Organizational Behavior Report: TESCO Plc, Semester 1

This report examines the organizational behavior within TESCO Plc, a multinational retail corporation. It explores the influence of organizational culture, power, and politics on individual and team performance, referencing Handy's Typology and French & Raven's power types. The report also delves into content and process theories of motivation, team dynamics, and group development theories. Furthermore, it differentiates between effective and ineffective teams and applies organizational behavior concepts to complex corporate situations. The analysis includes a critique of the impact of organizational components on behavior, the role of motivational theories, and the relevancy of team development theories, culminating in recommendations for team and organizational success. Hofstede's Cultural Dimensions Theory is also included to provide a broader perspective.

ORGANIZATIONAL
BEHAVIOUR

Table of Contents
INTRODUCTION...........................................................................................................................4
LO1..................................................................................................................................................4
P1 Influence on individual and team behaviour and performance from organization culture,
power and politics........................................................................................................................4
M1 Critique of influence of organisational components on individual and team behaviour.......8
LO 2.................................................................................................................................................8
P2 Content and process theories of motivation............................................................................8
M2 Critique on the manner in which behaviour is affected by motivational theories...............10
D1 Critique of relation between culture, politics, power and motivation which enable team and
organisational success providing justified recommendations....................................................10
LO 3...............................................................................................................................................10
P3 Effective v/s Ineffective team...............................................................................................10
M3 Analyse relevant team and group development theories to aid development of dynamic
cooperation.................................................................................................................................12
LO 4...............................................................................................................................................13
P4 Application of concepts related to OB..................................................................................13
M4. Concepts of OB influence behaviour in affirmative and contrary way..............................15
D2 Critique of relevancy of team development theories in relation to OB concepts which
impact on workplace behaviour.................................................................................................15
CONCLUSION..............................................................................................................................15
REFERENCES..............................................................................................................................17

INTRODUCTION
Organisational behaviour is defined as the interface taking place between organisation
and individuals working within it. This is a field of study which tends to focus upon development
of positive working atmosphere and stipulation of growth opportunities for personnel
individually as well as within a team (Peralta and et. al., 2018). This report is conducted to gain
knowledge of organisational behaviour observed in TESCO Plc, which is a multinational
corporation operating in the confines of retail sector. It functions in the form of hypermarkets,
supermarkets, superstore and convenience stores across United Kingdom and several other
countries across the globe. This report will throw light upon influence of culture, politics and
power on team as well as individuals. Also, it constitutes motivational theories along with team
dynamics and group development theory. Further the study will address differences between
effective and ineffective team together with application of concepts and philosophies of OB to
deal with complex corporate situations.
LO1
P1 Influence on individual and team behaviour and performance from organization culture,
power and politics
Organisational behaviour can be deciphered as the procedure aimed at gaining
comprehensibility of the human behavioural characteristics with a motive of devising strategies
through which employees can be effectively motivated (Natvig and Stark, 2016). The HR
department plays a crucial role herein as it is involved in development of healthy relations
between employer and employees by providing the latter with a suitable atmosphere to work.
Power, politics and culture are regarded as some of the most important elements of a corporation
as they hold a significant influence upon performance and behaviour of individuals as well as
group. The pre-mentioned elements are discussed with respect to TESCO underneath:-
Culture
This is regarded as the basic ideology and values which are held by an enterprise. It is the
role of HR to develop a working culture which supports the growth and welfare of employees. In
this regard, one of the well renowned models used for carrying out the analysis of different types
of organisational cultures is Handy's Typology. As per this, there are 4 culture forms which can
persist within an enterprise and these are analysed with reference to TESCO below:-
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Role culture: Hereby, the working within an organisation assumes the same form as that
of a functional structure. This implies that the main power to assign the duties vests with the
manager who matches the responsibilities with skills, knowledge and expertise of personnel
(Jansen and Samuel, 2014). The execution of this culture in TESCO would lead to an increment
in the performance of employees performing individually as well as within a team. Further, this
instils a positive sense of behaviour within individuals and teams as they are allotted tasks as per
their interests and likelihood. Thus, with the help of significant contribution on the part of every
individual and team, the organisation develops as a whole.
