
when they are complimented for their favorable attitudes
and co-operation.
• Competence Motivation:
• Competence motivated people seek job mastery, take
pride in developing and using their problem-solving skills
and strive to be creative when confronted with obstacles.
• They learn from their experience.

• Power Motivation:
• It is the drive to influence people and change situations.
• Power motivated people wish to create an impact on
their organization and are willing to take risks to do so.
• Attitude Motivation:
• Attitude motivation is how people think and feel. It
is their self confidence, their belief in themselves,
their attitude to life. It is how they feel about the
future and how they react to the past.
• Incentive Motivation: It is where a person or a
team reaps a reward from an activity. It is “You do
this and you get that”, attitude. It is the types of
awards and prizes that drive people to work a little
harder.
• Fear Motivation: Fear motivation coercion’s a
person to act against will. It is instantaneous and
gets the job done quickly. It is helpful in the short
run.
5 Steps of Motivation Process
• 1. Identify Unsatisfied Needs and Motives
• The first process of motivation involves unsatisfied needs
and motives. Unsatisfied needs activated by internal stimuli
such as hunger and thirst.
• They can also be activated by external stimuli such as
advertisement and window display.
• 2. Tension
• Unsatisfied needs create tension in the individual. Such
tension can be physical, psychological, and sociological. In
this situation, people try to develop objects that will satisfy
their needs.
• .
• 3. Action to satisfy needs and motives
• Such tension creates a strong internal stimulus that calls for
action. The individual engages in activities to satisfy needs and
motives for tension reduction.
• For this purpose, alternatives are searches and choice are
made, the action can be hard work for earning more money
• 4. Goal accomplishment
• Action to satisfy needs and motives accomplishes goals. It can
be achieved through reward and punishment. When actions are
carried out as per the tensions, then people are rewarded others
are punished. Ultimately goals are accomplished.
• 5. Feedback
• Feedback provides information for revision or improvement or
modification of needs as needed. Depending on how well the
goal is accomplished their needs and motives are modified.
 Features of Motivation
• Motivation is a psychological phenomenon.
• Motivation is an internal feeling which means it cannot be
forced on employees. The internal feelings such as need,
desire, aspirations etc. influence human behavior to behave
in a particular manner. For example, desire to have a new
house, respect and recognition etc.
• Motivation produces goal directed behavior. Motivation
induces people to behave in such a manner so that they can
achieve their goal. Motivated person need no supervision
or direction. He will always work in desired manner. For
example of a person has a motive to get promotion so he
will work efficiently to get promotion.
• Motivators can be positive as well as negative.
• To motivate employees managers use various
motivators. Some motivators are positive and some
are negative.
• positive motivators are promotion, increment, bonus,
respect, recognition etc.
• The manager have to use negative motivators such as
warning, issue o memo, demotion, stopping
increments etc. sometimes fear of negative motivators
also induces person to behave in a desired manner.
• Motivation is a complex process.
• Motivation is a complex and difficult task.
• In order to motivate people a manager must understand
various types of human need.
• Human needs are mental feelings which can be measured
accurately.
• Every person uses different approaches to satisfy his
need. Some get satisfied with monetary incentives, some
with non-monetary, some with positive and some with
negative motivators.
• So it is not possible to make generalization in motivation.
• Motivation is a dynamic and continuous process.
• Human beings are ever-changing. Human needs are
unlimited and go on changing continuously.
• Satisfaction of one need gives rise to another so
managers have to continuously perform the function
of motivation.
 Advantages of Motivation
• Advantages to Management or Organization:
• Increase in the efficiency and productivity of employees.
Motivation ensures a high level performance of
employees.
• Better co-operation from employees and cordial labor-
management relations.
• Reduction in the rate of labor absenteeism and turnover.
• Reduction in the wastage’s and industrial accidents.
• Improvement in the morale of employees.
• Quick achievement of business/corporate objectives and
favorable corporate image.
• Advantages to Management or Organization:
• Increase in the efficiency and productivity of employees.
Motivation ensures a high level performance of
employees.
• Better co-operation from employees and cordial labor-
management relations.
• Reduction in the rate of labor absenteeism and turnover.
• Reduction in the wastage’s and industrial accidents.
• Improvement in the morale of employees.
• Quick achievement of business/corporate objectives and
favorable corporate image.
 Importance of Motivation
1. Motivated employees make best use of the
resources.
– Motivation helps change negative attitude to
positive attitude.
– Without motivation the employees try to perform
minimum activities in the organization.
– But the motivation fills in the desire to perform to
their maximum level.
– All the resources of the organization are of no use
unless and until the employees use these resources.
2. Motivation improves performance level of
employees.
• motivation improves efficiency
 employees start performing the job to the best of their
ability with minimum wastage of time and resources
 employees always go for best utilization of resources.
 The motivation bridges the gap between the ability to
work and willingness always improves efficiency.
 3. Help in achieving organisational goal.
 motivated employees always try to achieve the
organizational goal and contribute their best efforts for the
realization of organizational goal as they know with the
achievement of organizational goal only they can achieve
their personal goal.
 All the employees contribute their efforts in one direction of
accomplishment of goal.
4. Motivation creates supportive work environment
 relations between superior and subordinates are always
improved.
 When the employees get their need satisfied or get the
recognition and respect in the organization then they always
offer a supportive hand to superiors.
 There is more co-operation and co-ordination in the
organization and all the employees work with the team spirit.
• 5. Motivation helps the managers to introduce changes.
– The motivated employees show less resistance in
accepting the changes according to changes in the
business environment.
– Motivated employees are always supportive and co-
operative in accepting changes in the organization.

