Understanding Workplace Dynamics: OB Principles
- Challenges and Opportunities in Organizational Behavior
In today’s workplace, there are many challenges and opportunities in the area of Organizational Behavior (OB). Understanding OB is more important than ever for managers, as organizations are changing at a much more rapid pace than historically seen.
- Responding to economic pressures
- Responding to globalization
- Managing workplace diversity
- Improving customer service
- Improving people skills
- Working in networked organizations
- Enhancing employee well-being at work
- Creating a positive work environment
- Improving ethical behavior
- Major Job Attitudes, Benefits, and Consequences
Attitudes are evaluative statements about objects, people, or events. They reflect a favorable or unfavorable view, indicating how one feels about something.
The field of organizational behavior focuses on how attitudes influence the workplace.
- Job satisfaction is the positive feeling about a job resulting from an evaluation of its characteristics.
- Job involvement examines the degree of psychological identification with the job.
- Psychological empowerment is the belief in one’s influence over the job, competence in the job, and job meaningfulness.
- Organizational commitment involves identifying with a particular organization and its goals. There are three dimensions: affective, continuance, and normative. Organizational commitment has been found to relate to performance, particularly for new employees.
- Employees also respond to how they perceive organizational support. The more support they believe they are receiving, the more positive their job attitude will be.
- Engagement is increasingly linked to many positive work outcomes.
Evidence suggests these attitudes are highly related, perhaps to a degree that raises questions about useful distinctions. While there is some distinctiveness among attitudes, they overlap significantly for various reasons, including employee personality.
- The Myers-Briggs Type Indicator (MBTI) Personality Framework
- Extroverted or Introverted (E/I)
- Sensing or Intuitive (S/N)
- Thinking or Feeling (T/F)
- Judging or Perceiving (J/P)
The MBTI is the most widely used personality instrument worldwide. Participants are classified on four scales to determine one of 16 possible personality types, broken down into four dichotomies. Extroverts tend to be sociable and assertive, while introverts are quiet and shy. Sensing individuals are practical and orderly, whereas intuitive individuals utilize unconscious processes. Thinking focuses on using reason and logic, while feeling utilizes values and emotions. Judging types prefer order and structure, while perceiving types are more flexible and spontaneous.
- The Big Five Personality Model
- Extraversion
- Agreeableness
- Conscientiousness
- Emotional Stability
- Openness to Experience
The Big Five model posits that five basic dimensions underlie all others and encompass most significant variations in human personalities. Extensive research supports the Big Five model, demonstrating its ability to predict behavior at work.
- Holland’s Personality-Job Fit Theory
- Job satisfaction and turnover depend on the congruency between personality and task.
- People in jobs congruent with their personality should be more satisfied and less likely to voluntarily resign than people in incongruent tasks.
John Holland’s person-job fit theory is critical to understanding how individuals fit with specific jobs. Holland classified people into six personality types using a vocational preference inventory:
- Realistic
- Investigative
- Artistic
- Social
- Enterprising
- Conventional
Through the study of personality, it’s clear that intrinsic differences exist between people. Given the variety of jobs available, it is logical that individuals in jobs congruent with their personalities would experience greater work satisfaction. When personality aligns with occupation type, stronger positive work outcomes are observed.
- Attribution Theory and Attribution Errors
Attribution Theory suggests that perceivers try to attribute observed behavior to a cause:
- Internal – Behavior is believed to be under the personal control of the individual.
- External – The person is forced into the behavior by outside events or causes.
Attribution theory helps us understand our perceptions of others. Research indicates that our perceptions are based on assumptions we make. The theory states that when we observe behavior, we try to determine if it is internally or externally driven. Internally driven behavior is under the person’s control, whereas external causes are not.
- Rational and Bounded Rational Decision Making
The rational decision-making model is seldom used in practice; it’s more of a goal than a practical method. This model assumes a perfect world for decision-making, with complete information, identification of every option, and maximum payoff.
- Define the problem
- Identify the decision criteria
- Allocate weights to the criteria
- Develop the alternatives
- Evaluate the alternatives
- Select the best alternative
The second concept, bounded rationality, acknowledges the limited information-processing capability of human beings, making it impossible to assimilate all necessary information for optimization. It represents the real world, seeking solutions that are the best given available information. Bounded rationality constructs simplified models that identify essential problem features without delving into all complexities.
- Early Theories of Motivation
Maslow’s Hierarchy of Needs Theory
Developed by Abraham Maslow in the 1950s, this theory states that every individual has a hierarchy of five needs:
- Self-actualization
- Esteem
- Social
- Safety
- Physiological
As each need is met, the next becomes dominant. The theory posits that individuals remain at their current need level until it is satisfied, after which they can progress to the next level.
McGregor’s Theory X and Theory Y
Douglas McGregor expanded on motivation work in the 1950s with Theory X and Theory Y. He believed managers hold two distinct views of human beings. Theory X is negative, assuming workers have little ambition, dislike work, and avoid responsibility. Theory Y contrasts this, positing that workers are self-directed, enjoy work, and accept responsibility.
Herzberg’s Two-Factor (Motivation-Hygiene) Theory
Herzberg’s Two-Factor theory posits that satisfaction and dissatisfaction are not opposites but separate concepts. Certain factors, called hygiene factors (e.g., salary, working conditions, company policies), help avoid dissatisfaction. Other factors, called motivators (e.g., growth, responsibility, achievement), promote satisfaction.
McClellan’s Theory of Needs (Three Needs Theory)
- Need for Achievement: The drive to excel.
- Need for Power: The need to make others behave in a way they would not have otherwise.
- Need for Affiliation: The desire for friendly and close interpersonal relationships.
