Monday, January 16, 2023

Organisational Behaviour: Personality

  PERSONALITY 

PERSONALITY DEVELOPMENT   

The personality development of an  individual starts  at  birth and  continues throughout.  

Three major types of factors play important roles in personality formation.  They are determinants, stages and traits. 


Determinants:  The most widely studied determinants of personality are biological, social 

and cultural.  Hereditary characteristics (eg body shape and height) and the social context (family and friends) and cultural context (religion and values) in which people grow up interact to shape personality.  As people grow into adulthood, their personalities become very clearly defined and  generally stable. 

Stages and Traits:  Sigmund Freud saw human personality development as progressing through four stages: dependent, compulsive, oedipal and mature.  The concept of stages of growth provides  a valuable  perspective  from which  to  view  organisational behaviour.    Experienced managers become aware of the stages that their employees often go through and they learn how to deal with these stages to promote maximum growth for the individual and for the organisation.  

Trait : approaches to personality formation are also based on psychology.  According to some trait theories, all people share common traits, like social, political, religious and aesthetic 

preferences but each individual’s disposition differentiates that person from all others. 


Personality Factors in Organisations 

Some of  the important  personality  factors that determine what  kind of behaviours  are 

exhibited at work include the following : 

1. Need Pattern 

2. Locus of Control 

3. Introversion and Extroversion 

4. Tolerance for Ambiguity 

5. Self-esteem and Self-concept 

6. Authoritarianism and Dogmatism 

7. Risk Propensity 

8. Machiavellianism 

9. Types A and B Personalities 

10. Work-Ethic Orientation 

 


1. Need Pattern : 

 Steers and Braunstein (1976) developed a scale for the four personality needs that manisfest 

themselves in the work setting.  They are: the needs for achievement, affiliation, autonomy and 

dominance. Those who are high in achievement engage themselves proactively in work behaviours in order to feel proud about their achievements and successes; those high in need for affiliation like to work cooperatively with others; those high in need for autonomy function best when not closely supervised; and those high in their need for dominance are very effective while operating in environments where they can actively enforce their legitimate authority. 


2. Locus of Control :   

Locus of control is the degree to which an individual believes that his/her behaviour has 

direct impact on the consequences of that behaviour.  Some people, for example, believe that if 

they work hard they are certain to succeed.  They strongly believe that each individual is in control of his/her life.  They are said to have an internal locus of control.  By contrast, some people think that what happens to them is a result of fate, chance, luck or the behaviour of other people, rather than lack of skills or poor performance.  Because these individuals think that  forces beyond their control dictate what happens to them, they are said to have an external locus of control. 

As a personality attribute, locus of control has clear implications for organisations.  For example, individuals with an  internal locus  of control may  have a relatively  strong desire  to participate in the management of their organisations and have a freedom in how do their jobs.  Thus, they may prefer a decentralised organisation where right of decision-making is given to them and a leader who provides them freedom and autonomy.  They may like a reward system that recognises individual performance and contributions. 

People with an external locus of control, on the other hand, are likely to prefer a more 

centralised organisation where they need not take any decisions.  They may gravitate to structured  jobs where standard procedures are defined for them.  They may prefer a leader who makes most of the decisions and may prefer a reward system that considers mainly seniority rather than merit. 


3. Introversion and Extroversion : 

 Introversion is the tendency in individuals which directs them to  turn  inward  and  experience  and  process  feelings,  thoughts  and  ideas  within  themselves.  

Extroversion, on the other hand, refers to the tendency in individuals to turn outward of themselves  searching for external  stimuli with which  they  can interact.   While there  is some element of  introversion as well as extroversion in all of us, people tend to be dominant as either extroverts or  introverts.  Extroverts  are  sociable,  lively,  gregarious  and  seek  outward  stimuli  or  external interactions.  Such individuals are likely to be most successful working in the sales department, publicity office, personal relations unit, and so on, where they can interact face to face with others.  Introverts, on the other hand, are quiet, reflective, introspective, and intellectual people, preferring 

to interact with a small intimate circle of friends.  Introverts are more likely to be successful when they can work on highly abstract ideas (such as R&D work), in a relatively quiet atmosphere.  Since  managers  have  to  constantly  interact  with  individuals  both  within  and  outside  the organisation and influence people to achieve the organisation’s goals, it is believed that extroverts are likely to be more successful as managers. 


