Organizational behaviour

Unit II –Motivation

Dr.S.Madhivanan
Motivation
 Motivation

The general desire or willingness of someone to do

something.
 Motivation

Motivation, forces acting either on or within a

person to initiate behavior.
The word is derived from the Latin term motivus (“a
moving cause”), which suggests the activating
properties of the processes involved in psychological
motivation
 Types of motivation

Positive versus Negative motivation

Rational motivation vs emotional motivation
Primary motivation vs secondary motivation
Intrinsic motivation vs Extrinsic motivation
Financial vs non financial motivation.
 Positive Motivation

Positive motivation is when a person wants

to pursue a certain outcome to gain a reward,
instead of to avoid something negative.
For example, working out every day to get a sculpted
body is positive motivation, because
you’re adding something to your life.
 Negative Motivation

The behavior that is motivated by anticipation or

fear that an undesirable outcome will result from not
performing.
Ex: If an employee is presented with the threat of
being fired, they may be motivated to work harder to
avoid being let go.
 Rational motivation

It refers to acting on the basis of reasons or

motivations which are good and logical.
EX: Imagine a consumer looking to purchase a new
car. In this case, the buyer spends time conducting
extensive research on factors like fuel economy,
safety, and durability.
 Emotional motivation

Emotional motivations are goals that are chosen by

considering the individuals emotions only.
The personal criteria like fear, pride, status ,love &
esteem etc influence goal selection.
Primary motivation
 Secondary motivation

Motivation that is created by personal or social

incentives (e.g., the urge to learn classical music or
become a movie star) rather than by primary,
physiological needs
 Intrinsic motivation

Intrinsic motivation is the act of doing something

without any obvious external rewards.
You do it because it’s enjoyable and interesting,
rather than because of an outside incentive or
pressure to do it, such as a reward or deadline.
An example of intrinsic motivation would be reading
a book because you enjoy reading and have an
interest in the story or subject, rather than
reading because you have to write a report on it to
pass a class.
 Extrinsic motivation

Extrinsic motivation is defined as a motivation to

participate in an activity based on meeting an
external goal, garnering praise and approval,
winning a competition, or receiving an award or
payment.
 Financial

Financial motivation. involves motivating employees

with money and things associated with money.
The main methods of financial motivation used in
business are wages, salaries, performance related
pay, profit sharing, and financial fringe benefits.
 Non financial

Non-financial methods of motivation.

involve motivating employees in ways that don't
involve money.
Non-financial methods of motivation include job
enlargement, job rotation, job enrichment,
empowerment and training.
 Framework work of motivation

Identifies needs
Searches for ways to satisfy needs
Engages in goal directed behaviour
Performs
Receives either awards or punishment
Reassesses need deficiency
 Needs

Psychological feature that arouses an organism to

action toward a goal, giving purpose and direction to
behavior
 Wants

 Things that we would like to have, but that aren't

essential to our survival.
 Effects of motivation on work behaviour

Job satisfaction
Performance
Turnover
Customer service
Dishonesty
 Employee turn over

Employee Turnover is defined in regard to any

employee who separates from the workplace.
 Types of incentive in motivation

Rewards
Job design
Management by objective
Employee involvement programmes
Economic consideration
Performance appraisal
 MBO

Management system that measures employees'

performance against a series of set targets or goals to
gauge their overall performance in their role
 Importance of motivation

Sets the action of individuals in motion

Improves the performance efficiency
Ensures accomplishment of organizational goals
Creates pleasant and supportive relationship
Helps in employee retention
Helps in acceptance of organizational changes.
 Theories of motivation

Maslow’s need hierarchy theory

Herzbergs’s two factor theory
McGregor’s Theory X and Theory Y
Alderfer’s ERG Theory
Mc Clellands Needs theory of Motivation
 Maslow’s need hierarchy theory

Basic physiological needs

Safety and security needs
Social needs
Esteem needs or ego needs
Self actualization needs
 Physiological needs

These are biological requirements for Human

survival, e.g. air, food, drink, shelter, clothing,
warmth, sex, sleep.
If these needs are not satisfied the human body
cannot function optimally.
Maslow considered physiological needs the most
important as all the other needs become secondary
until these needs are met
 Safety and security needs

Safety and security needs include such things as an

individual's need for protection from physical harm,
as well as the need for emotional well-being, job and
financial security, and overall health.
 Social needs

