PRESIDENT RAMON MAGSAYSAY STATE UNIVERSITY

IBA ZAMBALES

COLLEGE OF INDUSTRIAL
TECHNOLOGY

Industrial Psychology Module

KRISZANNE DE GUIA, LPT, MAIP

CHAPTER 1
INTRODUCTION TO THE INDUSTRIAL PSYCHOLOGY

The specialty of industrial-organizational psychology (also called I/O psychology) is characterized by the
scientific study of human behavior in organizations and the work place. The specialty focuses on deriving
principles of individual, group and organizational behavior and applying this knowledge to the solution of
problems at work

SCOPE AND IMPORTANCE OF INDUSTRIAL PSYCHOLOGY

• Filipino have fantasies about being rich. Filipino join the lotteries, sweepstakes and other means
to make money easily. Suppose a college student won P10 million in the lottery. Suddenly, he’s
millionaire! Will he look for a job?

WHY DO PEOPLE WORK ?

• First, work offers a person a sense of identity and status, telling them and others who and what
they are. Work contributes to self-esteem and can satisfy the drive for fulfillment and
accomplishment for meaning and purpose in life.
• Second, a job brings social rewards, meeting the need for belonging to a group and providing the
security that comes from becoming an accepted and valued member of a team or community
• Thus work can be good for us, but it can also be harmful to our health. In addition to physical
hazards in the workplace itself, a job can contribute to a person’s level of anxiety or frustration.
• Choosing the most appropriate career and selecting the right kind of job may be the most
important decision you as students will ever have to make.
WHAT IS INDUSTRIAL PSYCHOLOGY
• Psychology is the science of behavior and mental processes.
• INDUSTRIAL PSYCHOLOGY then, is defined as the application of the methods, facts and
principles of the science of behavior and mental processes to people at work.
• A science deals only with observable fact- that which can be seen, heard, touched, measured, and
recorded.
• Overt Behavior- movements and speech is being observed
• PSYCHOLOGY deals with intangible human aspects such as motivation, emotion, thoughts, and
feelings, these are the facets of our inner subjective life cannot be served directly

THINGS BEING OBSERVED

• behavior of the worker
• the secretary at the desk
• executive at the meeting
• record the persons’ behavioral responses
• the number of parts produced each hour
• the number of word type per minute
• the quantity, and quality of decision made.
• Psychology is a little more than 100 yrs. old, and Industrial Psychology had its formal beginning
only in the early year of twentieth century.
The Theory of Advertising, a book generally considered to be the first dealing with Psychology
and an aspects of the world of work. In 1903, a second book appeared: The Psychology of
Industrial Efficiency by Hugo Munsterberg

THE PRACTICULARLY VALUE OF INDUSTRIAL PSYCHOLOGY

1. Industrial psychologists add directly to an organization’s profit.
Consider the problem of the employee absenteeism. Employees who fail to show up for work cost
their company money. The various techniques applied by industrial psychologist to reduce
absenteeism can lead to a saving s of as much as $1000 per employee.
Another costly problem faced by organization is turnover. When employees quit, the company
loses money it spent in selecting and training them.
• 2. Enhancing job satisfaction is another major concern of industrial psychologist
An increase in the number of contented employees can reduce grievances, strikes, absences,
tardiness, and turnover. Improving the job attitudes of one group of 160 bank tellers saved the
organization more than $125, 000 in a single year.

EMPLOYMENT OF INDUSTRIAL PSYCHOLOGISTS

A survey of personnel administrator revealed that they believe industrial psychologist make important
contributions in the following areas:
1. Management training
2. Employee motivation
3. Morale job satisfaction
4. Management selection
5. Employee training
6. Productivity
7. Performance appraisal
8. Employee selection
9. Designing work conditions
10. Designing organizational structure
AREAS OF INDUSTRIAL PSYCHOLOGY
• A. TECHNIQUES, TOOL AND TACTICS
• It would be difficult to comprehend fully the work of industrial/organizational psychologist
without some understanding of the ways in which they perform their research and reach their
conclusions.
• B. EMPLOYEE SELECTION
• The success to perform or failure of any organization depends in large measure on the caliber of
its employees.
• C. PERFORMANCE APPRAISAL
• How great a salary increase should you get next year? Should you be fired? (quality of your job
performance)
• D. TRAINING AND DEVELOPMENT
• The goal of training programs in any organization is to develop specific skills, attitudes, and
capacities to maximize the individual’s job performance.
• E. LEADERSHIP
• A key aspect of the worth of any organization is the quality of its leadership, from supervisor to
president. This problem is of concern to person for two reasons: (1) as an employee, you will
work under a supervisor and your efficiency and satisfaction will be affected by the style and
nature of this leaders; and (2) because most business leaders today come from the ranks of the
college educated, you will most likely find yourself, in time at some level of leadership.
CHAPTER 2 & 3
Techniques, Tools, And Tactics

WHY STUDY RESEARCH METHODS?

• A knowledge on the methods of research will enable one to make a decision wisely
METHODS OF DATA COLLECTION
A. The Experimental Method
• The purpose of an experiment is to determine the effects of influence of one variable on the
performance of behavior of a group of subjects (the people being studied).
B. Control Groups
• There are two ways in bringing the possible similarity between the control group and the
experimental group. One group is the Random Group Design which involves the random
assignment of the subjects to the experimental and control.

