Leadership and Organizational Behavior

By:
PRATIVA ARYAL
MBA (SOMTU)
PROJECT MANAGEMENT/GLM (HANGDONG
GLOBAL UNIVERSITY, SOUTH KOREA)
RESEARCH AND DEVELOPMENT OFFICER
SUJAL FOODS PVT. LTD.
FREELANCE RESEARCHER
Methods
• Classes
• Seminar (Term paper & Thematic review)
• Project & Live Projects
• Presentation
• Case Analysis
Unit 1: Introduction
• Concept of organizational behavior
• Organizational behavior system
• Levels of OB analysis
• Basic assumptions of organizational behavior; Contributing disciplines
to the field of organizational behavior
• Mental process: beliefs, attitudes, values, needs, motives and
behavior
• Emotions and Cognitive dissonance
• New challenges for manager in the field of OB
Organizational Behavior (S. P. Robbins)

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• OB is concerned with the study of what people do in an organization and
how their behavior affects the organizations performance.
• OB includes
• core topics of motivation
• leader behavior and power
• interpersonal communication
• group structure and process
• learning, attitude development and perception
• change processes
• conflict
• work design and work stress
Breaking down the definition...

Distinct area of expertise with a common body of knowledge

What does it study?

Individuals, groups, structure. (The 3 determinants of behaviour)

Applies the gained knowledge on behaviour to make organizations

work more effectively

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Why study organisational behaviour?

UNDERSTAND
BEHAVIOR

Why Study OB?

OB IS FOR EVERYONE

INFLUENCE
BEHAVIOR PREDICT BEHAVIOR

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Intuition and Systematic Study

• Gut feelings
Intuition • Individual observation
• Common sense

• Looks at relationships
Systematic • Scientific evidence
Study • Predicts behaviors

The two are complementary means of predicting behavior.

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Little on its Origin...
Taylor’s Scientific Management (1900 to 1930s)
Emphasis on output & efficiency

Mary Parker Follet

Emphasis on individual & group needs
(participatory decision making)

Mayo’s Hawthorne Studies (1924 to 1932)

Changed the way management viewed workers

Contingency Approach
Situational 9
Developing an OB Model

OB model has three levels of analysis

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Individual level
• People enter organization with certain intact characteristics that will influence
their behavior at work
• Elements: Includes factors such as personality, motivation,
perception, learning, and job satisfaction
Group level
• The behavior of people in group is more than the sum total of all the individuals
acting in their own way.
• Elements: Involves group processes, communication,
leadership, conflict resolution, and team dynamics.
Organization system level
• Organizations more than more than sum of their member group.
• Elements: Includes organizational structure, culture, strategy,
leadership styles, and overall organizational performance.
Contributing Disciplines
to the OB Field

Psychology

Social Psychology

Sociology

Anthropology

1-12
Discipline contributing to OB
• OB is an applied behavioral science that is built on contributions from
number of behavioral disciplines.
• Psychology:- Understanding individual behavior
• Social psychology:-people influence on each other.
• Sociology:- Studies people in relation to their social environment or
culture.
• Group behavior in organization
Conti...
• Anthropology :- study of society to learn about human beings an their
activities.
• Helps to understand differences in fundamental values, attitudes, &
behavior between people in different countries & within different
organization.
Mental Processes: Beliefs
• Core convictions or acceptance of something as true.
• Influence perception and decision-making.
• Can be shaped by personal experiences, cultural background, and
social influences.
• Example: Believing in the importance of honesty, thinking that hard
work leads to success, or holding a religious belief
Beliefs
• Core convictions or acceptance of something as true.
• It is also perception about and attitude towards objects developed
through cognition process or past experience or learning.
Features of Beliefs
• Belief may be different from fact
• While all attitude incorporate belief, all belief do not form attitude
• Belief assign meaning to day to day activities; they serve to achieve
varied goals
• Individual belief are affected by cultural and functional factor
• Belief can be changed over time which is largely determined by the
change in objectives
Development of Beliefs
• Cultural factors
Cultural factor provide most of the facts for belief
Cultural factor involve tradition, custom and value
Culture is gained by individual through parents, teachers, peers etc.
Difference in culture affects individual beliefs
In collectivist cultures, there is a strong emphasis on group harmony,
cooperation, and interdependence, whereas individualistic cultures prioritize
personal autonomy, self-expression, and individual achievement.

