Report: Organizational Behavior Analysis of David & Co. Limited

This report examines the organizational behavior of David & Co. Limited, a food and beverage company in the UK. It delves into the influence of organizational culture, politics, and power dynamics, highlighting their impact on employee behavior and performance. The report explores content and process theories of motivation, including Vroom's Expectancy Theory and Maslow's Hierarchy of Needs, providing practical motivational techniques for the company. It differentiates between effective and ineffective teams and analyzes the concepts and philosophies of organizational behavior, offering insights into how David & Co. can improve its operational efficiency and employee satisfaction. The report provides a comprehensive overview of key aspects of organizational behavior and their application within a real-world business context.

Organizational
Behavior

Contents
INTRODUCTION...................................................................................................................................3
P1. Organisation’s culture, politics and power influence ..................................................................3
P2. Content and Process theory of Motivation:...................................................................................4
P3. Explain effective team as opposed to an ineffective team:............................................................7
P4. Concept and Philosophies of Organizational Behavior.................................................................8
CONCLUSION........................................................................................................................................9
REFERENCES.......................................................................................................................................10

INTRODUCTION
Organizational behavior is the study of the way people interact within the groups. It is applied
in an attempt to create more efficient business organization. It helps in maximization of the
output from individual group members. This report discuss about David & Co Limited who is
dealing in food and beverages business in United Kingdom. Aim of this report to analyze the
organisational behavior and culture of David & Co Limited. There are various topics which
are covered like- Content and process theories of motivation and motivational techniques,
influence of culture, politics and power in an organization, effective team and ineffective
team, concepts and philosophies of organisational behaviour.
P1. Organisation’s culture, politics and power influence
Organisation behaviour is a subset of management activities concerned with
understanding, predicting and influencing individual behavior in the organization. It is study
and application of knowledge about how people act within the company (Organizational
Behavior. 2018). HR manager of David & Co Limited wants to improve its organizational
behaviour and culture in the company. Culture, politics and power can affect the organization
behavior by following ways-
Organizational culture:
Organizational culture is described as the underlying beliefs, assumptions, values and
ways of interacting that contribute to the unique social and psychological environment of a
company. Hendy’s organization culture, defined four different kinds of culture: power, role,
task and person.
Power culture:
Power remains in the hands of only few people and only they are authorized to take
decisions. In David & Co limited all power to take management decisions are vested in the
top level management. In this type of culture subordinates have no option but to strictly
follow their superior instruction.
Task culture:
In task culture teams are formed to achieve the targets or solve complicated
problems. In such organization individuals with common interest and specialization come
together to form a team. In such culture every individual team member has to contribute
equally to accomplish the task. David & Co Limited use to follow this culture to accomplish
the task in the company. Team is committed to achieve the task which is give by the
organization.
Person culture:
Person culture is used in that organization where the employees feel that they are
more important than its company. They give priority themselves rather than organization.
David & Co Limited do not follow this culture because all employees of company give first
priority to its organization rather than themselves. This culture can hamper the performance
of company.

Role culture:
Role culture is followed where every employee is delegated roles and responsibilities
according to his specialization. David & Co Limited follow this culture because roles and
responsibilities of every employee are decided by the company according to the skills of
persons. So it helps in improving the performance of individual as well as company.
Politics:
Politics plays a vital role in the success of the organization. It can affect the company
both negatively and positively. Politics can be considered as the process of bargaining and
negotiation which is used to overcome conflicts and difference of opinion. Normally politics
is involved in strategic decision making process. For example, If HR manager of David & Co
Limited take decision that those employees who work overtime in the organization then they
will get extra incentives excluding regular incentives. When employees did overtime work
then they makes payment for that. If HR does not make payment for extra work then moral of
workers goes down but HR of David & Co Limited does not do politics with its employees.
HR knows that without the efforts of workers organization cannot achieve sustainable
success. Politics can hamper the performance of workers. If it is in favor of employees then
individual performance can increase because their willingness towards its work will increase
and through it organization performance will also boost.
Power influence:
Power is defined as the ability or capability to do something or act in particular way.
It is the ability to influence the people with its decisions making process. Generally power is
vested in the top level management and they have to take various decisions related to the
growth of company. Generally power comes from designation of a person. For example, if
there is a target that company has to produce 1000 units in a month but when employees start
doing production then they saw that they do not have sufficient stock of raw material to
produce the 1000 units. In that case if employees have power to place order for purchasing
the raw material then they feel that they can take decision and they are also important for the
company. If they do not have power then they firstly inform to the team leader and team
leader will inform to the head of department and department head will inform to the purchase
team. It is very long process and time consuming process. If this type of decision making
power is vested in the employees then it motivates and encourages the persons that they can
take effective decisions. It helps in improving the performance of individuals as well
company. Power influence can affect the behavior and performance of people because of the
type of the decision (Bissell, G. and Dolan, P., 2012). If decisions are better and effective
then it increases the performance of individual.
P2. Content and Process theory of Motivation:
Motivation is the reason for people’s actions, willingness and goals. It is derived from
word ‘Motive’ which is defined as a need that requires satisfaction. It is the characteristic
which helps to achieve the goal. Motivation is Drive that pushes one to work hard for
achieving the goal. This gives the strength to get up and keep going even things are not going
right.
There are three common aspect of motivation, if employees of David and Co. Ltd follow this
aspect than company can achieve their goal. These are as follows:

