NOTES

ORGANIZATIONAL BEHAVIOR

Emergence of Organizational Behavior – Management and OB – Hawthorne Studies and Human Relations School

Management as a discipline of study is around 120 years old, however it has been in existence through practice from time immemorial.  In the ancient text of all religions mention about management of resources and people. 

The classical approach to management was led by three contributors from three different regions of the world – FW Taylor, (a mechanical engr in the US), Henri Fayol, (a mining engineer from France, a Nobel Laureate – 1921), and Max Weber, (a sociologist from Germany) who developed Scientific Management, Administrative Theory of Management (14 Principles), and Bureaucracy Theory respectively.  There was criticism of this approach as it centred around production rather than people.  Since it was more about improving efficiency levels, it led to a thinking of compromising on  human beings. 

With the Hawthorne experiments that were conducted by Elton Mayo at Western Electric Corporation, Human Relations School of thought got emerged which contributed to the evolution of Organizational Behaviour. 

The study of OB helps in putting right person to the right job primarily.  However it helps in building better interpersonal relationship among the employees helping HR to deal with them appropriately which could further help them in designing measures of motivation and giving them incentives as well as in identifying inefficient people and to provide them appropriate training or to get rid of them.  The study of OB also helps the employees to understand the customers or clients better.  

When one looks at the relationship of OB with other concerned domains like HRM, Org Theory and Organizational Development, it could be found that while OT and OB are theoretical in nature, OD and HRM are applied.  On the other hand OT and OD is considered to be Macro areas whereas OB and HRM are Micro areas.  They need to be focused accordingly.  [Click here to see the relationship between OT, OB, OD, and HRM]

Positive Organizational Behaviour

The base of POB lies in the Positive Organizational Scholarship.  The domain of Positive Psychology deals with human strengths and concentrates on preventive measures.  Human strengths are also termed as Psychological Capital leading towards development of components like Happiness, Hope, Optimism, Generosity, Emotional Intelligence, Creativity, Positive relationships, Confidence (or Efficacy), Resilience, Flow etc.  The organizations should help individuals investing in developing human strengths so that they are able to perform better and improve performance as well as lead a better and positive life.  Many researches have shown that individuals who have better psychological capital, tend to lead better life as compared to their counterparts who do not have good psychological capital.

The students are advised to read the contribution of Martin Seligman, Ed Diener, Synder, Fred Luthans etc in order to get clarity.   In 2002, Fred Luthans contributed through an invited essay titled – The Need for and Meaning of POB for Journal of Organizational Behaviour.  I expect students of POB to go through this essay. 

for clarity on Hope and Optimism relationship click here. 

(also read Chapter 9, OB by Fred Luthans) 

Challenges and Opportunities for Organizational Behavior

The field of OB is undergoing many challenges that are also considered as opportunities.  Some of the important challenges/opportunities are – 

a. Change in Technology;

b. Diversity (workplace, people and gender);

c. Globalisation and Deglobalisation;

d. Work Life Balance;

e. Competitive Forces;

f. Short-term employment (Temporary) – end of permanence;

g. Dealing with Calamities – COVID 19;

h. Ethics, Morality and Dissonance;

i. Market dominance;

and many more such issues.

Individual Behavior: 

Foundations of Individual Behavior

Behaviour is caused by reasons.  The reasons may be internal feelings that motivate or drive an individual and/or external environment.  The internal feelings interact with the external environment (heat, light, piece of information, storm, data, etc) driving the reason.  When we study individual behaviour we try to find out the reason, why a person is behaving the way he/she is behaving.  The study of organizational behaviour helps in finding out the reason of a given behaviour helping in decision making as well as in treating such cause. 

Broadly there are two parts of individual behaviour, viz., Inherited and Learned.  Inherited behaviour is further divided into two characteristics – Biological characteristics and Biographical characteristics.  The study of OB concentrates on Learned Behaviour (Values, Attitude, Learning, Perception, Personality, etc).  These aspects of learned behaviour may be improved by putting efforts, hence their study helps individuals and organizations to make appropriate interventions.

