Impact of Organizational Behavior on Individuals and Groups
Disciplines
Psychology
Sociology
Social psychology
Economics
Engineering
Importance of Organisational Behavior
Creates sustainable competitive advantage
Organisational component
Company culture
Problem solving
Organisational Behavior Models
Autocratic
Custodial
Collegial
Supportive
Importance of Cross Cultural Management
Facilitates effective communication
Enhances employee engagement and inclusion
Drives innovation and creativity
Expands global market reach
Builds competitive advantage
Key Components of Job Satisfaction
Nature of work
Relationships
Compensation and benefits
Perception
Perception may be defined as a process by which individuals organise and interpret their sensory impressions in order to give meaning to their environment
Selective perception
Stereotype
Halo effect
First impression error
Projection error
Johari Window
Open self
Blind spot
Hidden self
Unknown self
Differentiate Group and Team
Purpose and goals
Interdependence
Specific roles and responsibilities
Communication and collaboration
Accountability
Properties of Groups
Roles
Norms
Status
Size
Diversity
Stages of Group Development
Forming
Storming
Bases of Power
Legitimate power
Reward power
Coercive power
Expert power
Referent power
Negotiating Strategies
Dominating
Accommodating
Avoiding
Collaborative
Compromising
Human Resource Management
Facilitates human resource planning. Human Resource Planning is a process of identifying manpower requirements in terms of quality and quantity, to undertake various activities of the organization. For effective planning, the human resource manager must find out the trends in the labor market, expectations of prospective employees, labor laws.
Acquisition function – Acquiring the manpower required by an organization from time-to-time. The basic principle in acquisition is the right man for the right job, it includes manpower planning and forecasting, recruitment, selection, appointment.
Placement function – The HR manager is also responsible for the proper placement of employees in the organization. Placement involves assigning the job for which the selected candidate has the skill and aptitude. It brings job satisfaction to employees and higher production to the organization.
Performance Appraisal – The HR manager may be involved in designing or undertaking performance appraisal programs in the organization. The performance of employees should be monitored and reviewed periodically.
Induction training – The HR manager must provide proper training to the employees. When a new person is selected, he is given induction training where the newcomer is made aware of the procedures, practices, systems of the organization.
Career Development – HRM facilitates the career development of the employees in the organization. Employees expect that the organization should help not only to plan the career but also give them an opportunity to develop properly in their career by properly synchronizing individual and career goals.
Employee’s welfare – HRM offers various welfare facilities to the employees. They include medical, educational, recreation, housing, transport, and so on. These facilities are given for raising their efficiency and for making their life happy. Welfare facilities create an efficient and satisfied labor force. To introduce new labor welfare facilities and to maintain the existing facilities is one of the functions of personnel management.
Compensation function – The compensation to be paid to the employees must be finalized. The compensation should be such that it motivates the employees to put in their best efforts. Nowadays companies are offering flexible compensation plans whereby the employees are given the choice to select any plan out of the multiple plans offered to the employees.
Maintaining cordial relations – This HR function relates to maintaining good relations between management group and other groups of employees, particularly operative staff. This function involves the designing of an industrial relations system, managing discipline, settlement of employee grievances, and managing disputes between management and operatives effectively.
Maintenance function – Physical and mental health of employees
Job Analysis
Details of job analysis falls of a job to be measured, a process of collecting information about a job. It gives performed and the human qualities and qualifications required for performing that job efficiently. It is a scientific and systematic analysis of a job to obtain all relevant facts about the job. Job analysis is performed upon ongoing jobs.
Advertisement – The next step is to advertise the job. The job can be advertised through various media. The right details about the job and the candidate must be given in the advertisement.
Application Blank – It is a prescribed form of the company which helps to obtain information about the candidate in respect of social, biographic, academic, work experience, references, etc. The application blank helps to provide input for the interview.
Sorting of Applications – After the last date fixed for the receipt of applications, officers from the personnel department start the scrutiny of applications received. Incomplete applications are normally rejected. Applicants who do not possess required qualifications, experience, etc. are also rejected. Along with this, the certificates, testimonials, and references are checked.
Written Test – After the applications are scrutinized, a written test is conducted where objective type questions are asked. The questions test the candidate’s reasoning power, mathematical ability, conceptual understanding, language skill, etc. Depending upon the number of vacancies, a specific number of candidates are declared eligible for further interview and group discussion.
Psychological Tests – The psychological tests given to candidates include the following tests: Intelligence test, Aptitude test, Interest test, Achievement test, Analytical test, performance test, synthetic test, and personality test. Each test needs to be given separately and each test is useful for judging the suitability of a candidate to be selected for the executive post.
