notes OB1

WEEK 1:

INTRODUCTION TO ORGANIZATIONAL BEHAVIOR

1. DEFINITION OF ORGANIZATIONAL BEHAVIOR
2. WHAT DOES OB FOCUS ON
3. CONTRIBUTING DISCIPLINES TO OB
4. CHALLENGES AND OPPORTUNITIES OF OB
5. OB MODEL

1

1. DEFINITION OF ORGANIZATIONAL BEHAVIOR (OB)
OB is a field of study that investigates the impact that individuals, groups and
structure have on behaviour within organizations, for the purpose of applying such
knowledge toward improving an organization’s effectiveness.

1

2

3

Let’s meet with them:
1 Top

1. Chief Executive Officer – Top Manager

Name: Dato’ Ali Tajuddin bin Ahmad
Position: CEO
Age: 32

Qualification: MBA Harvard University
Interest: Hiking

Experience: 10 years

2 Personality: ENFJ (Chp. 4)

2 Middle
2. Middle Manager 1 (HR Manager)

Name: Encik Tan Ah Lek
Position: Human Resource Manager

Age: 46
Qualification: B. HRM (Hons)

Interest: Reading
Experience: 25 years
Personality: ISFP (Chp. 4)

3. Middle Manager 2 (Operation Manager)

Name: Puan Ashikin Tan bt. Hisham
Position: Operation Manager
Age: 27

Qualification: B. (Hons) Engineering
Interest: CSR

Experience: 5 years
Personality: ETFP (Chp. 4)

3 First Line

Exercises: Can you lists any positions in:
a. factory
b. Airline

c. administration

3

2. WHAT DOES OB FOCUS ON?
A. Individuals

Every employee has their own:

a. Abilities
b. Strength/Weaknesses
c. Experiences
d. Knowledge
e. Task/Job position

B. Groups

In groups, people usually:

- sharing
experiences and
ideas

- cooperate
- work in team
- accomplish

organization’s
mission and
objectives

“…Dan Dia lah yang menjadikan kamu khalifah di bumi dan meninggikan setengah
kamu atas setengahnya yang lain beberapa darjat, kerana Ia hendak menguji kamu
pada apa yang telah dikurniakanNya kepada kamu. Sesungguhnya Tuhanmu amatlah
cepat azab seksaNya, dan sesungguhnya Dia Maha Pengampun, lagi Maha
Mengasihani.”

(Surah Al-An'aam 6:165)

4

C. Structure

Do you remember
the type of

organization’s
structure?

LEVEL OF MANAGEMENT
Top

Middle
First Line

5

DISCIPLINED IN OB

3. CHALLENGES AND OPPORTUNITIES OF OB
a. Responding to economic pressures: high debt
b. Responding to globalization: currency / war
c. Managing workforce diversity: more women than man
d. Improving customer service: news in social media (video)
e. Improving people skills: knowledge / training
f. Stimulation innovation and change: what happen to the future?
g. Coping with Temporariness: innovate the products
h. Working in network organizations: online
i. Helping employees balance work-life conflicts: quality of life
j. Creating a positive work environment: benefits to the workers
k. Improving ethical behaviour: legal or illegal conduct in business
6

Economic globalization
pressure
Improving
people skills

Challenges & opportunities in OB

Stimulating
innovation &

change

Managing workforce Improving
diversity customer service

Activity 1.1 Find an interesting issues on each challenges & opportunities.

7

4. OB MODEL

SELF-REFLECTION 1: ORGANIZATION’S ANALYSIS. Find any organizations that
have established for more than 50 years. Identify its strategy, uniqueness and history
of success.

8

Mind map for Topic 1

Exercises:
1. Define OB:
_________________________________________________
2. List the behavioural science (discipline) in OB:
_________________________________________________
3. Discuss any 4 (four) challenges & opportunities in OB:
_________________________________________________
_________________________________________________
_________________________________________________
_________________________________________________

9

WEEK 2:
ATTITUDES & JOB SATISFACTION

1. DEFINE ATTITUDES
2. COMPONENTS OF ATTITUDES
3. COGNITIVE DISSONANCE THEORY
4. MAJOR JOB ATTITUDES
5. WHAT ABOUT EMPLOYEE DISSATISFACTION
6. THE EFFECT OF JOB SATISFACTION

