Table of Contents
Introduction & Ethics ...3
Ethics ... 3
Philosophical Theories of Ethics ... 3
Ethics in Organizations ... 4
Workplace Behaviours ...4
Job Performance ... 4
1. Task Performance ... 4
2. Citizenship Behaviour... 4
3. Counterproductive Behaviours ... 4
Withdrawal... 5
Organizational Commitment ... 5
1. Affective Commitment ... 5
2. Continuance Commitment ... 5
3. Normative Commitment ... 5
Implications for Organization ... 5
Creativity ... 5
Myths of Creativity ... 6
Creativity in Teams... 6
Personality & Values ...7
The Big 5 Personality Model ... 7
Implications on Employees ... 7
Implications in Organizational Context ... 7
Emotions & EI ... 9
Values ... 9
Attitudes, Beliefs & Perceptions ... 10
Attitudes ... 10
Formation of Attitudes ... 10
Change of Attitudes ... 10
Job Satisfaction ... 10
Perception ... 10
Cognition ... 10
Self-Perception & Social Perception ... 11
Attribution Theory ... 11
Motivation & Goal Setting ... 11
Needs-Based Theories ... 11
1. Maslow’s Hierarchy of Needs (Wrong) ... 11
2. Herzberg’s 2-Factor Theory ... 12
3. McClelland’s Acquired Needs Theory ... 12
Process Theories ... 12
4. Equity Theory ... 12
5. Organizational Justice... 12
6. Expectancy Theory ... 13
7. Reinforcement Theory ... 13
8. Job Characteristics Theory ... 13
9. Goal Setting Theory ... 13
Wellbeing & Stress ... 13
Sources of Workplace Stress (Stressors) ... 13
Outcomes of Stress ... 14
Affect & EI ... 14
Emotional Intelligence ... 14
Decision-Making ... 14
Rasmussen’s (1983) Decision Performance Framework ... 14
Rational Decision-Making Models ... 15
Individual Factors... 15
Situational Influences & Ethics ... 15
Attribution Theory ... 15
Biases ... 15
Teams & Diversity ... 16
Types of Teams ... 16
Diversity ... 16
Team Development Models ... 17
Group Development Model ... 17
Punctuated Equilibrium Model ... 17
Conflict & Negotiation ... 17
Negotiation Types ... 18
Distributive Negotiation... 18
Integrative Negotiation ... 18
Conflict ... 18
Types of Conflict... 18
Conflict Resolution ... 18
Power, Influence & Leadership ... 19
Power ... 20
Organisational Power... 20
Personal Power ... 20
Influence Tactics ... 21
Organizational Structure & Social Networks ... 22
Organisational Structure ... 22
1. Work Specialization ... 22
2. Chain of Command ... 22
3. Span of Control ... 22
4. Centralization ... 22
5. Formalization ... 22
Organizational Forms (Traditional) ... 23
1. Simple ... 23
2. Functional ... 23
3. Divisional ... 23
Organizational Forms (Contemporary) ... 23
4. Matrix ... 23
5. Boundary-less ... 24
Social Networks ... 24
Ego-Networks ... 24
Networking... 25
Organizational Culture & Change ... 25
Strength of Culture ... 26
Subcultures and Countercultures ... 26
Organisational Change ... 26
Lewin’s 3 Step Model ... 26
Responses to Change ... 27
Introduction & Ethics
• Managerial Psychology draws upon industrial organizational psychology and organizational behaviour
o Organizational behavior - investigates the impact that individuals, groups and structure have on behavior within organizations, for the purpose of applying such knowledge towards improving an organization’s effectiveness
Ethics
• Ethics – a systematic study determining the principles of right and wrong regarding behaviour and decision making.
• Ethics can be based on a number of philosophical theories of ethics
Philosophical Theories of Ethics
Covers the principles of making ethical decisions. Ethical decisions are hard because:
• There is no one clear solution, lots of unknowns (how do you quantify suffering)
• Competing and conflicting interests between agents and principles
Theory Definition Example
Utilitarian Theory An action is ethical when it does the greatest good for the greatest number of people and minimizes harm.
Judgement is a cost-benefit analysis. Focus on the end not the means.
Principle of Rights (Deontology)
An action is ethical because the individual has the moral right to do so
Protecting the right to entitlement
Ethics of Care The correct action is one that cares for the individuals involved.
Emphasizes the process of the action not the end.
Aristotle’s Virtue Ethics The correct action is one that displays good character traits such as loyalty, integrity or honesty Ethical Relativism There is not universally right
ethical principle for any action.
E.g. Bribery can be the norm
in some countries to gain
political favour
Each society determines what is right and wrong
Ethics in Organizations
Ethical Compliance Programs Culture of Ethics
• Ethics training, code of ethics and explicit standards
• Whistleblowing policy → whereby employees can report unethical behaviour
• Rewards system as part of performance appraisal
• Top-down → culture is set by managers and followed by employees
• Managers should reward ethical behaviour and communicate it at all levels
Workplace Behaviours
Job Performance
1. Task Performance
Formally defined behaviours that contribute towards organizational objectives.