• Functional factor
Functional factor includes needs, demands, and emotions
Importance of Beliefs
• Belief direct and control an individual’s behaviour
• Belief develop a person’s attitude
• Belief provides continuity to personality of individual
• Belief assign meaning to day-to-day perception and activities
• Belief impact the individual performance
Limitation of Beliefs
• Different people may have different beliefs that may create conflict at
workplace
• Divergence of belief from real situation can limit their usefulness
• Belief based on superstition, delusions, prejudices and sterotypes can
create organizational problem
Change of Beliefs
Belief can be changed through:
• Social approach (creating new group, taking part in diverse cultural
programs)
• Integrated approach (incorporating multiple sources of information,
experiences, and perspectives)
Mental Processes: Attitudes
• Evaluative judgments or feelings toward objects, people, or situations.
• Tend to be positive, negative, or neutral.
• Impact behavior and decision-making.
• Example: Having a positive attitude towards teamwork, a negative
attitude towards a specific political ideology, or a neutral attitude
towards a certain type of music.
Attitudes
• Judgmental/evaluative statement concerning objects, people or
events
• Attitude is also peoples opinions, belief, and feeling about aspects of
their environment
Features of Attitudes
• They tend to persist unless something is done to change them
• Attitude can fall anywhere along a scale from positive to negative
• Attitude are complex
• Attitude are directed towards some objects which a person has belief
Components of Attitudes
• Cognitive
• Opinion or belief part of attitude
• Affective
• Person’s feeling that result from his/her belief about persons
• Behavioural
• Individual behaviour that occurs as a result of his/her feeling
Negative attitude towards supervisor
• My supervisor is unfair, she only give promotion to her favorites
• I dislike my supervisor
• I have complained about my supervisor to anyone who would listen it
Types of job-related attitudes
• Job satisfaction
• A pleasurable or positive emotional state resulting from the appraisal of one's
job or job experiences.
• Satisfaction with the work itself, Relationships with colleagues and superiors,
Opportunities for advancement, Compensation and benefits, Work-life
balance
• Higher job satisfaction often correlates with increased productivity and
employee retention.
• Job involvement
• The degree to which a person identifies with his or her job, actively
participates in it, and consider his/her performance to self worth
• High job involvement implies a strong connection between the individual and
their work.
• Employees with high job involvement are often more committed and
motivated.
 Types of job-related attitudes
• Organizational commitment
• The extent to which an individual identifies with and is dedicated to the goals and
values of their employing organization.
• High organizational commitment is associated with lower turnover rates.
• It can positively impact organizational performance and employee loyalty.
Components:
• Affective Commitment: Emotional attachment and identification with the
organization; employee feel organizational problem as their own
• Continuance Commitment: Perceived cost of leaving the organization, such
as loss of benefits or seniority; work for organization for long time
• Normative Commitment: A sense of obligation to remain with the
organization; employee feel guilty if they leave organization
 Importance of attitudes
• Attitude help to reduce absenteeism, employee turnover, grievances and
accidents
• Attitude provides a frame of reference within the organization within which
people tend to perceive specific aspect of work-life such as pay, promotion
• Attitude determine the meaning of what is seen in the environment
• Attitude help people to adapt to their environment
 Function of attitudes
• Adjustment function
• Helps individuals adjust with the environment.
• Attitudes provide a way to navigate and adapt to social situations.
• Developing a positive attitude toward a challenging task to reduce
anxiety and improve performance.