Effort: The effort is concerned with magnitude or intensity of employees work related
behavior. If employees of David and Co. Ltd shows their continuous effort towards their
work than it can help the company to achieve their goals.
Persistence: The persistence is concerned with sustained efforts employee manifested in
their work related activities.
Direction: The quality of employee’s work that is investment of sustained efforts in a
direction that benefits the employer.
There are two types of theories which can help David and Co. Ltd to motivate their
employees and to achieve the organizational goals. These are as follows:
Process Theory:
The psychological and behavioral processes that motivate an individual to act in a
particular way are referred to as process theories of motivation. This theory examines how a
person needs will affect individual behavior in order to achieve the goals.
The various process theories are as follows:
Vroom’s Expectancy Theory:
This theory assumes that behavior results from conscious choices among alternatives
whose purpose is to maximize pleasure among alternatives, whose purpose is to maximize the
pleasure and minimize the pain.
Vroom suggested that relationship between people behavior at work and their goals was not
as simple as was first imagined by other scientists. Vroom realized that an employee’s
performance is based on individual’s factors such as personality, skills, knowledge,
experience and abilities. Being an HR of company, this theory can help the employees of
company to motivate and improve their productivity. With the help of this theory company
can achieve the maximum profit with better efficiency. The theory says that there is a positive
correlation between efforts and performance. If employees of David and company gives a
favorable performance than the company will get desirable reward. This theory is based on
the three following beliefs:
Valence: Valence refers to the emotional orientations people hold with respect to outcomes,
that is reward. As the management of David and company ltd should find what employees
value. Basically the employee wants extrinsic benefit that is money, promotion, time off and
other benefits or intrinsic that is satisfaction as rewards. These benefits motivate the
employees and also improve their productivity. So the company must discover what
employees want to keep them motivated.
2. Expectancy: Employees have different expectations and levels of confidence about what
they are capable of doing. As the management of David and company should find out what
resources, training or supervision employees need. And with the improve efficiency company
David and company can achieve its goal of profit maximization (Clay-Williams, R. and
Braithwaite, J., 2015.)
3. Instrumentality: The perception of employees whether they will actually get, what they
desire even if it has been promised by a manager. As employees feels that, whether manager

will keep his words or not after completion of desired goals. So to keep motivated employees
of company, David and Company must keep their words and they must fulfill the promises.
Apart from this, self efficiency, reinforcement theory, Equity theory and goal setting
theories are there which can be used by the company to keep them motivated.
Content Theory: Content theory explains why human needs changes according to time. It
includes the different kind of psychological theory about the changing human needs. It talks
about specific factors that motivate the behavior. This theory is described as below:
Maslow’s Need Theory:
According to this theory individual would move to satisfy their needs in a hierarchical
manner. Once a need is satisfied, it no longer has the ability to motivate. The highest need is
the need for self fulfillment, which involves deriving a sense of value and satisfaction from
one’s work. Being an HR of David and co. ltd one can apply this theory for motivating
employees and satisfying their needs.
Maslow’s Need Theory
Physiological Needs: Those needs which are require sustaining such as air, water,
nourishment and sleep. According to theory, if these needs are not satisfies then one’s
motivation will arise from the quest to satisfy them. As David and co. should provide the
lunch breaks, rest breaks and wages that are sufficient to but the essentials of life. These will
help employees to keep motivated and they will contribute more to achieve the goals.
Safety Needs: Once physiological needs are met, one’s attention turns to safety and security
in order to free from the threat of physical and emotional harm. As these needs might be
fulfilled by living in a safe area, medical insurance, job security and financial reserves. The
David and company must provide the job security and a safe work place to keep motivated
their employees.
Social Needs: Once a person has met the lower level physiological and safety needs, higher
level of needs arises and the fist of that are social needs. Social needs are, need for friends,
belonging and the one they love. So being an HR, one should create the sense of community
via team based project and social events (Coccia, M., 2014). By fulfilling the social needs
company can keep their employees motivates. And employees will give their best effort to
achieve goals.
Esteem Needs: Esteem needs may be classifies as internal or external. Internal esteem needs
are those related to self esteem such as self respect and achievement. External esteem needs
are social status and recognition. Being an HR, one should make the monthly appraisal policy