6. Reduction in Employee Turnover.

 The motivation creates confidence in the employees to
get their need satisfied in the organization itself.
 They always select the alternative to remain in the
organization and increase their earning rather than
leaving the organization and increasing their earnings.
 With motivation employee turnovers are less because the
satisfied employees never leave the job.
Need Theory
 Maslow’s Hierarchy of Needs
• Abraham Maslow, one of the most prominent
psychologists of the twentieth century, created a hierarchy
of needs.
• Illustrated by a pyramid representing how human needs
are ranked.
• Maslow’s theory is based on the premise that human
beings are motivated by needs ranked in order
hierarchically.
• Some of these needs are simply essential to all human
beings. When a basic need is satisfied, we begin to seek
higher-order needs.
• The first essential motivational needs, according to
Maslow, are our physiological needs, such as air, food,
and water.
• Once our physiological needs are satisfied, we become
concerned about safety, which includes our own physical
safety and security, as well as our employment security.
• The next need to fill is social: our need to bond with other
human beings.
– The need for love, friendship, and family is considered
to be a fundamental human motivation.
• When we have achieved a sense of belonging, our need
for esteem—the desire to be respected by one’s peers, feel
important, and be appreciated—becomes more salient.
• The highest level of the hierarchy is the need for self-
actualization, which refers to “becoming all you are
capable of becoming.”
– People can fulfill this need by learning new skills,
taking on new challenges, and taking action to
pursue their life goals.
 Criticisms of Maslow’s Hierarchy of Needs
• Needs Do Not Necessarily Follow a Hierarchy
• While some research showed some support for Maslow's
theories, most research has not been able to substantiate
the idea of a needs hierarchy.
• Wahba and Bridwell reported that there was little
evidence for Maslow's ranking of these needs and even
less evidence that these needs are in a hierarchical order.
• The Theory Is Difficult to Test
• Difficult to test scientifically.
• His research on self-actualization was also based on a
very limited sample of individuals, including people he
knew as well as biographies of famous individuals that
Maslow believed to be self-actualized.
 Herzberg’s two factor theory (1959)
• Motivation impacts human behaviour and performance. The
level of motivation an individual or team exerts in their work
task can affect all aspects of organisational performance.
• The overall success of the orgaisational project depends on the
project team’s commitment which is directly related to their
level of motivation.
• Theory was based on feedback from 200 engineers and
accountants in the USA regarding their personal feeling
towards their working environment, named Motivation &
Hygiene Factors (Robbins, 2009).
• The subjects were asked to relate times when they felt
exceptionally good or bad about their current job or any
previous job, provide reasons for the same, and a description
of the sequence of events giving rise to that +ve or –ve feeling.
 Two-Factor Theory
• When studying motivation, Frederick Herzberg started by
asking employees what was satisfying and dissatisfying on
the job.
• Herzberg found that certain factors just had to be met and
did not raise satisfaction.
• However, if these factors, called hygiene factors, were not
met, it led to strong dissatisfaction.
• The hygiene factors causing dissatisfaction were part of
the context in which the job was performed. Company
policies, supervision, working conditions, salary, safety,
and security on the job are some examples of hygiene
factors.
 For example, you may not link your satisfaction to your office
having good lighting, but you would be very dissatisfied if the
lighting was too poor to read.

