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Organizational Behavior, Attitude and Leadership

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I N ST I T UT E   OF   M AN AG E M EN T T EC HN O LO GY




                             PROJECT REPORT


        ORGANISA...
I N ST I T UT E      OF    M AN AG E M EN T T EC HN O LO GY


T ABLE OF C ONTENTS

List of Tables           3
List of Figu...
I N ST I T UT E   OF   M AN AG E M EN T T EC HN O LO GY


L IST OF T ABLES

  1. Table 1: Sample Data Count

  2. Table 2:...
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Organizational Behavior, Attitude and Leadership

  1. 1. I N ST I T UT E OF M AN AG E M EN T T EC HN O LO GY PROJECT REPORT ORGANISATIONAL CHANGE AND DEVELOPMENT D R . VN S H R I V A S T A V A Mo de ls o f O r ga n isat i o n al B eh av i o ur & Att it u de a n d Le a d ers h ip St y les re q u i re d f or Ch a ng e Ma na ge me nt Submitted By: Adesh Mittal (10DCP-053) Adhip Varma (10DCP-054) Ankit Sharma (10DCP-061) Pavni Jain (10DCP-068) Vidur Pandit (10DCP-094) Aarti Batra (10DCP-097) Organisational Behaviour Page 1
  2. 2. I N ST I T UT E OF M AN AG E M EN T T EC HN O LO GY T ABLE OF C ONTENTS List of Tables 3 List of Figures 3 Executive Summary 4 Acknowledgements ................................................................................................................................. 5 Introduction: Background of the study ........................................................................................................ 6 Models of Organizational Behaviour ...................................................................................................... 6 Autocratic .......................................................................................................................................... 6 Custodial.............................................................................................................................................. 6 Supportive .......................................................................................................................................... 7 Collegial .............................................................................................................................................. 7 Attitude ..................................................................................................................................................... 8 Models of job satisfaction ....................................................................................................................... 9 Affect Theory ....................................................................................................................................... 9 Dispositional Theory ............................................................................................................................ 9 Two-Factor Theory (Motivator-Hygiene Theory) ................................................................................ 9 Job Characteristics Model ................................................................................................................. 10 Objective .................................................................................................................................................... 11 Methodology .............................................................................................................................................. 12 Data Analysis .............................................................................................................................................. 15 Discussion and Recommendation .............................................................................................................. 20 References .................................................................................................................................................. 21 Appendix .................................................................................................................................................... 36 Organisational Behaviour Page 2
  3. 3. I N ST I T UT E OF M AN AG E M EN T T EC HN O LO GY L IST OF T ABLES 1. Table 1: Sample Data Count 2. Table 2: Descriptive Statistics 3. Table 3: Correlation analysis L IST O F F IGURES 1. Fig1: Graph showing Organisation preferred model 2. Fig2: Graph showing Mean for various factors 3. Fig3: Correlation Chart 4. Fig4: Graph showing best fit - Overall satisfaction with Rewards and recognition 5. Fig5: Graph showing best fit - Overall satisfaction with Personal Development 6. Fig6: Graph showing best fit - Overall satisfaction with Diversification 7. Fig7: Graph showing best fit - Overall satisfaction with Job Security 8. Fig8: Graph showing best fit - Overall satisfaction with Relationship 9. Fig9: Graph showing best fit - Overall satisfaction with Work Duration Organisational Behaviour Page 3
  4. 4. I N ST I T UT E OF M AN AG E M EN T T EC HN O LO GY E XECUTIVE S UMMARY IN TODAY’S INTENSE COMPETITIVE ENVIRONMENT: THE ORGANIZATION'S BASE RESTS ON MANAGEMENT'S PHILOSOPHY, VALUES, VISION AND GOALS. THIS IN TURN DRIVES THE ORGANIZATIONAL CULTURE WHICH IS COMPOSED OF THE FORMAL ORGANIZATION, INFORMAL ORGANIZATION, AND THE SOCIAL ENVIRONMENT. THE CULTURE DETERMINES THE TYPE OF LEADERSHIP, COMMUNICATION, AND GROUP DYNAMICS WITHIN THE ORGANIZATION. THE WORKERS PERCEIVE THIS AS THE QUALITY OF WORK LIFE WHICH DIRECTS THEIR DEGREE OF MOTIVATION. THE FINAL OUTCOMES ARE PERFORMANCE, INDIVIDUAL SATISFACTION, AND PERSONAL GROWTH AND DEVELOPMENT. ALL THESE ELEMENTS COMBINE TO BUILD THE MODEL OR FRAMEWORK THAT THE ORGANIZATION OPERATES FROM. ATTITUDE HAS EMERGED AS ONE OF THE MOST IMPORTANT AREAS OF CONCERN FOR ALL ORGANIZATIONS. IN FACT, IT HAS BECOME A DIFFERENTIATING FACTOR BETWEEN SUCCESS AND FAILURE IN BOTH THE SHORT AND THE LONG RUN. IN THE PRESENT SCENARIO, IT HAS BECOME QUINTESSENTIAL FOR EVERY ORGANIZATION TO DEVELOP POSITIVE ATTITUDE. KEEPING THIS IS PERSPECTIVE, FOR OUR PROJECT, WE HAVE DESIGNED: o A QUESTIONNAIRE TO IDENTIFY WHAT BEHAVIOURAL MODEL YOUR ORGANIZATION PREFERS TO OPERATE IN o A QUESTIONNAIRE BASED ON DIFFERENT PARAMETER OF JOB SATISFACTION AND HAVE DONE QUANTITATIVE ANALYSIS ON EACH ONE OF THEM WE THEN CONSOLIDATED THE INFORMATION AND WITH THE HELP OF MATHEMATICAL TOOLS (REGRESSION) WE HAVE CALCULATED EXACTLY THE PARAMETERS THAT TEND TO AFFECT THE ATTITUDE OF AN EMPLOYEE. Post the findings we will see whether the leadership styles are these organizations are the right approach towards change management. We will also try to explore the most suitable leadership style adapted towards high success rate during change management programs. Organisational Behaviour Page 4
  5. 5. I N ST I T UT E OF M AN AG E M EN T T EC HN O LO GY A CKNOWLEDGEMENTS Apart from our efforts, the success of this project depends largely on the encouragement and guidelines of Dr. V N S H R I V A S T A V A . Words defeat us in expressing our deep sense of gratitude for our professor, whose tremendous support and constructive direction enabled us to select our project and work towards overcoming all the challenges posed by it. His valuable time and meticulous attention towards our project is fully acknowledged. We also thank our colleagues who were a constant source of information and helped us with conducting the surveys. Organisational Behaviour Page 5