Task culture: This is a form of culture which witnesses the creation of conflict resolving
groups for the purpose of generating harmony within the organisation. If task culture is adopted
within TESCO, it would lead to enhancement of individual and team behaviour as hereby,
employees are provided with opportunities to address their interpersonal issues and develop
healthy relations with each other (De Vasconcelos, Gouveia and Kimble, 2016). This encourages
the personnel to put their best foot forward for attainment of corporate goals in a timely manner.
Thus, as a result of this culture, the output delivered by employees individually as well as
collaboratively tentatively increases, implying the long term growth of company.
Person culture: This is regarded as a negative type of culture by many researchers as
hereby, the focal point is individuals and not the team or organisation as a whole. If this culture
is adopted by TESCO, this would directly imply a boost in the behaviour as well as performance
given by individuals as they are provided with opportunities to develop themselves as per
organisational requirements (Odor, 2018). On the same time, this culture adversely impacts on
the motivational level of teams collaboratively as individuals belonging to the group consider
themselves to be superior to the group, thereby creating negativity. As a result of this, most of
the times, teams operating under this culture are not able to achieve the goals in a timely manner.
Power culture: This is the last type of culture that can be observed within an enterprise
whereby the power to devise main decisions remain in the hands of few individuals. The
execution of this culture within TESCO would imply a negative impact upon the behavioural
pattern of individuals as well as teams as their creativity and innovative thinking skills are not
given importance. Owing to such kind of negativity prevailing among the employees, it is seen
that power culture deflates the output delivered by individuals and groups.
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On the basis of above discussion, it can be said that role culture would be appropriate for
TESCO as hereby, personnel are motivated individually and collaboratively to give their best
performance.
Politics
This can be deciphered as the process whereby human interaction takes place by making
extensive use of power. It can either be positive or negative. The former can be fostered by way
of allowing employees to telecommute, work in rotational shifts, take flexible leaves etc. On the
other hand, latter takes place within an entity through the prevalence of stereotypical and biased
behaviour towards some individuals. With respect to TESCO, positive politics would imply an
increase in the output delivered by personnel individually as well as in team. It would instil
positivity and encouragement within them to work for welfare of company. On the contrary,
negative politics spreads negativity within the premises adversely impacting upon the
performance of individuals and teams. This happens because hereby one of the core elements of
healthy employment relations, namely, trust is missing in the employees towards each other as
well as the organisation (Maio and et. al., 2019). Owing to this, teams and individuals are not
able to give effective performance.
Positive politics is suitable for TESCO as this would foster the development of healthy
relations among employees and aid them to deliver effective output.
Power
This is defined as the authority held by individuals belonging to top management. As per
French & Raven, there are 5 types of powers that can be exercised by leaders within diverse
organisational situations. These are explained below in relation to TESCO:-
Reward power: This power witnesses the use of authority of a leader to reward and
recognise the deserving employees of an enterprise (Testa and Lee, 2018). If this power is used
within TESCO, it would imply the development of positive behaviour of individuals and teams
fostering both of them to give their best output for gaining rewards.
Coercive power: Herein, threat or force is used by leader to influence individuals and
teams to carry out a task. This power if exercised within TESCO would deflate the thinking
process and morality of individuals and groups. This would mean the non ability of personnel
individually and collaboratively to timely accomplish the task.
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Legitimate power: This is a form of authority which is held by top managerial persons
like CEO and owner. The execution of this power would imply the wastage of creativity of
individuals and teams as their views are not taken into account while making decisions. With
such kind of negative behaviour, the staff would not be able to work effectively either
individually or collaboratively.
Referent power: Here fictitious form of authority is exercised by the individual which
possesses the “x-factor” and characteristics to gain the attention of other members of company.