The interrelationship between the key variables and Individual behaviour could be explained through this. (Click here)

Attitude has three important components abbreviated as CAB (Cognition, Affect, and Behaviour).  While cognitive processes and feeling of affect are not visible, behaviour is visible. Behaviour is the result of interaction between cognition and affect.

Personality is the way in which an individual interacts with others as well as with the situation.  It is determined by the kind of genes one carries and the kind of environment one grows with.  Personality reflects on one’s psychological characteristics derived at times with the set of habits one develops.  Hence personality is also viewed as sum total of habits.  Since it is result of a person’s interaction with situation or environment, it has been one of the important point of discussion in the field of organizational behaviour.  It was in 1936 when GW Allport and HS Odbert found BIG 5 personality factors (Emotional Stability, Agreeableness, Extraversion, Conscientiousness, and Openness) in individuals.  All these factors had two dimensions.  Based on the work done in 1920s by Swiss psychiatrist Carl Jung, Mother daughter team (Katharine Briggs & Isabel Briggs-Myers) developed the Myers-Briggs Type Indicators (MBTI) in 1940.  Carl Jung had mentioned that people are fundamentally different and alike and they have preference combinations for extraversion and introversion as well as perception and judgment.  MBTI had four preferences (Extraversion – Introversion, Sensing – Intuiting, Thinking – Feeling, and Judging – Perceiving).

Perception is interpreting the result of felt sensation evolving from its interaction with cognitive faculties. It communicates the messages from our sensation for the purpose of providing order and meaning to the environment.  Since all individuals have different cognitive faculties, they may interpret same message differently, hence perceive differently.  Mere sensing is not perception, so there has to be interpretation and communication through any mode, in order to express oneself concerning individual, event, situation, object, happening etc.  

Sensation is concerned with the initial contact between organisms and their physical environment. 

• Western Perspective – FIVE senses (इंद्रियाँ) – vision, hearing, touch, smell,  and taste
• Indian Perspective – apart from 5 senses – consciousness (चेतना) is also important and determines perception. 

Western thinking of linearity of life and Indian thought of cyclic nature of life helps the natives to form perception accordingly concerning life, events, and individuals. 

According to Indian thought (Psychology/Philosophy), life, relationships, and behaviour are viewed as – Relations forever (long-term); Subjectivity (oral tradition); Consciousness (holistic); Transcendental; and Self-introspection (Manas-buddhi-chitta and Sat-chit-aanand).  However Western thought (Psychology/Philosophy) views as – Short-term; Objectivity; Visibility (Physicality); Individualistic; Satisfaction from outside (external); and Terminality. 

Indian accounts of the sense-organs are widely different from those of western physiology, because they are based more on metaphysical speculation than on scientific observation and experiment. Direct contact (taste & touch) results concerns Matter or gross (स्थूल) whereas indirect contact (smell, hearing, and seeing) as well as Consciousness (chetna) are Subtle (सूक्ष्म) in nature. 

Buddhist believe in – visual (eyes), auditory (ear), olfactory (nose), gustatory (tongue), tactile (skin), and purely mental. 

Jain classification is based on – Bhavendriya (subjective) & dravyendriya (objective).

According to The Sankhya yog – there are two entities in the manifested universe – purusha – पौरुष (spirit), and prakriti – प्रकृति (nature). Body and soul are separated from each other, soul resides in the body. An indriya is the instrument of the Lord of the body or the soul and Prakriti is the equilibrium of sattva (essence), rajas (energy), and tamas (inertia). Buddhi evolves out of Prakrti when the equilibrium of sattva, rajas, and tamas is disturbed by a transcendental influence of the Self (purusa) for the sake of which all evolution takes place. Sense organs (indriyan) produce cognition and actions as a result of ahamkara – अहंकार (egoism).  Broadly it is explained through buddhindriya – cognition and karmendriya – action  [vocal, prehensive, locomotive, evacuative, and generative].  Internal organ or mind is termed as manas. 

Indian thought surrounds – sat-chit-anand (सत-चित्त-आनंद). [sat – existence; chit – consciousness; and anand – bliss]. 

