Organizational Behaviour

Table of Content

Part A:
Multiple Choices:
1. According to Maslow’s needs theory, which of the following does not belong? 1. Social needs
2. Affiliation needs
3. Physiological needs
4. Specification needs

2. The collegial model is an extension of the supportive, autocratic, or custodial models.

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Sigmund Freud proposed a personality theory that is associated with various values: moral, sexual, social, and parental.

4. A person with a fast-paced, rapid speaking style, typically impatient and evaluates success based on quantity falls under one of the following personality types:

a. Class A personality type

b. Class B personality type

c. Class C personality type

d. Class AB personality type

5. According to Maslow’s need hierarchy theory, the esteem need comes at the ________ position from the bottom:

a. 2nd

b. 3rd

c. 4th

d. 5th

6. Informal communication is also called:

a. Grapevine

b. Red vine

c. Adams communication

d. Dead communication

7. Needs such as hunger, thirst, sleep, etc. are categorized as:

a. Safety needs

b. Physiological needs

c. Social needs

d. Self-actualization needs

8. When a job requires additional tasks of the same skill level, it can be horizontally expanded through various methods such as:

a. Job enrichment

b. Job rotation

c. Job enlargement

d. Management by objectives

9. The Path Goal Theory of Leadership is developed by:

a. Robert R. Blake

b. Charles Bird

c. Fred Fiedler

d. Robert House

10. The potential or ability to influence others in a desired direction can be referred to as:
a. Politics

b. Power

c. Motivation

d. Leadership

Part B:

Bureaucracy is defined as a system that implements rules and regulations in a complex organizational structure.

Bureaucracy, as it pertains to organizations, is a form of organization that emphasizes logic, order, and the proper use of formal authority. It strives to be both fair and highly efficient. Key characteristics of bureaucratic structures include a clear division of labor, a strict hierarchy of authority, formal rules and procedures, and promotion based on competency.

In today’s world, many people have a negative view of bureaucracies and recognize their limitations. When organizations rely too heavily on rules and procedures, they become difficult to manage and inflexible. This can lead to slow adaptation to changing circumstances and increased chances of long-term failure. Rules are important for ensuring consistency, but it is also important to have flexibility to meet specific needs. This is especially critical in the field of human resources. Even management theory does not see all bureaucratic structures as inherently flawed.

The concept of Span of Control refers to the effective supervision capacity of a manager in terms of how many subordinates or employees they can oversee.

The concept of Span of Control refers to the efficient and effective management of subordinates by a superior in an organization. It plays a crucial role in shaping the relationship between superiors and subordinates within the organization. There are two types of Span of Control:

Narrow span of control refers to a situation where a limited number of subordinates are overseen by a single manager or supervisor, resulting in the formation of a tall organizational structure.

A wide span of control, also known as a flat organizational structure, is characterized by having a single manager or supervisor overseeing a large number of subordinates.

Managers vary in their level of control. Some managers are capable of effectively overseeing a large group of subordinates and ensuring they all receive equal attention, appreciation, and recognition in order to enhance efficiency. On the other hand, there are those who can only efficiently manage a smaller number of individuals. However, it is not always advisable to have a vertical hierarchy within an organizational structure as each manager or team leader should personally familiarize themselves with their subordinates.

On page 17, a brief explanation of classical conditioning, Ivan Pavlov’s learning theory, is presented. Classical conditioning is an effective and straightforward method of learning. It is utilized in behavioral training by associating a natural stimulus with a response. Subsequently, a previously neutral stimulus becomes linked to the natural stimulus. Consequently, the formerly neutral stimulus can elicit the response even without the presence of the original natural stimulus. These two components are known as the conditioned stimulus and the conditioned response.

Ivan Pavlov, a Russian psychologist, conducted experiments involving a dog and a bell to develop the classical conditioning theory. At first, the dog only salivated when given meat (unconditioned stimulus) and not when the bell was rung. However, Pavlov paired the meat with the bell, leading to the dog eventually salivating at the sound of the bell alone. This event marked the inception of the classical conditioning theory.

4. The different stages of group development are:

Group, which can be classified as formal or informal, is a gathering of two or more individuals who work together to achieve a particular objective. The group usually undergoes various stages in its development.

