Adams’ Theory of Inequity 

Q.1. Identify three personal factors that are potential causes of conflict in an organisation. Discuss, by providing specific examples, how these three personal factors could be a cause of organisational conflict. As a manager, what effective strategies and techniques can you apply to manage these factors?

When people from different backgrounds, race, gender and community work in an organizational framework, chances are that conflicts will arise. In such situations there are various types of conflicts that can arise. Some of the personal factors that can be potential causes of a conflict are as follows:

  • Poor communication – due to lack of proper communication among workers, there might be a potential organizational conflict where suggestions or actions are misunderstood. As a manager, they can create a team agreement that explicitly states the do’s and don’ts of being part of that company. For example- if the workers are confused or fighting about who has to close shop every night, there can be an agreement in place that states that each day of the week the shop will be closed by one of the seven employees. This reduces the scope of conflict.
  • Personality differences– personality clashes at the workplace are an inevitable thing. The whole point of organizational framework is that workers must come together to achieve a common goal. As a manager, they must be aware of these personality differences and try to engage in respectful communication so as to assure the worker that they will be heard and seen. Managing diversities can seem tricky in the beginning but with effective communication and time, the bridges can be covered to create efficient working paradigms.
  • Non compliance with rules- there are certain employees that might not be used to working in team setup and may sometimes not comply with the rues in the workplace. In such a situation the manager has to ensure that establish boundaries right from the start and address the issues promptly t not create any unresolved tension. The key factor in this is keeping some non-negotiable rules in place that are cooperative. Along with respectful communication the managers must work towards ensuring that the employees understand this framework of rules have been created for their own benefit.

Q.2. explain the three levels of organisational culture. Use real-life business examples to explain how those organisations have applied rituals, stories and symbols in building their culture.

Culture is the way that any organization works. Some of the culture behavior may not be obvious on the surface but it will have become ingrained as company culture over period of time due to change and response to stimuli. Company culture can be the absolute magic worker of the deal breaker when it comes to ensuring the company success. The three levels of organizational culture are as follows :

  • Artefacts or typical behaviour- this refers to the typical company behavior or the company culture is visible from outside. This is how the company and its employees behave, the shop talk, how they dress, the office design. It is the visible manifestation of company culture.
  • State values or espoused values – this can be discovered through the why questions- why does the company do , what it does? What stands out here is the interpersonal behavior of the company members with outside members. This is about their mission goals, values and vision, they are the philosophies and ideologies of the company made visible for the public.
  • Fundamental assumptions or shared tacit assumptions – these are the hidden assumptions and beliefs, they are deeply embedded and are basically the ways in which the company operates at its very elemental level. This will not be visible to outsider but this dictates the duty and behavioral framework for every employee of that company. It is true that these inner values of the employees of a company can make or break the organization. for example – companies like Walt Disney – The Happiest Place on Earth being the Happiest Place to Work- are established and reputable brands that are almost synonymous with happiness. The shared values and the company culture are something that is very apparent for people to notice. They take pride in their history and heritage. They are also extremely cautious of only hiring people who are fit for the company culture and are in complete alignment with the ethos of the company. The business segments of the company are led by innovation, entertainment and education.

Q.3. Adams’ theory of inequity suggests that an employee’s perception of fairness in the workplace impacts their motivation. Briefly explain the theory and then give practical examples of how a person might implement four of the seven tactics Adams identifies if they perceive inequity.

Adam’s equity theory states that the re needs to be a balance between the effort an individual puts into a company and how the company rewards him for this effort. In order t create a healthy organizational framework, it is of utmost importance that employees feel that they are being treated just as fairly and well like the other employees in order to ensure equity. In an employee feels undervalued and underappreciated it is only natural that their perception of equity in the company will change. And this will influence their motivation to work for the company as they will feel that their efforts are going unnoticed.

When we talk of inputs we refer to commitment, skill hard work, the sacrifices an employee makes, the time they put in, effort adaptability and flexibility. The theory suggest that employees can get extremely demotivated if they feel their input is exceeding the output they receive. This may lead to them feeling uninterested in the company or their employer’s ambitions. To ensure the success of a company it is extremely important that the employer learns how to value their employees by ensuring their job satisfaction and giving them adequate pay. Equality at the workplace is not something that can be ignored.

The four ways in which , employees can apply the equity theory are as follows:

  • They can change the amount of work they put in to match the remuneration
  • They can ask the management to change the output i.e as for an increased pay.
  • Negotiations with the management regarding better treatment and pay advantages at work.
  • If none of the above work, the employee must value their own work and seek an alternative employment option where they will be appreciated for their input efforts.

Q.4. Write your response to this question. Use full sentences, address each element in a new paragraph, and give examples whenever possible to illustrate the points. Your answer should demonstrate an understanding of relevant theory and its application to the real world. What are the positives and negatives for organisations operating in a globalised world? Using examples, discuss how global competition can create opportunities for organisations.

Global competition can create opportunities for organisations as it can motivate them to create products and services that will help in the advancement for the company but also improve the conditions of the world.

Global competition exists to create an atmosphere that inspires companies to recognize the needs of civilisations across the world to create an impact. they have the potential to cause of new wave of change in the market and this can be a very strong propeller.

But the negative impact of global competition can be the fact that small companies in developing countries may not be able to cope with competition as they do not have the same amount of resources as the larger companies.

One more positive of the global competition can be the development of international networks and the delivery of extremely high quality services that can propel in the building of a company name- for example, universal acclaim of the services and products provided by Apple, Microsoft in the world of software and technology.

It also helps in the creation of innovation culture. But a disadvantage could be the fact that they might end up neglecting the more specific local needs of an area as they will constantly be trying to match up to global standards.

Another advantage if global competition can be the creation of jobs through outsourcing. As the demands for goods and services keep rising the company production will increase, for this they will have to employ more people. This can cause generation of employment in many countries that are not yet developed.

The global competition aspect also increases the possibility for expansion as companies do not have to rely on their regional and local economies. They can now be self sufficient a demand for goods and services can keep on increasing from all over the world thus helping them build their global comparative advantage.

Few other limitations could be the travel and additional staff expenses the company will have to incur no matter what the profit is. Also, companies that are just starting will have to wait for a couple of years before their work makes a global impact. Knowing the financial policies of all companies and how this effects their pricing and profits is another element companies will have to factor in because of global competition.

Globalization can also help in reduction of labour exploitation issues as more and more companies will pool all their resources together to create much less stringency around borders. Globalization will give some purchasing power and opportunities to people from impoverished countries.

Globalization would help the world progress faster and ensure that concentration of power does not take place. By reducing border restriction and create a common format for business they could encourage free trade and help the rest of world to grow faster as with more money, their quality of life will increase this will also help in reducing the mortality rate and uplifting the working class.

But another aspect of this could also be the new fact that a new political system might be created and that will lead to more accumulation of wealth with the ones who are already wealthy.

There is the complete probability that in this age of irreversible climate change, globalization will have an adverse impact and make sure that the resource consumption is not reduced and they will continue to create profits for the wealthy. This will definitely impact the environment negatively as more and more agencies of the world are pushing towards sustainable development but companies that have invested in revamping the organizational framework for globalization will want to incur more profits instead of working about the environment. This will create adverse effect and make the already impending global crisis worse.

Remember, at the center of any academic work, lies clarity and evidence. Should you need further assistance, do look up to our Organisational Behaviour Assignment Help

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