Description of Module Subject Name Human Resource Management Paper Name Organisational Behaviour Module Title Values Module Id 14 Pre- Requisites

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1 Items Description of Module Subject Name Human Resource Management Paper Name Organisational Behaviour Module Title Values Module Id 14 Pre- Requisites Basic knowledge of values Objectives To understand the concept of values in context of organisation Keywords Values, core values, terminal. values, instrumental values, values congruence

2 Quadrant-I Module 14: Values 1. Learning Objectives 2. Introduction 3. Values and attitude 4. characteristics of values 5. Importance of values 6. Types of values 7. Work values 8. Cultural differences in values 9. Sources of values 10. Significance of values in an organisation 11. Values across cultures 12. Values congruence 13. Values and OB 14. Summary 1. Learning Objectives: Basic objectives of this module are: To understand the concept & meaning of values To understand the characteristics and importance of values To know the types of values and values across the culture To know sources and significance of values 2. Introduction Values are similar to attitudes but more permanent and well built in nature. Values are powerful but silent force affecting human behaviour. Values are stable, long lasting beliefs about what is important to an individual. Values are very important for the study of organizational behaviour, because values have an important impact on the perceptions, attitudes, needs and motives of the people at work. Effective managers have to understand the values underlying the behaviour of the employees, because then they will realise why people behave in different and strange ways sometimes. Thus values are the basic convictions that give as a sense of right and wrong. Values help the employees in deciding that what they feel is not right or what is right or we can say that values help employees in deciding that what is wrong or what is right. For a person value may be useful but it is not necessary that that value effective for someone else. Some examples of the values are obedience, self-respect, honesty and equality etc. In the development of values learning may provide an opportunity. Employee s attitude and the behaviour are shaped by the values and the objectives are too influenced by the values. Say for an example, for the organisation without creating any problems the obedient employees perform in an efficient manner. Learning helps in the development of behaviour and values of the employees in the organisation.

3 Definitions According to Rokeach value is a specific mode of conduct or end- of state of existence is personally or socially preferable to an opposite or converse mode of conduct or end-state or existence. According to White and Bednar value is a concept of the desirable, an internalized criterion of standard of evaluation a person possesses. Such concepts and standards are relatively few and determine or guide an individual s evaluations of many objects encountered in everyday life. Source: 3. Values and attitude There are some differences between attitudes and values. Values focus on the judgement of what ought to be. Attitude shows many beliefs focused on a specific situation or object. Personal experience represents the attitudes, where as a value related to some cultural standards or social or norms. Also there are some similarities between attitudes and values. Both influence the behavior of people and cognitive process. From the same experiences and sources, attitudes and values are acquired and learned. Attitudes and values are resistant to change and relatively permanent. Attitudes and values influence each other. Similarities Both are used interchangeably and have reciprocal influence. They are resistant to change. They are acquired essentially from the same sources and learned. These are two variable influencing behavior and cognitive process.

4 Source: Attitudes Attitudes are personal experiences. It represents predispositions to respond. It represents several beliefs focused on a specific object or situation. Values It derived from culture and social mores. It represents judgement of what ought to be. It represents single belief that guides judgement and actions across situation and objects. 4. Characteristics of values The characteristics of values are: I. Values are most central to the core of a person. II. Values are resistant to change and are relatively permanent. III. Values are fewer than attitudes in number. IV. Values are transcend specific situations, persons or objects. V. Values provide standards of competence and morality. VI. Values have two attributes- content and intensity. The content attributes stresses that a particular code of conduct is important. The intensity attribute specifies how important that particulars code of conducts is.

5 Source: 5. Importance of values Values are important to organizational behavior. Following are the important points, which indicate the importance of values: I. A manager s decision is also influenced by the value system and his solutions to the various problems. II. The way in which a manager views the groups of individuals and other individuals in the organisation are influenced by the personal value system. III. Value system influences the manager s perception of the different situations. IV. Personal value systems influence the perception of individuals. V. Values lay the foundation for understanding of attitudes and motivation. VI. Behaviours and attitudes are influenced by values. If the policies are not according to individuals point of views and values he may feel disappointed, and this disappointment will lead to dissatisfaction and decline in performance. 6. Types of values The value can be divided into two broad categories: 1. Terminal values 2. Instrumental values Values Terminal values Instrumental values

6 1. Terminal values: These leads to ends to be achieved. A terminal value is an ultimate goal in a desired status or outcomes, e.g. comfortable life, family, security, self- respect and freedom, etc. 2. Instrumental values: these values relate to means for achieving desired ends. It is a tool for acquiring a terminal values, e.g. ambitions, capable, clean, courageous, honest, polite, loving, logical, etc. Terminal values Instrumental values Wisdom Freedom Family Self- respect Security Comfortable life Pleasure Equality Social recognition Happiness ambitious capable cheerful clean honest polite loving helpful intellectual responsible Source: phpapp01/95/values-attitudes-and-job-satisfaction jpg?cb= Lindzey, Vernon and Allport classification

