Unit ii ob at individual level

Learning about OB discourses at individual level

1. Learning Block I: Study of OB at Individual Level Graduate Teaching Notes on OB (2015) Dr Chanakya P Rijal Nepal College of Management In Affiliation with Kathmandu University, School of Management Lalitpur , Nepal March 22, 2015 1 Dr Rijal's Discourses on OB

2. Unit II: Organizational Psychology at Individual Level The Contents Importance of human attitude, perception, personality, learning and motivation in organizational psychology. 2. Theoretical perspectives of job satisfaction, motivation, learning, and personality development. March 22, 2015 Dr Rijal's Discourses on OB 2

3. 1. Human Attitude in Organizational Psychology Meaning: Attitude may be defined as the evaluative statement or judgment over an event, process, people, idea, or an object. Such statements may be favorable or unfavorable about the considered event, process, people, idea, or an object. Thus, it has two directions – positive and negative. March 22, 2015 Dr Rijal's Discourses on OB 3

4. Attitude Meaning and Definition The posture, action, or disposition of a figure or a statue. Position as indicating action, feeling, or mood; as, in times of trouble let a notion preserve a firm attitude; one's mental attitude in respect to religion. The posture or position of a person or an animal, or the manner in which the parts of his body are disposed; position assumed or studied to serve a purpose; as, a threatening attitude; an attitude of entreaty. March 22, 2015 Dr Rijal's Discourses on OB 4

5. Attitude Vs Opinion… Attitude generates stimuli by the help of predisposition. Stimuli helps to judge a set of facts, or the evaluation of facts. Opinion is the final outcome of this judgment. March 22, 2015 Dr Rijal's Discourses on OB 5

6. Beliefs are much stronger than the opinions. Beliefs are less affected by the pro or con positions fundamental in attitude, than are opinions Action is what separates belief from opinion . Attitude, opinions, and beliefs are closely tied together in real life that it is difficult to separate them except on a limited conceptual basis. March 22, 2015 Dr Rijal's Discourses on OB 6

7. How are attitudes influenced? They are influenced simply by -- Culture Value system Family and social system Social class and religion Inherent personality traits Other circumstances March 22, 2015 Dr Rijal's Discourses on OB 7

8. Attitude change According to Catz (1960), attitudes may undergo changes as per their functional types. Utilitarian : Adjustive ones and can be recognized most easily in change situations. One of the most controversial examples of utilitarianism was the dropping of the atomic bomb on Japan during WWII. Ego-defensive : these attitude protect a person from threats to the ego and the anxiety generated by them. For example , a wife who learns her husband is dying tries to learn all she can do for survive. March 22, 2015 Dr Rijal's Discourses on OB 8

9. Attitude change Value expressive : attitudes those attempt to protect self identity or leading to self expression and determination . e.g., "What sort of man reads Playboy?“ Knowledge function : these attitudes promote in individuals towards knowledge enhancement. e.g., "Bayer wants you to know about pain relievers" March 22, 2015 Dr Rijal's Discourses on OB 9

10. Types of change of attitudes Congruent change : change happens in the same direction by strengthening the power of attitude. For example, a less serious student converting into a more serious one. i . Positive: To more positive ii. Negative: To more negative Incongruent change : change happens in opposite direction. For example, the conversion of a dull and non-intelligent student into an interesting and intelligent student. March 22, 2015 Dr Rijal's Discourses on OB 10

11. Factors involved in Attitude change Person itself and his/her level of interest and motivation Surrounding, or situation, or circumstances beyond the person. March 22, 2015 Dr Rijal's Discourses on OB 11

12. Applications of attitude change Applications of attitude change in management are : organizational change, development, re-engineering, kaizen, re-design, innovation, etc. A t the same time, government agencies at any level. March 22, 2015 Dr Rijal's Discourses on OB 12

13. Components of Attitude Basically, there are THREE components of attitude: 1. Cognitive component : Opinion or belief segment of an attitude. Example: My boss is so good! Cognitive = Evaluation 2. Affective component : The emotional or feeling segment of attitude. Example: I am happy with my boss. Affective = Feeling 3. Behavioral component : An intention to behave in a certain way toward someone or something. Example: I want to continue working under the supervision of my boss. Behavioral = Action March 22, 2015 Dr Rijal's Discourses on OB 13