10

1. DEFINE ATTITUDES
Are an evaluative statements or judgements concerning objects, people or events.

2. COMPONENTS OF ATTITUDES The opinion or
belief segment of
Cognitive components
“ My pay is low ” attitude

Affective components The emotional or
“ I am angry over how feeling segment

little I’m paid ” of an attitude

Behavioral components An intention to
“ I’m going to look for behave in certain
another job that pays
better.” way toward
something

11

…does behaviour always follow from attitudes? Here’s why…
3. COGNITIVE DISSONANCE THEORY – any incompatibility between two or
more attitudes or between behaviour and attitudes.

examples 1:

importance

moderating influence
rewards

example 2: importance
Have you ever telling lie?
moderating influence
rewards

12

4. MAJOR JOB ATTITUDES

a. Job satisfaction – a positive feeling about one’s job resulting from an
evaluation of its characteristics

b. Job involvement – the degree to which a person identifies with a job, actively
participates in it, and considers performance important to self-worth

c. Organizational commitment – the degree to which an employee identifies with
a particular organization and its goal and wishes to maintain membership in
the organization

d. Perceived organizational support – the degree to which employees believe an
organization values their contribution and cares about their well-being

e. Employee engagement – an individual’s involvement with, satisfaction with,
and enthusiasm for the work he or she does.

5. WHAT ABOUT EMPLOYEE DISSATISFACTION?
Response to dissatisfaction:

Constructive Destructive

Active VOICE EXIT

Passive LOYALTY NEGLECT

VOICE – dissatisfaction expressed through active and constructive attempts to
improve conditions

13

LOYALTY – dissatisfaction expressed by passively waiting for conditions to improve
NEGLECT – dissatisfaction expressed through allowing conditions to worsen
EXIT – dissatisfaction expressed through behaviour directed toward leaving the
organization

6. THE EFFECT OF JOB SATISFACTION
a. JS & Job performance
b. JS & OCB
c. JS & customer satisfaction
d. JS & Absenteeism
e. JS & Turnover
f. JS & workplace deviance

SELF-REFLECTION 2: THE RELATIONSHIP BETWEEN ATTITUDES AND
ORGANIZATIONAL PERFORMANCE

What are they
thinking right

now ?

14

Mind map for Topic 2

Exercises:
1. Define attitudes:
___________________________________________________________
2. List 3 components of attitude:
___________________________________________________________
___________________________________________________________
___________________________________________________________
3. Discuss 4 ways how employees express dissatisfaction:
___________________________________________________________
___________________________________________________________
___________________________________________________________
___________________________________________________________

15

WEEK 3:
EMOTIONS & MOODS

1. WHAT ARE EMOTIONS, AFFECT AND MOOD
2. EMOTIONAL LABOR / EMOTIONAL DISSONANCE
3. FELT vs DISPLAYED EMOTIONS
4. EMOTIONAL INTELLIGENCE ORGANISATIONS

Based on the pictures above, list 23 kinds of facial expressions.

16

1. WHAT ARE EMOTIONS, AFFECT AND MOOD

1. EMOTIONAL LABOR / EMOTIONAL DISSONANCE
Emotional labor – a situation in which an employee expresses organizationally
desired emotions during interpersonal transactions at work.
Emotional dissonance – inconsistencies between the emotions people feel
and the emotions they project.

2. FELT vs DISPLAYED EMOTIONS
Felt emotions – an individual’s actual emotions
Displayed emotions – emotions that organizationally required and considered
appropriate in a given job.

17

3. EMOTIONAL INTELLIGENCE ORGANISATIONS
is the ability to monitor one's own and other people's emotions, to
discriminate between different emotions and label them appropriately, and to
use emotional information to guide thinking and behavior.
SELF-REFLECTION 3: A BAD EMOTION EXISTS IN ANY
ORGANIZATIONS. DO YOU AGREE? – factors, the situation, effect to the
organizations & how to solve the problem?

18

Mind map for Topic 3

Exercises:
1. Differentiate emotions & moods.

_____________________________________________________________
_____________________________________________________________
_____________________________________________________________
2. Define emotional dissonance:
_____________________________________________________________

19

WEEK 4:
PERSONALITY

1. WHAT IS PERSONALITY
2. PERSONALITY DETERMINANTS
3. PERSONALITY TRAITS
4. MAJOR PERSONALITY ATTRIBUTES INFLUENCING OB
5. ACHIEVING PERSONALITY FIT

20

1. WHAT IS PERSONALITY
- Enduring characteristics that describe an individual’s behaviour

2. PERSONALITY DETERMINANTS

- An early debate in personality research centered on whether an
individual’s personality was the result of heredity or of environment.

a. Heredity – factors determined at conception; one’s biological,
physiological, and inherent psychological makeup

b. Environment – friends, surroundings, culture etc.