- Contemporary Theories of Motivation
- Self-Determination Theory: People prefer control over their actions. When forced to do something they previously enjoyed, motivation decreases.
- Goal-Setting Theory: This theory suggests that specific, challenging goals, coupled with self-generated feedback, can lead to higher performance. Difficult goals help individuals focus, direct attention, and energize effort. Goal difficulty increases persistence and promotes effectiveness and efficiency. The relationship between goals and performance depends on individual commitment and task specificity.
- Equity Theory
Employees weigh their job inputs (e.g., effort, skills) against their job outcomes (e.g., salary, recognition). They compare their input-outcome ratio to that of others. Perceived inequity can lead to reduced motivation or other negative behaviors.
- Expectancy Theory
This theory highlights three key relationships:
- Effort-performance: The perceived probability that exerting effort leads to successful performance.
- Performance-reward: The belief that successful performance leads to desired outcomes.
- Rewards-personal goals: The attractiveness of organizational outcomes (rewards) to the individual.
The theory argues that the strength of a tendency to act in a certain way depends on the expectation of receiving a desired outcome. Employees are more willing to work harder if they believe their actions will lead to desired outcomes. For example, employees may work longer hours if they anticipate rewards like promotion, recognition, or pay increases.
- The Job Characteristics Model
The Job Characteristics Model describes jobs in terms of five core dimensions:
- Skill variety: The degree to which a job requires a variety of skills and talents.
- Task identity: The degree to which a job requires completing a whole and identifiable piece of work.
- Task significance: The degree to which the job impacts the lives of others.
- Autonomy: The degree of freedom and independence workers have in their jobs.
- Feedback: The degree to which the job generates direct and clear information about a worker’s performance.
These dimensions influence employee motivation, satisfaction, and performance.
- Comparing Groups and Teams
Work groups and work teams differ in their goals, synergy, accountability, and skills. Their functions are distinct. Work groups share information, while work teams collaborate for collective performance. Synergy is neutral in groups, whereas teams exhibit positive synergy. Accountability can be individual in both, but it is more often mutual in teams. Group skills can be varied, while team skills need to be complementary.
- Four Types of Teams
- Problem-solving teams are a popular method where teams meet regularly to address specific issues.
- Self-managed work teams consist of individuals performing highly related or interdependent jobs, taking on responsibilities typically held by supervisors. Their effectiveness depends on the situation and group goals.
- Cross-functional teams bring together employees from different work areas to accomplish tasks requiring multiple perspectives. They are effective for developing new ideas, solving problems, or coordinating complex projects. Due to the complexity and diversity of their tasks, these teams may require time to become productive.
- Virtual teams are increasingly used, leveraging computer technology to connect people for a common goal. They often begin work quickly with minimal socializing but must overcome time and space constraints. Effective virtual teams require trust, close monitoring, and publicized results.
- Creating Effective Teams
The three key components of effective teams are context, composition, and process variables.
- The Five-Stage Model of Group Development
Group: Two or more individuals interacting and interdependent, who come together to achieve particular objectives.
- The forming stage involves uncertainty as members figure out roles and group norms.
- The storming stage occurs as roles develop and conflict arises among members.
- As members develop closer relationships and cohesiveness, they move into the norming stage.
- When the group functions well and achieves goals, it enters the performing stage.
- For temporary groups, the final stage is adjournment, where activities are wrapped up.
- Six Group Properties
- Role: The set of expected behavior patterns attributed to occupying a given position in a social unit.
- Norms: Acceptable standards of behavior within a group, shared by its members.
- Status: A socially defined position or rank given to groups or group members by others.
- Size: Smaller groups are faster at completing tasks and members perform better. Larger groups are consistently better at problem-solving.
- Cohesiveness: The degree to which members are attracted to each other and motivated to remain in the group.
- Diversity: The degree to which members are similar to or different from one another.
- Strengths and Weaknesses of Group Decision Making
Strengths:
- Generate more complete information and knowledge.
- Increase diversity of views.
- Enhance acceptance of a solution.
Weaknesses:
- Takes longer.
- Subject to conformity pressures.
- Discussions can be dominated by one or a few members.
- Ambiguous responsibility for the final outcome.
Social loafing occurs when individuals exert less effort in groups than they would individually. Initially, group productivity may increase, but as the group grows, individual contribution can decrease. This may happen if members feel their individual inputs are not recognized or if they allow others to take responsibility (free-riding).
- Trait Theories of Leadership
Leadership: The ability to influence a group toward the achievement of a vision or set of goals.
Trait theories of leadership: Focus on personal qualities and characteristics.
Trait theory examines personality, social, physical, or intellectual traits that differentiate leaders from non-leaders. Essential leadership traits include extraversion, conscientiousness, openness, agreeableness, and emotional intelligence (EI), though the EI-leadership link is still being explored. While traits are widely accepted as predictors of leadership, they are more likely to predict leadership emergence than leadership effectiveness.
- Behavioral Theories of Leadership
Behavioral theories of leadership: Suggest that leadership effectiveness can be determined by leader behavior, and leaders can potentially be trained. These theories focus on the premise that behaviors can be taught, unlike traits, implying leaders are made, not born.
- Contingency Theories of Leadership
- Fiedler leadership model: Effective group performance depends on matching the leader’s style with the degree to which the situation grants the leader control. Fiedler’s theory aims to match leaders to contexts, proposing that leadership style is fixed. If a situation requires a charismatic leader and the current leader doesn’t exhibit that style, a change in leadership may be necessary.
- Situational leadership theory (SLT): Successful leadership depends on selecting the appropriate leadership style contingent on the followers’ readiness to accomplish a task.
- Path-goal theory: It is the leader’s responsibility to provide followers with the information, support, or other resources necessary to achieve their goals.