• Motivators are the factors

that employees need in
order to give higher levels
of effort.
• According to Herzberg,
the strongest motivators
are interesting work,
responsibility,
achievement, recognition,
growth, and advancement.
 HERZBERG’S TWO FACTOR THEORY RESTS
ON TWO ASUUMPTIONS:

• 1) being satisfied with one’s job is equivalent to being

motivated, “a satisfied worker is a motivated worker”.

• 2) Job satisfaction and dissatisfaction are separate concepts

with unique determinants based on work with accountants and
engineers.
• Satisfaction which is mostly affected by the “motivatonal
factors”. Motivation factors help increase the satisfaction but
aren’t that affective on dissatisfaction.
• Dissatisfaction is the result of the “hygiene factors”. These
factors, if absent or inadequate, cause dissatisfaction, but their
presence has little effect on long term satisfaction.
 MCCLELLAND'S HUMAN MOTIVATION
THEORY (1960)

• states that every person has one of three main driving

motivators: the needs for achievement, affiliation, or power.
These motivators are not inherent; we develop them through
our culture and life experiences. Achievers like to solve
problems and achieve goals.
• The American psychologist David McClelland studied
the way in which people satisfy their needs.
 What motivates people and what motivators are
learned? According to David McClelland, people
have motivating drivers that are directly linked to
need regardless of age, gender, culture or race.
 McClelland Motivation Theory, identified four types
of motivational need:
• Need for achievement
• Need for power
• Need for affiliation
• Need for avoidance
Dominant Motivator Characteristics of This Person

•Has a strong need to set and accomplish

challenging goals.
•Takes calculated risks to accomplish their goals.
Achievement
•Likes to receive regular feedback on their
progress and achievements.
•Often likes to work alone.

•Wants to belong to the group.

•Wants to be liked, and will often go along with
Affiliation whatever the rest of the group wants to do.
•Favors collaboration over competition.
•Doesn't like high risk or uncertainty.

•Wants to control and influence others.

•Likes to win arguments.
Power
•Enjoys competition and winning.
•Enjoys status and recognition.
• Need for Power (n-pow):
• What is Power?
• Power is the ability to induce or influence the behavior
of others.
• The people with high power needs seek high-level
positions in the organization, so as to exercise
influence and control over others.
• Generally, they are outspoken, forceful, demanding,
practical/realistic-not sentimental, and like to get
involved in the conversations.
• Need for Affiliation (n-affil):
• People with high need for affiliation derives pleasure
from being loved by all and tend to avoid the pain of
being rejected.
• Since, the human beings are social animals, they like
to interact and be with others where they feel, people
accept them.
• Thus, people with these needs like to maintain the
pleasant social relationships, enjoy the sense of
intimacy and like to help and console others at the
time of trouble.
• Need for Achievement (n-ach):
• McClelland found that some people have an intense
desire to achieve.
• He has identified the following characteristics of high
achievers:
– High achievers take the moderate risks, i.e. a
calculated risk while performing the activities in the
management context. This is opposite to the belief that
high achievers take high risk.
– High achievers seek to obtain the immediate feedback
for the work done by them, so as to know their
progress towards the goal.
 – Once the goal is set, the high achiever puts himself
completely into the job, until it gets completed
successfully. He will not be satisfied until he has given his
100% in the task assigned to him.
– A person with a high need for achievement accomplishes
the task that is intrinsically satisfying and is not
necessarily accompanied by the material rewards. Though
he wants to earn money, but satisfaction in the
accomplishment of work itself gives him more pleasure
than merely the cash reward.

• Hence, McClelland’s Needs Theory posits that the person’s

level of effectiveness and motivation is greatly influenced by
these three basic needs.
 Alderfer ERG Theory
Clayton P. Alderfer's ERG theory from 1969 condenses
Maslow's five human needs into three
categories: Existence, Relatedness and Growth.
• Existence Needs
• Include all material and physiological desires (e.g.,food,
water, air, clothing, safety, physical love and affection).
• Maslow's first two levels.
• Relatedness Needs
• Encompass social and external esteem; relationships with
significant others like family, friends, co-workers and
employers .
• This also means to be recognized and feel secure as part
of a group or family. Maslow's third and fourth levels.
• Growth Needs
• Internal esteem and self actualization; these impel a person
to make creative or productive effects on himself and the
environment (e.g., to progress toward one's ideal self).
• Maslow's fourth and fifth levels. This includes desires to
be creative and productive, and to complete meaningful
tasks.
• Even though the priority of these needs differ from person
to person, Alberger's ERG theory prioritises in terms of the
categories' concreteness.
• Existence needs are the most concrete, and easiest to verify.
• Relatedness needs are less concrete than existence needs, which
depend on a relationship between two or more people.
• Growth needs are the least concrete in that their specific objectives
depend on the uniqueness of each person.
Relationship between Maslow’s Hierarchy to ERG Theory
Highest-order
Needs

