Group-8, Department of finance, University of Dhaka

A Term Paper on comparative analysis of organizational behavior practices in Bangladesh

A Term Paper

On

Comparative analysis of organizational behavior practices

in Bangladesh

Nusrat Khan

Lecturer

Course No: F-301

Department of Finance

Group-08

BBA 15th Batch

Section: A

Department of Finance

University of Dhaka

DATE OF SUBMISSION

Submitted To

Submitted By

19th April, 2011

Serial No Name Roll Marks

1 Prodip Somodder 15-087

2 Amit Sarker 15-0-125

3 Ataur Rahman Bhuyan

15-133

4 Suvrota Acharjee 15-141

5 Shihab Karim 14-077

6. Md. Omar Faruq 15-256

7. Tuhin Rahman 13-254

Group profile of 9

LETTER OF TRANSMITAL

19th April, 2011Nusrat Khan

Lecturer

University of Dhaka.

Sir: We herewith present our “Term Report” authorized by you as a requirement for this course. In this report, we have tried to provide comparative analysis on organizational behavior practices in different organization.

To prepare this report, we have faced extensive one to one interaction with employees of different levels of our chosen organizations. It has taught us the value of patience, and has given us a higher insight on the level of communication in the practical world.

We have undertaken our sincere effort for successful completion of the term paper. If we have any unintentional error and omission that may have entered into this term paper will be considered with sympathy.

Therefore, it will be a great honor for us if you require us to explain any sort of queries.We hope we have covered all that was required for the report.If there be any clarification demanded, we would appreciate a call from you to our group members.

Sincerely,

Suvrota Acharjee

Roll 15-141

ACKNOWLEDGEMENT

In the different steps of preparing this report, we thank our course teacher for providing us proper guidelines to prepare the report. We also thank her for assigning us such a practical report that has boosted our knowledge from different aspects.

We are thankful and grateful to almighty Allah who has given us the strength and ability to complete the report.We are grateful to our classmates from whom we received cordial guidance, suggestions for preparing this report.We are also very much grateful to our group members because without their perseverance, exertion and hardworking, this report will not be possible to make.At last we thank Md. Alamgir Kabir,the head of the HR Department of EXIM bank & Asif

Iqbal, head of HR of Sonali bank , that provided us important tips in preparing this report.

This Term Paper is prepared by us to meet only for our academic purpose and not for any other reason. It might not be used for the benefit of any other purpose.

Figure & charts:

Table of Contents

This report gives us an overview of the overall organizational behavior of Sonali Bank Ltd and

Exim Bank Ltd. It includes the administration and maintenance behavior of these two banks.

It mainly helps in observing operational behavior of these banks. It includes personality and

values, motivation procedures, decision making procedures, job satisfaction procedures,

organizational sufficiency, customer satisfaction, conflict and negotiation procedures followed

by the banks. Personality and Values refer to distinct personality and values obverted by

employees of these banks. Motivation procedures followed by them and outcomes of them.

Decision making procedures include how they reach rational decision. job satisfaction

procedures shows the outcomes of job satisfaction. Customer satisfaction involves tasks they do

to satisfy their customer and outputs of them. Finally conflict and negotiation analyze reasons

behind conflicts and find out the efficient way to resolve them.

To know the organizational behavior practices we worked on both Sonali Bank and EXIM bank

we have studied their day to day operations, studying their organizational profiles.

We compare their behavior and practices we observed closely and found they are highly

committed to customer satisfaction and quality improvement.

Executive Summary

Introduction & Methodology

Introduction & Methodology

Background of the Report:

This report is prepared as a term paper assignment of Organizational behavior & Human resource management development course F-301. In preparing this report at first we chose two companies “EXIM Bank” & Sonali bank” .Then we collected the necessary information about the organizational behavior practices through questionnaires and personal interview relevant for preparing our report. We also gave our best efforts to emphasize on the information for our report completion

Objective of the Report:

Followings were the objectives of the study:

Broad objective: To develop the knowledge that how to implement the banking operations in

leading banking organizations like Sonali Bank, the largest govt. bank of Bangladesh and EXIM

Bank, one of largest private bank of Bangladesh.

