Analysing Organisational Behaviour: Culture, Motivation & Business

This report provides a detailed analysis of organisational behaviour, focusing on the influence of culture, politics, and power on individual and team performance within ASDA Stores Limited. It evaluates content and process theories of motivation, such as Maslow's Hierarchy of Needs, Herzberg's two-factor theory, Alderfer’s ERG Theory, Expectancy Theory and Equity Theory, and explores how motivational techniques enable the effective achievement of organisational goals. The report also discusses the characteristics of effective versus ineffective teams and applies organisational behaviour concepts and philosophies to a given business situation, highlighting the importance of understanding and leveraging these elements to improve the working environment and achieve organisational objectives.

ORGANISATIONAL BEHAVIOUR
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Table of Contents
Introduction................................................................................................................................3
P1. Analyse how an organisation’s culture, politics and power influence individual and team
behaviour and performance........................................................................................................4
P2. Evaluate how content and process theories of motivation and motivational techniques
enable effective achievement of goals in an organisational context..........................................7
P3. Explain what makes an effective team as opposed to an ineffective team........................11
P4. Apply concepts and philosophies of organisational behaviour within an organisational
context and a given business situation.....................................................................................12
Conclusion................................................................................................................................14
Reference List..........................................................................................................................15
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Introduction
Organisational Behaviour is the study of organisations with the collection of people working
together in an organization. There is an interface between the organisations and the human
behaviour. It is the basic study, which investigates the impact of structure, group or
individual on behaviour in an organisation, so that organisation can use and apply that
knowledge to improve the working environment (Kitchin, 2017). The culture, politics, power
of the organisation can combine organisational behaviour in ASDA Stores Limited, which
will be considered in this report. The motivation of the employee for doing work efficiently
will be also explained here. In the business situation, the philosophy and concepts will also be
explained. To achieve organisational goal, different models of team development will be
discussed. There will be also a discussion of importance of effective team development in
compare with ineffective team development.
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LO1:
P1. Analyse how an organisation’s culture, politics and power influence individual and
team behaviour and performance.
There will be a discussion of the culture, politics and power of organisation, which influence
the individual and their team behaviour and performance.
Influence on Culture:
An organisational culture is the basic process of shared belief, value and assumptions, which
help in the organisation in governing the way employees, think and act on their opportunities
and problems. It helps all the employees to carry the value and norms. The culture in an
organization gives structure to the activities. Therefore, with the help of beliefs in different
activities, the culture has to be set as benchmark for higher growth and productivity (Taylor,
2018).
Factors that influence the organisational culture and their importance:
Belief, value and norms can together make organisational culture. With the help of
Organisational culture, the behaviour of the employees can be observed and it is the belief,
which can help them to achieve the target that an organisation wants. Value helps in creating
the mindset of the employees and the norms help the all the employees to do all works in an
ethical way. Organisational culture consists of power, task, role and person, which are
discussed below:
 Power Culture: When employees in an organisation get jobs based on their
experience, training and expertise in the desired field, then it creates a power culture.
In an organisation, this culture helps in doing work efficiently from the workforce
because the company recruits the employees who have basic skills, knowledge and
ability. This type of culture generally takes place in small companies (Dunphy, 2016).
 Role Culture: In this culture, there is a different role for different employees in an
organisation. This role culture is mostly useful in large firms because there is so much
responsibility in the large firms so different roles has been divided among different
employees.
 Task Culture: When there is a sense of doing work by a self-motivated employee in
a team, then it creates task culture. In this kind of culture the tasks have been given to
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different employees who can gives organisational basic needs. It can also help in
increasing the performance of the workforce.
 Person Culture: In this culture, the skill development of the employees has been
considered. Organisations provide different training facilities to the employees in
order to develop and improve their skills, which can give good performance in near
future.
It is seen that, in ASDA the person culture is applicable because the company need skilled
employees. In ASDA, the management gives priority to the individual’s skills and the
development that will help in creating experienced workforce, which leads to increase the
performance and growth of the company.
Hofstede’s Cultural Dimension:
According to the Hofstede’s research, there are four independent dimensions, which basically
influence the differences in culture are as follows:
 Power Distance: The power distance culture of an organisation describes the
subordinate and superior relation of the people in the workplace. It is generally an
upward influence, which affects the society. In this culture, people accept the
imbalance to use power, which is also accepted by the higher officials.
 Uncertainty Avoidance: In this factor, there is a welcoming of uncertainty in
tolerating the unstructured circumstances. In that, way the basic uncertainty can be
stay away. For example. ASDA is selling different products, which they keep in mind
that anything can happen with that product (Coccia, 2014).
