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Chapter 1 © 2011 Cengage Learning. All rights reserved.

Chapter 1 © 2011 Cengage Learning. All rights reserved

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Chapter 1

© 2011 Cengage Learning. All rights reserved.

© 2011 Cengage Learning. All rights reserved.

Organizational Behavior

the study of individual behavior and

group dynamics in organizations

© 2011 Cengage Learning. All rights reserved. 1-3

What is an Organization?

A structured social system consisting of groups and individuals working together to

meet some agreed-upon objectives.

What objectives are we interested in and why?

© 2011 Cengage Learning. All rights reserved.

Psychosocial

BehavioralInterpersonal

Organizational Behavior: Dynamics in Organizations

OrganizationalBehavior

© 2011 Cengage Learning. All rights reserved.

Organizational Variables that Affect Human Behavior

OrganizationalDesign

JobsWorkDesign

PerformanceAppraisal

OrganizationalStructure

Communication

Human Behavior

© 2011 Cengage Learning. All rights reserved.

External PerspectiveUnderstand behavior in terms of external

events, environmental forces, and behavioral

consequences.

InternalPerspective

Understand behavior in terms of thoughts,

feelings, past experiences, and needs.

Explain behavior by examining individuals’

history and personal value System.

Both perspectives have produced motivational & leadership theories.

Explain behavior by examining surrounding external events and environmental forces.

© 2011 Cengage Learning. All rights reserved. 1-7

Kurt Lewin

Behavior is a function of both the person and the environment (system).

B = f (P/E)

© 2011 Cengage Learning. All rights reserved.

Your explanation for the behavior that you observe (caused by a

combination of person and environment factors) is critical

because it determines your reaction to the behavior, and the thing you

control the most at work is your own personal behavior.

© 2011 Cengage Learning. All rights reserved.

Psychology the science

of human behavior

Management the study of overseeing

activities and supervising people in organizations

Anthropologythe science of the learned behavior of human beings

Medicine the applied science of healing or treating diseases to enhance

health and well-being

Engineering the applied science of energy & matter

Sociology the science

of society

Interdisciplinary Influences on Organizational

Behavior

© 2011 Cengage Learning. All rights reserved.

Components of an Organization

Task – an organization’s mission, purpose, or goal for existing

People – the human resources of the organization

Structure – the manner in which an organization’s work is designed at the micro level; how departments, divisions, and the overall organization are designed at the macro level

Technology – the tools, knowledge, and/or techniques used to transform inputs into outputs

© 2011 Cengage Learning. All rights reserved.

SUPPLIERS

CUSTOMERS

Inputs Outputs

Process

A process is a series of related tasks;A system is a group of related processes

© 2011 Cengage Learning. All rights reserved. 1-12

Time for an exercise?

© 2011 Cengage Learning. All rights reserved.

equipment

TotalProcess

methods

training

supervision

measurement

staffing

Individual effort

materials

15%

© 2011 Cengage Learning. All rights reserved. 1-15

Sterman (1994)

• “When we attribute behavior to people rather than system structure, the focus of management becomes the search for extraordinary people to do the job rather than designing the job so that ordinary people can do it.”

© 2011 Cengage Learning. All rights reserved. 1-16

Grade distribution Spring 2012 A = 11 (48%) A- = 3 (13) B+ = 3 B = 4 B- = 1 C = 1 D = 0 F = 0

How do you explain the fact that 61% made an A?

© 2011 Cengage Learning. All rights reserved.

Formal vs. Informal Organization

Formal Organization – the official, legitimate, and most visible part of the system

Informal Organization – the unofficial and less visible part of the system

Hawthorne Studies: studies conducted during the 1920’s and

1930’s that suggested the importance of informal organizations

© 2011 Cengage Learning. All rights reserved.

Formal & Informal Elements of Organizations

Formal organization (overt)

Goals and objectivesPolicies and procedures

Job descriptionsFinancial resourcesAuthority structure

Communication channelsProducts and services

Formal organization (overt)

Goals and objectivesPolicies and procedures

Job descriptionsFinancial resourcesAuthority structure

Communication channelsProducts and services

Social Surface

Informal organization (covert)

Beliefs and assumptions Perceptions and attitudes

ValuesFeelings, such as fear, joy

anger, trust, and hopeGroup norms

Informal leaders

© 2011 Cengage Learning. All rights reserved. 1-19

Total Quality Management (TQM)

The total dedication to continuous improvement and to customers so that

customers’ needs are met and their expectations exceeded.

Who is the customer?How do you know their expectations?

How do you know if you are meeting their expectations?

© 2011 Cengage Learning. All rights reserved.

[QUALITY]

• Can give organizations in viable industries a competitive edge in international competition

• A rubric for products and services of high status

• A customer-oriented philosophy of management with implications for all aspects of organizational behavior

• A cultural value embedded in successful organizations

© 2011 Cengage Learning. All rights reserved.

Three key questions in evaluating quality-improvement ideas

1. Does the idea improve customer response?2. Does the idea accelerate results?3. Does the idea raise the effectiveness of resources?

© 2011 Cengage Learning. All rights reserved.

Seven Categories in the Malcolm Baldrige National Quality Award

Examination

• Leadership• Information and analysis• Strategic quality planning• Human resource utilization• Quality assurance of products and services• Quality results• Customer satisfaction