4. Tolerance for Ambiguity : 

 This personality characteristic indicates the level of uncertainty that people can tolerate 

without experiencing undue stress and can still function effectively.  Managers have to work well under conditions of extreme uncertainty and insufficient information, especially when things are rapidly changing in the organisation’s external environment.  Managers who have a high tolerance for ambiguity can cope well under these conditions.  Managers, who have a low tolerance for ambiguity may be effective in structured work settings but find it almost impossible to operate effectively when things are rapidly changing and much information about the future turn of events is not available.  Thus, tolerance for ambiguity is a personality dimension necessary for managerial success. 


5.  Self-Esteem and Self-Concept : 

  Self-esteem denotes  the extent  to  which individuals  consistently regard  themselves  as 

capable, successful, important and worthy individuals.  Self-esteem is an important personality 

factor that determines how managers perceive themselves and their role in the organisation.  Self-esteem is important to self-concept, i.e. the way individuals define themselves as to who they are and derive their sense of identity.  High self-esteem provides a high sense of self-concept; high self-concept,  in  turn,  reinforces  high  self-esteem.    Thus,  the  two  are  mutually  reinforcing.  Individuals high in self-esteem will try to take on more challenging assignments and be successful, thus enhancing their self-concept; i.e. they would tend to define themselves as highly valuable and valued individuals in the organisational system.  The higher the self-concept and self-esteem, the greater will be their contributions to the goals of the organisation, especially when the system rewards them for their contributions. 


6. Authoritarianism and Dogmatism : 

Authoritarianism  is the  extent  to which  an individual  believes that  power and  status 

differences are appropriate within hierarchical social systems like organisations.  For example, an employee who is highly authoritarian may unquestioningly accept directives or orders from his superior with more authority.  A person who is not highly authoritarian may agree to carry out appropriate and reasonable directives from his boss but is also likely to raise questions, express disagreement and even refuse to carry out requests if they are for some reason objectionable. 

Dogmatism is the rigidity of a person’s beliefs and his/her openness to other view points.  

The  popular  terms  ‘close-minded’  and  ‘open-minded’  describe  people  who  are  more and  less dogmatic in their beliefs.  For example, a manager may be unwilling to listen to a new idea for doing something more efficiently.  He is said to be a person with close-minded or highly dogmatic.  A manager in the same circumstances who is very receptive to hearing about and trying out new ideas might be seen as more open-minded or less dogmatic.  Dogmatism can be either beneficial or detrimental to organisations, but given the degree of change in the nature of organisations and their environments, individuals who are not dogmatic are most likely to be useful and productive organisational members. 


7. Risk Propensity:   

Risk-propensity is the degree to which an individual is willing to take chances and make risky 

decisions.  A manager with a high risk propensity might be expected to experiment  with new 

ideas and to lead the organisation in new directions.  In contrast, a manager with low risk 

propensity might lead to a stagnant and overly conservative organisation. 


8.  Machiavellianism : 

  Machiavellianism is manipulation  or influencing of  other people  as  a primary way  of 

achieving one’s goal.  An individual tends to be machiavellian, if he tends to be cool, logical in 

assessing the system around them, willing to twist and turn facts to influence others, and try to gain control of people, events and situations by manipulating the system to his advantage.   


9. Types A and B Personalities : 

Type A persons feel a chronic sense of time urgency, are highly achievement-oriented, 

exhibit a competitive drive, and are impatient when their work is slowed down for any reason.  Type B persons are easy-going individuals who do not sense the time urgency, and who do not  experience the competitive drive.  Type A individuals are significantly more prone to heart attacks than Type B individuals.  While Type A persons help the organisation to move ahead in a relatively short period of time they may also suffer health problems which might be detrimental to both themselves and the organisation in the long-run. 