Specific objectives: To attain the broad objective following specific objectives were pursued:

To know briefly about the organizational behavior Practices

To find out what are the activities of human resource manager

To know about the Practices in Bangladesh

And lastly how the banking organizations are operated in Bangladesh.

SCOPE

This assignment gave us the opportunity to go through the different organizational policies

and practices applied by Sonali Bank and EXIM Bank.

Introduction & Methodology

Methodology and Sources of Information

Information is collected from the websites.

Information is collected from our text book.

Visiting and searching information

Limitations:

Preparing the report we have faced the following limitations…

Due to time constrains we were not able to collect all the necessary information and show the proper implication of this information.

When we went to the organizations some confidential was available and we did not get adequate information we badly needed to prepare this report.

The information we needed to implement our assignment is qualitative and so it was difficult to obtain.

We did not get any publication that can help us acquire information.

Company profile of Sonali Bank

Sonali Bank Limited is a state-owned leading commercial bank in BANGLADESH. It is the largest bank of the country. After independence of the country Sonali Bank emerged as the largest and leading Nationalized Commercial Bank by proclamation of the Banks' Nationalization Order 1972 (Presidential Order-26) liquidating the then National Bank of Pakistan, Premier Bank and Bank of Bhwalpur. As a fully state owned institution.

Sonali Bank has a total of 1191 branches. Out of them, 488 are located in urban areas, 696 in rural areas, and 2 are located overseas. It also operates the Sonali Exchange Company Inc. in USA and Sonali Bank (UK) Ltd to facilitate foreign exchange remittances.

Vision:

Socially committed leading banking institution with global presence.

Mission:

Dedicated to extend a whole range of quality products that support divergent needs of people aiming at enriching their lives, creating value for the stakeholders and contributing towards socio-economic development of the country.

EXIM Bank is a scheduled bank in the private sector established under the Bank Companies Act, 1991 and incorporates as a Public Limited Company under companies Act, 1994 with paid-up capital of TK 225.00 million.

The bank was incorporated on June 02, 1999 and started its operation on the 3rd August in the same year. EXIM Bank, with its major focus on export and import trade financing, development of entrepreneurship and patronization of private sector provides both conventional and Islamic commercial banking services.

At present EXIM Bank has 19 branches positioned at different locations of the Bangladesh. 10 branches are located in Dhaka, 3 branches at Chittagong, another 2 branches at Narayangonj, and the rest of branches are located at Sylhet, Gazipur, Noakhali, and Commilla.

Company profile of Exim Bank

Personality:

Personality is the sum total of ways in which an individual reacts and interacts with others. In short, personality is measurable traits a person exhibits.

Personality Traits

Personality traits encode some enduring characteristics that describe an individual’s behavior. It means some special characteristics that describe human nature.

Myers-Briggs Type Indicator (MBTI)

The Myer-Briggs type indicator is the most widely used personality assessment instrument in the world. It’s a 100-questions personality test that asks people how they feel or act in particular situation. It taps four characteristics and classifies people into 1 of 16 personality types.

Personality

Determinants• Heredity• Environment• Situation

Chapter -1 theory

Personality Types

The Big Five Model of Personality Dimensions

Extroversion:The extraversion dimension captures ones comfort level with relationships . Extravagant trend to be Sociable, gregarious, and assertive.

Agreeableness:

A personality dimensions that describes someone who is good natured , cooperative and trusting.

Conscientiousness:

A personality dimensions that describes someone who is Responsible, dependable, persistent, and organized.

Emotional Stability

A personality dimensions that describes someone who is Calm, self-confident, secure under stress (positive), versus nervous, depressed, and insecure under stress (negative).

Extroverted vs. Introverted (E or I)

Sensing vs. Intuitive (S or N)

Thinking vs. Feeling (T or F)

Judging vs. Perceiving (P or J)

Openness to Experience:A personality dimensions that describes someone who is curious, imaginative, artistic, and sensitive

Major Personality Attributes:

Core Values, Sustainable Values and Attitudes

Core Self-evaluation :Individuals’ degree of liking or disliking themselves

Machiavellianism: A Degree to which an individual is pragmatic, maintains emotional distance, and believes that ends can justify means

Narcissism: A personality trait that the tendency to be arrogant, have grandiose sence of self importance,require admiration and entitlement .

