Organizational Behavior and Human Resource Management
Organizational behavior covers motivation, group dynamics, leadership, and culture; HRM covers the systems that attract, develop, and retain people. Know the motivation theories and their differences. Maslow's hierarchy is need-based; Herzberg separates hygiene factors (pay, conditions) from motivators (achievement, recognition) and argues only motivators create satisfaction. Expectancy theory (Vroom) says effort depends on expectancy, instrumentality, and valence. Equity theory focuses on perceived fairness of input-output ratios; goal-setting theory (Locke) stresses specific, difficult goals with feedback.
Leadership material includes trait, behavioral, and contingency approaches. Fiedler's contingency model matches leader style to situational favorability; situational leadership varies directive and supportive behavior with follower maturity; transformational leadership inspires through vision, transactional leadership exchanges rewards for performance. Group concepts include norms, cohesiveness, groupthink, and stages of team development (forming, storming, norming, performing, adjourning).
HRM essentials: job analysis produces job descriptions and specifications; selection tools should be valid and reliable; structured interviews outperform unstructured ones; performance appraisal methods include graphic rating scales, critical incidents, and behaviorally anchored rating scales. Beware halo error, central tendency, and recency bias.
Trap: questions conflate Herzberg's hygiene factors with motivators, or treat equity theory as purely about pay level rather than fairness of ratios. Worked example: an employee who believes a peer earns more for equal output is experiencing inequity under equity theory, and may reduce effort or seek a new referent; raising pay alone fixes it only if the perceived ratio is restored.