Sensation determines the relationship between various forms of sensory drive/stimulation and how the inputs are registered by our sensory organs.  The output of processing, analyzing and interpreting/reflecting/explaining the sensation is Perception.  Hence initial process of studying Perception is Sensation.

Ralph Waldo Emerson stated: 

…man is a bundle of relations, a knot of roots, whose flower and fruitage is the world. 

Roman Emeperor and philosopher, Marcus Aurelius, wrote:

Everything we hear is an opinion, not a fact. Everything we see is a perspective, not the truth.

Very little is needed to make a happy life; it is all within yourself, in your way of thinking.

You have power over your mind – not outside events. Realize this, and you will find strength.

One would assign meaning in one’s own way, depending on one’s own kind of sensibilities as well as cognitive abilities.   Perception depends on the Perceiver (an individual who perceives), the Target (about whom – individual, object, event etc), and the Situation (context).  

Our judgement about others depends on our perception.  One tends to judge others on the basis of limited understanding and information which results in wrong judgements.  One tends to get driven by different biases resulting in wrong perception vis-a-vis judgment. Projection, Stereotyping, Halo effect, Horn effect, Contrast effect, Bounded rationality, Heuristics  are some such biases influencing perception. Nudging influences perception vis-a-vis judgements.  

We also get driven by several self-serving biases influencing perception and judgment. The understanding of these biases and their role in the process of interpreting perception helps one to make better judgements. 

Learning is a permanent change in one’s behaviour.  Learning is a process helping an individual to grow better.  When an individual gets into some regular practice or experiences some regular activity and participates in that, it leaves behind a mark resulting in influencing one’s behaviour.  As mentioned earlier learning is a permanent change in one’s behaviour, sometime it occurs naturally or organically, sometime it requires efforts, sometime without any conscious effort.  In order to understand learning better, one should go through – classical conditioning theory, operant learning theory, and social cognitive theory.  

The whole idea of inspiring, motivating, appreciating or praising, acknowledging  in one or the other way enforces and reinforces employees to work better for achieving organizational goal.  Rewards and punishment drive employee’s response. 

There is always a reason behind someone putting efforts and doing work.  People inherently work.  Primarily they work in order to survive and fulfil their needs.  Abraham H Maslow developed need hierarchy and wrote on The Theory of Human Motivation in 1943.  It was perhaps first time in the domain of work behaviour that someone systematically brought out an order to human needs.  He is credited to have started Humanist psychology within the broader domain of Psychology.  David McClelland expanded these needs and proposed three needs in 1960s, viz., need for Achievement (nAch), need for Affiliation (nAff), and need for Power (nPow)  [Click here to read one of his core papers published in the HBR in 1976].  These needs were not hierarchal in nature hence could be pursued simultaneously.  Similarly in 1972,  Clayton Alderfer expanded Maslow’s work and gave three needs – Existence, Relatedness, and Growth. 

The motivation theories are broadly classified under two categories – Content Theories and Process Theories.  Content theories are based on what motivates employees whereas Process theories are based on the process of motivation or how motivation occurs.  

Need theories (Maslow-McClelland-Alderfer) are the base for content theories, however Two Factor theory as propounded by Herzberg is also a content theory which is based on the satisfiers and dissatisfiers.  It is also known as Hygiene theory.  [Click here to read the base paper of Herzberg which was published in HBR in 1968]. 

Theory X and Theory Y as given by McGregor is also considered a Content Theory as it is based on assumptions related to what could motivate the employees. [Click here to read the paper by McGregor which is related with Maslow’s work]

The Process theories are as follows: 

• Adam’s Equity Theory 
• Vroom’s Expectancy Theory
• Edwin Locke’s Goal-setting theory
• Skinner’s Reinforcement Theory (explained while discussing Learning Theory)
• Bandura’s Self-Efficacy Theory

Group Behavior: 

Group dynamics

Individuals work in organizations for achieving their goals.  Organizations divide work among individuals who form different types of groups.  Hence for the study of Organizational Behaviour one should look at the groups as the middle point for organizing work and activities within a larger organization. 