7 G. Lindzey, P.E. vernon and G.W. Allport have categorised values into six major types as follows: 1. Theoretical: interest in the discovery of truth through reasoning and systematic thinking. The ideal theoretical man values the discovery of truth. 2. Economic: interest in usefulness and practically, including the accumulation of wealth. The ideal economic man values what is useful and concerned with practical affairs. 3. Aesthetic: interest in beauty, form and artistic harmony. 4. Social: interest in people and human relationships. The ideal social man places great values on affiliation and love. He tends to be kind and sympathetic. 5. Political: interest in gaining power and influencing other people. The ideal political man places great value on power. 6. Religious: interest in unity and understanding the cosmos as a whole. The highest value for the ideal religious man may be called unit. Core value These are fundamental beliefs of an individual or organisation. These are principles that dictate behaviour or action. These are guiding principles that dictate the behaviour or action. These values help people to know what is right and what is wrong, help companies to determine whether they are on the right path in accomplishing the objectives. There are different types of core values: (i) Life core values: fall in love with someone indicate that they have same values. It means core values or internal beliefs that dictate how life is to be lived. Core values do not always have to be positive. Some examples of core values individual might have about life: A belief that honesty is the best policy. A belief that trust has be earned. A belief that family is of fundamental important. A belief with religious institution. Source: (ii) Corporate core values: companies having core values that help to define how corporate would behave. It is expressed generally in mission statement. Some examples of corporate values are:

8 A commitment to sustainability and environment friendly. A commitment to innovation and excellence. A commitment to good for everyone. Identifying core values: companies or people publish their core values, which is the best way to identify the core value. A core value is a true core value if it has an active influence and lives by it most of the time. Though there are countless core values, we have to choose the right one. For example: Reliable Committed Open-minded Consistent Innovative Creating Respected Humorous Positive Optimistic Inspiring Educated loving 7. Work values Work values affects how people behave on their jobs in respect of what is wrong and what is right. Honesty, fairness, concern for others and achievement, these four work values is relevant to individuals. To develop new skills, it is important to seek opportunities and working hard. Positive results can be produces at work by sharing similar values. If the values of a supervisor are shared by the employees, they are committed to the organization and more satisfied with their jobs. Traditionally, on job choice decisions the strongest influences have been placed by pay and advancement potential. Towards individual s values an organization should pay careful attention. Source: lva1-app6891/95/cross-culture-understanding-ccu-work-values jpg?cb=

9 8. Cultural differences in values To understand the cultural influence, values is very important because the challenges are faced by the organizations of a diverse workforce. In Japan, loyalty means compassionate overtime. You should stay late even you do not have any work to do, to give moral support to your peers who are working late. In the United States, a person may not so much loyal to the supervisor or to the company, but that person give more value to family and other personal loyalties. Therefore with these examples we can understand other cultures tolerating diversity in values. To understand or work with diverse values following suggestions can help managers: When actions of stakeholder violated or law compromise then neglect to do business. Borderline actions with excuses should be avoided. Recognize and learn about other people values. Open relationships should be conducted. Source: 9. Sources of values Through experiences with people and institutions are the primary sources for acquiring and learning values. For example- parents will have substantial influence on their children s values. Following are the factors or sources of values: i. Family sources: the main source which influences the value system of an individual is his family. Some values are induce if the individuals get from childhood and remain in his mind throughout of the human being. The child rearing practices that parents use shape the individual s personality. ii. Religious sources: people receive confidence and strength from their religion. Religion comprises of a formal set of values which are passed on from generation to generation. But advancement in technology now a day s has under viewed faith in traditional religious beliefs and values. iii. Life experiences: mostly a person learns from his own life experiences or from experiences of others. Most of the values in our life are due to good or bad experiences we have faced in our life. An individual develop their values on the basis what is logical and right for them. iv. Role demand: It means the behaviour associated with a particular position in the organization. One must adopt the values which are associated with a particular role. In every organization there is some formal and some informal code of behaviour. If role conflict is there, role demand can create problems.

10 v. Personal sources: personal attributes like ability, intelligence, appearance and educational level of the person determine his development of values. For example, if an individual is highly educated, high values will be inculcated in him by his school and college. If he is highly intelligent, he will understand the values faster. vi. Social sources: out of all the social factors school plays an important role in developing the value system of an individual. From school a child learn basic discipline. Other social factors which may affect values are religious economic and political institutions in the society. vii. Halo effect: it refers to the tendency of judging people on the basis of a single trait, which may be good or bad, favourable or unfavourable. For example: if a person is kind, he will also be perceived as good, able, helpful, nice, cheerful and so on. viii. Cultural sources: these sources include all that is learned and passed on from generation to generation. Culture includes certain beliefs and other patterns of behaviour. Relationships of an individual are different in different cultures and within certain groups of society also. 10. Significance of values in an organization The values which considered universal are truth, responsibility, honesty, respect and peace etc. For better understanding, according to following criteria values are classified: Moral values: society considers essential behavior and attitude for general well being, coexistence and order. Material values: these values are related to the basic needs of human beings like, food and clothes and safety from the environment. Family values: the values which are used by the parents to educate their children, and these are the fundamental beliefs of the parents. Source: Spiritual values: the non material aspects to whom we give importance in our lives. These are the parts of human need. Social cultural values: these are the values adopted from the society, like young people prefer changes according to the social requirements.

