Q. Why OB is important for manager?
Managers in small businesses have enormous responsibilities.
They have to take various responsibilities while working all over the company.
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For this reason, a small business manager must have superior organizational skills for
the department to run smoothly and with a productive work.
The manager has to deal with 3 major groups like the individuals, groups and
If manager does study of organizational behavior, he can improve and change
individual, group, and organizational Behavior to attain individual, group, and
Thus it will be easy for the group to attain goals for which the organization has been
A manager’s job is to use the tools of organizational behavior to increase
effectiveness, and the organization’s ability to achieve its goal.
Management is the process of planning, organizing, leading, and controlling an
organization’s other resources to increase its effectiveness.
Today’s manager needs to create an ethically healthy climate for his employees,
where they can work productively.
Thus OB is necessary for the mangers to be studied to yield greater output from the
Q. McClelland Theory
Need theory, created by psychologist David McClelland, is a motivational model that
attempts to explain how the needs for achievement, power, and affiliation affect the
actions of people from a management.
McClelland stated that we all have these three types of motivation regardless of age,
sex, race, or culture.
McClelland said that people usually contain a combination of these three types of
motivation and proposed that those in the top management positions should have a
high need for power and a low need for affiliation.
Need for achievement
People who are achievement-motivated typically prefer to master a task or situation.
They prefer working on tasks of moderate difficulty, prefer work in which the results
are based on their effort rather than on anything else, and prefer to
receive feedback on their work.
Achievement based individuals tend to avoid both high risk and low risk situations.
Need for affiliation
People who have a need for affiliation prefer to spend time creating and maintaining
social relationships, enjoy being a part of groups, and have a desire to feel loved and
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This person favors collaboration over competition and does not like situations with
high risk or high uncertainty.
People who have a need for affiliation work well in areas based on social interactions
like customer service or client interaction positions.
He also believes that people with a high need for affiliation may not be good top
managers but will be team players and are best suited for a cooperative work
Need for power
This motivational need stems from a person's desire to influence, teach, or
encourage others. People in this category enjoy work and place a high value
A person motivated by this need enjoys status recognition, winning arguments,
competition, and influencing others.
With this motivational type comes a need for personal prestige, and a constant need
for a better personal status
Q. How values are shaped?
Values are shaped through constant learning and preaching them.
Values need to be practiced in our day to day lives in order to shape them.
Moral values depend upon how we act in the public, and it decides our status in the
Values need to shaped constantly in order to be a good human being and maintain a
constant decent image of us in the fellow members.
Politeness needs to preached. We cannot just learn to be polite and leave it. If we
practice it every day we can shape it.
Thus our image in the company or in fellow members will be like say he is a polite
Q. ERG theory compare with Maslow’s theory?
When management responds to employee needs as described in Maslow’s Hierarchy
of Needs, the company can benefit in many ways, including higher levels of
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employee capability and increased operational and financial performance.
The ERG Theory of Motivation suggests that a company's management can best
motivate employees by attempting to satisfy multiple employee needs
As a result, businesses attempt to respond to employees’ physiological needs by
paying salaries that enable the employees to purchase the necessities of life.
The ERG theory suggests that an employee may be motivated by a company's efforts
to meet any of his needs, even if the company does not attempt to fulfill all of the
In turn, management supports employees’ safety needs by offering job security, a
safe work environment and retirement benefits, and meets social needs by creating
work teams and sponsoring organized social events.
Q. What is meant by threats?
A person, thing or an act which is likely to cause damage is called as threat.
Threats in business can result to risk and finally to losses.
The loss can be economical, social or ruin the image of the company.
Threats are much dangerous than risks.
A risk can be eliminated in the risk management scheme adopted by the company.
Threats can give major loss to the company.
Threats can be of various types and cannot be easily predicted before starting the
project or any business.
Q. What are essential threats of leadership ?
If a leader is solving any problem by old means where there is need to search the
solution by modern means, it can be a threat to his leadership.
He lacks the innovative nature which a leader should possess to tackle problems
easily by implying new means.
If the leader is using all his power for his good will only then it can be threat to his
He should think of the people he is leading, if this does not happens then the threat
to his leadership arises.
If the leader is partial, and favors some people he likes, it creates a feeling a anger
and frustration among other peoples. Thus, the people can take legal actions to
detain him from the leadership.
Leadership should be dominant. If the leader is unable to make people work and his
word means nothing to the people, it can be a threat.
