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 MANAGEMENT AND
ORGANISATIONAL
BEHAVIOUR

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 MANAGEMENT AND
ORGANISATIONAL
BEHAVIOUR
LAURIE J. MULLINS AND GARY REES

THIRTEENTH EDITION
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First published in 1985 in Great Britain under the Pitman imprint (print)
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Ninth edition published 2010 (print)
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 From Laurie:
To Pamela and for our families.
From Gary:
To Mary, Lydia and George.

F01 Management and Organisational Behaviour 22381.indd 5 20/02/2023 13:49

F01 Management and Organisational Behaviour 22381.indd 6 20/02/2023 13:49
 Contents in brief

In acknowledgement and appreciation xviii

About the authors xx

0 Your study of management and organisational behaviour 1

Part 1
Organisational behaviour
and work 21
1 The people–organisation relationship 22
2 The work environment 56
3 Organisational conflict and stress 90

Part 2
Focus on the individual 121
4 Personality and diversity 122
5 Learning and development 157
6 Perception and communication 190
7 Work motivation and satisfaction 227

Part 3
o us on grou s nd le dershi 269
8 Working in groups and teams 270
9 Leadership in work organisations 307
10 Managing people at work 343

F01 Management and Organisational Behaviour 22381.indd 7 20/02/2023 13:49

 viii Contents in brief

Part 4
Focus on the workplace 379
11 Organisational theory and structure 380
12 Patterns of structure and workplace
design 412
13 Organisational control and power 451

Part 5
Focus on organisational
environment 485
14 Organisational culture and change 486
15 Strategy, corporate responsibility and
ethics 522
16 Organisational performance and
effectiveness 558

Appendix Review of developing your personal skills and employability 593

Index 597
Publisher’s acknowledgements 618

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 Contents in detail

In acknowledgement and appreciation xviii

Integrating the individual and the
About the authors xx
organisation 24
Organisational analysis 26
0 Your study of management and
A multidisciplinary perspective 28
organisational behaviour 1
Positive organisational behaviour
Overview topic map: Chapter 0 – Your study of (POB) 29
organisational behaviour 2 Interrelated influences on behaviour 30
About this book: Management and organisational A framework of study 31
behaviour 3 Social exchange theory 32
What is organisational behaviour (OB)? 4 Organisational theory 33
Underlying features of your study 5 The organisation as an open system 35
Topics in OB are not entirely free-standing 6 Organisation and management systems 37
What is the relevance of theory? 7 Contribution of Human Resource
Organisational metaphors 8 Management (HRM) 39
The importance of organisational behaviour 10 The psychological contract 41
OB, personal skills and employability 10 Nature and extent of expectations 41
The ‘SCARF’ model 12 Globalisation and the international
People management and social skills 13 context 43
Making yourself more employable 15 The cultural environment 44
Personal skills and employability exercise 15 Is organisational behaviour
Structure of the book 17 culture-bound? 47
Notes and references 18 Summary – Chapter 1 ‘The people–
organisation relationship’ 50
Group discussion activities 50
Organisational behaviour in action case
study 52
Chapter 1 – Personal skills and employability
exercise 54
Notes and references 54

2 The work environment 56

Overview topic map: Chapter 2 – the work
Part 1 environment 57
Work as a central life issue 58
Organisational behaviour Orientations to work and work ethic 61
and work 21 Emotional labour 62
Work and the organisational setting 64
1 The people–organisation
Private and public sector organisations 66
relationship 22
Social enterprise organisations 68
Overview topic map: Chapter 1 – Common features of organisations 69
The people–organisation relationship 23

