The Study Of Human Behaviour Business Essay


related to the study of individual and group dynamics in an organizational setting, as well as the nature of the organizations themselves. Whenever people interact in organizations, many factors come into play. The subject of Organizational Studies attempts to understand and model these factors.

This subject is becoming more important as people with diverse backgrounds and cultural values have to work together effectively and efficiently. OB seeks to emphasize the understanding of behavior in organizations so as to develop competencies in foreseeing how people are likely to behave. This knowledge may then help in controlling those behaviors that are not befitting the objectives of the organizations. Factors like objectivity, replicability and sustainability are important while selecting the methods for this purpose.

Questionnaire, interview, simulation and survey are generally used to elicit responses of individuals located in different types of organizations. To a large extent their personalities affect the nature of their responses.


Approaches to organizational decision making

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In theory, decisions are made via an uninterrupted linear process that results in rational solutions. Yet in practice, things do not always go that way.

The following are approaches to decision making


Before a decision is made the organization must make sure the goal, objectives, scope, risks, issue, budget, timescale and approach have been defined. This must be communicated to all the stakeholders to get their agreement. Any difference of opinion need to be resolved.


This is perhaps the most important stage of any decision making for example a project, as its sets the terms of reference within which the project will be run. If this is not done well the decision or project will have a high likelyhood of failure. The initiation stage is where the business case is declared, scope of the project decided and stakeholder expectation set. It is tempting to start working a decision but a poor initiation stage often leads to problems and even failure.


The key to a successful decision e.g a project is in the planning. Creating a project plan is the first task you should do when trying to reach a decision or undertaking any project.often decision/project planning is ignored in favour of getting on with the work. However, many people fail to realize the importance of decision/project planning in saving time, money and many other problems.


Doing the work to deliver the product, service or wanted result of a decision. Most of the decision related to a project is realized at this stage and needs complete attention from the organization. (project smart 2012)

Monitoring/ control

Once the project is running it is important the decision maker or project manager keeps control. This achieved by regular reporting of issues, risks, progress and the constant checking of the business case to ensure that expected benefits will be delivered and are still valid. A decision e.g about project that is not controlled will go out of control. (projectsmart 2012)

Afri bank decisions during the initiation stage of the project

Concept design and identification of project cost: this entail identifying content of the project , justification, environmental aspects, economic impacts.

Feasibility study and financial planning: this include project analysis and evaluations and also the financial projections. In the consultant's sincere and professional opinion the project is a very feasible project.

Appointment of project managers and professional team: these are the people who will help carry the project ; the architects, engineers, quantity surveyors, interior designersetc

Final preview and detailed design and costing:


Afri bank's project management approaches to risks are as follows


The implementation period exceeding the planned timeframe

wrong choice of operator and/or protracted negotiation with the selected operator that impact on the opening date

Late or poorly planned sales and marketing of the new product to the market

Approaches to risks

Good project planning and execution to the budget

Good and strong marketing and sales launch

Sourcing the right operators and brand

Good and reliable partnerships

Good and reliable management

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Good and reliable preventative maintenance

Good and reliable services delivery


Leadership theories

Participative leadership: a participative leader, rather than taking autocratic decisions, seeks to involve other people in the process, possibly including subordinates, peer, superiors and other stakeholders.

Transactional leadership: the transactional leader works through creating clear structures whereby it is clear what is required of their subordinates, and the rewards that they get for following orders.

Transformational leadership : working for a transformational leader can be a wonderful and uplifting experience. They put passion and energy into everything. A transformational leader also engages in developing a vision, selling the vision, finding the way forwards, leading the charge.



Here managers who uses this intent on obtaining immediate compliance from employee. Conversation is one way, Very directive and he/she tightly controls situations and emphasizes negative rather than positive feedback. The manager want employees to do their work exactly as the manager wants it.