Social needs are needs related to interaction with

others and may include friendship, a sense of family
and community, and intimacy. These are important
to humans so that they do not feel alone, isolated,
and depressed.
 Esteem needs or ego needs

The fourth level of Maslow's hierarchy of needs

is esteem needs.
 Esteem needs are related to a person's need to gain
recognition, status, and feel respected.
Once someone has fulfilled their love and belonging
needs, they seek to fulfill their esteem needs.
 Self-actualization needs

Self-actualization needs are also referred to as our

'being' needs; these include personal and creative
self-growth, which are achieved through the
fulfillment of our full potential.
 Self-actualization

Concept regarding the process by which an

individual reaches his or her full potential.
Herzberg’s two factor theory
 Herzberg’s two factor theory

Herzberg's two-factor theory is a motivation theory

that suggests that satisfaction and dissatisfaction at
work are influenced by two sets of factors: Hygiene
factors and Motivators.
 Hygiene factors are basic job necessities, such as
working conditions and salary, that, if not met, can
cause dissatisfaction.
 Motivators

According to Herzberg, motivating factors (also

called satisfiers) are primarily intrinsic job elements
that lead to satisfaction, such as achievement,
recognition, the (nature of) work itself,
responsibility, advancement, and growth.
 Herzberg’s two factor theory

Motivators and hygiene factors are independent of

each other.
An increase in hygiene factors does not necessarily
lead to increased motivation, but it can prevent job
dissatisfaction.
Conversely, an increase in motivators can lead to
higher levels of motivation and job satisfaction
 Hygiene factors

The factors they pertain to the working environment

or working conditions are called as Hygiene factors .
Hygiene factors are extrinsic factors of the work
environment that ward off job dissatisfaction.
 Motivation factors

Herzberg argue that motivation factors are necessary

to improve job satisfaction.
According to Herzberg, these motivators are intrinsic
to the job and lead to job satisfaction because they
satisfy the needs for growth and self-actualization
 Maslow and Herzberg

Maslow’S theory is based on the concept of human

needs and their satisfaction while Herzberg’s theory
is based on the use of motivators which includes
achievement, recognition and opportunity for
growth.
BASIS OF THEORY: Maslow’s theory is based on the
hierarchy of human needs. Herzberg refers to
hygiene factors and motivating factors in his theory.
Hygiene factors are dissatisfiers while motivating
factors motivate subordinate. Hierarchical
arrangement of need is not given.
Maslow’s theory is rather simple and descriptive, the
theory is based long experience about human needs.
While Herzberg’s theory is more prescriptive.
 It suggests the motivating factors which can be used
effectively. The theory is based on actual information
collected by Herzberg after interviewing 203
engineers and accountants.
McGregor's Theory X & Theory Y
 McGregor's Theory X & Theory Y

In the 1960s, social psychologist Douglas McGregor

developed two contrasting theories that explained
how managers' beliefs about what motivates their
people can affect their management style. He labeled
these Theory X and Theory Y.
 McGregor's Theory X & Theory Y

Theory X and Theory Y were first explained by

McGregor in his book, "The Human Side of
Enterprise," and they refer to two styles of
management – authoritarian (Theory X) and
participative (Theory Y).
 McGregor's Theory X & Theory Y

If your team members dislike their work and have

little motivation, then, according to McGregor, you'll
likely use an authoritarian style of management.
 This approach is very "hands-on" and usually
involves micromanaging people's work to ensure that
it gets done properly. McGregor called this Theory X.
 McGregor's Theory X & Theory Y

On the other hand, if you believe that your people

take pride in their work and see it as a challenge,
then you'll more likely adopt a participative
management style.
Managers who use this approach trust their people
to take ownership of their work and do it effectively
by themselves. McGregor called this Theory Y.
 Alderfer's ERG theory

Alderfer's ERG theory suggests that an individual

must act in order to satisfy their needs.
The ERG theory of motivation is essentially a
simplified version of Maslow's hierarchy of needs.
The ERG theory suggests that at one given time an
individual can satisfy multiple needs.
 Alderfer's ERG theory

Alderfer’s ERG theory suggests that there are

three groups of core
needs: existence (E), relatedness (R),
and growth (G)—hence the acronym ERG.
These groups align with Maslow’s levels of
physiological needs, social needs, and self-
actualization needs, respectively
 Alderfer's ERG theory