• Ego-defensive function
• Attitude help people to retain the person’s dignity and self image
• Attitude serve to justify action and defend the ego
• Developing a belief that a challenging project is not important to
avoid feelings of inadequacy.
 Function of attitudes
• Value Expressive function
• Attitude provide individuals with a basis for expressing their values
• Communicates an individual's core values and self-identity.
• Expressing support for environmental causes as a reflection of one's
value for sustainability.
• Knowledge function
• Attitude provide standards and frames of reference that allows people to understand
and perceive the world around them
• Attitudes help individuals make sense of the world by categorizing
and organizing information.
• They serve as a framework for understanding and interpreting
events and people.
• If employee has strong negative attitude towards management
whatever management does, even employee welfare program can
be perceived as something bad and against them
 Barriers to changing attitudes
• Prior commitment
o When people feel commitment towards a particular course of action that has been already
agreed upon it becomes difficult for them to change
• Insufficient information
o Lack of awareness or understanding about the need for change can impede attitude
transformation.
o Incomplete or unclear information may create uncertainty and resistance.
• Lack of resources
o Inadequate access to necessary resources, such as time, finances, or tools, can obstruct the
willingness to adopt new attitudes.
• Improper reward system
o If the existing reward system doesn't recognize or incentivize the desired changes, resistance
may prevail.
• Resistance to change
o People may fear the unknown, loss of comfort, or disruption to their routine, leading to a
reluctance to modify attitudes.
 Overcoming Barriers to changing
attitudes
• Providing new information
• Supply individuals with relevant and compelling information
• Conduct informative sessions, share data, and present evidence supporting the desired attitude
shift.
• Use of fear
• Fear can be a motivator, prompting individuals to change attitudes to avoid undesirable outcomes.
• Resolving discrepancies
• If individuals are helped to remove the perceived discrepancies between their attitude and
behaviour, they tends to accept things better
• If employee remain of resolution taken in last meeting about increased customer care and their
cold behaviour, they are more likely to agree to change existing behaviour
• Influence of friends/peers
• People are often influenced by those they trust and respect within their social circles.
• Coopting approach
• Inviting somebody to group to enable him/her to see things from group perspective
• Inviting employee to board meeting for deciding bonus to be granted to employees
Mental Processes: Values
• Fundamental beliefs that guide preferences and choices.
• Reflect what is important or desirable to an individual or a society.
• Serve as a foundation for forming attitudes and making decisions.
• Example: Valuing honesty as a core principle, placing a high
importance on environmental sustainability, or prioritizing family
above all else.
 Values

Basic convictions on how to conduct

yourself or how to live a life that is
personally or socially preferable – “How Values are stable, evaluative beliefs that
To” live life properly guide our preferences about what is good
or bad, right or wrong.

Attributes of Values
Content Attribute: that the Values are related to our self-concept.
mode of conduct or end- Defines us as individuals & as members of
state
. is important groups of similar values.

Intensity Attribute: just how

important that content is

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 Classifying Values – Types of value

Terminal Values: Instrumental Values:

• Desirable end-states of • Preferable modes of
existence behavior or means of
achieving one’s terminal
• the goals that a person values
would like to achieve
during his or her lifetime

People in same occupations or categories tend to hold

similar values. But values vary between groups.
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 Classifying Values – Types of value
Terminal Values: Instrumental Values:
• Comfortable life • Ambitious
• Equality • Congruence (standing for your
• Freedom values)
• Happiness • Helpful
• Self-respect • Honest

For someone who values success or achievement

(terminal value), hard work might be an instrumental
value employed to reach that desired outcome.

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Values in the Workplace

• Personal Values: Values that exist within individuals.

• Shared Values: Similar values held by groups of people

like team, department etc.

• Organizational Values: Values shared by people

throughout an organization.

• Cultural Values: Values shared across a society

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 Value Congruence

• To what extent is a person’s value hierarchy similar to the

organization’s value hierarchy?

1. Person – organization value congruence occurs when the

employee’s & organization’s dominant values are similar
• Increases loyalty, OCBs – decreases stress, turnover

2. Espoused – enacted value congruence important for people in

leadership positions

3. Organization’s dominant values – society value congruence

But, not always do the most successful organizations have the

highest possible levels of person-organization value congruence
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Generational Values: Dominant Work Values in
Today's Workforce
Entered Approximate
Cohort Dominant Work Values
Workforce Current Age

Socialists 1950s to the late 55+ Hardworking, conservative,

1980s conforming; loyalty to the
organization; emphasis on a
secured life

Liberals Early 1990s to Mid-40s to Success, achievement, ambition,

2000 mid-60s dislike of authority; loyalty to
career
Xers 2000–2005 Late 20s to Work/life balance, team-oriented,
early 40s dislike of rules; want financial
success; loyalty to self and
relationships

Millennials 2005 to present Early 20s Comfortable with technology,

entrepreneurial; high sense of
entitlement 40
Generational Values: Dominant Work Values in Today's Workforce
VETERANS (1950S TO EARLY 1960S)

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Generational Values: Dominant Work Values in Today's Workforce
BABY BOOMERS (1965 – 1985)

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Generational Values: Dominant Work Values in Today's Workforce
Xers (1985 – 2000)

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Generational Values: Dominant Work Values in Today's Workforce
NEXTERS (AFTER 2000)

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 Hofstede’s Cultural Dimensions: Cross cultural values
• A framework developed by Geert Hofstede
• Work-related value dimensions
• Surveyed over 116,000 employees in more than 70 countries
• Created maps of pairs of dimensions

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Power distance

High power distance

Malaysia
The degree to which
people accept an
unequal distribution
Hong Kong
of power in society
Japan

Australia

N.Z.