Authoritative management style

The manager's goals here is to provide vision and focused leadership, long term thinking and a clearly stated direction. Decisions are made by the manager but some employee input is sought to reality test decisions. This style also relies on the skilful use of influence to gain employee buy-in to decisions. A firm but fair approach.

Affiliative management style

Manager uses this to promote harmony, cooperation, and good feelings among employees. Affiliative actions include accommodating family needs that conflict with work goals, quickly smoothing tensions between employees, or promoting social activities within the team. The manager pursues being liked as a way to motivate people. He/she puts people first and tasks second.

Democratic management style

Manager focuses on building group consensus and commitment through group management of the decision- making process. Here employees are trusted to have the skills, knowledge and drive to come up with decisions to which everyone is committed. Manager's role is only to fine tune and approve the plan.

Coaching management style

This is directed towards professional growth of employees. Manager focuses on helping employees identify their strengths and weaknesses, improvement areas and set development plans that foster career goals. Manager creates an environment that supports honest self-assessment and treats mistakes as learning opportunities in the development process. (citeHR 2012)


Maslow theory of motivation

Maslow believed that the needs of an individual could be expressed in the form of a hierarchy of needs or a pyramid. This theory of motivation can be applied to the workplace as well as other scenarios.

Maslow felt that the most basic needs were physiological. Unless an individual has food and shelter, maslow believed it was pointless trying to motivate them at a higher level. If employees are not comfortable in their work environment, then motivation at a higher level will be difficult.

Self fufillment



Job Security


Once this need is met, the employee is then motivated to gain a sense of security.

In difficult economic situation, a manager should keep the employees sufficiently informed of their job prospects.

When a job is felt to be reasonably secure, the employee is next motivated by social aspects i.e Do you foster a good working atmosphere in the organisation? Is there a strong sense of teamwork? Do employees communicate in lots of different ways?. Communication is necessary as it is on of the bedrock of organizational success as it fosters good working relationship among workers.

When a good social network is in place, the employee then looks for feeling of self esteem, i.e when an employee does a good job is it noticed?, is there any reward system in place. Rewarding an employee any time he does an outstanding job is telling him "I appreciate what you have done for the organization " This will motivate the employee to put in his best so he can get another commendation or reward.

And finally, when all the other factors are in place, the employee is looking for self-fufilment. Do your employees have opportunities to learn and grow at work?, is there provision for training opportunities, word on project teams, job transfers. Creating opportunities for trainings on the job not only add to the value of the organization and the employees, it is a way of telling the employees "the organization cares about you".

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However employees can be at different stages so it will be wise to be aware of where an employee is on the pyramid so that there can motivation fostering at the right level. (Practical management 2012)


Organizational structures

Functional organization

Most organizational structures departmentalize the work force and other resources by one of two methods: by products or by functions. Functional organization are segmented by key functions. For example, the chief advantage of fuctionally structured organizations is that they usually achieve a farily efficient specialization of labor and re relatively easy for employee to comprehend. In addition, functional structures reduce duplication of work because responsibilities are clearly defined on a company-wide basis. However functional division often causes department to become short-sighted and provincial, leading to incompatible work styles and poor communication.

Divisional structure

Companies that employ a product or divisional structure, by contrast, break the organization down into semi-autonomous units and profit centers based on activities, or "projects" such as products, customers, or geography. Regardless of the project used to segment the company, each unit operates as a separate business. One benefit of product or project departmentalization is that it facilitates expansion (because the company can easily add a new division to focus on a new profit opportunity without having to significantly alter existing systems). In addition, accountability is increased because divisional performance can be measured more easily. Divisional structures allow decentralized decisions in their area. The potential drawbacks to divisional structures include duplication of efforts in different departments and a lack of horizontal communication.


Every organization has its unique style of working which often contributes to its culture. The beliefs, ideologies, principles and values of an organization form its culture. The culture of the workplace controls the way employees behave amongst themselves as well as with people outside the organization. (Management study guide 2012)

The culture decides the way employees interact at their workplace. A healthy culture encourages the employees to stay motivated and loyal towards the management.

