Process Theories PDF
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This document provides an overview of process theories in organizational behavior, covering topics such as operant conditioning, equity theory, goal-setting theory, and expectancy theory. It also touches on corporate culture and its impact on employee involvement. The concepts are explained using examples, and the document explores the application of these theories in real-world scenarios.
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III. PROCESS THEORIES never stop daring III. PROCESS THEORIES Why are behaviors initiated ? How do we choose a target? How do we decide on the effort given to achieve the target? 4 major theories (1)Operant conditioning (2)Equity (3)Goal (4)Expectancy....
III. PROCESS THEORIES never stop daring III. PROCESS THEORIES Why are behaviors initiated ? How do we choose a target? How do we decide on the effort given to achieve the target? 4 major theories (1)Operant conditioning (2)Equity (3)Goal (4)Expectancy. 38 III. PROCESS THEORIES A. Operant Conditioning (Skinner) People will do those things for which they are rewarded and will avoid doing things for which they are punished. This premise is sometimes called the “law of effect.” 39 III. PROCESS THEORIES S= Stimulus (homework to do) A. Operant Conditioning (Skinner) R = Response (action) C = Consequence General Operant Model: S → R → C Ways to Strengthen the S → R Link 1. S → R → C+ (Positive Reinforcement) 2. S → R → C– (Negative Reinforcement) 3. S → R → (no C–) (Avoidance Learning) Ways to Weaken the S → R Link 1. S → R → (no C) (Nonreinforcement) 2. S → R → C– (Punishment) 40 III. PROCESS THEORIES Reinforcement occurs when a consequence makes it more likely the response/behavior will be repeated in the future. Positive reinforcement = add something positive Negative reinforcement = take away something negative or unpleasant (ex. reminding someone all the time to do something) Avoidance learning = behave in a way to avoid an undesired consequence (threat of negative consequences) (wake up before alarm) 41 III. PROCESS THEORIES Punishment occurs when a consequence makes it less likely the response/behavior will be repeated in the future. Punishment (but what should I actually do?) Non-reinforcement 42 In one Harris interactive survey, 58 percent of employees admitted to taking home office supplies from their workplaces. Other research studies put that number closer to 75 percent. So why do people steal office supplies ? 43 III. PROCESS THEORIES B. Adam’s Equity Theory Equity theory states that motivation is affected by the outcomes we receive for our inputs compared to the outcomes and inputs of other people. If an employee feels that their contributions and rewards are balanced compared to others, they are likely to feel satisfied and continue performing well. If they feel they are putting in more effort but receiving less in return than others, they may become demotivated, leading to decreased productivity, reduced quality of work, or even a decision to leave the company. 44 III. PROCESS THEORIES B. Adam’s Equity Theory Example : Income /Effort ratio Fair ? Fair ? 45 III. PROCESS THEORIES B. Adam’s Equity Theory Bob, who perceives that he is working harder but being paid less than Amy, might feel a sense of inequity and unfairness. What might he do? 1) Alter his inputs (ex. he works less, puts in less effort) 2) Alter his outcomes (ex. ask for an increase in pay, steal office supplies) 3) Alter Amy’s inputs (ex. tell Amy to « start working harder ! ») 4) Alter Amy’s outcomes (ex. have the boss reduce her pay..) 5) Distort perceptions of inputs or outcomes (Ex. « Amy has worked here longer than me it’s acceptable she is paid more… ») 6) Choose a different referent other (Ex. « Compared to Jim and Sue, I’m paid well ») 7) Leave 46 WHAT DO YOU THINK? A mid-sized marketing firm "Creative Solutions" has recently lost several key clients, and the industry is facing economic challenges. In face of this top management sets a strategic goal to "increase market share by 20% within the next year." The management team is excited about this ambitious target and The management team hopes communicates the goal to all to motivate its employees with employees in a company-wide this goal. meeting. Progress will be checked quarterly. Do you think it will work? 47 III. PROCESS THEORIES C. Goal Theory (Locke) Goal theory states that people will perform better if they have difficult, specific, accepted performance goals or objectives Locke's research showed that the more difficult and specific a goal is, the harder people tend to work to achieve it. Specific and challenging (but not too challenging) (ex. Try to get 80% right on the quiz) goals led to higher performance than easy, or "do your best," goals. (creates a feeling of accomplishment) 48 III. PROCESS THEORIES C. Goal Theory (Locke) Effective Goal Setting Clarity. Set clear goals that use specific and measurable standards. For example, "reduce job turnover by 15 percent.” Challenge. BUT REALISTIC Commitment. To be effective, your team must understand and agree to the goals – team members are more likely to "buy into" a goal if they have been involved in setting it. Feedback. Feedback gives you the opportunity to clarify people's expectations and adjust the difficulty of their goals. Keep in mind that feedback doesn't have to come from other people. You can check how well you're doing by simply measuring your own progress. Task complexity. Take special care to ensure that work doesn't become too overwhelming when goals or assignments are highly complex. 