Organisational Behaviour Report: A W Holding Company Analysis

This report provides a comprehensive analysis of organisational behaviour, focusing on the influence of culture, politics, and power on individual and team performance within A W Holding Company Limited. It delves into various motivational theories, including both content and process theories such as Vroom's Expectancy Theory and Locke & Latham's goal-setting theory, evaluating their effectiveness in achieving organisational goals. The report further examines the elements of an effective team and the application of team development theories to foster cooperation. Finally, it applies organisational behaviour concepts to a given business situation, justifying and evaluating how different concepts and philosophies influence behaviour in the workplace. The report concludes with recommendations for A W Holding Company Limited to enhance its organisational dynamics and improve employee performance.

Organisational Behaviour
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Table of Contents
Introduction....................................................................................................................................3
LO1..................................................................................................................................................4
P1 Analyse how an organisation’s culture, politics and power influence individual and team
behaviour and performance..........................................................................................................4
M1 Critically analyse how the culture, politics and power of an organisation can influence
individual and team behaviour and performance.........................................................................6
LO2..................................................................................................................................................7
P2 Evaluate how content and process theories of motivation and motivational techniques
enable effective achievement of goals in an organizational context............................................7
M2 Critically evaluate how to influence the behavior of others through the effective
application of behavioral motivational theories, concepts and models.....................................12
D1 Critically evaluate the relationship between culture, politics, power and motivation that
enables teams and organization to succeed, providing justified recommendations...................13
LO3................................................................................................................................................14
P3 Explain what makes an effective team as opposed to an ineffective team...........................14
M3 Analyze relevant team and group development theories to support the development of
dynamic co-operation.................................................................................................................17
LO4................................................................................................................................................18
P4 Apply concepts and philosophies of OB within organizational context and a given business
situation......................................................................................................................................18
M4 Justify and evaluate a range of concepts and philosophies in how they inform and
influence behavior in both positive and negative ways.............................................................20
D2 Critically analyze and evaluate the relevance of team development theories in the context
of organizational behavior concepts and philosophies that influence behavior in the
workplace...................................................................................................................................21
Conclusion....................................................................................................................................22
References.....................................................................................................................................23
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Introduction
Organisation behaviour simply refers to the study of creating healthy and good relationship with
employees and other members of company. Hereby, employers should communicate and interact
with their employees in a good and polite manner so that they remain happy and satisfied with
the management and also with the company. In this report, the importance of implementing
processes of organization behaviour is going to highlight. A W Holding Company Limited is
being considered here in this project report. It is small and medium sized firm that deal with
Mechanical or industrial engineering industry which is situated in United Kingdom and turnover
approximately £20M to £30M per year. The importance of organization behaviour in their
business activities is going to discuss in this project report. In addition to this the implications of
politics, power and culture on the performance and behaviour of team will be described
appropriately in this project. Apart from this, various inspirational or motivational theories will
also be discussed in this report. These theories assist to the management in motivating the
employees of company and thus helps in enhancing or improving their overall performance.
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LO1
P1 Analyse how an organisation’s culture, politics and power influence individual and
team behaviour and performance.
Organisational Culture can be simply meaning as a value, expectation, philosophy as well as an
experience that impact on the performance of group members of an organisation. If the
organisation culture is positive in an organisation this will be present that the employees or
workers will be happy and satisfied with the organizational environment. Thus, it can be said
that there is a great impact of culture upon the team and also its performance (Miner, 2015).
According to Hendy’s culture there are commonly four kinds of culture that are discussed
below:
Task Culture: In task culture, an individual attains a task on the basis of their talent and
qualification. This is good for the future of corporation as people or workers here work for the
welfare of their organisation by giving their best efforts. A W Holding Company Limited can
use this type of culture at their workplace for gaining profit in future (Luthans, et. al., 2015).
Power Culture: In this type of culture, the power of taking decisions is given to few people
only so that instant and immediate decisions can be taken by decision makers. Employees can be
controlled by some persons who have power in order to generate a disciplined environment at
workplace. This kind of culture impacts negatively on the workforces’ performances. Employees
get demotivated as they understand that power are not provided to them and discrimination is
being done with them. Thus, A W Holding Company Limited should not implement this culture
at their workplace (Alvesson and Sveningsson, 2015).