F01 Management and Organisational Behaviour 22381.indd 9 20/02/2023 13:49

 x Contents in detail

Formal and informal organisations 71

Friendships and relationships at work 73
Work/life balance 74
Changing nature of work
organisations 77
Different generations and age groups 79
The future of the workplace 81
Summary – Chapter 2 ‘The work
environment’ 84 Part 2
Group discussion activities 85
Organisational behaviour in action case
Focus on the individual 121
study 86
4 Personality and diversity 122
Chapter 2 – Personal skills and employability
exercise 88 Overview topic map: Chapter 4 – Personality
and diversity 123
Notes and references 88
Recognition of individuality 124
3 Organisational conflict Understanding personality 125
and stress 90 Personality traits and types 127
Uniqueness and similarities 129
Overview topic map: Chapter 3 –
Sigmund Freud – a psychodynamic
organisational conflict and stress 91
perspective 130
Work, health and well-being 92
Nomothetic approaches 132
What is organisational conflict? 93
Idiographic approaches 135
Potential sources of conflict 95
Personality and stress at work 138
Broader interpretations of conflict 98
The Big Five personality factors 139
The management of conflict 100
Personality ‘tests’ and assessments 141
Conflict resolution in the
Applications in the workplace 141
workplace 101
Emotional intelligence (EI) 143
What is organisational stress? 103
Recognition of diversity 145
Potential causes of work stress 105
Diversity in the workplace 146
Is stress necessarily to be avoided? 106
Diversity and stereotyping 150
Coping with stress 108
Criticisms and limitations 151
HSE Management Standards 111
Summary – Chapter 4 ‘Personality and
Bullying and harassment 112
diversity’ 152
Frustration-induced behaviour 114
Group discussion activities 153
Summary – Chapter 3 ‘Organisational conflict
Chapter 4 – Personal skills and employability
and stress’ 115
exercise 154
Group discussion activities 115
Notes and references 155
Organisational behaviour in action
case study 116
5 Learning and development 157
Chapter 3 – Personal skills and
employability exercise 117 Overview topic map: Chapter 5 – Learning and
Notes and references 118 development 158
The nature and importance of learning 159

F01 Management and Organisational Behaviour 22381.indd 10 20/02/2023 13:49

 Contents in detail xi

Behaviourist and cognitive views of learning 162 Group discussion activities 222
Behaviourist theories of learning 163 Organisational behaviour in action case
Cognitive perspective of learning 166 study 224
Socialisation 167 Chapter 6 – Personal skills and employability
How do we learn? 168 exercise 225
Action learning 171 Notes and references 226
Learning preferences 173
7 Work motivation and
E-learning 174
Knowledge management 175
satisfaction 227
Creativity 178 Overview topic map: Chapter 7 – ‘work
Mentoring and coaching 180 motivation and satisfaction’ 228
Applications of learning theory 184 The significance of motivation 229
Summary – Chapter 5 ‘Learning and Needs and expectations at work 230
development’ 185 Money as a motivator 231
Group discussion activities 186 Extrinsic and intrinsic motivation 232
Organisational behaviour in action case Three-fold classification for review of
study 187 motivation 234
Chapter 5 – Personal skills and employability Competing theories of motivation 236
exercise 187 Content theories of motivation 237
Notes and references 188 Maslow’s hierarchy of needs theory 237
Alderfer’s modified need hierarchy
6 Perception and model 241
communication 190 Nohria’s four drives model of motivation 242
Overview topic map: Chapter 6 – perception Herzberg’s two-factor theory 242
and communication 191 McClelland’s achievement motivation
theory 244
The importance of the study of perception 192
Process theories of motivation 245
The perceptual process 193
Vroom’s expectancy theory 247
Internal characteristics 197
Implications of expectancy theory 248
External influences 198
Equity theory of motivation 249
Perceptual illusions 203
Goal theory 251
Making judgements about other people 204
Relevance today of motivation
Difficulties in perceiving other people 206
theories 254
Perceptual distortions and errors 209
Organisational behaviour modification 255
Attribution theory 212
Motivation of knowledge workers 256
The importance of language and
Job satisfaction 258
communication 214
Comprehensive model of job enrichment 260
Non-verbal communication and body
language 215 Summary – Chapter 7 ‘Work motivation and
satisfaction’ 262
Impression management 219
Group discussion activities 263
Perception and interpersonal
communications 220 Organisational behaviour in action case
study 264
Understanding the organisational process 221
Chapter 7 – Personal skills and employability
Summary – Chapter 6 ‘Perception and
exercise 264
communication’ 222
Notes and references 266