14. Major Job Attitudes Job satisfaction : The extent of positive feeling on a job. 2. Job involvement and engagement : The degree to which one identifies content for self with a job, participates in it, and considers job performance worth caring. 3. Psychological empowerment : Job holder’s perceived meaningfulness of the contribution and autonomy. 4. Organizational commitment : The extent to which the organizational system is perceived to be worth serving for what it has communicated to. 5. Perceived organizational support : The extent to which the employee believes that the organization cares for its people. March 22, 2015 Dr Rijal's Discourses on OB 14

15. Outcomes of Positive Job Attitudes Employee job satisfaction Employee empowerment Job involvement and engagement Supportive employee behavior Better organizational process climate and culture Higher degree of employee retention March 22, 2015 Dr Rijal's Discourses on OB 15

16. 2. PERCEPTION Perception is the process by which an individual organizes and interprets his or her sensory impression in order to give meaning to the environment he or she is exposed to. It is a way of sensing. March 22, 2015 16 Dr Rijal's Discourses on OB

17. Perception refers to the way we try to understand the world around us. We gather information through our five sense organs, but perception adds meaning to these sensory inputs. A situation may be the same but the interpretation of that situation by two individuals may be immensely different. March 22, 2015 17 Dr Rijal's Discourses on OB

18. Directions of Perception March 22, 2015 18 Dr Rijal's Discourses on OB

19. Elements of perception March 22, 2015 19 Dr Rijal's Discourses on OB

20. Sensory receptors : eyes, ears, nose, tongue, skin, etc. Absolute threshold : the lowest level at which an individual can experience sensation. Differential threshold : minimal differences that can be detected between two stimuli. Subliminal perception : perception of very weak or rapid stimuli received below the level of conscious awareness. March 22, 2015 20 Dr Rijal's Discourses on OB

21. Sensory organs Registration Interpretation Action Consequences Attention Interest Feedback PERCEPTION PROCESS March 22, 2015 21 Dr Rijal's Discourses on OB

22. Factors influencing perception March 22, 2015 22 Dr Rijal's Discourses on OB

23. S ocial P erception The perception people form about each other . It refers to the processes through which we use available information to form impressions of other people, to assess what they are like. March 22, 2015 23 Dr Rijal's Discourses on OB

24. Attribution Theory When we observe people, we attempt to develop explanations of why they behave in certain ways. Our perception and judgement of a person's action is significantly influenced by the assumptions we make about that person's internal state . Attribution theory provides explanations of the ways in which we judge people differently, depending on what meaning we attribute to a given behavior. March 22, 2015 24 Dr Rijal's Discourses on OB

25. When we observe an individual's behavior, we attempt to determine whether it was internally caused or externally caused . Internally caused behaviors are those that are believed to be under the personal control of the individual. Externally caused behaviors are those that are seen as resulting from outside causes i.e., the person is seen as having been forced into the behavior by the situation. March 22, 2015 25 Dr Rijal's Discourses on OB

26. And that determination depends largely on THREE factors. Distinctiveness Consensus and Consistency a. Distinctiveness It refers to whether an individual displays different behavior in different situations, whether the behavior is unusual . If it is, the behavior is judged as an external. If the action is not unusual, it will be judged as internal attribution. March 22, 2015 26 Dr Rijal's Discourses on OB

27. b. Consensus We can say a behavior shows consensus, if everyone who faces a similar situation and responds in the same way. If consensus is high, the behavior is attributed to external causes If it is low, it would be attributed to internal causes . c. Consistency Lastly, it is consistency in a person's actions. The more consistent the behavior, the more it is attributed to internal causes. March 22, 2015 27 Dr Rijal's Discourses on OB

28. Errors or biases that distort attributions Tendency of poor estimation The self-serving bias Stereotype Halo effect Projection March 22, 2015 28 Dr Rijal's Discourses on OB

29. Tendency of poor estimation We have a tendency to underestimate the influence of external factors and overestimate the influence of internal or personal factors when we make judgments about the behavior of other people. March 22, 2015 29 Dr Rijal's Discourses on OB

30. b. The self-serving bias Self-serving bias is the tendency for individuals to attribute their own successes to internal factors while putting the blame for failures on external factors. March 22, 2015 30 Dr Rijal's Discourses on OB

31. c. Stereotype Judging someone on the basis of ones perception of the group to which that person belongs to. It is a means of simplifying a complex world, and it permits us to maintain consistency. It is less difficult to deal with an unmanageable number of stimuli if we use stereotypes. March 22, 2015 31 Dr Rijal's Discourses on OB

32. d. Halo effect It refers to the tendency of forming a general impression about an individual on the basis of a single characteristic feature. A person smart dressed and very fluent in English often tends to create favorable impression on interviewer though the job is of an accountant or engineer, requiring little or no verbal fluency. March 22, 2015 32 Dr Rijal's Discourses on OB