Q. Difference between Organizational Culture and organizational climate?
Organizational culture is concerned with the process throughout which people
working in the same environment develop the set of assumptions, shared values,
beliefs and norms, i.e. the right and appropriate behavior, necessary to achieve
The concept of organizational climate is just concerned with the perception and
feeling which each individual matures of the organizational environment as it is
actually generated by the culture developmental process.
organizational climate is very much concerned with the influence exerted on
individuals’ behavior by some elements, characteristics and/or qualities of the work
Although the concepts of organizational culture and organizational climate are quite
different one another, for a long period of time a certain degree of confusion has
organizational culture as to the deep structure of an organization, which is based on
the assumptions, beliefs and values held by its staff, whereas to refer to
organizational climate as to those elements of the internal environment as they are
consciously perceived by each individual.
It could basically be said that organizational culture is concerned with the macro
vision of an organization life-style, meant as “the way we do things around here”,
whereas organizational climate is very much concerned with the micro image each
individual has formed of organizational culture and the way each single member of
staff actually considers and appreciates organizational culture.
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OCTAPACE is an instrument that can help us to find out about the organizational
We need to improve the 8 dimensions of OCTAPAE.
Freedom to communicate, share and interact without hesitation.
Receiving feedback from customers and giving ideas and suggestions to team members.
OUTCOME: It helps to improved implementation of systems and innovation. & Free
interaction among team mates and clarity in setting objectives.
Facing the problems and challenges boldly and not shying away.
OUTCOME: Improved problem solving and clarity & Team discussions to resolve problems.
Maintaining the confidentiality of information shared by others and company.
OUTCOME: Higher empathy, timely support, reduced stress & Reduction and simplification
of forms and procedures.
Congruence between what one feels and says.
OUTCOME: Sharing of feelings freely to improve interpersonal communication & Reduced
distortion in communication.
5. PRO ACTION
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Taking initiative, preplanning and taking preventive action.
OUTCOME: Taking and planning actions at immediate concerns.
Using and giving freedom to plan and act in one‟s own sphere.
OUTCOME: Develops mutual relationships, reduce reference made to senior people.
Giving help to and accepting help from others in team.
OUTCOME: Timely work ,improved communication ,resource sharing
Using and encouraging innovative approaches to solve problems.
OUTCOME: Development of new product, methods, and procedures.
Q. What are the main characteristics of Organizational Culture?
Organizational culture is the behavior of humans who are part of an organization and
the meanings that the people attach to their actions.
Innovation and Risk Taking: It can be described as the degree or extent to which
employees are encouraged to take innovative steps and calculated risk.
Attention to Detail: It can be described as degree or extent to which employees are
expected to pay attention to details.
Outcome Orientation: It can be described as the degree or extent to which
management focuses outcome rather than on process to achieve outcome.
People Orientation: It can be described as the degree or extent to which
management gives attention to effect of decisions on people working in the
organization and on its shareholders.
Team Orientation: It can be described as the degree or extent to which works are
organized around team rather than individuals.
Aggressiveness: It can be described as the degree or extent to which people are
aggressive or competitive rather than unconcerned or relaxed.
Stability: It can be described as the degree or extent to which maintaining status quo
is emphasized in contrast to growth.
Individual Autonomy: It can be described as the degree or extent of responsibility,
independence, and opportunities for exercising initiative that individuals in an
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Structure: It can be described as the degree or extent of rules and regulations and
the amount of direct supervision that is used to supervise and control behavior.
Support: It can be described as the degree or extent of assistance and warmth
managers provide for their subordinates.
Identity: It can be described as the degree or extent to which members identify with
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the organization as a whole rather than with their particular work group or field of
Performance-Reward: It can be described as the degree or extent to which reward in
the organization are based on employee work performance.
Conflict Tolerance: It can be described as the degree or extent of conflict present in
relationships between peers and work groups as well as the motivation to be honest
and open about differences.
Attitude towards Change: It can be described as the response given to new methods,
ways, and values.
Focus: It can be described as the vision of the goals and objectives of an
organization’s operations as communicated by those in control.
Standard and Values: The levels of performance and behavior considered to be
acceptable by both types of criteria – formal and informal.
Rituals: It can be described as the expressive events that support and reinforce
organizational standards and values.
Openness, Communication, and Supervision: It can be described as the amount and
type of interchange permitted. The communication flow can be downward, upward,
across the organization, and in other directions as spelled out by the culture.
Market and Customer Orientation: It can be described as the degree or extent to
which the organization is responsive to its markets and customers.