TWO BASIC TYPES OF QUESTIONS USED IN SURVEYS

• In OPEN-END QUESTIONS, respondents are allowed to present their answers freely in their
own words without any limitations imposed by the interviewer or by the phrasing of the question.
• The FIXED-ALTERNATIVE QUESTIONS limits person’s answer to a fixed number of
alternatives. The sample questions might be phrased. This type of the type of question greatly
simplifies and speeds up the survey being taken.
Employee Selection 1: Principles And Techniques
• IMPROPER selection is so costly, management must make better use of all available
psychological tools and techniques to ensure the majority of those who are hired will work to
their ultimate advantage, and their organization.
• ORGANIZATIONAL ENTRY
• The positive impact of the initial job challenge has been found to stimulate employees to perform
at high levels throughout their careers.
• EMPLOYEE PREFERENCES
• It is obvious that college graduates have different job preferences from high school graduates,
who, in turn, have different preferences and expectancies from those who did now complete high
school.
• When asked what they expected from a job, they listed five factors:
• Interesting work
• Work in a friendly place
• Good pay
• Satisfaction from the work
• Mastery of occupational skills

THE RECRUITMENT PROCESS

• Most companies rely on the people who visit the personnel office or are referred by current
employees.
• Recruiter who will appear on the college campus during your senior year to conduct interviews.
• The gap between these two sets of beliefs reflects a large problem that college campus recruiters
face: finding candidates who have a realistic view of the world of work. This is a major reason
why college recruiting does not produce the most desirable results.
AN OVERVIEW OF THE SELECTION PROCESS
• Recruitment decisions follow
• 1. PRELIMINARY INTERVIEW. An initial look at an applicant in a preliminary interview is a
rough screening device that provides a general impression of the individual.
• 2. APPLICATION BLANK. Those who pass the general screening complete a formal
application blank that provides detailed background information on personal characteristics,
employment history and education.
• 3. EMPLOYMENT TEST. Psychological tests are administered to those who appear to be
qualified from their application blanks.
• 4. FINAL INTERVIEW Based on the considerable information now available on the applicant,
detailed and insightful questions are prepared for an intensive structured interview.
• 5. REFERENCES. If the person has successfully completed all these steps, the personal and
business references named by the applicant are contacted.
• 6. PHYSICAL EXAMINATIONS. Because some jobs have demanding physical requirements,
the applicants may be examined by a physician.
JOB ANALYSIS
• the precise nature of the component tasks performed by the workers on a particular job.
• includes information on the kind of equipment or tools used, the operations performed, unique
aspects of the job such as safety hazards, education or training required, pay scale and so on.
• to establish a training program for a particular job.
•
TWO TYPE OF QUESTIONNAIRE ARE USED IN JOB ANALYSIS
• THE UNSTRUCTURED QUESTIONNAIRE or open approach, the workers or the supervisors
describe in their own words the detail of the job and the tasks performed,
• THE STRUCTURED QUESTIONNAIRE , workers of supervisors are provided with specific
and detailed description of variety of task, operations, the working conditions and the like.
• One structure questionnaire is the Position Analysis Questionnaire, which consist of the 194 job
elements related to specific human behaviors.
INTERVIEWS
The personal interview is the single most frequently used selection technique. Regardless of what other
selection techniques are used, every prospective employer seems to want to meet a job candidate in
person.
TWO TRADITIONAL KINDS OF INTERVIEW
The UNSTRUCTURED INTERVIEW is characterized by a lack of structure or advance planning, are
left entirely to the discretion of the individual interviewer.
STRUCTURED INTERVIEWS represent a considerable improvement over structured interviews and
have the potential for higher predictive validity.

REFERENCES AND LETTERS OF RECOMMENDATION

• The purpose of this is to explore other people’s impressions of the applicants and to verify the
nature of the work experience the applicants report.
ASSESSMENT CENTERS: SELECTION BY SIMULATION
• The assessment center is a popular method of selection that places applicants in a simulated job
situation so that their behavior under stress can be observed and assessed. This approach, initially
called situational testing, was first developed and used during World War II by the Office of
Strategies Services.(OSS)
LIE-DETECTOR TESTS
• The polygraph or lie-detector apparatus is widely used in industry today to screen out potentially
dishonest job applicants and to attempt to detect theft.

STANDARS SUCCES PREDICTORS FOR MANAGERS

Other studies suggest two things about background success predictors:
(1) not all those who are high in success characteristics are later successful on the job;
(2) some of those who are low in characteristics are successful on the job.
CHAPTER 4
Employee Selection : Psychological Testing

• Psychological test are the important technique in selecting personnel, and this widespread at all
levels and periods of life.
• Schools give intelligence, aptitude and interest test to pupils of various stages. Once the students
have experienced difficulties in school, either academically or socially, they are referred to a
psychologist, to administer additional psychological tests to diagnose their problem.
WHAT IS A PSYCHOLOGICAL TEST?
• A psychological test is a measuring device, a yardstick applied in consistent and systematic
fashion to measure a sample of behavior.
• to measure level of comprehension
• to assess more complex abilities or characteristics.
• psychological test are more sophisticated and rigorous measuring device that have been
developed thorough, and careful research.
PURPOSES OF PSYCHOLOGICAL TESTS
• Two purposes are served by psychological tests: SELECTION and PLACEMENT.
• For SELECTION, the emphasis is on finding a person with the right qualifications for a
particular job
• For PLACEMENT, the emphasis is in the individual. The problem is to find the right kind of job
for a particular person.

CHARACTERISTICS OF PSYCHOLOGICAL TESTS

• A good test involves much more than a list of question that may sound relevant to the variable
being measured. A proper psychological test is standardized, objective, based on sound norms,
reliable and valid.
1. Standardization
Standardization refers to the consistency or uniformity of the conditions and procedures for
administering a test.
2. Objectivity
Objectivity, as a characteristics of psychological test, refers primarily to the scoring of the test
results.
A subject test is liable to misinterpretation because of a scorer’s attitudes, prejudices, or
momentary mood.
3. NORMS
• To interpret the results of psychological test, a frame of reference of point of comparison must
exist so that the performance of one individual can be compared with the performance of other,
similar individuals. The word norm in the context refers specially to the averages or typical
performance on the test; this does not imply a level “normal” or desirable behavior as we might
use the term in everyday conversation.

