Wednesday, October 10, 2012

Topic : Attribution theory and its relevance to management practices

By Prem Moktan,
Bank of Bhutan

Perception
Perception is the way we see things and notice. “Perception is a process by which individuals organize and interpret their sensory impressions in order to give meaning to their environment.” (Rubbin, & Judge, 2011).  People’s behaviour is based on their perception of what reality is, not on reality itself. Perception is the reality but the reality may be different from what we perceive. Same situation may be perceived differently by different people because interest may be one of the driving forces behind his perception.

Attribution theory
Attribution theory tries to explain the ways in which we judge people differently, depending on the meaning we attribute to a given behavior. When individual observe behaviour, they attempt to determine whether it is internally or externally cause, (Rubbin, & Judge, 2011). According to the definition of Heider (1976 cited in Harvey, & Weary, 1984), “Attribution is a part of cognition of the environment. Whenever you cognize your environment you find attribution occurring”.  Internally caused behaviour such as; poor attitude, stress, lack of knowledge and personality traits are under the control of individuals. But the behaviour results from outside causes which are forced into behaviour by situations are external to individuals. The theory basically attempts to analyse the information how people use while making causal inferences.  Fundamental attribution error occur while judging other’s behavior because we tend to under estimate the influence of external factors and overestimate the influence of internal factors. Self-serving bias occurs when we attribute our own success to internal factors and attribute failure to their external factors. According to Rubbin, & Judge,(2011), “There is tendency to underestimate the influence of external factors and overestimate the influence of internal factors while making judgments about the behavior of others”.  Common shortcuts in judging other such as selective perception, halo effect, contrast effects and stereotyping are frequently valuable but have some limitation as well.
 Attribution theory referred to the perception or inference of cause. Understanding attribution is critical because people’s interpretation of causes of behaviour and events determine their subsequent attitudes and behaviours, (Kelly, & Michela, 1980).  It is also referred to as judging people differently, depending on the meaning we attribute to given behaviour. (Rubbin, & Judge, 2011). However, according to the Bartunek, (1980), the attribution theory is a branch of social psychology which addresses the factors affecting our understanding of behaviors.  Attribution is also referred to as work concerned with attempt to understand the factors involved in perceived causation.  Kelley (1973, cited in Mizerski, Richard ; Gloden, Linda, Kernan, Jerome, 1979) defines it “Attribution theory is a theory about how people make casual explanation, about how they answer questions beginning with, why?”.