This leads to increment in productivity of individuals as they are keen to take the same place as
that of referent leader (Burrell and Morgan, 2017). However, it adversely impacts upon the
behaviour and output delivered by group as the members of team focus more upon gaining the
referent power than attaining the team goal.
Expert power: This authority vests in the hand of an individual who possesses
specialisation in a certain field of work. Although this power boosts the morale and performance
of team as they have expert views with them to do tasks, it has negative impacts upon output and
behaviour of individuals. This happens because of the feeling of insecurity that develops within
them as a result of inability of access the powers of expert leader.
It can be stated that reward power is appropriate to be exercised within TESCO by the
leader as it inflates the motivational levels of individuals and teams through provision of
monetary and non monetary incentives.
Hofstede's Cultural Dimensions Theory
The following theory was developed by Geert Hofstede in the year 1980. According to
this theory, it has been said that with the help of this theory, it will be possible to know about the
differences in culture across different countries and to discern the ways that business which is
done across different cultures. In other words, it can also be said that the framework is used to
differentiate in between different cultures, national cultures and their impact on the business.
There are six categories which are included in this theory and has been provided as under:
Power Distance Index: In this power index, it reflects upon high power distance which will show
high power differences, encourages bureaucracy and high respect for rank and authority.
Individualism vs. Collectivism: Here, it is related to attainment of individual and collective
goals. On the one hand, individualism focuses on individual goals and collectivism focuses on
complete organisational goals and objectives.
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Uncertainty Avoidance Index: In case this index is high, then the tolerance power will be low
such as related to anxiety, risk taking and strict rules and regulations and vice versa.
Masculinity vs. Femininity: In the following index, it is considered about the tough or tender
situation, which is on the preference of society such as achievement, attitude, sexuality, equality,
behaviour.
Long-Term Orientation vs. Short-Term Orientation: Long term focuses on future and invloves
delaying short term success and achievements and on the other hand, the short-term orientation
focuses on short term success.
Indulgence vs. Restraint: These two terms focuses on consideration of society to the extent and
tendency for a society to fulfil their own desires. In other words, the explanation could be
provided on the control made by the society on their impulses and desires.
M1 Critique of influence of organisational components on individual and team behaviour
It can be analysed that when affirmative form of cultures such as task and role are
applied, it instils a sense of motivation within individuals and team. On the other hand,
implementing negative cultures like power and person have adverse impact upon the behaviour
of employees individually and collaboratively. The same can be seen in relation to politics
whereby positive form fosters development of healthy employee relations while negative form
results in creation of conflicts and insecurity (Bharathy, 2018). Additionally, the three powers,
namely, reward, referent and expert facilitate employee empowerment individually as well as
collaboratively. On the other hand, coercive as well as legitimate powers leads to non usage of
creativity present within individuals and team.
LO 2
P2 Content and process theories of motivation
Motivation is a process which helps companies to enhance the performance of their
employees. This is a very crucial tool for companies to have a motivated workforce which could
help them in achieving in individual and overall organisational goals within the time specified.
This is the very important factor which helps in changing the overall behaviour of employees
towards the company and ensuring their performance in the desired manner (Katou, 2015).
Motivational Theories: These can be defined as those theories which are used by
organisations for identification of various individual needs and fulfilling them to motivate
employees. There are many factors which are considered to be to used for motivation of
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employees in the company. In this regard, the HR department of TESCO focuses upon the
application of 2 motivational theories to encourage the workforce effectively. These are
explained underneath:-
Content Theory
This theory takes into account the evolution of needs with the passage of time. In this
regard, one of the most well applied motivational theories is ERG motivation theory. This is
discussed in context of TESCO as follows:-
ERG motivation theory
This theory was proposed by Clayton P. Alderfer and tends to condense the five needs of
Maslow into 3 categories, namely, Existence, Relatedness and Growth. This is a content theory
because it considers individual's needs and conduct once these are met.