49 III. PROCESS THEORIES C. Goal Theory (Locke) A mid-sized marketing firm "Creative Solutions" has recently lost several key clients, and the industry is facing economic challenges. In face of this top management sets a strategic goal to "increase market share by 20% within the next year." The management team is excited about this ambitious target and communicates the goal to all employees in a company-wide meeting. Progress will be checked quarterly. 50 SARAH’S PROMOTION Sarah is an experienced project manager at a tech company. A new senior management position has opened up, and Sarah is considering whether to apply for it. She's reflecting on her chances of getting the promotion and whether it's worth the effort. "If I work really hard on my application and prepare thoroughly for the interview, can I perform well enough to be a strong candidate for the promotion?“ She estimates her chances of performing well to be 70% "If I perform well and show that I'm the best candidate, will the company actually promote me?“ Sarah considers the company’s history. She knows that sometimes internal politics can influence decisions. She estimates the likelihood to getting the promotion to be 50% "If I do get the promotion, will the benefits (like higher salary, prestige, and new responsibilities) be worth the extra stress and longer hours?“ She values the potential raise and the career advancement but is concerned about the increased stress. She weighs the positive and negative and decides that the promotion is moderately valuable, rating it a 7 out of 10 51 III. PROCESS THEORIES D. Expectancy Theory (Vroom) Expectancy theory posits that we will exert much effort to perform at high levels so that we can obtain valued outcomes. It is the motivation theory that many organizational behavior researchers find most intriguing, in no small part because it is currently also the most comprehensive theory. 52 III. PROCESS THEORIES D. Expectancy Theory (Vroom) EFFORT or PERFORMANCE REWARD BEHAVIOUR OUTCOME Expectancy Instrumentality Valence Perceived probability that Perceived probability that good Value of expected outcome to effort will lead good performance will lead to the individual performance desired outcomes If I work hard will get If I get the job done How much do I value the the job done ? will I be rewarded ? proposed reward ? MOTIVATION = Expectancy X Instrumentality X Valence 53 IV. THE ROLE OF CORPORATE CULTURE IN EMPLOYEE INVOLVEMENT never stop daring IV. THE ROLE OF CORPORATE CULTURE IN EMPLOYEE INVOLVEMENT A. Defining corporate culture By going to 2 companies in the same sector of activity, which have the same organizational structure and the same size, you will often notice a big difference in the atmosphere, the way in which people interact, etc. Just as each individual has personality traits, a company has a personality called organizational culture. 55 IV. THE ROLE OF CORPORATE CULTURE IN EMPLOYEE INVOLVEMENT A. Defining corporate culture It is the set of professional practices, values, mentalities, behaviors shared by the members of a company and which are oriented towards the achievement of common objectives. 56 IV. THE ROLE OF CORPORATE CULTURE IN EMPLOYEE INVOLVEMENT A. Defining corporate culture The components of culture: BELIEFS MYTHS SIGNS ROUTINES VALUES & & & & STORIES SYMBOLS RITUALS STANDARDS 57 IV. THE ROLE OF CORPORATE CULTURE IN EMPLOYEE INVOLVEMENT B. The components of corporate culture Myths and stories about the organization and its founders: these Stories (legends) associated with the past are often linked to personalities who have marked the organization and serve to reinforce common values (all employees must take ownership of the company's history). Beliefs, values, standards of behavior: each group constructs a collective vision and rules that apply to everyone. If the group is united, it will know how to deal with any situation. 58 IV. THE ROLE OF CORPORATE CULTURE IN EMPLOYEE INVOLVEMENT B. The components of corporate culture Signs and symbols: they allow members of the organization to be distinguished from those outside it: Ex: clothing, language used, communication style used, layout of premises, logo, etc. Routines and rituals: actions that are repeated and which reinforce the values and objectives of the organization. Ex: Annual or quarterly high masses, holidays or other types of celebrations (hiring, promotion, retirement, etc.). It is a way of showing one's belonging to the organization. 