10.  Work-Ethic Orientation : 

 Some individuals are highly  work-oriented while others try to do the minimum that is 

necessary to get by without being fired on-the-job. The extremely work ethic oriented person gets greatly involved in the job.  Extreme work ethic values could lead to traits of “workohlism” when work becomes to be considered as the only  primary motive for living with very little outside interests. For the workoholic, turning to work can sometimes become a viable alternative to facing non-work-related problems.  Though a high level of work ethic orientation of members is good for the organisation  to  achieve  its  goals,  too  much  “workoholism” which  might  lead  to  premature burnout and health problems is dysfunctional for both organisation and the workoholic members.   


The  above  ten  different  personality  predispositions  are  important  for  individual, managerial and organisational effectiveness. 


Personality Dimensions 

  The big five personality dimensions are – extroversion, agreeableness, conscientiousness, emotional  stability  and  openness  to  experience. Ideally,  these  personality  dimensions  that correlate positively and strongly with job performance would be helpful in the selection, training and appraisal of employees.  The individuals who exhibit traits associated with a strong sense of purpose, obligation and persistence generally perform better than those who do not.  

McGregor’s Participation Theory: Theory X and Theory Y

 McGregor’s Participation Theory: Theory X and Theory Y 



Theory X and Theory Y

Douglas McGregor proposed two theories, Theory X and Theory Y, to explain employee motivation and its implications for management. He divided employees into Theory X employees who avoid work and dislike responsibility and Theory Y employees who enjoy work and exert effort when they have control in the workplace.

He postulated that to motivate Theory X employees, the company needs to enforce rules and implement punishments. For Theory Y employees, management must develop opportunities for employees to take on responsibility and show creativity as a way of motivating. Theory X is heavily informed by what we know about intrinsic motivation, and the role satisfaction of basic psychological needs plays in effective employee motivation.

 In 1960, Douglas McGregor formulated Theory X and Theory Y suggesting two aspects of human behaviour at work, or in other words, two different views of individuals (employees):

  1. one of which is negative, called as Theory X and

  2. the other is positive, so called as Theory Y

According to McGregor, the perception of managers on the nature of individuals is based on various assumptions.

Assumptions of Theory X

  • An average employee intrinsically does not like work and tries to escape it whenever possible.

  • Since the employee does not want to work, he must be persuaded, compelled, or warned with punishment so as to achieve organizational goals. A close supervision is required on part of managers. The managers adopt a more dictatorial style.

  • Many employees rank job security on top, and they have little or no aspiration/ ambition.

  • Employees generally dislike responsibilities.

  • Employees resist change.

  • An average employee needs formal direction.

Assumptions of Theory Y

  • Employees can perceive their job as relaxing and normal. They exercise their physical and mental efforts in an inherent manner in their jobs.

  • Employees may not require only threat, external control and coercion to work, but they can use self-direction and self-control if they are dedicated and sincere to achieve the organizational objectives.

  • If the job is rewarding and satisfying, then it will result in employees’ loyalty and commitment to organization.

  • An average employee can learn to admit and recognize the responsibility. In fact, he can even learn to obtain responsibility.

  • The employees have skills and capabilities. Their logical capabilities should be fully utilized. In other words, the creativity, resourcefulness and innovative potentiality of the employees can be utilized to solve organizational problems.

Thus, we can say that Theory X presents a pessimistic view of employees’ nature and behaviour at work, while Theory Y presents an optimistic view of the employees’ nature and behaviour at work. If correlate it with Maslow’s theory, we can say that Theory X is based on the assumption that the employees emphasize on the physiological needs and the safety needs; while Theory X is based on the assumption that the social needs, esteem needs and the self-actualization needs dominate the employees.

McGregor views Theory Y to be more valid and reasonable than Theory X. Thus, he encouraged cordial team relations, responsible and stimulating jobs, and participation of all in decision-making process.

Implications of Theory X and Theory Y

  • Quite a few organizations use Theory X today. Theory X encourages use of tight control and supervision. It implies that employees are reluctant to organizational changes. Thus, it does not encourage innovation.

  • Many organizations are using Theory Y techniques. Theory Y implies that the managers should create and encourage a work environment which provides opportunities to employees to take initiative and self-direction. Employees should be given opportunities to contribute to organizational well-being.