4. Reliability
• Reliability refers to the consistency of response on a test.
• Before a test can be administered to the public, it is necessary to have a precise indication of the
test’s reliability.
• There are several methods for determining reliability
• A. The test retest method involves administering a test twice to the same group of people and
correlating the two sets of scores.
• B. The equivalent-forms method uses a test-retest approach. Instead of taking the same test a
second time, a similar form of the test is given, and the two sets of scores are correlated.
• C. The third approach is the split-halves method. The test is taken once, divided in half, and the
two sets of items are correlated with each other.

5. Validity
• One of the most important requirements of any psychological test is that measures accurately
what it is intended to measure is a simple concept to understand but more difficult to attain.
ESTABLISHING A TESTING PROGRAM
• The basic steps in setting up a testing program are essentially the same as those necessary for any
kind of selection program.
• Psychologists can choose or develop the most appropriate selection tests and conduct the exacting
research necessary to ensure the success of the complete program
• Time is also important. The company needs qualified workers as soon as possible and may be
unwilling or unable to wait for a useful test to be developed.

TYPES OF PSYCHOLOGICAL TESTS: ADMINISTRATION

• Individual and Group Test
Some tests are designed so that they can be administered to a large number of people at the same
time. These group tests are advantageous in a situation that requires the testing of many people.
• Computer-Assisted Testing
The advantage to computer-assisted testing is greater than just the mechanical presentations of
questions.
In the computer-assisted testing situation, you do not have to waste your time answering
questions that are below your below your level of intelligence

• Paper-and Pencil and Performance Tests

Paper-and-pencil test are the kind of test wherein questions are printed form and the answers are
recorded on an answer sheet. Most of the standard group test of intelligence, interest, and
personality are paper-and-pencil tests.
TYPES OF PSYCHOLOGICAL TESTS: BEHAVIOR MEASURED
• Cognitive Ability
• Several test of cognitive ability (better known as intelligence tests) are used in industrial
selection. Group intelligence tests, the kind used most often, are primarily a rough screening
device
• Intelligence test items relate mostly to educational material; such as spelling, reading, or
mathematics.

The Otis-Self-Administering Test of Mental Ability,

• one of the most frequently used selection tests, has proven to be useful for screening applicants
for a wide variety of jobs, including office clerks, assembly-line workers, calculating and
tabulating machine operators, and lower-level supervisors --- jobs not requiring an extremely high
level of intelligence.
The Wonderlic Personnel Test
• a shortened version of one the Otis series of tests, is particularly popular in industrial selection. It
takes a mere 12 minutes to complete, making it an economical screening device.
The Wechsler Adult Intelligence Scale-Revised (WAISR)
• is lengthy, individual administered test that is not widely used for selection purposes. Its use the
generally registered to very high-level management personnel.

Interests
• Interest inventories are of greater value in vocational guidance and counselling than in industrial
personnel selection. Some companies do include measures of interest as part of their total testing
programs.
Aptitudes

• Aptitudes test must be created especially to measure the skill required by that job, but there are
published tests that measure general aptitudes for mechanical and clerical skill
Motor Ability
• Many jobs in industry and the military require a high degree of motor skill involving muscular
coordination, finger dexterity, or precise eye-hand coordination.
• The MacQuarrie Test for Mechanical Ability is one of the few test of motor ability in paper-and-
pencil form.
• The Purdue Pegboard is a performance test that stimulates condition on as largely movement
skills of fingers, hands, and arms.
• The o’Connor Finger Dexterity Test and O’Connor Tweezer Dexterity Test measures how fast a
person can inserts pins into small holes, both hands and by the use of tweezers
• The Minnesota Rate of Manipulation Test consists of two parts. The examinee’s task in the first
part is to place 60 cylindrical block in 60 wells in a board. The second task is to turn all the
blocks over. The scores is the amount of time taken to complete each task.

Personality

• Personality tests, the most controversial type of test, are still used for selection purposes, despite
evidence casting doubt on their predictive validity.
• THE SELF-REPORT INVENTORY presents examinees with a variety of items that deal with
specific situations, symptoms, or feelings,
• The PROJECTIVE TECHNIQUE APPROACH to personality testing presents the individual
with an ambiguous stimulus such as an inkblot. The task is to give some structure and meaning to
this stimulus. These test cannot be faked because there are no right and wrong answers.

Projective Techniques
• Projective tests of personality were developed primarily for use in clinical psychology for work
with emotionally disturbed individuals.
• Rorschach, popularly known as the inkblot test.
• the Thematic Apperception Test. The TAT is used primarily in clinical psychology and research
but occasionally in the industrial situation.
LIMITATIONS AND DANGER OF PSYCHOLOGICAL TESTING
Unfair Rejection of Applicants
• Even the best psychological tests are not perfectly valid. There is always a margin of error in the
population of job success.
Faking Test Responses
• The problem of deliberately distorting responses on a psychological test on such a way as to
maximize the possibility of appearing in a favorable light is a crucial problem with some test used
for personnel selection.
Conformity
• One frequent criticism on the use of psychological test for selection in that it leads to the hiring of
the same type of person – not inclined to rock the boat, unimaginative, interested in preserving
the status quo.
PERFORMANCE APPRAISAL
 The business executive must be able to appraise his own capabilities and limitations honesty.
 – J. Paul Getty

PURPOSES OF PERFORMANCE APPRAISAL

 The overall purpose of performance appraisal is to provide an accurate measure of how well a
person is performing the job.
Validation of Selection Criteria.
 Selection device must be correlated with some measures of job success to establish their validity.
Training Requirements
 A careful evaluation of an employee’s performance may uncover weakness or deficiencies in a
specific job skills, knowledge, or psychological attitude that, once identified, may be remedied
through additional formal training.
Employee Improvement
 Performance appraisal is important to employees because it tells them how they are doing.
Promotions, Wages, and Transfers
 Most people feel, justifiably, that they should be rewarded for above average or superior
performance.
Reduction in Force
 An unfortunate, but seemingly ingrained, aspects or our economic system is the periodic
recession, sometimes in a single industry and sometimes over the entire economy.