During the initial stage of group development, individuals must unite to establish a common objective and agree on the methods to achieve their goals. This stage is marked by emotions such as anxiety, trustworthiness, and disagreement as members overcome obstacles in order to create a plan for their shared aim. The forming stage is primarily characterized by uncertainty.

During the storming stage of group development, inter-group conflict arises as members struggle to accept the group’s imposed rules. While the existence of the group is acknowledged, individuals find it challenging to comply with these regulations. The initial task is to unanimously select a leader for the group. However, some members may attempt to test the chosen leader, resulting in divisions and clashes within the groups.

Norming is the stage of cohesion and understanding within a group. During this stage, members recognize their roles and goals in achieving a shared policy. It is possible for a new leader to emerge or for the existing leader to gain a better understanding of the group and its potential contributions. The norming stage is considered complete when the group structure becomes firm and a common set of expectations is established to define appropriate member behavior.

At this stage, the group is fully functional and accepted. Group members actively perform towards the goal, with some taking the initiative to support by recognizing, administering, and encouraging.

Adjourning is the final stage of development for permanent workgroups. Specified workgroups are disbanded once they have completed their assigned task.


Section B: Caselets (40 marks)

Each Caselet carries 20 marks.

Detailed information should be included in your answer (Word limit 150 to 200 words).

Caselet 1
M/s.ABC Ltd is an engineering company that produces a wide range of products based on customer specifications. It is known for its prompt and reliable supply to customers, leading to an increase in business volume. However, in the past year, the Managing Director has received customer complaints regarding delayed product dispatches, resulting in substantial penalties for missed deadlines. To address this issue, the Managing Director called for an urgent meeting with various functional managers. The marketing manager voiced concerns about the arbitrary prioritization of products in the manufacturing line, causing delays in desired products and excess inventory of unnecessary ones. The Production Control Manager expressed dissatisfaction with inadequate staff to plan and control production, noting that his plans are often disregarded by the shop floor manager. Shop floor managers complained about unrealistic planning, frequent machine breakdowns, power outages, and material shortages for scheduled products, making it challenging to meet the schedule. The maintenance manager cited difficulty in obtaining necessary equipment maintenance spares, which hinders speedy repairs.The inventory control manager is frustrated because the company criticizes him for having too much stock while others complain about shortages. To address this issue, the Managing Director has decided to hire you, a skilled management consultant trained in business management, to recommend solutions and improve the situation.

Caselet 1 – Questions:

1. How can you prevent delays in dispatching products?

When manufacturing units encounter a sudden surge in demand from the market, they often face a challenging situation. However, with effective planning and execution, organizations can overcome this stage with minimal difficulty.

Meeting customers’ requirements on time is crucial for success in the market as it is ultimately the end customer who determines your success or failure.

M/s. ABC Limited faces the challenge of meeting the demand for its various products. Overcoming this challenge requires careful planning and execution. In my role as a consultant, I would meet with the managers in production control, maintenance, and sales to understand their timeline in normal circumstances. Based on this information, I would develop a detailed plan outlining the necessary actions to meet the timeline. It is important to note that the role of MIS will be crucial in this process.

The sales and marketing team needs to communicate clearly with customers, informing them of the real-time required for product supply and avoiding false promises. They should submit a report on market needs, identifying products with high demand and fast movement, as well as those that are slower in the market. This report will be used to create a production plan that gives priority to fast-moving products. It is important to maintain a minimum stock level at all times to meet any urgent customer demand. The Procurement team should inform the production team of the timeframe required to acquire raw materials and spares, which may vary depending on factors such as imports, localization, or finding a new OEM partner. Supply Chain Management is crucial for uninterrupted production. The logistics team should also create a Management Information System (MIS) indicating the number of days it takes for goods to reach different markets. Logistics face challenges such as natural disasters, political problems, and changes in government policies.

The maintenance department must be prepared for unexpected machinery stoppages. They should have a good understanding of the machinery and be able to create a list of frequently needed spares, as well as those that are difficult to obtain or have a long lead time. It is crucial to maintain an inventory of these spares to prevent significant losses from production downtime. If necessary, additional manpower should be hired, and the HR department should keep potential technical candidates in mind. The HR department should also identify talented employees within the organization who would be beneficial for production and transfer them accordingly. It is important for the HR department to maintain a harmonious environment and avoid conflicts among employees. It is essential to recognize and encourage diligent, dedicated, and skilled employees, while also providing warnings and appropriate punishment for unproductive employees. Additionally, the HR department should have the ability to acquire temporary manpower when faced with high production targets and tight deadlines. The production team may need to work extra shifts to meet urgent orders.