    Theory Y encourages decentralization of authority, teamwork and participative decision making in an organization. Theory Y searches and discovers the ways in which an employee can make significant contributions in an organization. It harmonizes and matches employees’ needs and aspirations with organizational needs and aspirations.

Theory Z

In response to this theory, a third theory, Theory Z, was developed by Dr. William Ouchi. Ouchi’s theory focuses on increasing employee loyalty to the company by providing a job for life and focusing on the employee’s well-being. It encourages group work and social interaction to motivate employees in the workplace.

Maslow’s Need Hierarchy Theory

Maslow’s Need Hierarchy Theory


Maslow suggested his theory of Human Motivation in 1943. This theory is one of the popular and extensively cited theory of human motivation. Maslow's theory is based on  Hierarchy of Human Needs.

According to Maslow, human behavior is related to his needs. It is adjusted as per the nature of needs to be satisfied. In hierarchy of needs theory of motivation, Maslow identified five types / sets of human need arranged in a hierarchy of their importance and priority. He concluded that when one set of needs is satisfied, it ceases to be a motivating factor. Thereafter, the next set of needs in the hierarchy order takes its place. 

These needs in hierarchy can be compared to a pyramid. At the lowest level, there will be first set of needs which can be described as basic needs or Physiological needs and are universal in character. This will be followed by other sets of needs.

Abraham Maslow organized five major types of human needs into a hierarchy, as shown in Figure. The need hierarchy illustrates Maslow’s conception of people satisfying their needs in a specified order, from bottom to top. 

The needs, in ascending order, are:

  1. Physiological needs
  2. Safety needs
  3. Love belonging
  4. Self-Esteem
  5. Self-actualization




Physiological Needs :


The Physiological needs are the basic needs for sustaining the human life. These needs include food, clothing, shelter, rest, water, air, sleep and sexual satisfaction. These basic human needs (also called as biological needs) lie at the lowest level in the hierarchy of needs as they have priority over all other needs. These needs cannot be postponed for long time. Unless and until these basic physiological needs are satisfied to the required extent, other needs do not motivate to person/employee. A hungry person, for example, is just not in a position to think of anything else except his hunger or food. According to Maslow, 'man lives by bread alone,' when there is no bread. The management attempts to meet such physiological needs through payment of fair wages.



Security / Safety Needs :

These are the needs connected with psychological fear of loss of job, property, natural calamities or hazards, etc. An employee wants and needs protection from such types of fear. He prefers adequate safety and security in this regard i.e. protection from physical danger, security of job, pension at old age, insurance coverage for life, etc. The safety needs come after meeting the physiological needs. Such physiological needs lose their motivational potential when they are satisfied. As a result, safety needs replaces them. They begin to manifest themselves and dominate the human behavior. Safety needs act as motivational forces only if they are unsatisfied.


Social Needs/Love belonging :

An employee is a human being is rightly treated as social animal. He desires or likes to stay in group. Human being feels that he should belong to one or the other group and the member of the group should accept him with the love and affection. Every human being desires to be affiliated to such groups. This is treated as basic social need of an individual. He also feels that he should be loved by the other persons. He needs friends and interaction with his friends and superiors of the group such as fellow employees or his superiors. Social needs occupy third position in the hierarchy of needs.


Esteem Needs :

This category of needs include the need to be respected by others, need to be appreciated by others, need to have the power and finally prestigious position. Once the previous needs are satisfied, a human being feels to be held in esteem both by himself and also by others. Thus, esteem needs are two fold in nature. Self esteem needs include those for self confidence, self-respect, competence, etc. The second groups of esteem needs are those related to one's status, reputation, recognition and appreciation by others. This is a type of personal ego which needs to be satisfied. The Organisation can satisfy this need (ego) by giving recognition to the good work of employees in organisation. Esteem needs do not assume the motivational properties unless the previous needs are satisfied.

Self-actualization Needs :

This is the highest among the needs in the hierarchy of needs advocated by Abraham Maslow. Self actualisation is the desire to become what one is capable of becoming. It is the 'growth' need. A worker must work efficiently if he is to be ultimately happy. Here, a person feels that he should accomplish something in his life. Human want to utilize his potentials to the maximum extent and desires to become what one is capable of becoming. A person desires to have challenges and achieves something special in his life or in the area of his specialization. Though every one is capable of self-actualization, many do not reach this stage. This need is fully satisfied rarely.