TECHNIQUES OF PERFORMANCE APPRAISAL

 Some sample performance measures foe the both kind s of work are listed below:
 Production Jobs:
 Quantity of Output - the number of unit assembles or produced in a given period of time.
 Quality of Output – assessed by inspection standards or the number faulty units produced.
 Accidents – accident recorded of the worker.
 Salary – earnings history of the worker, rate and frequency of increases
 Absenteeism – number of day lost from work
 Rate of Advancement – record of promotion.
 Accidents, salary, absenteeism, and advancement may also be used in assessing performance of
nonproduction jobs.
 Nonproduction Jobs:
 Assessment of Supervisors – appraisal of level of proficiency.
 Assessment of Peers – co—workers, judgement of performance level.
 Self-assessment – appraisal of one’s own performance level.
CHAPTER 6
TRAINING AND DEVELOPMENT IN ORGANIZATIONS
• Training requirements are made more complicated when the workers have had little actual job
experience or are being hired for a type work they have never performed
• Proper training is as important proper selection in placing the right job. Two activities are
complementary, as a rule, one cannot succeed fully without the other.
• Training does more than serve the organization it serves you, the employee, and society as a
whole.
• Many blue-collar jobs in basic industries such as steel are being eliminated as automated
equipment takes over more functions that used to be performed by humans
• Training programs are subject to equal opportunity legislation because decisions on promotion,
firing and transfer are often based on employee performance in a training program.
• Several aspects of training are potential sources of discrimination
• Selection for Training
• The Training Program.
• Retention and Program in Training.
• Job Placement After Training.
•
SPECIFYING TRAINING OBJECTIVES
• The objectives of the training program, then , must derive from the specific needs of the
organization
• A company that automates a manufacturing process, thereby eliminating a number of jobs, may if
vacancies exist elsewhere in the organization want to retrain its employees to fill these positions
• the specific needs of the individual employees, a task accomplished by:
• Job Analysis – is the most frequently used technique for determining training needs and
objectives.
• The Critical-Incidents Technique – which focuses on particularly desirable or undesirable
behaviors on the job,
• Periodic Performance Appraisal – the source of information on training needs that most
workers receive.
• THE TRAINING STAFF
• The quality of an instructor can have a tremendous influence on your performance as a student.
PSYCHOLOGICAL PRINCIPLES OF LEARNING
• Individual Differences in Ability
• some of whom will be capable of learning faster than others. Ideally, the training staff will have
some advance indication of the individual differences in ability.
• Motivation
• Learning will not take place unless the person really wants to learn, and this is true regardless of
the ability.
• Active Practice of the Materials
• For learning to be of maximum effectiveness, trainees must be actively involved in the learning
process,

Mass versus Distributed Practice

• The distributed practice method is usually, but not always, the better approach to learning. It
depends on the nature and complexity of the task or material to be learned.
Transfer of Training
• This means that information learned during training aids or facilities actual job performance.
Knowledge of Results
• People learn more readily when they are given a clear idea of how well they are doing.
Reinforcement
• Those behaviors that lead to, or result in, a reward of some kind tend to be learned;
TRAINING METHODS FOR NONSUPERVISORY EMPLOYEES
• On-the-Job Training
• One of the oldest and most widely used training methods in industry takes place directly on the
job for which the worker is being trained.
• Vestibule Training
• Using the same kind of equipment and operating procedures as in the actual work situation,
trainees learn to perform the job under the guidance of skilled instructors, not experienced
workers.
• Apprenticeship
• Probably the earliest recorded training method still in existence is the apprenticeship program for
skilled crafts and trades.
• Programmed Instruction
• Some of the jobs being taught by this method include blueprint reading, basic electronics,
insurance sales, bank teller procedures, and computer programming.
• Computer-Assisted Instruction
• A logical derivative of programmed instruction is computer-assisted instruction, now being used
by military, government, and business organizations with initial reports of great success.

TRAINING METHODS FOR MANAGERS

• Job Rotation
• a popular management-training technique, involves exposing trainees to different jobs and
department within an organization to acquaint them with all facets of the department.
• Case Study Method
• teach trainees the skill of group problem-solving and decision-making, the ability to analyze and
criticize their own assumptions and interpretations.
• Business Games
• to provide practice in exercising these in a situation in which mistakes will not harm the
organization.
• Teams of trainees compete against one another, each team representing a separate business
organization.
• In-basket Training
• Trainees are given a stack of letter, memoranda, customer complaints, request from subordinates,
and other similar items, presenting them with the problems faced by the managers on the job.
• Role Playing
• In role playing, management trainees project themselves into a particular role and act out
behavior they believe is appropriate in the situation.
• Behavioral Modelling
• The behavior modeling approach to management training involves having trainees model their
behavior on examples of exemplary management performance.
• Sensitivity Training
• Another technique of management training is sensitivity or group training (also as laboratory
training, encounter groups, or action group), designed to develop an understanding of
interpersonal communication and interaction.
CAREER DEVELOPMENT AND PLANNING
• Many organizations now supply training and development opportunities for the entire span of an
employee’s career.
• Many organizations routinely offer counselling and training workshops to aid employees in
personal career planning at all stages of their working lives.
• Industrial psychologists have identified three career stages that you will pass through in your
working life and your needs will probably differ in each of them.
1. THE ESTABLISHMENT STAGE
• -20-40 Years
• -established career
• -adjustment to work routine
• -theyre going to be sucessful
2. THE MAINTENANCE STAGE.
• -40-55 years of age
• -become aware of getting older
• -death is no longer viewed in the abstract
• - time for self examining
3. THE STAGE OF DECLINE
• -50 to 55
• -employees face the end of their career
• -reduced income and of having diminished physical capacity
• -Retirement suddenly brings losses-low job
 The leader must know, must know that he knows, and must be able to make it abundantly
clear to those around him that he knows.
 –Clarence B. Randall