Existence Needs: These are inclusive of materialistic as well as physiological desires
such as food, air, water, clothing etc. TESCO can fulfil this need with the use of motivational
techniques such as stipulation of incentives, bonus and conduct regular employee satisfaction
surveys. When this need of individuals are met, it motivates them to work with their full
potential for the accomplishment of goals and objectives.
Relatedness Needs: These needs encompass external as well as social esteem together
with relations with family, peers and colleagues. This need can be fulfilled by TESCO through
arrangement of unofficial get-together and recognition of employees in front of other staff
members. This motivates the employees to put their best foot forward for the accomplishment of
organisational goal and objective.
Growth Needs: These constitute the needs that influence an individual to enrich one's
personality as per the requirements of company. TESCO can fulfil this need by conduction of
training and development opportunities which aids personnel to grow and evolve professionally
with the passage of time. When these needs are fulfilled, it encourages the employees to be
creative as well as productive while executing the tasks of company.
Process Theory
This theory emphasizes on the process through which organisation evolves with the
influx of time. Adam's Equity is one of the most widely applied motivational theories, explained
as underneath:-
Adam’s Equity Theory
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Proposed by John Stacy Adams, this theory operates with regards to 2 principles. The
first one is there needs to be an equilibrium between inputs and outputs of individuals. Secondly,
personnel should feel that they are treated in a fair manner when contrasted with colleagues
(Dawson, 2018). TESCO applies this theory by providing employees with monetary and non-
monetary motivational rewards such as paid leaves, bonus, productivity linked incentives,
training, certification, flexible working hours etc. If both the principles are effectively applied by
TESCO, it would inflate the existing level of motivation among employees, thereby fostering
them to deliver their best performance for availing rewards. This ensures the accomplishment of
organisational goals and objectives within the stipulated course of time.
M2 Critique on the manner in which behaviour is affected by motivational theories
With the help of motivational theories like ERG Motivation and Adam's Equity, TESCO
aims at influencing the behaviour characteristics of individuals positively. It has been analysed
that even though the fulfilment of ERG needs enhance the motivation of personnel, it leads to
low encouragement within the staff, of performing better in future as all their needs have already
been met. Further, Adam's Equity promotes equality among the organisation but this theory
fosters equal payment of wages to all employees belonging to same business unit whereby some
individuals may be more deserving than others. When the extra efforts taken by certain
employees are not appreciated, their productivity is negatively affected.
D1 Critique of relation between culture, politics, power and motivation which enable team and
organisational success providing justified recommendations
The application of positive culture (task and role), power (reward, referent and expert)
and politics facilitate the development of an effective and affirmative working atmosphere
whereby individuals are encouraged to give their best performance. However, in an instance
whereby any of these 3 elements turn out to be negative, then this would have an adverse impact
upon the overall working of the enterprise. In this regard, it is recommended that TESCO should
ensure that the culture, power and politics persisting within the corporation are positive at all
times so that the motivation level of employees does not deflate.
LO 3
P3 Effective v/s Ineffective team
Team can be defined as the accumulation of individuals for the purpose of attainment of a
specific goal. Within an organisation, teams can be of 2 types, namely, effective and ineffective.
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The former can be defined as the set of employees who have clear knowledge of the goal they
are working for, have proper coordination and work as per the task requirements. On the other
hand, ineffective team is comprised of individuals who do not have clear guidance and direction
regarding what has to be done by them. TESCO ensures that it develops effective team for the
purpose of execution of any project. In this regard, it is essential for company to have knowledge
of the differences between effective and ineffective team to avoid the development of later.
Basis Effective team Ineffective team
Decision
making
Herein, all the members get equal
opportunities to give their views and
opinions for stipulation of effective
decision (Dawson, 2018). With the aid
of this, organisation can easily ensure
its growth and development.
In an ineffective team, team
members do not get indulged within
decision making process which tends
to create issues among the members
and adversely affects their
performance.