How does the Hierarchy Work?

    • A person starts at the bottom of the hierarchy (pyramid) and will initially seek to satisfy basic needs (e.g. food, clothing and shelter)

    • Once these physiological needs have been satisfied, they are no longer a motivator. the individual moves up to the next level

    • Safety needs at work could include physical safety (e.g. protective clothing) as well as protection against unemployment, loss of income through sickness etc.)

    • Social needs recognize that most people want to belong to a group. These would include the need for love and belonging (e.g. working with colleague who support you at work, teamwork, communication)

    • Esteem needs are about being given recognition for a job well done. They reflect the fact that many people seek the esteem and respect of others. A promotion at work might achieve this.

    • Self-actualization is about how people think about themselves - this is often measured by the extent of success and/or challenge at work

Maslow's model has great potential appeal in the business world. The message is clear - if management can find out which level each employee has reached, then they can decide on suitable rewards.


Implications for Management

  • If Maslow's theory holds, there are some important implications for management. There are opportunities to motivate employees through management style, job design, company policies, and compensation packages, some examples of which follow:

  • Physiological needs: Provide lunch breaks, rest breaks, and wages that are sufficient to purchase the essential goods for human life.

  • Safety Needs: Provide a safe working environment, retirement benefits, and the job security.

  • Social Needs: Create a sense of community via team-based projects and social events.

  • Esteem Needs: Recognize achievements to make employees feel appreciated and valued. Offer job titles that convey the importance of the position.

  • Self-Actualization: Provide employees a challenge and the opportunity to reach their full career potential and achieve top positions in their life.

However, not all people are driven by the same needs - at any time different people may be motivated by entirely different factors. It is important to understand the needs being pursued by each employee. To motivate an employee, the manager must be able to recognize the needs level at which the employee is operating, and use those needs as levers of motivation.


Functions of Management Planning, Organizing, Staffing, Directing & Controlling

 Functions of Management 

Planning, Organizing, Staffing, Directing & Controlling

 


“Management is a set of principles relating to the functions of planning, organizing, directing, and controlling, and the applications of these principles in harnessing physical, financial, human, and informational resources efficiently and effectively to achieve organizational goals”.





Management is essential for an organized life and necessary to run all types of organizations. Managing life means getting things done to achieve life’s objectives and managing an organization means getting things done with and through other people to achieve its objectives.


Management jobs have been classified by a number of specialists. Many management experts have spent a significant amount of time and effort researching management functions. They do not, however, agree on a taxonomy of management functions. The fundamental cause of this lack of coherence is that many management experts analyzed management functions through the prism of certain organizations and views. Some of the classifications proposed by some of the writers are listed below.


According to George and Jerry, “the four key functions of management are planning, organizing, acting, and controlling.” While it may appear useful to conceptually separate the management function, in fact, both functions are intricately intertwined, i.e. they are inseparable. Each function is indistinguishable from the others, and each has an effect on how the others are carried out.


Gulick and Urwiik divided management functions into seven categories. To define management functions, they coined the word ‘PODSCORB.’

Each letter in this statement corresponds to the initial letter of the following management functions: 

P   _ Planning

O   _ Organising

D   _ Directing

S   _ Staffing 

CO _ Coordinating

R   _  Reporting and 

B   _  Budgeting.

The phrase “management principles” was developed by Henry Fayol, who described managerial functions as follows:

  1. Planning (including prediction); 
  2. Organizing; 
  3. Staffing ; 
  4. Directing and Coordinating; and 
  5. Controlling.


The five management functions of Koontz and O’Donnell are summarized here. As previously said, categorizing management functions based on the acts of organizing, staffing, and managing people is the most efficient way to define them. In other words, they argue that management must perform five basic functions.


R.C. Davis divides management functions into three categories: 

  1. planning, 
  2. motivating, and 
  3. controlling.  


G.R. Terry, on the other hand, categories management functions into four categories: 

  1. planning, 
  2. organizing, 
  3. activating, and 
  4. regulating.