Person Culture: In this kind of culture, employees understand themselves as the superior of the
venture and work according to them. In fact, they do not give priority to their organization and
only visit workstation to the intention of earning benefits and money. This culture completely
impacts the policies and procedures of an organisation in negative manner. Thus, A W Holding
Company Limited ought to not use implement this person culture of their workstations (Hogan
and Coote, 2014).
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Role Culture: In role culture, various roles and responsibilities are given to different person as
per their knowledge, past performances and their skills also. But this should be noted that such
goals and roles can be achieved or completed by workers or employees within assigned time
frame or before deadline (Hogan and Coote, 2014).
On the other hand, politics within organisation also impacts on the performance of each workers
or employees and also to team members. People who are working in an organisation always play
a dirty game with their subordinates and other associates with their own benefit and profit. They
show themselves as good or innocent one in front of managers and superiors for getting their
attention. At the same time, the lower level employees or workers get demoralized by similar
phenomenon as they are working by giving more efforts. As a bad result, after getting
demoralized, they will not provide their best in achieving targets and goals of an organization.
Hence, managers of A W Holding Company Limited should determine that such dirty politics
will not going on their working place (Alvesson and Sveningsson, 2015).
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M1 Critically analyse how the culture, politics and power of an organisation can influence
individual and team behaviour and performance.
According to the views of Miner, J.B, power, politics and culture are three factors that impacts
mostly on the workers performance or overall team. If the power of taking various decisions are
in inappropriate hands, then employees and team members would be affected belligerently. The
power holder person can do discrimination on the basis of color, sex, caste, religion and also
race. It is the duty of the management of an organization to authorized the power to the genuine
and also in correct hands. On the other hands, organizational culture also affects on the
profitability of an organisation in various manner which are shown in above stated content.
Different culture has positive and negative impact on the organization and also its working
process. This will also motivate or demotivate the employees or workers and also higher or
lower inspiration levels.
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LO2
P2 Evaluate how content and process theories of motivation and motivational techniques
enable effective achievement of goals in an organizational context.
A W Holding Company Limited should use different motivational theories in order to inspire
and motivate their workers or employees. The organisation can use different monetary or non-
monetary factors to motivate their workforces. They can also use content and process theories in
motivating their workers. These theories are described below:
Process Theory
This theory is commonly use and explain the behaviour of employees or workers that focused,
emerges, stopped and continued after specific period of time. Some of important process
theories which are discussed as below:
1. Vroom’s Expectancy Theory: This theory assumes that particular behaviour occurs from the
sensible choices and the intention is to improve the benefits and reduces the workers or
employees’ pain and also enhances the performance. According to Vroom, the workforce’s
performance basically depends upon the factors like knowledge, abilities, skills and experience.
According to the author, inspiration, performance, determination is affiliated with motivation of
an employees (Alvesson and Sveningsson, 2015). There are three variables laid out within this
theory-
 Expectancy
 Instrumentality
 Valence
Expectancy: Expectancy refers to increased attempts that may lead to enhance performances.
This might be impacted by skills and available resources. It emphasizes on rewards or pay- offs
and also focuses on psychological extravagance where final objective of individual is to attain
maximum pleasure and least pain (Robbins and Judge, 2014).
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Valence: Valence refers to the emotional orientations’ workers hold with respect to outcomes or
rewards. The depth of the want of an employee or worker for extrinsic or intrinsic. The
organisation must determine what employees or workers worth or value (Robbins and Judge,
2014).
Instrumentality: Instrumentality can be defined as the belief that if any worker or employees
will perform in better manner and after that a good outcome would be achieved. Management
must ensure that promises of rewards are fulfilled and that employees are aware of that.
Vroom recommends that an employee’s beliefs about Expectancy, Valence and Instrumentality
interact expressively to make a motivational force such that the employee acts in ways that bring
pleasure and avoid pain.
2. A theory of goal setting by Locke & Latham, according to this theory, employees or
workers who have more difficult but achievable goals perform better than those who have less
difficult goals. Goal can be either accuracy or directional goals in nature. In other words, goal
setting is powerful method that can be used in an organization to inspire and challenge workers,
towards attaining the organization’s strategic targets (Podsakoff, et. al., 2018).
The five principles of goal setting are:
 Clarity
 Challenging goals
 Commitment
 Feedback
 Task complexity
Clarity: A goal should be clear and understandable to an employee. It should be very explicit
regarding what outcome is desired and how will be measured. A clear goal helps the
management of an organization to measure the performance of an employees (Cao, et. al., 2015).
