Perception in Organizations

2.1 Perceptual Process

Perception is the process by which individuals select, organise, and interpret stimuli into a meaningful and coherent picture of the world. It is subjective — two people can observe the same event and interpret it completely differently.

Steps in perceptual process:

1. Stimuli reception: Sensory organs receive external stimuli (sight, sound, touch, taste, smell)
2. Selection: Not all stimuli are processed — attention is selective based on intensity, novelty, movement, size, repetition, and personal interest
3. Organisation: Selected stimuli are organised into coherent patterns (Gestalt principles: figure-ground, proximity, similarity, closure)
4. Interpretation: Meaning is assigned based on past experience, expectations, personality, motivation, and cultural background

2.2 Perceptual Biases in Organizational Context

Bias	Description	OB Example
Halo Effect	One positive/negative trait colours overall evaluation	A punctual employee assumed to be highly competent in all areas
Stereotyping	Assigning group characteristics to an individual	Assuming women are less ambitious; expecting all engineers to be introverted
Projection	Attributing one's own feelings, motives to others	A dishonest manager assumes all employees steal
Selective Perception	Filtering information to confirm existing beliefs	Manager only notices when a disliked employee makes mistakes
Contrast Effect	Evaluating relative to recent comparison rather than absolute standard	Candidate seems excellent after series of poor interviewees
Recency Effect	Recent events disproportionately influence overall evaluation	Last month's performance dominates the entire year's appraisal
Primacy Effect	First impressions dominate overall evaluation	Job candidate judged primarily by first 2 minutes of interview
Attribution Error	Explaining behavior by internal factors (personality) for others, external factors for self	"My failure = bad luck; their failure = incompetence"

2.3 Attribution Theory (Harold Kelley, 1967)

When we observe another's behavior, we try to determine whether it was caused by internal factors (personality, ability, effort) or external factors (situation, luck, social pressure). Attribution depends on:

• Distinctiveness: Does person behave differently in different situations?
• Consensus: Do others behave similarly in the same situation?
• Consistency: Does person behave this way consistently over time?

Fundamental Attribution Error: Tendency to underestimate situational factors and overestimate personal factors when explaining others' behavior.

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