F01 Management and Organisational Behaviour 22381.indd 11 20/02/2023 13:49

 xii Contents in detail

9 Leadership in work
organisations 307
Overview topic map: Chapter 9 – Leadership in
work organisations 308
The significance of leadership 309
Approaches to the study of leadership 311
Qualities or traits approach 311
Functional (or group) approach 314
Part 3 Styles of leadership 315
Focus on groups Continuum of leadership behaviour 316
nd le dershi 269 Contingency theories of leadership 318
Fiedler’s contingency model 319
8 Working in groups and Vroom and Yetton contingency model 320
teams 270 Path–goal theory 321
Overview topic map: Chapter 8 – ‘working in Readiness of the followers or group 322
groups and teams’ 271 Transformational leadership 324
Importance and significance of Inspirational or visionary leadership 325
groups 272 Servant leadership 327
Formal and informal groups 274 Alternative views of leadership 328
Group values and norms 276 The leadership relationship 331
Expectations and benefits of group Culture: A contingent factor? 331
membership 278 Leadership effectiveness 332
Group cohesiveness and performance 279 Leadership development 336
Membership 280 Summary – Chapter 9 ‘Leadership in
Work environment 280 organisations’ 338
Organisational 281 Group discussion activities 338
Group development and maturity 281 Organisational behaviour in action case
Social identity theory 283 study 339
Characteristics of effective work Chapter 9 – Personal skills and employability
groups 285 exercise 340
Virtual teams 287 Notes and references 341
Interactions among group members 289
Analysis of individual behaviour 291
10 Managing people at work 343
Individual and group performance 294 Overview topic map: Chapter 10 – Managing
Building successful teams 297 people at work 344
Autonomous working groups 300 The management of people 345
Summary – Chapter 8 ‘Working in groups and What is management? 347
teams’ 302 Management in public sector
Group discussion activities 303 organisations 350
Organisational behaviour in action case Responsibility for the work of other
study 304 people 351
Chapter 8 – Personal skills and employability Managing with and through people 352
exercise 304 A looser approach to managing 355
Notes and references 305 Importance of managerial style 356
Theory X and Theory Y management 357

F01 Management and Organisational Behaviour 22381.indd 12 20/02/2023 13:49

 Contents in detail xiii

The Managerial/Leadership grid® 359

Human resource management 361
Partnership with line managers 363
Investors in People 366
Performance management (PM) 368
Managerial effectiveness 370
Measures of effectiveness 371
Summary – Chapter 10 ‘Managing people at
work’ 375 Part 4
Group discussion activities 375 Focus on the workplace 379
Organisational behaviour in action case
study 376 11 Organisational theory and
Chapter 10 – Personal skills and employability structure 380
exercise 376
Overview topic map: Chapter 11 – Organisation
Notes and references 378
theory and structure 381
Developments in organisational
behaviour 382
The classical approach 384
Administrative theory 385
Scientific management 386
Bureaucracy 389
Evaluation of bureaucracy 391
Human relations approach 393
Evaluation 395
Socio-technical approach 397
Contingency approach 398
Other approaches to the study of
organisations 400
Decision theory 400
Social action 401
Action theory 402
Postmodernism (Post bureaucratic) 403
Relevance to study of organisational
behaviour 404
Summary – Chapter 11 ‘Organisational theory
and structure’ 407
Group discussion activities 407
Organisational behaviour in action case
study 409
Notes and references 410

F01 Management and Organisational Behaviour 22381.indd 13 20/02/2023 13:49

 xiv Contents in detail

12 Patterns of structure and 13 Organisational control and

workplace design 412 power 451
Overview topic map: Chapter 12 – Patterns of Overview topic map: Chapter 13 –
structure and workplace design 413 Organisational control and power 452
Purpose and importance of structure 414 The essence of control 453
Levels of organisation 415 Improvement in performance 454
Underlying dimensions of structure 417 Elements of organisational control 456
Task and element functions 418 Other forms of control 457
Division of work and grouping of people 418 Strategies of control in organisations 458
Centralisation and decentralisation 421 Power and management control 461
Design principles of organisation 423 Power and leadership influence 464
Formal organisational relationships 426 Pluralistic approaches to power 465
Project teams and matrix organisation 427 Financial and accounting systems of
Role structure of the organisation 430 control 468
Role conflict 432 Behavioural factors of organisational
Boundaryless organisation 434 control 469
Organisation charts 435 The concept of empowerment and
Contingency approach 435 delegation 472
Technology and structure 437 The manager–subordinate relationship 473
Woodward – structure and production Systematic approach to delegation 476
technology 437 Control versus autonomy 479
Perrow – major dimensions of Summary – Chapter 13 ‘Organisational control
technology 438 and power’ 479
Uncertain external environment 439 Group discussion activities 479
Burns and Stalker – mechanistic and organic Organisational behaviour in action case
structures 440 study 481
Lawrence and Lorsch – differentiation and Chapter 13 – Personal skills and employability
integration 441 exercise 482
Organisation structure and culture 442 Notes and references 483
Changing face of the workplace 443
Outsourcing 444
Demand for flexibility 444
Structure and organisational
behaviour 445
Summary – Chapter 12 ‘Patterns of structure
and workplace design’ 446
Group discussion activities 446
Organisational behaviour in action
case study 447
Chapter 12 – Personal skills and employability
exercise 448
Notes and references 449