Most essential
Needs Maslow's Need Hierarchy Alderfer's Need Hierarchy
Categories Categories
Relationships between Alderfer's ERG theory concepts
• There are three relationships among the different
categories in Alderfer's ERG theory:

• Satisfaction-progression
Moving up to higher-level needs based on satisfied
needs.
With Maslow, satisfaction-progression plays an
important part. Individuals move up the need hierarchy
as a result of satisfying lower order needs. In Alderfer's
ERG theory, this isn't necessarily so. The progression
upward from relatedness satisfaction to growth desires
does not presume the satisfaction of a person's
existence needs.
• Frustration-regression
If a higher level need remains unfulfilled, a person may
regress to lower level needs that appear easier to satisfy.

Frustration-regression suggests that an already satisfied

need can become active when a higher need cannot be
satisfied. Thus, if a person is continually frustrated in
his/her attempts to satisfy growth, relatedness needs can
resurface as key motivators.
• Satisfaction-strengthening
Iteratively strengthening a current level of satisfied needs.

Satisfaction-strengthening indicates that an already satisfied

need can maintain satisfaction or strengthen lower level
needs iteratively when it fails to gratify high-level needs.
 DIFFERENCES BETWEEN ERG THEORY AND
MASLOW'S MODEL
Alderfer's ERG motivation theory differs from Maslow's theory in
three ways:
• A lower level need does not have to be gratified (i.e., a person may
satisfy a need at hand, whether or not a previous need has been
satisfied);
• If a relatively more significant need is not gratified, the desire to
gratify a lesser need will be increased (i.e., the frustration in
meeting high-order needs might lead a person to regress to a more
concrete need category);
• Alderfer's ERG theory allows the order of the needs to differ for
different people (e.g., it accounts for the "starving artist" who may
place growth needs above existence ones).
 THE ERG MOTIVATION THEORY WORK
SITUATIONS
• On a work level, this means that managers must
recognize his employees' multiple simultaneous needs.
• In Alderfer's ERG model, focusing exclusively on one
need at a time will not motivate your people.
• The frustration-regression principle impacts workplace
motivation. For example, if growth opportunities are not
provided to employees, they may regress to relatedness
needs, and socialize more with co-workers.
• If you can recognize these conditions early, steps can be
taken to satisfy the frustrated needs until the employee is
able to pursue growth again.
 UNDERSTANDING EMPLOYEE MOTIVATION
AND ORGANIZATIONAL PERFORMANCE
• Empirical evidence demonstrates that motivated employees
mean better organizational performance.
• Organizations, regardless of industry and size, strive to create
a strong and positive relationship with their employees.
However, employees have various competing needs that are
driven by different motivators.
• - For example, some employees are motivated by rewards
while others focus on achievement or security. Therefore, it is
essential for an organization and its managers to
understand what really motivates its employees if they
intend to maximize organizational performance.
• Traditional motivation theories focus on specific elements that
motivate employees in pursuit of organizational performance.
• - For example, motives and needs theory (Maslow, 1943)
states that employees have five level of needs (physiological,
safety, social, ego, and self-actualizing), while equity and justice
theory states that employees strive for equity between
themselves and other employees (Adams, 1963, Adams, 1965).
• However, current research on employee motivation is more cross-
disciplinary and includes fields such as neuroscience, biology and
psychology.
• For example, Lawrence and Nohria (2002) use cross-disciplinary
perspectives to explain how human nature is the foundation of
employee motivation.
• They argue that it is human nature for employees to possess four
drives:
- the drive to acquire,
- bond,
- comprehend and
- defend – and these drives are the foundation for employee
motivation.

