Industrial-Organizational Psychology PDF

Both people and organization act in accordance DIAGNOSTIC RATIONALIZATION with rational economic principles. Organizational Theory 4 Major Structural Principles (Classical Theory) - study of structures and opera...

Both people and organization act in accordance DIAGNOSTIC RATIONALIZATION with rational economic principles. Organizational Theory 4 Major Structural Principles (Classical Theory) - study of structures and operations of social Functional organizations including companies and HORIZONTAL growth bureaucratic institutions. (explain and predict different units with areas of specialization how an organizational structure behaves Scalar depending on the situation ) VERTICAL growth Organization Chain of command (hierarchy and different levels - collectivities of parts that cannot accomplish of org; so the larger the organization, the longer their goals effectively if they operated separately. the chain of command. The higher the position, (made up of different units, workers, functions, the higher the responsibility ) TOP DOWN and managers that work together to achieve the PROCESS goal of the organization) 4 BUSINESS ELEMENTS Product - what the company has to offer (services; to solve a specific problem or to give a solution to the problem of the consumers ) Market - the consumers, and potential clients of the organization (they are the ones who purchase and provide the demand or product) Money - it keeps the business running People - they make the business work (workers) Line/Staff CLASSICAL THEORY Line - primary responsibilities ( they meet the focuses on WORK and structural relationships major goal of the organization. Ex. Clothing (hierarchy) in organizations (focus on work and company - tailor; production, manufacturing) follows ranking within the organization) Staff - support (support the line Ex. HR, FORMAL org structure (strictly adhere to what accounting, security ) are designed to do and hierarchy) Span of Control (the number of subordinates that one believes that an organization should best be supervisor can manage) structured in order to accomplish its goals: Tall - less subordinates (narrow) increase efficiency in production (getting the Flat - more subordinates (wide) most work done with the least amount of effort and resources as much as possible) Classical Theory (4 BASIC TENETS) Organizations exist for economic reasons and to accomplish productive goals. Scientific analysis will identify the one best way to organize for production. Specialization and division of labor maximize production Scientific Management (Frederick Taylor) Taylorism Bureaucracy (Max Weber) -Workers efficiency ideal form of organization The organization is a machine whose focus is to formal hierarchy, division of labor, and a clear set simply run more effectively. of operating procedures increase productivity, maximize efficiency. formal, orderly, and efficient functioning is the work should be broken down to simpler goal (strict in hierarchy and procedure; step by components to be more efficient step ex. government) 4 PRINCIPLES ineffective for organizations operating in rapidly Science is not a rule of thumb (proper changing environments procedures and data; best worker and best way to CHARACTERISTICS: do the job) Specialization of labor Scientific selection of workers (carefully selected Well-defined authority and hierarchy because they are the most qualified and most Formal rules and procedures efficient) Impersonality Management and labor cooperation rather than Employment decisions based on merit conflict (they work harmoniously) Emphasis on written records Division of responsibility; Scientific training of workers (assigning based on skillset and training NEOCLASSICAL THEORY method) aka Human Relations theory WORKER > work Administrative Management (Henri Fayol) emphasizes employee needs and job - Managers' performance efficiency satisfaction Aims to improve organizational productivity by less rigid and more humanistic focusing on methods that managers can use to synchronize internal processes Neoclassical Theory (Criticisms to Classical) Managerial performance > worker efficiency Scalar Principle 14 PRINCIPLES not all systems operate on formal Division of labor - work groups and functional superior-subordinate relationships departments (distinct activity based on skillsets) Division of Labor Authority. - to issue commands (subordinates functional interdependence must follow) depersonalizes work Discipline - clear line of authority Line/Staff Principle Unity of command - accountable to only 1 many staff functions are critical supervisor Span of Control Unity of direction - one plan, one goal determining appropriate span is complex Subordination of individual interest - focus on general interest Theory X & Theory Y (McGregor) Remuneration - compensation THEORY X Centralization - top down Employees dislike working. Line of Authority. - workers below managers Avoid responsibility. (communication) Have to be forced, controlled, and threatened to Order - well defined rules deliver what's needed. Equity.- fairness Need to be supervised at every step, with Stability of Tenure - low turnover controls put in place. Initiative - employees create plans Need to be enticed to produce results, otherwise Espirit de Corps - unity they have no ambition or motivation to work. THEORY Y Employees are happy to work, self-motivated and creative, and enjoy working with greater responsibility Take responsibility and are motivated to fulfill the goals they are given. Do not need much direction Seeks and accepts responsibility Consider work as a natural part of life and solves problems. Contingency Theory Basic Parts of an Organization Modern org theory (choice makers; best way 1. Techno Structure - possess specific technical depending on the situation) expertise. (gives advise; has specialize Situational approach knowledge to assist Middle line, operating core - no one right way to make decisions and support staff. Ex. HR, IT ) responsibility on management 2. Support Staff - aid the basic mission. (they perform different services to support the Systems Theory organization. Ex. security, janitorial services) focuses on the interrelationships and integration 3. Strategic Apex - brain of the organization within an organization (responsible for the overall success of the ○ Individuals organization; making the major decisions ex. ○ Formal org CEO, Chairman, Executive leaders ) ○ Small groups 4. Middle Line - supervisors/managers (mid-level ○ Status and Role bosses; responsible for supervising day-to-day ○ Physical setting activities to ensure the goals are well executed) communication and linkage is necessary 5. Operating Core - basic work duties (production Open Systems - includes environment line, main stream work) Equifinality a system can reach the same end stage in different way. (There is no one way to achieve a particular outcome) Differentiation specialized functions Entropy all forms of organization move toward disorganization or death. (should be avoided) Integration Unified process is necessary Organizational Structure TRADITIONAL aka mechanistic or bureaucratic formal structure  stable and resistant to change employees are grouped with every employee having one clear supervisor NON-TRADITIONAL Pros: aka organic clear line of authority less- formalized clear roles and responsibilities flexible and adaptable clear career path (keeps employees motivated) Cons: Org Structures (3 Components) slow decision making Complexity - degree to which activities in the org disconnect of lower-level employees to top-level are