cjfkj,,mcgc

1. Human
Relations and
Organization
behaviour
Shivani Jha

3. •Human relations are an integral process through which the individual’s attitudes and work are combined or
integrated.
•
•
•
Purpose of human relations is to help in working more effectively with other people in organizations.
Production increases with a better social climate.
Customer relations endeavors to promote, and increase the contact between the business and the individuals in the
community.
•Establishing good consumer relations must also be considered since the companies survival depends on its
customers.
• Effective communication is vital especially in establishing good human relationships.
• Communication refers to the process of conveying thoughts , ideas, information and facts by speech, writing etc.
• Workplace relationships provide a source of employee motivation, which is important to maintaining productivity.

5. Organizational behavior, is “… a study and application of knowledge about human behavior – as individuals and in
groups – in organization – strives to identify ways in which people can act more effectively.”
• “The understanding, prediction and management of human behavior in organizations.”
• Is an applied science- best practices in one organization can be communicated to others
Organizational Behavior studies encompass the study of organizations from multiple viewpoints, methods, and levels of
analysis.
Provides a set of useful tools;
-at the individual level- interpersonal relations
- at the group level – group dynamics – formal teams and informal groups – inter-group relations,
- at the organizational level – inter-organizational gaps.

6. INDIVIDUALIN ORGANIZATION
• The individuals play an important role in the functioning of the organization. The members of an organization must
be induced, coerced or forced to participate in it.
• People participate in the organizations when they are going to gain something out of them.
•The degree of their identification with the organization depends on the nature and intensity of the motives for
Participating in them.
•The success of an organization depends not only on the proper coordination and cooperation of its members but also
on the cooperation of others.

7. Human Relations Approach
• In 1950s the human relations approach became the core of managerial dynamics.
• The hawthorne studies create quite a stir among managers and management researchers.
•The basic principles underlying the human relations movement were that people respond primarily to their social
environment, that motivation depends more on social needs than economic needs and that satisfied employees work
harder than usatisfied employees.

9. The Human Relations Movement began with the Hawthorne Experiments.
• They were conducted at Western Electrical Works in USA, b/w 1924-1932.
• It was initially designed by Western Electric Industrial engineers
Four Parts of Hawthorne Studies / Experiments
• Part I - Illumination Experiments (1924-27)
• Part II - Relay Assembly Test Room Study (1927-1929)
• Part III - Mass Interviewing Programme (1928- 1930)
• Part IV - Bank Wiring Observation Room Experiment (1932)

10. Part I - Illumination Experiments (1924-27)
• These experiments were performed to find out the effect of different levels of illumination (lighting) on productivity of labour.
• The brightness of the light was increased and decreased to find out the effect on the productivity of the test group.
Surprisingly, the productivity increased even when the level of illumination was decreased.
• It was concluded that factors other than light were also important.
Part II - Relay Assembly Test Room Study (1927-1929)
• Under these test two small groups of six female telephone relay assemblers were selected.
• Each group was kept in separate rooms.
• From time to time, changes were made in working hours, rest periods, lunch breaks, etc.
• They were allowed to choose their own rest periods and to give suggestions.
• Output increased in both the control rooms.
It was concluded that social relationship among workers, participation in decision-making, etc. had a greater effect on productivity
than working conditions.

11. Part III - Mass Interviewing Programme (1928-1930)
• 21,000 employees were interviewed over a period of three years to find out reasons for increased productivity.
It was concluded that productivity can be increased if workers are allowed to talk freely about matters that are important to
them.
Part IV - Bank Wiring Observation Room Experiment (1932)
• A group of 14 male workers in the bank wiring room were placed under observation for six months.
•A worker's pay depended on the performance of the group as a whole. The researchers thought that the efficient workers
would put pressure on the less efficient workers to complete the work.
However, it was found that the group established its own standards of output, and social pressure was used to achieve the
standards of output.