  6. 6. I N ST I T UT E OF M AN AG E M EN T T EC HN O LO GY I NTRODUCTION -B ACKGRAUND OF THE STUDY Elements of Organizational Behavio ur The organization's base rests on management's philosophy, values, vision and goals. This in turn drives the organizational culture which is composed of the formal organization, informal organization, and the social environment. The culture determines the type of leadership, communication, and group dynamics within the organization. The workers perceive this as the quality of work life which directs their degree of motivation. The final outcomes are performance, individual satisfaction, and personal growth and development. All these elements combine to build the model or framework that the organization operates from. Models of Organizational Behaviour There are four major models or frameworks that organizations operate out of, Autocratic, Custodial, Supportive, and Collegial: Autocratic — the basis of this model is power with a managerial orientation of authority. The employees in turn are oriented towards obedience and dependence on the boss. The employee need that is met is subsistence. The performance result is minimal. Organisational Behaviour Page 6
  7. 7. I N ST I T UT E OF M AN AG E M EN T T EC HN O LO GY Custodial — the basis of this model is economic resources with a managerial orientation of money. The employees in turn are oriented towards security and benefits and dependence on the organization. The employee need that is met is security. The performance result is passive cooperation. Supportive — the basis of this model is leadership with a managerial orientation of support. The employees in turn are oriented towards job performance and participation. The employee need that is met is status and recognition. The performance result is awakened drives. Organisational Behaviour Page 7
  8. 8. I N ST I T UT E OF M AN AG E M EN T T EC HN O LO GY Collegial — the basis of this model is partnership with a managerial orientation of teamwork. The employees in turn are oriented towards responsible behaviour and self-discipline. The employee need that is met is self-actualization. The performance result is moderate enthusiasm. ATTITUDE Attitude is Evaluative statements or judgments concerning objects, people, or events. Attitude is defined as "a way of looking at life; a way of thinking, feeling or behaving." Therefore an attitude is not just the way we think, but the way we think, feel and do. Our attitude in the workplace is one of the most telling aspects of how others in the company look at us and feel about us as a co-worker. A first impression can be a hard thing to shake especially if it's a bad one. In other words, once you have gotten a workplace reputation as being lazy, a slacker, a whiner or other negative tag, it can be hard to get rid of. TYPES OF ATTITUDES o Job Satisfaction - A collection of positive and/or negative feelings that an individual holds toward his or her job. o Job Involvement - Identifying with the job, actively participating in it, and considering performance important to self-worth. Organisational Behaviour Page 8
  9. 9. I N ST I T UT E OF M AN AG E M EN T T EC HN O LO GY o Organizational Commitment - Identifying with a particular organization and its goals, and wishing to maintain membership in the organization (Affective, Normative, and Continuance Commitment) o Perceived Organizational Support (POS) -Degree to which employees feel the organization cares about their well-being o Employee Engagement -An individual’s involvement with, satisfaction with, and enthusiasm for the organization Attitude Surveys involve eliciting responses from employees through questionnaires about how they feel about their jobs, work groups, supervisors, and the organization. In our survey we have focused on the Job Satisfaction aspect of attitude at work place. We have conducted a survey among people from various industries and measured various parameters that determine job satisfaction. Job satisfaction describes how content an individual is with his or her job. It is in regard to one's feelings or state-of-mind regarding the nature of their work. Job satisfaction can be influenced by a variety of factors, eg., the quality of one's relationship with their supervisor, the quality of the physical environment in which they work, degree of fulfillment in their work, etc. One of the biggest preludes to the study of job satisfaction was the Hawthorne studies which sought to find the effects of various conditions (most notably illumination) on workers’ productivity. This finding provided strong evidence that people work for purposes other than pay, which paved the way for researchers to investigate other factors in job satisfaction. MODELS OF JOB SATISFACTION Affect Theory The main premise of this theory is that satisfaction is determined by a discrepancy between what one wants in a job and what one has in a job. Further, the theory states that how much one values a given facet of work (e.g. the degree of autonomy in a position) moderates how satisfied/dissatisfied one becomes when expectations Organisational Behaviour Page 9
  10. 10. I N ST I T UT E OF M AN AG E M EN T T EC HN O LO GY are/aren’t met. When a person values a particular facet of a job, his satisfaction is more greatly impacted both positively (when expectations are met) and negatively (when expectations are not met), compared to one who doesn’t value that facet. To illustrate, if Employee A values autonomy in the workplace and Employee B is indifferent about autonomy, then Employee A would be more satisfied in a position that offers a high degree of autonomy and less satisfied in a position with little or no autonomy compared to Employee B. This theory also states that too much of a particular facet will produce stronger feelings of dissatisfaction the more a worker values that facet. Dispositional Theory Another well-known job satisfaction theory is the Dispositional Theory. It is a very general theory that suggests that people have innate dispositions that cause them to have tendencies toward a certain level of satisfaction, regardless of one’s job. This approach became a notable explanation of job satisfaction in light of evidence that job satisfaction tends to be stable over time and across careers and jobs. Two-Factor Theory (Motivator-Hygiene Theory) Frederick Herzberg’s two factor theory attempts to explain satisfaction and motivation in the workplace. This theory states that satisfaction and dissatisfaction are driven by different factors – motivation and hygiene factors, respectively. An employee’s motivation to work is continually related to job satisfaction of a subordinate. Motivation can be seen as an inner force that drives individuals to attain personal and organization goals. Motivating factors are those aspects of the job that make people want to perform, and provide people with satisfaction, for example achievement in work, recognition, promotion opportunities. These motivating factors are considered to be intrinsic to the job, or the work carried out. Hygiene factors include aspects of the working environment such as pay, company policies, supervisory practices, and other working conditions. Organisational Behaviour Page 10