Low power distance

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• This dimension reflects the distribution of roles between
the genders and focuses on assertiveness and
achievement.
• Masculinity (Task-orientation): Societies emphasize
assertiveness, competition, and material success.
• Femininity (Person-orientation): Societies emphasize
cooperation, modesty, and quality of life.
•Masculine Countries: Japan, Germany, Italy,
the United States.
•Feminine Countries: Sweden, Norway, the
Netherlands, Denmark.

Nepal is often considered to have a more

collectivistic and feminine culture. Family and
community bonds are strong, and cooperation is
often emphasized over competition.
•This dimension reflects the values associated with dynamism
and focuses on the degree to which a society embraces long-
term commitments and values perseverance.

•Long-Term Orientation: Societies value perseverance, thrift,

and long-term planning.
•Short-Term Normative Orientation: Societies value
stability, tradition, and fulfilling social obligations.
 •Long-Term Orientation Countries:
China, Japan, South Korea.
•Short-Term Normative Orientation
Countries: United States, Canada,
Australia.

Nepal generally reflects a more short-term

normative orientation. Cultural values often
emphasize traditions, social obligations, and
stability.
Uncertainty Avoidance (UAI):
•Uncertainty avoidance measures the extent to which a
society tolerates ambiguity and uncertainty.

•High UAI: Societies prefer structured situations, have clear

rules, and are averse to uncertainty.
•Low UAI: Societies are more open to ambiguity, change,
and unpredictability.
•High Uncertainty Avoidance Countries:
Japan, Greece, Portugal, Belgium.
•Low Uncertainty Avoidance Countries:
Singapore, Denmark, Sweden, Hong Kong.

Nepal tends to have a lower uncertainty

avoidance culture. There is often an
acceptance of ambiguity, and people may be
more flexible in dealing with unexpected
situations.
Quiz

Your cultural values encourage you to "sell yourself" during a job

interview and to emphasize your personal accomplishments. You
probably belong to a :
a. highly collectivist culture
b. highly individualist culture
c. low power-distance culture
d. both b and c
Quiz

Your cultural values encourage you to "sell yourself" during a job interview and
to emphasize your personal accomplishments. You probably belong to a :
a. highly collectivist culture
b. highly individualist culture
c. low power-distance culture
d. both b and c

Correct : D
Standing out as an individual is highly prized and encouraged in individualist
cultures. Individualism and low power-distance are highly correlated.
Quiz

Which of the following is not a difference between individualist and

collectivist cultures include?
• self-promotion is encouraged in collectivist cultures
• a low-context communication style is typical of individualist cultures
• public-speaking skills are perceived as useful in an individualist culture
• harmony is highly valued in collectivist cultures
Quiz

Which of the following is not a difference between individualist and collectivist

cultures ?
• self-promotion is encouraged in collectivist cultures
• a low-context communication style is typical of individualist cultures
• public-speaking skills are perceived as useful in an individualist culture
• harmony is highly valued in collectivist cultures
Correct : A
Self-promotion is discouraged in collectivist cultures because it may produce envy
and disharmony. Harmony is highly valued in collectivist cultures because the
group or society are more important than the individual. Individualist cultures
believe in "saying what you mean and meaning what you say."
Task
• An eager young Nepalese student wants to conduct business in US.
How knowledge of OB and cross-culture can be useful.
Cross-Cultural Understanding:
• Cultural Sensitivity: Being aware of and respecting cultural
differences can foster positive relationships and avoid
misunderstandings.
• Business Etiquette: Understanding the nuances of American business
etiquette can contribute to a positive professional image.
• Networking: Cross-cultural awareness aids in building diverse
networks, which is essential for business success in the globalized world.
• Negotiation Skills: Recognizing cultural variations in negotiation styles
can be advantageous when striking deals or partnerships.
• Adaptability: Cross-cultural knowledge helps in adapting to the work
culture in the US, making it easier to integrate and succeed.
Organizational Behavior (OB):
• Team Dynamics: Understanding how teams function within
American organizations can enhance collaboration and productivity.
• Leadership Styles: Familiarity with different leadership styles in
the US can help in adapting to and effectively working with
American managers.
• Communication Skills: Knowledge of effective communication
practices within US workplaces can improve interactions with
colleagues, superiors, and subordinates.
• Conflict Resolution: Learning about conflict resolution strategies
can be crucial for navigating workplace disagreements and
maintaining positive relationships.
1. Communication Styles:
High Context vs. Low Context
• High-context cultures (e.g., Japan) rely on implicit
communication, while low-context cultures (e.g., the
United States) prefer explicit communication.
• US business to business relationship rely on documents,
not handshakes and personal relationships
2. Decision-Making Processes:
Power Distance: High power distance cultures (e.g.,
Malaysia) may have centralized decision-making, whereas
low power distance cultures (e.g., Sweden) might favor
more decentralized decision-making processes.
3. Leadership Styles:
Power Distance and Individualism/Collectivism:
Cultures with high power distance may accept autocratic
leadership, while individualistic cultures may prefer
participative or transformational leadership styles.