 Unclear: Reduce time required to manufacture product.
 Clear: Adopt new technology to reduce time essential to produce product from 10
minutes to 8 minutes by end of accounting year.
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Challenging goals: Setting challenging goals requires a careful balance to make sure the right
degree of challenge. Goals that are either too easy or too hard negatively affect decrease
performance and motivation.
 Easily achievable: Convert more prospects to customers in Q3 FY 2018-19 as compared
to Q2 FY 2017-18.
 Challenging: Convert 80% more prospects to customers in Q3 FY 2018-19 as compared
to Q2 FY 2017-18.
Commitment: Whether the manager of an organization set the goals for employees, teammates
or whoever else, in order to accomplish the goals, firstly these goals should be fully
understandable and agree by them.
 Incorrect: Project manager dictates goals to all employees or team members without
considering their capabilities and bandwidth.
 Correct: Project manager and his team member decide the expected outcome in a
meeting depending on the subordinate’s capability.
Feedback: In addition to selecting the right goal, the manager should also listen to feedback in
order to determine how well the you’re doing. Feedback doesn’t necessarily have to come from
other people but it can come from self-judgement as well (Robbins and Judge, 2014).
 Incorrect: Set a deadline and forget about the task till this deadline approaches.
 Correct: Check weekly to monitor progress of the design department and give feedback
about whether they are on track or need to expedite the process.
Task complexity: The manager should more careful in adding too much complexity in the
assigned goals as complexity can impact morale, motivation and productivity of an employees
or team members. Task or goals should be easy and not more complex because it effects the
performance level of an employees and also affects to the productivity and profitability of an
organization (Cao, et. al., 2015).
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Content Theory
Content theory explains that what are the needs and wants of an employee if they start working
within an organization. This is also famous as need theory as it highlights the basic needs of
employees and how they can be inspired or motivated (Alvesson and Sveningsson, 2015). Some
of important content theories which are discussed as below:
1. Maslow’s hierarchy of needs is a motivational theory in psychology comprising a five-tier
model of human needs, often depicted as hierarchical levels that is explained below:
Psychological needs: This need shows the fundamental need of a human that is food, clothes
and home. If an organization will provide these basic needs to their employees then they will
remain inspired or motivated and their performance level is also improved (Podsakoff, et. al.,
2018).
Safety needs: This need concerns with safety of salary, health and job of the workers. If an
organization will not provide these needs to their workers, then they all will remain demotivated.
These factors affect the working process of an employees (Robbins and Judge, 2014).
Social needs: This need shows that each worker require social relationship like family, love,
members, friends and so on. If an organization would offer social needs to their employees, then
they will remain motivated efficiently and effectively (Scandura, 2017).
Esteem: This need shows that everyone in an organization wishes to be appreciated and
respected by their superiors. This creates a feeling of inspiration within employees and as a
result they will work for the attainment of their targets and aims (Cao, et. al., 2015).
Self- actualization: If all the above discussed needs will be fulfilled of a worker, then they get
motivated efficiently and effectively.
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2. Herzberg’s two factor theory: This philosophy or theory was invented by FREDRICK
HERXBERG. This theory has cleared the concept of those factors that leads to dissatisfaction
and satisfaction within the employees (Herzberg, 2017). There are five factors that is related
with job satisfaction, these factors are:
 Responsibility
 Advancement
 Achievement
 Work itself
 Recognition
On the other hand, there are several factors that is related to dissatisfaction of job among the
employees that are listed below:
 Working conditions
 Company administration and principles or laws
 Monitoring
 Wages or Salaries structure
 Interpersonal relationship
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M2 Critically evaluate how to influence the behavior of others through the effective
application of behavioral motivational theories, concepts and models.
According to the view point of Luthans, A W Holding Company Limited can use used Maslow
Hierarchy Needs Theory to motivate or inspire their workers or teams which enhance the
performance level of an employees at all. For example, employers of an organization can satisfy
the psychological, safety, social, esteem and self-actualization needs of their employees in order
to motivate them in efficiently and effectively manner. At the similar time they management of
A W Holding Company Limited can also use Herzberg’s two factor theory for motivating their
workers at workstations. These are achievement, recognition, responsibility, advancement, etc.
If they will offer all these factors to their workers and also to the team members then they will
accomplish their assigned goals and objectives in an appropriate manner.
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