1

ORGANIZATIONAL BEHAVIOR
LETTER OF TRANSMITTAL
May 31, 2008 Mr. Retd. Cdr. Tabassum Teacher, Organizational Behavior Bahria Uni
versity Karachi. Sir: We herewith present our “Term Report” authorized by you as a r
equirement for this course. In this report, we have tried to provide analysis on
organizational behavior of NIB Bank. We hope we have covered all that was requi
red for the report. If there be any clarification demanded, we would appreciate
a call from you to our group members. Sincerely, Maaz Khalid Muhammad Usman Bada
r Muhammad Zain
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ORGANIZATIONAL BEHAVIOR
ACKNOWLEDGEMENT
In the name of “Allah”, the most beneficent and merciful who gave us strength and kn
owledge to complete this report. This report is a part of our course “Organization
al Behavior”. This has proved to be a great experience. This report is a combine e
ffort of, Maaz Khalid, Muhammad Usman Badar and Muhammad Zain. We would like to
express our gratitude to our organizational behavior teacher Mr. Retd. Cdr. Taba
ssum, who gave us this opportunity to fulfill this report. We would also like to
thank our colleagues who participated in a focus group session. They gave us ma
ny helpful comments which helped us a lot in preparing our report.
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ORGANIZATIONAL BEHAVIOR
HISTORY OF THE NIB BANK:
NIB Bank Limited started as NDLC-IFIC Bank Ltd. which was incorporated in March
2003 as a public limited company. It started operations in October 2003 when all
assets, liabilities, rights and obligations of the former National Development
Leasing Corporation (NDLC) and Pakistan operations of IFIC were amalgamated with
and into the bank with a paid up capital of Rs.1.2bn. In April 2004 the Pakista
n operations of Credit Agricole Indosuez were also amalgamated with and into NIB
. In March 2005 Temasek Holdings of Singapore acquired 25% shareholding in NIB B
ank, through Bugis Investments. This shareholding was further enhanced to over 7
0% in June '05 following an increase in NIB's paid up capital to Rs.3.4bn. NIB B
ank has since grown rapidly from a base of 2 branches in 2003 to 45 in the 4th q
uarter of 2007. Total assets have grown from Rs.9bn in December 2003 to Rs.87bn
(excluding acquisition of PICIC through rights) as of September 30 2007, a CAGR
of 85%. Loan growth has been equally rapid, increasing from Rs.7bn to Rs.43bn in
the same period (a CAGR of 64%), resulting from successes in both the commercia
l and consumer business. Deposits for the same period have grown at a CAGR of 95
%, reaching Rs.45.3bn. The overall client base of NIB has also witnessed a treme
ndous growth in the same period as of September 2007; from a few thousand to ove
r one hundred thousand.NIB Bank's vision is to rank amongst the top 5 banks in t
he country. Therefore towards end of June 2007 it acquired majority shares of PI
CIC with the aim of merging PICIC and its commercial banking subsidiary PICIC Co
mmercial Bank Limited into NIB . The acquisition was financed through the countr
y's largest private sector rights issue, with resultant increase in NIB's paid u
p capital to Rs.21.4bn. The PICIC acquisition has bought with it another subsidi
ary "PICIC AMC" and an affiliate "PICIC Insurance". NIB already has a shareholdi
ng in NAFA, an Asset Management Company (AMC); thus its asset management busines
s will now also be increased, with diversification in the insurance business.
The legal merger of PICIC, NIB & PCBL took place on December 31, 2007, once all
regulatory approvals were in place. NIB Bank is led by Khawaja Iqbal Hassan, sup
ported by four business heads and ten business enabling function heads. The merg
er has resulted in a vastly expanded network of 240 branches and total assets of
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ORGANIZATIONAL BEHAVIOR
over Rs.185bn. Consequently NIB has the second highest paid up capital of around
Rs.27.5bn and ranks number 7 amongst commercial banks in terms of distribution
network. Merger synergies will accrue through lower cost deposits, enhanced cust
omer service delivery channels and overall improved efficiencies. These would pr
ovide a competitive edge in the face of increasing competition. Temasek Holdings
remains the largest single investor in NIB Bank. This merger is one step forwar
d in consolidating the banking sector as envisioned by State Bank of Pakistan an
d enhancing FDI as per the Government of Pakistan's objectives. The powerful fra
nchise of the three merged entities has now been brought together to form a larg
e and powerful bank. Going forward management is confident that the combined ban
k will be a top performer delivering a wide range of financial services through
an extensive branch network. The asset management arms and insurance affiliate a
re also expected to perform well and provide an attractive dividend stream.