4. Conflict Resolution:
Individualism/Collectivism: Individualistic cultures (e.g.,
the United States) may encourage open confrontation in
conflict resolution, while collectivistic cultures (e.g., Japan)
may emphasize harmony and indirect conflict resolution.
5. Motivation and Rewards:
Individualism vs. Collectivism: Individualistic cultures
may respond well to individual recognition and rewards,
while collectivistic cultures may value team achievements
and shared rewards.

6. Work-Life Balance:
Uncertainty Avoidance: High uncertainty avoidance
cultures (e.g., Japan) may prioritize stability and job
security, potentially impacting work-life balance, while low
uncertainty avoidance cultures (e.g., Sweden) may be more
adaptable.
7. Approach to Change:
Uncertainty Avoidance: Cultures with high uncertainty
avoidance may resist change and prefer stability, while
cultures with low uncertainty avoidance may embrace
change more readily.
8. Team Dynamics:
Individualism/Collectivism: Individualistic cultures may
emphasize individual contributions, whereas collectivistic
cultures may stress teamwork and group cohesion.
Cultural dimension in around world
• In US (low context), it’s common decency to look someone in the eye when
they’re talking to you. In Indonesia (high context), maintaining direct eye contact
is seen as disrespectful
• In Thailand (collectivist), it’s common for workers to address their bosses as
‘father’ or ‘mother’ when business relations are particularly good.
• In many Western cultures (Individualism), it’s common to approach someone
directly about a problem or disagreement you may have with them. However, in
Thai, Japanese and Chinese (Collectivism), business meetings, many
subordinates wouldn’t dream of disagreeing with their superior
• In China, you’re likely to be asked what kind of gift you’d like before receiving one.
In Japan (HUI), you can expect your gift to be reused once or twice before it’s
accepted. In Saudi Arabia, expensive gifts are common
Mental Processes: Needs
• Basic requirements for human well-being.
• Can be physiological (e.g., food, shelter) or psychological (e.g., love,
esteem).
• Drive behavior and influence priorities.
• Example: Physiological needs such as food, water, and shelter;
psychological needs like love, belongingness, and self-esteem.
 Needs
• Needs are states of felt deprivation of some basic satisfaction
• Basic human requirements
• Unsatisfied need cause tension
• Individual engages in behavior to satisfy need for tension reduction
Process of needs
Stimulus ----> Arouse needs ----> Search for source of alternatives ----
>Response behaviour ----> Either (need satisfaction) Or (continuous need
creation
• Stimulus: The organization conducts a performance review, and feedback
during the performance review indicates that the employee's skill set may
benefit from additional training.
• Arouse Needs: The employee becomes aware of the potential gaps in their
skills and realizes that upgrading skills could lead to career advancement.
• Search for Alternatives: The employee begins researching available training
programs, workshops, and courses for skill development.
• Response Behavior: The employee decides to enroll in a relevant training
program offered by the company's learning and development department.
• Outcome 1 (Need Satisfaction): The employee successfully completes the
training program, acquiring new skills that contribute to improved job
performance
• Outcome 2 (Continuous Need Creation): The training program sparks an
ongoing interest in professional development, leading the employee to seek
out additional learning opportunities and stay updated in their field.
 Types of Needs
• Primary needs
• Knowns as physiological, biological, basic, or unlearned needs
• Includes food, water, clothes, shelter, air, comfortable temperature
• These needs are common to all individuals
• Essential for survival
• Secondary needs
• They are not natural but learned by people through their experiences and social
interaction
• Includes future safety and security, love, social prestige, social affiliation, ego needs,
self-actualization
• Valuable for career making
 Types of Needs in organization
• Primary needs
• Salary, wages
• Safe Working Conditions:
• Job Security
• Fair Treatment
• Secondary needs
• Career Development Opportunities
• Recognition and Appreciation
• Work-Life Balance
• Challenging and Meaningful Work
Mental Processes: Motives
• Inner forces that stimulate and energize behavior.
• May be conscious or unconscious.
• Can be intrinsic (internal desires) or extrinsic (external rewards).
• Example: The motive for achievement driving someone to excel in
their career, the motive for affiliation leading someone to seek social
connections, or the motive for power guiding someone to influence
others
 Motives
• Inner state that energizes, activates, and directs human behaviour towards
goals
• Drive individual to seek satisfaction
 Types of Motives
• Primary motive
• Physiologically based, hunger, thirst, sleep
• Secondary motive
• Psychologically based, achievement, status, power
 Types of Motives in organization
• Primary motive
• Salary and Compensation
• Job Security
• Workplace Safety
• Basic Working Conditions
• Secondary motive
• Recognition and Appreciation
• Career Growth Opportunities
• Work-Life Balance
Mental Processes: Behavior
• Observable actions or reactions of an individual.
• Influenced by a combination of beliefs, attitudes, values, needs, and
motives.
• Can be intentional or automatic, depending on various factors.
• Example: Studying for an exam, helping a friend in need, practicing a
healthy lifestyle, or engaging in a specific buying behavior.
Example: Interconnection
Let's consider the example of a person applying for a job:

• Belief: Believing that hard work and dedication lead to career success.
• Attitude: Having a positive attitude toward challenges, viewing them as
opportunities for growth.
• Values: Valuing professionalism, integrity, and continuous learning.
• Needs: Meeting the need for financial stability and the need for personal
growth and development.
• Motives: Being motivated by the desire for achievement and the need
for affiliation with a supportive work environment.
• Behavior: Actively seeking out job opportunities, preparing for
interviews, and networking with professionals in the industry.
New challenges for manager in
the field of OB

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I. Globalization • People are no longer
• Globalization: Various limited to local or national
processes – economic, cultural choices.
political and cultural – that
occur on a worldwide
basis. • People are exposed to a
range of cultural influences
• Cross border flow of & products.
goods, services, capital,
ideas, people etc. • “Pick-and-mix” approach to
culture may lead to creation
• Global Meltdown’s impact of something new, different
on organizations, people & & unique – known as
society cultural hybridization.
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Global culture and diversity between groups
Global culture expressed in two
main ways: Example
• Globalized culture reflects • The economic power of
how local or national global companies create a
cultural developments can consumer culture where
spread, to be picked up, standardized commodities
shaped & changed to suit are promoted by global
the needs of different marketing campaigns to
groups. ‘create similar lifestyles’
like coca cola. Lechner
(2001)
• The driving force here in IT.
• ‘McDonaldisation of self
• Process of convergence and society’ –
within cultural groups. standardized cultural
products. Ritzer (1996)
Implications for OB

• new organisational structures

• different forms of communication
• more competition, change, mergers, downsizing,
stress
• need more sensitivity to cultural differences

85
II. Workforce Diversity
• Increasing heterogeneity of Disability
organizations with the Language Gender
inclusion of different groups
Region Age
• Different needs of Alpha, Gen-
Z, Gen-X, Gen-Y and baby-
Religion Caste
boomers

86
Biographical Characteristics

• Religion
• May impact the workplace in areas of dress, grooming, and
scheduling
• Faith can be an employment issue when religious beliefs
prohibit or encourage certain behaviors
• The law prohibits employers from discriminating against
employees on the basis of their religion
• Official holiday list of the govt. has holidays for all the major
religious festivals

87
• “Melting Pot” (assimilation into an existing cultural
context) Vs. “Tossed Salad” (mosaic of different
flavors, colors, textures)

• Dominant groups tend to be self-perpetuating

• Stereotyping and Prejudice

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Implications for OB
• Embracing diversity by changing management philosophy
• Shift practices from treating everyone alike to recognizing
differences
• Cultural awareness
• Family-friendly policies
• Empowerment
• Understand & value diversity

89
 III. Emerging Employment Relationships

i. Emerging workforce ii. Increasing Workforce Flexibility

expectation: Work-life • Employability
balance • employees perform many tasks, not a specific job; doing
value creating work, and learning at the same time,
• 9 – 5 jobs turned into 24/7 enhancing the ability to shape work in the future
employment • Casual/contingent work
• no explicit or implicit contract for long-term employment
• Two income families demand
• Telecommuting
on both partners • working from home, usually with a computer connection to
• Millenials, Gen Z expectations the office
• Virtual teams
• operate across space, time and organisational boundaries;
mainly communicate through electronic technologies
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• Knowledge Workers
• add value in an organization because of what they know
• Work in autonomous fashion, identify with profession than
organization