employees so they feel appreciated and valued. The monthly appraisal policy will be very
helpful to keep motivating employees and achieve the goals.
Self Actualization: It is the summit of Maslow’s hierarchy of needs. As this need is never
fully satisfied, as one grows psychologically there are always opportunities to continue to
grow. The David and Co. should provide employees a challenge and the opportunities to
reach their full career potential.
Apart from this David and Co. can use the different motivational techniques to
motivate their employees which are as follows:
 As manager can involve the team in planning and decision making so employees will
feel motivated.
 One must always delegate and show the confidence in team members.
 The management must emphasize on working as a team.
 Company must praise and recognition for good performance of employees.
 Management must actively seek harmony in the team.
P3. Explain effective team as opposed to an ineffective team:
Team is formed as a result of interactions and influence of members who strive for the
achievement of common goal. A team can achieve its goal when all members have
committed towards its work. All members should know their roles and duties which they
have to perform. Team of David & Co Limited is effective. Difference between effective and
ineffective team are as follows-
Effective team Ineffective team
Effective team can do open discussion with each
member.
Ineffective team does not make open discussion
with each member.
The task of objectives of the groups is well
understood and accepted by all members of team.
The task of objectives of the group will not
understand and accepted by all members of team.
Everyone participates in the discussion Only a few people dominate the discussion.
Members want to listen each other. Members do not want to listen to each other and
ideas are ignored and over-ridden.
Tuckman theory:
Tuckman theory focuses on the way in which a team tackles a task from the initial formation of
the team through the completion of the project. It is relevant to team building challenges as the phase
pertain to the completion of any task undertaken by the team. This theory mainly focus on the mainly
three things which are as follows-
Forming:
The team is assembled and the task is allotted to the members. Team members work
independently and other members show the trust towards each person of the group.
Storming:

The team starts to address the task suggesting ideas. Different ideas can come out from
different persons so it can help in proving the better solution of a problem. It helps in team
development because everyone wants to contribute their efforts for the achievement of organizational
goal.
Norming:
As the team moves out of the storming phase they will enter the norming phase. This tends to
be a move towards harmonious working practices with teams agreeing on the rules and values by
which they operate. The risk during this stage is that the team becomes complacent and loses either
their creative edge or the drive that brought them to this phase. David & Co Limited use Tuckman
theory for the effective team so that performance of company can also improve when team
will perform well. There are various reasons of effective and ineffective team which are as
follows-
Communication:
Communication is a process by which information is exchanged between persons
through common symbol and sign. It can be written or verbal. It is needed for the better
performance of individual or group members. For example, if David & Co limited want to
produce more units than regular production. If this information is communicated to all
employees of team then company will able to achieve its target that is more production.
Proper communication helps in making effective team because proper information is
communicated to all members and on the basis of it all persons perform their role and duties.
If information is not communicated to all employees, only few employees know that they
have to produce more than company will not achieve its goal. It shows ineffective
communication between team and team can be called as ineffective team because group
members does not spared the information to all members of its group. HR manager helps to
maintain proper communication between all employees (Hashim, J. and Wok, S., 2014).
Coordination:
Coordination is the process of organizing people or group so that they can work
together properly and well. It is needed for the growth of the company. For example, if sales
manager of David & Co Limited has the objective of selling 1000 units in a week. He cannot
sell them until production manager does not produce 1000 units. It is only possible when
purchase manager purchase enough raw materials. David & Co Limited have coordination in
all departments of its company. It helps to build effective because all persons are performing
their roles very well. Ineffective team will build when production manager does not produce
according to the demand and purchase manager does not purchase raw material according to
the requirement. It is the responsibility of HR manager to make proper coordination in the
company.
Conflict resolution:
Conflict is arises when there is disagreement or argument against a thing between
two or more persons. It hampers the performance of individuals as well as team. For example,
if marketing manager of David & Co Limited want to spend 1million on advertising but
finance manager provide only 0.50 million for it because he thinks it’s enough for the
advertisement. Then conflict will arise because of difference in opinion. It shows the
inefficient team of company because of not understanding between the members. Opinion
should be match for an effective team. HR manager should try to solve the conflicts among
its group members (Kitchin, D., 2017).