 Collectivism/Individualism: This factor suggests that an Individual is getting more
priority in compare with Collectivism. Individual who have basic knowledge, with
better training can run the business on its own in compare with the collective task
where different individuals have different mind. As per this culture, it is very difficult
to produce and sell the product at ASDA according to the preference of taste.
 Masculinity/Femininity: In this factor, the masculine culture is getting more priority
than feminine culture because this creates a good and strong culture towards the
interests of male and their taste. This culture helps the company to produce and sells
only those brands, which males generally likes.
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ASDA uses all these culture based on the different cultural dimensions, so that they can make
the business very effective in every place. All this culture is always required to expand the
business.
Influence of Politics:
Organisational politics is a strategy used by the company so that employee can get some
powers, which further influence them in the company. When employees show positive
behaviour in the organisational politics, the company will get good performance form the
workforce (Taylor, 2018).
Analysis of the factors:
Four important factors influence the politics of the organisation. The factors are discussed
below:
 Personal Factors: It refers to the behaviour of an individual in an organisation. This
factor helps in making positive and good organisational politics.
 Decisional Factors: This factor generally creates the basic impacts on the politics. All
decisions are made by the employees are in relation with the organisational politics.
This makes politics influenced or changed.
 Structural Factors: All the small, medium and large organisational structure
influences the politics of the organisation. In this way, a politics has been created to
give more power to the employees.
 Organisational Factors: Factors like culture, environment, norms and value
generally influence the organisational factors. In this factor the decisions has been
taken to develop the career of the individuals.
In ASDA, the organisational politics helps in developing the skills and career of the
individuals. Through the organisational politics, the employees can get to know about their
basic rights in the company.
Influence of Power: Various factors make the influence in creating the power in ASDA. The
managers and leaders have full decision-making power in ASDA that will help the workforce
to do the work more efficiently.
Analysis of the powers: The power can be varied in the different levels, which are discussed
below:
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 Strategic Level: The top management authority has the highest power in the strategic
level. Therefore, the employees at ASDA are largely influenced by this.
 Tactical Level: This level can be used as a means of communication, where the
managers create a relationship with the other level employees and strategic level
authority (Miner, 2015).
 Operational Level: In this level the manager have less power than the strategic level.
Here there is only power to implement the strategic plan.
Interpersonal Power Bases suggested by French and Raven are:
 Reward Power: This power helps to motivate the employee in the tactical level. At
ASDA, Higher Authority and the Managers generally motivate their employees so
that the employees can achieve their target.
 Legitimate Power: This power helps in maintaining the effectiveness in the
workforce. All the employees are monitored in the organization by the law for better
safety.
 Coercive Power: It is the basic operational level power, which helps the employees
to perform better.
 Referent Power: This power generally helps the employees in getting promotion.
The referent higher authority helps the employees of ASDA in getting promotion.
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LO2:
P2. Evaluate how content and process theories of motivation and motivational
techniques enable effective achievement of goals in an organisational context.
Motivation is the decision based on strategy that helps the employees so that they can achieve
their goal in the organisation. Through Motivation, an organisation can expect in getting the
desired result and performance from the employees. In an organisation, leaders or managers
motivate their employees and helps to move them further in achieving their goals (Nuttin,
2014).
The following evaluation of content theories of motivation, which helps for effective
achievement of goals in ASDA are as follows:
Maslow’s Hierarchy of Needs:
Maslow’s Hierarchy of Needs is one of the motivational theories, which is based on the
human needs. Maslow provides five stages in human needs. In order to get employees
motivated, it is important to fulfil all the needs. The first stage is based on psychological
needs in which emphasis has been given to the basic needs. The second stage is based on
Safety needs where emphasis has been given to employee’s security and safety. The third
stage is belonging needs, in which relationship of employees with other has been given the
importance. The fourth stage is human esteem needs in which feelings of human has been
given the importance. Finally, the last stage is self-actualization needs in which the
achievements of the employees are to be considered (Tanner, 2017).
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Psycological Needs
Safety Needs
Belonging Needs
Esteem Needs
Self-
actu
aliza
tion
need
s

Figure 1: Maslow’s Hierarchy of Needs
(Source: Tanner, 2017)
Herzberg’s two-factor theory:
The two factors that can affect the employee’s behaviour are Motivational Factor and
Hygiene Factor. The Hygiene factors involves the company policies, quality of supervision,
relation with others, personal life, rate of pay to employees, their job security, working
condition and so on. The motivational factors involve the career advancement, Achievement,
personal growth, Job Interest, responsibility, recognition and so on. By providing
Motivational Factors, ASDA can motivate its employees very well. These entire factors can
help the workforce to develop their background and career (Bassett-Jones and Lloyd, 2015).