One of the key findings of the Hawthorne experiment was that the work is a group activity. As such the precondition for a group is that there should be two or more persons/individuals who communicate (interdependent), preferably for common cause.

The life span of a group is not defined hence it may be just for few seconds or it could be forever.  Further it is also not mandatory that the members of the group physically ever meet.  In the present times there are several virtual groups which are handling huge task responsibilites and guiding achievement of organizational goal.  Groups are formed to focus on a particular task or job and they provide opportunities to all members of the group to interact and explore ways and means to organize work better.  Lindgreen defined a group as – Two or more persons engaged in any kind of functional relationship with each other. 

Groups are classified in various ways.  There are primary groups and secondary groups; and there are formal groups and informal groups.  Informal groups are primary groups, however formal groups are secondary groups. Family, friends, hobby clubs, interest groups are primary groups (informal), whereas command groups and task groups are secondary (formal) groups. 

The entry-exit in a formal group is through formal and defined process.  It is a work group that is part of an organizational structure.  Further the behaviour of members is stipulated by organizational forces and goals.  The roles and responsibilities of the members are well defined and structured. 

The informal groups, as the name suggests, are the groups where roles of the members are not well defined and structured.  It is primarily because their inception is not initiated by the organization rather it is through their social interactions. 

There could be several forces that drive one to join a group.  Some of the important reasons why people join groups are – 

• Security
• Status
• Self-Esteem
• Power
• Goal Achievement
• interpersonal attractions
• Individual need satisfaction

Further there could be many more reasons why an individual chooses to be member of a group.  

Organizations are also larger groups.  Tuckman and Jensen (1977) proposed 5 stage model of Group Development as – Forming (Stage 1), Storming (Stage 2), Norming (Stage 3), Performing (Stage 4), and Adjourning (Stage 5).  Organisations have groups and leaders have teams.  The dynamics of groups and teams is interesting and overlapping.  [Click here to understand the similarities and dissimilarities between Groups and Teams] 

The resources of members of the group become group resources helping groups to perform better.  The knowledge, skill, abilities, and the personality characteristics could be considered as important resources. 

There is a strong relationship between the level of cohesiveness and performance.  Ideally cohesive is good and adds to harmony among group members resulting in improved performance, however when the group becomes very cohesive and begins to distract the attention of the group members whereby impacting performance negatively, cohesiveness becomes bad.  Cohesiveness is a degree to which the members get attracted to each other and motivated to work together and stay in the group.  It is challenging for organizations to assess the level of cohesiveness and control.  It is believed that when two or more individuals join hands it builds synergy, however when it starts to lead towards social loafing it disturbs the performance. 

Synergy is a term used in biology/chemistry referring to action of two or more substances resulting in an effect, different from individual summation of the substances, like Oxygen + Hydrogen = Water.   

Social loafing is the tendency or condition of individuals when they put less efforts or avoid work and waste organizational time.  Social loafing is considered as negative synergy.  The members of the group start dispersion of responsibility as begin to believe that their individual contribution is not measured, hence their non-performance shall not matter. [Cohesiveness and productivity]

There is a concept of Groupthink which means that there is a pressure created in the group that does not allow members to speak or express their mind freely.  It disturbs the mental efficiency and head towards a belief that there has to be an agreement-at-any-cost.  The members believe in the morality of the group decisions and suffer from self-censorship.  Group think should be avoided in order to have free discussion and appropriate decision in the interest of the organisation. 

Similarly, there is another concept as Groupshift that is originated through the dominance of one member of a group who hijacks the agenda and polarise other members to get the decision in his way.  

Both Groupthink and Groupshift are not good for an organization as they restrict expression of group members freely and hence decisions are biased towards the goal of few individuals. 

There are 3 types of Interpersonal Behaviour – Aggressive, Assertive, and Non-assertive or submissive.  Assertive behaviour is considered to be favourable and positive behaviour that helps individuals to deal with others better and to avoid interpersonal conflict.