GOAL SETTING THEORY:
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ORGANIZATIONAL BEHAVIOR
Goal setting theory was born out of Aristotle’s theory of final causality and then
researched in greater detail by Edwin A. Locke in the 1960s to understand how g
oals can influence an individual’s performance. The basic theory behind goal setti
ng is that human behavior is galvanized and governed by goals and ambition. Toda
y, goal setting theory is very important not only for those studying organizatio
nal psychology, but for anyone seeking to increase productivity, enhance perform
ance and reach for greater heights of success. Goals are able to motivate and sp
ur you to meet your ambitions because it helps you focus your efforts on that ob
jective. Every objective we have requires a list of tasks to be executed. By set
ting goals, we’re able to persist with the list of tasks and are compelled to deve
lop strategies in order to reach our objective. The incredible results achieved
with the goal setting theory explain why it’s not just colleges, universities and
sports institutions that use it to obtain results, but in businesses too where s
urvival is based on ensuring positive outcomes. Having objectives is not the iss
ue, but striving to attain them is. Following are the points that help you to ac
hieve goals:
• • •
State your goals in specific terms. Understand what your goals are and know why
you’re selecting these goals. Make your goals attainable. There is no point settin
g goals you believe are unattainable. The best way to do this is to break your g
oals down into actionable steps. Measure your goals. Set a timeframe, or a miles
tone that can put the pressure on you to meet your objectives.
ANALYSIS:
To what extent you and your colleagues feel that the company sets challenging go
als for itself and expects quality performance and outstanding production? Answe
r Log Table: Low standards Scores 1 2 3 4 5 4 6 1 2 7 3 1 8 11 5 9 7 4 10 3 9 Hi
gh standards E D
When we asked the question relating to goal setting theory from employees in gen
eral we got responses which led us to decide that employees wanted to decrease t
he standard of goals set for them by management. But after the thorough analysis
of individuals we found about 72% employees who were satisfied with the standar
ds of goals set for them and not only this some them wanted to improve standards
of goals with little difference according to our provided scale. The rest of 28
% employees feel to decrease the standard of goals.
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ORGANIZATIONAL BEHAVIOR
Now the question arises why in general the answer was different instead of havin
g majority satisfied with the standards. The reason is that those 32% employees
who wanted to decrease the standard marked greater difference on the scale we pr
ovided which affected the final result but the analysis shows that the majority
is satisfied with standard of the goal sets for them. But very few of the employ
ee’s answers led us to decide that employees wanted to decrease the standard of go
als set for them by management. But too much difficult goals can also de-motivat
e many employees. Company should set there goals that there employees expect to
achieve.
EMPLOYEE INVOLVEMENT PROGRAMS:
A participative process that uses the entire capacity of employees and is design
ed to encourage increase commitment to the organization success. Employee involv
ement programs include the following.
•
•
Participative management Representative Participation
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ORGANIZATIONAL BEHAVIOR
• •
Quality circles Employee Stock Ownership Plans.
Participative Management:
An open form of management where employees have a strong decision-making role. P
articipative management is developed by managers who actively seek a strong coop
erative relationship with their employees. The advantages of participative manag
ement include increased productivity, improved quality, and reduced costs.
ANALYSIS:
To what extent you and your colleagues feel that you can make decisions and solv
e problems without checking with your managers? No responsibility Scores 1 2 3 4
4 2 5 7 3 6 9 8 7 3 8 8 6 9 10 Expected responsibility E D
We asked the question from the employees to what extant you and your colleagues
feel that you can make decisions and solve problems without checking with your m
anagers? Basically this question is related to participative management that is
one of the types of employee’s involvement program to increase the involvement of
employee in decision making process. After analysis of the questionnaire we foun
d that the current participation level in NIB Bank is 48% this shows that the em
ployees are authorized to make decisions for routine works or in normal situatio
ns but not in critical situation. However, the rating scale in our questionnaire
suggests that employees wanted to be trusted and allowed to make decision to fu
rther extent by 20% more. Participative program are also very helpful to increas
e the moral high and productive of the employee. In participative management emp
loyees are the trusted by the management and also increase the management confid
ence on their employees. Participation increases commitment to decision. Employe
es are less likely to undermine a decision at the time of implementation if they
share in making that decision and participative management makes employees job
more interesting and meaningful to them and participative management increased p
roductivity, improved quality and reduced costs.