12. Conclusions of Hawthorne Studies / Experiments
The conclusions derived from the Hawthorne Studies were as follows :-
1.The social and psychological factors are responsible for workers' productivity and job satisfaction.
Only good physical working conditions are not enough to increase productivity.
2.The informal relations among workers influence the workers' behavior and performance more than the formal relations
in the organization.
3. Employees will perform better if they are allowed to participate in decision-making affecting their interests.
4. Employees will also work more efficiently, when they believe that the management is interested in their welfare.
5. When employees are treated with respect and dignity, their performance will improve.
6.Financial incentives alone cannot increase the performance. Social and Psychological needs must also be satisfied in order
to increase productivity.
7. Good communication between the superiors and subordinates can improve the relations and the productivity of the
subordinates.
8. Special attention and freedom to express their views will improve the performance of the workers.

14. ABRAHAM MASLOW
Theory of Human Motivation
The basis of Maslow's theory is that human beings are motivated by unsatisfied needs, and that certain lower needs
need to be satisfied before higher needs can be satisfied. According to Maslow, there are general types of needs
(physiological, safety, love, and esteem) that must be satisfied before a person can act unselfishly. He called these
needs "deficiency needs." As long as we are motivated to satisfy these cravings, we are moving towards growth,
toward self-actualization. Satisfying needs is healthy, while preventing gratification makes us sick or act evilly.
Maslow’s Need Hierarchy
•Maslow’s theory assumes that a person attempts to satisfy the more basic needs before directing behavior toward satisfying
upper-level needs.
• Lower-order needs must be satisfied before a higher-order need begins to control a person’s behavior.
• A satisfied need ceases to motivate.

15. Physiological Needs
Physiological needs are those required to sustain life, such as: – Air – Water – Food – Sleep
Safety Needs
Once physiological needs are met, one's attention turns to safety and security in order to be free from the threat of physical
and emotional harm.
Such needs might be fulfilled by: – Living in a safe area – Medical insurance – Job security – Financial reserves
Social Needs
Once a person has met the lower level physiological and safety needs, higher level needs awaken.
The first level of higher level needs are social needs.
Social needs are those related to interaction with others and may include: – Friendship – Belonging to a group –
Giving and receiving love
Esteem Needs
Once a person feels a sense of "belonging", the need to feel important arises.
Esteem needs may be classified as internal or external. Internal esteem needs are those related to self-esteem such as self
respect and achievement External esteem needs are those such as social status and recognition.
Some esteem needs are: – Self-respect – Achievement – Attention – Recognition – Reputation
Self-Actualization
Self-actualization is the summit of Maslow's hierarchy of needs. It is the quest of reaching one's full potential as a person.
Self-actualized people tend to have needs such as: –Truth –Justice –Wisdom –Meaning

17. The values of human relations approach are exemplified in the work of Douglas McGregor, MIT psychologist, who
Proposed two sets of assumptions about human motivation that a manager can hold.
McGregor called the assumptions Theory X and Theory Y.
Theory X
Theory X assumes that employees are naturally unmotivated and dislike
working, and this encourages an authoritarian style of management. According
to this view, management must actively intervene to get things done. This style
of management assumes that workers:
• Dislike working.
• Avoid responsibility and need to be directed.
• Have to be controlled, forced, and threatened to deliver what's needed.
• Need to be supervised at every step, with controls put in place.
• Need to be enticed to produce results; otherwise they have no ambition or motivation to work.
X-Type organizations tend to be top heavy, with managers and supervisors required at every step to control
workers. There is little delegation of authority and control remains centralized.
McGregor recognized that X-Type workers are in fact usually the minority, and yet in large scale production
environment, X Theory management may be required and can be unavoidable.

18. Theory Y
• Theory Y shows a participation style of management that is decentralized.
• It assumes that employees are happy to work, are self-motivated and creative, and enjoy working with greater
responsibility.
• Take responsibility and are motivated to fulfill the goals they are given.
• Seek and accept responsibility and do not need much direction.
• Consider work as a natural part of life and solve work problems imaginatively.
This management style tends to be more widely appropriate. In Y-Type organizations, people at lower levels of the
organization are involved in decision making and have more responsibility.
• Theory X and Theory Y relate to Maslow's hierarchy of needs in how human behavior and motivation are main
priorities in the workplace in order to maximize output. In relation to Theory Y, the organization is trying to create the
most symbiotic relationship between the managers and workers, which relates to Maslow's needs for self-
actualization and Esteem.
• For self-actualization issues relate to Esteem when the manager is trying to promote each team member's self esteem,
confidence, achievement, happiness, respect of others, and respect by others.