Existence needs concern our basic material

requirements for living.
These include what Maslow categorized as
physiological needs (such as air, food, water, and
shelter) and safety-related needs (such as health,
secure employment, and property).
 Alderfer's ERG theory

Relatedness needs have to do with the importance

of maintaining interpersonal relationships.
These needs are based in social interactions with
others and align with Maslow’s levels of
love/belonging-related needs (such as friendship,
family, and sexual intimacy) and esteem-related
needs (gaining the respect of others).
 Alderfer's ERG theory

Growth needs describe our intrinsic desire for

personal development.
These needs align with the other portion of Maslow’s
esteem-related needs (self-esteem, self-confidence,
and achievement) and self-actualization needs (such
as morality, creativity, problem-solving, and
discovery).
 Maslow and Alderfer

According to Maslow, a person can move from the

needs of lower levels to the needs of the higher
levels.
According to Alderfer, a person can move from lower
levels to higher as well as in the opposite direction or
can even feel the needs simultaneously.
McClelland's Human Motivation Theory
 McClelland's Human Motivation Theory

Managing a group of people with different

personalities is never easy.
But if you're managing or leading a team, it's
essential to know what motivates your people, how
they respond to feedback and praise, and what tasks
fit them well.
 McClelland's Human Motivation Theory

David McClelland's Human Motivation Theory

allows you to identify people's motivating drivers.
This can then help you to give praise and feedback
effectively, assign them suitable tasks, and keep
them motivated.
 McClelland's Human Motivation Theory

McClelland on his book, "The Achieving Society." He

identified three motivators that he believed we all
have: a need for achievement, a need for affiliation,
and a need for power.
People will have different characteristics depending
on their dominant motivator
 McClelland's Human Motivation Theory

According to McClelland, these motivators are

learned so we called this theory as Learned Needs
Theory
McClelland says that, regardless of our gender,
culture, or age, we all have three motivating drivers,
and one of these will be our dominant motivating
driver.
This dominant motivator is largely dependent on our
culture and life experiences.
 Dominant Motivator-Achievement

Characteristics of This Person

Has a strong need to set and accomplish challenging
goals.
Takes calculated risks to accomplish their goals.
Likes to receive regular feedback on their progress
and achievements.
Often likes to work alone.
 Dominant Motivator-Affiliation

Characteristics of This Person

Wants to belong to the group.
Wants to be liked, and will often go along with
whatever the rest of the group wants to do.
Favors collaboration over competition.
Doesn't like high risk or uncertainty.
 Dominant Motivator-Power

Characteristics of This Person

Wants to control and influence others.
Likes to win arguments.
Enjoys competition and winning.
Enjoys status and recognition.
 Process theories of motivation

This theories try to explain why behaviors are

initiated.
These theories focus on the mechanism by which we
choose a target, and the effort that we exert to “hit”
the target.
 Types of process theories of motivation

Goal setting theory

 Adams equity theory.
Vrooms expectancy theory.
 Goal-setting theory

The main purpose of goal-setting theory is to better

understand the connection between how the goal-
setting process influences work motivation and
performance
 How goal-setting theory works

What gets measured improves-Peter Drucker

According to this theory, goals that are clear,
specific, and challenging are more motivating than
vague goals or easy goals. And when employees are
more motivated, they're more successful in hitting
their goals.
 5 principles of goal-setting theory

Clarity
Challenge
Commitment
Feedback
Task complexity
 Benefits of goal-setting theory

Higher levels of engagement.

Higher levels of performance.
 Better adherence to deadlines and metrics
Wide application.
Supports a feedback culture
Leads to self-efficacy
 Limitations of goal-setting theory

Negative impact on performance

relationship.
Misalignment.
Unethical behavior
Equality and fairness
 Equality

Equality is the state of being equal, especially in

status, rights and opportunities.
Equality means each individual or group of people is
given the same resources and opportunities,
regardless of their circumstances.
 Fairness

The quality of treating people equally or in a way

that is right or reasonable
 Equity theory

Individuals estimating a comparable ratio between

what is contributed (inputs) to what is received
(outputs) between themselves and others.
 Three components of equity theory

Inputs
Outputs
Comparison
 INPUTS

The number of working hours

Commitment
Enthusiasm
The experience brought to practice
Personal sacrifices (if any)
Loyalty towards mentors, managers, and the
organization
Job role and responsibilities
Flexibility to work under pressure or strict deadlines
 OUTPUTS