Planning alone is insufficient for ABC Ltd’s survival in this situation. The managers must possess up-to-date information regarding their duties and convene regularly to assess and evaluate the progress. A graph needs to be maintained to indicate the desired and actual performance levels of the teams.

When the organizations fulfill all the mentioned requirements, the regular meetings will no longer be characterized by mutual mud-slinging, but instead they will be informative and productive discussions.

Success is achieved through teamwork rather than individual hard work!

2. To meet the scheduled dates, various functional managers should take appropriate action.

The previous response has already addressed the solution to this query. Functional managers must comprehend both their role as a team leader and their obligation as employees of the company. As team leaders, managers are responsible not only for their own actions and mistakes but also for those made by their entire team.

The functional managers need to comprehend the requirements and inputs of their team. They should create an MIS (Management Information System) that includes a schedule for each function managed by each manager.

The Marketing Manager is responsible for providing market details, including the level of demand for each product and customers’ expectations regarding delivery. The manager’s role also involves advising the management on possible modifications or improvements that can boost product sales volume. These actions help the organization meet the challenging market requirements and maintain their market share.

The Sales Manager must ensure that their team meets customer requests for reasonable delivery times, without misleading customers with false promises. Failing to do so can lead to organizational problems and reputation damage for the company. Without caution, ABC may need to compensate customers for delays and suffer financial losses. Sales forecast is highly important in manufacturing.

The Maintenance Manager and his team need to have a good understanding of the machineries and anticipate frequent repairs. It is important to maintain a sufficient inventory of spare parts to prevent any disruptions in production, especially for parts that have a high likelihood of needing repairs. Additionally, some spares may have long lead times, so the production manager should ensure that a minimum stock level is maintained. Furthermore, proper preparations should be made to address any potential power outages.

The Purchase / Procurement manager should establish ongoing communication with the production team and possess a comprehensive understanding of their requirements. It is advisable to not solely depend on a single supplier. By acquiring the identical product from multiple suppliers, uninterrupted production can be ensured in the event of any complications with one supplier.

Even if the production is completed and the products are shipped on schedule, it is futile if the consumer does not receive the products promptly. The transportation of the products to the customers is heavily reliant on logistics. It is essential for the logistics manager to anticipate any potential difficulties in delivering the goods. These obstacles may arise from a variety of factors such as natural disasters, political issues, governmental policies, strikes, or economic fluctuations. The logistics manager must have contingency plans in place to ensure that the goods can still reach the customers in a timely manner during such circumstances.

Caselet 2

Rajender Kumar, a production worker at Competent Motors Limited (CML), worked in the welding department alongside fifteen other men. Together, they received both on-the-job training and participated in external programs sponsored by the company. The team had a strong bond and enjoyed playing volleyball in the company’s playground before retiring to their assigned quarters. During lunchtime in the company canteen, they shared jokes and teased anyone who invaded their privacy. Although two new members recently joined the team, most of the workers had been there for some time. Rajender, seen as the group’s leader, applied for and successfully obtained the job posting after the transfer of the previous foreman.

When the formal announcement of the appointment was made on a Friday afternoon, there were only four other applicants for the job – two from the mechanical section and two from outside. The group of people congratulated Rajender and showed their excitement by carrying him on their shoulders, buying him snacks, and celebrating. Rajender joined his duty as Foreman on Monday morning. It was a company practice for all foremen to wear a blue jacket and a white shirt. Each foreman’s coat had a name badge sewn onto the left side pocket. Rajender had been given two pairs of coats by the company. Proudly wearing his new blue coat, Rajender went to work on Monday. People who saw him from a distance approached him and admired the coat. There was playful teasing, with Rajender being called “Hero,” “Raja Babu,” and “Officer,” among other names.

