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 ASSIGNMENT SOLUTIONS GUIDE (2017-2018)
M.C.O.-1
Organisation Theory and Behaviour
Disclaimer/Special Note: These are just the sample of the Answers/Solutions to some of the Questions given in the
Assignments. These Sample Answers/Solutions are prepared by Private Teacher/Tutors/Authors for the help and guidance
of the student to get an idea of how he/she can answer the Questions in given in the Assignments. We do not claim 100%

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accuracy of these sample answers as these are based on the knowledge and capability of Private Teacher/Tutor. Sample
answers may be seen as the Guide/Help for the reference to prepare the answers of the Questions given in the Assignment.

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As these Solutions And Answers are prepared by the Private Teacher/Tutor so the chances of error or mistake cannot be

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denied. Any Omission or Error is highly regretted though every care has been taken while preparing these Sample

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Answers/Solutions. Please consult your own Teacher/Tutor before you prepare a Particular Answer and for up-to-date

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and exact information, data and solution. Student should must read and refer the official study material provided by the
university.
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Attempt all the questions.
Q. 1. Explain modern principles of Organization with examples.

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Ans. Managers play a dominant role in the organisation and its perfect management. They are the life line of an
organisation, without them the organisation cannot function efficiently.
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The main functions performed by managers of an organisation are planning, organising, staffing, directing,
communicating, decision-making and controlling. Each and every department should be planned and organised in
such a manner that the group who is appointed to do the work does equal justice to the work assigned to them or else
the whole activity will be useless.

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Besides these principles, they perform various roles also in an organisation namely, interpersonal roles which
includes leading, liasioning, and symbol or figure head, informational roles covers monitoring, sharing information and
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to act as a spokesperson and decisional roles such as taking initiative, handling disagreement, allocating resources
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and negotiating. All these functions and roles, are performed by the managers in order to maintain a balance between

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all the levels of management. These functions are performed by the senior managers and high rank officers in order

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to maintain a balance between the work and people. Besides assigning and getting the work done through the
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subordinates, it becomes the duty to take care of them, by giving them enough space to express themselves and work

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satisfactorily in the organisation. Thus, managers play a very important role in the smooth functioning of an organisation

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by devoting his time to the staff and giving them enough space to express and solve the issues, be it official or
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Yes, I agree with all the 14 principles of management given by Henry Fayol, as they allow flexible implementation

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of the functions of management in the organisation. The principles laid down by Fayol are general and easy to
understand. They are easily acceptable and understood by the people. His most salient and useful features which

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have given encouraging results at all times is “Union is Strength”.
The main features of modern organisations are:
(i) It has become smaller in size due to less manpower.
(ii) Organisational structure has become circular due to reduction in the layers of management.
(iii) It is more of technical based, so workers are also technically qualified than before.
(iv) More emphasis is given to the customer satisfaction and to the shareholders of the organisation.
(v) Time and place of working have become flexible.
(vi) Quality is the prime objective than quantity.
(vii) Due to increase in the service organisation communication has become informal and lateral.
(viii) Participation of middle and junior management is there in decision–making as compared to the top level
management, as middle and junior management is more technically qualified than what it used to be.

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 All these features are easily absorbed and flexible enough for implementing the principles of management laid
down by Fayol. The changes are easily taken up by these principles in the most convenient and conventional way in
order to suit the features of the modern organisation.
The basic principles of management as laid down by Henri Fayol are:
(i) Division of Work
(ii) Authority and Responsibility
(iii) Discipline
(iv) Unity of Command
(v) Unity of Direction
(vi) Subordination of Individual Interests to General Interests
(vii) Remuneration
(viii) Centralization

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(ix) Scalar Chain
(x) Order
(xi) Equity
(xii) Stability of Staff
(xiii) Initiative

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(xiv) Espirit de Corpe.

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Besides these 14 principles of management given by Fayol, there are some other principles of management they
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are:
(i) Harmony of Objectives
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(ii) Universality of Management
(iii) Primacy of Objectives and Planning
(iv) Control by Exception a ad
(v) Decision by Exception
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(vi) Equality of Authority, Power, Responsibility and Accountability
(vii) Coordination.
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These principles act as a guideline for the management to enable an organisation to run effectively and efficiently.

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It helps in creating healthy and flexible flow of activities within an organisation.