Self-monitoring:A personality trait that measures an individual’s ability to adjust his or her behavior to external, situational factors.

Risk taking: Individuals’ degree of taking risks themselves

Type A vs. Type B personality: A comparative discussion of human nature.

Proactive Personality: it Identifies opportunities, shows initiative, takes action, and perseveres until meaningful change occurs

Values may be defined as those qualities that an individual or society considers important as

Principles for conduct and that are intrinsically worthwhile. Values may be broadly categorized as

Core and sustaining values. They are fundamental to the formation of attitudes, which in turn affect the acquisition and application of values. An elaboration of these terms is provided below:

"Values constitute the foundation of one’s attitudes and beliefs, which subsequently influence

One’s behavior and way of life. Values can vary across societies, as different social and economic

Conditions in different geographical locations may lead to different value emphases. However,

across societies, we can also identify certain values that are commonly or universally emphasized.

The emergence of these universal values illustrates the common concerns of human societies,

the basic qualities for human existence, the common elements in human civilization, and also

the common characteristics of human nature…we call these universal values core values

." And sustaining values are "other values that are also important at an instrumental level, being

regarded as important or helpful for sustaining the core values.

The following set of core and sustaining values and attitudes are proposed for incorporation

in the school curriculum

Comparative analysis:

We have gone through a practical analysis of the values practicing in Bangladeshi organization . we have found that values are regarded as most important element prevailing in the organization . There are 7 values that have impact on Exim bank & sonali bank. These are

self r

espect

family

secu

rity

freed

om

accomplish

ment

happiness

responsib

ility

ambition

0

1

2

3

4

5

6

7

8

9

10

Sonali Exim

Motivation

1.Self respect

2.Family security

3.freedom

4.A sense of accomplishment

5.Happiness

6.Responsibility

7.Ambition

Chapter -2 theory

Motivation is the processes that account for an individual’s

intensity, direction, and persistence of effort toward attaining

a goal.

Hierarchy of Needs Theory:

Hierarchy of Needs Theory describes that there are two basic

types of human needs. one is lower needs that are basic

human needs and other are upper needs that are needed to

compensate human self actualization.

Self

Esteem

Social

Safety

Physiological

Theory X & Theory

Two-factor theory

Having Little AmbitionHaving Little Ambition

Avoiding ResponsibilityAvoiding Responsibility

Disliking WorkDisliking Work

Self-DirectedSelf-Directed

Accepting ResponsibilityAccepting Responsibility

Enjoying WorkEnjoying Work

A theory that relates intrinsic factor to job satisfaction and associates extrinsic factors with dissatisfaction.

McClelland’s theory of need:

Need for achievement is the drive to excel, to achieve in relation to a set of standards, to

strive to succeed. Need for affiliation is the desire for friendly and close personal relationships.

Need for power is the need to make others behave in a way that they would not have behaved

otherwise.

Cognitive evaluation theory:

A theory that states that allocating extrinsic reward for behavior that had been previously intrinsically rewarding trends to decrease the overall level of motivation.

Goal setting theory:

A theory that says that specific and difficult goal with feedback lead to higher performance.

Self efficiency theory:

An individual’s belief that he or she is capable of performing a task.

Need for achievement

Need for power

Need for affiliation

Enactive Mastery

Vicarious Modeling

Verbal Persuasion

Arousal

Reinforcement theory :

A theory that says that behavior is a function of its consequence.

Equity theory:

A theory that says that individuals compare their job input and outcomes with those of other and then responds to eliminate any inequity

Expectancy theory: A theory that describes that a person at first believe that he can do, then he do, if he is rewarded then When he is rewarded, the reward will be something that he cares about.

Job Characteristics Model

Identifies five job characteristics and their relationship to personal and work outcomes.

Job redesign:

1. Job rotation: public company uses

2. Job enlargement: public company uses

3. Job enrichment: public company uses

Employ involvement

1. Participative management: The uses of joint decision making.

2. Representative participation: Workers participation in organizational decision making through small group of representative employees.