Excitement, Pride, and esprit de corps: It can be described as a perceptibly good
feeling about the organization and its activities.
Commitment: It can be described as the degree or extent to which individuals are
willingly working towards goals on a long-lasting basis.
Q. Explain Organizational Development?
Organizational development (OD) is a term most commonly used when referring to
building capacities of an organization.
Organization Development is the attempt to influence the members of an
organization to expand their candidness with each other about their views of the
organization and their experience in it, and to take greater responsibility for their
own actions as organization members.
The assumption behind OD is that when people pursue both of these objectives
simultaneously, they are likely to discover new ways of working together that they
experience as more effective for achieving their own and their shared
OD is about managing change in a systematic and planned way.
OD is planned process of change in an organization’s culture through the utilization
of behavioral science, technology, research and theory.
It involves the total system. An organization development effort is related to a total Page | 8
organization change in the culture and the reward system or the total managerial
OD is a practical application of the science of organization. Drawing from several
discipline for its models, strategies and techniques, OD focuses on the planned
change of human systems and contributes to organization science through the
knowledge gained from its studies of complex change dynamics.
To summarize, here are primary the distinguishing characteristics of OD:
1. OD focuses on culture and processes.
2. Specifically, OC encourages collaboration between organization leaders and
members managing culture and processes.
3. Teams of all kind is particularly important for task accomplishment and is targets for
4. OD focuses on the human and social side of the organization primarily, and in so
doing also intervenes in the technological and structural sides.
5. OD focuses on total system change and views organization as complex social system.
6. OD relies on an action research model with extensive participation by client system
7. OD takes a developmental view that seeks the betterment both individuals and
organizational attempting to create WIN WIN solutions.
8. OD practitioners are facilitators, collaborators, and co learners with the client
Q. What is organizational intervention ?
"Interventions" are principal learning processes in the "action" stage of organization
They are structured activities used individually or in combination to improve their
social or task performance.
introduced by a change agent as part of an improvement program
"Structured activities" mean such diverse procedures as experiential exercises,
questionnaires, attitude surveys, interviews, relevant group discussions, and even
lunchtime meetings between the change agent and a member of the client
Every action that influences an organization's improvement program in a change
agent-client system relationship can be said to be an intervention.
There are many possible intervention strategies from which to choose. Several
assumptions about the nature and functioning of organizations are made in the
choice of a particular strategy.
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Interventions range from those designed to improve the effectiveness of individuals
through those designed to deal with teams and groups, intergroup relations, and the
for example, feedback, awareness of changing cultural norms, interaction and
communication, conflict, and education through either new knowledge or skill
There are few types of interventions:
1. Human Process interventions.
2. Techno-structural interventions.
3. Strategic interventions.
4. Human Resource Management interventions.
Q. Explain concept of motivation ?
The processes that account for an individual’s intensity, direction, and and how long
he can maintain effort toward achieving a goal is called as motivation.
If the candidate is always motivated than he can do work much better and yield
To achieve maximum output the candidate should always be kept motivated rather
than just motivating him once.
Early Theories of Motivation
Hierarchy of Needs (a.k.a. Maslow's Pyramid)
includes hunger, thirst, shelter, sex and other bodily needs
includes security and protection from physical and emotional harm
includes affection, belongingness acceptance, and friendship
includes internal esteem factors such as self-respect, autonomy, and achievement;
and external esteem factors such as status, recognition, and attention
the drive to become what one is capable of becoming; includes growth, achieving
one’s potential, and self-fulfillment
Theory X and Theory Y
Douglas McGregor proposed two distinct views of human beings: one basically
negative, labeled Theory X, and the other basically positive, labeled Theory Y.
The assumption that employees dislike work, are lazy, dislike responsibility, and
must be coerced to perform. (Lower order needs dominate)
The assumption that employees like work, are creative, seek responsibility, and can
exercise self-direction. (Higher order needs dominate)
• Intrinsic factors are related to job satisfaction, while extrinsic factors are related to
• Hygiene factors = when these are adequate, workers “feel OK” (i.e. they are NOT
dissatisfied). Examples include quality of supervision, company policies and
• Motivators = examines factors contributing to job satisfaction. Thus there are
factors which lead to job satisfaction and things that don’t (i.e. notice there is a
difference between “non-satisfying” and “dissatisfying factors”)
McClelland's Theory of Needs
The Need for Achievement: the drive to excel, achieve in relation to a set of
standards, strive to succeed.
The Need for Power: The need to make others behave in a way that they would not
have behaved otherwise.
