DIPLOMA IN TRAINING & DEVELOPMENT

PAPER: I
ORGANISATIONAL BEHAVIOUR

RESPONSE SHEET: 1

QUESTIONS ANSWERED: 1 & 4

SUBMITTED BY:
JIVETA CHAUDHARY GROVER
REGISTRATION NO.: 69/22711
JULY 2013 BATCH

INDIAN SOCIETY FOR TRAINING & DEVELOPMENT

TRAINING HOUSE, B-41, QUTAB INSTITUTIONAL AREA, NEW
MEHRAULI ROAD, NEW DELHI - 110016
 REGISTRATION NO.: 69/22711
NAME: JIVETA CHAUDHARY
PAPER NO.: I (ORGANISATIONAL BEHAVIOUR) RESPONSE SHEET NO. : 1 QUESTION NO. : 1&4

QUESTION 1

Define Values. Critically evaluate Alport-Vernon classification of values. How values

affect Business Processes.

ANSWER 1

Values
Values are stable, evaluative beliefs that guide our preferences for outcomes or
courses of actions in a variety of situations. Values are stable enduring beliefs about
what is worthwhile that influence our thoughts and behaviour. They are our
perceptions about what is good or bad, right or wrong. According to Milton Rokeach,
values represent our basic convictions that a specific code of conduct is personally or
socially preferable to an opposite code of conduct.

Allport-Vernon Classification of Values

Gordon Allport (1897-1967) was a Social Psychologist and together with his
associates namely, Philip Vernon and Gardner Lindzey, developed a scale to measure
values based on Sprangers work. Allport defined values as beliefs that cause human
beings to act on their preferences. Though originally developed in 1931, the authors
updated the scale in 1951 and later came up with a final revised version in 1960. The
values defined in the scale are classified under six categories viz.,: -
i. Theoretical: Theoretical values refer to a persons interest in the discovery of
theories and truth. This type of person does not give any importance to the
practical aspects of science. He is independent and philosophical in nature and
wants to explain everything through logic and theories. (example discovery of
truth through observing, reasoning and a critical and rational attitude)
ii. Economic: Economic values in man are characterized by his interest in practical
knowledge and use of this knowledge for financial and economic gain. This man
is particularly interested in what is useful. (example interest in business,
production, consumption, accumulation of wealth)
iii. Aesthetic: Aesthetic values in man draw him towards beauty and harmony. The
concept of beauty, symmetry, form and harmony is the highest truth for him.
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 REGISTRATION NO.: 69/22711
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iv. Social: Social values in man drive him towards care and fellow feeling for others.
Love for people is the highest values for a man driven by social values. (example
love, kindness, sympathy)
v. Political: Political values are characterized by love and ambition for power and
renown. (example power, competition, struggle)
vi. Religious: Religious values involve man in the study of the mystical and divine
aspects of the universe. The highest value that drives the man is unity.
People place different importance to the above value types. This is important from the
point of view of understanding the behaviour of people. People in different
occupations have different value systems which has led organizations to improve the
values-job fit in order to increase employee performance and satisfaction. The
Allport-Vernon Study of Values, however, has one possible weakness. They measure
the relative importance of these values to the individual, rather than the "absolute"
importance of each value. A high preference for certain values must always be at the
expense of the other values.

Values effect on Business Processes

Values define people, organizations and products at their most basic level. They
establish a foundation onto which expectations and trust are built. Taking
responsibility for planning their values allows organizations to plan their corporate
culture and reputation with confidence. Demonstrating values becomes a base for
many strategic decisions. Once values are defined by; shared with; and understood by
all employees, the values themselves simplify and speed up all other business
decisions. They also ensure consistency in approach and information. For example:
Values should be considered as part of the decision making and the product design
and customer care process when developing new products.
Values assist in the development of the organization (and department), mission
statement, vision statement and value statement.
Values can support the core competencies of the organization
Values serve as the starting ground for all marketing and advertising strategies and
messages.
Values required to perform work can be looked for within the values of the people
you consider hiring.

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 REGISTRATION NO.: 69/22711
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There are three categories from which an organizations values base is created. : -
i. Physical Values These include values like Maximum Utilization of Resources,
Orderliness & Cleanliness, Punctuality and Timeliness, Quality of Products and
Services, Reliability, Dependability, Responsiveness, Safety, etc.
ii. Organizational Values These values include Appropriate & Adequate
Communications, Cooperation (Teamwork), Coordination, Standardization, etc.
iii. Psychological Values These values encompass Continuous Improvement,
Creativity, Customer Delight, Innovation, Integrity, Accountability, Loyalty, Respect
for the Individual, Service to Society, etc.
Values are living, traits or qualities that help define the organization and the people
who work there. Integrating these values must be a priority for everyone, therefore,
include everyone in the decision making process. The values of an organization
express what it stands for and guide everyones behaviour when dealing with
everything from product development, to each other, to customers and suppliers.
It is imperative to align the goals and objectives of the organization, its departments
and its employee. How an organization functions, well or poorly, is determined by the
strength of its values. These function as an operating system which shows us how to
meet our needs, and allows us to assign them a priority. They provide a common
direction for all members, and establish guidelines for their daily commitments.
Values also inspire the purpose of each organization. The founders must be explicit
about them from the beginning. In this way the value system of the company is best
communicated, which in turn allows the existence of unified criteria that strengthen
the interests of all.
The compatibility of personal values with organizational values leads to a high level
of personal satisfaction with our work. The objectives of the organization and those
of its members acquire greater meaning and importance.
If both of these values stray from each other, the culture of the organization weakens
and its members begin to scatter.