 Organizations today place great emphasis on finding and training leaders at all levels – from
supervisor to president
 All types of organization – business and industry, government and military agencies, universities
and hospitals – recognize the importance of the leadership function.
 Half of all new businesses fail In most cases, the business failures are caused by poor leadership.
 Psychologists play an important role in leadership.
 Anything that affects the fortunes and future of the organization for which you work also affects
you, the employee; leadership is no expectation.
 How well you perform your job as a leader will influence your salary, rank, and sense of self-
worth.
Changing Views Of Leadership
 FREDERICK -W. TAYLOR- philosophy on management was concerned solely with ways to
maintain or increase production levels
 H. Goddard argued persuasively that people with low intelligence required close supervision by
people of more superior intelligence.
 Hawthorne experiments, the workers were exposed to a different style of leadership, one that
allowed them to set their own productions pace and to form social groups.
 Douglas McGregor - two approaches to management behavior were given formal theoretical
expression by psychologist as Theory X and Theory Y.

Theory X approach to management are three assumptions about human nature:

 Most people have an innate dislike for work and will avoid it if they can.
 Therefore, most people must be “coerced, controlled, directed, threatened with punishment” to
get them to work hard enough to satisfy the organization’s goals.
 Most people prefer “to be directed,” wish “to avoid responsibility,” have “relatively little
ambition,” and want “security above all.”
McGregor’s Theory Y, which assumes:
 Most people do not have an innate dislike for work. Indeed, work may be a “source of
satisfaction.”
 Most people display self-discipline in working for goals to which they are committed.
 If self-actualization need can be satisfied trough work, employees will be highly motivated.
 Most people, under proper conditions, are capable not only of accepting responsibility but of
seeking it.
 “The capacity to exercise a relatively high degree of imagination, ingenuity, and creatively in the
solutions of organizational problem is widely… distributed in the population.”
 the intellectual potentialities of the average human being are only partially utilized.”

APPROACHES TO THE STUDY OF LEADERSHIP

 THEORIES OF LEADERSHIP
 1. Contingency Theory by FIELDER

 leader’s effectiveness is determined by the interaction between the leader’s personal

characteristics and some aspects of the situation
 leader’s degree of control over the situation.
 In turn, control of the situation depends on the three factors: the relations between the leader and
the followers; the degree of task structure; and the leader’s position power or amount of authority.
 EXAMPLE: AN ARMY
 AND A PRESIDENT THAT HAS NO PLAN
2. Path-Goal Theory BY HOUSE

 focuses on the kinds of behavior a leader should exercise to allow subordinates to achieve their
goals
 can increase their subordinate’s satisfaction and performance by giving rewards that are
contingent on reaching performance goals.
 House proposed four styles of leader behavior
A. In directive leadership
B. leader lets subordinates know what they should
C. in supportive leadership, the leader sows concern
D. support for subordinates to participate leadership,

 3. Normative Decision Theory BY Vroom & Yetton

 It attempts to prescribe behaviors for leaders in decision-making situation.

 refers to a norm or standard of behavior considered be the correct one.
 The most effective leader behavior depends on three components of the situation
 the quality of the decision
 the degree of its acceptance by subordinates,
 and the time needed to make the decision

LEADERSHIP STYLES

 This section describes several dimensions that distinguish various styles of leadership.
 A. Headship Versus Leadership
 A basic distinction between leadership styles is the source of the decision about who will be
better leader
 headship or nominal leadership, leaders are imposed on the group by external sources
 leadership or effective leadership, the members of the group select those whom they wish to lead
them.
 Persons appointed to leadership positions are automatically given the trapping, status, and
authority of superiors
 Headship usually guarantees that leaders can direct or dominate the actions of followers,
 B. Authoritarian Versus Democratic Leadership
 An AUTHORITARIAN government is dictatorial and tyrannical and it leaders exercise absolute
political, economic and social power.
 A DEMOCRATIC government places a large measure of power in the hands of the people who
are able through the vote to influence the major issues affecting the country

AUTHORITARIAN-DEMOCRATIC LEADERSHIP CONTINUUM

THE ROLE OF POWER IN LEADERSHIP
 Psychologists have identified five kinds of power in terms of the derivation (French & Raven,
1959, Kipnis, 1976):
1. REWARD POWER- Organizational leaders possess the ability to reward their subordinates (with pay
raises or promotion, for example)..
2. COERCIVE POWER- An equally strong source of power is the ability to punish subordinates by firing
them, failing to give them promotions or pay raises, or keeping them in undesirable jobs.
3. LEGITIMATE POWER. This refers to the formalization of the power structure by the rules of the
organization (army, teacher,control the ff.)
4. REFERENT POWER. This relates to the extent to which follower identify with their leaders and the
leaders’ goal. It is similar to the true leadership in which follower accept the leaders’ goals in their own.
5. EXPERT POWER. This refers to the extent to which leaders are perceived to be knowledgeable in an
area that is necessary to the attainment of group goals.

