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1.

Introduction
Organizational behavior is the field of study that investigates how

organizational structures affect behavior within organizations. Actions and attitudes of individuals and groups toward one another and toward the organization as a whole and its effect on the organization's functioning and performance are important. Micro organizational behavior refers to individual and group dynamics in an organizational setting. Macro organizational theory studies whole organizations and industries, including how they adapt, and strategies, structures, and contingencies that guide them. Organizational behavior studies the impact individuals, groups, and structures have on human behavior within organizations for the purpose of applying such knowledge toward improving an organization's effectiveness. It is an

interdisciplinary field that includes sociology, psychology, communication, and management. Organizational behavior complements organizational theory, which focuses on organizational and intra-organizational topics, and complements human resource studies, which is more focused on everyday business practices. Many factors come into play whenever people interact in organizations. Modern organizational studies attempt to understand and model these factors. Organizational studies seek to control, predict, and explain. Organizational behavior can play a major role in organizational development, enhancing overall organizational performance, as well as also enhancing individual and group performance, satisfaction, and commitment.
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1.1 Individual behavior and its relationship with intrinsic and extrinsic rewards
Individual behaviour refers to how individual behaves at work place, his behaviour is influenced by his attitude, personality, perception, learning and motivating. This also refers to the combination of responses to internal and external stimuli. Factors affecting individual behaviour can be genetic or environmental. One can be either programmed to behave in a certain way or the environmental factors like climate and geography force us to react in certain ways. Human behavior refers to the range of behaviors exhibited by humans and which are influenced by culture, attitudes, emotions, values, ethics, authority, rapport, hypnosis, persuasion, coercion and genetics. First of all, culture refers to the shared patterns of behaviours and interactions, cognitive constructs, and affective understanding that are learned through a process of socialization. These shared patterns identify the members of a culture group while also distinguishing those of another group. Next, attitude stands for a hypothetical construct that represents an individual's like or dislike for an item; mental position relative to a way of thinking or being. The current popular usage of attitude implies negative mind-sets, "chip on the shoulder" behaviour, and an inner anger toward the prevailing majority of thought. Thirdly, emotion is a feeling that is private and subjective; a state of psychological arousal an expression or display of distinctive somatic and autonomic responses. Then, values means beliefs of a person or social group in which they have an emotional investment (either for or against something). Ethics is the response based

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on what is right; the process of determining how one should hold the interests of various stakeholders, taking into account moral values/principles

Authority is the the power or right to give orders or make decisions. Furthermore, coercion is obtaining a response by use force; compelling a person to behave in an involuntary way (whether through action or inaction) by use of threats or intimidation. Persuasion means obtaining a response by convincing a person; the process of guiding people toward the adoption of an idea, attitude, or action by rational and symbolic (though not always logical) means. It is strategy of problem-solving relying on "appeals" rather than force. Lastly, genetics can be inherited from parents; pertaining to genes or any of their effects. An intrinsic reward is an intangible award of recognition or a sense of achievement motivation, in any endeavour when one feels in the Maslows hierarchy as attainment in conscious satisfaction. It is the knowledge that one did something right, or one made some body's day better. On the other hand, an extrinsic reward is an award that is tangible or physically given to us for accomplishing something as recognition of ones endeavour. Extrinsic rewards, usually financial, are the tangible rewards given employees by managers, such as pay raises, bonuses, and benefits. They are called extrinsic because they are external to the work itself and other people control their size and whether or not they are granted. In contrast, intrinsic rewards are psychological rewards that employees get from doing meaningful work and performing it well. On top of that, extrinsic rewards played a dominant role in earlier eras, when work was generally more routine and bureaucratic, and when complying with rules and procedures was paramount. This work offered workers few intrinsic rewards, so that

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extrinsic rewards were often the only motivational tools available to organizations. Last but not least, extrinsic rewards remain significant for workers, of course. Pay is an important consideration for most workers in accepting a job, and unfair pay can be a strong de-motivator. However, after people have taken a job and issues of unfairness have been settled, we find that extrinsic rewards are now less important, as day-to-day motivation is more strongly driven by intrinsic rewards.