  11. 11. I N ST I T UT E OF M AN AG E M EN T T EC HN O LO GY Job Characteristics Model Job Characteristics Model is widely used as a framework to study how particular job characteristics impact on job outcomes, including job satisfaction. The model states that there are five core job characteristics (skill variety, task identity, task significance, autonomy, and feedback) which impact three critical psychological states (experienced meaningfulness, experienced responsibility for outcomes, and knowledge of the actual results), in turn influencing work outcomes (job satisfaction, absenteeism, work motivation, etc.). The five core job characteristics can be combined to form a motivating potential score (MPS) for a job, which can be used as an index of how likely a job is to affect an employee's attitudes and behaviours. O BJECTIVE The objective of the project is to identify what behavioural model your organization prefers to operate in to study the job satisfaction aspect of attitude at the work place Job satisfaction depends upon various factors like pay and benefits, working conditions, co-workers, job content and career progress. It also varies from person to person depending upon age, gender, qualification and personal choices. Keeping all these things in mind we have prepared a survey questionnaire and conducted survey among people across Accenture Services Pvt Ltd and Mphasis. This report discusses the findings of the study that examined the role of various factors that affect job satisfaction in different companies and the behavioural model that organization prefers to operate in. The study sought to determine the relationship between all these factors with the overall job satisfaction. Organisational Behaviour Page 11
  12. 12. I N ST I T UT E OF M AN AG E M EN T T EC HN O LO GY M ETHODOLOGY Sample The first major task at hand was to prepare the questionnaire for job satisfaction and behavioural model for organization in which it prefers to operate in. Once we were through with this part, the concern was on whom to check this questionnaire. So we selected 30 people arbitrarily, 15 each from Accenture and Mphasis. We convinced all of them to answer honestly, all the questions. The main objective behind selecting people from different organisations was to gather a consolidated set of thinking. As every industry has its very own way of working, own principles and own priorities, thus we could get the major factors that are responsible for job satisfaction. The table below presents the company, no. of respondents, age-group and gender. Accenture/Mphasis Gender Male Female 18 12 Table 1: Sample Data Count Brief of Organizations As we have assorted set of people from various industries and it is quite impossible to give a laconic description of all of them, we selected some renowned organizations in their fields. The major chunks were from the IT industry and rest from all other. So the briefing is as: Accenture is a global management consulting, technology consulting and technology outsourcing company. Previously incorporated in Bermuda, since 1 September 2009 the company has been incorporated in Ireland with its global headquarters located Organisational Behaviour Page 12
  13. 13. I N ST I T UT E OF M AN AG E M EN T T EC HN O LO GY in New York. It is said to be the largest consulting firm in the world, as well as being a global player within the technology consulting industry. Accenture is a Fortune Global 500 company. As of 2010, the company had more than 200,000 employees in more than 200 locations in over 120 countries. Accenture's current clients include 96 of the Fortune Global 100 and more than three quarters of the Fortune Global 500.For the fiscal year ended 31 August 2009, the company generated net revenues of US$21.58 billion. MphasiS, a unit of Hewlett-Packard Co., is an information technology services company based in Bangalore, India. MphasiS is certified with ISO 9001:2008, ISO/IEC 27001:2005 and is assessed at CMMI v 1.2 Level 5. It is the sixth largest IT Company in India with more than 38,000 employees as of 2010. The company has 29 offices in 14 countries with delivery centres in India, Sri Lanka, China, North America and Europe. In September 2009 MphasiS changed its brand identity by dropping EDS association to become "MphasiS, an HP Company" after HP retired EDS Brand to become "HP Enterprise Services". MphasiS operates as an independent HP subsidiary with its own board and continues to be listed on Indian markets as "MphasiS Limited". Method The behavioural model questionnaire was used to find out the mode in which the organization prefers to operate in. It is based upon the theory that organizations generally operate out of one of four modes - Autocratic, Custodial, Supportive, or Collegial. The lowest score possible for a model is 6 (Almost never) while the highest score possible for a model is 30 (Almost always). 6 questions were used to predict each kind of model. The job satisfaction questionnaire was used to measure the different attributes that lead to job satisfaction. Our questionnaire comprised 27 questions of which 5 questions were used to determine Rewards & Recognition, 5 questions sued to determine Personal Development, 6 questions used to determine relationship, 7 Organisational Behaviour Page 13
  14. 14. I N ST I T UT E OF M AN AG E M EN T T EC HN O LO GY questions used to determine working duration, 2 questions used to determine diversification and 1 question used to determine job security. The respondents were to choose the option from 5 options (scoring: 5 for Always, 4 for Often, 3 for Some time, 2, for Rarely, & 1 for Never) which described the way they felt about each of the attributes. Then there was another section of 6 questions which described the general perception of people regarding job satisfaction. The highest of the four scores indicates what model you perceive your organization to normally operate in. If your highest score is 24 or more, it is a strong indicator of the model it operates in. The lowest of the three scores is an indicator of the stage your team is least like. If your lowest score is 12 or less, it is a strong indicator that your organization does not operate this way. If two of the scores are close to the same, you are probably going through a transition phase. If there is only a small difference between three or four scores, then this indicates that you have no clear perception of the way your organization behaves, or the organization's behaviour is highly variable. Also note that if several scores are close to being the same, then the one on the right could be stage that you company primarily operates out of. That is a collegial company could have patterns of both custodial and supportive organizations Procedure All sample people from Accenture and Mphasis were mailed the questionnaire and were also explained the purpose of survey so that we could get genuine responses, the way the employees actually felt and would react in the given situations. Then, the average score for each of the four models - Autocratic, Custodial, Supportive, or Collegial was calculated for all filled questionnaire using the categorization described in the method section. Organisational Behaviour Page 14
  15. 15. I N ST I T UT E OF M AN AG E M EN T T EC HN O LO GY Then, the average score for each factor i.e. Rewards & Recognition, Personal Development, relationship, working duration, diversification and job security was calculated for all filled questionnaire using the categorization described in the method section. The Pearson correlation coefficient was used to determine whether there were significant relationships between Job Satisfaction and the different parameters we considered to have an impact on job satisfaction. To find if the relationships were significant, the level of significance was established at p<0.05. Lastly, after interpreting the results we were able to judge which factors are more relevant for overall job satisfaction of the employee. D ATA A NALYSIS Organisation Model Autocratic Custodial Supportive Collegial 19% 19% 33% 29% Fig1: Graph showing Organisation preferred model Fig 1 shows the four major models or frameworks that organizations operate out of, Autocratic, Custodial, Supportive, and Collegial. It is visible that the preferred mode of operation for the chosen two companies is a blend of Supportive &Custodial. Organisational Behaviour Page 15