The culture of the workplace also goes a long way in promoting healthy competition at the workplace. Employees try their level best to perform better than their fellow workers and earn recognition and appreciation of the superiors. It is the culture of the workplace which actually motivates the employees to perform.

Every organization must have set guidelines for the employees to work accordingly. The culture of an organization represents certain predefined policies which guide the employees and give them a sense of direction at the workplace. Every individual is clear about his roles and responsibilities in the organization and know how to accomplish the tasks ahead of the deadlines.

No two organizations can have the same work culture. It is the culture of an organization which makes it distinct from others. The work culture goes a long way in creating the brand image of the organization. The work culture gives an identity to the organization. In other words, an organization is known by its culture. (Management study guide 2012)


Afri bank organizational culture and structure

Club Culture: afri bank follows a club organisational culture i.e. the organization is very particular about the employees they recruit. The individuals are hired as per their specialization, educational qualification and interests. Each one does what he is best at. The high potential employees are promoted suitably and appraisals are a regular feature of the organisation. The only possible result from this type of culture is majorly positive i.e employee effectiveness. (Management study guide 2012)


Afri bank operates a matrix organizational structure if combines functional and product departmentalization. They simultaneously organize part of a company along product or project lines and part of it around functional lines to get the advantages of both. The organizations' product groups would intersect with each of the functional groups, signifying a direct relatsionship between product teams and administrative divisions. This mean that teams assigned to manage a product group might have individual (s) who also belonged to each of the functional departments. This facilitates rapid response to changes in the organization and also turns the bank into an information web. In addition to speed and flexibility, the bank also makes more efficient use of resources. The matrix structure however is typically expensive to operate partly because of more complex reporting requirement.


Management of change in organization

Change management involves thoughtful planning, sensitive implementation, and above all, consultation with, and involvement of the people affected by the changes. Afri bank in management of organizational changes from this project followed the model below

American john p kotter (1947) is a havard business school professor and leading thinker and author on organizational change management relates a succcceful change management procedure to follow his eight step change model;

Increasing urgency ; here people/employees are inspired to move, make objectives real and relevant.

Build the guiding team: here the organization should get the right people in place with the right emotional commitment and the right mix of skills and levels.

Get the vision right: here the team must establish a simple vision and strategy, focus on emotional and creative aspects necessary to drive service and efficiency.

Communicate for buy-in : this means involving as many people as possible, communicating the essentials, and to appeal and respond to people's needs.

Empower action- this involves removing obstacles, enabling constructive feedback and lots of support from leaders i.e reward and recognize progress and achievement.

Create short-term wins - this means setting aims that are easy to achieve and manageable numbers of initiatives. i.e finish current stages before starting new ones.

Don't let up- involves fostering and encouraging determination and persistence by encouraging on-going progress reporting i.e highlighting achievements and future milestones.

Make change stick- this includes reinforcing the value of successful change via recruitment, promotion, new change leaders and weaving change into culture.


Is it really true to say that an organisations greatest asset is its people? Some will say the brand, fixed assets, systems or patents matter most and, to a point, in extremely large global manufacturing organisations this is true. You could even argue that in production companies, physical assets such as property, oil and money maintain a value (albeit resale) even without people to manage them.

However, these are really exceptions to the rule. Knowledge, creativity and passion is a key differentiator for industries requiring advanced skills and expertise such as the mechanical and construction design sectors, particularly when it comes to success and winning business. This makes people a commodity that you cannot easily attach a value to.

While skills and knowledge are replaceable in the mid to long-term, there is a huge cost in terms of replacing staff and providing the necessary training and support to bring them up to speed.

It seems obvious that learning new skills and knowledge is beneficial to carrying out tasks to a more proficient level, but the process of learning and the positive impact it can have not only on an individual but on an organisation is often taken for granted.