3. Quality circle: A work group of employees, who meet regularly to discuss their quality problems, investigate causes, recommend solutions, and take corrective actions

Characteristics:1. Skill variety2. Task identity3. Task significance4. Autonomy

How to rewarding individual employees through variable pay programmed.

1. Price rate pay: Workers are paid a fixed sum for each unit of production completed

2. Marit based pay: a payment on the basis of skill and merit.

3. Bonuses: occasional increment.

4. Bill based pay: A payment system on the basis of certain workings.

5. Profit-sharing plans: Organization wide programs that distribute compensation based on some established formula designed around a company’s profitability.

6. Gain sharing: An incentive plan in which improvements in group productivity determine the total amount of money that is allocated.

Comparative analysis:

DECISION MAKING PROCESS IN SONALI BANKSimple decisions usually need a simple decision-making process. But difficult decisions typically involve issues like these:

Uncertainty - Many facts may not be known. Complexity – They have to consider many interrelated factors. High-risk consequences - The impact of the decision may be significant. Alternatives - Each has its own set of uncertainties and consequences. Interpersonal issues - It can be difficult to predict how other people will react.

With these difficulties in mind, the best way in which Sonali Bank takes a complex decision is to use an effective process. Clear processes usually lead to consistent, high-quality results, and they can improve the quality of almost everything we do. Here, we outline a process that will help us to have a clear idea about the decision making process in the Sonali bank.

A SYSTEMATIC APPROACH TO DECISION MAKING IN SONALI BANK

A logical and systematic decision-making process helps you address the critical elements that result in a good decision. By taking an organized approach, they're less likely to miss important factors, and they build on the approach to make their decisions better and better.

There are six steps to making a decision in Sonali bank:

1. Creating a constructive environment.2. Generating good alternatives.3. Exploring these alternatives.4. Choosing the best alternative. 5. Checking their decision. 6. Communicating their decision, and taking action.

Chapter -3 theory

Here are the steps in detail:

STEP 1: CREATING A CONSTRUCTIVE ENVIRONMENT

To create a constructive environment for successful decision making, they make sure do the following:

Establishing the objective - Defining what they want to achieve. Agreeing on the process - Knowing how the final decision will be made, including

whether it will be an individual or a team-based decision. Involving the right people - Stakeholder Analysis is important in making an effective

decision, and they want to ensure that they consult stakeholders appropriately even if they're making an individual decision. Where a group process is appropriate, the decision-making group - typically a team of five to seven people - should have a good representation of stakeholders.

Allowing opinions to be heard - They encourage participants to contribute to the discussions, debates, and analysis without any fear of rejection from the group. This is one of the best ways to avoid groupthink. The Stepladder Technique is a useful method for gradually introducing more and more people to the group discussion, and making sure everyone is heard. Also, they recognize that the objective is to make the best decision under the circumstances: it's not a game in which people are competing to have their own preferred alternatives adopted.

Making sure they're asking the right question - The 5 Whys technique is a classic tool by which they identify the real underlying problem that they face.

STEP 2: GENERATING GOOD ALTERNATIVES

When they generate alternatives, which force themself to dig deeper, and look at the problem from different angles. They use the mindset ‘there must be other solutions out there, and they're more likely to make the best decision possible. If they don't have reasonable alternatives, then there's really not much of a decision to make!

Here's a summary of some of the key tools and techniques they use to develop good alternatives.

GENERATING IDEAS

They use the democratic method to generate ideas from a large number of people. They believe that this is an extremely effective way to make sure that

everyone's ideas are heard and given equal weight, irrespective of the person's position or power within the organization.

CONSIDERING DIFFERENT PERSPECTIVES

The Reframing Matrix uses 4 Ps (product, planning, potential, and people) as the basis for gathering different perspectives. They also ask outsiders to join the discussion, or ask existing participants to adopt different functional perspectives (for example, have marketing people spoken from the viewpoint of a financial manager).

If they have very few options, or an unsatisfactory alternative, they use a Concept Fan to take a step back from the problem, and approach it from a wider perspective. This often helps when the people involved in the decision are too close to the problem.

Appreciative Inquiry forces them to look at the problem based on what's ‘going right,' rather than what's ‘going wrong.'

ORGANIZING IDEAS

They use this when they have a large number of ideas. Sometimes separate ideas can be combined into one comprehensive alternative.

