What is Organizational Behavior -1

8/3/2019 What is Organizational Behavior -1

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What Is Organizational Behavior?

What is Organization Behavior

Define Organizational Behavior,

Disciplines That Contribute to the OB Field,

Challenges and Opportunities for OB,

Developing an OB Model.

Define Management?

What Managers Do

(Management Functions,

Process,

Management Roles,

Management Skills), - 1-0


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What is organization ?

It is a group of people who work independently towards some purpose.

Organization is not physical structure; rather; they are people who work

together to achieve a set of goals.

People who work in an organization have structure pattern of interaction,

meaning that they expect each other to complete certain task in an

organized way.

Basically, an organization is a group of people intentionally organized toaccomplish an overall, common goal or set of goals. Business

organizations can range in size from two people to tens of thousands.

Organizations have major subsystems, such as departments, programs,

divisions, teams, etc. Each of these subsystems has a way of doing things

to, along with other subsystems, achieve the overall goals of theorganization. Often, these systems and processes are define by plans,

policies and procedures.

A consciously coordinated social unit composed of two or more people

that functions on a relatively continuous basis to achieve a common goal

or set of goals. 1-1


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Organizational Behavior

A field of study that investigates the

impact that individuals, groups,

and structure have on behavior

within organizations, for the

purpose of applying such

knowledge toward improving an

organizations effectiveness.

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Definition

OB is an academic discipline concerned with understanding anddescribing human behavior in an organizational environment. It

seeks to shed light on the whole complex human factor in

organization by identifying cause and effect of that behavior.

OB involves 3 levels- Individual level

Group level

Organization level

Element of OB

People

Structure(hierarchy, authority, responsibility, design level)

Technology

External and internal environment 1-3


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Contributing Disciplines

Psychology

Sociology

Social

Psychology

Anthropology

Many behavioral sciences

have contributed to the

development of

OrganizationalBehavior

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Psychology

The science that seeks to measure, explain, andsometimes change the behavior of humans and other

animals.

Unit ofAnalysis: Individual

Contributions to OB:

Learning, motivation, personality, emotions, perception

Training, leadership effectiveness, job satisfaction Individual decision making, performance appraisal attitude

measurement

Employee selection, work design, and work stress

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Social Psychology

An area within psychology that blends concepts frompsychology and sociology and that focuses on the

influence of people on one another.

Unit ofAnalysis: Group


Behavioral change

Attitude change Communication

Group processes

Group decision making

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Sociology

Unit ofAnalysis:

-- Organizational System


Group dynamics

Work teams

Communication Power

Conflict

Intergroup behavior

-- Group

Formal organization theory

Organizational technology

Organizational change Organizational culture

The study of people in relation to their fellow human

beings.

1-7 2009 Prentice-Hall Inc. All rights reserved.


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Anthropology

Unit ofAnalysis:

-- Organizational System


Organizational culture

Organizational environment

-- Group

Comparative values

Comparative attitudes

Cross-cultural analysis

The study of societies to learn about human beings and

their activities.

1-8 2009 Prentice-Hall Inc. All rights reserved.


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Major disciplines and their contributions to ob


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Nature and Scope OBNature can only be known through organizational relationship, pattern of

behavior-

OB exists at multiple level- individual, group, organizational.

It is both science and art. Behavioral knowledge is science and applying that

knowledge is an art.

OB is rational thinking. Its goals are to understand, explain, predict andcontrol human behavior in organization. It is action oriented and goal oriented.

It seeks balance between human and technical values at workto achieve

productivity by building and maintaining employee dignity, growth and

satisfaction, rather than at the expense of these values.

OB is a field which integrate various behavioral sciences (Physiology,

sociology, anthropology, psychology etc.

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Few Absolutes in OB

ContingencyVariable (Z)

IndependentVariable (X)

DependentVariable (Y)

In American

Culture

Boss GivesThumbs Up

Sign

Understood asComplimenting

In Iranian orAustralianCultures

Boss GivesThumbs Up

Sign

Understood asInsulting - Up

Yours!