  16. 16. I N ST I T UT E OF M AN AG E M EN T T EC HN O LO GY Std. N Minimum Maximum Mean Deviation REWARD AND 30 2 4 3.333333333 0.479463301 RECOGNITION PERSONAL 30 1.6 4 2.893333333 0.54515631 DEVELOPMENT WORKING 30 2 4.285714286 3.066666667 0.534171286 DURATION RELATIONSHIP 30 2.666666667 4.666666667 3.627777778 0.624658272 DIVERSIFICATION 30 2.5 4.5 3.48 0.505418911 JOB SECURITY 30 2 5 3.2 0.886683087 OVERALL 30 2 4.2 3.218333333 0.706189792 SATISFACTION Valid N (list wise) 30 Table 2: Descriptive Statistics Table 2 shows the minimum, maximum, mean and standard deviation for the all the categories along with the overall satisfaction. 4 3.5 3 Axis Title 2.5 2 1.5 1 0.5 0 Axis Title Fig2: Graph showing mean for various factors Fig 2 shows the means plotted for all the factors which are considered for job satisfaction. Here, it can be observed, that the mean for personal development and Security is closest to the mean for overall satisfaction score. Rewards and recognition & Relationships mean scores are the highest. Here for Regression & correlation Analysis, overall satisfaction is the dependent variable and rewards & recognition, personal development, relationship, working Organisational Behaviour Page 16
  17. 17. I N ST I T UT E OF M AN AG E M EN T T EC HN O LO GY duration, diversification and job security are the independent variables. Figure 3 depicts the same Table3: Correlation analysis Correlation- Overall Satisfaction 0.8 0.7 0.6 0.5 Correlation 0.4 0.3 0.2 0.1 0 -0.1 -0.2 WorkDuratio Diversificatio RewardsReco JobSecurity Relationships PersonalDev n n g Series1 0.112342041 -0.131980549 0.286339707 0.123759404 0.744122591 0.34920112 Fig3: Correlation Chart Organisational Behaviour Page 17
  18. 18. I N ST I T UT E OF M AN AG E M EN T T EC HN O LO GY Figure-4 shows the best fit regression line for reward & recognition and overall satisfaction. As observed from the table, reward & recognition has very high degree of correlation with overall job satisfaction. This reflects that reward & recognition will greatly affect the overall job satisfaction of the employee. 5 OVERALL SATISFACTION OVERALL 4 SATISFACTION 3 2 Predicted OVERALL 1 SATISFACTION 0 Linear (OVERALL 0 2 4 6 SATISFACTION) REWARD AND RECOGNITION Fig4: Graph showing best fit Figure-5 shows the best fit regression line for personal development and overall satisfaction. As observed from the table, personal development has high degree of correlation with overall job satisfaction. This reflects that personal development will affect the overall job satisfaction of the employee. 5 OVERALL SATISFACTION OVERALL 4 SATISFACTION 3 2 Predicted OVERALL 1 SATISFACTION 0 Linear (OVERALL 0 2 4 6 SATISFACTION) PERSONAL DEVELOPMENT Fig5: Graph showing best fit Figure-6 shows the best fit regression line for diversification and overall satisfaction. As observed from the table, diversification has low degree of correlation with overall job satisfaction. This reflects personal development will affect the overall job satisfaction of the employee to a small extent. Organisational Behaviour Page 18
  19. 19. I N ST I T UT E OF M AN AG E M EN T T EC HN O LO GY 5 OVERALL SATISFACTION OVERALL 4 SATISFACTION 3 2 Predicted OVERALL 1 SATISFACTION 0 Linear (OVERALL 0 2 4 6 SATISFACTION) DIVERSIFICATION Fig6: Graph showing best fit Figure-7 shows the best fit regression line for Job security and overall satisfaction. As observed from the table, Job security has very low degree of correlation with overall job satisfaction. This reflects Job security will affect the overall job satisfaction of the employee to a very small extent. 5 OVERALL SATISFACTION OVERALL 4 SATISFACTION 3 2 Predicted OVERALL 1 SATISFACTION 0 Linear (OVERALL 0 2 4 6 SATISFACTION) JOB SECURITY Fig7: Graph showing best fit Figure-8 shows the best fit regression line for relationship and overall satisfaction. As observed from the table, relationship has moderate degree of correlation with overall job satisfaction. This reflects relationship will affect the overall job satisfaction of the employee to a moderate extent. Organisational Behaviour Page 19
  20. 20. I N ST I T UT E OF M AN AG E M EN T T EC HN O LO GY 5 OVERALL SATISFACTION OVERALL 4 SATISFACTION 3 2 Predicted OVERALL 1 SATISFACTION 0 Linear (OVERALL 0 2 4 6 SATISFACTION) RELATIONSHIP Fig8: Graph showing best fit Figure-9 shows the best fit regression line for work duration and overall satisfaction. As observed from the table, work duration has a low inverse correlation with Overall satisfaction. This reflects work duration will negatively affect the overall job satisfaction of the employee to a low extent. 5 OVERALL Overall Satisfaction 4 SATISFACTION 3 2 Predicted OVERALL 1 SATISFACTION 0 Linear (OVERALL 0 2 4 6 SATISFACTION) Work Duration Fig9: Graph showing best fit D ISCUSSION A ND R ECOMMENDATIONS From the Pearson Correlation values we can conclude that there exists a positive correlation (direct proportionality) between rewards and overall satisfaction, personal development and overall job satisfaction, relationship and overall job satisfaction, diversification and overall job satisfaction, job security and overall job satisfaction. There exists a negative correlation (inverse proportionality) between working duration and overall job satisfaction. The positive correlation between rewards and job satisfaction is a result of the fact that, the more rewards and recognition that employee gets it helps him to perform better and thereby instil a sense of satisfaction in him that his work is being recognized thereby contributing to overall job satisfaction. Organisational Behaviour Page 20
  21. 21. I N ST I T UT E OF M AN AG E M EN T T EC HN O LO GY The positive correlation between relationship and job satisfaction could be a result of relax mind-set, better team work and proper communication of problems and thereby faster solutions all of which are a result of having better relationship with peers and higher authority. Then there is the obvious factor of personal development which is what any employee will look for in his jobs, so the more the employee feels he is having an addition to his skills and thereby to his development the more satisfied he will be doing the work. The positive correlation between jobs security and job satisfaction could be due to the fact that that if people are more secured in their jobs they tend to attain higher levels of motivation to do the job and this will have an impact on the satisfaction they drive from the kind of work they do. The negative correlation between working duration and job satisfaction could be due to the fact that when employees work in different timings there could be a problem of co- ordination and also the employees might feel that the division of work is not appropriate leading to a dissatisfaction amount the employees, plus most people prefer to have a fixed schedule each day and might not prefer frequently changing work timings so that could also be a reason for the negative correlation between working duration and job satisfaction. Now from an organizational point of view it is important to lay emphasis on the significant parameters and make sure that these factors are taken care of to have high level of job satisfaction among the employees, at the same time the moderately significant parameters should not be neglected. From this study of ours we have found the various parameters that can affect job satisfaction and how the employer must make sure on what factors to target to maintain the motivation level of employees and thereby imbibe a feeling of job satisfaction among them. In today's fast paced world, change will happen and will affect everyone. Organizational change driven by technology and world competitiveness is transformational, not just directional. Effective CEOs who want to be in control of change in their organization know that positive change is leader directed. Transformation begins with awareness and cannot take place without insight. The most important factors in managing proactive change are personal and organizational awareness. A high degree of personal and organizational Organisational Behaviour Page 21