differentiated management ○ Horizontal differentiation (different inconsistent communication between levels function) restricted information due to little downward ○ Vertical differentiation (different ranks) flow ○ Spatial differentiation (different geographical location) Formalization - extent to which jobs within org are specialized (depend on skill set) Centralization - degree to which decision making is concentrated at one point in the organization (Top down approach) Types of Org Structures A. Flat / Horizontal mostly adapted by small and start-up companies: many levels of middle management are eliminated Pros: C. Functional faster and better communication organizes employees based on different areas of more autonomy and responsibility expertise more transparency Pros: faster decision making allows employees to be focused on their role Cons: encourages specialization lack of opportunities for employee progression teams feel self-determined (no promotion) easily scalable to company size risk of power struggles Cons: lower sense of accountability interdepartmental rivalry and competition confusion due to lack of authority skills > product | slow-moving Employees may get bored B. Tall/ Hierarchal most common  F. Network D. Matrix An alliance of several organizations for the overlays 2 structures in order to leverage the purpose of creating a product or serving a client benefits of both less hierarchal, more decentralized Pros: Pros: good use of resources promote healthy competition, innovation, and improved decision making collaboration employees can use skills in different roles high adaptability Cons: Saves costs confusion regarding roles and responsibilities Cons: conflict between managers large-scale tasks may be difficult blurred lines of accountability may struggle with control of employees large overhead costs due to multiple managers may compete in an unhealthy manner secret into about the ore may be leaked E. Divisional groups employees around geographic areas G. Team-based outputs (products or services) or clients. built around self-directed teams that complete has independent operational flow. an entire piece of work Pros: Pros: easier to assign responsibility for action and highly flexible and responsive goals reduced costs good for highly competitive markets. Innovative ideal respond faster to local market needs. Collaboration quick expansion of company Cons: Cons: prone to conflict more overhead costs teamwork takes time to develop tends to duplicate resources/ expertise stress due to role ambiguity divisional goal may not align with org's goal duplication of resources due to lack of resource sharing  Ex. Grandma's rule - “You have to eat your vegetables (less probable) before you can have dessert (more probable).” Maslow's Hierarchy of Needs we are all motivated by biological and instinctive needs and that people behave as they do in MOTIVATION order to satisfy those needs the internal force that drives a worker to action lower level needs should be met first as well as the external factors that encourage that action Intrinsic seek to perform well because they either enjoy performing the actual tasks or enjoy the challenge of successfully completing the task Extrinsic don't particularly enjoy the tasks but are motivated to perform well to receive some type of reward or to avoid negative consequences Alderfer's ERG Theory SELF-ESTEEM focused on the subjective states of need the extent to which a person views himself as satisfaction and desire valuable and worthy. individuals can be motivated by multiple levels of Galatea Effect need at the same time the relationship between self-expectations and Frustration-Regression (if a person's needs performance Ex. “I can do it, I can make it.” remain unsatisfied at one of the higher levels, he Pygmalion Effect / Rosenthal Effect or she will become frustrated and go back to if an employee feels that the manager (others) pursuing lower-level needs.) has confidence in him, his self-esteem will increase. Ex. “You can do it, you can make it.” Golem Effect the relationship between (negative) self-expectations and performance. Ex. “You can’t do it, you can’t make it.” Premack Principle opportunity to perform a more preferred behavior increases the probability of an individual engaging in a less preferred behavior. McClelland’s Acquired Needs Theory Power - need to direct and control Affiliation - desire to be liked and accepted by others Achievement - drive to success and get the job done Effective leader Job Characteristics Theory (Hackman & Oldham) HIGH power - emphasis is on matching individuals to jobs or LOW affiliation changing jobs to better fit individuals Core Job Dimensions HERBERG’S TWO FACTOR THEORY Skill Variety - use of different skills to complete a Job Satisfaction variety of work Influenced by Motivator Factors Task Identity - degree to which a job requires a whole related to WORK Itself or identifiable piece of work Improving the motivator factors increases job Task Significance - degree to which job affects the org satisfaction. Autonomy - freedom, independence ○ Achievement Feedback - can tell how they are doing ○ Recognition ○ Responsibility Vroom's Expectancy Theory ○ the work itself assumes that individuals are rational and make a ○ Advancement rational decision ○ Personal growth Job Dissatisfaction Influenced by Hygiene Factors related to job context Improving the hygiene factors decreases job dissatisfaction ○ Working conditions ○ coworker relation ○ Policies and rules ○ supervisor quality ○ Base wage, salary Human Resource Management MAINTENANCE present-oriented process of managing an org's employees WIDER scope ○ Employee Relations ○ Recruitment ○ Selections ○ Compensation ○ Performance Management Human Resource Development cultivation of an org's employees by aligning employee's personal goals with the org's goals IMPROVEMENT future-oriented LIMITED scope ○ Training and Development ○ Career Planning ○ Organizational Development ○ Talent Management ADDIE 5-Step Training Process Formal - organized by the org Analyze - the training need (org need, task need, ○ Command Group - determined by and person need analysis) hierarchal chart Ex. manager and Design - the overall training Program subordinate Develop - the course (actually assembling/ ○ Task Group - brought together to creating training materials) complete task (Temporary) Implement - training, by actually training Informal - exist due to the fact that humans are targeted employee grp using methods social animals Evaluate - the course's effectiveness ○ Interest Group - band together to achieve a certain objective Training Methods ○ Friendship Group - share common Classroom Method - instructor physically stands ideals, interests, or similarities in front of the students In-basket training - asked to establish priorities Team for and then handle tasks that would typically has a shared goal but focuses more on a cross a manager's desk collective purpose On-the-Job Training - permits an employee to collaborative work learn job tasks by actually performing them. interdependent work, combined end result Apprenticeship - combination of formal learning ○ Production Teams - frontline employees and long term OJT producing tangible outputs Coaching - may involve simple observing ○ Management Teams - corporate supervisor or having supervisor show the ropes, executive teams, coordinate other work step by step units under their direction Mentoring - veteran in the organization takes ○ Service Teams - attend to the needs of special interest in a new employee and helps him the clients not only to adjust to the job but also in the ○ Project Teams - formed to produce organization one-time outputs Role Playing - acting out real-world situations ○ Advisory Teams (Parallel Teams) - ○ interpersonal skills solve problems and recommend Training Games - encourage learner involvement solutions and stimulate interest in the topic REMEMBER: Organizational Development Not all GROUPS are TEAMS. All TEAMS are GROUPS. planned, organization wide effort to increase organizational effectiveness through behavioral science knowledge and technology involves action research changes org in a particular direction GROUP VS TEAM Group Presence of Others two or more people who perceive themselves as Social Facilitation a group and interacts with each other ○ high self-esteem work is coordinated by manager ○ better performance focus on individual goals aligned to group's Social Inhibition goals ○ low self-esteem  ○ lower performance Performing Social Loafing - exerting less effort in group work than learned to efficiently coordinate and resolve individual work conflicts. Free rider effect - group is doing well = exert less Adjourning effort. when the team is about to disband Sucker effect - group is not working hard = reduce effort Conflict Styles Social Compensation - group is not working hard Avoiding - ignore conflict and hope it will resolve = increase effort itself ○ Withdrawal - hoping to fix it with time Team Cohesion - degree of attraction people feel toward ○ Triangling - talking to a third party the team Accommodating - giving in to what the other Teams are more likely to be cohesive when they are... party wants Similar (group homogeneity; best is slightly Forcing - does what it takes to win, with little heterogenous to be productive ) regard for the other person Stable (same members throught the year) Compromising - meeting halfway Isolated (outside pressure) Collaborating - win-win Smaller (ideal: 5 members) More elite (power and image; exclusive) Resolving Conflicts More cohesive the group is, the greater: performance, Dictation - supervisor dictates the decision (use when decision quality, member satisfaction.member interaction, both party are very emotional and think irrationally) employee courtesy. Negotiation - both parties work together to find solution Too much cohesion = Group Think Mediation - neutral third party helps the two sides reach - become cohesive and like-minded that they an agreement make poor decisions despite contrary Arbitration - neutral third party makes the decision information that might reasonably lead them to Binding (neither side can appeal the decision) other options Non-binding (the parties can either accept the decision or take the case to court) Mindguard - member of a cohesive group whose job it is to protect the group from outside information that is Org Development inconsistent with the group's views. planned, organization-wide effort to increase Devil’s Advocate - member who expresses an opinion organizational effectiveness that disagrees with others so that there will be an involves action research interesting discussion about an issue oriented toward long term org improvements (gradual) Tuckman's Stages of Team Development Org Change Forming more specific, short-term adjustments period of testing and orientation made in response to external factors or internal members learn about each other and evaluate needs. the benefits and costs Org Transformation Storming directed toward creating a new vision for an org marked by interpersonal conflict restructuring or redesigning business model try to establish norms. fueled by passion; deliberate and radical shift Norming first real sense of cohesion as roles are Lewin’s Change Model established UNFREEZE  Establish a sense of urgency Develop a clear vision Build an engaged coalition CHANGE Communicate the change Empower individuals & teams Address barriers and resistance REFREEZE Celebrate success Embed the change VUCA - Reason why an organization needs to change or Monitor and evaluate adapt. Characteristics of challenging and rapidly changing environments that different organizations Types of People during Change encounter and cause change. Change Agent Volatility - speed of how change occurs (if fast pace and change for the sake of it rapid organization find it hard to adjust) "If it ain't broke, break it" Uncertainty - lack of predictability (encountering Receptive Changer unknown factors) will not start change, but willing to change Complexity - made up of interrelated factors that need "If it's broke, I'll help fix it" to be considered becoming complex and intricate; find it Change Analyst hard to analyze change only if needed Ambiguity - incomplete or unclear information; "If it ain't broke, leave it. If it broke, fix it" contradictory information Reluctant Changer will initially resist change, but eventually go along with it "Are you sure it's broken" Change Resister hates change: keeps it from occurring "It may be broken, but it's better than the unknown" 5 Stages of Employee Reaction to Change (Carnal) Denial VUCA PRIME - solution refuse to acknowledge change Vision - aspiration and clear (SMART) goal; long-term make reasons why change won't work plan (if too fast pace need to compromise meeting Defense halfway) become defensive and try to justify old ways Understanding - seek to understand the surroundings, Discarding gather data, and conduct research to be aware of the realize that they have to change problems that may arise Adaptation Clarity - involves identifying factors and simplifying learn the new system complexities making it simple so it will be easy to Internalization communicate with others (clear communication become immersed in the new culture channels) Agility - should be quick to respond to the needs of the organization; flexible and willing to collaborate  IO PSYCHOLOGY - LECTURE (the basic and first developed; it is the classic; the foreground of the theory of place about how organizations work) 8 hours 8 hours 8 hours (the classical theory identifies four basic components of SLEEP WORK OTHER ACTIVITIES an organization to have an organization; in order to form and work an organization, it has to have these four) IO's goal: Employee productivity and dignity Filipino workers have among worst work-life balance - report System of differentiated activities (MICHELLE ABAD) ○ (different tasks that they do inside an organization; these tasks are interrelated to each other) How can I relate with IO if I have no work experience yet? People (employee) ○ (activities are done because of the employees or 1. Your parents' people themselves) workplace situation is part of your exosystem. Cooperation towards a goal 2. Remember that your ○ (the people or employees should be able to cooperate school is also an organization or work towards a goal) 3. You may also Authority (creating hierarchies that will give commands experience or apply these to their subordinates) concepts once you are ○ (very important for the classical theory is that there employed should be a sense of authority; we establish authority 4. You can also imagine by creating hierarchies, assigning supervisors or that you are going to put up middle managers (these are the ones na your own business or company magccommunicate sa mga subordinates)) 5. We want to advocate for workplace mental health (example: For example, sa university, the entire university is a system of differentiated activities. May iba't-ibang programs, like engineering or business courses. It’s a system of varied ORGANIZATIONAL THEORIES activities. Concepts that describe how organizations work And it's not just academic. Meron ding support functions. For (how