19. Comparing Theory X and Theory Y
Motivation
Theory X assumes that people dislike work; they want to avoid it and do not want to take responsibility. Theory Y
assumes that people are self-motivated, and thrive on responsibility.
Management Style and Control
In a Theory X organization, management is authoritarian, and centralized control is retained, while in Theory Y,the
management style involves employees in decision making, but retains power to implement decisions.
Work Organization
Theory X employees tend to have specialized and often repetitive work. In Theory Y, the work tends to be organized
around wider areas of skill or knowledge; Employees are also encouraged to develop expertise and make suggestions
and improvements.
Rewards
Theory X organizations work on a ‘carrot and stick’ basis, and performance is part of the overall mechanisms of control.
In Theory Y organizations, appreciation is also regular and important, but is usually a separate mechanism from
organizational controls. Theory Y organizations also give employees frequent opportunities for promotion. Accepting
creative and innovative ideas provided by employees.

21. MOTIVATION
• Motivation is the driving force that causes the flux from desire to will in life.
•Motivation significantly influences productivity, and a high level of motivation results in a higher level of
productivity.
•Motivated employees will retain a high level of innovation while producing higher quality work at a higher level
of efficiency.
• Creating a motivating environment in your workplace produces happy employees
KEEPING EMPLOYEES MOTIVATED
• Communicate with employees
• Reward strong performances
• Involve employees in decision making
• Offer training and development
• Define the employees' role

23. PERSONALITY
• Personality is the particular combination of emotional, attitudinal, and behavioral response patterns of an individual.
• Personality plays a key role in organizational behavior because the way that people think, feel, and behave affects many
aspects of the workplace.
•An individual will handle a situation based on his/her personal values and personality traits.
These traits are developed throughout a person's lifetime and cannot be easily changed.
•Traits such as openness, emotional stability, and agreeableness all predict that an individual will have less conflict, work
better in teams, and have positive attitudes about his or her work.
•People with this type of personality should be placed in situations where they would be working with or leading others.
Those who do not have these traits will have less motivation and be more negative when they are placed in these same
situations.

24. CREATIVITY
• Creativity is the act of turning new and imaginative ideas into reality.
• Creativity involves two processes: (i) Thinking (ii)Producing
• Creativity in organizations focuses on achieving innovation, competitive advantage and social benefits by enhancing the
‘level’ of creativity in the organization.
Creativity Involves
• Concepts: ideas and/or technologies
• Competences: skills and abilities of individuals (and the opportunity to use these skills in the organization).
• Connections: the relationships which individuals, teams and organizations create (networks).
Sustained by collaboration and can be re-configured as new ideas emerge/are created.

26. GROUPDYNAMICS
• Group dynamics is a branch of social psychology which studies problems involving the structure of a group.
•The interactions that influence the attitudes and behaviour of people when they are grouped with others
through
either choice or accidental circumstances.
OBJECTIVES OF GROUPDYNAMICS
• To identify and analyze the social processes that impact on group development and performance.
• To acquire the skills necessary to improve individual and group performance in an organizational context.
•To build more successful organizations by applying techniques that provides positive impact on goal
achievement.

27. PRINCIPLES OF GROUPDYNAMICS
• The members of the group must have a strong sense of belonging to the group.
•Changes in one part of the group may produce stress in other person, which can be reduced only by eliminating
or allowing the change by bringing about readjustment in the related parts
• The group arises and functions owing to common motives.
• Groups survive by placing the members into functional hierarchy and facilitating the action towards the goals
• The intergroup relations, group organization and member participation is essential for effectiveness of a group.
• Information relating to needs for change plans for change and consequences of changes must be shared by
members of a group.

28. ELEMENTS OF GROUPDYNAMICS
• COMMUNICATION
• CONTENTVS PROCESS
• DECISION
• INFLUENCE
• TASK VS RELATIONSHIPS
• ROLES
• MEMBERSHIP
• FEELINGS
• NORMS
• GROUPA
TMOSPHERE
• GROUP MATURITY

30. TEAM WORKING
Teamwork holds a highly valuable place in organizations, with teamwork among employees every bit as important as
collaboration among members of a sporting team.
Problem Solving
• Teamwork is important due to the problem-solving energy.
• Using teamwork, team members pool their collective ideas together to generate unique ideas for dealing with problems.