  22. 22. I N ST I T UT E OF M AN AG E M EN T T EC HN O LO GY awareness improves staffing decisions, team building, communication, culture, and leadership effectiveness. Awareness brings insights that transform "good" results into "great" results. Focused awareness establishes competitive advantage and creates consistent results, including improved revenue and profitability. Successful leaders have a strong self- awareness and deeply understand their emotions, strengths, limitations, values and motives. They are realistic and honest with themselves and about themselves. They know where they are headed and why. Organizations must have a similar understanding. In both areas executives must be realistic. They cannot rationalize problems away or convince themselves that the situation is different than it truly is. Organizational Awareness Successful CEOs have a deep understanding of the organizational structure, leadership style and culture of their companies. They know employees care about the value they contribute and how satisfying their jobs are. Successful CEOs ask whether there is a gap between perception and experience, how employee productivity could be enhanced and whether the company culture promotes competitiveness. Structure is important. Inefficient bureaucratic companies are not competitive. They demotivate their employees from taking initiative. On the other hand, highly versatile organizations are often overly flexible and don't provide stability. The proper balance for your organization is crucial to its success. Leadership style determines an organization’s long term success. Since employees always react to management's leadership style, proactive change is best carried out in an atmosphere where employees feel valued, have the ability to help set direction and initiatives, can develop personally and know management has their best interests at heart. Culture also has a significant impact on organizational performance. Daniel Goleman, the pioneer in emotional intelligence, determined through numerous studies that culture can positively impact performance by as much as 25%. Personal Awareness Effective CEOs understand that to be proactive in today's competitive environment they must continually develop the strengths of their key people, share power Organisational Behaviour Page 22
  23. 23. I N ST I T UT E OF M AN AG E M EN T T EC HN O LO GY with them and encourage active participation. The management team that works together to proactively effect change becomes a major organizational strength. Effective CEOs also clearly understand themselves and the people in their organization. They build strong interpersonal effectiveness into their organizations, creating an environment where everyone works together with trust and openness. Organizations built on competitiveness in the market and between departments do not easily establish trust. People may be difficult and hard to understand with a poorly developed ability to read others. This is why effective CEOs use surveys to assess personality characteristics that correlate highly with job success. These surveys provide strategic intelligence that shows why people behave the way they do. Good assessments have a high degree of accuracy and meet legal guidelines. Executives use many types of assessments; each designed to provide specific results for different needs. Basic assessments are limited to evaluating only a few traits such as introversion / extroversion and dominance / submissiveness. Higher order assessments may measure up to ten traits and correlate them closely with job success. Assessments have three uses: 1. At their most basic, assessments describe individual characteristics. They are commonly used in hiring, avoiding the problem of hiring someone only to find out they don't meet expectations. Surveys help determine whether a person will be a team player in a given culture before they are hired. Numerous studies show that survey use reduces hiring mistakes and turnover by up to 30% 2. Assessments may also be diagnostic and predictive. They tell us why a manager is the way she is. Once we know why, we can predict how she will behave in new situations. We minimize promotion mistakes that cause organizational problems and distract from productive work 3. High order surveys are developmental. They provide the foundation needed for executives to coach employees to a higher level of success. These surveys address leadership, communication and productivity. They define personal characteristics so Organisational Behaviour Page 23
  24. 24. I N ST I T UT E OF M AN AG E M EN T T EC HN O LO GY management can help individuals achieve personal dynamic balance and interpersonal team balance Summary Transformational change driven by technology and international competition makes running a company very challenging. To cope, effective leaders need to build change into the organization’s culture. Controlled change allows them to be proactive and maintain competitive advantage. Deep and candid knowledge of organizational structure, leadership style and culture provide the insight necessary to effect change. Similarly, understanding the personal leadership characteristics of the management team adds even more insight. Effective CEOs use impartial surveys to uncover basic organizational and personal characteristics. This tells them where the organization and individual team members are. Comparing that information to where they want to be determines the gap they need to close. Surveys provide strategic intelligence, allowing the management team to reduce uncertainty in the decision process. They address leadership by revealing the unseen so management works with a higher degree of certainty. Realistic insight gained from awareness is the precursor for transformational change. Insight brings focused leadership. Focus drives performance. Performance drives results. Utilize Varied Leadership Styles Good leaders understand that different management styles are needed to deal with changing situations. The best leaders can easily use four of these methods. Good teachers and leaders share a secret in their ability to communicate specific ideas or actions to students and employees. They know different people learn and respond in different and varied ways. Some of us learn by listening, some by seeing and others require a more hands-on approach. Leadership Styles - A exceptional leader can vary their management or leadership style to best suit an individual employee, work group or business situation. Research first advanced by Daniel Goleman in 2000, suggests that there are six leadership styles that can be Organisational Behaviour Page 24