FUNCTIONS OF LEADERS
 One way in which psychologists describe leadership functions is in terms of the two dimensions
known as consideration and initiating structure (Fleishman & Harris, 1962).
 Effective managers display four elements of consideration (Strauss, 1977):
1. CREATING A FEELING OF APPROVAL Employee must feel that their bosses approve of them as
human beings and of the work they do
2. DEVELOPING PERSONAL RELATIONS
3. PROVIDING FAIR TREATMENT. This is an obvious facet of any relationship whether teacher-
student or boos-worker.
4. EQUITABLE RULE ENFORCEMENT.
 Successful managers must create a way as contribute to the attainment of the organization’s
standards and goals.
1. Managers must determine realistic objectives
2. Managers must provide the necessary resources.
3. Managers must make their expectations known
4. Managers must provide an adequate reward structure
5. Managers must delegate authority and invite participation
6. Managers must remove barriers to effective performance
7. Managers must periodically appraise their subordinates’ performance and inform them of the
results.

Supervisors
 Person centered
 Supportive
 Loyal to both company and employees
 Democratic
 Flexible

Executives
 Conceptual skill-making decisions
 Human skills-writing and speaking effectively,
 Technical skills
CHAPTER 8
MOTIVATION, JOB SATISFACTION AND JOB INVOLVEMENT

• One of the most pressing problems facing organizations today is how to motivate employees to
work more productively and to increase their feelings of satisfaction and involvement with their
jobs.

MOTIVATION

• We are driven by a variety of needs and desires, some complementary and others conflicting.
Although we do not fully understand our motivational structure, we do know, from psychological
research, quite a bit about the forces that drive us.
McClelland’s research identified three characteristics of high need-achievement persons:
• They favor a working situation
• a tendency to take calculated risk and to set moderate achievement goals.
• High achievement-need persons must have definite and continuing feedback about their progress.

THE NEED-HIERARCHY THEORY OF MOTIVATION

ABRAHAM MASLOW, prominent psychologist and past president of the American

Psychological Association (APA), developed a theory of motivation in which human needs or
wants are arranged in a hierarchy of importance.
1. Physiological needs
2. Safety needs
3. Belonging and love need.
4. Esteem needs
5. Self-actualization needs
THE ERG THEORY OF WORK MOTIVATION
• CLAYTON ALDERFER suggests three basic human needs
• 1. Existence needs (psychical survival)
• 2. Relatedness needs (interaction with other people , emotional support)
• 3. Growth needs (development)

THE MOTIVATOR-HYGIENE THEORY OF MOTIVATION AND JOB SATISFACTION

• FREDERICK HERZBERG
• Two contrary in this theory
• 1. That lower levels needs have generally been satisfied in contemporary society
• 2. Higher order needs such as self-actualization are cable of producing satisfaction
TWO SETS OF NEED
• those produce job satisfaction
• those that produce job dissatisfaction.

Herzberg suggests the following way of enriching a job

1. Remove some the control over employees increase their personal accountability or
responsibility for their own work.
2. Provide employee with complete or natural units of work where possible.
3. Give employees additional authority and freedom in their work.
4. Provide reports on production on a regular basis directly to the workers instead of their
supervisors.
5. Encourage workers to make a new and difficult tasks
6. Assign highly-specialized task so that workers can become expert in a particular task or
operation.

THE JOB-CHARACTERISTICS THEORY OF WORK MOTIVATION

• Job-characteristics theory was developed by two psychologist, J. Richard Hackman and G.R.
Oldham,
• STUDIES: job characteristics influenced both behavior and attitudes at work, but these
characteristics did not affect all workers in the same way
• Changes in characteristics do not directly influence job behavior.
FIVE CORE JOB DIMENSIONS OR SPECIFIC CHARACTERISTICS OF JOBS:
1. Skill variety This refers to the number and variety of skills and abilities required to perform a
job.
2. Task identity This refers to the unity of a job, whether it involves doing a whole unit of work
or completing a product or making just a part of that product,
3. Task significance . This refers to the importance of the job to the lives and well-being of the
other.
4. Autonomy. The amount of independence an employee has in scheduling and organizing work
is important.
5. Feedback. This obvious job characteristics refers to the amount of information employees
receive about the quality of their job performance.

FIVE SPECIFIC WAYS IN WHICH JOBS MAY BE REDESIGNED OR ENRICH TO

ENHANCE THE CORE JOB DIMENSIONS
A. Combining tasks Combining small specialized task to form new and larger units of work influence
skill variety and task identity.
B. Forming natural work units. Arranging the work into meaningful groups in which the worker is
responsible for an identifiable unit of work enhances task identity and task significance.
C. Establishing client relationships. Putting the worker into direct contact with the client or recipient of
his or her work and making the worker responsible for directing the relationship with the client increases
skill variety, autonomy, and feedback.
D. Vertical loading. Giving the worker more authority, responsibility, and control over the works
increases autonomy.
E. Opening feedback channels. Enabling the works to learn how well he or she is performing the job
increases feedback.

THE EXPECTANCY THEORY OF MOTIVATION

by Victor Vroom
• states that people make choices based on their perceived expectancy that certain rewards will
follow if they behave in a certain way.
THE GOAL-SETTING THEORY OF MOTIVATION
by Edwin Locke
• argues that our primary motivation in a work situations can be defined in terms of our desire to
achieve a particular goal.
• The goal represent what we intend to do at given time in the future.
• For example, we may have ass a goal graduating from college with honors or achieving the
highest sales recorded in the company or getting a pay raise to buy a new house (Locke, 1968).