• Their research also specifies organizational levers that fulfil these

drives. Reward systems fulfill the drive to acquire, culture fulfills
the drive to bond, job design fulfills the drive to comprehend, and
performance-management and resource allocation processes fulfill
the drive to defend (Lawrence and Nohria, 2002, Nohria et al.,
2008). When these organizational levers are used to fulfill employee
drives and motivation, organizational performance is maximized.
Theory Reference Motivating principle
Hierarchy of needs: psychological,
Motives and needs Maslow (1943)
safety, social, ego, self-actualizing.
Work effort leads to performance and
Expectancy Vroom (1964)
rewards.
Employees strive for equity between
Equity and justice Adams (1963)
themselves and other employees.

Specific and difficult goals

Goal setting Locke and Latham (1990) consistently lead to better performance
than easy goals or no goals.
External elements affect intrinsic
Cognitive evaluation Deci (1971) needs, intrinsic rewards and
satisfaction.

The five important job characteristics:

Work design Hackman and Oldham (1976) skill variety, task identity, task
significance, feedback, autonomy.

Managers should positively reinforce

Reinforcement Skinner (1953) employee behaviors that lead to
positive outcomes.
 Six Strategies To Maintain Employee Motivation
• 1. Set goals to create meaning
• Goal-setting gives employees meaning in their day-to-day roles:
employees who are brought along on the goal-setting journey are 3.6
times more likely to be engaged than those who are not. To motivate
employees, you should:
- Establish what’s expected of them
- Help them visualize what success in their role looks like
- Explain how their contribution makes a difference to the business
• Creating the connection between your people’s objectives and the goals of
the organisation is particularly important. For example, if your
organization’s mission is ‘Awesome customer service’ how is this value
reflected for an employee working in the finance department?
• Recognizing that each team member has different sources of motivation,
then linking these back to the overall goals of your organisation is key.
• 2. Celebrate milestones big and small
• It’s not just the big wins that should be acknowledged: setting
and celebrating mini-milestones keeps employees motivated in
their day-to-day roles.
• In addition to yearly or quarterly goals, set goals to track what
your people are achieving on a weekly or monthly basis. These
don’t have to be performance-driven or KPI-focused (Key
performance indicators). They can be social or cultural, or they
can focus on personal development – for example, setting a
goal for dealing with challenging stakeholders.
• Celebrating milestones is also about understanding the
challenges your people are facing. When a mini-milestone
isn’t met, take the opportunity to see what’s blocking your
team’s progress, how it can be overcome, and whether the end-
goal needs to be re-assessed.
• 3. Provide meaningful feedback
• Praise is always welcome, but becomes far more meaningful when
it is linked to concrete examples. “Great presentation, well done,” is
nice feedback to receive, but “Great presentation, your explanation
of how this impacts our customer base will help us improve
customer loyalty,” pinpoints exactly how someone’s contribution
benefits the company. Giving specific, targeted feedback tells your
team that you’re paying attention.
• The same goes for providing constructive feedback on areas of
improvement: keep this feedback personalized and actionable.
Consider the golden ratio of 5:1 – if you deliver five positive
takeaways to one negative piece of feedback, people won’t feel
overwhelmed with criticism. The goal should be to help your people
grow and develop, so providing ongoing, timely feedback is crucial.
• 4. Empower problem solving and learning
• Create space for your people to solve their own problems. You
can provide support and guidance, but it’s important to let
employees lead with their own ideas and solutions. That way,
they’ll know their skills and perspectives are valued. Of the 560
employees surveyed in Deloitte’s Talent 2020 report 42% of
respondents looking for a new role believed their current job did
not make good use of their skills and abilities. Nurturing a
culture where problem solving and learning is encouraged
means:
• Listening to your team’s ideas
• Embracing their unique skills
• Encouraging self-directed learning
• Allowing them to take ownership of their work
• Creating a safe space where failure is framed as a learning
opportunity
• 5. Follow through on promises
• Keep employees motivated by establishing an atmosphere of
trust and consistency that’s sustained from the top-down.
• Be mindful of the promises you make: these can have a direct
impact on employee engagement because as a manager, you
represent the organisation.
• Going back on a promise violates an employee’s psychological
contract: this is the unwritten – but no less real – set of
expectations of the employment relationship.
• This implicit contract exists as a two-way exchange: in return
for hard work an employee gets the promotion, learning
opportunities, conference trips, or opportunity to participate in
the interesting project. If an employee’s hard work is met
without the promised reward, it’s not just motivation that
suffers. It can also lead to feelings of resentment and betrayal,
which inevitably leads to increased employee turnover.
• 6. Experiment and learn
• There is no magical, one-size-fits-all formula for keeping
employees motivated.
• Maintaining motivation in your people is an ongoing task
filled with opportunities to experiment and learn what works
(and what doesn’t work) for your team.
• These are just a few approaches to keep in mind as you look
for better ways to keep your employees happy, engaged and
energized.
 PERCEPTUAL PROCESS
• Perception is an intellectual process of transforming sensory
stimuli to meaningful information. It is the process of
interpreting something that we see or hear in our mind and use it
later to judge and give a verdict on a situation, person, group etc.
• It can be divided into six types −
• Of sound − The ability to receive sound by identifying
vibrations.
• Of speech − The competence of interpreting and understanding
the sounds of language heard.
• Touch − Identifying objects through patterns of its surface by
touching it.
• Taste − The ability to receive flavor of substances by tasting it
through sensory organs known as taste buds.
• Other senses − They approve perception through body, like
balance, acceleration, pain, time, sensation felt in throat and
lungs etc.
• Of the social world − It permits people to understand other individuals
and groups of their social world. Example − Priya goes to a restaurant
and likes their customer service, so she will perceive that it is a good
place to hang out and will recommend it to her friends, who may or
may not like it. Priya’s perception about the restaurant is good.
• Perception is a process consisting of several sub processes.
• We can take an input –throughput output approach to understand
the dynamics of the perceptual process.
• This approach emphasizes that there is input which is processed and
gives output.
• The stimuli in the environment-objects, events, or people-can be
considered as the perceptual inputs.
• The actual transformation of these inputs through the perceptual
mechanism of selection, organization, and interpretation can be treated
as the throughputs, and the resultant opinions, feelings, attitudes etc.
which ultimately influence our behaviour, can be viewed as the
perceptual outputs.
 PERCEPTUAL PROCESS
• Perceptual process are the different stages of perception we go
through. The different stages are −
– Receiving
– Selecting
– Organizing
– Interpreting