Salary
Bonus
Pension
Annual Holidays
Company travels
Recognition
Promotion
Performance appraisals
Flexibility
Significant achievements
Learning and Development
 Comparison factors

Self-inside: An employee’s intrinsic experience in

their current workplace
Self-outside: An employee’s experience with the
industry standards
Others-inside: An employee comparing
themselves with someone from their current
workplace
Others-outside: An individual comparing
themselves with someone outside their workplace
 Vroom’s Expectancy Theory of
Motivation
Victor Vroom’s expectancy theory of motivation is a
process theory of motivation. It says that an
individual’s motivation is affected by
their expectations about the future.
Vroom says that an individual’s motivation is
product of three factors Valence, Expectancy
&Instrumentality
Valence, Expectancy&Instrumentality

Valence: Attraction towards rewards or benefits.

Expectancy : The belief that increased efforts will
lead to better performance
Instrumentality: The belief that if better
performance is achieved, it will result in a certain
outcome
Motivation across cultures
 Country wise need priority

COUNTRY NEED PRIORITY

USA SELF ACTUALIZATION,ESTEEM,SAFETY,PHYSIOLOGICAL AND SOCIAL
FRANCE SELF ACTUALIZATION,ESTEEM,PHYSIOLOGICAL,SAFETY AND SOCIAL
GERMANY SELF ACTUALIZATION,PHYSIOLOGICA,ESTEEM,SOCIAL AND SAFETY,
INDIA PHYSIOLOGICAL,SELF ACTUALIZATION,ESTEEM.SOCIAL AND SAFETY.
 Dr. Geert Hofstede

Psychologist Dr. Geert Hofstede published his

cultural dimensions model at the end of the 1970s,
based on a decade of research. Since then, it's
become an internationally recognized standard for
understanding cultural differences.
Hofstede studied people who worked for IBM in
more than 50 countries. Initially, he identified four
dimensions that could distinguish one culture from
another. Later, he added fifth and sixth dimensions,
in cooperation with Dr Michael H. Bond and Michael
Minkov.
 Basic index of cultures

Power Distance
Individualism
Uncertainty avoidance
Masculinity vs femininity
Long-term Orientation vs. Short-term
Orientation
Indulgence vs. restraint
Power distance
 Power Distance

This refers to the degree of inequality that exists – and

is accepted – between people with and without power.
Two types of PDI sc ore –high PDI and low PDI
A high PDI score indicates that a society
accepts an unequal, hierarchical distribution
of power, and that people understand "their place" in
the system.
A low PDI score means that power is shared
and is widely dispersed, and that society
members do not accept situations where
power is distributed unequally.
Characteristics of power distance
 EXAMPLE PDI

According to the model, in a high PDI country, such

as Malaysia , team members will not initiate any
action, and they like to be guided and directed to
complete a task.
If a manager doesn't take charge, they may think
that the task isn't important.
Individualism
Collectivism
Ind vs collec
 Individualism

 This refers to the strength of the ties that people have

to others within their community.
A high IDV score indicates ." Here, people take
less responsibility for others' actions and
outcomes.
In a collectivist society, however, people are supposed
to be loyal to the group to which they belong, and, in
exchange, the group will defend their interests.
 The group itself is normally larger, and people take
responsibility for one another's well-being.
 Uncertainty avoidance

In societies that score highly for Uncertainty

Avoidance, The acceptance of change is very low.
People in low UAI-scoring countries are more
relaxed, open or inclusive. They move on innovative
approach.
Masculinity vs femininity
 Femininity

Traits such as nurturance, sensitivity, sweetness,

supportiveness, gentleness, warmth, passivity,
cooperativeness, expressiveness, modesty, humility,
empathy, affection, tenderness, and being emotional,
kind, helpful, devoted, and understanding have been
cited as stereotypically feminine
 EXAMPLE

Japan is a culture where all children (male and

female) learn the value of competition and winning
as part of a team from a young age. Therefore, female
team members are just as likely to display these
notionally masculine traits as their male colleagues.
Sweden is a very feminine society, according to
Hofstede's model. Here, people focus on managing
through discussion, consensus, compromise, and
negotiation.
Long-term Orientation vs. Short-term
Orientation