MOTIVATION:
The process that accounts for an individual, intensity, direction and persistent
efforts towards attaining a goal. Reward systems:
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ORGANIZATIONAL BEHAVIOR
The only way employees will fulfill your dream is to share in the dream. Reward
systems are the mechanisms that make this happen. "However, reward systems are m
uch more than just bonus plans and stock options. While they often include both
of these incentives, they can also include awards and other recognition, promoti
ons, reassignment, non-monetary bonuses (e.g., vacations), or a simple thank-you
.
ANALYSIS:
We asked the question related to rewards that how rewards motivate employees in
NIB Bank and we found that there are different kinds of rewards NIB Bank gives t
o their employees which are as follows: • • • • • • Cash Bonuses Promotions Make team leade
ESOP Increment in salaries Allowances like (Fuel allowance, mobile allowance)
We found one very different kind of reward in NIB Bank that they motivate their
employees whose performance is not up to the mark by giving them the salaries eq
uivalent to the market value of the any other employee of same rank so as to mot
ivate their employee. We asked the question from the employees related to reward
system that to what extent they are being recognized and rewarded on their good
performance and how these rewards motivate them to work. We ascertained that mo
st of the employees in NIB Bank are satisfied but very few of employees showed t
hat there are not rewarded for their performance but the overall result is posit
ive and this shows the level of motivation employees get from rewards. Many of t
he employees told us they are being rewarded after accomplishment of their sales
target in such a way that their management take them to the picnic or invite th
em for dinner and the rewards like picnic and dinner from NIB’s management is bein
g rewarded most frequently.
And other very interesting thing which we found in NIB Bank is that their manage
ment doesn’t fire their employees even their performance level is not up to the st
andard of the company. For example if an NIB’s employee continuously does not achi
eve its target for the period of three months the management does not fire that
employee and we can say that this is kind of surety from NIB’s management to its e
mployees and this kind of relaxation motivate employees a lot and employees secu
re and they are not always threaten from their management to achieve sales targe
t.
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ORGANIZATIONAL BEHAVIOR
Here we also want to share that in NIB Bank we did not find the employee recogni
tion programs like (employee of the year, employee of the month) and we feel tha
t this kind of recognition program can also increase the level of motivation and
productivity of employees of NIB Bank. But in whole we discover that the employ
ees of NIB Bank are very much satisfied from rewards that are being given to the
m and the rewards in NIB Bank is based on the performance of the employee except
one that we mentioned above and in NIB Bank most of the rewards are given to em
ployees are of monetary nature and Management of NIB Bank continuously appreciat
es the good work done by the employees for the achievement of goals, which motiv
ate the employees to worker harder for the achievement of goals.
LEADERSHIP STYLES:
From Mahatma Gandhi to Jack Welch and Martin Luther King to Rudolph Giuliani, th
ere are as many leadership styles as there are leaders. Fortunately, business pe
ople and psychologists have developed useful, shorthand ways of describing the m
ain leadership styles that can help aspiring leaders to understand and adapt the
ir own styles and leadership impact.
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ORGANIZATIONAL BEHAVIOR
Whether you are managing a team at work, captaining your sports team or leading
a major corporation, you leadership style is crucial to your success. 10 of the
most frequently talked-about leadership style are as follows: 1. Autocratic lead
ership 2. Bureaucratic leadership 3. Charismatic leadership 4. Democratic leader
ship or Participative leadership 5. Laissez-faire leadership 6. People-oriented
leadership or Relations-Oriented leadership 7. Servant leadership 8. Task-orient
ed leadership 9. Transactional leadership 10. Transformational leadership
ANALYSIS:
Key: 1 = Never; 2 = Seldom; 3 = Occasionally; 4 = Often; 5 = Always
S.No. 1 2 3 4 5 6 7 8 9 10 QUESTIONS Tells group members what they are supposed
to do. Acts friendly with members of the group. Sets standards of performance fo
r group members. Helps others feel comfortable in the group. Makes suggestions a
bout how to solve problems. Responds favorably to suggestions made by others. Ma
kes his/her perspective clear to others. Treats others fairly. Develops a plan o
f action for the group. Behaves in a predictable manner toward group members. SC
ORING 123 4 - - 4 18 --3 5 - 2 5 12 --4 8 -24 6 - - 6 10 - - 2 16 --2 5 - 1 14 7
- 3 12 2 5 3 17 6 13 13 9 7 18 3 8
We asked different questions relating to the leadership style from NIB Bank empl
oyees to know which leadership style their leader uses and we found that two of
the leadership styles that are task oriented and people oriented or relations-Or
iented. The results we got from employees of NIB Bank that 53% of the employees
feel that their managers are relationship oriented leaders and remaining 47% fee
ls that their managers are task oriented leaders so this shows that the NIB Bank
has got the combination of leaders that are task oriented and relationship orie
nted. This shows that NIB Bank have the leaders that perform better in all situa
tions and can manage their teams more effective in favorable conditions and also
in very unfavorable conditions.