• Receiving
• Receiving is the first and most important stage in the process of
perception.
• It is the initial stage in which a person collects all information and
receives the information through the sense organs.
• Selecting
• Selecting is the second stage in the process.
• Here a person doesn’t receive the data randomly but
selectively.
• A person selects some information out of all in accordance
with his interest or needs.
• The selection of data is dominated by various external and
internal factors.
– External factors − The factors that influence the
perception of an individual externally are intensity, size,
contrast, movement, repetition, familiarity, and novelty.
– Internal factors − The factors that influence the perception
of an individual internally are psychological requirements,
learning, background, experience, self-acceptance, and
interest.
• Organizing
• Keeping things in order or say in a synchronized way is
organizing.
• Organising the data received
• We can organize the data by −
• Grouping - similarity, proximity, closure, continuity.
• Establishing a figure ground is the basic process in perception.
Figure- what is kept as main
Ground- background stimuli, which are not given attention.
• Perceptual constancy that is the tendency to stabilise perception so
that contextual changes don’t affect them.
• Interpreting
• interpreting is forming an idea about a particular object
depending upon the need or interest. Interpretation means that
the information we have sensed and organized, is finally given
a meaning by turning it into something that can be categorized.
It includes stereotyping, halo effect etc.
 Importance of Perception in OB
• We need to understand what the role of perception in an
organization is. It is very important in establishing different
role of perceptions like −
• Understanding the tasks to be performed.
• Understanding associated importance of tasks allotted.
• Understanding preferred behavior to complete respective tasks.
• Clarifying role perceptions.
• For example, every member in a group has to be clear
regarding the role allotted to them. Programmer writes the
code, tester checks it, etc.
 ATTITUDE
• Generally, value has been taken to mean moral ideas, general
conceptions or orientations towards the world or sometimes simply
interests, attitudes, preferences, needs, sentiments and dispositions.
• But sociologists use this term in a more precise sense to mean “the
generalized end which has the connotations of rightness, goodness or
inherent desirability”.
• It is important and lasting beliefs or ideals shared by the members of a
culture about what is good or bad and desirable or undesirable.
• It has a major influence on a person’s behaviour and attitude and
serves as broad guidelines in all situations.
• The value represents basic convictions that a specific mode of conduct
or end-state of existence is personally or socially preferable to an
opposite or converse mode of conduct or end-state of existence.
• Values Definition – What is Values?
• Values defined in Organizational Behavior as the collective
conceptions of what is considered good, desirable, and proper
or bad, undesirable, and improper in a culture.
• Some common business values are fairness, innovations and
community involvement.
• According to M. Haralambos, “A value is a belief that something
is good and desirable”.
• According to R.K. Mukherjee, “Values are socially approved
desires and goals that are internalized through the process of
conditioning, learning or socialization and that become subjective
preferences, standards, and aspirations”.
• ”
According to Zaleznik and David, “Values are the ideas in the
mind of men compared to norms in that they specify how people
should behave. Values also attach degrees of goodness to
activities and relationships”.