THE EQUITY OF MOTIVATION

by J. Stacy Adams
• our motivation is influences by our perception of how equitably we are treated at work was
• how much effort we are putting into the work – and our outcome – how much reward we are
receiving for the work.
• Are we getting equal outcomes as a function
Job Satisfaction
• refers to a set of attitudes that employee have about their jobs. We may describe it as the
psychological disposition of the people toward their jobs –

PERSONAL CHARACTERISTICS AND JOB SATISFACTION

AGE
• increases with age
• increase in job satisfaction with age is reliable only until about the age of 60,
• Young workers today expect a great deal of personal fulfillment from their jobs.
• Past generations, influenced by the Great Depression of the 1930s, listed salary, security and
promotion opportunity as their occupational goals.
• Thus, many young people are disappointed when they begin to work because they fail to find
challenge and responsibility (Janson & Martin, 1982).
SEX
• Women important segment of the working force.
• Most routine white collar jobs—such as telephone operator, key punch operator and clerical
work—are held by women and large numbers of women work at assembly-line jobs.
RACE
• Research shows that the white employees report greater job satisfaction than no-white employees
• one third of the employable members of minority groups in the United Stated are unemployed,
• employed irregularly, or too discouraged to continue to seek employment

INTELLIGENCE
• Persons with IQs beyond this range (either too high or too low) are likely to experience boredom
or frustration and dissatisfaction with the job
• Persons who are intelligent for the work—for example, a bright college graduate in a routine
assembly-line job may find insufficient challenges and become bored and dissatisfied.
• Education is the common problem
JOB EXPERIENCE
• The relationship between job satisfaction and number of years in the job is complex

USE OF SKILLS
• People are happier in their work if they have the opportunity to use abilities they believe they
possess. The use and exercise of personal abilities are part of what Maslow meant by self-
actualization, which refers to the all-important needs for personal growth and development.

• PERSONALITY
• evidence suggests that those who are more satisfied in their work are also better adjusted and
more emotionally stable.
OCCUPATIONAL LEVEL
• The higher the occupational or status level of a job, the higher is the job satisfaction.
• Executives express more satisfaction with their jobs than do first-line supervisors, who, in turn,
are more satisfied than tier subordinates.

JOB SATISFATION AND BEHAVIOR OF THE JOB

• It is reasonable to assume that a high level of job satisfaction is directly related to positive
behavior on the job.

TURNOVER AND ABSENTEEISM

• The research generally supports the relationship between high satisfaction and low turnover and
absenteeism, however. Age and mobility also enter into the relationship. Certainly, young single
dissatisfied worker without family or financial obligation than are 50 year old employees wroth a
mortgage, debt, and roots in the community.
PRODUCTION
• The evidence suggests a positive relationship between satisfaction and performance. The
correlations do not tend to be high, and some studies show a lack of correlation.
COUNTER PRODUCUTIVE BEHAVIOR
• Negative behaviors can interfere with production and lead to faulty products, sabotaged
equipment, theft or destructive rumors, and gossip. Employees may view these kinds of behaviors
as a way of striking back at a company because of real or imagined grievances.
PAY AS A SOURCE OF MOTIVATION AND SATISFACTION
• Frederick Taylor, the father of scientific management, believed that money was what workers
wanted more than anything else. If managers wanted to increase production, all they had to do
was to increase pay.
JOB INVOLVEMENT
• defined simply as the intensity of a person’s psychological identification with his or her work.
How important is your job? How central a part of your life is it? How intensely are you involved
with your job? The higher one’s identification or involvement with your job, the higher one’s job
satisfaction.
ORGANIZATIONAL COMMITMENT
Organizational commitment consists of three components:
1) Accepting the values and goals of the organizations
2) Being willing to exert effort for the organization
3) Having a strong desire to remain with the organizations.
A SEARCH FOR NEW SATISFACTION
• Professionals are attempting to switch in midlife to new and different careers
• For example, a 48 year-old research director for a chemical company quit to become a college
professor, a45 year-old supervisor for Polaroid construct and operates a golf course.
THE LAID-OFF WORKER: NO JOB SATISFACTION
• One characteristics frequently observed is a development of guilt on the part of the dismissed
work – the feeling that it is somehow their own doing.
• Many workers find themselves without job through no fault of their own
CHAPTER 9
The Organization Of The Organization
CLASSIC VS. MODERN ORGANIZATIONAL STYLES

• The Classic Organizational Style: Bureaucracy

 Bureaucracy is thought nowadays as bloated, inefficient, grossly over-organized, highly
structured, wrapped in miles of red tape that prevents the accomplishment of anything creative or
original.
 Bureaucracy was designed to correct the inequities, favoritism, and downright cruelty that marked
organizations at the beginning of the industrial revolution.
Weber described four (4) dimensions by which the bureaucratic organization functioned.
 Division of Labor – Jobs tended to become simpler, requiring less skill and training, and more
highly specialized.
 Delegation of Authority – This means that for each activity in organization, one person had to be
responsible and this responsibility was not to be shared or overlapped with anyone else’s area of
responsibility.
 Span of Control – This refers to the number of people a supervisor controls.
 Structure – Refer basically to the relative height and width of an organization.
QUALITY-OF-WORK-LIFE MOVEMENTS
 Security – freedom from worry about income and future employment.
 Equity – a feeling that one’s compensation is equal to the contribution one has been made to the
value of the service or product.
 Individualization – a feeling that one’s work challenges and stimulates the development of
personal abilities, the exercise of autonomy and craftsmanship, and the opportunity to continue to
grow.
 Democracy – the extent to which one can contribute to decision-making and exercise power and
responsibility over one’s own work.
LABOR UNIONS
Belonging to a union can satisfy a number motives:
1) physiological needs;
2) safety needs;
3) belonging;
4) esteem;
5) status;
6) power needs.
Chapter 10
Condition Of Work
One of the saddest things is that the only thing a man can do for eight hours a day, day after day, is work.
You can’t eat eight hours a day, nor drink eight hours a day, nor make love for eight hours.
– William Faulkner
Many factors affect performance in work;
 PHYSICAL CONDITION OF WORK
 location of the work
 Office layout
 size of a building
 office design and architecture

 ILLUMINATION
 Intensity
 Distribution
 Glare
 nature of the light source

 NOISE
 The basic unit for measuring noise is the decibel
 Thus, people who work in environments with the high noise levels tend to be more aggressive,
distrustful, and irritable than those who don’t.
 Noise has many harmful effects; thus, it is usually assumed that it lowers the efficiency of
workers.
 COLOR
 color can increase productivity, lower accidents and errors, and raise morale
 create to more pleasant working environments,

 MUSIC
 It’s been alleged that employees are happier, have fewer absences, and generally feel better after
the work day if there is music in the work environment.
TEMPERATURE AND HUMIDITY
 Research has suggested that uncontrollable climate conditions can affect the quantity and quality
of work done. For instance, hot and humid conditions have been shown to decrease productivity.

