ORGANIZATIONAL BEHAVIOR

S T E P H E N P. R O B B I N S
WWW.PRENHALL.COM/ROBBINS T E N T H E D I T I O N

2003 Prentice Hall Inc. All rights reserved.

PowerPoint Presentation by Charlie Cook

OBJECTIVES LEARNING

AFTER STUDYING THIS CHAPTER, YOU SHOULD BE ABLE TO:

1. Explain how two people can see the same thing and interpret it differently.
2. List three determinants of attribution. 3. Describe how shortcuts can assist in or distort our judgment of others. 4. Explain how perception affects the decisionmaking process.

5. Outline the six steps in the rational decisionmaking model.

2003 Prentice Hall Inc. All rights reserved.

52

O B J E C T I V E S (contd) LEARNING

AFTER STUDYING THIS CHAPTER, YOU SHOULD BE ABLE TO:

6. Describe the action of a boundedly rational decision maker.
7. Identify the conditions in which individuals are most likely to use intuition in decision making.

8. Describe four styles of decision making.

9. Define heuristics and explain how they bias decisions.

10. Contrast the three ethical decision criteria.

2003 Prentice Hall Inc. All rights reserved.

53

What Is Perception, and Why Is It Important?

Peoples behavior is based on their perception of what reality is, not on reality itself. The world as it is perceived is the world that is behaviorally important.
2003 Prentice Hall Inc. All rights reserved. 54

Factors That Influence Perception

EXHIBIT

5-1
55

2003 Prentice Hall Inc. All rights reserved.

Person Perception: Making Judgments About Others

Distinctiveness: shows different behaviors in different situations.

Consensus: response is the same as others to same situation. Consistency: responds in the same way over time.
2003 Prentice Hall Inc. All rights reserved. 56

Attribution Theory
2003 Prentice Hall Inc. All rights reserved.

EXHIBIT

5-2
57

Errors and Biases in Attributions

2003 Prentice Hall Inc. All rights reserved.

58

Errors and Biases in Attributions (contd)

2003 Prentice Hall Inc. All rights reserved.

59

Frequently Used Shortcuts in Judging Others

2003 Prentice Hall Inc. All rights reserved.

510

Frequently Used Shortcuts in Judging Others

2003 Prentice Hall Inc. All rights reserved.

511

Frequently Used Shortcuts in Judging Others

2003 Prentice Hall Inc. All rights reserved.

512

Specific Applications in Organizations

Employment Interview
Perceptual biases affect the accuracy of interviewers judgments of applicants.

Performance Expectations Self-fulfilling prophecy (pygmalion effect): The lower or

higher performance of employees reflects preconceived leader expectations about employee capabilities.

Performance Evaluations
Appraisals are subjective perceptions of performance.

Employee Effort
Assessment of individual effort is a subjective judgment subject to perceptual distortion and bias.
2003 Prentice Hall Inc. All rights reserved. 513

The Link Between Perceptions and Individual Decision Making

Perceptions of the decision maker

Outcomes
2003 Prentice Hall Inc. All rights reserved. 514

Assumptions of the Rational Decision-Making Model

1. Problem clarity 2. Known options 3. Clear preferences

4. Constant preferences
5. No time or cost constraints 6. Maximum payoff

2003 Prentice Hall Inc. All rights reserved.

515

Steps in the Rational Decision-Making Model

EXHIBIT 2003 Prentice Hall Inc. All rights reserved.

5-3
516

The Three Components of Creativity

EXHIBIT 2003 Prentice Hall Inc. All rights reserved.

5-4
517

How Are Decisions Actually Made in Organizations

2003 Prentice Hall Inc. All rights reserved.

518

How Are Decisions Actually Made in Organizations (contd)

How/Why problems are identified
Visibility over importance of problem
Attention-catching, high profile problems Desire to solve problems

Self-interest (if problem concerns decision maker)

Alternative Development
Satisficing: seeking the first alternative that solves problem. Engaging in incremental rather than unique problem solving through successive limited comparison of alternatives to the current alternative in effect.
2003 Prentice Hall Inc. All rights reserved. 519

Making Choices

2003 Prentice Hall Inc. All rights reserved.

520

Making Choices

2003 Prentice Hall Inc. All rights reserved.

521

Decision-Style Model

EXHIBIT 2003 Prentice Hall Inc. All rights reserved.

5-5
522

Organizational Constraints on Decision Makers

Performance Evaluation
Evaluation criteria influence the choice of actions.

Reward Systems
Decision makers make action choices that are favored by the organization.

Formal Regulations
Organizational rules and policies limit the alternative choices of decision makers.

System-imposed Time Constraints

Organizations require decisions by specific deadlines.

Historical Precedents
Past decisions influence current decisions.
2003 Prentice Hall Inc. All rights reserved. 523

Cultural Differences in Decision Making

Problems selected Time orientation Importance of logic and rationality Belief in the ability of people to solve problems Preference for collect decision making

2003 Prentice Hall Inc. All rights reserved.

524

Ethics in Decision Making

Ethical Decision Criteria
Utilitarianism
Seeking the greatest good for the greatest number.

Rights
Respecting and protecting basic rights of individuals.

Justice
Imposing and enforcing rules fairly and impartially.

2003 Prentice Hall Inc. All rights reserved.

525

Ethics in Decision Making

Ethics and National Culture
There are no global ethical standards. The ethical principles of global organizations that reflect and respect local cultural norms are necessary for high standards and consistent practices.

2003 Prentice Hall Inc. All rights reserved.

526