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2.0

Biological and individual factors


Biographical Characteristics refers to finding and analysing the variables

that have an impact on employee productivity, absence, turnover, and satisfaction is often complicated. Biographical characteristics can define are generic in nature and are inherited. Many of the concepts: motivation, or power, politics or organizational culture are hard to assess. Physical characteristic are related to height, skin, complexion, vision, shape and size. Whether there is a correlation between body structure or not has been scientifically proven. Physical abilities gain importance in doing less skilled and more standardized jobs. Individuals differ in the extent to which they have each of these abilities. High employee performance is likely to be achieved when management matches the extent to which a job requires each of the nine abilities and the employees abilities. The personal characteristic are more easily definable and readily available data that can be obtained from an employees personnel file and include characteristics such as age, gender, religion, marital status, ability, physical abilities, experience and etc. In the first, age is one of the characteristics. The relationship between age and job performance is increasing in importance. There is a widespread belief that job performance declines with increasing age. The workforce is aging and the workers over 55 are the fastest growing sector of the workforce. Employers perceptions are mixed. They see a number of positive qualities that older workers bring to their jobs, specifically experience, judgment, a strong
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work ethic, and commitment to quality. But, older workers are also perceived as lacking flexibility and as being resistant to new technology.Psychologically, young people are expected to be more energetic, innovative, adventurous, and ambitious and risk taking. Whereas old people supposed to be more conservative, set their own way and less adaptable. Next, the gender is differences between female and male. There are few important differences between men and women that will affect their job performance, including the areas have problem-solving, analytical skills, competitive drive, motivation, sociability, and learning ability. Women are more willing to conform to authority, and men are more aggressive and more likely than women to have expectations of success, but those differences are minor. For example, mothers of preschool children are more likely to prefer part-time work, flexible work schedules, and telecommuting in order to accommodate their family responsibilities. In the absence and turnover rates, womens quit rates are similar to mens. The research on absence consistently indicates that women have higher rates of absenteeism. The logical explanation is cultural expectation that has historically placed home and family responsibilities on the woman. Religion and religion based cultures play an important role in determining some aspects of individual behavior. People who are highly religions are supposed to have high moral values. They are honest they do not tell lies or talk ill of others. Furthermore, marital status not enough studies which could draw any conclusion as to whether there is any relationship between marital status and job performance. Research consistently indicates that married employees have fewer
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absences, undergo less turnover, and are more satisfied with their jobs than are their unmarried coworkers. More research needs to be done on the other statuses besides single or married, such as divorce, domestic partnering, etc. Ability is the criterion used to determine what a person can do. Everyone has strengths and weaknesses in terms of ability in performing certain tasks or activities. The issue is knowing how people differ in abilities and using that knowledge to increase performance. Ability refers to an individuals capacity to perform the various tasks in a job. It is a current assessment of what one can do. In intellectual abilities, are needed to perform mental activity. IQ tests are designed to ascertain ones general intellectual abilities. Examples of such tests are popular college admission tests such as the SAT, GMAT, and LSAT. The seven most frequently cited dimensions making up intellectual abilities are number aptitude, verbal comprehension, perceptual speed, inductive reasoning, deductive reasoning, spatial visualization, and memory. Experience is considered to be a good indicator of employee performance. There is a positive relationship between experience and job performance. There is negative relationship between seniority and absenteeism. Tenure impact of job seniority on job performance has been subject to misconceptions and speculations. Tenure is also a potent variable in explaining turnover. Tenure has consistently been found to be negatively related to turnover and has been suggested as one of the single best predictors of turnover.

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2.1 Concept of emotional intelligence


Emotional intelligence (EI) is the ability to identify, assess, and control the emotions of oneself, of others, and of groups. Various models and definitions have been proposed of which the ability and trait Emotional intelligence models are the most widely accepted in the scientific literature. Emotional Intelligence must somehow combine two of the three states of mind, cognition and affect, or intelligence and emotion. Emotional intelligence is the ability to perceive emotions, to access and generate emotions so as to assist thought, to understand emotions and emotional knowledge, and to reflectively regulate emotions so as to promote emotional and intellectual growth. EI been defined as an individuals capacity to appropriately regulate his or her emotions, and involves the ability to monitor ones own and others feelings and emotions, to discriminate among them, and to use this information to guide ones thinking and action. Emotional intelligence refers to an ability to recognize the meanings of emotion and their relationships, and to reason and problem-solve on the basis of them. Emotional intelligence is involved in the capacity to perceive emotions, assimilate emotion-related feelings, understand the information of those emotions, and manage them. Emotional Intelligence is increasingly relevant to organizational development and developing people, because the EI principles provide a new way to understand and assess people's behaviors, management styles, attitudes, interpersonal skills, and potential. Emotional Intelligence is an important consideration in human resources
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planning, job profiling, recruitment interviewing and selection, management development, customer relations and customer service, and more. Emotional intelligence has the five domains. The five domains identified as knowing the emotions, managing own emotions, motivating a person, recognizing and understanding other people's emotions, managing relationships and managing the emotions of others. Emotional Intelligence embraces and draws from numerous other branches of behavioral, emotional and communications theories, such as NLP (Neuro-Linguistic Programming), Transactional Analysis, and empathy. By developing the Emotional Intelligence in these areas and the five EQ domains that can become more productive and successful at what to do, and help others to be more productive and successful too. The process and outcomes of Emotional Intelligence development also contain many elements known to reduce stress for individuals and organizations, by decreasing conflict, improving relationships and understanding, and increasing stability, continuity and harmony.