According to Robbins, & Judge, (2011) there are three interpretative factors of attribution theory for determining whether the behaviour is internal or external. These interpretive factors are:  1) Distinctiveness 2) Consensus 3) Consistency. Distinctiveness refers to whether an individual displays different behaviours in different situations. If the behavior is unusual the distinctiveness is high and we may consider it an external attribution. If everyone responds in the same way who faces similar situation; than the behavior can be said consensus. And high consensus may be considered as external attribution if low than is internal. And if responds are same over time than the behaviour is consistent. High consistency may be assign as internal and the low as external attribution. There seems recent development in attribution criteria of distinctiveness and consistency. For example, Enzle et al (1980, cited in. Harvey, & Weary, 1984) showed that one set of observers’ evaluation of a target person reflected typical distinctiveness findings, with high distinctiveness yielding less extreme evaluation than low distinctiveness for both positive and negative acts.
Thibaut & Riecken (1955, cited in Kelley, & Michela,  1980) argued that, the subject decides between an internal and external cause for the other’s compliance on the basis of other’s perceived power. If the other person is high in power or status, then distinctiveness is low and the cause for the compliance will be considered to be endogenous to person. But, if the other person is low in power or status, then distinctiveness is considered to be high and the cause for the compliance will be seen as exogenous to person. Eccles, et al (2002) suggest that, “ attributing success to an internal cause enhances one’s pride or self-esteem, but attributing that success to an external cause enhances one’s gratitude; attributing failure to internal cause is linked to shame, but attributing it to external causes to anger.”
While making judgment of other people; there is likely that we underestimate the influence of external factors and overestimate the influence internal factors. Ross, (1977, cited in Harvey, & Weary, 1984) argued that,  the tendency of attributors to underestimate the impact of situational factors to overestimate the depositional factors in controlling behavior  was the fundamental attribution error. According to Robbins, & Judge, (2011) the fundamental error occurs when there is tendency to underestimate the external factors and overestimate the influence of internal factors when making judgment about the behaviour of others. He also suggests that self-serving bias is also likely to face when people attribute their own success to internal factors and put the blame on external factor on their failure. According to experiment conducted by Miller, & Lawson, (1989) suggest that, subjects are capable of avoiding the fundamental attribution error as well as committing it and it depends on their situation.
There are number of shortcuts we use such as selective perception, halo effects, contrast effects and stereotyping when we judge others. (Robbins, & Judge, 2011).
Since organisation is a consciously coordinated social unit; it comprises of people with diversity of attitude, values, ethic, and behaviour and understanding of individual behaviour is key to the success of the organization.  Because of these social intricacies involved in an organization, manager’s judgment has important consequences in employees’ appraisal. According to Robbins, & Judge, (2011) most common application of attribution theory are employment interview, performance expectations, performance evaluation, employee's effort and employee loyalty. Perceptual judgment of interviewers may not be accurate because the early impression quickly becomes entrenched and ad-hoc decision may not be advisable as the first perception may not be the complete one. Managers’ expectation also has impact on employees’ behaviours. Performance evaluation depends on the perceptual process and has direct link in terms of promotion, pay raises, continuation of employment of the individual employee.  All these evaluation process are subjective and are problematic due to attribution errors as discussed above.
Appelbaum, Lavigne-Schmidt, Peytchev, & Shapiro( 1999, cited in Lisa . Nishii, Devid ., Lepak, Binjamin Schneider, 2008)  suggest that when employees perceive that HR practices reflect  an underlying cost reduction HR strategy in which the organisaton views employees as a cost to be minimized, corresponding levels of commitment and satisfaction will be negative. Jones & Nisbett (1971, cited in Knowlton, William, Mitchell, Terence., 1980) argued that performance is most often attributed to four causes; effort and ability (either internal or dispositional, causes or both) and luck and task difficulty (both or either external, or situational, causes). Furthermore, differences in attributions made by the actors(those performing the actions) and observers, and ego enhancing biases, suggest that leaders are likely to attribute the performance of their subordinates more to internal than to external causes and that this would be most pronounced in the case of poor performance(when external explanation might suggest poor supervision). Green, Ledin, 1980 postulated that, when the subordinate’s poor performance was portrayed as being due to internal reasons as opposed to external reasons, performance was attributed to more to personal characteristics.
 According to Kipinis & Cosentino(1969 cited in Knowlton, 1980) suggest that leaders used coercive behavior when they believed a subordinate performed poorly due to a bad attitude and use expertise when they believed the poor performance was due to lack of ability. Hence different measures used by the managers on employees while evaluating them have greater impacts on organization performance. (Brody, 1980) concluded in his research that, the explosion of research in cognitive psychology has proceeded in relative isolation from the research in motivation.

Conclusion
It is to be concluded that despite various errors and shortcomings, Attribution theory has a great positive impact on management of the employees in an organization. Since the human resource is the asset to an organization, understanding their behaviours from the management perspective is a key to success of the organization. Understanding of attribution theory provides important insight by which employees management becomes integrated part of their attitudes and behaviours.  Though the attribution theory errors and shortcomings impact the productivity, trust and commitment of the employees, it far surpasses the positive implications as argued by some authors. Thus, considering causes of the behaviors which range from internal to external factors and situational to personal factors; organisations need to formulate strategy to lessen their manifestations. However, as human factors such as attitudes, personalities and perception vary, the importance of the attribution theory will be predominant theory in management of employees in organisations.


References:
Bartunek, J.M,. 1981, why did you do that? Attribution Theory in Organisation, Business Horizon, Sept: 66-81.

Brody, Nathan. Social Motivation, Annual Review of Psychology, 1980, Vol. 31, p143-168, 26p.

Eccles, Jacquelynne S.; Wigfield, Allan. Motivational beliefs, values and goals Annual Review of Psychology, 2002, Vol. 53 Issue 1, p109, 24p

Green, S. &  Liden, 1980, Contextual and Attribution Influences on control decisions,  Journal of Applied Psychology, 65, 4: 453-458.

Harvey, J. & Weary, G. 1984 Current Issue in Attribution Theory and Research,  Annual Review of Psychology, 35:427-459

Kelley, H. & Michela, J. 1980, Attribution Theory and Research, Annual Review of Psychology, 31: 457-501.

Knowlton, William, A., Mitchell, Terence, R, Effects of causal attribution on a supervisor’s evaluation of subordinate performance, Journal of Applied Psychology Vol 65(4), Aug,1980. Pp. 459-466
 Lisa H. Nishii, Devid P., Lepak, Binjamin Schneider, Employee attribution of the “why” of HR practices : their effects on employees attitudes and behaviours and customer satisfaction. personnel psychology 2008, 61, 503–545


Miller, A.G, & Lawson, T., 1989. The Effect of an Informational Option on the fundamental Attribution Error, Personality and social Psychology  Bulletin, 15, 2: 194:204

Robbins, S. & Judge, T., 2011. Organisational Behaviour, Chapter 5, 14th Edition Upper saddle River, NY, Pearson Education

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