The Need for Affiliation: The desire for friendly and close interpersonal relationships.
Q. What is quality circle?
A quality circle is a volunteer group composed of workers , usually under the
leadership of their supervisor (or an elected team leader), who are trained to
identify, analyze and solve work-related problems and present their solutions
to management in order to improve the performance of the organization, and
motivate and enrich the work of employees.
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Typical topics are improving occupational safety and health, improving product
design, and improvement in the workplace and manufacturing processes.
Quality circles are typically more formal groups.
They meet regularly on company time and are trained by competent persons
(usually designated as facilitators) who may be personnel and industrial relations
specialists trained in human factors and the basic skills of problem identification,
information gathering and analysis, basic statistics, and solution generation.
Quality circles are generally free to select any topic they wish (other than those
related to salary and terms and conditions of work, as there are other channels
through which these issues are usually considered).
Quality circles have the advantage of continuity; the circle remains intact from
project to project.
They operate on the principle that employee participation in decision-making and
problem-solving improves the quality of work. The reduction, by their efforts, of the
countless number of problems which impede the effectiveness of their work.
Circle should be autonomous in that it should select the problems that it wishes to
solve QCs useful for mutual-self-development and process control and improvement
within their workshop..
1. Improvement in human relations
2. Help in more effective team work in organization
3. Help in improving the productivity
4. Enhanced interest in job
5. Improve communication within employee and management in an
6. The Personal Development of the Participants
Main objective of Quality Circles1.To contribute towards the improvement and development of the organization or a
2. To overcome the barriers that may exist within the prevailing organizational structure so
foster an open exchange of ideas.
3. To develop a positive attitude and feel a sense of involvement in the decision making
processes of the services offered.
4. To respect humanity and to build a happy work place worthwhile to work.
5. To display human capabilities totally and in a long run to draw out the infinite
6. To improve the quality of products and services.
7. To improve competence, which is one of the goals of all organizations.
8. To reduce cost and redundant efforts in the long run.
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10. Customer satisfaction is the fundamental goal of any library. It will ultimately be
achieved by Quality Circle and will also help to be competitive for a long time.
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Q. Explain group dynamics?
Answer Group dynamics refers to a system of behaviors and psychological processes
occurring within a social group (intragroup dynamics), or between social groups
The study of group dynamics can be useful in understanding decision-making
behavior, tracking the spread of diseases in society, creating effective therapy
techniques, and following the emergence and popularity of new ideas and
For instance, A collection of students or beggars doesn’t form a group. These are
class. A group is formed when the “Two or More individuals, interacting and
interdependent, who have come together to achieve particular objectives.
The groups operate on a common task and common attitudes. The group dynamics
is concerned with the interaction between the group members in a social situation.
The group dynamics is essential to study since it helps to find how the relationships
are made within a group and how the forces act within the group members in a
This helps to recognize the formation of group and how a group should be organized,
lead and promoted.
Bruce Tuckman proposed 4 stages of group dynamics:
Forming (pretending to get on or get along with others)
Storming (letting down the politeness barrier and trying to get down to the issues
even if tempers flare up)
Norming (getting used to each other and developing trust and productivity)
Performing (working in a group to a common goal on a highly efficient and
Tuckman later added a fifth stage for the dissolution of a group
Q. Explain organizational structure ?
An organizational structure activities such as task allocation, coordination
and supervision, which are directed towards the achievement of
It can also be considered as the viewing glass or perspective through which
individuals see their organization and its environment.
An organization can be structured in many different ways, depending on their
objectives. The structure of an organization will determine the modes in
which it operates and performs.
Organizational structure allows the expressed allocation of responsibilities for
different functions and processes to different entities such as
the branch, department, workgroup and individual.
Organizational structure affects organizational action in two big ways. First, it
provides the foundation on which standard operating procedures and
routines rest. Second, it determines which individuals get to participate in
which decision-making processes, and thus to what extent their views shape
the organization’s actions.
Organizational structure determines how
the roles, power and responsibilities are assigned, controlled, and
coordinated, and how information flows between the different levels of
A structure depends on the organization's objectives and strategy.
In a centralized structure, the top layer of management has most of
the decision making power and has a
tight control over departments and divisions.
In a decentralized structure, the decision making power is distributed and the
departments and divisions may have different degrees of independence.
Q. What are the characteristics of an effective team?
1. There is a clear unity of purpose.
There was free discussion of the objectives until members could commit themselves
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to them; the objectives are meaningful to each group member.