organizations are formed and works) example, yung utilities, yung paglilinis ng buong university, (paano nabubuhay ang isang organization, paano security. hindi nalulugi, paano hindi naba-bankrupt, paano siya hindi bumabagsak, paano siya hindi Plus, the roles in human resources, those who teach, and nadidissolve) those who process salaries for employees. These are all different activities. And siyempre, may mga empleyado for these tasks. Now, the university sets a goal—makikita natin yan sa mission nila. For example, to be a center of excellence in their field. If that’s the goal, everyone should work together toward it. Kasi if people only focus on their own personal goals, it might not lead to the organization’s goals as a whole. CLASSICAL THEORY Then, of course, may mga authorities. Sa university, you have Basic components of organizations according to your university president, vice president, or program head. CLASSICAL THEORY (Muchinsky) They have the authority to assign tasks to people. Classical Theory (Spector) it creates hierarchy and you are setting the hierarchy Division of labor within the organization (for ex. who’s the CEO, supervisor ○ (kung may iba't-ibang activities, these are divided and who should we put under that particular supervisor) among employees—that’s division of labor.) Delegation of authority Span of control ○ (relates to how many employees a supervisor oversees, whether it’s three or five people) Line/Staff (functional and scalar process will structure your organization for resultant and practical) (for ex. meron kang 10 people in your organization, how will you reach them into different departments? how will you give them their own activities? how will you divide labor? how will you delegate tasks? simply, you will assign them to their committee or department. this is the functional process) if you assign leader or supervisors, identifying the authority, that is now the exercise of scalar process. Principles under Classical Theory (these are the processes na kailangan i-apply or i-exercise so 3. Line/Staff that you will be able to structure your organization; if you are (line and staff functions are both important to classical able to structure your organization, you will have an authority, theory for them to identify who works the line functions you will have the division of labor, and the differentiated and staff functions) activities) (in classical theory, line and staff functions are different) 1. Functional (horizontal structure of organization) ★ LINE FUNCTIONS (dividing activities according to functions) - Involved directly with the organization's main (this is the process of identifying what departments you purpose are going to have in your organization (ex. refer to the illustration (1st box, 2nd row) : the first - Example of line positions: combat soldiers box is the department who does the finance, they are the (military), teachers (education), sales people ones who process the money of the organization. (2nd (retail) box, 2nd row): they are the ones who are assigned to quality assurance to assure that the product is good, no (line functions are those who work with the main purpose of defects, etc. your organization; it equates with the Frontliners amid the then, you can add more departments depending on the pandemic) nature of your organization (for example: military organization, they serve the main purpose Basically, the functional process is arranging your to protect. so, the frontliners or line functions are the combat organizations into several units or departments. soldiers) Functional process is a horizontal procedure: it identifies (another example: in educational settings: universities, the main the horizontal structure or the horizontal growth of your purpose is to provide education, to teach. hence, teachers are organization from one department to another, to another the ones who are doing the line functions. however, university is and another. not just composed of teachers, there are utilities, security guards, janitors, librarians, even human resources. so, teachers 2. Scalar (vertical structure of organization; creates hierarchy; are the line functions and the rest are the staff. identifying authorities) identifies the vertical structure of your organization ★ STAFF FUNCTIONS - Supports activities of line functions  - Example of staff positions include those in compensation & benefits, employee training, examples recruitment & selection (first illustration, left side) the supervisor handles two, hence, ang span niya is 2. on another level, dalawa rin ang (staff functions are those who support the activities of the line sinu-supervise ng iba pang nga supervisors. each leader in functions) the structure in the illustration supervises only two people (for example: those in compensation and benefits, those who (first illustration, right side) mas malawak yung span of 📌 process salaries, who provides training for employees, who control since mas maraming sinu-supervise. identifies what training is needed and should be provide to the employees, and those who post job vacancies, testing in classical theory, you are identifying whether gusto applicants) mo ba ng tall structure or flat structure. if you want 📌 according to classical theory, it's important to know who to have a tall structure of an organization, dapat kaunti lang sinusupervise ng iyong mga leaders; works under line functions and staff functions in an advantage: it's easier to supervise only few numbers 📌 organization. of people; for classical theory, line functions is the most important disadvantage: mas maraming levels; if you would group and has the most emphasis. even though some theory asserted that you do not really need to differentiate who works like to give information, it requires to pass to with line and staff functions because they are both needed to different levels para makarating sa task function an organization. But, in a classical theory, it's very in a flat structure, the leader oversees a lot of important for them to identify who are those under the line people; functions and who are those in staff functions. advantage: the leader knows everything that's happening around his people and department or 4. Span-of- Control group. the leader knows directly what is happening below. disadvantage: sometimes it gets difficult because it's difficult to handle a lot of people all at the same time. tall structure: some organizations prefer this as it makes supervising easier. you are only directly supervising two each or just a small number of Levels > Span = Tall people at the same time Levels < Span = Flat In classical theory, the most important element, in general, what makes organizations work is if they are well structured. if nagawa mo lahat ng mentioned principles at na-establish mo ang structure ng iyong organization, for the classical theory, it is the most important. it will run your organization. span of control: inaalam natin gaano karami ang hina-handle or sinusupervised na tao ng isang NEOCLASSICAL THEORY supervisor. The primary contribution of neoclassical theory was to levels: it talks about the hierarchy that we have; how reveal that the principles proposed by classical theory many levels. were not as universally applicable and simple as span: talks about how many people are being originally formulated. (no new concepts provided just criticize supervised by the supervisor classical theory)  Neoclassical is just like a polished classical theory. Effective span of control is not determined by some theorist would not consider neoclassical numbers alone (neoclassicalist claimed that it is not approach as