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ORGANIZATIONAL BEHAVIOR
PATH GOAL THEORY:
House’s PATH GOAL THEORY describes how leaders can motivate their followers to ach
ieve group and organizational goals and the kinds of behaviors they can engage i
n to accomplish that Path Goal theory suggests that effective leaders follow thr
ee guidelines to motivate their followers. The guidelines are based on the expec
tancy theory of motivation. Effective leaders who follow these guidelines have h
ighly motivated subordinates who are likely to meet their work goals and perform
at high levels.
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ORGANIZATIONAL BEHAVIOR
Determine what outcomes subordinates are trying to obtain in the workplace. For
example, what needs are they trying to satisfy, or what goals are they trying to
meet? After gaining this information, the leader must have control over those o
utcomes or over the ability to give or withhold the outcomes to subordinates. Re
ward subordinates for performing at high levels or achieving their work goals by
giving them desired outcomes. Make sure the subordinates believe that they can
obtain their work goals and perform at high levels. Leaders can do this by showi
ng subordinates the paths to goal attainment (hence the name path goal theory),
by removing any obstacles that might come along the way, and by expressing confi
dence in their subordinates capabilities. House identified four types of behavio
r that leaders can engage in to motivate subordinates:
• • • •
Directive behavior (similar to initiating structure) lets subordinates know what
tasks need to be performed and how they should be performed. Supportive behavio
r (similar to consideration) lets subordinates know their leaders cares about th
eir well-being and is looking out for them. Participative behavior enables subor
dinates to be involved in making decisions that affect them. Achievement-oriente
d behavior pushes subordinates to do their best. Such behavior includes setting
difficult goals for followers, expecting high performance, and expressing confid
ence in their capabilities.
ANALYSIS:
We designed a different questionnaire especially for the TOP MANAGEMENT OF NIB B
ank and the questions were related to PATH GOAL THEORY as the questionnaire belo
ngs to the top management so we asked four top level managers of NIB Bank to fil
l this questionnaire list of their names and designation are given below: By stu
dying our questionnaire we found different behaviors of leadership and there con
tribution in the organization’s behavior. We found different results for each beha
vior after analyzing the answers of our respondents which are given below: Direc
tive Leaders Behavior: The most contributive behavior in leadership behaviors in
NIB Bank having 27% share in leadership behavior was found to be directive beha
vior which is being frequently used in the organization we targeted. The benefit
of using directive form of leadership which
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ORGANIZATIONAL BEHAVIOR
is characterized by greater control, defining what needs to be done, allocating
resources and establishing clear expectations. The directive leadership behavior
takes a more pragmatic approach to handling affairs in NIB Bank and is characte
ristically utilized in corporate turn-around situations. Supportive Leaders Beha
vior: The second most contributory behavior in leadership behaviors in NIB Bank
having 26% share in leadership behaviors was found to be supportive behavior the
results obtained shows that supportive behavior used in NIB Bank is almost the
same as the use of directive leadership behavior with having difference of only
1% which is not a very big figure. Participative Leaders Behavior: Participative
leadership behavior is the least used behavior in NIB’s culture with having 23% t
his shows that the NIB Bank leaders do consult with their subordinates while mak
ing a decision but at low frequency as compared to other PATH GOAL leadership be
haviors. Achievement Oriented Leaders Behavior: The third most contributory beha
vior in leadership behaviors in NIB Bank with having percentage of 24 this shows
that the leaders of NIB Bank set challenging goals for their subordinates with
low frequency but they expect from their employees to perform at their highest l
evel. The results of our analysis shows that there is no such big difference in
leadership behaviors used in NIB Bank and this is a very good sign for NIB Bank
that their leaders manage their subordinates according to different situations w
ith different leadership behaviors.