INDOOR POLLUTION: EFFECT OF THE WORK ENVIRONMENT ON HEALTH

 Windows cannot be opened and employees breathe only filtered cooled of heated air that is
constantly recirculated. Such buildings are cost efficient. However, a growing body of research
has indicated that such working environments may have detrimental effects on the employee’s
health.
TEMPORAL CONDITIONS OF WORK
 The number of hours worked in a day also has effect on the morale and productivity of workers

 PERMANENT PART-TIME EMPLOYMENT

 First of all, this king of work schedule is very attractive to people with family responsibilities
since schedule allows them more time for their families, at the same time, earn living.
THE FOUR-DAY WORK WEEK
 The four-day work week is also another possible alternative to the current work schedule. To
achieve this, there are two possible alternatives:
 1) have a 10-hour work day, thus maintaining the 40-hour work week schedule;
 2) by having a 9-hour work day thus remaining in a 36-hour work week

 FLEXIBLE WORKING HOURS

This schedule has the following advantages:
1. increased productivity;
2. reduced absenteeism;
3 reduction of tardiness because of the lessening/elimination of “rush hour” traffic problems;
4 increased employee morale.
REST PAUSES
 The following are the advantages of providing rest pauses for employees:
 1) decline of unauthorized pauses;
 2) improved employee attitude toward the employer;
 3) increased morale and production.

 SHIFT WORK
Due to the advent of 24 hour service and manufacturing processes, shifts have become a necessity in
the work place. However, shift work can be very disruptive to a worker’s diurnal rhythms, thus
causing social and psychological problems.
PSYCHOLOGICAL CONDITIONS OF WORK
BOREDOM AND MONOTONY
 Resulting from dull and repetitive work boredom usually affects assembly line workers who have
to do one task over and over for one whole day, 5 days a week.

FATIGUE
 Fatigue is closely related to boredom in its effect on behavior. However, the causes of both differ
greatly from each other. Fatigue can be both physiological and psychological.
TELECOMMUTING
 A new trend in the field of work is telecommuting. In this system, the employee doesn’t go to the
office to work anymore; instead, he stays at home and does his job there.

CHAPTER 11-12
STRESS AT WORK
No fine work can be done without concentration and self-sacrifice and toll and doubt.
– Max Beerbahm

 Stress is a psychological factor and common feature of almost every kind of work. But it is
important to note that it was only in the mid-1970’s that industrial psychologist focused their
attention on the importance of stress in the workplace.
TWO EFFECT OF STRESS IN WORKPLACE
 1. stress-related disease have reached epidemic proportions
 2. More people die or are disabled today as a result of stress than any other time.

THE NATURE OF STRESS

 Adrenaline, released from the adrenal glands, speed up all bodily function. Blood pressure rises,
heart rate increases, and extra sugar are released to the blood stream. The increased circulation of
the blood brings additional energy to the brain and muscles, making us more alert and stronger so
that we can cope with the sudden emergency.
 A stressful situation mobilizes and directs our energy beyond it normal level. But if we remain in
that state of supercharged energy for too long, our body’s reservoir of energy will dissipate. Rest
is needed to replenish the energy supply.
INDIVIDUAL DIFFERENCES IN VULNERABILTY TO STRESS
 Physical Condition also relates to one’s vulnerability to stress effects.
 Ability to perform a job can make people more or less resistant to the stresses of threat job.
 Personality seems to be related to one’s ability to tolerate stress.
Types of Occupation and Stress
 The National Institute of Occupational Safety and Health (NIOSH) has ranked 103 occupations.
 Laborer
 Secretary
 Inspector
 Clinical lab technician
 Office manger
 First-line supervisor
 Manager or administrator
 Waiter or waitress
 Machine operator
 Farm worker
 Miner
 Painter

STRESS AT WORK
Psychologists renamed the concept of overwork in the term overload and have identified two types:
Quantitative overload- the conditions of having too much work to do it in time available
Qualitative overload- overload involves not so much work to do but work that is too difficult.
ANOTHER STRESS FACTOR
 Change
 Performance appraisal
 Role ambiguity
 Role conflict
 career development
 Being responsible for other people
 Stress carrier
 Assembly-line work

Burnout develops in three distinct stages:

 EMOTIONAL EXHAUSTION, with a feeling drained and empty.
 CYNICISM and the lack of sensitivity toward others.
 FUTILITY, the feeling that all the effort put forth previously was wasted and worthless.

Organizational Techniques
 A. EMOTIONAL CLIMATE CONTROL.
providing a climate of esteem and regard for employees and by allowing them to participate in all
decisions involving change in their work and in the structure of the organization.
 B. PROVISION OF SOCIAL SUPPORT
enhance social support by facilitating the cohesiveness of work groups and training the
supervisors. To be supportive of their subordinates.
 C. REDEFINITION OF EMPLOYEE ROLES
managers must clearly state to their subordinates what is expected of them and what the precise
scope and responsibilities of their job are.
 D. ELIMINATION OF WORK OVERLOAD AND WORK UNDER LOAD.
selection and training, equitable promotion decisions and fair distribution of work can do much to
eliminate these causes of stress.
 E. PROVISION OF ASSISTANCE TO STRESSED EMPLOYEES
providing in-house counselling programs that teach individual stress control techniques and
supplying facilities for physical exercise.