  25. 25. I N ST I T UT E OF M AN AG E M EN T T EC HN O LO GY employed in the workplace. These styles are coercive, authoritative, affiliate, democratic, pacesetting and coaching. Research conducted also shows that the more of these styles a leader exhibits; the better they perform as leaders in their organization. The very best leaders can utilize four or more these styles. Implications of Change - Jerry Robinson Jr., a distinguished professor emeritus at Delta State University, has drawn some comparisons between leadership styles and the ability of an organization to handle change. Change generates conflict within an organization. Successful leadership styles should vary with managerial implications of change and the amount of time needed to accomplish the needed revision. Directive Approach - Groups with few resources and limited time are likely to use a directive approach (coercive or authoritative styles) to accomplish the desired goals. This is a top down approach that would be familiar to those in the military or law enforcement fields. Mixed Directive Approach - An organization with a little more in the way of time and resources may use a mixed directive style that might include affiliate or democratic styles to accomplish their goals. This can be done when there is time for bargaining and negotiation among those involved in the required change. Developmental Directive Approach - Finally, if change is planned and viewed in the long term, a developmental directive type style can be used. Developmental directive leadership styles would include pacesetting and coaching. The developmental directive style offers the most opportunity for growth of a learning organization and employee development. This type of planned change is for groups having substantial time and robust resources to facilitate the process. Putting it together - Warren Bennis known as the foremost expert on organizational change and leadership described some common leadership traits in 1994. Bennis says that an effective leader has a guiding vision or purpose for the organization, passion or enthusiasm for the work being done, personal integrity, curiosity about the world and the daring to try something new. The skill of integrity is subdivided by Bennis into self-knowledge, candor and maturity. Daniel Goleman's pioneering work in emotional intelligence found that Organisational Behaviour Page 25
  26. 26. I N ST I T UT E OF M AN AG E M EN T T EC HN O LO GY effective leaders have mastery of the core competencies identified by Bennis and make use of multiple leadership styles. Selecting the Right Leadership Style Effective leadership in the change management process is particularly important because of all the factors involved in organizational change. According to McShane and VonGlinow (2004), a leader must be able to “influence, motivate and enable others to contribute toward the effectiveness and success of the organization.” Stabilizing the organization after the change process begins is critical to continued success. McShane and VonGlinow (2004) outline seven competencies to effective leadership. Those competencies include emotional intelligence, integrity, drive, leadership motivation, self- confidence, intelligence and knowledge of the business. Leaders with this set of competencies and skills should be effective in their leadership ability regardless of the leadership style that they favour. Selecting the right leadership style to influence the effectiveness of change is important if large organizational change is to be successful. Different leadership styles to consider include visionary/inspirational leaders, commanding leaders, situational leaders, people- oriented and task-oriented leaders. The right leadership style might change as the situation changes within an organization. A visionary/inspirational leadership style should be used when a leader is trying to move people towards a shared dream. However, a coaching leadership style might be used to effectively connect what a person wants with organizational goals. A commanding leadership style gives clear direction and is useful in cases of emergency. The situational leadership model suggests that leaders change their style of leadership based on how ready their followers seems to be. When drastic organizational changes are involved, having leaders who are people-oriented as opposed to task-oriented will be better able to anticipate the needs of the employees as they motivate and enable them to change. Also, by using Kurt Lewin’s three-stage model for change which involves initiating change (unfreezing), managing the change (changing) and Organisational Behaviour Page 26
  27. 27. I N ST I T UT E OF M AN AG E M EN T T EC HN O LO GY then stabilizing the change (refreezing), a leader can effectively manage the change process and the employees involved in the change. Steps for Leading Change Kreitner and Kinicki (2004) outline John Kotter’s eight steps for leading organizational change as another model to follow when attempting to manage the change process. Kotter suggests establishing a sense of urgency, empowering groups of people to lead the change, and developing a vision or strategy. Kotter also recommends eliminating barriers to change, generating short-term successes, reinvigorating the change process and finally anchoring or stabilizing the new approaches. Effective leadership in the change management process is particularly important because of all the factors involved in organizational change. As situations shift, leaders must be able to adapt and motivate employees to reduce fear, uncertainty and loss of employee morale. Anytime an organization goes through major changes, using the most effective leadership style can directly impact the success of the change and impact to the organization. How Command and Control as a Change Leadership Style Causes Transformational Change Efforts to Fail Command and control is by far the most common change leadership style. Most of today’s leaders were mentored themselves by command and control managers, and the culture of most organizations is still based on command and control norms. It is hard to escape this leadership style’s historic influence and dominance. But as a change leader, you must. Here’s why. Command and control as a change leadership style destroys virtually any chance of success in nine out of ten transformational change efforts. For starters, command and control: •Limits the engagement and commitment you must develop in your employees, and often actually promotes resistance Organisational Behaviour Page 27
  28. 28. I N ST I T UT E OF M AN AG E M EN T T EC HN O LO GY •Lessens your chances of creating a change process that will lead to success •Keeps you from being able to make the real-time course corrections during implementation that are necessary for optimal results •Minimizes attention to necessary people issues like consistent communications and emotional reactions to change In this article, we will explore the limitations of command and control as a change leadership style, and introduce “co-creating” as an alternate way of leading transformation that delivers higher quality change results AND simultaneously establishes a foundation for a high performing culture. As you read, recall the unique features of transformational change: •The process of transformation usually begins long before a clear future state can be identified •The sheer magnitude of transformational change demands a major shift in the leaders’ and employees’ mind-sets and behaviour and the organization’s culture •The ultimate success of the transformational change process depends on how well the change leaders make real-time adjustments to their outcomes and process as new circumstances occur We will delve into each of these key features shortly. But first, let’s explore what drives the command and control style. Command and Control Is Based on a Number of Erroneous Assumptions Command and control is based on establishing and maintaining power over, and control of, people and organizational processes. On the surface, this sounds like a good idea: you certainly don’t want people’s behaviour or steps in your change process to be “out of control.” However, this notion of being able to command and control people and processes only goes so far. Organisational Behaviour Page 28