• Outsourcing/Offshoring
• hiring other firms to do work previously performed by the
organization; secondary activities

91
IV. Ethics
How an Organization Treats Its Employees

Hiring and
Policies Firing

Employee
Privacy
Wages and
working Sexual
conditions Harassment

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How Employees Treat the Organization

Conflict of
interest Secrecy &
confidentiality

Honesty

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How Employees and the Organization Treat Other Economic Agents

Customers,
competitors, Advertising,
Suppliers, promotions
Unions

Example of
Financial Hilton Hotels
disclosures and Starwood
Hotels

94
Improving Ethical Behavior
• Ethical dilemma is a situation in which an individual is required
to define right and wrong conduct

• Members in organizations are increasingly finding themselves

facing ethical dilemmas & ethical choices

• What constitutes good ethical behavior has never been clearly

defined

• Organizations need to respond to this problem from a number

of directions. E.g. distributing code of ethics, offering seminars,
workshops etc.

95
V. Improving Customer Service

• People skills are important to managerial effectiveness

(friendly, courteous, accessible, knowledgeable, prompt in
customer needs, willing to do what's necessary to please
customer)

• The majority of employees in developed countries work in

service jobs—jobs that require substantive interaction with
the firm’s customers

• E.g. Bank fraud cases

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VI. Green Business Practices

• Increased focus on sustainability

as consumers become more
aware

• Organizations struggle to
reconcile sustainability practices
with business goals and
profitability
Contemporary Challenges:
Review
• Globalization
• Workforce diversity
• Emerging Employment Relationships (Work-life balance,
telecommuting, contingent workers, knowledge workers)
• Improving Ethical Behavior
• Improving Customer Service
• Green Business Practices

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Emotions and
Cognitive
dissonance
Emotions in the Workplace?

Until Neuroscience
Recently discovery

Person’s
Behavior influenced
thoughts/actions
both by cognition
governed by
and emotions
conscious reasoning
(cognition)

100
Why Were Emotions Ignored in OB?
• The “Myth of Rationality”
• Emotions were seen as irrational
• Managers worked to create emotion-free environments

• View of Emotionality
• Emotions were believed to be disruptive
• Emotions were thought to interfere with productivity
• Only negative emotions were observed

• Now we know emotions can’t be separated from the

workplace
101
So, what is emotions?

• Psychological, behavioral, and physiological episodes

experienced toward an object, person, or event that create
a state of readiness.

Most emotions occur without our awareness

Emotions are experiences
What are Emotions and Moods?
Affect
A broad range of emotions
that people experience

Emotions Moods

Intense feelings that Feelings that tend to

are directed at be less intense than
someone or emotions and that lack
something a contextual stimulus
103
Attitudes versus Emotions

Attitudes Emotions

Judgments
Judgments about
about an
an Experiences
Experiences related
related to
toan
an
attitude
attitude object
object attitude
attitude object
object

Innate
Innate and
andlearned
learnedresponses
responses to
to
Conscious
Conscious logical
logical reasoning
reasoning environment
environment

Stable
Stable Brief
Brief
 Types of emotions
Basic Emotions
• Basic emotions are innate, universal, and evolutionarily adaptive emotional
states that are characterized by distinct subjective feelings, physiological
responses, and behavioral expressions.
• These emotions are often considered primary building blocks that can
combine and interact to produce a wide range of more complex emotional
experiences.
Complex Emotions
• Complex emotions, also known as secondary or higher-order emotions, are
more nuanced and often arise from a combination or elaboration of basic
emotions.
• Complex emotions often arise in response to complex social situations and
personal relationships. 105
 Basic emotions :

