Levels of Analysis and Interactional Psychology

One basic way of getting an overview of the various topics and elements covered in this course is to think about levels of analysis, ranging from micro to macro. At one extreme, we analyze on an individual level, studying personality differences, perception, and individual decision-making. We can then move up the levels to study groups and group dynamics. Finally, at an organizational level of analysis, we encounter more global topics, such as organizational structure and culture.

A second way of approaching the subject matter is to understand how the various concepts interact with one another. Kurt Lewin's interactional psychology perspective is very helpful here. His view (a widely held one) is that human behavior is a function of differences in individual characteristics and in reactions to situations. Put more simply, behavior ( B ) is a function of the person ( P ) and his or her interactions with the environment ( E ), expressed as B = f ( P , E ). If we refine this view and focus on organizational behavior and performance, any number of person and environment variables might be listed and plugged into the formula. Relevant organizational variables might include, although are not limited to, things like the interaction between someone’s personality style ( P ) and the design of their job (which, in this case, is external to them, so it’s an environmental variable). Or, how one’s attitudes ( P ) interact with the motivational levers the organization uses (E, the reward system).