a theory because there are no new easy to determine the number of span of control since concepts in the neoclassical theory there are many things to consider) the primary contribution was to reveal that the principles proposed by the classical theory were not SUPERVISOR-SUBORDINATE RATIO should depend on: as universally applicable to all organizations; it Managerial ability (it refers to the capability of a leader would just emphasize that the structure itself is not to handle, solve problems, to make good decisions anything that comes up to workplace; if an leader have all the key to an organization na just because you higher managerial ability then they can handle a lot of managed to establish the structure of your people (flat) while if they didn't therefore lower span is organization, it would work and will make your recommended for them to handle(tall)) organization successful Intensity of needed supervision (doesn't have neoclassical theory is like a basher of classical anything to do with the person who have the authority theory. hence it focuses on the nature of task; complicated work neoclassical theory is more on just explanations why needs high supervision, needs more demands on the four principles under classical theory are not supervisor therefore span of control must be lesser or tall; enough. if routinary jobs suits a flat span of control it requires less demand to your supervisors) CRITICISMS to four principles of classical theory Leadership skills (how charismatic an individual to other people; there are people are intelligent however Division of labor results to job dissatisfaction cannot magnet other people to follow them) (repeated work may lead to boredom which dissatisfied workers) ○ for the neoclassical theory, they emphasize that SYSTEMS THEORY division of labor would sometimes result in job dissatisfaction. ○ Having assigned functions will hindered to develop further skills ○ Since the job will be routinary and repeatedly will leads to workers boredom especially nowadays individuals are driven to have skill variety ○ Routinary jobs leads to job dissatisfaction Many activities extend beyond the scalar principle (In systems theory the org is compared to a living organism; this (not all of the pag uusap need na dumaan sa chain of theory is grounded by biological history; Whereas an command) organization has different systems and failure of one of these - To accomplish a task it is unnecessary to report systems will affect the whole functioning; Thus, there is no everything to your superior sometimes horizontal hierarchy in this systems communication (with your workmates, katabing table) This theory does not give emphasis on structures rather it is enough; not everything is resolved to communicate it highlights all the parts need to be in HARMONY) higher ups Basic components of organizations according to Distinction between line and staff functions is not Systems Theory that important (unnecessary to separate them) Individuals - According to neoclassicalist line function cannot Formal Organization (policies, the task you have, the job function alone; also line and staff are EQUALLY itself) important; there is also instances their task is overlap Small groups (individuals will form small groups within with each other the org which is made up of different teams; this teams will cooperate with each other)  Status and Role (within those small groups they will (They believe their subordinates have flexibility and form different status and roles; somehow the idea of participative, active and responsible; no rigid patterns AUTHORITY still exists) unlike in theory X: CONS the supervisor let their Physical Setting (very important element that is subordinates to vice their own way on how they will highlighted in this theory; external environment is a part of accomplish a task since they believe kaya na nila yun) the system if the environment is not conducive and such it will affect the work functioning) THE GROWTH PERSPECTIVE (Argyris) Organizations that acknowledged and aided people's growth would be more likely to prosper than those that ignored or actively inhibited this growth. (They observe that among generation employees are resigning A healthy, successful organization is not only "effective" because they are not growing. In today's generation focus more in meeting its business objectives but also STABLE, on growing than stability) GROWING, and ADAPTABLE. (e.g nokia they are effective however unable to grow and adapt to the demands of environment therefore nawala sila sa market; this means being effective is not enough) (The main difference between the Classical and system is that in System theory give emphasis on the external environment, the outside competition, the demands outside is also a part of the systems that an org need to respond in order for the org will work unlike in classical more on structure) (In systems theory the INTEGRATION and COORDINATION of THE CONTINGENCY APPROACH these different parts of the system) argues that ideas that work well in one situation might not work as well in another situation. HUMAN RELATIONS THEORY (there is no perfect way on how to make the org work) THEORY X/Y (McGregor) attitudes and beliefs of supervisors about their subordinates The key difference between systems theory and determine the organization's management approach, which in contingency theory is that: turn affects how subordinates behave Systems theory focuses on the internal dynamics of an organization's structure and behavior, 2 Types of Supervisory Approach (McGregor) Contingency theory focuses on the external factors Hard approach (X) of the organization's behavior and structure. (It is important to understand the external environment because subordinate behavior had to be controlled this will be the basis on how you will respond to it.) use punishments and rewards as mechanisms of control ⬅️ ➡️ CHARACTERISTICS OF EXTERNAL ENVIRONMENTS (This is patterned to SCIENTIFIC MANAGEMENT believes Dynamic and Stable that there are specific ways on how to achieve a certain ⬅️ Complex and Simple ➡️ (Pabago bago ung demands ng tao; there is also namn na stable) task. This steps is strictly followed to be optimal in terms of doing a job; Therefore bantay sarado ang employees (attending to different clients (eg working to a restaurant, your market here to make sure the steps are ginagawa) possibly catering are working class, students, workers etc.; that makes it Soft approach (Y) ⬅️ Diverse and Integrated ➡️ complex to manage. Hence if isa lng kine-cater mo it is easier to handle) subordinates are active and responsible provide expanded responsibilities and challenges to (different branches different approaches will employ to meet the ⬅️ Hostile and Munificent ➡️ subordinates demands of the market their in specific location) (HOSTILE: It means there is scarcity in resources; it hard to get the (saan nagmumula si self-esteem?: nagmumula siya sa materials, equipments kasi nagkakaubusan since there is high ating previous experiences, especially experiences of competition; MUNIFICENT: there is no difficulty in meeting the supplies success.) that we need) ○ (for ex: marami na akong nagawa successfully na tasks in the past, so, it will MOTIVATION THEORY develop into a positive self-esteem) To make the org works we must have motivated ○ (ex: kapag i have caught a lot of failures in the employees past or I have encountered na nahihirapan Intrinsic Motivation = inner drive or the willingness to ako to accomplish the tasks, then possibly na accomplish a task bumaba ang aking self-esteem). Extrinsic Motivation = different external factors