Personal Interview – Personal interview is an oral examination of an applicant for employment. Generally, a panel of experts in the concurrent area conducts the interview. Personal interview provides first-hand information about the aspirant and gives them a chance to check his antecedents.
Reference check – The candidate is required to give at least two references which may be educational, social, and employment. These references help to cross-check the information provided by the candidate.
Medical examination – The candidate must undergo a medical checkup in order to find out whether he is mentally and physically fit to fulfill the job responsibilities. Generally, the organization notifies the hospital where such tests are to be conducted.
Final selection for appointment – The selection procedure comes to an end when the final appointment letter is sent to the candidate with a request to join the organization on a particular date. The letter states the post, title of the job, the salary, and terms and conditions of employment. At times, a contract of service is signed by both the employer.
Performance Appraisal Process
1. Establish Performance Standards: This initial step involves setting clear expectations for employee performance. This typically involves creating goals using the SMART method (Specific, Measurable, Achievable, Relevant, and Time-bound). These goals should be collaboratively developed between the employee and their manager to ensure alignment and buy-in.
2. Communicate Performance Standards: Once the performance standards are established, they need to be effectively communicated to the employee. This ensures the employee understands exactly what is expected of them throughout the appraisal period.
3. Measure Employee Performance: Throughout the appraisal period, the manager should be tracking the employee’s progress towards the established goals. This involves collecting data, observing performance, and gathering feedback from others.
4. Compare Performance with Set Standards: Once the appraisal period is over, the manager compares the employee’s actual performance against the predetermined standards established in step one.
5. Discuss Appraisals with Employees: After comparing, discuss the appraisal with the employee. This provides feedback on the employee’s performance and gives the opportunity to ask questions and discuss their contributions. A meeting is held where the manager and employee have a two-way discussion.
6. Implement Appraisal & Review: The final step involves taking action based on the appraisal discussion. This may involve setting new goals, providing additional training or development opportunities, or implementing recognition and reward systems.
Traditional Techniques of Performance Appraisal
1. Check List: In this case, a list is prepared containing various work-related statements such as quality of work, speed, etc. The rater indicates the individual performance by checking yes or no squares to various statements. The main advantages are its simplicity, convenience, less time-consuming, and less expensive.
2. Confidential Reports: In this case, superiors are asked to prepare confidential reports on the subordinates assigned to them. Such reports are prepared in the case of supervisory staff and managers. Various aspects such as achievements, weaknesses, major mistakes, merits, good work done, etc. are recorded in such a report. It is used even at present in government departments and educational institutions, where supervisors prepare confidential reports about their subordinates.
3. Critical Incident Methods: In this method, the rater records important incidents involving the ratee. If the ratee performs well in such incidents, then he is given high scores and vice-versa. For example, in a particular incident in which a salesman convinces an argumentative customer to buy a particular product, then the salesman’s performance may be given a higher score.
4. Ranking Methods: This method involves giving ranks to the employees depending upon their possession or absence of a particular trait say consistency. An employee possessing most of the traits is given the first rank and one having the least qualities is ranked last, with others ranked in between depending upon the possession of a number of traits. This method is suitable if the number of employees is less. However, exact differences in the abilities of different employees cannot be found.
Modern Techniques of Performance Appraisal
1. Role Analysis: Role analysis is a process of analyzing the role of a manager in relation to roles of other managers or members who are affected by his performance. The role set members can conduct performance appraisal of the focal role. The focal role can make necessary changes to improve this performance.
2. Assessment Centers: An assessment center is a central location where managers come together to have their participation in job-related exercises evaluated by trained observers. Managers are evaluated over a period of time, say one to three days, by observing their behavior. In an assessment center, the common characteristics evaluated include creativity, persuasive ability, mental alertness, communication skill, self-confidence, administrative ability, resistance to stress, and so on.
3. Management by Objectives (MBO): This technique can be used to measure the performance of subordinate or lower-level managers. In MBO, the process involved i.e. the superior and subordinate jointly define common goals, frame plans, implement plans, review plans, etc. where performance appraisal of subordinate manager takes place.
4. Behaviorally Anchored Rating Scale (BARS): Behaviorally Anchored Rating Scale is a variation of a simple graphic scale. In this case, behavior of the employee towards the job, behavior of colleagues, customers, etc. is found out. It is necessary to have a friendly and well-mannered behavior towards people with whom the employee interacts. Behavior may also be influenced by the job. Rating is given on a rating scale about the various aspects which represent the behavior of the individual.