33. e. Projection Attributing one’s own characteristics to the other people. It is easy to judge other people by assuming that they are similar to us. A person who engages in projection tends to perceive the other people according to what he/she is personally like rather than according to what they are really like. March 22, 2015 33 Dr Rijal's Discourses on OB

34. Outcomes of Improved Employee Perception Improved interpersonal and organizational value judgment system Improved organizational decision-making Increased level of interdependence among the people Improved organizational relations within and beyond the organizational boundaries Improved level of trustworthiness at individual, group and systems level March 22, 2015 Dr Rijal's Discourses on OB 34

35. 3. Personality Meaning The inside-out features of a person observed and sensed by the fellow members is known as one’s personality. Personality refers to a dynamic and organized set of characteristics possessed by a person that uniquely influences his or her cognitions, motivations, and behaviors in various situations. Personality is the sum total of ways in which an individual reacts and interacts with others. Basically, personality comprises of psychological, physiological and social dimensions of individual traits. March 22, 2015 Dr Rijal's Discourses on OB 35

36. Personality is the combination of emotional, attitudinal, and behavioral response patterns of an individual. The pattern of responses may vary according to change in situation and environment. Personality is broad amorphous designation relating to fundamental approaches of person to other and themselves. It is a study of the characteristics of an individual relationships between these traits and the ways in which the person adjusts to other people and situation. March 22, 2015 Dr Rijal's Discourses on OB 36

37. PERSONALITY DEVELOPMENT Family is the major source for the development of personality. Self-discipline is an important factor in bringing change in personality. Marriage may bring large difference in a man or woman. Personality development consists of personal development that includes physical, mental and social development. The profile of stable beliefs, moods, and behavior that differentiate among children and adults who live in a society. Role modeling plays a vital role in personality development. Awarding more importance to personality development is significant in all societies and organizations today. The children wish to possess the qualities that their culture regards as good. March 22, 2015 Dr Rijal's Discourses on OB 37

38. Attributes of Personality Physical or biological attributes : Gender, body structure, height, hair style, color of the pupil of the eyes, etc. Psychological or intellectual attributes : Skill competence, scholarship, knowledge, memory, etc. Social attributes : friendliness, outgoing, people-based, team player, etc. March 22, 2015 Dr Rijal's Discourses on OB 38

39. Determinants of Personality March 22, 2015 39 Dr Rijal's Discourses on OB

40. a. Heredity The factors determined at conception. Physical stature, facial attractiveness, sex, temperament, energy level, and biological rhythms are characteristics generally considered to be brought down to you from your parents. The contribution of heredity to personality development is vividly clear for developing external appearance, behavior, social stimuli, self inner awareness, and other traits. March 22, 2015 40 Dr Rijal's Discourses on OB

41. b. Environment Cultural factors: The accepted norms of social behavior are known as culture. The way in which people behave with others and the driving force of such functions are considered significant components of culture. Religion: A strong belief in a supernatural power that controls human destiny. Religion plays a significant role in shaping one's personality. Hindus have different personalities compared to Buddhists. Family: Children learn from their parents, sisters and brothers. Family is the first factor affecting personality development, after hereditary characteristics are endowed. Children nurtured under a warm, loving environment are positive and active as compared to the children neglected by their parents. Parental Influences: Positive or negative personalities of children are dependent on their parents characteristics and mutual behavior. Children develop negative personalities if their parents do not have good relationship. Proper parental guidance to children makes them active and efficient. March 22, 2015 41 Dr Rijal's Discourses on OB

42. c. Situation Internal Factors: The beholder’s level of socialization, understanding, knowledge, maturity, experience, age, tenure, etc. may have significant impact in determining personality and its development. External Factors: Time and urgency, requirements, fellow members’ familiarity with the beholder and their acceptance, etc. also may have varying effects on personality formation and development. March 22, 2015 42 Dr Rijal's Discourses on OB

43. Effect of locus of control in personality Refers to the extent to which individuals believe that they can control events that affect them. Individuals with a high internal locus of control believe that events result primarily from their own behavior and actions. Those with a low internal locus of control believe that powerful others, fate, or chance primarily determine events. March 22, 2015 43 Dr Rijal's Discourses on OB

44. Some Personality Test and Application Tools Myers-Briggs Type Indicator (MBTI) The Big FIVE Model Risk Taking Personality Types March 22, 2015 44 Dr Rijal's Discourses on OB