The biggest issue with learning is attaching a return on investment or financial measurement to the process. With tangible items such as new machinery, software or hardware, there is usually an identifiable financial measure be it more efficient production, error reduction or bringing outsourced processes in-house. When it comes to learning, there are no readily available facts and figures that can be drawn upon in the same way so some organisations remain sceptical when it comes to investing substantial sums in learning. ( Mitchell 2008)

Advantages of learning in organisations

1. The People Develop

    2. There is Greater motivation among employees

    3. The workforce is more flexible

    4. People are more creative

    5. Improved social Interaction

Teams and Groups Work Better

    1. Knowledge sharing

    2. Interdependency

3. The Company Benefits

    1. Breakdown of traditional communication barriers

    2. Customer relations

    4. Information resources

    5. Innovation and creativity (Mitchell 2008)


Teams always recognize itself as a useful machine in achieving organizations goals. This is because of its characteristics which influence the performance of the organization. We can see in a team there will be different members involving in working toward its goals. Here we can see different skilled people as well as different individual behaviors. Team work gives a synergy mixing of these people.

Likewise its unique characters outperform the individuals in an organization. Further it is factor to motivate employees through the team work this will ultimately result in high productivity. It optimizes the employee's talents and resources through synergy.

When it comes to decision making teams plays vital role since the team members has to participate in the decision making processes. This gives preference to the skilled members and a chance for the employees to optimize their skills and result in effective decision.

Further most of the companies today are project based so there project is divided based on teams rather than individuals. This helps the projects to outperform in the market especially we can see this in the IT companies. So this gives evidence toward an effective team performance.

In organizations today problems are solved and the ideas are generated through brainstorming. This is also a version of team which gives an efficient solution. Another team process is quality circles where there will be a team to check the quality of the products or the process. Organizations use this technique because of the effectiveness of the team work.

Benefits of teamwork

• there will be Effective communication in the organistion

• there will be better Coordination at task solving within the organization

• employees are more Motivated since the task is to be solved as a team

•Synergy within the orgaqanisation

•Goal congruence

•Clearly defines responsibility


•Clearly defines roles (Riyad 2008)

Effectiveness of organizational decisions

Decision effectiveness involves four different dimensions. High-performing organizations, of course, make high-quality decisions. But they also make those decisions faster than their competitors, translate them into action more effectively and devote an appropriate amount of effort to the process. People need to know how well (or poorly) they perform on all of these elements-decision quality, speed, yield and effort. ( Marcia and Michael 2012)

In afribank the decisions made to establish an Apartment Hotel Commercial & Retail Development on 10 A&B A.J. Marinho Drive, Victoria Island, Lagos, Nigeria. was a quality one, was made just when it is needed and the decision was made ahead of other banks (speed) with a good execution/implementation plan. (See feasibility study and business plan in the appendix)


Knowledge discovery

Discovering and detecting knowledge is a lot more complex and often it is up to the management in any organisation to gain an understanding of what their company's experts actually know. Since tacit knowledge is considered as the most valuable in relation to sustained competitive advantage, this is a crucial step, a step that often simply involves observation and awareness.There are several qualitative and quantitative tools/practices that can help in the process; these include knowledge surveys, questionnaires, individual interviews, group interviews, focus groups, network analysis, and observation. Afri bank however used questionnaires: market acceptance study, and quantitative face to face questionnaire survey method.


Data gathered from the face to face quaetionaire survey was then organized systematically by

Phase 1: editing and coding of questionnaire i.e checking of the information contained in each questionnaire for consistency, accuracy and correctness.

Phase 2: data capture i.e this will include definition of all variables in the questionnaire and entering information collected into the computer by experienced data entry clerks.

Phase 3: verification and cleaning of data i.e electronic verification of data entered for correctness.

Phase 4: running marginal / hole count i.e table of results will be produced in total to ensure accuracy of bases

Phase 5: writing specifications and tabulations i.e The Quantum and SPSS software will be used for editing, tabulations and analysis of the specification to generate the report tables.