3. PERSONALITY TRAITS
- enduring characteristics that describe an individual’s behaviour

a. The Myers-Briggs Type Indicator (MBTI):

i. Extraverted v Introverted Check your own personality
ii. Sensing v Intuitive
iii. Thinking v Feeling https://www.16personalities.com/f
ree-personality-test

iv. Judging v Perceiving

b. The Big Five Model:
i. Emotional stability – handle stress and calm (work under pressures).

ii. Extroversion - sociable and assertive
iii. Openness – fascination with novelty and creative
iv. Agreeableness – cooperative and trusting.
v. Conscientiousness – responsible and dependable

4. MAJOR PERSONALITY ATTRIBUTES INFLUENCING OB

i. Core self evaluation: assess your own strength and weakness

ii. Machiavellianism: believes that ends can justify means

iii. Narcissism: arrogant
iv. Self Monitoring: individual’s ability

v. Risk Taking: willing to take risk

21

vi. Proactive personality: show initiative
vii. Others: Type A (aggressive)
4. ACHIEVING PERSONALITY FIT
- Which job suits me?

Hiring

Changing Organizational
environment culture

- Technology -hardworking
- Knowledge
- information - risk taking

SELF-REFLECTION 4: KNOWING YOURSELF FOR THE BETTERMENT OF THE
ORGANIZATION

Position: examples - Salesman

Personality:

- extrovert: have to meet customer everyday

- Self monitoring: I have to do marketing by my own target
- Openness: make product more attractive
- Risk taking: target sales RM1 million
- Agreeableness: I can work with my sales team to achieve RM1 million

target sales

22

Mind map for Topic 4

Exercises:
1. List 8 types of personality under MBTI.
_________________________________________________________
_________________________________________________________
_________________________________________________________
2. List 5 types of personality under The Big Five Model.
_________________________________________________________
_________________________________________________________

23

WEEK 5:
VALUES – nilai atau kepercayaan

1. WHAT ARE VALUES
2. IMPORTANCE OF VALUES
3. TYPES OF VALUES
4. HOFSTEDE’S FRAMEWORK FOR ASSESSING CULTURE

“..Wahai umat manusia! Sesungguhnya Kami telah menciptakan kamu dari lelaki dan
perempuan, dan Kami telah menjadikan kamu berbagai bangsa dan bersuku puak, supaya
kamu berkenal-kenalan (dan beramah mesra antara satu dengan yang lain). Sesungguhnya
semulia-mulia kamu di sisi Allah ialah orang yang lebih taqwanya di antara kamu, (bukan
yang lebih keturunan atau bangsanya). Sesungguhnya Allah Maha Mengetahui, lagi Maha
Mendalam PengetahuanNya (akan keadaan dan amalan kamu).”

(Al-Hujuraat 49:13)

24

1. WHAT ARE VALUES
Basic convictions that a specific mode of conduct or end state of existence is
personally or socially preferable to an opposite or converse mode of conduct or end-
state of existence. Good value: work with others, helping people, giving opinions,
contributions (sedekah), hardworking, cooperatives.

Exercises: List 10(ten) bad value that can harm the organizations.

25

2. IMPORTANCE OF VALUES
26

3. TYPES OF VALUES
Terminal values : Desirable end states of existence; the goals a person would like to
achieve during his or her lifetime
Instrumental values : Preferable modes of behaviour or means of achieving one’s
terminal values.