STEP 3: EXPLORING THE ALTERNATIVES

When they're satisfied that you have a good selection of realistic alternatives, then they evaluate the feasibility, risks, and implications of each choice. Here, we discuss some of the most popular and effective analytical tools they generally use.

RISK

In decision making, there's usually some degree of uncertainty, which inevitably leads to risk. By evaluating the risk involved with various options, they determine whether the risk is manageable.

Risk Analysis helps them look at risks objectively. It uses a structured approach for assessing threats, and for evaluating the probability of events occurring - and what they might cost to manage.

Impact Analysis is a useful technique for brainstorming the ‘unexpected' consequences that may arise from a decision.

VALIDATION

They determine if resources are adequate, if the solution matches their objectives, and if the decision is likely to work in the long term.

Cost-Benefit Analysis looks at the financial feasibility of an alternative.

STEP 4: CHOOSING THE BEST ALTERNATIVE

After they have evaluated the alternatives, the next step is to choose between them. The choice may be obvious. However, if it isn't, the following tools help them:

Grid Analysis, also known as a decision matrix, is a key tool for this type of evaluation. It's invaluable because it helps them bring disparate factors into their decision-making process in a reliable and rigorous way.

They use Paired Comparison Analysis to determine the relative importance of various factors. This helps them compare unlike factors, and decide which ones should carry the most weight in their decision.

They use Decision Trees which are also useful in choosing between options. These help you lay out the different options open to you, and bring the likelihood of project success or failure into the decision making process.

For group decisions, there are some excellent evaluation methods available.

When decision criteria are subjective and it's critical that they gain consensus, they use techniques like Nominal Group Technique and Multi-Voting. These methods help a group agree on priorities, for example, so that they can assign resources and funds.

The Delphi Technique uses multiple cycles of anonymous written discussion and argument, managed by a facilitator. Participants in the process do not meet, and sometimes they don't even know who else is involved. The facilitator controls the process, and manages the flow and organization of information. This is useful where you need to bring the opinions of many different experts into the decision-making process. It's particularly useful where some of these experts don't get on!

STEP 5: CHECKING THEIR DECISION

The first part of this is an intuitive step, which involves quietly and methodically testing the assumptions and the decisions they've made against their own experience, and thoroughly reviewing and exploring any doubts they might have.

A second part involves using a technique like Blindspot Analysis to review whether common decision-making problems like over-confidence, escalating commitment, or groupthink may have undermined the decision-making process.

A third part involves using a technique like the Ladder of Inference to check through the logical structure of the decision with a view to ensuring that a well-founded and consistent decision emerges at the end of the decision-making process.

STEP 6: COMMUNICATING THEIR DECISION, AND MOVING TO ACTION!

Once they've made their decision, it's important to explain it to those affected by it, and involved in implementing it. They talk about why they chose the alternative they did. They know that the more information they provide about risks and projected benefits, the more likely people are to support the decision.

Job satisfaction: job satisfaction is a general or global affective reaction that

individuals hold about their job. While researchers and practitioners most often measureglobal job satisfaction, there is also interest in measuring different "facets" or"dimensions" of satisfaction. Examination of these facet conditions is often useful for amore careful examination of employee satisfaction with critical job factors. Traditionaljob satisfaction facets include: co-workers, pay, job conditions, supervision, nature of thework and benefits."

Creating Job Satisfaction

So, how is job satisfaction created? What are the elements of a job that create job satisfaction? Organizations can help to create job satisfaction by putting systems in place that will ensure that workers are challenged and then rewarded for being successful.Organizations that aspire to creating a work environment that enhances job satisfaction need to incorporate the following:

•Flexible work arrangements, possibly including telecommuting

•Training and other professional growth opportunities

•Interesting work that offers variety and challenge and allows the worker opportunities to "put his or her signature" on the finished product

•Opportunities to use one's talents and to be creative

•Opportunities to take responsibility and direct one's own work

•A stable, secure work environment that includes job security/continuity

•An environment in which workers are supported by an accessible supervisor who provides timely feedback as well as congenial team members

• Flexible benefits, such as child-care and exercise facilities

•Up-to-date technology

•Competitive salary and opportunities for promotion

Probably the most important point to bear in mind when considering job satisfaction is that there are many factors that affect job satisfaction and that what makes workers happy with their jobs varies from one worker to another and from day to day. Apart from the factors mentioned above, job satisfaction is also influenced by the employee's personal characteristics, the manager's personal

Chapter -4 theory

characteristics and management style, and the nature of the work itself. Managers who want to maintain a high level of job satisfaction in the work force must try to understand the needs of each member of the work force.