• Routine – task demands that are in description, repeated constantly
• Adaptive – adapting to unusual task demands
• Creative – developing ideas that are new [LINK Creativity]
e.g. In a warehouse, routine performance would be packing boxes, adaptive performance would be performing safety procedures in case of an emergency, creative performance could be changing the tools used to pack boxes to increase efficiency
2. Citizenship Behaviour
Voluntary and optional behaviours that are not formally recognised by a rewards system that are beneficial to the functioning of an organization.
It can occur at the organizational level of the individual level.
Organizational Benefit Individual Benefit Higher performance → higher customer
satisfaction → higher revenue
Across an aggregate of people = better performance
3. Counterproductive Behaviours
Intentional behaviour that is contrary to organizational objectives
Withdrawal
• Behaviours of avoidance or escapism as a means of coping with a dissatisfying situation. Can be both physical and psychological.
o Psychological withdrawal
e.g. daydreaming, moonlighting o Physical withdrawal
e.g. absenteeism, long breaks
Organizational Commitment
• The desire for an individual to remain part of an organization.
1. Affective Commitment
o Emotional bond to organization determining the desire to stay. Signal that the employee accepts the values of the organization. This results in employees more willing to impart extra effort.
o It is contagious
2. Continuance Commitment
o The need to stay based on the costs of leaving e.g. stock option salaries
3. Normative Commitment
o The moral belief of needing stay based on what is right [LINK Philosophical Theories of Ethics]
e.g. charitable organizations instil this commitment by virtue of business activities
Implications for Organization
• Having employees with high levels of organizational commitment leads to lower costs and hidden costs
Explicit Costs Hidden Costs
• Admin, recruitment, training costs • Decreased morale → lower productivity
• Lost organizational knowledge
Creativity
o Innovation vs. Creativity – The key is in implementation - the implementation of a new idea by individuals into the system. Creativity is intrinsic whilst innovation requires interaction with others to implement the idea
o Creative Process -
▪ Divergent Thinking – variety of ideas in different categories
▪ Convergent Thinking – linking ideas from multiple domains
▪ Conducting broad search
Creativity can be divided into 3 motivating forces:
1. Domain knowledge – knowledge about the field you are working in is conducive to innovation within that field
2. Creative thinking skills – there is a strong link between intelligence and creativity 3. Task motivation – incentives entice people to take initiative and be creative
Facilitators Blockers
Individual
[LINK to personality types:
Openness,
conscientiousness, neuroticism]
Openness to experience Creative personality and thinking skills
Willing to take risks
Resistance of change Fear of making a mistake (high conscientiousness) Inability to tolerate uncertainty
Organizational Culture of risk taking Intrinsic motivation → engaged employees interested in task
Autonomous teams [LINK Creativity in Teams]
Bureaucracy/Politics → slower implementation Destructive competition → poor incentives
Harsh punishment
Myths of Creativity
o Eureka Myth - creativity requires a knowledge in the field and research (domain knowledge). Ideas don't just pop up out of thin air
o Genes Myth - people are not born with creativity. It can be incubated in organizations with events such as networking etc.
o Creativity is only undertaken by geniuses - creativity can be a range. Small ideas and ideas adapted from another industry can be creative. Creativity is relative to your environment (e.g. coworkers and industry).
o Superman vs. Fantastic Four - creativity is not just undertaken by individuals. Can be creative in teams
Creativity in Teams
o Creative teams should have the correct members, composition and processes to be successful o Members – highly intrinsically motivated
o Composition – 4-6 people, decentralized leadership, balanced diversity o Processes – autonomous with effective communication
Advantages Disadvantages
Greater diversity in ideas and perspectives Groupthink (not enough critical thinking)
Conflict [LINK types of conflict]
Personality & Values
The Big 5 Personality Model
• Personality assessment that taps 5 basic dimensions on a relative scale.
• Externally gauged through observable personality cues (identity claims, feeling regulators and behaviours)
Implications on Employees
Openness
Cues: none
Tendency to seek, appreciate & understand abstract information. High openness has a strong correlation with creativity and intellect
• More adaptable, more
creative/innovative
• Less likely to accept leadership
• Prone to psychosis
• Risk loving
Conscientiousness
Cues: formality of dress
Reflects variation in motivation to set goals, follow rules and stay motivated. Indicator of drive to complete work and work independently
• Effective at setting and maintaining goals/working
• Less adaptable
• Controlling
Extroversion
Cues: smiles, friendly gestures and expressions
A level of social assertiveness and enthusiasm. Strong predictor about who is most sensitive to being motivated by rewards.
• Charismatic and inspiring
• Natural leaders
• Risk loving, impulsive DM
Agreeableness
Cues: relaxed walking
Tendency to cooperate and show compassion and politeness in interactions. Indicator of how well someone will perform in a job requiring social skill
• More considerate
• Low interpersonal conflict
• Easily
manipulated
Neuroticism
Cues: dressing in darker colours
Tendency to experience negative emotions like
anxiety. Strong indicator of how someone will perform in a role requiring social complexity (negative)
• Risk conscious
• Less likely to be manipulated
• Creates a more negative work environment
• More likely to experience withdrawal
Implications in Organizational Context
• Behaviour is a function of personality traits and situational factors. Personality traits have a strong effect on situations that are “weak” through ambiguity or unstructured social roles and less impact on “strong” situations with clear social cues.
• Situational strength determined by:
1. Clarity - the extent to which one’ s job responsibilities are easily understood