that That is, self-esteem, the part of self-esteem, affects increase motivation to do a task your performance. The part of self-esteem that comes (Motivation theory: How the motivations of employee are build; what are the factors affect on the motivations of from your own personal views about yourself, from workers) your own personal experiences. (motivation talks about our intrinsic and extrinsic motivation in terms of doing the tasks that we do) Situational SE/Self-Efficacy ○ intrinsic- inner motivation; motivation that comes within ourselves; your drives to do a Person's feeling about himself in a particular situation task or work (can be changed in levels relative to situations; e.g. if you ○ extrinsic- the different external factors that are given a task in which you are familiar then you are add up to our motivation to do our tasks. confident. While unfamiliar situation lessen the confidence) CONSISTENCY THEORY of KORMAN (the difference of it to chronic self-esteem is that chronic An employee's performance tends to be consistent with self- esteem is already established, it is there, it's his/her self-esteem cemented already based on your experiences. self-efficacy, this is relative to the task that you faced, this is something that changes) According to Korman, the key to an employee’s ○ (example of self-efficacy: kung pinagawa ka ng isang motivation in terms of doing his or her task is his tasks na you are familiar with, something na or her self esteem. magaling ka, mataas na ang iyong situational Consistency theory is named as it is because self-esteem. but, if you're given a different task, according to Korman, performance is consistent something na you feel na that's my weakness or with self-esteem. Kapag mataas ang self-esteem, hindi ka magaling d’yan, hindi ako familiar, then, mataas din ang performance. If mababa ang bababa ang situational self esteem mo.) self-esteem, mababa rin ang performance. (Situational self-esteem is not established. it is something that fluctuates, something that's relative to the situation.) ○ (another example: if binigyan ka ng tasks na you Chronic Self-Esteem don't feel confident with it, you feel na you will not be A person's overall feeling about himself/herself able to function efficiently, you will not be able to (established na; this is build through your past experiences produce at the highest optimal level, bababa ang usually where you are being successful) iyong situational self-esteem. however, if binigyan ka ng task kung saan doon ka magaling, you are facing (the sexually influenced self-esteem; the overall a situation na alam mong kaya mo, then mataas ang outlook in ourselves; are we proud of ourselves? Do we iyong situational self-esteem.) find ourselves competent? Are we confident in terms of (hence, if you want to build the esteem of your employees, our abilities, skills? Do we feel as if we deserve the job then give them tasks na tugma sa kanilang skills, tugma that we have?) sa kanilang interests, and it will build their self-efficacy.) (chronic self-esteem is the overall feeling about ourselves.) Socially-influenced SE  How a person feels about himself/ herself on the ★ Golem Effect ➖ (others have negative thoughts basis of the expectation of others about you this will decreases your performance) (what others think about you will affect your self esteem; ○ (if the supervisor always communicates negative eg you know to yourself you can accomplish a task expectations, the supervisor is not supportive. “In however others does not believe you they don't support such a way na feeling ng empleyado, hindi niya you this will influence your self esteem) kayang gawin, siguro hindi talaga ako magaling na employee, baka hindi ko talaga kaya, baka (It's how the person feels about himself or herself on the mahina talaga ako magaling na employee, baka basis of the expectations of others.) hindi ko talaga kaya, baka mahina talaga ako.” (Ang nag-i-influence sa iyong self-esteem is not your own And of course, this will decrease the motivation 📌 personal view about yourself, not your own personal but also lead to a decreased performance.) experiences, not the past that you are facing, but rather what you feel others feel about you. Or what you think For corman, it's very important for supervisors to increase others think about you.) the self-esteem of their subordinates. If you want to ○ (example: Na-experience mo na ba yung mga motivate employees, you have to target their self-esteem. situation na kung saan feeling mo kaya mo naman? Because, self-esteem is consistent with performance. Kasi based on your past experience, nagawa ko na siya or sa tingin ko naman, I have enough skills to HIERARCHY OF NEEDS by ABRAHAM MASLOW do this task. But you feel as if other people don't believe you can do it. or you're not getting the support from other people. Or you feel that other people do not expect na magagawa mo or do not expect you to become successful on that task. So, ito daw yung nakaka-influence sa ating socially influenced self-esteem.) (the expectation of others might, it might affect, it might lower our socially influenced self-esteem if we feel that there is negative expectation from others. But if there is a positive expectation from others, if we feel that there is a positive expectation from others, it will increase our socially influenced self-esteem.) What motivates employees to do the job or to do their ❤️ work is if it meets their hierarchy of needs. ★ Galatea effect (related to your chronic Physiological needs=Competitive Pay: At the very first self-esteem; self love ; you believe on your own level, it should at least enable the employee to provide capabilities tendencies are it will improve your himself the food and shelter that he or she needs. Of performance) course, money, the income, the salary, nabibigyan ba siya ○ (if we have a positive view about ourselves, it nito, nami-meet ba nito yung kanyang physiological needs. translates into a positive performance and Does it allow the person to get, to have shelter, to feed positive motivation. it's like self-love or self- himself or herself? belief; if naniniwala ka sa iyong sariling Safety=Job Stability: The safety or the job security or the kakayahan, it also tends to increase your job stability. You are assured that for the next few weeks motivation and also tends to increase your and months you still have work or job. However, there are jobs that are not unstable, but again, this is only the ➕ performance.) ★ Pygmalion/ Rosenthal effect (others believe on second level of the hierarchy of needs. Kaya yung iba, even you will increase your performance) though the job will not give them stability, but if it meets, if ○ (This happens if your supervisor communicates a it gives them a very high competitive pay, they are going to positive expectation about you, supports your grab that job or that job opportunity, that task. stormy soul, sinasabi niya lagi na i believe in you. ○ (another example: bakit nag-freelance ang mga tao? This will positively affect your motivation and will Bakit nag-virtual assistant? There's no job stability also positively affect your performance.) kasi it's client-based. Kung wala kang client, wala  kang trabaho. But why would people choose to work environments, even if the pay isn’t highly competitive. in the freelance industry? Kasi in terms of meeting That’s what ERG theory explains. the first level, in the hierarchy of needs, they are able People may skip levels or focus on a particular need if to meet that, yung very highly competitive pay. mas another is blocked, like growth opportunities. So they nauuna yung need na yun kesa sa stability. So might prioritize their relatedness or existence needs. sometimes people would grab the competitive pay Some people are more motivated by competitive pay, while even if the job is not that stable. Kasi job stability others prefer jobs that support growth. That’s why some only comes second. choose to pursue their passions despite a lower salary, Social=Good Working Relationships: Toxic sa workplace, which challenges the idea that physiological needs always toxic mga katrabaho, but that's often not enough reason come first. for someone to resign. Kaya minsan, sasabihin mo, ‘Oh, This is what Aldefer’s ERG theory explains. People can toxic na nga diyan, bakit di ka na lang mag-resign, prioritize growth over existence needs. maghanap ka na ng ibang trabaho?’ But it's not that easy. Why? Because they still value job stability. Let’s say may LEARNED NEEDS THEORY by MCCLELLAND gulay ka na sa trabaho—meaning, you’ve been there for a while, so you can’t just leave even if the environment is somewhat toxic. It's not that simple. And also, it could be nACH nPOW nAFF Need for achievement Need for power Need for affiliation due to the competitive salary. Kasi the working relationship, the social needs, only come in at the higher Desires control Demands Must win at levels. of everyone and blind loyalty any cost Self-Esteem=Recognition and Feedback everything and harmony HIGH Must be on Exaggerates Does not Self-actualization= Good Fulfillment: fulfilling one’s goals top and own position tolerate receive credit 📌 and growth and resources disagreement When you meet all these needs, you get a highly Dependent/Sub Remains motivated employee. However, kung sa first level pa Fears failure ordinate aloof lang, like competitive pay, hindi na natin maibigay, LOW Avoids Minimizes own Maintains syempre, demotivated talaga ang employee. responsibility position and social resources distance That’s how the hierarchy of needs applies in the workplace. (If your task is align to what you need it will improve your motivation that will increase your interest to do your job) ERG THEORY by CLAYTON ALDERFER McClelland also has a model, identifying needs for achievement, power, or affiliation. According to McClelland, each person has a dominant need. Some people are motivated by achievement, others by power—they want to lead, make decisions, and influence. And some prioritize affiliation; they like jobs where they can meet people, build connections, and work collaboratively. ○ Example: So, if you’re a supervisor, the goal is to match what you provide to each employee’s dominant need, whether it’s achievement, power, or affiliation." ○ Example: if you have an employee who has a high This hierarchy of needs theory was condensed into three need for power, you might as well give that employee categories: existence, relatedness, and growth needs. a chance to be the leader or to be,to influence other People tend to value one of these three needs more. But people. it’s similar to Maslow’s hierarchy. Some people, for ○ Another example: may tasks na assigned sa isang example, prioritize their relatedness needs. There are group—then you could assign this person as the people who feel more comfortable in jobs with good social leader. Minsan mahirap siya, especially if the person isn’t really skilled, competitive, or naturally a leader. In  that case, train them. Align their work with their ○ Or, for example, in a classroom for a specific subject, needs. The idea is, if the tasks satisfy their needs, it just so happens that it’s poorly ventilated, or the they’ll be more motivated and interested to do the job. chairs aren’t comfortable—these are hygiene factors 📌 Otherwise, if the tasks don’t meet any of their needs, that can also affect your motivation. the tendency is they become demotivated. They won’t find the job interesting. In the two-factor theory, it assumes that both factors need to be well-maintained. Both of these factors should be TWO-FACTOR THEORY by HERZBERG checked and kept in good condition so that an employee Two-factor theory which identifies two factors would be motivated in the job. that influence employee motivation. HYGIENE FACTORS COMPARATIVE ANALYSIS OF NEED THEORIES Job-related elements that result from but do are MASLOW HERZBERG ALDERFER MCCLELLAND not involved in the performance of the job itself. MOTIVATORS Self Achievement Actualisation Motivators Growth Job elements that do concern actual tasks and Esteem Power duties in the performance of the job Social Affiliation Relatedness Motivating Factors Safety Hygiene Hygiene Factors factors ★ Achievement ★ Company policy Physiological Existence ★ Recognition ★ Supervision ★ Work itself ★ Relationship w/Boss In general, these four theories—Maslow’s hierarchy of ★ Responsibility ★ Work conditions needs, Herzberg’s two-factor theory, Alderfer’s ERG theory, ★ Advancement ★ Salary and McClelland’s learned needs theory—are all interrelated ★ Growth ★ Relationship w/Peers and parallel to each other. The common assumption is that employees will be Motivating factors related to the work itself. Does your motivated if their needs are met. That’s why they’re called job give you a sense of achievement? Recognition? Is the need theories. Employees will feel motivated and happy in work enjoyable? Does it give you responsibility, their work if their needs are met. opportunities for advancement, or growth? These factors These three other theories all stem from Maslow's are tied directly to the tasks you’re doing. hierarchy of needs—they’re parallel. For example, when we Hygiene factors are external to the job. For example, how talk about growth needs from Alderfer, that’s equivalent to is the company policy? How’s your relationship with your meeting a person’s self-actualization and esteem needs. If boss? What about work conditions, salary, and so on? we talk about the need for affiliation, that aligns with a That’s why you sometimes hear people say, ‘Okay naman person’s social needs. So, you can see that McClelland’s yung trabaho, pero…’ That 'pero' usually points to hygiene theory actually targets higher-order needs, which are factors. Like, ‘Okay naman yung trabaho, pero hindi ko equivalent to social, esteem, and self-actualization needs. ka-vibes yung mga workmates’—that’s the relationship These four theories are interrelated, so you might be with peers. Or, ‘Kaya ko naman gawin yung trabaho, pero asked, 'According to Alderfer, what is equivalent to…?' This ang strikto ng company’—that’s about company policy, is sometimes how it’s tested. But essentially, they’re all lack of day-off, or maybe, ‘Yung boss ko masyadong interrelated. So, again, the foundation of needs theory is masungit’—relationship with the boss. that to motivate employees, you have to meet their needs. ○ These are what we call hygiene factors. They’re outside the actual tasks you’re doing. ○ For example, in school, okay naman ang subject, JOB CHARACTERISTICS THEORY by HACKMAN & madaling aralin yung lessons, projects, assignments. OLDHAM Kaya lang, grabe, ang sungit ng prof, ang terror! (They believe it is unnecessary to base motivation to external Motivated ka pa ba o hindi?" environment thus they focus on enhancing the job characteristics itself)  ○ (Task identity also includes having a specific name (Hackman and Oldham theorize that we don't need to for the task or job they do. Employees should have a focus on external factors. Instead, what we need to fix to clear sense of identity in their work.) motivate employees is the job itself—the job TASK SIGNIFICANCE - they feel what they did is characteristics. According to