Organizational structure analysis:

Organizational structure have a powerful affect on organizational behavior .

Involvement with the organization:

Job involvement is very important for any organization. If employees realize that they are

not only a payee but also a part they do their level best to serve the organization. I n early

Bangladesh job involvement practices are not practiced in govt offices but they are now

practicing job involvement. Sonali bank is now trying to practice job involvement. Exim

bank is now a good condition about job involvement.

67%

33%

Job involvementSonli Exim

Organizational sufficiency

The structure of sonali bank is very wide but this in not provide that it is not sufficient in technical tools ,the implementation of technology is very poor. But Exim bank don’t have multiple branches like Sonali but it has high implementation of technology. The latest material, fixture, fittings, computers, internet banking software processor etc are sufficient in EXIM Bank which makes the employees give positive attitude towards their job whereas the reverse is found in Sonli Bank due to the lacking of equipments and materials

Technoly Manpower0

2

4

6

8

10

12

Sufficiency

eximSonali

Involvement in decisions affecting organizational

Decisions that affect organizational community is a growing discipline to help employees become

better positioned to understand how the decision making process can affect individuals at a cognitive

level. Performance improvement is intimately linked to this. Maximum number of employees of EXIM

Bank and sonali bank feel involve in this decision

55%45%

organizational com-munitySonali Exim

Managerial activities:

We see that managers of the sonali bank are too much involved in traditional

management. They give a small attention on communication but do a little bit

human resource management and don’t do any kind of networking. The managers

of exim bank ,give more attention on communication , then HRM, and others.

32%

29%20%

19%

Sonali banktraditional managementcommucationHuman resouce managementNetworking

19%

44%26%

11%

Exim banktraditional communicationHrm Networking

Reviewing Progress by manager

There is no such significant deviation is found in this case so managers in both organizations can be

called sincere and responsible which helps employee to be productive.

feedback

SonaliExim

Overall Productivity in getting job done: Most of the employees of EXIM bank vote

themselves GOOD in this criteria whereas a good no employees vote for EXCELLENT. IN Sonali Bank

AVERAGE result is found for maximum no of employees though a small percentage goes for EXCELLENT

and GOOD regarding overall productivity in getting done.

sonali exim0

10203040506070

ExcelentGoodbad

Responding towards customer’s need:

Maximum no. of employees of EXIM Bank are strongly agree that they respond towards their

customer’s need although some of them are somewhat agree in fulfilling their customer’s need.

In Sonali bank, most of the employees are also strongly agree on responding towards their

customer’s need .Also strongly disagree is found in this criteria unlike EXIM Bank.

Feeling valued and affirmed at work

Senior officer of Sonali bank said “When significant people in our lives listen, value our contribution

and reward us appropriately, we feel valued”. So, feeling valued and affirmed at workplace directly

impacts employees senses of self-awareness and self-esteem, creating a positive self-image that allows

them to work to their full potential.

Both the employees of EXIM Bank and Sonali bank have the feeling that they are valued at their

workplace.

sonali BANK

Feeling free to do the things at work

Yes

Workplace boredom can be as stressful and damaging as overwork - perhaps more so. Both the

employees of EXIM Bank and JANATA Bank have the feeling that they feel free to do things at work. But

reversely an equal percentage is also gone for their negative answer that they don’t feel free to do

things at workplace

EXIM BANK

sonali BANK

Individual values fit the organizational values

Accurately measuring an individual's value system and contrasting this with the organization's culture

can be helpful in diagnosing performance issues. All the employees of EXIM Bank have the feeling that

their values fit organizational values whereas only a few percentages of employees of JANATA Bank have

the same feeling.A huge percentage of employees of JANATA Bank are disagree with this statement.