  29. 29. I N ST I T UT E OF M AN AG E M EN T T EC HN O LO GY A number of usually unspoken assumptions drive the use of command and control. As you read them, imagine the behaviour of change leaders you know who believe in these assumptions: •Leaders know best •Leaders should know where they are going (goals, outcomes) and must predetermine the plan for how to get there (process) •Controlling human behaviour and action during implementation—so there is minimal variance from the predetermined plan—is a requirement of success •The environment/marketplace won’t change enough to be a factor during implementation, and if it does, leaders can and must control its influence •If leaders encounter unplanned variables, they must quickly control the negative impacts on the change effort through problem solving and then return to the implementation of their current plan •Employees won’t naturally contribute positively to the change effort, so leaders must “help” them by commanding and controlling their behaviour and involvement. Leaders must force people’s cooperation. •Needing to alter change plans connotes leadership failure and means that the change leaders did not plan thoroughly enough You can argue that these assumptions are somewhat applicable for two types of organizational change—developmental and transitional change. However, they are completely false and inappropriate for transformational changes. (See Beyond Change Management: How to Achieve Breakthrough Results through Conscious Change Leadership, Dean Anderson and Linda Ackerman Anderson, pages 51–79, for a complete discussion of the different types of change.) In projects that can be isolated from their environment (e.g., protected from outside influences) and for changes that do not require people to change beyond learning new Organisational Behaviour Page 29
  30. 30. I N ST I T UT E OF M AN AG E M EN T T EC HN O LO GY technical or operational skills, command and control can work. In these cases, a predetermined outcome and project plan can be established and executed through a relatively stable set of circumstances. Employees won’t have to change much and won’t need to be fully committed to the effort to enable success. Keep in mind, however, that making command and control work in such developmental or transitional change projects is a far cry from making the projects extremely successful. Command and control seldom leads to optimal results in any type of change. The above assumptions are erroneous regarding transformational changes for a number of reasons. First, transformation is usually catalysed by major changes occurring in the environment/marketplace. These changes are not isolated events, but in this day and age, continuous. Consequently, change leaders can never be sure of their destination when they begin their change efforts. More often than not, circumstances are likely to arise that demand a change in direction. Since change leaders cannot protect their change efforts from the significant influences of the environment, they cannot create a plan and expect to control all of the dynamics that may impact its execution. They will need to continuously alter or course corrects both their plan and their destination throughout the change. Consequently, to have any level of success, change leaders need many eyes and ears tuned to the change effort, marketplace, and customer dynamics, as well as internal organizational forces. Whose eyes and ears do they need? Employees! Employees frequently receive critical data for course correction long before leaders because employees are closer to the action. They are keys to the early warning system for needed adjustments to both the goals of the transformation and the plans for getting there. Therefore, employees need to participate as full players, not coerced victims. They must emotionally “own” the change and understand its intent as much as the leaders do so they can contribute to moving it forward in a positive direction. Furthermore, in transformation, the nature of the change is so profound that the organization’s culture and employees’ mind-sets and behaviour must change to succeed. Organisational Behaviour Page 30
  31. 31. I N ST I T UT E OF M AN AG E M EN T T EC HN O LO GY Both leaders and employees must evolve their mind-sets about how work gets done, their role in the work, and the way the organization functions. For instance, they might need to embrace new business models, develop partnership relationships with previously adversarial departments, design radically new work processes, take on more responsibility, etc. Leaders can command and control employees to learn new technical skills, but they cannot coerce this level of personal change. That can only be accomplished by willing participants— willing because they see the value and necessity for both themselves and the organization. Therefore, a change leader’s mind-set, style, and behaviour, and the change process they design as a result of their orientation, must catalyse employees to want to participate, to choose to contribute, rather than force them to do so. The Key Is to Co-Create with Employees and Circumstances, Not Exercise Power or Control Over Them Co-creating implies working with. It means operating as a team, aligned across hierarchical and functional boundaries in pursuit of what is best for the overall organization. A change leader operating in a co-creative style views employees as strategic partners in the change, not just “targets” of it. Pragmatically, this means: •Providing employees all the marketplace information about why the change is necessary (the case for change) •Asking for and using employee input about the vision or direction of the change (its intended outcomes) •Involving employees in the design of what needs to change (the content of the change) •Putting employees on teams critical to making the change happen, such as the communication team, the design team, even the change leadership team itself •Giving employee’s decision authority on the change as it pertains to their “local” environment Organisational Behaviour Page 31
  32. 32. I N ST I T UT E OF M AN AG E M EN T T EC HN O LO GY •Providing employees with a clear structure and process for reporting information and issues pertinent to the success of the change, including potential course corrections to it Regarding the actual change process, working with (co-creating) means not trying to stamp out problems—those “negative” outside influences that were not planned for, but instead, letting those forces influence your plan and direction. Where a command and control leader will try to eradicate problems so his or her rigid plan can continue, a co-creative leader will “listen to the messages” embedded in problems to discover if course corrections are necessary. A co-creative leader assumes variance will occur and perceives problems as “gifts” revealing needed course correction so they can achieve the best result. Where change leaders operating in a command and control orientation often miss wake-up calls for alteration and march down paths doomed for failure, co-creative change leaders hear these wake-up calls and engage with employees to figure out how to handle them successfully (i.e., they co- create solutions.) Transformational Change Success Requires Change Leaders to Transform Themselves to Embrace and Model a Co-Creative Style In the late 1980’s and early 90’s, Being First, Inc. found out the hard way that an organization that attempts to design and implement transformation without addressing personal transformation in its leaders is doomed for failure. Back then, we accepted, albeit reluctantly, clients who wanted our cutting-edge change but were unwilling to engage in the critical personal transformation work of the leaders. We learned then that the key to successful transformation was evolving leaders’ mind-sets about change. Over time, we decided as a firm to no longer engage in long-term consulting relationships unless the client, after some initial change education, agreed that co-creating was critical to their success, and that they would provide The Breakthrough to Change Leadership program to their leaders (CEO included). This program is our method for Organisational Behaviour Page 32
