CAIIB ABM Unit 22 - Human Implications of Organizations

CAIIB ABM Unit 22 - Human Implications of Organizations (Year: 2019)


The behaviour of an individual is influenced by several factors. These can be grouped under the following heads:

1. Environmental Factors: (a) Economic, (b) Social (norms and cultural values), and (c) Political;
2. Personal Factors: (a) Age, (b) Sex, (c) Education, (d) Abilities, (e) Marital Status, (f) No. of dependants;
3. Organizational Factors: (a) Physical Facilities, (b) Organization Structure and Design, (c) Leadership, (d) Compensation and Reward System; and
4. Psychological Factors: (a) Personality, (b) Perception, (c) Attitudes, (d) Values. (e) Learning.


There are some basic assumptions about human behaviour at work:

1. There are differences between individuals.
2. Concept of a whole person.
3. Behaviour of an individual is caused.
4. An individual has dignity.
5. Organizations are social systems.
6. There is mutuality of interest among organizational members.
7. Organization behaviour is holistic.

While the first four concepts centred around people, the next two are concerned with organizations. The last one is a combination of the first six assumptions.

Persons differ and again, there are certain 'commonalities' in the persons. Every person is, in certain respects,
1. like all other persons,
2. like some other persons, and
3. like no other person.

By understanding certain dimensions of personality and behaviour, managers can, to a great extent, predict the likely behaviour in terms of actions and outcomes of actions in respect of employees. There are several theories to explain the concept of personality. One dimension of personality which is getting attention both from organizational as well as medical researchers is the Type A and Type B behaviour profiles.

A person exhibiting Type A behaviour is generally restless, impatient with a desire for quick achievement and perfectionism.
Type 'B' personality people are much more easy going, relaxed about time pressure, less competitive and more philosophical in nature.

Friedman, Meyer and Ray Roseman have mentioned the following characteristics of Type A personality:

1. Restless by nature, so that he always moves, walks and eats rapidly.
2. Is impatient with the pace of things, dislikes waiting and is impatient with those who are not impatient.
3. Multitasker – does several things at once.
4. Tries to schedule more and more in less and less time, irrespective of whether
everything is done or not.
5. Usually does not complete one thing before starting on another.
6. Often displays nervous gestures such as clenched fist and banging on a table.
7. Does not have time to relax and enjoy life.

Type B personality exhibits just the opposite characteristics and is more relaxed, sociable and has a balanced outlook on life.

Erikson has identified eight developmental stages in explaining the personality. These stages which are based on a person's state of mind at a given point of time are mentioned below:

Stage 1: Trust versus Mistrust
Stage 2: Autonomy versus Shame and Doubt
Stage 3: Initiative versus Guilt
Stale 4: lndustry versus Inferiority
Stage 5: Identity versus Role Diffusion
Stage 6: Intimacy versus Isolation
Stage 7: Growth versus Stagnation
Stage 8: Integrity versus Despair


What is Motivation?
Motivation in an organizational context is referred as 'the extent of willingness of an employee to respond to the organizational requirements'. Motivation is generally directed, consciously or unconsciously, towards satisfaction of needs (motives). Motivation as a behavioural concept is of great interest to the executives and managers in organizations today.

Theories of Motivation
The various theories of motivation are:
1. Scientific Management or Rational Economic View
2. Human Relations Model
3. Abraham Maslow's Need Hierarchy Theory
4. Frederick Herzberg's Two-Factor Theory
5. Clayton Alderfer's ERG Theory
6. Achievement Motivation Theory
7. Victor H Vroom's Expectancy Model
8. James Stacy Adams' Equity Theory
9. Lyman W. Porter and Edward E Lawler - Performance Satisfaction Model.
10. Reinforcement Theory
(Go through all the 10 theories)

Motivation and Behaviour
Behaviour of an individual is generally motivated by a desire to achieve some goal. Behaviour is either an 'activity' or, 'a series of activities'. Each activity is supported by motivation. Individuals differ not only in their ability to do but also in their will to do, or motivation. Motives are sometimes defined as needs, wants, drives, or impulses within the individual. These are directed towards goals, which may be conscious or subconscious. Goals are outside an individual. Goals are sometimes referred to as 'hoped for' rewards towards which motives are directed.

Motivation to Work
Manager should also know specific ways and techniques to motivate employees in the work situation. Most of these techniques are practical in nature and can be adopted by him in the normal course.  Some of the frequently used common incentives in organizations are :

Money, appreciation, job enlargement, job enrichment, job rotation, participative management, and quality of work.

Factors contribute to the quality of work life:

1. Adequate and fair compensation.
2. A safe and healthy environment.
3. Jobs aimed at developing and using employee's skills and abilities.
4. Growth and security; jobs aimed at expanding employees' capabilities rather than leading to their obsolescence.
5. An environment in which employees develop self-esteem and a sense of identity.
6. Protection and respect for employee's rights to privacy, dissent, equity. etc.
7. A sensible integration of job career and family life and leisure time.

Role Set Conflicts

The role set consists of important persons who have different expectations from the role
that an individual occupies. The conflicts arise due to incompatibility among the expectations of significant others and the individual himself. These role set conflicts take the following forms:

1. Role ambiguity
2. Role Expectation Conflict
3. Role Overload
4. Role Erosion
5. Resource Inadequacy
6. Personal Inadequacy
7. Role Isolation