45. a. Myers-Briggs Type Indicator (MBTI) The Myers-Briggs Type Indicator ( MBTI ) assessment is a psychometric questionnaire designed to measure psychological preferences in how people perceive the world and make decisions. It taps four characteristics and classifies people into 1 of 16 personality types . Extroverted vs. Introverted (E or I) Sensing vs. Intuitive (S or N) Thinking vs. Feeling (T or F) Judging vs. Perceiving (P or J) March 22, 2015 45 Dr Rijal's Discourses on OB Practice this tool in SAL given to you

46. A FEW PERSONALITY COMPARISION ExampleS March 22, 2015 46 Dr Rijal's Discourses on OB

47. b. The Big FIVE Model 1. Openness to experience: (inventive/curious vs. consistent/cautious). Appreciation for art, emotion, adventure, unusual ideas, curiosity, and variety of experience. 2. Conscientiousness: efficient/organized vs. easy-going/careless). A tendency to show self-discipline, act dutifully, and aim for achievement; planned rather than spontaneous behavior. 3. Extraversion – (outgoing/energetic vs. solitary/reserved). Energy, positive emotions, and the tendency to seek stimulation in the company of others. 4. Agreeableness – (friendly/compassionate vs. cold/unkind). A tendency to be compassionate and cooperative rather than suspicious and antagonistic towards others. 5. Emotional stability/Neuroticism – (sensitive/nervous vs. secure/confident). A tendency to experience unpleasant emotions easily, such as anger, anxiety, depression, or vulnerability. March 22, 2015 47 Dr Rijal's Discourses on OB

48. c. Risk-Taking High Risk-taking Managers Make quicker decisions Use less information to make decisions Operate in smaller and more entrepreneurial organizations Low Risk-taking Managers Are slower to make decisions Require more information before making decisions Exist in larger organizations with stable environments March 22, 2015 48 Dr Rijal's Discourses on OB Assess your tendency of risk taking by practicing the SAL exercise

49. d. Personality Types Type A: Type A individuals are more ambitious, aggressive, business-like, controlling, highly competitive, impatient, preoccupied with their status, time-conscious, and tightly-wound. Type A people are often high-achieving "workaholics" who multi-task, push themselves with deadlines, and hate both delays and ambivalence. Because of these characteristics, Type A individuals are often described as "stress junkies" by individuals with Type B or other personality types. Type B: Type B individuals are perfect contrast to those with Type A personality. People with Type B personality are generally patient, relaxed, easy-going, and at times lacking an overriding sense of urgency. Because of these characteristics, Type B individuals are often described as apathetic and disengaged by individuals with Type A or other personality types. March 22, 2015 49 Dr Rijal's Discourses on OB Using SAL exercise, try to figure out your personality type.

50. Outcomes of Personality Rationalized employee selection and development Interdependence, relationship and trustworthiness Contribution in the organizational culture Institutional promotion and market relationship Increased self confidence and commitment Enhanced creativity through expertise, task motivation and creative skills March 22, 2015 Dr Rijal's Discourses on OB 50

51. 4. Learning Meaning Learning is a means to create relatively permanent change in one’s behavior. Change in behavior refers to shaping up the behavior for some defined purpose. Relatively permanent in the sense that it may go on accumulating the knowledge about things, events or people over time. Learning in behavioral science, is beyond academic knowledge or skill competence in doing something; it is all about knowing or understanding the phenomenon. Learning is always situational. March 22, 2015 Dr Rijal's Discourses on OB 51

52. Three Major Theories of Learning in OB Classical Conditioning Operant Conditioning Observational Learning Social Learning March 22, 2015 Dr Rijal's Discourses on OB 52

53. Pavlov’s Classical Conditioning Theory of Learning Evan Pavlov, a Russian Psychologist and winner of Nobel Prize in 1904 for his work on digestion, is best known for his research on Classical Conditioning and propagating a universal approach in learning as the outcomes of the research. Classical conditioning is a basic form of learning in which one stimulus comes to serve as a signal for the occurrence of a second stimulus. For example, ringing the bell followed by serving the food to the dog and salivation happening in the dog. During classical conditioning, organisms acquire information about the relations between various stimuli, not simple association between them. March 22, 2015 Dr Rijal's Discourses on OB 53

54. Pavlov’s Classical Conditioning Theory of Learning March 22, 2015 Dr Rijal's Discourses on OB 54 Unconditioned Stimulus (UCS) Unconditioned Response (UCR) A stimuli that can evoke an unconditioned response in the first time it is presented. Calling the dog with its name, following a bell-ring. The response evoked by an unconditioned stimulus. The dog looks at the source/s of the call. Conditioned Stimulus (CS) Unconditioned Response (CR) The stimulus that is repeatedly paired with an unconditioned stimulus. Once the dog is ready to look at, serving of food to eat. The response to the conditioned stimulus. Salivation on seeing the food.