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In olden days these principles were not giving any practical and encouraging results due to lack of technical

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know-how and unity of command. But now as there is a tremendous change in the organisational structure of the
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management lot of technical advancement has taken place and have given rise to the quality and innovative products.

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Two main characteristics of principles of management are there which enable the modern organisations to work

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effectively and efficiently, they are:
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(i) Flexibility: As the principles of management are flexible enough to expand or contract the rules and functions

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as possible according to the needs and wants of an organisation. They should be modified and applied according to

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specific situation faced by the manager. They are the flexible guidelines rather than the hard and fast rules. These
principles need to be handled and applied carefully and not blindly and according to the organisational structure.
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These should be utilized with respect to the change of circumstances and under special conditions to get the desired
results.
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(ii) Universality: Principles of management are applicable in all types of organisations and at all levels of

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management. They are universal in nature. They may be used with equal utility by managers of different organisations
and at different levels of authority. Managers are able to predict the results of their actions easily.
Q. 2. “Individual’s behavior is deteried to a large extent by the way environment is perceived by him/
her.” Comment upon the statement and give examples to support your view.
Ans. According to John Ivancevich and Michael Mattson, the major factors that influence individual differences
in behavioural patterns are demographic factors, abilities and skills, perception, attitudes and personality. Let us
discuss them, they are as follows:
(i) Demographic Factors: The demographic factors are socio-economic background, education, nationality,
race, age, sex, etc. Organisation prefer persons that belong to good socio-economic background, well educated,
young etc. as they are believed to be performing better than the others. The young and dynamic professionals that

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have good academic background and effective communication skills are always in great demand. The study of
demographic factors is significant, as it helps managers to pick the suitable candidate for a particular job.
(ii) Abilities and Skills: The physical capacity of an individual to do something can be termed as ability. Skill can
be defined as the ability to act in a way that allows a person to perform well. The individual behaviour and performance
is highly influenced by ability and skills. A person can perform well in the organisation if his abilities and skills are
matched with the job requirement. The managers play vital role in matching the abilities and skills of the employees
with the particular job requirement.
(iii) Perception: The cognitive process meant for interpretng the environmental stimuli in a meaningful way is
referred to as perception. Every individual on the basis of his/her reference can organize and interpret environmental
stimuli. There are many factors that influence the perception of an individual. The study of perception plays important
role for the managers. It is important for mangers to create the favourable work environment so that employees

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perceive them in most favourable way. The employees are likely to perform better if they are going to perceive it in
a positive way.
(iv) Attitude: According to psychologists, attitude can be defined as a tendency to respond favourably or

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unfavourably to certain objects, persons or situations. The factors, such as family, society, culture, peers and organisational

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factors influence the formation of attitude. The managers in an organisation need to study the variables related to job

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as to create the work environment in a favourable way that employees are tempted to form a positive attitude towards
their respective jobs. The employees can perform better in the organisation if they form a positive attitude.
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(v) Personality: Personality can be defined as the study of the characteristics and distinctive traits of an individual,

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the inter-relations between them and the way in which a person responds and adjusts to other people and situations.

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The several factors that influence the personality of an individual are heredity, family, society, culture and situation. It
implies to the fact that individuals differ in their manner while responding to the organizational environment. Personality
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can be regarded as the most complex aspect of human beings that influences their behaviour in big way. It can be
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concluded that the study of personality traits offers an opportunity to understand the individuals. It helps them properly
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in directing their effort and motivating them for the accomplishment of the organisational goals. It refers to the fact
that different environmental factors may generate different responses. The study of these responses is very important
for the organisation. Every organisation demands a particular type of behaviour from their employees and such

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behaviours can be discovered through observation, learning, exposure, training, etc.

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Learning experiences of various managers have shown a major revolution in the cognitive areas, such as strategic
overview, thinking style, action orientation, reflection, personal style, self-awareness and the way of dealing with
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others. These changes often take place as a result of feedback from peers and subordinates. This learning reproduces

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how knowledge is important for a group to develop successfully.