NORMS:
“Norms are shared group expectations about behavior and how members ought to behav
e.” Norms provide groups with control and predictability and give members a sense
of security and comfort. Norms are also the way we express values, attitudes and
beliefs. Norms put boundaries on members that may be narrow or wide. Many norms
in organizations originate from management expectation or from work rules and p
rocedures of the formal organization. They develop and operate in informal group
s. Many central work group norms revolve around productivity. Norms can put lowe
r and upper limits on productivity. Controlling productivity not only spread the
work ought to more people for a longer period, but also prevents management fro
m rising its expectation.
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ORGANIZATIONAL BEHAVIOR
Some organizations have norms emphasizing social concern for employees this norm
foster taking care of people who needed or other wise contributing to the quali
ty of an employee’s life at work. Management can foster many norms that contribute
to organizational success, such as norms effecting work quality, helpfulness or
customer relation. A norm of secrecy may be critical to keep competitors from s
tealing ideas.
ANALYSIS:
Norms are of four types. The one we quire about is social norm. The reason of se
lecting social norm is that our culture is based on collectivism so the importan
ce of social norms is very high. The situation of norms in NIB’s culture is fair e
nough according to the result of our questionnaire most of the employees follows
the norms set by the organization and they are satisfied with them, but we foun
d some employees who are willing to improve the conditions i.e. norms the calcul
ated value of there willingness is about 25%. The major factors of social norms
are friendliness, trust and mutual support. According to the employees in NIB Ba
nk the conditions of trust and friendliness are pretty good and they are willing
to increase mutual support. It is necessary to emphasize on social arrangement
norms in country like Pakistan because of its collectivism culture and these nor
ms helps the organization to get the participation of their employee in positive
manner to achieve the goals set by the organization these kind of norms also mo
tivates the employees to remain in organization because of friendly culture in o
rganization social arrangement norms also helps the employees to interacts with
each other in more friendly manner which will increase trust among them and with
there top management. If these norms are valued by the management then it will
positively affect employee satisfaction and productivity and it will also enhanc
e the organization culture
CONFORMITY:
“Conformity can be defined as a change in a person’s behavior or opinions as a resul
t of real or imagined pressure from a person or a group of people”. Who does Confo
rmity affect? Conformity can affect people in all different ways, positively and
negatively. In task-specific situations, those who are led to believe they do n
ot have the required aptitude, their tendency to conform increases. Individualis
tic societies are less likely to conform than collectivistic. How does Conformit
y work? An individual will most likely conform if:
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ORGANIZATIONAL BEHAVIOR
The majority consists of experts The members of the majority are important to th
e individual The individual can relate to the majority on some level--there are
similarities
between the individual and the group
ANALYSIS:
Through our questionnaire we analyzed the pattern of answers given by employees
and we found many similar answers in regard of questions and it shows greater ex
tend of conformity among employees of NIB Bank as they have almost marked simila
r options given in each questions of our questionnaire. The level of conformity
shows there good relations and understanding with each other which also shows th
at they will not leave each other in hard times but on the other hand the high l
evel of conformity indicates the danger of employees saying always yes to other’s
decision instead of thinking critically about it and there might be a chance of
employee saying yes under pressure in the fear of loosing group and may result i
n loss of any useful idea. After Asch’s study about conformity, in the world the c
onformity is decreasing as the level of knowledge and awareness are increasing a
nd the result of our questionnaire shows high level of conformity, we can sugges
t the reason “collectivism culture of Pakistan”
TEAMS:
A group whose individual efforts result in a performance that is greater than th
e sum of the individuals input. Guideline for team leaders set by NIB’s management
:
Definition: Has a natural authority, generates commitment and builds team cohesi
veness by setting a clear vision for the team, reflected in core values.
EFFECTIVE BEHAVIOUR INDICATOR MORE OF THIS LESS EFFECTIVE BEHAVIOUR INDICATOR LE
SS OF THIS
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ORGANIZATIONAL BEHAVIOR
Communicates frequently a realistic picture of future plans so people know what
has to be done and why? Takes independent decisions and asks the team to follow
instruction without questioning. Arrives at decision by consensus, where appropr
iate, to gain team commitment. Waits for team to ask for information instead of
proactively keeping them informed of the ‘big’ picture.