55. Operant Conditioning Learning based on consequences. Operant learning is a form of learning in which behavior is maintained, or changed, through consequences. For example, the views the politicians express often reflect the public opinion through different polls. Employee satisfaction may be taken as a result of level of care and support by the boss. March 22, 2015 Dr Rijal's Discourses on OB 55

56. Operant Conditioning Theory of Learning March 22, 2015 Dr Rijal's Discourses on OB 56 Operant Conditioning Reinforcement A process through which organisms learn to repeat behavior that yields positive outcomes, or permit them to avoid or escape from negative outcomes The application or removal of a stimulus to increase the strength of a specific behavior. Positive Reinforcement Premack Principle The stimuli that strengthens responses that precede them. Principle stating that a more preferred activity can be used to reinforce a less preferred activity.

57. Social Learning The newly hired employee understands the reality within the organization after socializing with the peer workers. What boss had said about the organization during the selection interviewed may not rightly be the truth. What the peer workers said about it may be the truth. Learning may go in positive or negative direction. March 22, 2015 Dr Rijal's Discourses on OB 57

58. Observational Learning The theory believes that a significant amount of learning results from watching other people’s behavior in action in many instances. We learn so many things by watching the children in action. The subordinates perform better in a critical problem if they are provided with a finely designed demonstration of the operating process before they perform. I see, I learn. March 22, 2015 Dr Rijal's Discourses on OB 58

59. 4. Motivation Definition of motivation Content theories of motivation Maslow’s Need Hierarchy Herzberg’s Two-Factor Theory McClelland’s Learned Needs Theory ERG Theory Process theories of motivation Adam’s Equity Theory Vroom’s Expectancy Theory Locke’s Goal Setting Theory Cognitive Theories of Motivation Achievement Theory Attribution Theory March 22, 2015 59 Dr Rijal's Discourses on OB

60. Definition of Motivation A tendency to expend effort to achieve goals The psychological processes that cause for arousal, direction, task persistence, task involvement, and goal directed behavior are the keys to motivation Motivation is only one determinant of performance Performance is also influenced by abilities or traits and role perceptions and opportunities March 22, 2015 60 Dr Rijal's Discourses on OB

61. Motivation Defined The forces that move people to perform their jobs. An stimulus, internal or external, influences, persuades, or directs the behavior of human beings. Motivation is the willingness to achieve organizational objectives. Through the motivation process, people go from need to motive to behavior to consequence and finally to either satisfaction or dissatisfaction. Motivation is a general term applying to the entire class of drives, desires, needs, wishes, and similar forces. March 22, 2015 61 Dr Rijal's Discourses on OB

62. The Need-Want-Satisfaction Chain actions Needs give raise to wants which cause tensions which give raise to that result in satisfaction March 22, 2015 62 Dr Rijal's Discourses on OB

63. Difference between Motivation and Satisfaction Motivation Results Satisfaction March 22, 2015 63 Dr Rijal's Discourses on OB

64. Challenges of Motivating Employees Layoffs, restructuring Damaged trust, commitment Flatter organizations Fewer supervisors to monitor performance Changing workforce Younger staff have different needs Diverse workforce variety of motivation practices March 22, 2015 64 Dr Rijal's Discourses on OB

65. What Motivates Employees Money Participation Quality of work life Job enrichment Need enrichment Physical conditions Training and development Recognition Challenging job Good coworkers, boss, inspectors, and so on March 22, 2015 65 Dr Rijal's Discourses on OB

66. Selected Theories of Motivation I. Content Theories of Motivation II. Process Theories of Motivation III. Cognitive Theories of Motivation March 22, 2015 66 Dr Rijal's Discourses on OB

67. I. Content Theories Focus on factors within a person Attempt to identify what specific needs motivate people Also known as need theories of motivation The main content theories of motivation include: Maslow’s Hierarchy of Needs Herzberg’s Two-Factor Theory McClelland’s Learned Needs Theory ERG Theory March 22, 2015 67 Dr Rijal's Discourses on OB