11 Personal values: it is a combination of social cultural values and family values. We build our life on these principles which are essential for an individual. Due to globalization it is necessary or we can say that it is compulsory for the managers that they should be capable of working with people from different cultures. Source: Values differ across culture. There must be understanding of differences so that the manager can predict and able to explain the behavior of the employees in the organization who are from different countries. Following values account for a large portion of the differences in orientation across culture: Long term and short term orientation: short term orientation is the attribute that do not emphasizes on future, short term orientation emphasizes on past and present, fulfilling social obligation and respect for tradition. On the other hand long term orientation is that which emphasizes the future and it is a national culture attribute. People with long term orientation think more about their future rather than their present and past. Uncertainty avoidance: it is a degree to which in a country people do not prefer unstructured situations, they prefer structured situation. People have high level of anxiety, the country that score high on uncertainty avoidance. Where decision making and rule of conduct are clearly documented, such type of people like structured situation. They do not like indirect communication rather than they like direct communication. Power distance: people with low power distance expect equal power sharing whereas high power distance people value and accept unequal power. An unequal power distribution in the society which people accept is due to power distance. Low power distance cultures prefer participative management whereas high power distance culture is preferred by bureaucratic or autocratic management.

12 Source: Achievement vs. Nurturing orientation: recognition, feedback, challenges and personal responsibility are desired by achievement oriented people. Nurturing oriented people concerned for the wellbeing of others and relationships. Nurturing oriented people do not focus on competition and personal success; they focus on caring and human interaction. Individualism and collectivism: collectivist do not value individual goals even they value group goals and group membership. Collectivism is just opposite of individualism. Individualistic people do not prefer to act as a group member rather than they prefer to act as individuals. Individualistic people prefer their individual goals over group goals. 11. Values congruence Personal values affect the person, how comfortable that person working with specific people in the organization and a person s self-concept is defined by the personal values. Value congruence refers to similarities of value hierarchy of a person to the value hierarchy of an organization. When the dominant values of an organization and the person are similar it is called person-organization value congruence. Loyalty, lower stress and high level of satisfaction are lead by person-organization value congruence. Different ideas are offered by the employees who have different values, which lead to good decision making in the organization. There is another type of congruence called espoused-enacted value congruence. It is important for individuals who are in leadership positions because their perceived integrity is undermines if there is gap between enacted and espoused values. Compatibility of society s prevailing values in which an organisation operates business with dominant values of an organisation, is the third type of value congruence. Source:

13 12. Values and OB In an organisation to understand the values is useful for managers because values influence the behaviour of people. Values influence the behavior of individuals in the following ways: a. Values of an individual have set the limits for determination of ethical and unethical behavior for themselves as well as for others. b. If the values of an individual do not match with the values of organisation, the individual can leave the organisation. c. Values of an individual influences the way he looks at the organization s success. High profit earning by an organization may be an indicator of success in the eyes of one individual, but for another, the means adopted for earning profits may be more important. d. Values influence the way in which an individual looks at other individuals or group of individuals. Values become the basis of interpersonal interactions. e. An individual s perception about the problems faced by him is influenced by values. As a result the decisions taken by him to overcome these problems are also influenced by his values. Source: Summary After studying all the points we can say that values are permanent in nature. Values help in deciding what is right and what is wrong. Values also influence the decisions of an individual. It also influences the perception of individuals. Values are very important to understand the cultural influences because the diverse workforce in the organisation is a big challenge. In an organisation to understand the values is useful for managers because values influence the behaviour of people. Personal values affect the person, how comfortable that person working with specific people in the organization and a person s selfconcept is defined by the personal values. Individualistic people do not prefer to act as a group member rather than they prefer to act as individuals. Individualistic people prefer their individual goals over group goals. Recognition, feedback, challenges and personal responsibility are desired by achievement oriented people. People with low power distance expect equal power sharing whereas high power distance people value and accept unequal power. People with long term orientation think more about their future rather than their present and past. Due to globalization it is necessary or we can say that it is compulsory for the managers that they should be capable of working with people from different cultures. Some values are induce if the individuals get from childhood and remain in his mind throughout of the human being.

14 Through experiences with people and institutions are the primary sources for acquiring and learning values.