 This dimension was originally described as

"Pragmatic Versus Normative (PRA)." It refers to the
time horizon people in a society display. Countries
with a long-term orientation tend to be pragmatic,
modest, and more thrifty.
In short-term oriented countries, people tend to
place more emphasis on principles, consistency and
truth, and are typically religious and nationalistic.
The U.S. has a short-term orientation. This is
reflected in the importance of short-term gains and
quick results (profit and loss statements are
quarterly, for example).
 Indulgence

An indulgence is doing something that you enjoy

even if it has negative consequences
 Restraint

A measure or condition that keeps someone or

something under control.
 Indulgence vs. restraint

Indulgent cultures will tend to focus more on

individual happiness and well-being, leisure time is
more important, and there is greater freedom and
personal control.
Restrained cultures lacks with positive emotions and
expression of happiness, freedom, and leisure are
not given importance” .
Restraint people will not open up for discussion.
 How motivation benefits the
individual
Higher Self-efficacy
Increased proactiveness and creativity
Increased Optimism and positive attributions
Resilience
 Common causes of workplace
demotivation
Lack of progress or growth opportunities
Job insecurity
No confidence in company leadership
Poor communication
Unpleasant coworkers
 How to increase self-motivation at
work
Renew your motivation
Be aware of the value of your work and what it
reflects about you
 Let role models inspire you
Organize your goals
 How to motivate employees

Demonstrate interest
Coach and support
Value individual and team contributions at a
broader level
Build a positive work environment
Be aware of your employees and their well-
being within the company
Empower your employees
Address employees' quality of life
Invest in career building
Groups
 GROUPS

A Group is basically an assemblage of people. It can

be understood as a collection of individuals (two or
more), who come together and interact with each
other, so as to achieve the objectives.
 Features of groups

Number of members
Structure
Norms
Goals
Influence
Interaction
 Number of members

Typically, a group consists of two or more members.

These may include a group of all managers, all
employees or a mix of both, depending on the
group's purpose.
 Structure

A group's structure defines the roles that each

member has. It describes the part that a member
plays in helping the group achieve its goals.
 Influence

An important feature involves group members

having a positive influence on one another.
Group members may impact each other while
collaborating on a task or communicating frequently
to achieve their goals.
 Goals

Most groups have certain goals for team members to

achieve. This may include a quota, project
deliverable or task that they can complete.
 Norms

Norms are the standards of behaviors that the group

accepts. They are the expectations and requirements
that group leaders or members may encourage
everyone to follow.
 Interaction

Interacting with team members and leaders is an

important feature for groups since it allows for group
members to build trust and develop healthy work
relationships.
 Types of groups

Primary and secondary group

Socio & Psycho Groups
 Organized and Unorganized Groups
Formal and informal groups
In group and out group
 Primary group

A primary group is a group in which one exchanges

implicit items, such as love, caring, concern, support,
etc. Examples of these would be family groups, love
relationships
 Secondary groups

Secondary groups are special-interest groups, such

as national, political religious, fraternal and
professional groups.
They don’t depend upon face-to-face contact
although there may be direct interaction among the
members.
 Socio & Psycho Groups

In socio groups the purpose is largely impersonal,

the members associating together to work on some
common objective or problem. Labour union,
editorial staff of a school year-book.
The psycho group is more personal in nature and the
members come together of their own accord
primarily for the purpose of inter member
association. Ex: Baseball team.
 Organized and Unorganized Groups

In the organized group the members play

differentiated roles in relation to common goals. It
will have a leader to represent the group
In unorganized group each member functions more
or less independently of the others. It is highly
flexible, the members being free to develop their
roles as they please.
 In group and out group

The groups to which an individual’s belongs and

toward which he feels a loyalty are in-groups.
The ones toward which he feels neither loyalty nor
sympathy and for which he may feel dislike,
suspicion, opposition, fear, or even hatred are out-
groups.
 Formal and informal groups

Formal group members have professional

relationships, while members of an informal group
have personal relationships.
 Formal groups are ruled by set rules and
regulations, while informal groups lack rules.
 Influence of groups

Influence of individual
Informational influences
Comparative influences
Normative influences
Other influences
Influence on organization
Hierarchies and leaders
Group pressures
Leadership selection
Synergy
 Influence of individual

The concept of group influence is that people will

change their behavior for the benefit of the majority
or whole group. The influence will be categorized as
Informational influences
Comparative influences
Normative influences
 Informational influences

Informational influence refers to a type of social

influence in which individuals modify their behavior,
opinions, or beliefs based on the information they
receive from group.
 Comparative influences