68. Self- Actualization Esteem Belongingness Safety Physiological Growth Relatedness Existence MHerzberg’s Two-Factor Theory Motivators Hygienes Need for Achievement Need for Power Need for Affiliation McClelland ’ Learned Needs Theory Alderfer’s ERG Theory Maslow’s Needs Hierarchy Theory March 22, 2015 68 Dr Rijal's Discourses on OB

69. Maslow’s Hierarchy of Needs Defines five needs arranged in hierarchical order: Physiological needs are physical needs common to all (e.g. need for food, water) Safety needs refer to physical or psychological protection Social needs refer to love and social acceptance Esteem needs refer to master life experiences; the need for success Self actualization needs refer to achieve one’s creative potential; to be all that one is capable of being March 22, 2015 69 Dr Rijal's Discourses on OB

70. Self-Actualization Esteem Love/Belongingness Safety Physiological Lower Order Higher Strength Needs Higher Order Lower Strength Needs March 22, 2015 70 Dr Rijal's Discourses on OB

71. Needs Hierarchy Theory Needs Hierarchy Theory Maslow arranged five needs in a hierarchy Satisfaction-progression process People who experience self-actualization desire more rather than less of this need Self-Actualization Esteem Belongingness Safety Physiological March 22, 2015 71 Dr Rijal's Discourses on OB

72. Maslow’s Hierarchy of Needs Recap : Individuals attempt to satisfy basic needs before directing behavior toward higher order needs Practical value : user-friendly theory for managers Limitations : Doesn’t address individual differences ( eg ., order and intensity of need deprivation, time between stages, etc.) Needs are dynamic and are subject to change March 22, 2015 72 Dr Rijal's Discourses on OB

73. Self Actualization Esteem Love/Belongingness Safety Physiological R elatedness G rowth Alderfer’s ERG Theory E xistence March 22, 2015 73 Dr Rijal's Discourses on OB

74. ERG Theory Needs Hierarchy Theory ERG Theory: Originated from Maslow’s Hierarchy Alderfer’s model has three sets of needs Adds frustration-regression process to Maslow’s model Self- Actualization Esteem Belongingness Safety Physiological Growth Relatedness Existence March 22, 2015 74 Dr Rijal's Discourses on OB

75. Herzberg’s Two-Factor Theory Recap : not all elements of a job can motivate…but they can certainly aggravate! Hygiene factors are necessary, but not sufficient Motivators have to be there Practical value : Managers can fine-tune job and job environment to include motivators Limitations : Assumes every employee has similar needs Hasn’t been updated to reflect current situation toward job security and pay March 22, 2015 75 Dr Rijal's Discourses on OB

76. Extremely satisfied Neutral Extremely dissatisfied Motivators Achievement Recognition Work itself Responsibility Advancements Growth Hygiene Factors Supervision Company policy Relationship with supervisors Working conditions Salary Relationship with peers Personal life Relationship with subordinates Status Security March 22, 2015 76 Dr Rijal's Discourses on OB

77. McClelland’s Learned Needs Theory Recap : Certain needs are learned, and individuals will be more likely to engage in behavior to satisfy these needs. Need for achievement (set difficult goals for him/her) Need for power (encourage individual to make decisions and to persuade others) Need for affiliation (place person in work teams) Practical value : management can focus on these needs in employees so that needs satisfaction can match organizational goals. Limitations Complicated to understand Lack of testing of the motivators and hygiene factors March 22, 2015 77 Dr Rijal's Discourses on OB

78. Implications of Content Theories Match rewards with employee needs Offer employees a choice of rewards people have different needs at different times Limit use of financial rewards as a source of motivation March 22, 2015 78 Dr Rijal's Discourses on OB

79. II. Process Theories Focus on factors external to a person Attempt to identify how behavior is initiated, directed, and sustained The key process theories: Adam’s Equity Theory Vroom’s Expectancy Theory Locke’s Goal Setting Theory March 22, 2015 79 Dr Rijal's Discourses on OB

80. Adam’s Equity Theory A theory based on the social comparison between an individual and a referent Focuses on perception of how fairly individual is being treated Equity is achieved when the ratio of individual’s outcomes to inputs equals that of a referent other’s Inputs – characteristics the person brings to the job such as education, skills, experience, etc. Outcomes – what the individual receives from job such as pay, recognition, benefits, etc. March 22, 2015 80 Dr Rijal's Discourses on OB

81. Adam’s Equity Theory Restoring equity : Individuals can… Change inputs ( eg ., put in less hours) Change outcomes ( eg ., ask for raise) Change referent other ( eg ., compare to peer) Change the situation ( eg ., quit job ) Note : maintaining employee perceptions of equity is critical role of managers March 22, 2015 81 Dr Rijal's Discourses on OB