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Various researches have proved the fact that concrete steps are in use by various corporations who are heading
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towards the effective and better results. It is only possible through concrete learning process within the organisation

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through superiors and the subordinates. Almost all the good organizations have inevitably formulated, reformulate and

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achieve its image and developed the in-house organisation. It is believed that good organizations have been able to
control their in-house work and objectives and goals irrespective of any hurdles from the external forces.
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They are paying more attention to achieve goals, learn, adapt and apply best methods and policies. They also try

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to take conscious steps to make sure that the ideas and strategies are very well managed and placed to get the desired
output.

w It is one of the best strategies to improve the overall functioning of the organization. These methods and policies
also enable to learn the most significant way of obtaining new facts and expertise.
Learning is defined as a permanent change in behaviour, which takes place as a consequence of knowledge or
practice. Therefore, we can say that learning is a change in behaviour. This change may be favourable or unfavourable.
Learning will help you to increase your output in an organisation or it may also make you learn how to decrease
output in the organisation. Secondly, as the change must be relatively permanent, therefore, it should last for longer
duration. This refers to the fact that at times; the change may be due to tiredness, alteration, enthusiasm etc. which
may be a temporary change.
Thirdly, as learning involves the changes taking place through knowledge or performance. The changes through
expansion and maturation are not measured as well-read behaviour. The experience or practice is required for the
purpose of learning to take place. The experience can be attained through relations with the environment in the forms

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of observation, personal exposure, repetition, etc. The strengthening of experience or practice enables proper and
permanent learning.
Q. 3. Why is job design important in an organization? Discuss various models of job design that
influence the process of job design.
Ans. The goal of job design is to maximize human efficiency in jobs. It is essentially a strategy of human
resource management. It has a number of potential benefits, as it is concerned with job, motivation and behaviour of
individuals. The importance of job design is as follows:
(i) Job design avoids ambiguities in the performance of jobs and clarifies tasks and roles.
(ii) Job design removes overlapping in responsibilities and this leads to the rationalization of tasks. It also helps
in avoiding conflicts among personnel.
(iii) Job design helps in allowing proper placement of employees. It helps in fitting suitable employee for a
suitable job.

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(iv) Job design allows operational control over work performance and results.
(v) Job design allows incorporation of environmental changes in the job.

(vii) Job design urges work motivation and allows managers to understand organisational behaviour.

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(viii) An appropriate and suitable job design leads to better quality of work life among employees. o
(vi) Job design provides flexibility and so employees are prepared to accept changes without much resistance.

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(ix) Job design helps in relieving stress and also improves performance and organisational effectiveness.
MPS means Motivating Potential Score Model. This model was introduced on the basis of the characteristics of
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the job. The model confirmed that three potential scores on the three core dimensions of job characteristics model

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have preservative property. The self-sufficiency and feedback are multiplicative in character. Therefore, a motivating

task identity and task implication and autonomy and feed-back.

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potential score is designed. The motivating potential score is equal to the product of the average scores of skill variety,

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As a result, the model recommends those groups who work on jobs with high foundation job dimensions are

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usually forced, satisfied and productive. Job dimensions functions through psychological states in controlling the
personal and work variables rather than to influence them. The model has established admiration for its mathematical
properties.

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SIP model of job design is Social Information Processing model of job design.

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Individuals are essential elements of the society and have inherent desire to associate and belong to others.

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Individuals prefer to work in groups rather than working alone in isolation. In addition to these factors, individuals

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focus on observational learning and develop attitudes by social learning. According to SIP model of job design,
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employees adopt attitudes and behaviour in response to the social signals that are provided by work and other groups

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with which they associate. The groups are co-workers, superiors, subordinates, reference groups, friendship groups,

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family and customers. It signifies that the information provided by the group on job aspects is more relevant than the
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basic job characteristics, employee’s psychological states and outcomes of the jobs. So, the managerial strategy of job

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design considers information that is shared by the groups about the job.

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The employee development model was based on the development of employees in the organisations. The employee
development was closely related with organisational development in modern organisations. In modern organisations,
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employees were considered as human assets. It was believed that employee needs career growth and development.