According to the study’s functions, there are three to eight functions, with agreement on only three of them: planning, organizing, and controlling. The terms command, inspiration, and communication are used by authors to define the guiding functions involved in influencing human behavior toward achieving goals. Some authors have created staffing functions by distinguishing between the social and organizational aspects of their work.

Management is the art and nature of financial management of completing tasks with the help of others. Managers carry out a various functions of management in order to achieve a set of objectives.


Planning

This is management’s primary responsibility. It is concerned with planning for the future and selecting the best appropriate course of action to achieve predetermined goals. Anticipating what needs to be done, when it should be done, and how it should be done is what planned action entails.

It connects us to where we are and where we want to go. A strategy is a set of potential future activities. It entails problem-solving and decision-making. The process of determining the best course of action to take in order to achieve desired goals is known as planning. Thus, planning is a deliberate examination of the procedures and methods for achieving predetermined goals.

Planning is essential for making the best use of both human and non-human resources. In addition to being an intellectual endeavour, it aids in the avoidance of misunderstandings, uncertainties, hazards, and other types of mismanagement.


Organizing

It is the process of integrating physical, financial, and human resources and encouraging positive interaction among them in order to achieve company goals.

“To organize a business is to provide it with everything it needs to run, including raw materials, tools, money, and personnel,” explained Henry Fayol.

“Building a business entails identifying and allocating the organization’s human and non-human resources.” Organizing as a process includes the following steps: As a starting point, use

  • is a method of categorizing and classifying various types of activities.
  • Responsibilities are delegated.
  • Delegation of authority and attribution of responsibilities
  • Making the connection between power and accountability.


Staffing

It is in charge of staffing and maintaining the organizational structure. Because of technological advancements, organizational growth, and the complexity of human behavior, staffing has become increasingly important in recent years.

The fundamental goal of staffing is to match the right person to the right job; in other words, to fit square pegs into round holes and round holes into square pegs.

According to Kootz and O’Donell,’managerial responsibility for staffing’ entails appropriately and effectively staffing the organizational structure by selecting, evaluating, and training individuals to perform the responsibilities defined within the structure. It is critical to hire the following people:

  • Staffing specialists in recruiting, selection, and placement.
  • Training & Development
  • Performance Evaluation
  • Promotions & Transfers


Directing

It is the aspect of management that allows organizational processes to run smoothly in order to achieve organizational goals. It is known as the enterprise’s life-spark because it initiates human activity, whereas planning, organizing, and staffing are only preparations for task execution.

The inert-human component of management that is directly responsible for influencing, leading, monitoring, and encouraging subordinates to achieve organizational goals is referred to as direction.

The directing function is concerned with leadership, communication, motivation, and supervision so that the employees perform their activities in the most efficient manner possible, in order to achieve the desired goals.

The leadership element involves issuing of instructions and guiding the subordinates about procedures and methods.

The communication must be open both ways so that the information can be passed on to the subordinates and the feedback received from them.

Motivation is very important since highly motivated people show excellent performance with less direction from superiors.

Supervising subordinates would lead to continuous progress reports as well as assure the superiors that the directions are being properly carried out.


Controlling

To ensure that the business’s objectives are met, performance must be compared to predetermined benchmarks and deviations corrected. The goal of regulation is to ensure that everything happens in accordance with the rules. A well-designed control system allows deviations to be predicted before they occur.

Controlling, according to Theo Haimann, is the process of determining whether or not appropriate progress toward objectives and goals is being made and, if necessary, acting to correct any deviation.

According to Koontz and O’Donell, controlling is the evaluation and adjustment of subordinates’ performance activities to ensure that the firm’s objectives and methods for achieving them are met. As a result, controlling entails the steps listed below: The phrase is

  1. 1.Developing a performance standard.
  2. 2.Corrective action
  3. 3.True performance evaluation.
  4. 4.Comparing actual performance to established criteria and identifying discrepancies


Conclusion

No business can succeed without professional planning and direction; no strategy or management functions can be implemented haphazardly. The optimal functions of management operations and performance can be achieved primarily through the motivation, coordination, and management of its numerous tasks.

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