According to I. J. Lehner and N.J. Kube, “Values are an integral

part of the personal philosophy of life by which we generally
mean the system of values by which we live. The philosophy of
life includes our aims, ideals, and manner of thinking and the
principles by which we guide our behavior”.

According to T. W. Hippie, “Values are conscious or

unconscious motivators and justifiers of the actions and
judgment
• A value is a shared idea about how something is ranked in terms
of desirability, worth or goodness.
• Thus, values are collective conceptions of what is considered
good, desirable, and proper or bad, undesirable, and improper in
a culture.
• Familiar examples of values are wealth, loyalty, independence,
equality, justice, fraternity and friendliness.
 Characteristics of Value
• These are extremely practical, and valuation requires not just
techniques but also an understanding of the strategic context.
• These can provide standards of competence and morality.
• These can go beyond specific situations or persons.
• Personal values can be influenced by culture, tradition, and a
combination of internal and external factors.
• These are relatively permanent.
• These are more central to the core of a person.
• Most of our core values are learned early in life from family,
friends, neighborhood school, the mass print, visual media and
other sources within the society.
• Values are loaded with effective thoughts about ideas, objects,
behavior, etc.
• They contain a judgmental element in that they carry an individual’s
ideas as to what is right, good, or desirable.
• Values can differ from culture to culture and even person to person.
• Values play a significant role in the integration and fulfillment of
man’s basic impulses and desire stably and consistently appropriate
for his living.
• They are generic experiences in social action made up of both
individual and social responses and attitudes.
• They build up societies, integrate social relations.
• They mold the ideal dimensions of personality and depth of culture.
• They influence people’s behavior and serve as criteria for evaluating
the actions of others.
• They have a great role to play in the conduct of social life. They
help in creating norms to guide day-to-day behavior.
• The values of a culture may change, but most remain stable
during one person’s lifetime.
• Socially shared, intensely felt values are a fundamental part of
our lives. These values become part of our personalities. They
are shared and reinforced by those with whom we interact.
• Since values often strongly influence both attitude and
behavior, they serve as a kind of personal compass for
employee conduct in the workplace.
• These help to determine whether an employee is passionate
about work and the workplace, which in turn can lead to
above-average returns, high employee satisfaction, strong team
dynamics, and synergy.
 TYPES OF VALUES
• The values that are important to people tend to affect the types of
decisions they make, how they perceive their environment, and
their actual behaviors.
• There are two types of values;
– Terminal Values.
– Instrumental Values.
• Terminal Values
• These are values that we think are most important or most
desirable.
• These refer to desirable end-states of existence, the goals a person
would like to achieve during his or her lifetime.
• They include happiness, self-respect, recognition, inner harmony,
leading a prosperous life, and professional excellence.
 • Instrumental Values
• Instrumental values deal with views on acceptable modes of
conductor means of achieving the terminal values.
• These include being honest, sincere, ethical, and being
ambitious. These values are more focused on personality traits
and character.

Terminal Values Instrumental Values

A comfortable life (a prosperous life) Ambitious (hardworking)

An exciting life (a stimulating, active life) Broadminded (open-minded)

A sense of accomplishment (lasting
Capable (competent, efficient)
contribution)
A world of peace (free of war and conflict) Cheerful ( lighthearted, joyful)
A world of beauty (the beauty of nature and
Clean (neat, tidy)
the arts)
Equality (brotherhood, equal opportunity for
Courageous (standing up for your beliefs)
all)
Family security (taking care of loved ones) Forgiving (willing to pardon)

Freedom (independence, free choice) Helpful (working for the welfare of others)

Happiness ( contentedness) Honest (sincere, truthful)

Inner harmony (freedom from inner conflict) Imaginative (daring, creative)

Mature love (sexual and spiritual intimacy) Independent (self-reliant, self-sufficient)

National security (protection from attack) Intellectual (intelligent, reflective)

Pleasure (an enjoyable, leisurely life) Logical (consistent, rational)

Salvation (saved, eternal) Loving (affectionate, tender)
Self-respect(self-esteem) Obedient (dutiful, respectful)
Social recognition (respect, admiration) Polite (courteous, well-mannered)