A comparative influence is referred as group of

individuals whom you compare yourself against and
may strive to be like.
Examples: Include celebrities and heroes
 Normative influences
Normative influence involves a change in behavior
that is deemed necessary in order to fit in a
particular group.
Example : Ex –service man (Military )
 Other influences

Having a feeling of security

Group unification.
 Influence on organization

Following are the ways in which organization are

affected by groups
Hierarchies and leaders
Group pressures
Leadership selection
Synergy
 Hierarchies and leaders

Group members effect each others . In fact a group

may form its own hierarchies and develop its own
leaders.
 Group pressures

The behaviour and performance of individuals in an

organization are affected by the group pressure to a
large extent.
 Leadership selection

All group activities are closely related leadership

process. Always groups resistance towards following
a leader chosen by organization.
 Synergy

Effective group always produce results more than the

sum of individual results
Stages of group forming
 Formation of groups

A group is formed through collective efforts of

forming, norming, storming and performing.
However, adjourning a group completes the group
formation. It shows that the group has been
successful in completing its pre-determined
objective.
 Stages of group forming

Forming
Storming
Norming
Performing
Adjourning
 Forming

This is a beginning stage and lasts only a few days

(or weeks).
Members begin by planning their work and their
new roles.
Moreover, the emotions here are positive. The
groups should begin by learning about team
processes in preparation for the rough times ahead.
 Storming

There exists a considerable amount of fights

and arguments in this stage. People begin to feel
the stress of frustration, resentment, and anger.
Moreover, as the problem festers, the job remains
undone.
 Norming

In the norming stage, the group works through

individual and social issues.
The group establishes its own norms of behavior
and begin to trust each other. Moreover, as the
group develops interpersonal skills, it becomes all
the more skilled.
 Performing

In this stage, the group is ready to begin

performing its respective task and assigned
jobs. In this stage, the group has become well
acquainted with one another and has clarity with
regard to what needs to and has to be done.
 Adjourning
Post the performing stage, the group is
adjourned. The adjourning stage ends the process
of group formation. Because the group is adjourned
once the task that is assigned to the group is
completed.
Reasons for joining groups
 Advantages of working in group

Perform complex task

Generate new ideas
Serve as liaison
Serves as problem solving mechanism
Facilitate complex decision making
 Disadvantages of working in group

Time consuming and costly

Individual domination
Problem of accountability
Dependency
 Group dynamics

The social process by which people interact and

behave in a group environment is called group
dynamics.
The term 'group dynamics' means the study of forces
within a group.
 Nature of group dynamics

Concerned with group

Dynamic
Rigidity or flexibility
Defines effectiveness of leader
Continuous process
 Importance of group dynamics

Help us to control groups

Helps to increase productivity
Enhancement of performance
Problem solving
 Group norms

Rules or guidelines of accepted behaviour which are

established by a group and used to monitor the
behaviour of its member.
 Types of group norms

Performance norms
Appearance norms
Arrangement norms
Resource allocation norms.
 Development of group norms

Clear statements made by a group member

Critical events in the groups history
Primacy
Past experience
 Group cohesiveness

Cohesiveness is a degree of the attachment of the

group towards its members.
Group cohesiveness is the resultant of all forces
setting on members to remain in the group
 Determinants of group cohesiveness

Degree of dependency on the group

Size
Homogeneity and stable membership
Location of group
Group status
Group leadership
Outside pressures
Success of group
Exclusiveness(perception about groups)
Relationship between group cohesiveness
and productivity
 Limitations of group cohesiveness

Increased probability of groupthink

Emphasises counter productive behaviour
Ignorance of creative ideas
Decrease in group cooperation.
 Group decision making

Group decision making –making is defined as the

process of making a choice from among two or more
alternatives via the interaction of two or more
people.
 Difference between individual and group
decision making

Time taken
Belongingness
Need for consensus
Alternatives.
 Group decision making process

Problem identification
Problem diagnosis
Solution generation
Solution evaluation
Framing a decision
Follow up action
 Group decision making techniques

Interacting groups
Brainstorming
Nominal group technique
Electronic meeting
 Interacting groups

The interacting group is the most commonly used

format for decision-making groups.
Typically, a leader presents a problem and the
group discusses it; there is no prearranged
structural format and group members are permitted
to interact in any manner.
 Decisions are often based on a majority rule vote.
 Brainstorming

