Organisational Behaviour

318 Pages·2011·8.46 MB·English

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ORGANISATIONAL BEHAVIOUR
QCF Level 5 Unit
Contents
Chapter Title Page

Introduction to the Study Manual v
Unit Specification (Syllabus) vii
Coverage of the Syllabus by the Manual xvii

1 An Introduction to Organisational Behaviour 1
Introduction 2
What Is an Organisation 3
Organisational Goals 7
The Structure of Organisations 13
Management 21

2 The Development of Management Thought 33
Introduction 34
The Classical School of Management and Organisation 35
Bureaucracy 38
Behavioural. Limitations in a Changing World 43
Systems Theory 48
Contingency Theories 54
Contemporary Theories 56

3 Organisational Behaviour and its Importance to Management 63
Introduction 64
What Is Organisational Behaviour? 64
Human Relations School 67
Organisational Structures and Culture 70
Influencing Organisational Behaviour 79

4 The Individual and the Organisation 85
Introduction 86
The Individual's Contribution to the Organisation 86
Approaches to Studying Personality 88
Measurement of Personality 95
Difficulties in Studying Personality 96
The Process and Principles of Perception 98

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Chapter Title Page

5 Attitudes, Learning, Stress and the Problems of the Individual 109
Introduction 110
The Significance of Attitudes 110
Attitude Change and the Impact of Behavioural Issues 113
The Learning Process 116
Understanding Stress 122
The Individual in Work Roles 126

6 Motivation Theories and their Implications for Management 133
Introduction 134
The Development of Thinking on Motivation 134
Needs and Motivation 137
Herzberg's Motivators and Hygiene Factors 143
Models of Behaviour 146
Process Theories 149
Implications of Motivation Theory 153

7 The Nature and Meaning of Job Satisfaction 159
Introduction 160
The Concept of Morale 160
Job Satisfaction and Performance 163
Sources of Frustration and Alienation at Work 165
Approaches to Improving Job Design 167
Re-Designing the Working Environment 174

8 The Nature and Significance of Groups in Organisations 193
Introduction 194
What Is a Group? 194
The Process of Group Development 203
Characteristics of Workgroups 205
Roles and Skills for Effective Group Performance 214
The Nature of Team Spirit and Characteristics of Effective Teams 219

9 Leadership 227
Introduction 228
Leadership or Management? 228
The Nature of Leadership and the Exercise of Power and Authority 230
Leadership Traits and Leadership Styles 238
Situational Theory 248
Leadership Effectiveness 252

10 Conflict and Conflict Resolution in Organisations 255
Introduction 256
The Nature of Conflict 256
The Causes of Conflict 258
Management of Conflict 261
Strategies for Resolving Conflict 262
Structures and Procedures for Conflict Resolution 266

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Chapter Title Page

11 Communication Processes and Barriers 275
Introduction 276
The Nature and Scope of Communication 276
The Communication Process 279
Group Communication and Management Networking 283
Barriers to Effective Communication 287
Formal and Informal Communication Systems 289
The Basics of Effective Communication 296

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Introduction to the Study Manual
Welcome to this study manual for Organisational Behaviour.
The manual has been specially written to assist you in your studies for this QCF Level 5 Unit
and is designed to meet the learning outcomes listed in the unit specification. As such, it
provides thorough coverage of each subject area and guides you through the various topics
which you will need to understand. However, it is not intended to "stand alone" as the only
source of information in studying the unit, and we set out below some guidance on additional
resources which you should use to help in preparing for the examination.
The syllabus from the unit specification is set out on the following pages. This has been
approved at level 4 within the UK's Qualifications and Credit Framework. You should read
this syllabus carefully so that you are aware of the key elements of the unit – the learning
outcomes and the assessment criteria. The indicative content provides more detail to define
the scope of the unit.
Following the unit specification is a breakdown of how the manual covers each of the
learning outcomes and assessment criteria.
The main study material then follows in the form of a number of chapters as shown in the
contents. Each of these chapters is concerned with one topic area and takes you through all
the key elements of that area, step by step. You should work carefully through each chapter
in turn, tackling any questions or activities as they occur, and ensuring that you fully
understand everything that has been covered before moving on to the next chapter. You will
also find it very helpful to use the additional resources (see below) to develop your
understanding of each topic area when you have completed the chapter.
Additional resources
 ABE website – www.abeuk.com. You should ensure that you refer to the Members
Area of the website from time to time for advice and guidance on studying and on
preparing for the examination. We shall be publishing articles which provide general
guidance to all students and, where appropriate, also give specific information about
particular units, including recommended reading and updates to the chapters
themselves.
 Additional reading – It is important you do not rely solely on this manual to gain the
information needed for the examination in this unit. You should, therefore, study some
other books to help develop your understanding of the topics under consideration. The
main books recommended to support this manual are listed on the ABE website and
details of other additional reading may also be published there from time to time.
 Newspapers – You should get into the habit of reading the business section of a good
quality newspaper on a regular basis to ensure that you keep up to date with any
developments which may be relevant to the subjects in this unit.
 Your college tutor – If you are studying through a college, you should use your tutors to
help with any areas of the syllabus with which you are having difficulty. That is what
they are there for! Do not be afraid to approach your tutor for this unit to seek
clarification on any issue as they will want you to succeed!
 Your own personal experience – The ABE examinations are not just about learning lots
of facts, concepts and ideas from the study manual and other books. They are also
about how these are applied in the real world and you should always think how the
topics under consideration relate to your own work and to the situation at your own
workplace and others with which you are familiar. Using your own experience in this
way should help to develop your understanding by appreciating the practical
application and significance of what you read, and make your studies relevant to your
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personal development at work. It should also provide you with examples which can be
used in your examination answers.
And finally …
We hope you enjoy your studies and find them useful not just for preparing for the
examination, but also in understanding the modern world of business and in developing in
your own job. We wish you every success in your studies and in the examination for this
unit.