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2.2 Framework of emotional competence


Personal Competence Self-Awareness Accurate Self-Assessment Emotional Self-awareness Openness to Self-Improvement Self-confidence Social Awareness Social Awareness Emotional Boundaries Empathy Organizational Awareness Service Orientation

Self-management Adaptability Achievement drive Initiative Self-control Transparency

Relationship management Building Bonds Change Catalyst Conflict Management Developing Others Influence Inspirational Leadership

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2.3 Learned Characteristics


Commonly, individual behaviour is affected by learned characteristics. There are various learned characteristics of an individual. For example, there are heredity, attitudes, perception, personality, environment, attribution and value. First of all, heredity is one of the learned characteristics. Human inherit 60-70% abilities and intelligence. Physical stature, facial attractiveness, gender, temperament, muscle composition and reflexes, energy levels and so on are broadly attributed to biological factors. Parents biological, physiological and inherent psychological make-up contributes to an individuals personality to a great extent. According to Heredity approach, the ultimate explanation of an individuals personality is the molecular structure of the genes, located in the chromosomes. However, the critics observe that if personality characteristics were completely dictated by heredity, they would be fixed at birth and no amount of experience or learning could alter them. Personality is the personal characteristics that lead to consistent patterns of behaviour. According to Slocum and Hellriegal, 'Personality represents the overall profile or combination of stable psychological attributes that capture the unique nature of a person. It combines a set of mental and physical characteristics that reflects how a person looks, thinks, acts and feels.' Fred Luthans has defined personality as peoples external appearance and traits, their inner awareness of self, and the person-situation interaction make up their personalities. S P Robbins observes that personality is sum total of ways in which an individual reacts to and interacts with others. Next, attitudes do not normally predict or cause behaviour in a simple and direct way. Attitude is a persistent tendency to feel and behave in a particular way towards some object. Broadly speaking, attitudes are general evaluations that people make about themselves, others, objects or issues that develop from past experience,
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guide our current behaviour and direct our development in future. These are relatively lasting feelings, beliefs, and behaviour tendencies directed toward specific people, groups, ideas, issues, or objects. Attitude can also be defined as a multiplicative function of beliefs and values. Attitudes are a complex cognitive process that has three basic features: they persist unless changed in some way, they range along a continuum and they are directed towards an object about which a person has feelings or beliefs. There are three principles relate attitudes to behaviour: general attitudes best predict general behaviours, specific attitudes best predict specific behaviours as well as the less time that elapses between attitude measurement and behaviour, the more consistent will be the relationship between them. Moreover, perception is the process of acquiring, interpreting, selecting, and organizing sensory information. The word perception comes from the Latin perception-, percepio, means "receiving, collecting, action of taking possession, apprehension with the mind or senses. According to Stephen P Robbins, Perception is a process by which individuals organize and interpret their sensory impressions in order to give meaning to their environment. The term originated from a Latin word percepio meaning receiving, collecting, action of taking possession, apprehension with the mind or senses. Environment is another learned characteristic. It is one of the factors that exert pressures on our personality formation. The cultures in which we are raised are early conditioning, norms among our family and friends and social groups. The environment we are exposed to plays a substantial role in shaping our personalities. Culture establishes the norms, attitudes, and values passed from one generation to the next and create consistencies over time. Man cannot be separated from his

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environment. His consciousness is inextricably linked with his surroundings, physical and social. He adapts himself to his social environment as well as his physical environment. Both environments affect his organic and mental development. Neither nature nor nurture is more important because they are both essential for the development of the human personality. The basic relativity of nature and nurture cannot be overlooked. Sentience imports for us to be conscious of something and that something, whether painful, pleasurable, or indifferent, comes within our experience. Some experiences are agreeable and some disagreeable; some are of own seeking and some are thrust upon themselves. By far the most important part of the overall environment of man is the social environment. It differs from one nation to another, one period to another, one class to another, and its influences are outside the control of any one individual. Last but not least, attribution also implies the ways in which people come to understand the causes of their own and others behaviour. In essence, the attribution process reflects a persons need to explain events through deliberate actions of others rather than viewing them as random events. People make attributions in an attempt to understand why people behave as they do and to make better sense of their situations. Individuals do not consciously make attributions all the time although they may do it unconsciously most often. However, under certain circumstances, people are likely to make causal attributions consciously.