One of the men returned to his locker and retrieved a long brush. He pretended to remove dust particles from the new coat. After a few minutes of playfulness, all the men resumed their work. Rajender went to his office to acquaint himself with his new job and surroundings. At noon, they all took a break and went to the canteen for lunch as usual. Rajender was busy, but shortly after, he followed them. He purchased a food coupon, grabbed some snacks and tea, and turned toward the open canteen. His previous work group sat in the left-side corner of the room, while the other foremen in the plant sat on the right-hand side, all wearing their blue coats. The canteen fell silent as both groups anxiously looked at Rajender, waiting to see which group he would choose to dine with.

1. Rajender will eat with his new foreman group due to the importance of employee orientation in any organization. When an employee is transferred or promoted to a new department, even within the same organization, they face the challenge of adapting to a new workplace. The need for belongingness is a universal human motivation that affects individuals in all cultures. Therefore, it is crucial for Rajender to establish a positive relationship with his new colleagues.

Mr. Rajender, a new team member, must develop a rapport with his team in order to establish a strong foundation. Generally, employees tend to form groups based on their work, knowledge, and experience. It is natural for individuals to feel more comfortable interacting with others in the same category. This holds true for Mr. Rajender as well, as it is not only a matter of comfort but also a necessity to adapt to his new situation. To understand his job and working conditions, Mr. Rajender should interact with his fellow foreman. It takes time for any employee to fully comprehend their new role, and during this “holiday period,” Mr. Rajender should create friendly relationships with his team members and observe their work demands. This helps facilitate a smoother transition into his new assignment. Building a bond with his new foreman team will ensure better orientation for Mr. Rajender. It would be appropriate for him to greet and join the foreman group for tea or lunch, as that is where he now belongs after his promotion. The bonding and sense of belonging within the team are crucial for improved employee performance.Mr. Rajender had a positive relationship with his group while working as a production worker for over seven years. Consequently, his group would understand and appreciate his decision. However, if Mr. Rajender were to join his old group instead of his foreman group, it would cause dissatisfaction among the foreman group. They would struggle to accept him and may be hesitant to share their knowledge and experience with him.

2. What actions could the other foremen take to facilitate Rajinder’s transition?

Transition management focuses on the personal experiences of employees as they adjust to new circumstances. It involves assisting employees in relinquishing old ways and adapting to current or upcoming changes. The management of transitions aims to alleviate stress and minimize disruptions for all individuals involved.

If the management of the transition process is not effective, an organization is expected to encounter some or all of the following:

Increased sickness absence, reduced/poor performance, scapegoating, loss of creativity and initiative, increased grievances, resignations.

A successful onboarding process is crucial for maximizing employee productivity and retention in a new job. This transitional period holds great significance for both the employer and the employee.

Any existing team may initially hesitate to accept a new member. However, an employee can take the initiative to ease this transition. If I were in the role of the ice-breaker, I would make an effort to help Mr. Rajendren fit into the new team using the following methods. Firstly, I would have an informal conversation with him to understand his talents, interests, and knowledge. Then, I would introduce him to other team members, giving a positive opinion about him. In addition, I would provide a brief description of each team member in a positive manner and explain how to effectively work with them. It is also important for him to be aware of employees from other teams or departments that we interact with on a daily basis. Although he may already be familiar with company policies and procedures, I would provide him with more detailed information if necessary. Not all employees are fully informed about these policies and procedures until they encounter a relevant situation. Therefore, I would give him a summary of the policies specific to his new position. Moreover, I would guide him through the work procedures that need to be followed and provide insight into our boss’ temperament so that he can navigate it more easily. To put it simply, I would offer him the support that I would expect from a fellow co-worker if I were the new member joining the team.


Section C: Applied Theory (30 Marks)

This section comprises Applied Theory Questions.

Answer all the questions.

Each question is worth 15 marks.

Your answer should include detailed information (Word limit 200 to 250 words).

Psychological games are a type of game that people play, but what exactly are they and why do people engage in them?

Psychological games, also known as “Mind Games,” differ from regular games as they are played to uncover people’s mindsets. In Human Resource Management, the focus is not only on assigning tasks to individuals but also on ensuring the well-being of the staff within the organization, which ultimately benefits the company. The HR department acts as a representative for employees, considering their needs, capabilities, and growth opportunities, thereby contributing to the company’s growth. It is widely acknowledged that improved employee interaction enhances workflow; hence, many corporations invest in Out Bound Trainings (OBT), which are typically held in outdoor areas and involve playing these “Mind Games” or “Psychological Games.” These games do not require high intelligence, but each has a hidden purpose. The criteria that classify a game as a mind game include a series of credible social transactions, an underlying message that deviates from straightforward social interactions, and a predictable payoff that signals the end of the game.The motives behind engaging in psychological or mind games include;

Playing these games can help employees unwind and escape from the stress and chaos of the workplace, fostering a sense of unity and alleviating any differences between colleagues. Additionally, by observing employees during gameplay, one can gain insight into their mindset, further strengthening relationships and creating a sense of camaraderie among coworkers.