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 REGISTRATION NO.: 69/22711
NAME: JIVETA CHAUDHARY
PAPER NO.: I (ORGANISATIONAL BEHAVIOUR) RESPONSE SHEET NO. : 1 QUESTION NO. : 1&4

QUESTION 4

Define Motivation. Critically evaluate contribution of McGregor to Motivation.

ANSWER 4

Motivation
Motivation refers to the forces within a person that affect his or her direction,
intensity and persistence of voluntary behaviour. According to Mitchell, motivation
consists those psychological processes that cause the arousal, direction and
persistence of voluntary actions that are goal directed. Motivation thus is a complex of
forces that start and keep a person at work in an organisation. As a managerial
function, motivation involves ascertaining subordinates motives and helping them
realize those motives. It is a way of enthusing personnel to intensify their desire and
willingness to utilize their energy toward effective and efficient attainment of
organizational goals.

McGregors Contribution to Motivation

Douglas Murray McGregor (1906-1964), an American Social Psychologist made
noteworthy contribution to the field of motivation. He proposed his famous Theory X
and Theory Y of motivation in 1960 in his famous book, The Human Side of
Enterprise. Theory X and Theory Y could be seen as two extremes with a whole
spectrum of possible employees behaviours in between. These theories make two
separate and distinct set of assumptions about employees and thus, explain different
managerial styles for managing (and motivating) employee work behaviours. If a
manager thus, assumes that employees dislike and avoid work, he/she would adopt an
authoritarian style while on the other hand, if he/she assumes that employees are self-
directed and take pride in doing their jobs, he/she would adopt a more participative
style. McGregors work is based on Maslows Hierarchy of Needs Model and he
groups the lower level needs (physiological, security and social) as Theory X and the
higher order needs (esteem and self-actualization) as Theory Y. He suggested that
management could use any of the two theories however; Theory Y would guarantee
better set of returns.
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 REGISTRATION NO.: 69/22711
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Theory X
It represents the conventional conception of managements task in harnessing human
energy and supports an authoritative management style. It can be stated in terms of
three propositions viz.,
i. Management is responsible for organizing money, materials, equipment and
people in the interest of economic ends
ii. With respect to people, this is a process of directing their effort, motivating them,
controlling their actions and modifying their behaviours to fit the needs of the
organization
iii. Without the active intervention of management, people would be passive even
resistant to organizational needs. They must therefore be persuaded, rewarded,
punished and/or controlled.
It is based on the following set of beliefs that managers have about their employees: -
An average employee intrinsically does not like work and tries to escape it
whenever possible.
Since the employee does not want to work, he must be persuaded, compelled, or
warned with punishment so as to achieve organizational goals. A close
supervision is required on part of managers. The managers adopt a more
dictatorial style.
Many employees rank job security on top, and they have little or no aspiration/
ambition.
Employees generally dislike responsibilities.
Employees resist change.
An average employee needs formal direction.

Theory Y
Theory Y makes more adequate assumptions about human behaviour & motivation
and supports a more liberal and participative style of management. Its main
propositions are: -
i. Management is responsible for organizing money, materials, equipment and
people in the interest of economic ends
ii. People are not by nature passive or resistant to organisational needs and have
become so as a result of organisational experiences.

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iii. The motivation, the potential for development, the capacity for assuming
responsibility and the readiness to direct behaviour towards organisational goals
are all present in people and it is the managements responsibility to make it
possible for people to recognize and to develop these for themselves.
Theory Y is based on the following set of beliefs that managers have about their
employees: -
Expenditure of physical and mental effort in work is as natural as play or rest. The
average human being does not inherently dislike work, which can be a source of
satisfaction.
External control and the threat of punishment are not the only means of bringing
about effort. People can exercise self-direction to achieve objectives to which they
are committed.
Commitment to objectives is a result of the rewards associated with their
achievement.
The average human being learns, under proper conditions, not only to accept, but
to seek, responsibility.
Capacity to exercise a relatively high degree of imagination, ingenuity and
creativity in the solution of organisational problems is widely, not narrowly,
distributed in the population.

Evaluation of McGregors Work

Theory X style of management fosters a very hostile and distrustful atmosphere. At
times, an employer that is overly threatening will lead to dissatisfaction among
employees, or they might even attempt to blame each other in order to save
themselves from the threats. Employees might try to sabotage the efforts of each other
in order to make it easier for them to achieve the rewards. Theory Y style of
management is tough to uphold in reality. The core belief of Theory Y is that with the
right support and the right environment, self-directed employees will be able to
perform their jobs well. However, because every individual is different from one
another, creating an environment which fits all does not sound very practical in the
current era of organizations. Organizations should be careful, and not rely too heavily
on Theory X and Theory Y because there are a lot of assumptions. The workforce is
changing nowadays, and the workplace is a dynamic mix of employees from different

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backgrounds, races and genders. Also, employees might have completely different
motivations and goals for choosing to work within an organization. There are many
factors that influence the employee behaviour within an organization in this current
era, so, Theory X and Theory Y may even be slightly obsolete. Despite of these
limitations, Theory X and Theory Y are still referred to commonly in the field of
management and motivation, and whilst more recent studies have questioned the
rigidity of the model, McGregor's X-Y Theory remains a valid basic principle from
which to develop positive management style and techniques. McGregor's XY Theory
remains central to organizational development, and to improving organizational
culture. His ideas suggest that there are two fundamental approaches to managing
people. Many managers tend towards Theory X, and generally get poor results.
Enlightened managers use Theory Y, which produces better performance and results,
and allows people to grow and develop. McGregor's ideas significantly relate to
modern understanding of the Psychological Contract, which provides many ways to
appreciate the unhelpful nature of X-Theory leadership, and the useful constructive
beneficial nature of Y-Theory leadership.

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