82. Elements of Equity Theory Outcome/input ratio inputs -- what employee contributes (e.g. skill) outcomes -- what employees receive (e.g. pay) Comparison other person/people we compare ratio with not easily identifiable Equity evaluation compare outcome/input ratio with the comparison other March 22, 2015 82 Dr Rijal's Discourses on OB

83. Overreward vs Underreward Inequity You Comparison Other Outcomes Inputs Outcomes Inputs Overreward Inequity Outcomes Inputs Outcomes Inputs Underreward Inequity March 22, 2015 83 Dr Rijal's Discourses on OB

84. Equity Theory I/O = I/O March 22, 2015 84 Dr Rijal's Discourses on OB

85. Consequences of Inequity Change inputs Change outcomes Change perceptions Leave the field Act on the comparison other Change the comparison other March 22, 2015 85 Dr Rijal's Discourses on OB

86. Equity Sensitivity Benevolent Tolerant of being underrewarded Equity Sensitive Want ratio to be equal in comparison to others Entitled Prefer receiving proportionately more than others March 22, 2015 86 Dr Rijal's Discourses on OB

87. Work motivation Growth satisfaction General satisfaction Work effectiveness Job Characteristics Model Feedback from job Knowledge of results Skill variety Task identity Task significance Meaningfulness Autonomy Responsibility Individual differences Critical Psychological States Core Job Characteristics Outcomes March 22, 2015 87 Dr Rijal's Discourses on OB

88. Vroom’s Expectancy Theory Motivation depends on individuals’ expectations about their ability to perform tasks and achieve desired rewards E  P expectancy : putting effort into a given activity will result in high performance P  O expectancy : successful performance of a task will lead to desired outcome Valence : the value a person places on an outcome Problem : Assumes that employees always make conscious decisions March 22, 2015 88 Dr Rijal's Discourses on OB

89. Effort Performance E-to-P Expectancy P-to-O Expectancy Outcomes & Valences Outcome 1 + or - Outcome 3 + or - Outcome 2 + or - Expectancy Theory of Motivation March 22, 2015 89 Dr Rijal's Discourses on OB

90. Expectancy Theory in Practice Increasing the E-to-P expectancy training, selection, resources, clarify roles, provide coaching and feedback Increasing the P-to-O expectancy Measure performance accurately, explain how rewards are based on past performance Increasing outcome valences Use valued rewards, individualize rewards, minimize countervalent outcomes March 22, 2015 90 Dr Rijal's Discourses on OB

91. VIE Theory V alence I nstrumentality E xpectancy March 22, 2015 91 Dr Rijal's Discourses on OB

92. VIE Theory V alence : The importance (valence) of the reward; is the reward important? I nstrumentality : Does one believe that improved performance leads to greater rewards? E xpectancy : Does one believe that increased effort leads to improved performance? March 22, 2015 92 Dr Rijal's Discourses on OB

93. Locke’s Goal Setting Theory Process of establishing goals to achieve motivation typically involving superior and subordinate working together goal is defined as a specific target that an individual is attempting to achieve Attributes of cognitive process of goal setting: Goal specificity – degree of clarity of goal Goal difficulty – degree of proficiency or performance sought Goal commitment – amount of effort used to achieve goal March 22, 2015 93 Dr Rijal's Discourses on OB

94. Locke’s Goal Setting Theory Tends to encourage motivation when Goals are stated in specific, clear terms Goals are difficult, but not attainable Individuals can participate in goal setting process Criticisms Difficult to sustain Doesn’t work well for complex jobs Game playing is encouraged (e.g., setting low goals) Goal accomplishment can become an obsession March 22, 2015 94 Dr Rijal's Discourses on OB

95. Effective Goal Setting Task Effort Task Performance Specific Relevant Challenging Difficulty Participation Commitment March 22, 2015 95 Dr Rijal's Discourses on OB

96. Goal Setting at CDW Computer Centers CDW Computer Centers has become a leading direct marketer of computers and peripherals by setting specific, challenging goals for its employees. “We set BHAGS -- which are b ig, h airy a ggressive g oals,” says CEO John A. Edwardson (shown here). March 22, 2015 96 Dr Rijal's Discourses on OB

97. Area of Optimal Goal Difficulty Effect of Goal Difficulty on Performance High Task Performance Low Moderate Challenging Impossible Goal Difficulty March 22, 2015 97 Dr Rijal's Discourses on OB