A true friend (close companionship) Responsible (dependable, reliable)

Self-controlled (restrained, self-
Wisdom ( a mature understanding of life)
• Types of Values
• Allport and his colleagues classification:
• Social: It assigns the highest value to the love of people.
• Theoretical: Places high importance on the discovery of truth
through a critical and rational approach. A scientist, for
example, values truth.
• Economic: Highlights the useful and practical.
• Aesthetic: Places the highest value on form and harmony.
• Political: Places emphasis on acquisition of power and
influence.
• Religious: Is associated with the unity of experience and
understanding of the cosmos as a whole.
 Scale Description of value Typical occupation
Social Helping people Social work
Theoretical Search for truth Professor
Economic Pragmatic, applied Business
Aesthetic Artistic value Artist
Political Power and influence politics
Religious Religion, Harmony Clergy
 WORK VALUES
• Have direct implications for behaviour and attitudes in
organizations.
• The work values most pertinent to individuals are
achievement, concern for others, honesty, and fairness.
• They are the principles upon which everyone in the
organization operates, these are the end states people desire
and feel they ought to be able to realize through working.
• Work values are an employee’s personal conviction about one
should expect from and how one should behave at work.
• Work values are more particular than personal values, and
have direct implications for behaviour and attitudes in
organizations. The work values most pertinent to individuals
are achievement, concern for others, honesty, and fairness.
Work values that investigators in organizational behaviour recognized
are classified into two categories such as intrinsic and extrinsic
work values.
Intrinsic work values Extrinsic work values
Interesting work High pay
Challenging work Job security
Learning new things Job benefits
Making important contributions Status in wider community
Reaching full potential at work Social contacts
Responsibility and autonomy Time with family
Being creative Time with hobbies

Hofstede (2001) stated that work values are important as they are an
excellent measure of culture in that they are shaped more by
sociological and cultural factors than individual psychological
differences. The work values of an organization’s employees will
influence that organization in many ways, from conflict resolution, to
its ability to change, to communication, to employee motivation.
 ETHICAL VALUES

• ethical values which are one’s personal conviction

about what is right and wrong.
• These values help employees to decide right course of
actions and guide their decision making and behaviour.
• Hofstede (2001) stated that work values are important
as they are an excellent measure of culture in that they
are shaped more by sociological and cultural factors
than individual psychological differences. The work
values of an organization’s employees will influence
that organization in many ways, from conflict
resolution, to its ability to change, to communication,
to employee motivation.
• There have been many theories about values. One is the
Allport, Vernon, Lindzey "Study of Values" which found
that there are six types of values: theoretical, economic,
aesthetic, social, political, and religious. The combination of
these values and their relative strength, they found, could
predict one's success in certain occupations.
• Another very popular value theory is that of Milton Rokeach.
The Rokeach Value Survey measures the ranking of 18
terminal values (desired goals of your life such as happiness or
true friendship) and 18 instrumental values (ways of behaving
to achieve the end values such as cheerful, helpful, and
ambitious). Rokeach's survey has been used in many U.S.
based and international studies. Like Allport et. al., Rokeach
concluded that people attracted to the same occupations tend to
show the same value profiles.
 ATTITUDE
• In management studies, it is established that values are linked to
attitudes that a value serves as a way of organizing.
• Theorists stated that attitudes are formed by the interaction of
situations, experiences and values.
• Attitudes are learned, and carried into the work environment
• . Attitudes are an essential part of the place of work that directly
affects behaviour of employee.
• Attitudes are generally positive and negatives views of person, place,
thing or event.
• Attitudes help a person to cope up to a new situation or a context and
to decide how to behave in future to succeed in their target.
• When the environment seems unfriendly, attitude has ‘ego-defensive’
role for protection of the self-image of the individual.
• All attitudes are learned, and people’s attitudes vary based on
their experiences and learning environment.
• Attitudes of people are formed is through social learning
which involves the influences of family, peers, colleagues, and
institutions.
• COMPONENTS OF ATTITUDE
• Cognitive: This element of attitude shows person’s thoughts,
beliefs and ideas about something. Characteristically these
come to light in generalities or stereotypes.
• Affective: This component is associated with feelings or
emotions that are brought to the surface about something, such
as fear or hate.
• Conative: This is also known as the behavioural component
and centres on individuals acting a certain way towards
something.
•
Components of Attitudes