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It was not enough to consider technical and social issues in job design but their development has to be given importance.
The jobs were designed accordingly keeping in view the long run interest of the employees. The central theory of the

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model is that employees should be competent, responsible and satisfied. It identified several aspects in the re-design
of jobs. These aspects are scope for alcoholism treatment, non-discrimination, encouraging discipline, creating
consciousness, responsibility and providing generic monitoring and direction.
Q. 4. Discuss the nature and types of coflict that can occur in an Organization. As a manager, how
would you manage conflict in your Organization?
Ans. Conflict is a natural disagreement arising between two or more persons or individuals due to their incompatible
goals, believes, behaviour which prevents them from their goal achievement. It is a process in which one group or
individual perceives that their interests are being opposed or are affecting the other parties negatively. At times,
conflict leads to serious problems in an organization. But at the same time, it can create positive results also. An
absence of conflict can lead to apathy and lethargy, as it helps in stimulating new ideas, providing healthy competitions

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and energizing behaviour of an individual in an organization.Therefore, it is very important for an organization to
manage the conflict and formulate various strategies to resolve the conflicts arising between the individuals in an
organization.
Conflict arises due to difference of opinion, emotional disturbance due to anger, distrust, dislikes, fear or resentment.
There are two types of conflicts functional and dysfunctional conflicts. The conflicts which do not support goals of the
group and results in the improvement of group’s performance are called functional conflicts, as they are not affecting
the basic functioning of the organization. The conflicts which decreases and obstructs the group performance are
called dysfunctional or destructive forms of conflicts.
Functional conflict is the one which does not affect the performance of the group. They have positive impact on
the group functioning. It is due to Task Conflict and Process Conflict. It is a type of conflict which a positive impact
on the performance of the group, as it stimulates the discussion of ideas that enables group to perform better.

has negative impact on the group performance. It is due to relationship conflicts between the group members. It
increases ego clashes and decreases mutual relationship.
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Whereas, dysfunctional conflict is the one which affects or decreases and obstructs the working of the group. It

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It is very important for the organization to manage and resolve the conflicts arising between the employees.

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Whenever, a conflict arises which is potentially harmful, it becomes the prime duty of the managers to resolve it as

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soon as possible. Remedial strategies should be adopted by the managers to reduce or resolve the conflicts so that it

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should not affect the working environment of the organization. First of all the sources of the conflict should be

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determined. The destructive conflict is arises due to the internal sources as well as external sources. The internal
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sources are the groups or employees having common goal or scarcity of resources, if it so then alternative steps
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should be taken to alter the membership of one or both groups. If the conflicts are not managed properly then it
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becomes difficult to achieve the goals in time. Depending upon the nature of the conflict the reactions to the conflicts

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can be avoidance, accommodation, competition, collaboration and compromise.

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Collaboration should be properly monitored in order to help the persons to know that their goals are for the benefit
of the organization and in the interest of it only. Therefore, if the conflict will arise between the co-workers then goals

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will be ignored and will become incompatible. Managers might need different ways to help the affected groups or

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individuals by simply avoiding them if the conflicts are not worth calling any immediate attention and is not affecting
the effective-ness and efficiency of the organizational work.
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to enhance the performance they are:
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It can be done by stimulating functional conflicts as avoidance does not help always and there may be a need to
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stimulate the functions by managing the conflicts in time. There are various situations under which conflict is needed

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(i) When the organization is filled with YES men.
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(ii) When employees are afraid to admit ignorance.

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(iii) When the compromise is emphasized in making any decision.

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(iv) When manager stresses more on the peace and harmony between the employees.
(v) When popularity has more importance than technical competence.
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(vi) When individuals are showing more resistance to change.

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(vii) When there is unusual rate of employee turnover.
After the conflict has been identified by the managers then it becomes their prime duty to adapt any of the

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following techniques to resolve them they are:
(i) Manipulate communication channels by deviating messages from traditional chann-els, suppressing information,
transmitting too much information and by transmitting ambiguous or threatening information.
(ii) Organizational restructure by increasing unit size, increasing the specialization, including or excluding or
transfer members and by increasing interdependence between units.
(iii) Alter behaviour patterns by attempting to change the personality characteristics, creating role conflicts and
developing role incongruence.
Q. 5. Write short notes on the following:
(a) Dimensions of Organizational Climate.
Ans. Many theories of dimensions of organisational climate have been laid down. These studies have assisted us
to understand what influence organisational climate.

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 Likert has projected six dimensions of organisational climate, they are-leadership, motivation, communication,
decisions, goals and control.
Litwin and Stringer have anticipated seven dimensions of organisational climate: conformity, responsibility,
standards, rewards, organisational clarity, warmth and support and leadership. They have also emphasized on the
motivational framework of organ-isational climate. Motivational framework of climate includes motives of :
(i) Achievement: It deals with the concern for excellence;
(ii) Expert influence: It is concerned to make an impact on others;
(iii) Control: It deals with the power and orderl-iness;
(iv) Extension: It is concerned with macro issues;
(v) Dependency: It is related to have a close touch with others in a significant way;
(vi) Affiliation: It deals with the building and maintaining close personal relationships.

organisational climate, they are:

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On the basis of various theories and considerations with managers, Pareek has recognised twelve processes of

(i) Orientation: It means to give priority to the members with respect to the concern to stick to reputable rules,

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the concern for excellence and accomplishment.

group formation, or climate of control, or a climate of dependency etc.