Is supportive of the team / individuals and helps in overcoming problems to achi
eve targets.
Leads by example; displays behavior which reflects the desired work norms and va
lues.
Exhibits high personal energy when initiating action but does not follow through
.
Spends time finding out the way individuals want to be managed and work together
; adapts leadership by style to match.
Talks about the theory and principles of leadership, yet not reflected in behavi
or.
Maximizes the available resource by constructing wellbalanced teams; acknowledge
s and helps others values the unique contributions of each member.
Uses the abilities of staff for own personal and career gains; does not share be
nefits and praise but passes on criticisms and blame.
Identifies own leadership style and strengths, adapts these to specific situatio
ns.
Does not seek to identify and discuss the values of the team to ensure everyone
is working towards a common goal.
Avoid admitting own mistakes or limitations. Follows up with dissenters or block
er to contain negativity.
Guidelines for reducing conflicts between team members set by NIB’s management:
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ORGANIZATIONAL BEHAVIOR
Definition: The ability to pull together individuals or parties in conflict by d
iffusing emotions, identifying the critical issues and helping got reach a compr
omise; keeps the focus on common objective to meet both needs.
EFFECTIVE BEHAVIOUR INDICATOR MORE OF THIS LESS EFFECTIVE BEHAVIOUR INDICATOR LE
SS OF THIS
Lets conflict escalate before taking any action. Confronts covert conflict; draw
s out sensitive issues or relationships.
Seeks to diffuse conflict after listening to only some of the parties involved;
jumps to conclusions about others based on earlier situations.
Uses all-round knowledge to manage interdepartmental and intra-departmental conf
licts. Adopts a singular style or strategy across different contexts. Keeps the
focus of conflict resolution on the long term overall interests of the organizat
ion. Does not identify brewing conflicts from emotional reactions. Facilitates o
pen discussion between conflicting parties. Suggests own solution identifying th
e source. Remains impartial when dealing with others; listen to arguments of eac
h party. Focuses too much on emotional aspects of the conflict rather than the s
olutions. Adapts approach to the situation and the culture of the conflicting pa
rties. Conveys inconsistent messages to conflicting parties, thus resulting in t
he further confusions. to conflict without
ANALYSIS:
After visited to NIB Bank we discovered that the NIB Bank employees comprised of
selfmanaged works teams according to employees responses they feel greater leve
l of
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ORGANIZATIONAL BEHAVIOR
responsibility on their shoulders and they manage the things like planning, sche
duling of work, and assigning task to the member of team, control the pace of th
e work, make decisions through discussion between the team members, take actions
to solve the problem and also interact with their customers and we found that t
he employees called their colleagues relationship officer rather than sales offi
cer.
QUALITY MANAGEMENT:
CREATIVITY
Definition: Is able to conceive original, imaginative and valuable ideas to solv
e problems and improve processes.
EFFECTIVE BEHAVIOUR INDICATOR MORE OF THIS LESS EFFECTIVE BEHAVIOUR INDICATOR LE
SS OF THIS
Develops ideas and thinks through to an innovative conclusions.
Prefers to use tried and tested methods to solve problems rather than think of n
ew and innovative solutions.
Questions traditional thinking in order to initiate new perspectives.
Sees opportunities as risks; talks about the dangers and risks rather than the p
otential benefits.
Builds on information and ideas provided by others. Actions ideas giving appropr
iate thought only to short-term benefits and immediate impact.
Acts quickly opportunities.
to
grasp
and
develop
novel
Improvises effective solutions when faced with ambiguous and difficult situation
s.
Is overly absorbed in own ideas; hence is not as aware of the environment or imp
ortant events as required.
Tests out ideas for practicality and feasibility.
Over relies heavily on past experience; does not think laterally.
Seeks out pools and thinkers and puts them
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ORGANIZATIONAL BEHAVIOR
together to generate ideas; uses tools techniques to simulate others’ creativity.
and
CONTINUES LEARNING:
Definition: A strong personal commitment to self-development reflected in an und
erlying curiosity to know more about people, things, issues, stretching beyond w
hat is routine or required job knowledge.