Values

27

4. HOFSTEDE’S FRAMEWORK FOR ASSESSING CULTURE

SELF-REFLECTION 5: BOUNDARYLESS ORGANIZATIONS. WORKING WITH
DIFFERENT PEOPLE

28

Mind map for Topic 5

Exercises.
1. Define Values: _________________________________________________
2. List 3 importance of Values to the organizations.
______________________________________________________________
______________________________________________________________
______________________________________________________________

29

WEEK 6:
PERCEPTION

1. WHAT IS PERCEPTION
2. FACTORS INFLUENCING PERCEPTION
3. MAKING JUDGEMENTS ABOUT OTHERS
4. FREQUENTLY USED SHORTCUTS IN JUDGING OTHERS

30

1. WHAT IS PERCEPTION
- A process by which individuals organize and interpret their sensory

impressions in order to give meaning to their environment.
For examples:

COMPANY’S
SALES/open new
branch / cut
operations

In your opinions, what would they say about the situation occurs?
a. CEO ? – nevermind…I have another 10 companies / profit increase / saving
cost
b. Middle management ?....my salary will be cut / more job / salary increase /
sack
c. First Line workers? …I will be fired../ need to be transfer / family / the first
person need to be sack

31

2. FACTORS INFLUENCING PERCEPTION
32

3. MAKING JUDGEMENTS ABOUT OTHERS
33

4. FREQUENTLY USED SHORTCUTS IN JUDGING OTHERS
a. Selective perception – the tendency to selectively interpret what one sees on

the basis of one’s interests, background, experience and attitudes

b. Halo effect – the tendency to draw a general impression about an individual
on the basis of a single characteristic.

34

c. Contrast effects – evaluation of a person’s characteristics that is affected by
comparisons with other people recently encountered who rank higher or lower
on the same characteristics.

d. Stereotyping – judging someone on the basis of one’s perception of the group
to which that person belongs
“Men aren’t interested in child care” “Men don’t know to cook”
“Older workers can’t learn new skills” “
“Asian immigrants are hardworking”

SELF-REFLECTION 6: EACH PEOPLE ARE DIFFERENT IN THEIR PERCEPTION.
LET’S YOU EXPLAIN SUCCESS IN LIFE. YOU WILL GET VARIETY OF
ANSWERS.

35

Mind map for Topic 6

Exercises.
1. Define perception: ___________________________________________
2. List 3 factors influencing perception:
__________________________________________________________
__________________________________________________________
__________________________________________________________
3. List 4 shortcuts in judging perception.
__________________________________________________________
__________________________________________________________
__________________________________________________________

36

WEEK 7:
LEARNING

1. DEFINITION
2. THEORIES OF LEARNING

Bacalah (wahai Muhammad) dengan nama Tuhanmu yang menciptakan (sekalian makhluk),
(Al-'Alaq 96:1)

37

1. DEFINITION
- Any relatively permanent change in behaviour that occurs as a result of
experience

2. THEORIES OF LEARNING
a. Classical conditioning - A type of conditioning in which an individual responds

to some stimulus that would not ordinarily produce such a response
In life, example:

How many peoples will break the rules?
How many people will obey the rules?
In organization, you will learned from time to time how to survive in
the organizations based on what you have experience. Examples:

38

b. Operant conditioning - A type of conditioning in which desired voluntary
behavior leads to a reward or prevents a punishment

c. Social learning - The view that people can learn through observation and
direct experience

SELF-REFLECTION 7: LEARNING IS A EVERYDAY PROCESS FOR EVERY
EMPLOYEES

39

Mind map for Topic 7

Exercises:
1. Define Learning: _________________________________________
2. List 3 theories of learning:
_________________________________________________________
_________________________________________________________

40

WEEK 8:
INDIVIDUAL DECISION vs GROUP DECISION MAKING

1. STEPS IN RATIONAL DECISION MAKING PROCESS
2. BOUNDED RATIONALITY
3. COMMON BIASES AND ERRORS
4. GROUPTHINK AND GROUP SHIFT
5. GROUP DECISION MAKING TECHNIQUES

41

1. STEPS IN RATIONAL DECISION MAKING PROCESS

RATIONAL DECISION
MAKING

Activity 1: Think about some problem that you’ve failed to solved. What’s going
wrong? Now, try to solve it by using rational decision making process.
Issue: Introduce new product
As a CEO, explain your decision to make sure the product succeed.

42

2. BOUNDED RATIONALITY
- A process of making decisions by constructing simplified models that
extract the essential features from problems without capturing all their
complexity.

43

3. COMMON BIASES AND ERRORS

A. OVERCONFIDENCE BIAS - overestimate their performance and ability
B. ANCHORING BIAS – a tendency to fixate on initial information
C. CONFIRMATION BIAS - a tendency to seek out information that reaffirms

past choices
D. AVAILABILITY BIAS – to based their judgements on information that is readily

available
E. ESCALATION OF COMMITMENT – an increase commitment to a previous

decision
F. RANDOMNESS ERROR – believe that they can predict the outcome of

random events
G. HINDSIGHT BIAS – to believe falsely, after an outcome of an event is actually

known
H. RISK AVERSION – to prefer a sure gain over a riskier outcome, even the

riskier outcome might have a higher expected pay-off

44

Exercises: Imagine that you’ve been hire by a multi-million company as a consultant.
Recently, this company might have facing some difficulties on their sales
performances. You’re required to find out what mistakes and error have been done

on their previous decision making that results such bad results on their performance.