EXIM BANK

Sonali BANK

Creativity and innovation are supported

Creativity and innovation are often key to the success of a business, particularly when strategizing during

strategic planning. Maximum percentages of employees of EXIM Bank have the feeling that their bank

support creativity and innovation and only a small percentage deny it. But in JANATA Bank all the

employees don’t agree that their organization support creativity and innovation.

EXIM BANK

Sonali BANK

Knowing what is expected from the individuals

All the employees of EXIM Bank know that what is expected from him or her at workplace. In Sonali

bank though most of the employees know what is expected from him or her at workplace some of them

are disagree with this statement.

EXIM BANK

Sonali BANK

Having the opportunity of doing best every day at work

All the employees of EXIM Bank thin that they have the opportunity of doing best every day at work.

Though most of the employees of Sonali bank also think that some of them have negative thinking

regarding this statement.

EXIM BANK

Sonali BANK

Knowing someone at work who encourages development

If some people remains at workplace who value self-esteem of others by giving praise for good work and

caring about their development as a person, it would work as a great motivation. Both the employees of

EXIM Bank and Sonali bank have the positive concern regarding this statement.

EXIM BANK

SOnaliBANK

Going beyond expectations to make customers happy

0%

10%

20%

30%

40%

50%

60%

70%

80%

90%

100%

EXIM BANK Sonali BANK

Yes, I always do so

Yes, occasionally

I work as much asis expected of me

I work less thanwhat is expected ofme

N/A

The employees of JANATA Bank work as much as is expected from them but they never go beyond this

whereas a variation is found among EXIM Bank’s employees. Some of them sometimes go beyond their

expectation and some of them always try to do that and some of them do what is expected from them.

Job satisfaction

0%

10%

20%

30%

40%

50%

60%

70%

80%

90%

100%

EXIM BANK JANATA BANK

Energy level to carepeople at the end of w orking day

Energy level to engagein personal interest atthe end of w orking day

Having time time andenergy to read booksafter off ice hours

Having good friends atw ork

Feeling valued andaff irmed at w ork

Feeling recognized andappreciated at w ork

Trust in leadershipteam

Opportunity to do besteveryday at w ork

Fairly compensated

Opportunities to learn

Feeling informed aboutw hats going on

Having opportunity ofdoing best everyday atw orkplace

Mangers cares as aperson

Exim Sonali bank

Conflict and NegotiationWe know conflict can be a serious problem in an organization. It can create chaotic conditions that make it impossible for employees to work together. However, conflict also has a less-well-known positive side. Now throughout our discussion we are going to show the difference between negative and positive conflicts.

Conflict: DefinitionConflict is a process that begins when one party perceives that another party has negatively affected, or is about to negatively affects, something that the first party cares about.

Transitions in Conflict ThoughtThere are several views over the role of conflict in groups and organizations. They are discussed below:

1. Traditional View of Conflict: The belief that all conflict is harmful and must be avoided.2. Human Relations View of Conflict: The belief that conflict is a natural and inevitable outcome in

any group.3. Interactionist View of Conflict: The belief that conflict is not only a positive force in a group but

that it is also an absolute necessity for a group to perform effectively.

The Conflict Process A process with five stages:

Stage 1-Potential Opposition or

incompatibility: Antecedent conditions

*Communication *Structure *Personal variables.

Stage 2-Cognition and

Personalisation: *Perceived Conflict

*Felt Conflict. Stage 3-Intentions *Competing

*Collaborating *Compromising

*Avoiding *Accommodating.

Stage 4- Behaviour: *Party's Behaviour *Others Reactions

Stage 5-Outcomes: *Increased Group

Performance *Decreased Group

Performance

Chapter -5

HOW TO MANAGE CONFLICT IN AN ORGANIZATION

CONFLICT RESOLUTION TECHNIQUES

Problem Solving Face-to-face meeting of the conflicting parties for the purpose of identifying the Problem and resolving it through open discussion.Super ordinate Goals Creating a shared goal that can’t be attained without the co-operation of Each of the conflicting parties.Expansion of Resources When a conflict is caused by the scarcity of resource—say, Money, Promotion Opportunities, Office space—expansion of resource can create a win-win Situation.Avoidance Withdrawal from or suppression of the conflict.