31. Communication
• Teamwork is the backbone of effective communication within a company.
•Teamwork promotes conversation between employees regarding the task at hand, possibly preventing employees from
working in opposite directions.
Cohesion
•Cohesion is an important byproduct of teamwork within a company. This cohesion could be the result of increased chemistry,
trust or both from working on projects as a team.
• Cohesion from teamwork can greatly increase the work- flow speed of a company.
Learning
• When employees work together as a team within a company, every employee learns from one another.
•employees from different departments may learn information from each other regarding the limitations and possibilities
of those departments.

33. COMMUNICATIONAND NEGOTIATION SKILLS
COMMUNICATION SKILLS
• Being able to communicate effectively is the most important of all life skills.
• Communication is simply the act of transferring information from one place to another, whether this be vocally, written
visually or non-verbally.
COMMUNICATION SKILLS INCLUDE:
• Speaking appropriately with a wide variety of people whilst maintaining good eye contact
• demonstrate a varied vocabulary
• listen effectively
• present your ideas appropriately
• write clearly and concisely
• work well in a group

34. NEGOTIATION
• Negotiation is a method by which people settle differences.
It is a process by which compromise or agreement is reached while avoiding argument.
BASICS OF NEGOTIATION
• There must be at least two or more parties involved.
• There is a common interest between parties.
• Have definite goals and objectives.
• Allow adequate time for the process.
BASIC ELEMENTS OF SUCCESSFULNEGOTIATION
• PositiveAttitude
• Knowledge of the Negotiation process
• An understanding of people
• Agrasp of your subject
• Creativity: settle on a solution before you negotiate
• Communication skills

35. Negotiation Process REPA
• Relate : Building a relationship
• Explore : Interests of both sides
• Propose: One concrete proposal addresses all underlying interests
• Agree : Compromising & create alternatives
Five Ways To Negotiate Effectively
• Learn to flinch
• Recognize that people often ask more than they expect to get
• The person with the most information usually does better
• Practice at every opportunity
• Maintain your walk away power

36. 5 Organization Behaviour Models
given by Keith Davis and Newstrom are:
1) Autocratic
2) Custodial
3) Supportive
4) Collegial
5) System

37. AUTOCRATIC MODEL
•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 – most prevalent during he industrial revolution – persons in power can demand work from workers –
pushing, directing and persuading – tight control – unfair practices, low payment and exploitation – employees put in
min work in the job to serve the basic needs of the family - though harsh, it has worked well in certain conditions,
e.g., organizational crisis.

38. 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. To perk up the sagging morale of the workers under the autocratic mode
employers began to offer various welfare schemes in the 19th century – paternalism – fringe benefits – job security.
Workers depend more on the organisation and less on the managers – ensures loyalty – economic rewards are
assured even if the employee does not perform – contented – but performance may decline because of job security

39. 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. “The leadership and other processes of the organisation must be such as to ensure a maximum
probability that in all interactions and all relationships within the organization each member will, in the light of his or her
back ground, values, and expectations view the experience as supportive and one which builds and maintains his or her sense
of personal worth and importance.” e.g., TATAs.
Ensures organizational harmony.

40. Collegial
•The basis of this model is partnership with a managerial orientation of teamwork. The employees in turn are
oriented towards responsible behavior and self-discipline. The employee need that is met is self-actualization.
The performance result is moderate enthusiasm. “Collegial” means a group of people working for a common
purpose. Manager is not addressed as ‘boss’but is a facilitator. Employees are self disciplined, self content and
self actualised. E.g., a R&D team or a project team.
•Although there are four separate models, almost no organization operates exclusively in one. There will
usually be a predominate one, with one or more areas overlapping in the other models.

41. System Model
In the system model, the organization looks at the overall structure and team environment, and considers that
individuals have different goals, talents and potential. In the system model, the organisation looks at the overall structure
and team environment, and considers that individuals have different goals, talents and potential.
The intent of the system model is to try and balance the goals of the individual with the goals of the organization.