59 IV. THE ROLE OF CORPORATE CULTURE IN EMPLOYEE INVOLVEMENT B. The components of corporate culture Some examples of corporate rites: Way to start the day: conviviality within each department, immediate start- up, debriefing at the start of the day, etc. Break management: à la carte break, ritualized collective breaks (each offers coffee and snacks, etc.). Lunch break: jointly without hierarchical distinction, by affinity group, individual… Ways of communicating: first name, familiarity, kiss, handshake, etc. Way to end the week : systematic meeting, friendly drink… 60 IV. THE ROLE OF CORPORATE CULTURE IN EMPLOYEE INVOLVEMENT B. The components of corporate culture We can add one last element in certain companies: taboos (events from the past that must be avoided because they evoke a failure or a difficult situation). Example: the failure of a product, the name of a colleague who moved to the competition and was brilliantly successful… 61 IV. THE ROLE OF CORPORATE CULTURE IN EMPLOYEE INVOLVEMENT B. The components of corporate culture Corporate culture depends on multiple factors: Company history The personality of the creator The job The size The culture of the country of establishment The culture of its members… 62 IV. THE ROLE OF CORPORATE CULTURE IN EMPLOYEE INVOLVEMENT B. The components of corporate culture The best-known model of organizational culture is that of Edgar Schein (1985). “All the fundamental hypotheses that a given group discovered, invented and developed by learning to resolve problems of adaptation to one's environment and internal integration. These assumptions have been sufficiently tested to be considered valid and therefore to be taught to new members as the correct way to perceive, to think in relation to these problems.” 63 IV. THE ROLE OF CORPORATE CULTURE IN EMPLOYEE INVOLVEMENT B. The components of corporate culture The « onion » model visible The visible, tangible elements of an organization's culture. Artifacts are what you can see, hear, and feel when you first ARTIFACTS enter an organization. (structure, processes, dress code, logo, rituals,..) These are the beliefs and values that the organization ESPOUSED VALUES explicitly endorses. They are often expressed in official documents, speeches, or in the company's mission and vision statements. ASSUMPTIONS The core beliefs, perceptions, thoughts, and feelings that are deeply embedded in the organizational culture. These invisible assumptions are usually unconscious and taken for granted. 64 IV. THE ROLE OF CORPORATE CULTURE IN EMPLOYEE INVOLVEMENT B. The components of corporate culture The « onion » model visible By strategically managing artifacts, organizations can create an environment that supports and enhances ARTIFACTS motivational strategies. Ex. Collaborative spaces, compensation systems, … ESPOUSED Employees are more motivated when they see that VALUES the organization genuinely practices what it preaches, rather than just paying lip service to values. Are espoused values aligned with basic assumptions? ASSUMPTIONS Understanding these assumptions helps leaders align invisible their motivational strategies with the underlying cultural values. 65 IV. THE ROLE OF CORPORATE CULTURE IN EMPLOYEE INVOLVEMENT C. The effects of corporate culture Culture can be a source of competitive advantage: Engagement & Motivation COMPANY Reduction of divergence CULTURE Conflict reduction & resolution 66 IV. THE ROLE OF CORPORATE CULTURE IN EMPLOYEE INVOLVEMENT C. The effects of corporate culture 1) At the internal level, the culture allows the involvement and motivation of employees: It makes it possible to unite the members of the company within a community without excluding their diversity. It is a factor in homogenizing behavior and involving employees. 67 IV. THE ROLE OF CORPORATE CULTURE IN EMPLOYEE INVOLVEMENT C. The effects of corporate culture 2) Culture reduces divergences and allows for better cohesion through adherence to common values. The company is a coalition of individuals with divergent interests: shareholders, managers, employees, supplier customers ( Cyert and March). However, when stakeholders agree on the values, it is not obligatory for management to formalize everything. Faced with a problem, the actors react in the same way. 68 IV. THE ROLE OF CORPORATE CULTURE IN EMPLOYEE INVOLVEMENT C. The effects of corporate culture 3) Culture reduces conflicts: Culture establishes the basis of power in the organization. It legitimizes its distribution. It establishes the rules of the game , a “social order » which reduces conflicts. 69 IV. THE ROLE OF CORPORATE CULTURE IN EMPLOYEE INVOLVEMENT C. The effects of corporate culture Be careful, however, when the culture is too strong, it can become an obstacle: rigidity of the company, refusal to change, etc. Nokia’s culture was traditionally Nokia’s cultural focus on its existing focused on hardware innovation technologies and its resistance to and Symbian operating systems, adopting new software platforms which were well-suited for feature contributed to its decline in the phones. The company was slow to smartphone market. The company adapt to the smartphone eventually lost its leading position revolution led by Apple and and sold its mobile phone business to Android. Microsoft in 2014. 70 IV. THE ROLE OF CORPORATE CULTURE IN EMPLOYEE INVOLVEMENT C. The effects of corporate culture The French sociologist Michel Crozier shows that corporate culture can become a powerful factor of resistance. We identify 3 main causes of resistance to change: The fear of the Unknown The fear of losing what you have acquired The belief that the change will not benefit the company 71 IV. THE ROLE OF CORPORATE CULTURE IN EMPLOYEE INVOLVEMENT C. The effects of corporate culture There are techniques to reduce resistance: Information The participation The negociation The constraint 72