Decision-Making is a process of resolving problems through effective decisions and through capitalising on opportunities.  The managers/leaders have to identify the problem, develop or explore alternatives to solve the problem, choose the best alternative, and implement that.  Managers or leaders make decisions to the best of their ability through consulting others.  Group decision making is considered better as compared to individual decision making as the experience and expertise of several individuals are used having better and more information, data, and facts.  Further also because the problems are viewed from several perspectives and leads to ownership of decision by the group members having higher member satisfaction.

There are several techniques of Group Decision Making – 

• Brainstorming
• Nominal Group Technique
• Delphi Technique
• Devil’s Advocacy Approach
• Dialectical Inquiry

Managing organizational conflict

There has always been a question as to whether conflicts are good or bad.  Conflict is any kind of disagreement or difference of opinion.  There are various kinds of classifications of conflicts – Functional (conflict that leads to performance improvement or confrontation between two ideas, goals and parties that improve employees and organization’s performance) and Dysfunctional Conflict (conflict that impacts performance negatively).  Another classification is – Intergroup conflict, intragroup conflict, interpersonal conflict, and intrapersonal conflict.  Interpersonal conflict and intragroup conflicts are quite similar in nature.  Functional conflicts should be encouraged, however dysfunctional conflicts should be avoided or controlled.  Interpersonal conflict can be understood better through a role episode model. Accordingly it should be resolved through, forcing, avoiding, accommodating, collaborating, or compromising as the case may be.  

Conflicts and Cohesiveness are related to Performance or productivity in much a similar way. 

There are different kinds of misbehaviour that needs organizational attention and intervention.  There are several types of misbehaviours that organizations experience from their employees.  Some of the frequently observed misbehaviour are – Lying, Bribery, Intimidation, Sexual harassment, Theft, Cyberslacking, Bullying, Incivility, Sabotage, Fraud, Cheating, Substance abuse, Discrimination, Threats, Dishonesty, and Espionage.

Managing misbehavior at work.

Leadership: 

Broadly leadership is the ability of individuals to influence a group towards achieving organizational goals. 

Influence presupposes power as power is the capacity of an individual (A) to influence the behaviour of other individual (or group-B) so that the other individual (or group-B) acts in accordance with A’s wishes.  Hence power is a means of facilitating (a leader’s) goal achievement. 

The sources or bases of power were explained to all of you in the class, however for better understanding you could go through this is original paper. [French Jr., J. R. P., & Raven, B. H. (1959). The bases of social power. In D. Cartwright (Ed.), Studies in social power (pp. 150-167). Ann Arbor, MI: Institute for Social Research.]

Organizational politics helps in avoiding confrontation and helping to develop a culture of working together.  It fosters creative compromises and balances between individual and collective interests.  Further it helps in managing lack of resources and in dealing with the changes around the organization through supporting OD interventions leading towards improving managerial effectiveness.  

The relationship between power and leadership is interesting.  

• Power does not require goal compatibility.
• Power influences in all directions; leadership downward.
• Power focuses more on tactics and leadership more on style.

Leadership – theoretical and Practical dimension

L  =  f (l.f.s)

[Leadership is the function of a leader and follower in a given situation]

Leader, Follower, Situation

Leaders are vision creators.

A leader is a person who knows the way, shows the way and goes the way.  Broadly we distinguish a leader from a manager in following ways – 

▪Managers do things right; Leaders do right things.

▪Manager administrates; Leader innovates.

▪Manager is a copy; Leader is original.

▪Manager maintains; Leader develops.

▪Manager focuses on systems and structures; Leader focuses on People.

▪Manager looks at short term perspective; Leader looks at long term perspective.

▪Manager tries to answer When and How; Leader tries to answer What and Why.

Leadership in management literature entered in the earlier part of the 20th century and in the beginning (1900-1948) the researches concentrated on trait theory or a belief that leaders are born (nature aspect of individuals/leaders) whereas slowly (1948-1967) it moved to a belief that leadership can be taught, leaders can be made which originated through behavioural approach to leadership (nurture aspect of individuals/leaders).  After that much of the researches concentrated on contingency approach where condition or situation became the deciding force.  Some of the important works in Trait theory, Behavioural theory and Contingency theory are mentioned hereunder. 