F01 Management and Organisational Behaviour 22381.indd 14 20/02/2023 13:49

 Contents in detail xv

The importance of strategy 524

Organisational ideologies and principles 527
Vision and mission statements 528
Management of opportunities and risks 529
Organisational goals 532
Corporate social responsibilities (CSR) 535
Organisational stakeholders 538
The UN global compact 539
Part 5 Values and ethics 540
Focus on organisational Ethics and corporate social
responsibility 541
environment 485 Business ethics 543
14 Organisational culture and Codes of business conduct (or ethics) 547
change 486 An integrated approach 548
Human rights in business 549
Overview topic map: Chapter 14 –
Summary – Chapter 15 ‘Strategy, corporate
Organisational culture and change 487
responsibility and ethics’ 551
Adapting to change 488
Group discussion activities 551
What is organisational culture? 489
Organisational behaviour in action case
Types of organisation culture 491
study 552
Levels of culture 493
Chapter 15 – Personal skills and employability
Influences on development of culture 494 exercise 554
Culture and organisation control 497 Notes and references 556
Importance of culture 498
National and international culture 500 16 Organisational performance
Case study – Brazil 501 and effectiveness 558
Organisational climate 503
Overview topic map: Chapter 16 –
Organisational change 505 Organisational performance and
Resistance to change 508 effectiveness 559
Do people welcome change? 512 Organisational performance and
Managing change 512 management 560
Getting people to accept change 514 Employee engagement and
Summary – Chapter 14 ‘Organisational culture commitment 563
and change’ 516 The nature of organisational
Group discussion activities 516 effectiveness 567
Organisational behaviour in action case The learning organisation 567
study 517 Total quality management (TQM) 570
Chapter 14 – Personal skills and employability The balanced scorecard 572
exercise 519 The EFQM Excellence Model 572
Notes and references 520 Attributes and qualities of a manager 574
Effective use of time 578
15 Strategy, corporate responsibility
Management development 579
and ethics 522
Building productivity in the UK 581
Overview topic map: Chapter 15 – Strategy, Organisational capabilities 583
social responsibility and ethics 523

F01 Management and Organisational Behaviour 22381.indd 15 20/02/2023 13:49

 xvi Contents in detail

Appendix Review of developing your

Successful organisations and personal skills and employability 593
people 583
Index 597
Summary – Chapter 16 ‘Organisational
performance and effectiveness’ 586 Publisher’s acknowledgements 618
Group discussion activities 587
Organisational behaviour in action case
study 588
Chapter 16 – Personal skills and employability
exercise 590
Notes and references 591

F01 Management and Organisational Behaviour 22381.indd 16 20/02/2023 13:49

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 In acknowledgement
and appreciation

From Laurie: A special tribute to my wife Pamela and families for their constant
warmth, support and encouragement with this latest edition.
Francesca Mullins, Rebekah Darvill, Abigail Voller
Di and Mike Blyth, Lynn and Wayne Miller, Christine Paterson

From Laurie and Gary: Special thanks and gratitude also to:

Mike Crabbe and Mike Timmins

Hugo Misselhorn
Anne Riches
Jane Southall
Those managers who kindly gave permission to reproduce material from their own
organisations and work environments.
The team at Pearson Education including Victoria Tubb, Avijit Sengupta, Archana
Makhija and Chithra Rajasekaran.

F01 Management and Organisational Behaviour 22381.indd 18 20/02/2023 13:49

 In acknowledgement and appreciation xix

External reviewers
The following reviewers were approached by the publishers for their constructive
comments that have helped shape this revised new edition.
1. Stuart Wall: Cambridge International Education Centre
2. Mustafa Ozturk: Queen Mary University of London
3. Tamas Lestar: University of Winchester
4. Dr Stefano Cirella: University of Essex

F01 Management and Organisational Behaviour 22381.indd 19 20/02/2023 13:49

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