Published by:
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© The Association of Business Executives (ABE) 2011

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Unit Specification
The following syllabus – learning objectives, assessment criteria and indicative content – for
this Level 5 unit has been approved by the Qualifications and Credit Framework.
Unit Title: Organisational Behaviour
Guided Learning Hours: 160
Level: Level 5
Number of Credits: 18
Learning Outcome 1
The learner will: Understand the importance of organisational behaviour in successfully
managing a dynamic environment.
Assessment Criteria Indicative Content
The learner can:
1.1 Compare the primary roles, 1.1.1 Identify the primary roles, functions and activities
functions and activities of different of different management levels. Apply this to top, middle
management levels including their and first line management and consider the skills
interface with organisational needed for each.
behaviour. 1.1.2 Discuss the concept of organisational behaviour
and its interface with management. Review the various
influences on behaviour in organisations and the
interface with management in integrating and balancing
these.
1.2 Explore the concepts of 1.2.1 Define ‘organisation’ and ‘behaviour’. Define an
organisation and behaviour and organisation’s goals and characteristics. Define
explain the characteristics of ‘behaviour’ in terms of people, the processes of
organisational culture. management, the organisational context, organisational
processes and environmental interactions.
1.2.2 Explain the characteristics of organisational
culture and identify four main types. Consider the
meaning, origins and characteristics of culture. Discuss,
with examples, the nature of organisational culture.
Explain the four cultural types (Handy) together with
rational and excellence models (Peters and Waterman).
Explain the link between organisational culture and
organisational climate. Specify the characteristics of a
healthy/unhealthy climate. Discuss the importance of
culture in successful organisations.
1.2.3 Develop an awareness and understanding of the
various ways in which behaviour is influenced in
organisations. Examine the syllabus approach to
Organisational Behaviour including an overview of
individual, interpersonal, group and organisational
processes and the integrating role of management.
Students (either singly or in groups) should consider
and report on the psychological contract at work in
terms of their expectations of the organisation and the
organisation’s expectations and requirements of them.
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Learning Outcome 2
The learner will: Understand the individual’s contribution to organisational behaviour and
performance by recognising the importance of personality, perception,
attitudes and learning.
Assessment Criteria Indicative Content
The learner can:
2.1 Identify individual contribution 2.1.1 Identify the individual’s contribution to the
and assess alternative approaches organisation and the factors affecting behaviour.
to personality and its Underline the need for balance between the potentially
measurement. conflicting advantages of individuality and the need for
co-operation and conformity with organisational
objectives. Identify the source of individual differences
and its significance for management, motivation and
change.
2.1.2 Compare and contrast the various approaches to
personality. Encourage students to identify the criteria
that differentiate personality, e.g. gender/traits/abilities/
physique/ motivation/ attitudes/ development. Explore
the dynamics and interaction of these factors and the
influence of early social, cultural, educational and family
experiences as well as more educational ones and
recent work. Consider and contrast the major
psychoanalytical and traits approaches to personality
and summarise how they apply to organisational
behaviour e.g. the defence mechanisms of Freud.
2.1.3 Recognise the major difficulties in studying
personality. Look at the inability to observe directly and
weaknesses of assessment.
2.1.4 Examine the various measures of personality.
Look at Jung, Cattell, Steers and Eysenck as well as
self measurement.
2.2 Explain the process of 2.2.1 Explain the process and principles of perception
perception and any distortions that and the problems and distortions that may arise.
may arise. Explore the process of perception and its key principles.
Students should look at examples of the factors that
affect our perception and apply them to interpersonal
perceptions in the work situation. Consider the
importance of attribution of characteristics and how
individuals judge behaviour and intentions. Underline
the importance of communication (the importance of
verbal and non verbal signals). Recognise the main
sources in perceptual distortion. These would include:
selectivity; stereotyping; the halo effect; labelling, and
perceptual defence. Look at internal and external locus
of control.
2.3 Examine the concept of 2.3.1 Examine the significance of attitudes, their
attitudes and the problems of formation, functions and measurement. Distinguish the
attitude change including solutions meaning of attitudes and their functions for individuals.
like the learning process and its Students, either singly or in small groups, should
key theories. ‘explore’ their own attitudes as distinct from values or