Trait Theories

Warren Bennis, (1984) did 5 year study of 90 outstanding leaders and their followers.  It was concluded that there were Four Common Traits:

1. Management of Attention

2. Management of Meaning

3. Management of Trust

4. Management of Self

Further in 1986 Warren Bennis brought out seven characteristics of effective performance – viz., Business Literacy; People Skills; Conceptual skills; Track Record; Taste (taking right people); Judgment; and Character.

• ‘Leaders are born not made’ – Stodgill (1948)
• Mann’s Study (1959) – Intelligence best predictor
• Kenny & Zaccaro (1983) – Reassessed trait data
• Lord et al (1986) – ‘Prototypes’

Does gender have an impact?

• Up to the 1960’s women were seen as temperamentally ‘unfit’ for management (Wilson, 1995)
• Men display more overall & task leadership, Women display more social leadership, However both are rated as effective (Eagly et al, 1995)

Gary Yukl (1994) through research advocated for traits and skills that were most frequently considered to be the characteristic of successful leaders –

He identified traits as –   Adaptable to situations, Alert to Social environment, Ambitious and achievement oriented, Assertive, Cooperative, Decisive, Dependable, Dominant, Energetic, Persistent, Self Confident, Tolerant to stress,  and Willing to assume responsibility. 

And Skills as – Clever (intelligent), Conceptually skilled, Creative, Diplomatic and tactful, Fluent in speaking, Knowledgeable about group tasks, Organised (administrative ability), Persuasive, and Socially skilled.

Behavioural Theories

• Ohio State University Research Study (Hemphill, Stogdill & co.): Uncovering leadership dimensions through statistical techniques

• • 1800 items generated; 12 a priori classes (such as ‘representation’, ‘demand reconciliation’, ‘tolerance of uncertainty’, etc…).
  • Expert classification: 150 items left which could be classified in one of the 12 classes
  • Questionnaire with 150 items circulated to employees
  • After factor analysis: 2 dimensions were identified, i.e., Consideration (human-oriented leadership, friendliness etc) and Initiating of Structure (task-oriented leadership)

Consideration – job relationships; mutual trust; respect for others; concern for well-being and comfort of subordinates; and help with personal problems. 

Initiating Structure – define and structure his/her role; define and structure subordinates  roles; goal attainment; and organization of work, assignments and structure. 

• Michigan State University Research Study (Katz, Maccoby & co.): Looking at leadership differences between productive and unproductive groups.
  • This Study was also done in 1945 which got published in 1948 by Coch-French
  • The two dimensions were much similar to Ohio work however they called them as –
    • Employee-oriented Leader – emphasizing interpersonal relations; taking a personal interest in the needs of employees and accepting individual differences among members

    • Production-oriented Leader – emphasizing technical or task aspects of the job.

• Managerial Grid/Leadership Grid – Blake & Mouton’s (1964) Managerial Grid made a ‘grid’ based on the two dimensions resembling human-oriented and task-oriented leadership, i.e., concern for people and concern for production.  Further in 1991 Blake and Anne Adams McCanse modified Managerial Grid to Leadership Grid. 

Contingency Theories

• • Situational Leadership Theory – Paul Hersey & Kenneth Blanchard, 1969 & 1988

    The framework of situational leadership weighs interplay of three variables – 1. the amount of direction and guidance a leader gives – task behavior; 2. the amount of support s/he gives – relations behavior; and 3. the readiness of followers to perform the task -maturity.  Maturity or Readiness Level shows –

    • Readiness Level One (R1) – Unable and unwilling or insecure — Tell

    • Readiness Level Two (R2) – Unable but willing or confident — Sell

    • Readiness Level Three (R3) – Able but unwilling or insecure — Participate

    • Readiness Level Four (R4) – Able and willing or confident — Delegate

  • Fiedler’s Contingency Theory
    • The theory that leader effectiveness is determined by both the personal characteristics of leaders and by the situation in which leaders find themselves.  This theory sheds light on two important issues:
      • Why, in a particular situation, some leaders will be effective and other leaders with equally good credentials will be ineffective.