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2. 4 Environmental factors
The behaviour of an individual is affected to a large extent by the economic environment. There are some environmental factors, including economic factor, political factor, cultural factor, legal environment and demographic factors. A consideration regarding how a consumer's disposable income and other financial resources tend to impact their buying activities. For example, the marketingteam of a manufacturingbusiness might do an analysis of how changes in every significant economic factor relevant to their target consumer market tend to affect consumptionpatterns for their product type. Political factor is a factor that must be taken into account when considering political change or transformation. When the Greek government is 'forced' by the European Union and to implement financially austere policies, one of the political factors the Government must take cognizance is the wishes of the Greek populace. Generally the Greeks are very hostile to any changes that will affect adversely their livelihood. Unfortunately, this is going to happen if the Greek government goes on to carry out what the EU directs. Political factors will affect the individual behaviour through several other factors. The factors are instability and ideology. Instability is accompanied by authoritarian governments that lack democratic responsibilities and pressures. Factors like social mobilization can cause political turmoil. Instability increases uncertainty, adds to indirect costs, planning problems and leads to bureaucratic bottlenecks, economic disruption. Results can be nationalization of industries, restrictions on repatriation of capital and threats to life
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and property. Firms should understand these implications by examining the ideological direction of the change and the differences between the changing parties. Political risk should be viewed as company specific rather than country specific. Ideology is a set of beliefs and assumptions about values that the nation holds to justify and make legitimate the actions and purpose of its institutions. A nation is successful when its ideology is coherent and adaptable, enabling it to define and attain its goals. Ideologies may limit the scope or organization of a business and require distinct relationships with the government. Nationalistic sentiments may put foreign firms at a competitive disadvantage. Understanding the ideology and how it is shifting will enable a manager to understand better the nature of institutional change and manage relations with the government more effectively. Legal environment refers to rules and laws are formalized and written standards of behaviour. Both rules laws are strictly enforced by the legal system. Economic factors are defined infrastructure, employment level, wage rates and etc. Infrastructure is developing countries have less developed infrastructure, physical and informational. Modern facilities are often lacking. [MI]: Influences the choice of production operations, marketing, finance and business government relations. Sometimes companies provide own infrastructure meaning investment requirements are higher. Great opportunities for industries like construction engineering and telecommunications manufacturers. Problems in energy supply lead to production disruptions and higher maintenance costs.

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Employment level is opportunities available to individuals, the wages payable to them, the general economic environment and the technological development affect the individual behaviour to a large extent. In wage rates, the major consideration of every employee working in any organization is his wages. Monetary factor is the major factor affecting the job satisfaction of the worker. Cultural factors are a set of shared values, attitudes, and behaviors that characterize and guide a group of people. Culture shapes the way in which societies organize themselves and interact. There are three dimensions, attitude toward others, individualism or collectivism, structure of relationships, hierarchical or egalitarian (equality), and decision making styles, autocratic or participative. It is developing countries are more receptive to hierarchical, authoritarian, and paternalistic relationships within group, highly loyal to the group being of high concern. More collectivism than the individualism. Industrialized countries have defined class structures which are less distinct and more passable than in LDCs. The cultural bases of a groups social structure and dynamics will significantly shape organizational design and decision-making processes. HRM strategy should be suited around the underlying values, behavioural norms and social groupings. Also, the firms marketing activities are affected by social structures, segmented social structures make markets narrower. This creates market niches. Cultural factors are including time and space, religion, gender, and language. Time and space is included by cultural factors. Different cultures have very distinct orientations toward time and space. Attitudes toward time affect scheduling activities

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and planning orientations. Attitudes toward space can influence office layouts and ones behaviour in personal interactions. Religion has significant influence in various LDCs and can also be an important political actor. Religion can affect work patterns, product preferences, interest charges or conflict among employees. It shapes moral standards which vary across cultures. Gender roles just recently begun to recognize that womens actual and potential economic contributions entails a high socioeconomic profit to society. Unfortunately they are less educated than men, they do more agricultural work. Gender division of labour tends to be more clearly demarcated socially in the developing countries. Affects HRM so it is important to identify the patterns of gender based division and the forces creating these patterns. Mobility restrictions due to social norms may require special transportation services and gender segregated workplaces. Language has developing countries tend to have greater internal cultural diversity and, consequently, greater linguistic diversity. Linguistic diversity carries implications for marketing promotion and advertising strategies and organizational communications among employees with different languages.