To organize this knowledge, focus groups, expertise guides, social network analysis, and knowledge coordinators can be used..


Sharing tacit knowledge requires socialization. However this can take different forms, for example;

Informal networks, which involve the day to day interaction between people within work environments are considered very important. Moreover the network span functions and hierarchies, and the management of the organization should support these networks by providing a suitable mean of communication. Afri bank communicated it finding through reports on surveys carried out.

Knowledge re-use

Internal this refers to where the knowledge producer uses his own knowledge at some future point. This knowledge however might have been acquired either from previous training and experiences.

Externally this involves the knowledge consumer uses someone else knowledge

Shared work producers: people working in teams producing knowledge for their own re-use. They are closest in knowledge-distance. They also have a good understanding of what they need and where to find it.

Knowledge creation

Knowledge creation is often at the heart of organisations' competitive advantage. Knowledge is created through; practice, collaboration, interaction and education as the different knowledge types are shared and converted.

Task 7

The conduct of this research was made succesfull through the use of two major methods

Face to face interview : a semi structured questionnaire with open ended questions was used to gather some information from certain players in the project.

Analysis of company reports i.e brand survey report, feasibility study report, online annual reports and accounts.


Comparism of Leadership style of afri bank with first bank Nigeria

The leadership style in afri bank follows that of a transational leadership where there are clearly defined requirements of employees and reward for meeting those requirements. It combines this with an authoritative management style where the manager steps and decision is being followed by the employees though at time their input is being sought as a test of decision or means to get employee buy-in to decisions.

However at first bank Nigeria a transformational leadership style is being used. Here managers work hand-in-hand with their employees putting passion and energy into developing, selling and realization of company vision. The manger here pursues an afiliative management style to the extent of accommodating family needs that conflict with work goals, solving disputes immediately among employees etc.


Both Afri Bank and first bank Nigeria believed that the most important need for employees is shelter and food followed by job security so as to enable employees work to their maximum capacity without fear of losing their jobs, and all other needs e.g recognition for work done. Theoretically this follow the Maslow theory of motivation which arranges employee needs in similar order as described in the diagram in task two of this assignment.


Afri Bank operates a club organizational culture i.e. the organization is very particular about the employees they recruit. Individuals are employed based on their specialization, educational qualification and interests. Each one does what he is best at. The high potential employees are promoted suitably and appraisals are a regular feature of the organization. This however is responsible for the good coordination of the bank and its activities including projects.

First bank on the other hand operates an Academy organizational Culture: Organizations following academy culture hire skilled individuals. The roles and responsibilities are delegated according to the background, educational qualification and work experience of the employees. Organizations following academy culture are very particular about training the existing employees. They ensure that various training programmes are being conducted at the workplace to hone the skills of the employees. The management makes sincere efforts to upgrade the knowledge of the employees to improve their professional competence which will definitely affect the effectiveness of employees positively. The employees in an academy culture stick to the organization for a longer duration and also grow within it. Educational institutions, universities, hospitals practice such a culture. (First bank 2012)

The academy exposes employees to many different jobs so that they can move around within the organization. This in-turn gives employees that has work for a considerable no of years the know-how on any job within the organization.


T Ashraf (2012) organizational behavior

Paula Posas and Thomas Fischer ( ) Organisational behaviour and public decision making in the EA context

Projectsmart (2012) the stages of a project. www.

Changing minds (2012) leadership theories.

citeHR (2012) managerial styles,

practical management skills (2012) how motivational theories impact the workplace.

Management study guide (2012) organizational culture.

Richard Mitchell (2008) the importance of learning and development in your organization.

MMM riyad (2008) why team work is important on an organization.

Marcia W. Blenko and Michael C. Mankins (2012) measuring decision effectiveness.

First bank (2012) annual reports and accounts,