      • Why a particular leader may be effective in one situation but not in another.

    • Leadership Effectiveness is determined by two factors – Leader’s situational control & Leaders Style – oriented to a particular style which is stable & not easy to change and which is either task or relationship oriented.  It is measured by Least Preferred Coworker (LPC) scale.

    • According to Fiedler, a leader’s style is an enduring personal characteristic. Fiedler created the least preferred coworker (LPC) scale to measure it.  This theory concluded that –

      • Leaders who are relationship-oriented want to be liked by and to get along well with their subordinates.  These are also called High LPC leaders because they tend to describe their LPC in relatively positive terms. 

      • Leaders who are task-oriented want their subordinates to perform at a high level and accomplish all of their assigned tasks.
      • High LPC describes one’s least preferred coworker in more favorable terms and Low LPC as less favorable ones. 
      • Situational Control

        • leader/member relations (how well do followers and leader get along); task structure (how clearly are jobs specified); and position power (the amount of legitimate, reward, & coercive power)

    • Fiedler in testing his contingency model of leadership in more than 50 studies covering a span of sixteen years (1951-67), concluded that both directive, task oriented leaders and non directive human relation oriented leaders are effective under some conditions.
  • Transformational Leadership
    

    James MacGregor Burns coined this term in 1978 to describe the ideal situation between leaders and followers.  He explained it as – 

    • Leadership that inspires followers to trust the leader, perform behaviors that contribute to the achievement of organizational goals, and perform at a high level.

    • Leadership that goes beyond ordinary expectation by transmitting a sense of mission, stimulating learning experiences and inspiring new ways of thinking.
    • Transactional leaders guide or motivate their followers in the direction of established goals by clarifying role and task requirements and on the other side Transformational leaders provide individualized consideration, intellectual  stimulation, and possess charisma.

      Transformational leadership builds on top of transactional leadership.

    • The Best Leaders are transactional as well as charismatic (Bass, 1997)
    • Charismatic Leadership is not appropriate for all situations (Pawar & Eastman, 1997)
    • Employees can be trained to be more charismatic (Bass & Avolio, 1993)
    • Charismatic leaders can be unethical (Sankowsky, 1995)
  • Authentic Leadership (Bill George, 2003) – Authentic leaders are more effective at optimizing their effectiveness to achieve superior long-term results.

    • Upholds formal decision making versus secret pacts

    • Upholds ethical foundations

    • Open agendas versus hidden agendas

    • Resists oppression vs terrorizing the innocent

    • Do not intentionally mislead followers

    • Maintains common purpose

    • Show up

    • Engage

    • You do not have to be born with specific characteristics or traits of a leader. You do not have to wait for a tap on the shoulder. You do not have to be at the top of your organization. Instead, you can discover your potential right now.

    • Young & Rubicam chairman and CEO Ann Fudge, said,  “All of us have the spark of leadership in us, whether it is in business, in government, or as a nonprofit volunteer. The challenge is to understand ourselves well enough to discover where we can use our leadership gifts to serve others.”

  • Level 5 Leadership – Jim Collins explained the idea in his book entitled – Good to Great (2001).  He states that great leaders are the ones who have high humility. 

Organization System & Processes:

Organization Structure – foundation and types

• Line, Line & Staff Structure
• Functional Structure (General)
• Functional Structure (Process oriented)
• Diversified Business Structure
• SBU Structure
• Matrix Structure
• Virtual Organizations
• Boundary-less Organizations

Organizational Values or Ethos as given by Udai Pareek

Organizational Climate through OCTAPACE (Openness, Confrontation, Trust, Authenticity, Proactivity, Autonomy, Collaboration, and Experimentation) – given Udai Pareek.

Organizational Effectiveness has been looked at from different perspectives.  CLICK HERE to read a paper for a unified model of Organizational effectiveness. 

Organizational Change and Development

• Kurt Lewin’s Model of Change
• Dealing with the resistance to change

Also Read –

on theory and practice

what makes a great leader 

what corrupts – power or

whose opinion matters