Underlying
goals
Here, goals are clearly stipulated and
made clear to all the members so that
they can be attained in a timely
manner.
Herein, the goals are not specifically
stated and thus confusion persists
among individuals and they are not
able to attain them within due course
of time.
Team Dynamics
As per Lencioni’s central theory, there are 5 key elements which are essential to be
considered by an organisation for the development of an effective and cohesive team. Such
elements are stated below:-
 Trust: The members of the group must place trust within one another so as to effectively
execute the tasks collaboratively.
 Healthy conflict: The group members should participate in productive conflicts so that
the most suitable idea can be determined to complete a task.
 Commitment: All the individuals belonging to group should be totally committed to the
goal stipulated by team (The 5 elements of an effective team, 2019).
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 Accountability: This elements states that there should be clear accountability of every
member to deliver best efforts for the attainment of predetermined goals. Result focussed: The main aim of the team should be upon realisation of results as
stipulated at the beginning of task.
Types of teams
There are several types of teams which are developed as per organisational and task
requirements. These are explained as follows:-
Project team: This group is developed with the sole motive of effective completion of a
project. TESCO is a large multinational corporation which comes up with a number of projects at
rapid intervals and this team provides aid to entity all throughout the execution stages of task
(Cooke, 2018).
Functional team: This group consists of individuals belonging to diverse business
functions. The development of this team in TESCO aids the organisation in utilising the
knowledge and skills of personnel pertaining to different functional backgrounds while devising
important decisions like mergers, acquisitions or addressal of a potential threat.
Virtual team: This is the integration of personnel belonging to diverse locations with the
utilisation of computer technologies for the welfare of company. The creation of this team aids
TESCO in attaining growth in long term by taking into use the knowledge of different
individuals.
M3 Analyse relevant team and group development theories to aid development of dynamic
cooperation
Tuckman Team Development Theory is taken into use by TESCO for development of
dynamic cooperation within individuals. For instance: Whereby TESCO plans to come up with a
new product in market and develops a project team for it, the development stages of group are
explained as follows:-
Forming: At the first stage, the individuals selected for project team are clubbed together
and introduced to each other by the team leader within TESCO. The leader also makes the
members aware of the goal for which all of them have united (Christina and et. al., 2014).
Storming: In this stage, the project team members' interface starts taking place with the
motive of gaining comprehensibility of one another's strengths and weaknesses. Herein,
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individuals working as a part of new product launch project of TESCO are allotted their duties
and coordination is facilitated in them.
Norming: Hereby, productive conflicts take place among the members so that team can
collectively decide the best way to develop and launch the new product of TESCO at market
place.
Performing: This is that phase of team development that witnesses execution of actual
performance by members for realisation of goals associated with new product launch of TESCO.
Adjourning: Hereby, the disbursement of project team takes place and members get back to
their routine duties within TESCO.
LO 4
P4 Application of concepts related to OB
Organisational behaviour is a composite of values, beliefs, ideologies, customs etc. In this
regard, the leader is responsible for aligning the characteristics of employees with the corporate
goal. One of the most well renowned theories of Organisational Behaviour is Path Goal Theory.
Concepts of OB
Path Goal Theory
Proposed by Robert House, this a theory which is keen on application of leadership style
as per the current business situation.
Classification of Path Goal Theory
This theory is a composite of 3 main elements, discussed below:-
Employee Characteristics: Hereby, the leader takes an account of the behavioural
characteristics of employees with a view to devise effective strategies to motivate them. In this
regard, it has been analysed that the staff members have developed a sense of negativity within
them owing to the present use of legitimate power within TESCO.
Task and Environment Characteristics: The leader hereby ensures that the task and
environmental atmosphere is suitable for the staff members to execute the tasks as per
organisational requirements (Coccia and Cadario, 2014). It is acknowledged that a negative
working environment is developed within TESCO which is creating conflicts within the
company.