Happiness: Anger:
• Characterized by feelings of joy, contentment, and • Manifests as a strong displeasure or hostility.
satisfaction. • Can be a response to perceived injustice, frustration,
• Associated with positive events, achievements, or or a threat to one's well-being.
personal well-being.
Surprise:
• Occurs when something unexpected or sudden
Sadness:
happens.
• Involves feelings of sorrow, grief, or unhappiness. • Involves a brief state of heightened awareness and
• Triggered by loss, disappointment, or unfavorable physiological arousal.
life events.
Disgust:
Fear: • Averse reaction to something offensive or repulsive.
• An emotional response to perceived threats or • Often linked to sensory experiences, such as taste or
dangers. smell.
• Evokes a "fight or flight" reaction and
physiological changes like increased heart rate. 106
 Complex emotions :
Love:
• Involves deep affection, attachment, and care Shame:
for someone or something. • Intense negative emotion associated with feelings of
• Can be romantic, platonic, or familial in nature. disgrace or humiliation.
• Often tied to a perceived failure or violation of social
norms.
Jealousy:
• Emotion stemming from the fear of losing Pride:
something valuable to a rival. • Sense of satisfaction and self-worth derived from
• Often linked to insecurity or perceived threats one's achievements or qualities.
in relationships. • Can be a positive emotion when balanced, but
excessive pride may lead to arrogance.
Guilt:
• Feeling of remorse or self-reproach resulting
from a belief of having done something wrong.
• Can lead to a desire for restitution or making
amends. 107
 Cognitive dissonance
• Cognitive dissonance refers to the psychological discomfort that arises when
individuals hold conflicting beliefs, attitudes, or values.
Cognitive dissonance occurs when:
• Conflict Between Beliefs and Actions: Cognitive dissonance occurs when there
is a mismatch between what a person believes and how they behave.
• Motivation for Consistency: Humans are motivated to maintain internal
consistency and reduce the discomfort associated with conflicting cognitions.

108
 Emotional Influence on Cognitive Dissonance:
• Amplification of Discomfort: Emotions, especially intense ones
like guilt or shame, can intensify the discomfort associated
with cognitive dissonance.
• Motivation for Resolution: Emotional distress serves as a
motivator for individuals to actively seek ways to resolve
cognitive dissonance.
• Emotional dissonance

109
 Emotional Labor

An employee’s expression
of organizationally desired
emotions during
interpersonal transactions
at work

Types of Emotions: Expected to abide by display

Felt: the individual’s actual rules
emotions

Displayed: required or Conceal frustrations, display

appropriate emotions compassion, hide boredom
110
Emotional Labor Challenges: Emotional Dissonance
• Difficult to display expected emotions accurately, and to hide
true emotions
• Difficult to fake
• Can be very damaging and lead to burnout

Conflict between true

Employees have to and required emotions
project one
emotion while Potentially stressful
simultaneously with surface acting
feeling another
Less stress through
deep acting
111
Emotional Labor Challenges: Emotional
Dissonance
Surface Acting: displaying
appropriately but not feeling
those emotions internally
/people try to modify their
behavior to be consistent with
required emotions but continue
to hold different internal feelings
E.g. Forcing a smile while
greeting a rude customer

• Deep Acting: changing

internal feelings to
match display rules -
very
stressful/changing true
emotions to match the
required emotions
112
 Managing Emotions at Workplace

Effort, planning and control needed to

express organizationally desired
emotions during interpersonal
transactions.

Higher in job requiring:

• Frequent/lengthy emotion display
• Variety of emotions display
• Intense emotions display
Resolving Dissonance
• Change in Behavior: Adjusting actions to align with
beliefs.
• Change in Beliefs: Reassessing and modifying existing
attitudes.
• Justification: Finding reasons to rationalize and reduce
discomfort.

114
 Ethical Dilemma at the Workplace
• Sarah works for a company that emphasizes ethical business practices. The
company has a policy against accepting gifts from clients to maintain
transparency and prevent potential conflicts of interest. Sarah is offered an
expensive gift from a client as a token of appreciation for a successful project.

115
 Ethical Dilemma at the Workplace
Cognitive Dissonance:
• Sarah experiences cognitive dissonance because she holds two conflicting
cognitions: a) the knowledge that accepting the gift goes against the
company's ethical policy, and b) the desire to accept the gift as a gesture of
appreciation for her hard work.
Emotions at Play:
• Guilt and Loyalty: Sarah feels guilt because accepting the gift violates the
company's ethical guidelines. However, she also feels a sense of loyalty to the
client who gave her the gift and a desire not to offend or jeopardize the client
relationship.

116
 Ethical Dilemma at the Workplace
Justification Strategies:
• To alleviate the emotional discomfort, Sarah might employ justification
strategies.
• For instance, she might rationalize that the gift is not significant enough to
influence her professional judgment or that other colleagues have accepted
similar gifts in the past without consequences.

Behavioral Change:
• As the emotional distress intensifies, Sarah may be motivated to change her
behavior.
• She might decide to decline the gift, aligning her actions with the company's
ethical policy to reduce cognitive dissonance.
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 Ethical Dilemma at the Workplace
• This example illustrates how emotions, particularly guilt and loyalty, can drive
the resolution of cognitive dissonance in the context of organizational
behavior.
• The interplay involves not only individual cognitive processes and emotions
but also considerations related to organizational policies, professional
relationships, and overall workplace culture.

118