them, people will be more significant for the company’s success it makes them satisfied with their jobs if the tasks are enjoyable to motivated to do the task perform.) ○ When employees feel their work significantly For Hackman and Oldham, it’s not about self-esteem or contributes to organizational success, they’re more needs; it’s about the job itself. Basically, it’s the tasks we motivated to do the task. need to improve to motivate employees to do their jobs. AUTONOMY - you have freedom how to do a task And how do we make the tasks enjoyable? They identified ○ (autonomy or flexibility—having control over how to five key elements that should be present for tasks to be do the job or task. It gives employees the freedom to enjoyable. make choices in their work.) FEEDBACK - you know if your are doing good or what to We will be more satisfied with our jobs if the tasks improve themselves are enjoyable to perform ○ [Feedback is crucial. It lets employees know if they’re SKILL VARIETY - prevent a job from being routinary performing well and what areas they need to improve. since this will lose motivation Making the task enjoyable and engaging is key.) ○ (Skill variety keeps a job from becoming routine or limiting an employee to very repetitive tasks. If you don’t learn anything new in a job, and you’re doing the GOAL-SETTING THEORY by EDWIN LOCKE same thing for 10, 20, or 30 years, it’s obviously Having goals helps to increase performance of employees demotivating. Anything that you do repetitively, at work. But goals must be... routinely, can be demotivating." SMART ○ (When tasks are repetitive, they can become boring, and you might lose motivation.) Specific ○ (According to Hackman and Oldham, it’s essential to Measurable encourage skill variety. For example, upskilling or Attainable exposing employees to more training helps them Relevant learn new things. Even something as simple as job Time-bound rotation can promote skill variety, as it lets them work in different areas instead of focusing on just one.) (Locke emphasized that employees are more motivated if they have clear, SMART goals. Some references now even TASK IDENTITY - are you able to identify what you did use SMARTER, where you need to evaluate and re-evaluate on the job in the final product; if employees can't pinpoint your goals over time.) what they contributed on the task they will be demotivated ○ (Task identity means being able to take pride in the part you contributed. Can you identify what you did? For example, when you see the final product of a EXPECTANCY THEORY by VICTOR VROOM group project, it feels motivating and rewarding to say, ‘That's my part. I did that.’ However, tasks today often Motivation = E x I x V become too fragmented, where you only work on a very small part of the final product, making it hard to say, ‘I did that.’ This fragmentation can decrease employee motivation, as they can't pinpoint their specific contribution. That’s where task identity comes in. Even simply acknowledging employees for their contributions can significantly boost their motivation. These three elements are EQUALLY important If one of the element is lower then other elements will be less probability to have check first by supervisor before affected conflicts pass sa ibang worker EQUITY THEORY by JOHN STACY ADAM Our level of motivation and job satisfaction are related to how fairly we believe we are treated in comparison with others INPUT Personal elements that we put in our job (effort, time, energy) OUTPUT Elements we receive from doing our jobs (pay, benefits, perquisites: perks di kasama sa salary and Delayering - practice of organization who strive flat such; e.g you have discount when you check in a hotel structure on their organization. since it is a sister company where you work) - Decrease layers in management; Dissolve middle management As a worker if I put a lot of input it must equate to the output I - Increase workload and direct reports; wider span receive; Then you compare your input output ratio with others if of control and flatter structure you feel there is a sense of disequity then you become demotivated. 2. Centralization The degree to which formal decision authority is held by a small group of people, typically those at ORGANIZATIONAL STRUCTURE the top of the organizational hierarchy. refers to the arrangement of positions in an organization and the authority and responsibility relationships among them 4 Main Elements of Organizational Structure 1. Span of Control SPAN OF CONTROL Decentralized - Marketing (letting lower levels to strategize WIDE NARROW since they know more about their market) Requires supervisory Centralized - Production (ensuring the quality is SAME for all Direct supervision not decision and coaching products) much needed Novel or complex tasks Routine jobs Highly interdependent 3. Formalization Independent work work The degree to which organizations standardize Add-ons: one's work is Add-ons: if I commit mistakes behavior through rules, procedures, formal connected to another; prone to in my job it will not harm others; chaos/ conflict; it must be  training, and related mechanisms. (Ex. Factory ○ GEOGRAPHICAL (catering to diverse locations—Ex. Company) Coca-Cola) The Mechanistic Model The Organic Model (uses classical theory) (uses systems theory) ○ PRODUCT (different line of products) High specialization Cross-functional teams Rigid departmentalization Cross-hierarchical teams Clear chain of command Free flow of information Narrow spans of control Wide spans of control Centralization Decentralization High formalization Low formalization ○ CLIENT (based on the client's service needs) Add-ons: No visible chain of Add-ons: having different units; commands instead they form formally assigned to a units; teams. One team performs tugma sa specific function. different functions. No rigid Clear chain of command. departmentalization. There is no evident hierarchy. 4. Departmentalization (How to divide organization into units/departmentalization.) TYPES OF DEPARTMENTALIZATION a. Simple (where the CEO is the only one who decides—for start-up companies) b. Functional (based on specific knowledge, degree, function) Further examples of organization that have different types of departmentalization c. Division (used whether there is a diversity; there are 3 types of division)  d. Team-based (similar to organic model; compose of 5 BASIC FUNCTIONS OF MANAGING: teams that can function alone; however they aren't Planning specialized) Establishing goals and standards; developing rules and procedures; developing plans and forecasts (they are future oriented, it sets the vision and mission of the org) Organizing Giving each subordinate a specific task; establishing departments; delegating authority establishing channels coordinating the work to subordinates; of authority and communication; of subordinates (conducting of departmentalization that aligns to set goals) Leading Getting others to get the job done; maintaining morale; motivating subordinates (performed by the supervisor to check if their subordinates able to perform task that is align to e. Matrix [functional + team-based structure—Have the set goals) permanent units/department (functional) and temporary teams (team-based)] Controlling Setting standards such as sales quotas, quality standards, or production levels; checking to see how actual performance compares with these standards; taking corrective action as needed (mga checker if nagagawa ba ng tama?; also maintaining the performance in work) Staffing Determining what type of people should be hired; recruiting prospective employees; selecting employees;