Smoothing Playing down differences while emphasizing common interest between the Conflicting parties.Compromise Each party to the conflict gives up something of value.

Authoritative Command Management uses its formal authority to resolve the conflict and then Communicates its desires to the parties involved.Altering the HumanVariable Using behavioral change techniques such as Human Relations training to alter Attitudes and behaviors that cause conflict.

Altering the Structural Changing the formal Organization structure and the interaction patterns ofVariable conflicting parties through job redesign, transfers and the like.

Conflict Stimulation TechniquesCommunication Using ambiguous threatening messages to increase conflict levels.Bringing in Outsiders Adding employees to a group whose backgrounds, values, attitudes , Managerial styles differ from those of present members.Restructuring theOrganization Realigning work groups , altering rules and regulations, increasing Interdependence and making similar structural changes to disrupt the status Quo.Appointing a Devil’sAdvocate Designating a critic to purposely argue against the majority positions held by The group.

NEGOTIATION

A process in which two or more parties exchange goods or services and attempt to agree on the exchange rate for them. There are two general approaches to Negotiation:

1. Distributive Bargaining: Negotiation that seeks to divide up a fixed amount of resources, a win-win situation.

2. Integrative Bargaining: Negotiation that seeks one or more settlements that can create a win-win situation.

NEGOTIATION PROCESS:

The negotiation process is made up of five steps.

Preparation and Planning

Definition and Group Rules

Clarification and Justification

Bargaining and Problem Solving

Closure and Implementation

ISSUES OF NEGOTIATION

There are four contemporary issues in Negotiation.

1. The Role of Mood and Personality Traits in Negotiation: Negotiators who are in positive moods negotiate better outcomes than those who are in average moods.

2. Gender Differences in Negotiations: Do men and women negotiate differently? And does gender affect negotiation out comes? The answer to the first question appears to be No. The answer to the second is a qualified Yes. A popular stereotype held by many is that women arm or cooperative and pleasant in negotiation than are men. The evidence does not support this belief.

3. Cultural Differences in Negotiations: Negotiations styles clearly vary across national cultures. The French like conflict. They frequently gain recognition and develop their reputation by thinking and acting against others. The Chinese also draw out negotiations but that’s because they believe negotiations never end.

4. Third Party Negotiations: Occasionally individuals or group representatives reach a stalemate and are unable to resolve their differences through direct negotiations. In such cases , they may turn to a third party to help them find a solution. There are four basic third party roles:

i.Mediator

ii. Arbitrator

iii. Conciliator

iv. Consultant.

STAGE 1: POTENTIAL OPPOSITION OR INCOMPATIBILITY

The first step in the conflict process is the presence of conditions that create opportunities for conflict to arise. They need not lead directly to conflict, but one of these conditions is necessary if conflict is to surface. For simplicity’s sake, these conditions have been considered into three general categories:

1. Communication2. Structure 3. Personal Variables.

STAGE 2: COGNITION AND PERSONALIZATION

This stage is Important because it is where conflict issues tend to be defined. This is the place in the process where the parties decide what the conflict is about. It has two general categories:

1. Felt Conflict

2. Perceived Conflict

STAGE 3: INTENTIONS

Intentions are decisions to act in a given way. Intentions intervene between people’s perceptions and emotions and their overt behavior. In addition, there is typically a great deal of slippage between intentions and behavior, so behavior does not always accurately reflect a person’s intentions.

Five conflict handling intentions can be identified:

1. Competing2. Collaborating3. Avoiding4. Accommodating5. Compromising

STAGE 4: BEHAVIOR

The behavior stage visualizes the conflict. This stage includes the statements, actions and reactions made by the Conflicting parties. These conflict behaviors are usually overt attempts to implement each party’s intentions. But these behaviors have a stimulus quality that is separate intentions. As a result of miscalculations or unskilled enactments, overt behaviors sometimes deviate from original intentions.

STAGE 5: OUTCOMES

The action-reaction interplay between the conflicting parties results in consequences. Outcomes may be functional in that the conflict results in an improvement in the group’s performance, or dysfunctional in that in hinders group performance. So outcomes are of two types:

1. Functional Outcomes2. Dysfunctional Outcomes