EFFECTIVE BEHAVIOUR INDICATOR MORE OF THIS LESS EFFECTIVE BEHAVIOUR INDICATOR LE
SS OF THIS
20
ORGANIZATIONAL BEHAVIOR
Identifies skills needed for the future and takes steps to develop self and othe
rs.
Actively seeks professional opportunities, both inside and organization.
development outside the
Over emphasizes the importance of won professional development at the cost of wo
rk priorities.
Relies too heavily on own knowledge does not accept constructive feedback.
Seeks opportunities to work with the others of diverse backgrounds, experience,
viewpoints.
Sticks to own area of expertise rather than broadening one’s focus.
Has personally established on-going systems or habits for information gathering
through professional memberships, literature and contacts.
Develops oneself for tangible rewards rather than more and grow.
Sets clear personal development targets which focus on behavioral improvements a
s much as professional / technical skills.
Waits for others to identify own development needs.
Volunteers for assignments which contribute to individual learning goals.
Considers skills lifelong; continuously resorts to tried and tested methods.
Accepts and seeks feedback from others; learns from past mistakes.
Prefers to cover up mistakes rather than seek feedback and learn.
CONCLUSION:
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ORGANIZATIONAL BEHAVIOR
After studying and a analyzing the results of our research on the various issues
related to the organizational behavior within the organization that are affecti
ng the performance of its management and particularly its employee, followed by
several general and specific list of questions we asked and the interviews we co
nducted during our visit to the two branches of NIB bank one on “Tariq Road” and oth
er on “I.I Chundrigar Road”, we are able to draw out our conclusions about this repo
rt. NIB Bank is a global bank which is also operating in Pakistan. The organizat
ion behavior regarding goal setting for employees we have concluded that the man
agement of NIB Bank is effective in setting goals according to the competition i
n the banking sector of Pakistan. As the requirement of growing banking sector i
t is necessary to set challenging and effective goals so as to become market lea
ders. Despite of setting challenging goals the employees of NIB Bank are satisfi
ed with these challenging goals and performing well to achieve the goals which w
ere provided to them. The management style in NIB Bank is kind of participative
management in which employees are given chance to share their ideas for decision
making so the NIB Bank is utilizing its employees by getting different ideas fr
om different employees this provides greater chances for getting better and inno
vative ideas. Not only this but from this activity employees feel motivated beca
use they think they also have the authority in decision making process and they
are also a part of an organization. During the interview of an employee NIB Bank
he told us “All the employees here are given title of relationship officer rather
than any other designation and at the beginning of each month the top level man
agement visits every branch and arrange meeting with all the employees of the br
anch and discuss the problems faced by every employee and immediately tries to r
esolve the problem and this is the major motivating factor for us”. For motivating
their employees management uses different types of motivating tools the innovat
ive ones we found are ESOP (Employees Stock Ownership Plan) and the pay plan for
less productive workers. By providing ESOP the employees gains the ownership of
an organization and work hard not only for their benefit but also to maximize t
he profit of the organization. The next thing about the pay plan for less produc
tive workers the company motivate their employees whose performance is not up to
the mark by giving them the salaries equivalent to the market value of the any
other employee of same rank. As the motivation and reward systems are up to the
expectation of the employees so the employees are very much satisfied and don’t wa
nt to leave the organization.
The leadership styles in NIB Bank are mixture of both the task oriented and rela
tionship oriented but it is little lien towards relationship oriented leadership
style. The leader’s behavior consisting of all the leaders’ behavior provided by Ho
use’s Path Goal Theory having almost same percentages with very low variation. Ove
rall we concluded NIB Bank inherits strong organizational culture having values
for leaders and as well as for employees and the organization behavior is up to
the mark for any company being in Pakistan.
22
ORGANIZATIONAL BEHAVIOR
RECOMMENDATION:
1. NIB Bank should offer training and development sessions for undergraduates;
this will help NIB Bank in future while recruiting employees. 2. NIB Bank should
reduce conformity by giving rewards to employees for suggesting more effective
idea in the benefit of the organization this will not only provide wider range o
f ideas but also act as a motivational tool for their employees.
3. NIB Bank should arrange extra curricular activities like cricket matches on i
nter
bank level to further improve relations between employees as other organizations
are organizing (for example ABN Amro, Mobilink, etc.)
4. NIB should introduce “Dress-Down” day i.e. employees should be given
permission to wear dresses other than formal dresses on certain days so as to ma
ke them relaxed while work.