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3.0 Conclusion
Behavior is related to performance and productivity. Organizational behavior is the application of knowledge about how people, individuals, and groups act in organizations, in order to achieve the highest performance and dominant results. It focuses the best way to manage individuals, groups, organizations, and processes. Individual behaviour is influenced by his attitude, personality, perception, learning and motivating. This also refers to the combination of responses to internal and external stimuli. The five domains in emotional intelligence identified as knowing the emotions, managing own emotions, motivating a person, recognizing and understanding other people's emotions, managing relationships and managing the emotions of other, enhancing the performance. The study of the way people interact within groups. Normally this study is applied in an attempt to create more efficient business organizations. The central idea of the study of organizational behavior is that a scientific approach can be applied to the management of workers. Organizational behavior theories are used for human resource purposes to maximize the output from individual group members.

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4.0 Reference
http://www.practical-management.com/Organization-Development/IndividualBehavior-in-Organization.html http://individualbehaviour.blogspot.com/ http://giftedkids.about.com/od/glossary/g/intrinsic.htm http://college.cengage.com/business/moorhead/organizational/6e/students/sum maries/ch04.html https://docs.google.com/document/d/10rtRdZZ4DrbtwyNesiGGNlcrDezJC9M u3jXwP9fX0Us/edit?pli=1 http://www.slideshare.net/mishuarora/individual-behaviour Mayer, J. D., Caruso, D., & Salovey, P. (1999). Emotional intelligence meets traditional standards for an intelligence. Intelligence, 27, 267-298. http://psychcentral.com/lib/what-is-emotional-intelligence-eq/0001037 http://www.managementparadise.com/forums/indian-management-thoughtspractices/200204-impact-environment-heredity-personality.html http://www.slideshare.net/kottikkal/individual-behaviour-12810177 http://businesscasestudies.co.uk/first-group/managing-externalinfluences/political-and-economic-factors.html#axzz2auAAjXS4

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Coursework

1. Please list out TEN most common barriers to implement successful diversity programs and explain carefully each of them. Barriers and Challenges to Managing Diversity Organizations encounter a variety of barriers when attempting to implement diversity initiatives. It thus is important for present and future managers to consider these barriers before rolling out a diversity program. The following is a list of the most common barriers to implementing successful diversity programs. 1. Inaccurate stereotypes and prejudice. This barrier manifests itself in the belief that differences are viewed as weaknesses. In turn, this promotes the view that diversity hiring will mean sacrificing competence and quality. 2. Ethnocentrism. The ethnocentrism barrier represents the feeling that ones cultural rules and norms are superior or more appropriate than the rules and norms of another culture. 3. Poor career planning. This barrier is associated with the lack of opportunities for diverse employees to get the type of work assignments that qualify them for senior management positions. 4. An unsupportive and hostile working environment for diverse employees. Diverse employees are frequently excluded from social events and the friendly camaraderie that takes place in most offices.

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5. Lack of political savvy on the part of diverse employees. Diverse employees may not get promoted because they do not know how to play the game of getting along and getting ahead in an organization. Research reveals that women and people of color are excluded from organizational networks. 6. Difficulty in balancing career and family issues. Women still assume the majority of the responsibilities associated with raising children. This makes it harder for women to work evenings and weekends or to frequently travel one they have children. Even without children in the picture, household chores take more of a womans time than a mans time. 7. Fears of reverse discrimination. Some employees believe that managing diversity is a smoke screen for reverse discrimination. This belief leads to very strong resistance because people feel that one persons gain is anothers loss. 8. Diversity is not seen as an organizational priority. This leads to subtle resistance that shows up in the form of complaints and negative attitudes. Employees may complain about the time, energy, and resources devoted to diversity that could have been spent doing real work. 9. The need to revamp the organizations performance appraisal and reward system. Performance appraisals and reward systems must reinforce the need to effectively manage diversity. This means that success will be based on a new set of criteria. Employees are likely to resist changes that adversely affect their promotions and financial rewards. 10. Resistance to change. Effectively managing diversity entails significant organizational and personal change.

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