Commitment:
Commitment is arise from dedication towards accomplishment of a task or thing. It is
the requirement of every business to be committed towards its goal and objectives. For
example, if David & Co Limited want to achieve its goal that is maximise its sales by 15% in
one year. It is only possible when all employees will committed towards work. All employees
of David & Co Limited are committed towards the goal of company. It shows the effective
team performance. If employees are not dedicated towards work then organization will not
able to achieve its goal that is maximize the sales by 15%.It shows the ineffective team
performance.
Productivity:
Productivity describes various measures of the efficiency of production. It means the
fruitful results in the work. For example, if David & Co limited wants to produce 5000 units
in a month and according to this target every worker have to produce 200 units in a month.
Out of 25 workers 20 workers have achieve his target and rest of 5 workers does not achieve
its target. In that case overall productivity of all workers is not good and cannot archive its
target. It shows the ineffective team performance. When all employees will produce 200 units
then it is called effective team performance. HR manager will always try that productivity
should be maintain to achieve the goal of company.
P4. Path Goal Theory
Path goal theory describes how leaders can motivate their follower to achieve group
and organizational goals and the kinds of behavior leaders can engage into motivate
followers. The stated goal of leadership to increase employees performance and satisfaction
by focusing on employee motivation. Basically this theory emphasizes the relationship
between the leader’s style and characteristics of the followers and the work setting. This
theory suggests that each type of leader behavior has a different kind of impact on
subordinates motivation. As the company David and co. can apply this theory to motivate the
employees to achieve the goal. There are various behaviors of leaders under this theory which
described below:
Directive Leadership:
Under this leadership, leaders gives instruction to its subordinates about task that,
what is expected from them, how task is need to be done and they a deadline for completion
of task. The manager of David and Co. can use this approach to get best out of their
employees. Some suggests increasing incentives strengthening reward contingencies as two
mechanism of directive leadership for the valence and instrumentality components.
Supportive Leadership:
This leadership refers to being friendly, approachable and supportive as a leader.
Basically a leader tries to being friendly and supportive with its subordinates. As using
supportive behavior helps to develop a pleasant and more tolerant working environment. This

kind of approach helps employees to increase the self confidence and lower the anxiety. So
the management of David and Co. can use this approach to improve employees productivity
and boost the confidence of employees.
Participative Leaderships:
Leaders who invites their subordinates in the decision making and consult with
team about the decisions. The leader seek the idea and opinion from the team. This approach
integrates the subordinate input into group decisions. As David and co. can use this approach
to enhance the decision making skills of employees. This approach can also help company to
get new and innovative ideas from employees. The innovative idea can be used to achieve the
organizational goal.
Achievement Oriented Leadership:
In this style, leaders challenge their subordinates to perform work at the highest
level. The leaders establish a high standard of excellence for subordinates and seek
continuous improvement.
The path goal theory can be very helpful for David and co. to achieve the goal
through applying various kinds of leadership behavior to managing employees.
CONCLUSION
As from the above report it can be concluded that organizational behavior plays a vital
role for improving the productivity of an individual as well as team also. To keep motivated
the employees, there are various kinds of motivational theories like Maslow need theory
needs to be apply in the organizations. So employees will feel motivated and as an outcome
they will give their best effort to achieve the goals of company. There are certain concepts
and philosophies also which should be considered in organization for improving the
employee’s attitude towards the work and organization. As the behavior of an individual and
team are highly influenced by the organization culture, power and politics, overall these
affect the employees of the organization and their work too.

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