The brainstorming method involves asking

participants to come up with creative ideas related to
a specific decision or problem.
 It encourages the generation of a wide range of ideas
and perspectives, as each person involved is invited
to contribute their own insights and suggestions
 Nominal group technique

Nominal group technique (NGT) is a structured

variation of a small-group discussion to
reach consensus.
NGT gathers information by asking
individuals to respond to questions posed by
a moderator, and then asking participants to
prioritize the ideas or suggestions of all group
members.
Example nominal group tech
 Electronic meeting
An electronic meeting system (EMS) is software
intended to provoke problem-solving and decision-
making within a group. Standard features of
electronic meeting systems include electronic
brainstorming (generally in an anonymous format),
parallel processing, discussion tools, and voting.
Example e-meeting i.e google meeting.
 Advantages of group decision making

Collection of information and knowledge

Satisfaction and communication
Personnel development
More risk taking
More approaches to a single problem.
 Teams

A team is a more structured and cohesive form of a

group.
It is characterized by a higher degree of
interdependence, coordination, and collaboration
among its members.
 Types of teams

Problem solving team

Self directed team
Virtual team
Cross functional team
 Problem Solving Teams

Problem Solving Teams are temporary structures

that bring together leaders and team members from
across the organization to focus on solving a specific
problem
 Advantages

Better thinking
Better risk handling
 Better communication
Increases understanding
Increased number of solutions
Helps to increase the team’s potential
Higher commitment
 Disadvantages

Increased competition(individual efforts are

ignored)
Time constraints
Unwillingness to participate
Unequal participation
Lack of team spirit
 Self-managed team

A self-managed team is a group of employees who

work collaboratively and take full responsibility
for both work processes and the final result.
They work autonomously, without the
supervision of a manager. This means that besides
creating products or services, they also perform basic
management functions - organizing, planning, leading,
and controlling.
In self-managed teams, the decision-making power
is distributed horizontally among team
members.
 Advantages
Higher motivation
Focus on customers
Adaptability
Cost-effectiveness
 Disadvantages

Hard to implement
Leadership problems
 Virtual teams

These teams, also called remote or

geographically dispersed, are teams the
members of which work remotely, not being
physically present.
 This has been made possible thanks to technological
development. The Covid-19 pandemic caused the
outburst of virtual teams – people had to work from
home, but even after the pandemic, the trend of
remote work still stays with us.
 Advantages

Decreased costs
Accessibility with talent
better work-life balance
 Disadvantages

Time consuming
Lack of team culture
 Cross-functional teams

A cross-functional team is composed of

representatives of various departments that
have diverse functional expertise and skills
but still work on the same objectives. Their
main purpose is to break silos in the organizational
structure.
Like functional teams, cross-functional ones are
homogeneous, as their members belong to the same
hierarchical level.
 Advantages

Diversity of perspectives
Organizational alignment.
Accountability
Diversity of abilities
 Disadvantages

Problems with team cohesion

Conflicts
Risk of decreased efficiency
 Turning individuals into team planning

Hiring the right individuals

Training
Proper rewarding system
 Importance of team

Increases employee satisfaction

Improves communication
Provides organizational flexibility
Increases employee motivation
Enhances commitment to goals
Expands job skills
Provides higher level of productivity
Group vs Team
 Team building

Team building is an ongoing process that helps a

work group evolve into a cohesive unit.
 The team members not only share expectations for
accomplishing group tasks, but trust and support
one another and respect one another's individual
differences.
 Developing team

Forming
Storming
Norming
Performing
 Features of effective team

Clarity of objectives
Informal norms
Involvement
Listening
Cultured opposition
Unanimous decision
Open communication
Clear work allotments and roles
External relations.
 Control in team

Observing
Instructing
Helping
Inspecting
Reacting
Setting the example
 Benefits of team building

Improves relationship
Enhances employees motivation
Boosts morale and eases problems
Facilitates exchange of ideas
Increases employee satisfaction
Reduces communication gaps
 Limitations of team building

Chance of group think

Focuses only on work teams
Complicated exercise
Time consuming.
Leadership
 Leader

A leader is the one in the charge, the person who

convinces other people to follow.
A great leader inspires confidence in other people
and moves them to action. A leader is the head, the
one running the show
 leadership

Leadership is the activity of influence between a

leader and those who are followers.
Leadership is a set of behaviors used to help people
align their collective direction, to execute strategic
plans, and to continually renew an organization.
 Functions of leader