  33. 33. I N ST I T UT E OF M AN AG E M EN T T EC HN O LO GY experientially introducing leaders to creating and demonstrating the profound benefits and tangible change results this orientation can deliver to their bottom line. Transformational leadership is the style of leadership a manager uses when he or she wants a group to push the boundaries and perform beyond the status quo or achieve an entirely new set of organizational goals. When Lee Iacocca took the helm of the Chrysler Corporation, his vision and use of transformational leadership were integral to the renewed success of the American automobile company in the face of the almost uncheckable Japanese car industry of the early 1980s. Qualities of the Transformational Leader The qualities of a transformational leader include the following: •Charisma - A transformational leader is one who has a clear vision for the organization and is able to easily communicate that vision to group members. For example, a transformational leader can easily detect what is most important to individuals and to the organization as a whole. •Confidence - A transformational leader has a good business sense and is able to see what decisions will positively affect the organization. This gives the leader the ability to act confidently, inspiring trust in team members. •Respect and loyalty - A transformational leader inspires respect and loyalty in individuals by taking the time to let them know they are important. •Expressive praise - A transformational leader is often expressive in praising individuals and the team on a job well done. Letting them know how much they contributed to one success will steel them for future challenges. •Inspiration - A transformational leader is a master at helping people does something they weren't sure they were capable of doing. The leader achieves this through praise and encouraging statements. Organisational Behaviour Page 33
  34. 34. I N ST I T UT E OF M AN AG E M EN T T EC HN O LO GY Working toward Transformation No matter how charismatic or innovative the leader, transformation of an entire organization, or even a unit, does not happen quickly. Most transformations involve changing the corporate culture—often from one of stale clock-watching and low risk to one of innovation, moderate risk, and competition. Changing how a large group of individuals works and thinks is not an easy task. Calling a meeting and telling the organization en masse that they are expected to change will not work. To change the entire organization, a transformational leader must start with the building blocks of the organization: the individual contributors. Individualized Attention You have your vision for the future of your group, and your employees are aware of that vision. But no matter how lofty the goal, no matter how big the envisioned win, pep-rally- style speeches often do little to motivate the individual. This is because the individual is often motivated to change only when it is for the greater good of self, not for the greater good of the group. A transformational leader must evaluate the individual contributors in the organization and discover how to motivate them by playing on their sense of self- interest. This does not mean that if you employ 2,000 people that you need to sit down with each of them and find out how to light a fire in them. However, you could meet with a representative sampling of those individuals. Also, if you do employ 2,000 people, chances are that you have some intermediate-level managers who could also use some motivation. The philosophy that you pass on to your direct reports will trickle down to their direct reports. Looking Beyond "Me" Once you discover how to motivate your group by appealing to their self-interest, try to communicate to them what effect their work has on the entire organization. Often, when a person realizes that his or her position really does make a difference, he or she will find a Organisational Behaviour Page 34
  35. 35. I N ST I T UT E OF M AN AG E M EN T T EC HN O LO GY new respect for his or her place in the organization. Individuals will then be working for the benefit of themselves as well as the benefit of the organization. Motivating Groups Figuring out the individuals who make up your unit is only half the battle. The successful transformational leader must also learn how to communicate to groups within the organization his or her vision and the need for change. Danielle is responsible for running a chain of high-end bakeries. New to the job, she wants to turn the organization around and beat its only competitor. Although she recognizes that the individuals working at each store know their jobs well and have years of experience in the business, she wants to reinvigorate the group and get them to commit to new organizational goals that will position the company better in the increasingly competitive market. Danielle is familiar with the individuals in her group, but now she must turn to some tactics that will help the group pull together as a team and bring about organizational change. To do so, a leader can try the following motivators:  Rewards - A leader can raise the group's awareness of rewards for bringing about positive change. For example, if you have a formalized reward system, such as merit bonuses make sure your employees are aware of the policy. Also, you might make it clear to the group that their success will contribute to a larger win for the organization, which could result in increased business. Increased business, in turn, would come back to the employees in the form of increased prosperity  Urgency - An integral step in bringing about organizational change is helping your group recognize the sense of urgency for creating that change. A leader might say that if the organization does not change now, it may be too late in the future. For example, most companies in the mid-1990s needed to start paying attention to the Internet and how their businesses would integrate the Internet into their way of relating to the customer. Even companies that have nothing to do with media or communications have developed a strategy for embracing the Internet Organisational Behaviour Page 35
  36. 36. I N ST I T UT E OF M AN AG E M EN T T EC HN O LO GY  Excitement - To bring about organizational change, a transformational leader must also discover a way to get people excited about being part of a sweeping organizational change—for example; helping the group to understand that their efforts will bring about an industry innovation. A PPENDIX Organisational Behaviour Page 36
  37. 37. I N ST I T UT E OF M AN AG E M EN T T EC HN O LO GY Appendix A Interpretation of Degree of Correlation: 1. Perfect correlation: If Pearson’s correlation coefficient value is near ± 1, then it said to be a perfect correlation. 2. High degree of correlation: If Pearson’s correlation coefficient value lies between ± 0.75 and ± 1, then it is said to be a high degree of correlation. 3. Moderate degree of correlation: If Pearson’s correlation coefficient value lies between ± 0.25 and ± 0.75, then it is said to be moderate degree of correlation. 4. Low degree of correlation: When Pearson’s correlation coefficient value lies between 0 and ± 0.25, then it is said to be a low degree of correlation. 5. No correlation: When Pearson’s correlation coefficient value lies around zero, then there is no correlation. Organisational Behaviour Page 37

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