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(ii) Interpersonal relationships: It means to depend on the pattern of relationship which can lead to climate of

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(iii) Supervision: It deals with the depending on supervisory style, the climate may be of extension or it may be
of affiliation.
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jointly by the superior and the subordinates.
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(iv) Problems: The problems might be taken as an occasion or irritants; manager may solve problems alone or

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(v) Management of mistakes: Attitudes towards inaccuracy may be of tolerance or of annoyance; such
attitudes contribute to organisational climate.
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(vi) Conflict management: Conflict may be supposed as a chance or as threat; such awareness manipulate
organisational climate.
(vii) Communication: The direction, dispersement, mode and type of communication manipulates climate of an

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organisation.

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(viii) Decision-making: The levels at which decisions are taken, degree of participation in decision-making are

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the issues, which influence organisational climate.

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(ix) Trust: The degree of trust or its absence influence organisational climate.

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(x) Management of rewards: The observation about what is rewarded in the organisation influences the
organisational climate.
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(xi) Risk taking: It is an important determinant of environment.

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(xii) Innovation and change: The styles of organizing change and innovations are critical in establishing climate.

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Organisational climate controls the level of morale and attitudes, which members of the organisation bring to bear

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on their work performance and personal relationships. Therefore, it is important to build a healthy organisational
climate. A healthy organisational climate might be estimated to exhibit such characteristic features as:
(i) Integration of organisational goal and personal goals;

w (ii) Flexible structure with a network of authority, control and communications, and with autonomy for individual
members;
(iii) Various styles of leadership appropriate to particular work situations;
(iv) The mutual trust, consideration and support among different levels of the organisation;
(v) The recognition of individual differences and attributes and of people’s needs and ex-pectations at work;
(vi) Proper attention to job design and the quality of working life;
(vii) The challenging and responsible jobs with high performance standards;
(viii) The equitable systems of rewards based on positive reinforcement;
(ix) The opportunities for personal development, career progression and advancement;
(x) To have justice in treatment, and fair personnel and industrial relations policies and practices;

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 (xi) The open discussion of conflict with emphasis on the settlement of differences without delay or confrontation;
(xii) The democratic functioning of the organisation with full opportunities for genuine consultation and participation;
(xiii) A sense of identity with, and loyalty to the organisation and a feeling of being a needed and important
member of the organisation.
In order to institute a functional organisational climate, various interferences have been recognized which lead to
organisational growth. One of such involvement is building organisational ethos through OCTAPACE profile, being
developed by Pareek. It suggests of establishing: openness, confrontation, trust, authenticity, proaction, autonomy,
collaboration and Experimentation. Once these eight factors are recognized in the organisation, it leads to healthy
organisational climate.
A healthy climate will not necessarily guarantee enhanced organisational efficiency. Nevertheless, an organisation

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is improbable to have most favourable operational performance unless the climate evokes a spirit of co-operation all
through the organisation and is favourable to motivate members to work freely and efficiently.
(b) Organizational Development.

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Ans. Organisational Development (OD) can be described as the systematic process to change the culture, o
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system and behaviour of organization. It is the process that helps in solving organizational problems and achieving
organizational objectives. Organisational development works as an important mechanism that helps in impressing the

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organization and its employee through planned and established system. It concentrates on people dimensions like

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norms, values, attitudes, relationships, organisational culture etc. The strategies of organisational development focus

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on enhancement of organization effectiveness and solving organisational problems. It includes structural and technological

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changes and focusses on working relationships of employees with the organisation. Organisational development is the

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modern approach to management of change for human resources development.
(c) Team Building.
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Ans. Team building and team spirit are the two most prime objectives of managers in an organisation. It is a

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difficult task and requires dynamic leadership. Team is a group of two or more persons working for similar goals. Its

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characteristic comprises of interaction among members, interdependence, mutual accountability, social entity and
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achievement of common goal. It becomes difficult to form team because people with individual differences join
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organisation with different personalities, value system, attitude and needs. The leader should be able to understand the
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needs of the persons, hierarchy, their problems, attitude and value system to run organisation efficiently.