98. III. Cognitive Theories of Motivation Suggests that motivation is a function of cognition and thought; that is, what we think about what is happening influences motivation Achievement Theory Attribution Theory March 22, 2015 98 Dr Rijal's Discourses on OB

99. Achievement Theory Suggests that motivation is a function of the interaction between one’s need for achievement/fear of failure and the difficulty level of the task The need for achievement can be defined as a tendency to approach new/novel tasks The fear of failure can be defined as a tendency to avoid new/novel tasks March 22, 2015 99 Dr Rijal's Discourses on OB

100. High Need for Achievement Low Fear of Failure Low Need for Achievement High Fear of Failure March 22, 2015 100 Dr Rijal's Discourses on OB

101. High Need for Achievement Low Need for Achievement Easy Moderate Difficult Low Motivation High Motivation Low Motivation High Motivation Low Motivation Low Motivation Task Difficulty March 22, 2015 101 Dr Rijal's Discourses on OB

102. Initial Success Initial Failure High Need for Achievement Low Need for Achievement Motivation Decreases Motivation Increases Motivation Increases Motivation Decreases March 22, 2015 102 Dr Rijal's Discourses on OB

103. Attribution Theory Motivation decreases when we attribute our failures to stable factors like ability and task difficulty Motivation increases when failure is attributed to unstable factors like effort Motivation is influenced by the reasons we attribute ourselves for successes and failures Four attributions: ability, effort, task difficulty, and luck The attributions can also be categorized in two dimensions: locus of control (internal, external) and stability (stable, unstable) Motivation is high when we attribute our successes and failures to internal factors like ability and effort Motivation is low when we attribute our successes and failures to external factors like task difficulty and luck March 22, 2015 103 Dr Rijal's Discourses on OB

104. Internal Locus of Control Stable Unstable Behavior Behavior External Locus of Control Effort Luck Task Difficulty Ability March 22, 2015 104 Dr Rijal's Discourses on OB

105. 5. Job Satisfaction Meaning It is the extent to which the job holders show pleasure or displeasure of being involved in a particular job. Job satisfaction is a dependent variable in organization psychology as it is an outcome of job performance and working environment within an organization. It is measures in two directions, viz. satisfaction and dissatisfaction. March 22, 2015 Dr Rijal's Discourses on OB 105

106. It is perceived from the employees’ points of views on a job. Can be measured using a number of qualitative as well as quantitative tools. Is highly instrumental in enhancing organizational productivity, employee loyalty, retention and punctuality. A satisfied employee intends to create a number of satisfied customers for a company. March 22, 2015 Dr Rijal's Discourses on OB 106

107. Job Satisfaction One of the primary job attitudes measured. Broad term involving a complex individual summation of a number of discrete job elements. How to measure? Single global rating (one question/one answer) - Best Summation score (many questions/one average) - OK Are people satisfied in their jobs? In the U. S., yes, but the level appears to be dropping. Results depend on how job satisfaction is measured. Pay and promotion are the most problematic elements. March 22, 2015 Dr Rijal's Discourses on OB 107

108. Causes of Job Satisfaction Pay influences job satisfaction only to a point. After about $40,000 a year (in the U. S.), there is no relationship between amount of pay and job satisfaction. Money may bring happiness, but not necessarily job satisfaction. Personality can influence job satisfaction. Negative people are usually not satisfied with their jobs. Those with positive core self-evaluation are more satisfied with their jobs. March 22, 2015 Dr Rijal's Discourses on OB 108

109. There may be a number of means of generating job satisfaction, but more important ones are: Achievement through challenging job Reward and promotion on achievement Job excellence contributing to interpersonal relations Involvement in decision making Leadership role Institutional responsiveness and accountability Position and power given on a job March 22, 2015 Dr Rijal's Discourses on OB 109

110. Causes of Job Satisfaction March 22, 2015 Dr Rijal's Discourses on OB 110

111. Employee Responses to Dissatisfaction March 22, 2015 Dr Rijal's Discourses on OB 111 Active Destructive Constructive Passive

112. Outcomes of Job Satisfaction Job performance: Satisfied workers are more productive AND more productive workers are more satisfied! Organizational citizenship behavior: Satisfaction influences OCB through perceptions of fairness. Customer satisfaction: Satisfied frontline employees increase customer satisfaction and loyalty. Absenteeism: Satisfied employees are moderately less likely to miss work. Workplace deviance: Dissatisfied workers are more likely to unionize, abuse substances , steal, be tardy, and withdraw. March 22, 2015 Dr Rijal's Discourses on OB 112