2. The group is self-conscious about its own operations.
The group has taken time to explicitly discuss group process -- how the group will
function to achieve its objectives. The group has a clear, explicit, and mutually
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agreed-upon approach: mechanics, norms, expectations, rules, etc. Frequently, it will
stop to examined how well it is doing or what may be interfering with its operation.
Whatever the problem may be, it gets open discussion and a solution found.
3. The group has set clear and demanding performance goals
for itself and has translated these performance goals into well-defined concrete
milestones against which it measures itself. The group defines and achieves a
continuous series of "small wins" along the way to larger goals.
4. The atmosphere tends to be informal, comfortable, relaxed.
There are no obvious tensions, a working atmosphere in which people are involved
5. There is a lot of discussion in which virtually everyone participates,
but it remains pertinent to the purpose of the group. If discussion gets off track,
someone will bring it back in short order. The members listen to each other. Every
idea is given a hearing. People are not afraid of being foolish by putting forth a
creative thought even if it seems extreme.
6. People are free in expressing their feelings as well as their ideas.
7. There is disagreement and this is viewed as good.
Disagreements are not suppressed or overridden by premature group action. The
reasons are carefully examined, and the group seeks to resolve them rather than
dominate the dissenter. Dissenters are not trying to dominate the group; they have a
genuine difference of opinion. If there are basic disagreements that cannot be
resolved, the group figures out a way to live with them without letting them block its
8. Most decisions are made at a point where there is general agreement.
However, those who disagree with the general agreement of the group do not keep
their opposition private and let an apparent consensus mask their disagreement. The
group does not accept a simple majority as a proper basis for action.
9. Each individual carries his or her own weight,
meeting or exceeding the expectations of other group members. Each individual is
respectful of the mechanics of the group: arriving on time, coming to meetings
prepared, completing agreed upon tasks on time, etc. When action is taken, clears
assignments are made (who-what-when) and willingly accepted and completed by
each group member.
10. Criticism is frequent, frank and relatively comfortable.
The criticism has a constructive flavor -- oriented toward removing an obstacle that
faces the group.
11. The leadership of the group shifts from time to time.
The issue is not who controls, but how to get the job done.
Q. What is attitude?
The attitude is the evaluative statements or judgments concerning objects, people, or
events. More precisely attitudes can be defined as a persistent tendency to feel and behave
in a particular way toward some object which may include events or individuals as well.
Essentially attitudes are the outward manifestation of your inner values and beliefs.
These develop over time.
As you grow you watch the significant people around you behaving in a particular
way; you are being told to cherish certain things over others and you learn from your
teachers and come to value certain things over other, thus forming your value
These in turn give rise to development of your attitudes.
Example, After introducing a particular policy, it is found from an attitude survey,
that the workers are not too happy about it. During the subsequent week it is found
that the attendance of the employees drops sharply from the previous standard.
Here management may conclude that a negative attitude toward new work rules led
to increased absenteeism.
An understanding of attitudes is also important because attitudes help the
employees to get adjusted to their work. If the management can successfully
develop a- positive attitude among the employees, they will be better adjusted to
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Attitude can be characterized in three ways:
First, they tend to persist unless something is done to change them.
Second, attitudes can fall anywhere along a continuum from very favorable to very
Third, attitudes are directed toward some object about which a person has feelings(
sometimes called “affect”) and beliefs.
Q. Explain Contingency theory in brief ?
Contingency theory is a class of behavioral theory that claims that there is no best
way to organize a corporation, to lead a company, or to make decisions. Instead, the
optimal course of action is contingent (dependent) upon the internal and external
A leader knowing effectively applies their own style of leadership to the right
The best way to organize depends on the nature of the environment to which the
organization must relate.
Contingency theory is guided by the general orienting hypothesis that organizations
whose internal features best match the demands of their environments will acheive
the best adaptation
The decision making process depends upon number of factors like
The importance of the decision – is the decision a strategic or difficult
decisions to reverse.
The amount of information available to the leaders and subordinateshas a similar decision been made before and is there available
information on the results.
The relationship between leaders and subordinates more leaders are
likely the greater support they will have from subordinates.
The likelihood of subordinates accepting on autocratic decision or
cooperate with taking a few good decisions if allowed to participatehow well motivated are the staff?
The amount of disagreement among subordinates with respect to the
preferred alternative- the greater need for an autocratic approach,
Contingency theory of leadership emphasizes that the effectiveness of leadership is
dependent (contingent) on matching its leadership style to right situations.
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