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On the basis of above 2 elements, it is analysed that TESCO is currently impacted by
ineffective communication as well as development of negative atmosphere which has
consequently deflated the performance of individuals.
Leadership Behaviour: Hereby, the leader determines the most suitable style of
leadership which can be applied in the present business context to ensure smooth flow of
operations and increment in motivational level of employees.
As per the current business situation of negative working atmosphere as well as
ineffective communication prevailing within TESCO, Participative style would be the most
appropriate leadership behaviour to address the issues. This style provides employees with the
opportunity to share their ideas while crafting key business decisions. This instils a feeling of
empowerment within the staff members and their productivity level inflates to accomplish the
task in the target time frame (Bester, Stander and Van Zyl, 2015). This style holds one demerit
which needs to be taken into account by leader of this organisation and it is that as a result of
usage of this leadership, decision making becomes a time consuming procedure.
Participative leadership style would have positive just as negative impact. In such
manner, the constructive outcome would be the expanded inspiration level of workforce and their
efficiency. Then again, the negative impact would be the development of dissimilar purpose of
perspectives among the gathering individuals. Subsequently, it is basic for TESCO to consider
both the perspectives while utilizing Participative Leadership Style.
Philosophies of OB
Philosophies of organisational behaviour comprise of contingency and autocratic
philosophy. The former entitles the workforce to devise futuristic plans while the latter
emphasizes upon creation of plans which are confined to an individual. In this regard, to deal
with ineffective communication and negative working atmosphere, TESCO will make use of
Contingency philosophy.
Leadership Theory related to OB
System leadership theory
It enables the leader within an organisation to create a condition where all the level of
people work productively with their potential. It uses a sound principle for human behaviour to
create a model of effective leadership, system design, strategy and social process. This theory
would be applied by the leader of TESCO with a view to deal with the issues of ineffective
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communication and negative working atmosphere persisting within the entity. This theory helps
to provide leader with the required tools to predict employee and team behaviour within
respective corporation. Further, it aids in development of an effective system that drives
productive behaviour and try to lead more effectively for realisation of TESCO's goal. Hence,
people will work in a better manner and not leave the job as a result of business issues. They
would like to work within TESCO owing to the stipulation of a great atmosphere bringing
positivity among them, thereby reducing staff turnover.
M4. Concepts of OB influence behaviour in affirmative and contrary way
The concepts of OB include Path Goal theory which consists of Employee
Characteristics, Task and Environment Characteristics and Leadership Style. On the basis of
analysis of first 2 elements, current business situation is ascertained according to which
leadership style is decided. In case the leadership style adopted by the organisation is not
effective, it would have negative consequences for the organisation and lead to non resolution of
the corporate issue.
D2 Critique of relevancy of team development theories in relation to OB concepts which impact
on workplace behaviour
Tuckman Team Development Theory consists of 5 stages whereby roles are allotted to
members as per their skills and current business situation. The importance of the same have
impact over organisational behaviour and philosophies too as this will provides an opportunity to
leader in respect to the application of the leadership style which is most appropriate in nature in
accordance to the situation. For example: Team development theory help in ascertainment of all
the employee characteristics and business situations along with their competencies and
capabilities and if all aspects are positive in nature then this will allows the leader to create the
environment and behaviour which is perfect for all through application of most appropriate
approach i.e. democratic. This approach ensures the benefit of overall organisation's along with
their different stakeholders associated with the same.
CONCLUSION
There are several aspects of an organisation which tend to have an affirmative or adverse
impact upon the output delivered and behavioural pattern of individuals and teams. These aspects
are power, culture and politics. It has also been acknowledged that an organisation can make use
of content and process motivational theories like ERG and Adam's Equity to encourage the
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workforce and enhance their current level of productivity. Apart from this, it is ascertained that
Tuckman Team Development theory facilitates the development of collaborative working
atmosphere and aids in fostering dynamic cooperation. Additionally, it is recognised that
Participative Leadership Style is ideal for dealing with ineffective communication and negative
working scenario.
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