Figure 2: Herzberg’s two-factor theory
(Source: Bassett-Jones and Lloyd, 2015)
Alderfer’s ERG Theory:
Alderfer’s has given the motivational theory in decreasing the layers of the theory of Maslow.
Through this theory, the organisation has to follow certain steps to motivate employees. Its
existence stage is based on psychological and safety needs, the relatedness stage is based on
esteem & belongings needs, and its growth stage is based on self-actualization needs
(Anderson, 2014).
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Figure 3: Alderfer’s ERG Theory
(Source: Anderson, 2014)
The following evaluation of process theory of motivation, are as follows:
Expectancy Theory: Victor Vroom
Victor Vroom develops the theory, which is based on employee behaviour and workplace,
affects the motivation. The behaviour of the employees changes with the situation. The skills,
ability and knowledge of the employees are being directed so that organizational goals can be
achieved. The expectancy theory works on:
 Valence: It relates with the result of the people who are orientated by nature. In
ASDA the employees are been provided both extrinsic and intrinsic motivation.
 Expectancy: The main expectation of the employees is self-interest through which
the employees can develop and make their career in the respected field. It is important
for ASDA to motivate the employees to meet their expectancy.
 Instrumentality: If the performances of the employees are extra-ordinary, they
expect some recognition, incentives from the company, which should be provided, so
that it will help them to increase the motivation (Deci and Ryan, 2014).
Equity Theory: John Stacey Adams
From this theory, it has been seen that employees generally compare themselves with others
in terms of their salary, rewards, performance and so on. Comparison can generally create
frustration among the employees. However, if some other employee gets reward, then it will
de-motivate the other employees, and that is the main reason organisation cannot achieve its
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set goals and target (Crossler et al., 2014). Therefore, it is important for ASDA to maintain
the equality among all in giving the reward to the employees.
Some other Motivational Techniques to achieve goals:
There are two types of motivational techniques, financial motivation and nonfinancial
motivation, are discussed below:
Financial Motivation:
 Piece rate: In this technique, the organisation pays their employee according to piece
rate system, which means employee gets their payment based on their products that
are produced.
 Profit Related Pay: By this technique, the company gives its employee a portion of
their profit. In this way, employees can get motivated.
 Wages: It is important for the organisation to increase the wages, which can motivate
its employees effectively.
 Fringe Benefit: Fringe benefits are basically the extra advantage given to employees
beyond their salary. This can give some extra benefits to the employees.
Nonfinancial Motivation:
 Job Enrichment: From this motivational technique, the employees can get some
extra benefits, which include more recognition from the company.
 Job enlargement: From this technique, the organisation gives some extra work to the
employees and pays them on that basis.
 Training: With the help of training, the sills of employees will get better; they can
become more efficient in the work. Training provides good motivation to the
employees.
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LO3:
P3. Explain what makes an effective team as opposed to an ineffective team.
Several aspects make a team effective, compared to an ineffective team. For instance,
according to Tuckman’s team development model, development of an effective team is done
through four key stages, i.e. foming, storming, norming and performing. According to Bruce
Tuckman, these phases of team development are inevitable for developing the effectiveness
of a team to grow, face issues, tackle problems, find solutions, plan work and deliver results.
In this context, ‘forming’ is the initial stage of team building, when team members learn
about a range of opportunities and challenges and starts to begin with tackling tasks.
However, at this stage, the team is ineffective, as the members have not developed effective
interpersonal relationships and shared purpose towards team goal accomplishment. In the
following stage, the team development follows and conflicts between members arise, related
to power and status (Fiore and Georganta, 2017). Thus, it is the responsibility of the leader to
successfully overcome this stage through mutual understanding and development of shared
vision of the team members. In the next stage, a spirit of co-operation emerges with
resolution of disagreements and personality clashes within team member. From this stage, a
team can be considered as effective. The effectiveness of the team enhances, when the team
reaches to ‘performing level’, at this stage team members become effective in performance,
group norms and roles are established and members become able to achieve the common
goals, where they often reach an unexpectedly high level of success.
In this context, motivation and positive team dynamics are crucial for developing
effectiveness of a team. The leadership style plays a crucial role in determining the teams’
effectiveness. For instance, the team leader, who follows the democratic leadership style, is
able to motivate team members towards effective performance and improved overall team
production (Fiore and Georganta, 2017). On the other hand, team leaders, who follow
autocratic leadership style, fail to motivate employees and often lag in terms of performing
their roles accurately.
In addition, according to Belbin’s team roles theory, it has been revealed that in an effective
team, each team members have clear responsibilities, compared to the ineffective teams,
where team members face difficulties in identifying their own roles and responsibilities
towards the team. In this context, every team roles need to be achieved so that it can be
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