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There are two types of teams–formal and informal teams. Formal teams or groups are the teams that are

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deliberately created by managers to carry out specific tasks for accomplishing organizational goals. Command team
and committee are the two major types of formal groups that have found its relevance in modern organisations.
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Informal teams or groups are created when people come together and interact regularly to attain common goals.

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These types of groups can develop within the framework of formal organizational structure.
(d) Personality Type.
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Ans. Personality behaviour gives a considerate idea about the personality types. There are various types of
personalities being recognized, they are:

w (i) The Myers-Briggs Type Indicator: It is known as MBTI structure. It has given some basic personalities
out of which some of them are extroverted vs. introverted, sensing vs. intuitive, thinking vs. feeling, and perceiving vs.
judging etc.
The nature of a personality type ‘introverted, intuitive, thinking and judging’ possess certain qualities which can be
to possess vision, thinking with original mind, to have original ideas, to have great drive and skeptical, critical, independent,
determined and stub-born.
(ii) The Big Five Personality Types: This type of personality dimension is recognized in terms of the big five
factors. The types included under this category are:
(a) Extraversion: It means to give importance to relationships.
(b) Agreeableness: It is related to the thinking in a different manner.
(c) Conscientiousness: It means the possession of reliability.

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 (d) Emotional stability: It means to have ability to withstand stress.
(e) Openness to experience: It means those who are interested and fascinated by novelty.
(iii) Physiognomy Personality Types: William Sheldon has given three types of personality based on the
human anatomical or physical structure of persons and psychological characteristics. Physical size of the body persuades
the human behaviour and temperaments. The personality types are:
(a) Endomorph: The various characteristics of personality and behaviour related with the body type are friendly,
concern to people, helping others in troubles, very slow reaction to stimuli. They seek comfort; have strong inclination
to delicious food, etc. The persons who have these personality characteristics, are appreciated and accepted easily by the
society or a group.
(b) Mesomorph: Those people who have reasonable physical characteristics are known as Mesomorph. The
body of such persons are strong and tough. The personality characteristics of this type are: seeks physical adventure,
enjoys body building, feels restless, shows high aggression and self-assertiveness, likes to take risk and develops

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competitive spirit. The person is similar to by having good and attractive physique.
(c) Ectomorph: Ectomorph body type is defined and recognized by a thin and flat chest. Usually, the person

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under this type or category is intelligent, feels shy and avoids social contact. This type of persons are usually found to
be anxious, ambitious, and dedicated to his work. They are quick to react and oversensitive to pain and pleasure.

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(iv) Extrovert-Introvert Personality Types: Carl Jung is advocated this theory. This theory is used to

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analyze the psychological approach of a person. According to this theory, personality is developed as a process of
creativity. It consists of four stages: thinking, feeling, sensation and intuition. A person’s personality is a combination
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of these factors. This theory has projected two personality characteristics on two extreme ends. They are extrovert

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and introvert type personality. While extrovert people are more sociable, introvert people are self-confident and they

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are directed by their own personal thoughts. Extroverts are friendly and reality based persons.

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They are performing the functions accordingly. On the other hand, introverts are less risk taking and directive

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oriented. They need strong motivation and specific directions. While extroverts think in terms of objective and interactive
relationships, the own philosophy and ideology guide the thinking of introverts.
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This theory is very practical in the management of organisational behaviour. Job design, motivation, leadership
styles, career development, training, organisational change, organisational development and organisational effectiveness
are based on the personality characteristics. Introvert performs better in monotonous jobs. Extrovert performs better

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in dynamic and environmental centred jobs. Similarly, extrovert needs independent style of leadership and introvert

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needs directive oriented leadership. Thus, the theory is used in developing organisational strategies to deal with

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individual employees for increasing organisational effectiveness.
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(v) Type A and Type B Personality: Type A personality is given by Friedman and Rosenman. It is forcefully
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concerned in a continual, non-stop struggle to achieve more in less time and if necessary to do so, alongside the

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opposing efforts of other things or other persons. They have defined Type B personality as infrequently harassed by
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the desire to obtain a wildly increasing number of things or participate in an endless mounting sequence of proceedings
in an ever declining amount of time.
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