02. Orgnization Behavior an Introduction

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chapter

1ORGANIZATIONAL BEHAVIOR

H. V. Kothari

Email:[email protected]


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Behavior is a mirror in whichevery one displays his own image

We are all serving a life sentence,and good behaviour is our only

hope for a pardon.Doug Horton

BEHAVIOR is what a man does, notwhat he thinks, feels, or believes

Quotations


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What is an Organization?An organization is acollection of peoplewho work together toachieve individual andorganizational goals.


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The study of organisational behaviour (OB)

embraces an understanding of -

The behaviour of people The process of management The organisational context of management Organisational processes and the execution of

work

Interactions with the external environment of which the organisation is part


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The meaning of OB

OB is a convenient shorthand that refers to the numerous interrelated influences on, and patterns of behaviour of people within organisations

Porter, Lawler and Hackman

The study and understanding of the individual and group behaviour and patterns of structure in order to help to improve organizational performance and effectiveness


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Components of OrganizationalBehavior Understanding

organizationalbehavior

requires studying

Individuals in

Organizations

Group and TeamProcesses

OrganizationalProcesses


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Influences on OB

Individuals

Groups

The organisation itself

The environment


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Individuals

Are a central feature of OB

Are a necessary part of any behavioural set Bring to the organisation their personality, skills

and attributes, values, needs and expectations

Can create conflict if their needs and the demandsof the organisation are incompatible


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Management and the individual

Managements task is to integrate the individual &

the organisation, providing a workingenvironment that permits the satisfaction of individual needs & attainment of organisationgoals


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Groups

Exist in all organisations

Are essential to organisational working andperformance

Comprise a range of different individuals

Can develop their own hierarchies and leaders


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Groups

Can have a major influence on behaviour andperformance of individual members

Have their own structures and functions, rolerelationships and influences and pressure

An understanding of group structure and behaviour complements a knowledge of individual behaviour


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The organisation

Individuals & groups interact within thestructure of the formal organisation

Organisational structure is created bymanagement to:- establish a relationship between individuals &groups- provide order and systems to direct efforts of the organisation into goal seeking activities


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The organisation

The formal structure allows people/groups tocarry out organisational activities to achieve aims& objectives

Behaviour is affected by patterns of organisationalstructure


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Environment

The environment affects the organisation through:

technological & scientific development economic activity

social & cultural influences government activities


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Environment

The effects of the operation of the organisation

within its environment are reflected in the:

management of opportunities & risks

successful achievement of organisational aims &objectives


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Environment its rate of change

The increasing rate of change in environmentalfactors highlights the need to study the totalorganisation & the processes used to adapt toexternal demands

Example: globalisation has placed greater emphasis onorganisational processes rather than organisationalfunctions


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The organisational iceberg

What sinks a ship isnt alwayswhat sailors can see, but what they cant see.


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The organisational icebergFormal (overt) aspects

Customers

Technology Formal goals Organisational design Financial resources Physical facilities Rules & regulations Surface competencies & skills


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Contributing Disciplines to the OBField


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Contributing Disciplines to the OBField (contd)


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.


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Basic OB Model, Stage I


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The Dependent Variables

x

y


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The Dependent Variables (contd)

.

.


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The Independent Variables

Independent Variables

Individual-Level Variables

OrganizationSystem-Level

Variables

Group-Level Variables


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Basic OBModel,

Stage II


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Goals of Organizational Behavior

Prediction ControlExplanation


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Challenges for Organizational Behavior

Using new information technology toenhance creativity and organizationallearning.

Managing human resources to increasecompetitive advantage.Developing organizational ethics and well-

being.Managing a diverse work force.Managing the global environment.


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Information technology : Thecomputer systems and softwarethat organizations use to speed theflow of information around anorganization and to better link people and subunits within it.

Creativity : The decision-makingprocess that produces novel anduseful ideas that lead to new orimproved goods and services or toimprovements in the way they areproduced.

Challenge 1:Using New Information Technology toEnhance Creativity and Organizational Learning


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New Ways to Increase Performance

Reengineering : A complete rethinking andredesign of business processes to increaseefficiency, quality, innovation, or responsiveness tocustomers.

Restructuring : Altering an organizationsstructure (e.g., by eliminating a department) tostreamline the organizations operations andreduce costs.

Outsourcing : Acquiring goods or services fromsources outside the organization.

Freelancers : Independent individuals whocontract with an organization to perform specificservices.


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Challenge 3Developing Organizational Ethics and Well-Being

Ethics : Rules, beliefs, and values that outline theways in which managers and workers shouldbehave when confronted with a situation in whichtheir actions may help or harm other people insideof or outside an organization.

Well-being : The condition of being happy, healthy,and prosperous.

Social responsibility : An organizations moralresponsibility toward individuals or groups outsidethe organization that are affected by its actions.


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Diversity Challenges

Decision Making

andPerformance Flexibility

Fairnessand

Justice


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Some Other Challenges


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The Challengeof Globalization

Working inForeign

Countries

Working withMulticultural

Diversity


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Empoweringthe Workforce

Managers Are GivingUp Controls

Workers Are Accepting

Responsibility


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Coping with Temporariness

The Natureof Work IsChanging

Organizations Are AlsoChanging


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DecliningEmployee Loyalty

Workforce

Motivation

Global

Competition


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ImprovingEthical Behavior

Provide in-house advisers

Create protection mechanisms

Write and distribute codes of ethicsOffer seminars, workshops, and training


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Expectations of individual andOrganization


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02. Orgnization Behavior an Introduction