Refreshing the minds of employees and preparing them for the daily office tasks, team building activities provide a valuable opportunity for team members to gain a deeper understanding of one another. By fostering open-mindedness and addressing differences and misunderstandings, these activities also promote creativity.

From an HR perspective, observers can identify the employees’ hidden talents and technical knowledge, thereby aiding in their development. This benefits both the individuals and the organization as a whole. Additionally, it also helps enhance the social skills of the employees.

Assists individuals in perceiving a problem from various perspectives.

Psychological or mind games are not played for fun; they serve a purpose. Even simple activities like “passing the ball” or “dumb charades” can help understand the attitude and skills of team members and improve relationships among employees or a group. In the business world, social skills are crucial for employees, making it important to hone these abilities. Additionally, discussing the statement “A good leader is not necessarily a good manager.” allows for a comparison between leadership and management.

I disagree with this statement because it is possible for all leaders to become managers, but not all managers can become leaders.

In reference to the emergence of knowledge workers, I seek to cite the words of the esteemed management expert Peter Drucker. According to him, the act of managing individuals is not sufficient; rather, one must provide leadership. The ultimate objective is to maximize the effectiveness of each person’s unique strengths and knowledge. Drucker was not only an early proponent of this belief but also identified numerous other principles in management.

A good leader must have three qualities, one of which is managerial skill.

The critical thinker possesses the skill to approach situations without being swayed by emotions and considering all possible alternatives and options for advancing a department, organization, project, or sale. They are adept at problem-solving and maintaining a leadership position in the marketplace. The manager, on the other hand, has the ability to properly execute processes to achieve desired outcomes, which encompasses staffing and scheduling. As for the coach, their strength lies in accomplishing tasks through others. They understand the strengths and weaknesses of individuals and create an environment that maximizes each person’s potential.

Coaching is not centered around changing individuals. Instead, leaders create opportunities and environments that foster success. It is essential that individuals have a personal drive to succeed and are willing to do whatever is necessary to achieve their goals.

From the previous information, it is evident that a skilled leader possesses both managerial competence and the ability to guide their subordinates.

Leadership and management are interconnected and interdependent. Although they have distinct characteristics, attempting to separate them can lead to more issues rather than resolving them. Despite the extensive discussion on differentiating the two, it is crucial to understand that a manager’s role involves planning, organizing, and coordinating, while a leader’s role entails inspiring and motivating. Warren Bennis, in his 1989 book “On Becoming a Leader,” compiled a list outlining these distinctions.

A comparison is made between Leadership & Management:
The manager administers, while the leader innovates.
The manager is a copy, while the leader is an original.
The manager maintains, while the leader develops.
The manager focuses on systems and structure, while the leader focuses on people. The manager relies on control, but the leader inspires trust.
The manager has a short-range view, but the leader has a long-range perspective. The manager asks how and when, but the leader asks what and why. The manager always has their eye on the bottom line, while the leader’s eye is on the horizon. The manager imitates, while the leader originates.

The manager and the leader have different approaches. The manager accepts the status quo, while the leader challenges it. The manager is like a good soldier, following orders and focusing on efficiency. In the past, the roles of manager and leader could be separated. A foreman in an industrial-era factory only needed to organize the work and ensure that it was done as ordered. However, in the new economy, management and leadership are not easily separated. Workers are no longer seen as undifferentiated cogs in a machine, but as valuable sources of knowledge. People now look to their managers not only for tasks, but also for a sense of purpose. Managers must organize workers in a way that not only maximizes efficiency, but also nurtures skills, develops talent, and inspires results. This recognition of the importance of leadership in managing knowledge workers was identified by Peter Drucker, a famous management guru. According to him, the focus should be on leading people and leveraging their specific strengths and knowledge to increase productivity.

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Organizational Behaviour. (2016, Jul 07). Retrieved from

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