Develops team spirit

Serves as linking pin
Provides guidance
Manages times
Exercises power
Improves efficiency
Motivates workers.
 Importance of leadership

Boosting employees confidence

Establishment and integration of goals
Inculcating values with the organization
Increasing the efficiency of employees
Providing favourable work atmosphere.
 Leadership traits

Inspiring
Problem solving ability
Emotional stability
Risk taking ability
Commitment towards organizational objectives
Intelligence
Prudence
Responsibility
focused
 Leadership styles

Autocratic
Participative
Free rein
Autocratic
 Participative

Participative leadership is a leadership style defined

by leaders who promote and rely on an inclusive,
collaborative mindset. These types of leaders engage
with their employees and actively include them in
the decision-making process.
 Free –rein

Free ree-rein leadership is a type of management

style where supervisors give team members freedom
to complete tasks, make decisions or solve problems
without interfering
 Theories of leadership

Traits theories
Behavioural theories
Situational theories
 Trait theories of leadership

Stogdill’s trait factors

Ghiselli’s personal traits.
 Trait theories of leadership

Leaders are born

The trait theory of leadership refers to the approach
where leaders have certain qualities or a set of traits.
These are specific behavioral patterns that
differentiate leaders from followers.
The Great Man Theory proposed by Thomas Carlyle
in the 1800s gave rise to this theory. Carlyle,
however, looked at historical figures, including
Julius Caesar and Napoleon Bonaparte.
 Stogdill’s trait factors
Stogdill’s first study concluded that leadership is
situational – that they do not become leaders
because they have certain qualities.
 Instead, the traits they possess should cater to the
situations.
 Stogdill’s trait factors

Intelligence
Physical features
Inner motivation drive
Maturity
Vision and foresight
Acceptance of responsibility
Open mind and adaptability
Self confidence
Human relations attitude
Fairness of objectivity
 Ghiselli’s personal traits

There is always a strong relationship between

personal traits and leadership.
Effectiveness of a leader is based on their personality
traits.
 Ghiselli’s personal traits

Supervisory ability
Need for organizational achievement
Intelligence
Decisiveness
Self assurance
Initiative.
 Behavioural style leadership

This is an expansion of traits theory of leaders.

This focused on the behaviour of leaders and their
way of interacting with their followers.
This theories are considered as superior theory than
trait theory, hence it clarify the cause of effective
leadership.
This theory neglect the belief that “leaders are born”
 Behavioural style leadership

As per this theory the leaders style or oriented

towards either an employee centred or a job centred
 Employee centred

In the employee centred orientation the leader

emphasises developing friendly ,open relationship
with employees and is very sensitive to their
personal and social needs
 Job centred

Its is a orientation in which the leader emphasises

getting the job done by planning, organizing,
delegating, making decisions, evaluating
performance and exercising close management
control.
 Difference between employee centred and
job centred

Employee centred leader Job centred leader

Treats subordinates as Emphasises technical
human beings aspects of job
Shows concerns for the Relies on work standards
well being of employees. ,procedures and rules
Encourages and involves Employees are seen as a
the employees in setting tool in the production
and implementing goals. process.
 Types of behavioural styles of leadership
theory

1. University of Lowa studies

2. Leader continuum
3. Ohio state university studies
4. University of Michigan research
5. Managerial grid
 University of Lowa studies
In the University of Iowa, Lewin, and his associates
studied the impact of three leadership styles
- autocratic, democratic, and laissez- faire.
This relates to the behavior of the leaders in relation
to their group
Their main motivation for this work was to find
answers to the following key questions about
leadership:
Why do groups rebel against authority?
Why groups prefer democratic leader over autocratic?
Leadership continuum
 Conclusion of Lowa studies

 No one leadership style can be said to be the best. It

depends a lot on the context, culture and nature of the task.
For instance, in organizations with high power distance, it
is fine if the leader is authoritarian
 In cases of low power distance, a democratic leader would
be better. Laissez-fair leadership may also be beneficial in
situations where the team is extremely well skilled in the
tasks to be performed.
 A democratic organization may need an authoritarian
leader in situations of extreme crisis, like financial losses or
difficult and unpredictable market conditions
 Benevolent autocrat

This types of leaders pretends to be democratic,

listen to what other group members have to say, but
ultimately takes the decision as per his thoughts.
Power ,prestige and respect are the main
characteristics of benevolent autocrat which make
him productive and fast paced.
Ohio state university studies