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beliefs. They might classify them using Katz’s
knowledge, expressive, instrumental and ego-defensive
functions. Groups should consider the implication of
shared attitudes at work. Consider the role and
effectiveness of attitude surveys.
2.3.2 Explain the principles and problems associated
with attitude change and recognise the impact of
behavioural issues on attitudes. Identify the process
involved in attitude change and the key variables that
apply. Consider the characteristics of the change agent,
presentation and implementation factors, audience
characteristics, group influences and perceptions of
likely outcomes. Recognise the link between attitudes
and learning as well as perception.
2.3.3 Identify the internal and external factors relevant to
the learning process. Compare classical and operant
conditioning. Appreciate the internal and external factors
relevant to the process of learning. Compare classical
conditioning, operant conditioning and behaviour
modification.
2.3.4 Examine chain and cyclical theories of learning
and consider their effectiveness. Examine the chain of
learning (Gagne), the learning cycle (Kolb) and consider
their effectiveness. Apply these learning concepts and
recognise the importance of a learning culture.
Recognise that learning might be cross referenced with
the communication process.
Learning Outcome 3
The learner will: Understand motivation, the various content and process theories and their
implications for management, and job re-design approaches to improve
motivation.
Assessment Criteria Indicative Content
The learner can:
3.1 Compare and contrast need 3.1.1 Define motivation and examine early
theories, behavioural models and developments. Use experience at work/in class to
process approaches. develop a simplified model including
needs/expectations, driving force/behaviour,
achievement of desired goals and resulting fulfilment,
and feedback loop. Examine what early theorists had to
say (or did not say) about motivation.
3.1.2 Analyse individual behaviour through ‘need
theories’ (Maslow, McClelland, Alderfer), motivation and
hygiene (Herzberg) and other behavioural models
(McGregor, Schein). Identify needs and expectations in
intrinsic/extrinsic/social terms. Classify and critically
examine the main content theories and their explanation
of what motivates workers.
3.1.3 Compare and contrast content with process
theories, including expectancy, equity and goal setting
approaches. Examine the main process theories of
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motivation and their explanation of the actual process of
motivation. Give particular attention to: expectancy
models of Vroom, Porter and Lawler; equity theory of
Adams; goal theory of Latham and Locke. Encourage
students to represent these processes schematically.
3.2 Examine the problems of 3.2.1 Discuss the implications for management of
motivation and the implications for different theories (including job design). Consider the
management of the different implications of motivation theory for leadership and
theories. managing people effectively. Relate motivation to
different levels of the managerial hierarchy and how the
theories might be applied in practice.
3.2.2 Analyse the problems of motivation and the links
to job satisfaction, morale and effectiveness. Provide
examples of effective and ineffective motivation and
consider the reasons for the outcome. Recognise and
explore overlaps with other parts of the syllabus.
3.3 Explain the main approaches 3.3.1 Examine the main approaches to improve job
and recent developments in design and the principles involved. Define the term job
improving job design. design and underline its importance to job satisfaction
and performance. Distinguish between the basic
methods of job rotation, job enlargement and job
enrichment. Develop a model of job enrichment using
core job dimensions to produce critical psychological
states and desired outcomes. Assess the effectiveness
of job content approaches.
3.3.2 Consider recent developments in the re-designing
of the working environment. Students, either singly or in
groups, should widen their perception of job design to
employee participation/involvement, flexible working
arrangements; self managed groups; multi-skilling, tele-
working, quality circles and empowerment, and
comment on these. Other valuable tasks would involve
specifying the characteristics of a ‘satisfying’ job and the
organisational context in which such jobs should be
developed e.g. personnel and payment policies. Assess
the nature/importance of a quality working life and
practical ways forward in securing a satisfied and high
performing worker.
Learning Outcome 4
The learner will: :Understand about job satisfaction and its relationship to job performance
together with stress, frustration reactions and the necessary management
action to overcome them.
Assessment Criteria Indicative Content
The learner can:
4.1 Examine the concepts of 4.1.1 Explain the concept of morale: its nature,
morale and job satisfaction and measurement, consequences and the means of
their relationship to performance. achieving it. Distinguish between the concepts of
motivation, morale and job satisfaction. Use grids to
compare low and high morale and their impacts.
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