Bad company Consultant
- List 5 problem facing by the - Solve the problem

company (sales decrease, no (cut cost, ad hoc meeting,
teamwork, bad counselling, multi-skilled
communication, R&D, workers, financial
workers, low productivity) management, salary scale,
technology)

4. GROUPTHINK (GT) AND GROUP SHIFT(GS)

GT - Groupthink is a psychological phenomenon that occurs within a group of people,
in which the desire for harmony or conformity in the group results in an irrational or
dysfunctional decision-making outcome. Group members try to minimize conflict and
reach a consensus decision without critical evaluation of alternative viewpoints, by
actively suppressing dissenting viewpoints, and by isolating themselves from outside
influences. Loyalty to the group requires individuals to avoid raising controversial
issues or alternative solutions, and there is loss of individual creativity, uniqueness
and independent thinking. The dysfunctional group dynamics of the "in-group"
produces an "illusion of invulnerability" (an inflated certainty that the right decision has
been made). Thus the "in-group" significantly overrates its own abilities in decision-
making, and significantly underrates the abilities of its opponents (the "out-group").
Furthermore groupthink can produce dehumanizing actions against the "out-group".

GS - Groupshift is a phenomenon in which the initial positions of individual members
of a group are exaggerated toward a more extreme position. When people are in
groups, they make decisions about risk differently from when they are alone. In the
group, they are likely to make riskier decisions, as the SHARED risk makes the
individual risk less

45

An example of groupshift is when the fans of a sports team celebrate the win of their
team and their celebration turns to destruction of property. What appears to happen in
groups is that the discussion leads to a significant shift in the positions of members
toward a more extreme position in the direction in which they were already leaning
before the discussion; so conservative types become more cautious and the more
aggressive types take on more risk. For example, one study examined what would
occur if prejudiced students were asked to discuss racial issues and what would
happen if non-prejudiced students discussed the same racial issues. The prejudiced
students became more prejudiced whilst the non-prejudiced students became more
non-prejudiced (Myers & Bishop, 1970).

5. GROUP DECISION MAKING TECHNIQUES
A. Brainstorming – an idea generation process that specifically encourages any

and all alternatives while withholding any criticism of those alternatives
B. Nominal Group Techniques – a group decision making method in which

individual members meet face to face to pool their judgements in a systematic
but independent fashion
C. Electronic meetings – a meeting in which members interact on computers,
allowing for anonymity of comments and aggregation of votes.

SELF REFLECTION 8: THE (3) ADVANTAGES AND (3) DISADVANTAGES OF
GROUP DECISION MAKING

46

Mind map for Topic 8

Exercises:
1. List 8 steps in rational decision making
__________________________________________________________
__________________________________________________________
__________________________________________________________

2. List 8 common biases and errors

__________________________________________________________
__________________________________________________________
__________________________________________________________

47

WEEK 9:
MOTIVATION

1. Define Motivation
The processes that account for an individual’s intensity, direction and
persistence of effort toward attaining a goal.
Benefits to Workers: enhance performance, do the best, build good workplace
environment
Benefits to the organizations: increase productivity, increase profit, well-planned

48

2. Early Theory of motivation.
Exercises: Find the definition
a. Abraham Maslow’s hierarchy of needs
BASIC NEEDS

b. ERG THEORY: EXISTENCE, RELATEDNESS, GROWTH
c. Theory x and y

LIKE OR DISLIKE WORK?

d. Two factor theory
INTRINSIC OR EXTRINSIC

e. McClelland’s Theory of needs

3: ACHIEVEMENT, POWER AND AFFILIATION

49

3. Contemporary theories
a. Self-determination theory

INTRINSIC –Your Own Decision

b. Goal setting theory
SPECIFIC GOALS

c. Reinforcement theory
BEHAVIOR + CONSEQUENCES

d. Equity theory
COMPARISON WITH OTHERS

e. Expectancy theory
OUTCOME - KPI

50