Situational factors that make the main relationshipbetween two variables changee.g., the relationship

may hold for one condition but not another.

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Challenges and Opportunities for OB

Responding to GlobalizationManaging Workforce Diversity

Improving Quality and Productivity

(needs higher involvement)

Improving Customer Service

(need to create customer responsive culture)

Improving People Skills(learning, motivating

technique etc)

Stimulating Innovation and Change

Coping with TemporarinessWorking in Networked Organizations

Helping Employees Balance Work-Life Conflicts

Creating a Positive Work Environment

Improving Ethical Behavior

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Responding to Globalization

Increased foreign assignments

Working with people from different

cultures

Coping with anti-capitalism backlash

(Capitalism focus on growth efficiency andprofit) Finland, France many middle east

countries are not capitalist

Overseeing movement ofjobs to countries

with low-cost labor and it is often

criticized by politician, leaders, local

community etc.

Managing people during the war on terror

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Managing Workforce Diversity

The people in organizations are becoming moreheterogeneous demographically

Embracing diversity

Changing U.S. demographics

Changing management philosophy Recognizing and responding to differences

Disability

Gender

Age

NationalOrigin

Non-Christian

Race

DomesticPartners

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Developing an OB Model

Amodelis an abstraction of reality: a simplifiedrepresentation of some real-world phenomenon.

Basic OB model, Stage 1

Our OB model has three levels of analysis Each level is constructed on the prior level

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Types ofStudy Variables

Independent (X)

The presumed cause of thechange in the dependent

variable (Y).

This is the variable that OB

researchers manipulate to

observe the changes in Y.

Example

Individual

Group

Organizational system

Dependent (Y)

This is the response to X (the

independent variable).

It is what the OB researchers

want to predict or explain.

The interestingvariable!

Example

Productivity,

Turn over,

Absenteeism

Deviant Workplace

Behavior Organizational

Citizenship Behavior (OCB),

Job Satisfaction

XX YY Predictive AbilityPredictive Ability1-16


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Interesting OB Dependent Variables

Productivity Transforming inputs to outputs at lowest cost. Includes the

concepts ofeffectiveness (achievement of goals) and

efficiency (meeting goals at a low cost).

Absenteeism Failure to report to work a huge cost to employers.

Turnover

Voluntary and involuntary permanent withdrawal from an

organization.

Deviant Workplace Behavior

Voluntary behavior that violates significant organizational

norms and thereby threatens the well-being of the

organization and/or any of its members.

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More Interesting OB Dependent Variables

Organizational Citizenship Behavior (OCB) Discretionary behavior that is not part of an employees

formal job requirements, but that nevertheless promotes the

effective functioning of the organization.

Job Satisfaction A general attitude (not a behavior) toward ones job; a

positive feeling of one's job resulting from an evaluation of

its characteristics.

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The Independent Variables

The independent variable (X) can be at any of these three

levels in this model:

Individual Biographical characteristics, personality and emotions,

values and attitudes, ability,

perception, motivation,

individual learning and individual decision making.

Group

Communication, group decision making,

leadership and trust, group structure,

conflict, power and politics, and

work teams.

Organization System

Organizational culture,

human resource policies and practices, and

organizational structure and design.

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OB Model

Independent

Variables (X)

Dependent

Variables (Y)

Th

ree

Levels

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Management

It is the art of getting things done through and with the

help of people in a formally organized group. It designsand maintain an environment in which individuals work

together to accomplish selected goals.

Management is the attainment of organization goals in an

effective and efficient manner through planning,

organizing, commanding, co-ordinating and controlling

of all technical financial and human activities.


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What Managers Do

They get things done through other people.

Management Activities:

Make decisions

Allocate resources

Direct activities of others to attain goals

Work in an organization

A consciously coordinated social unit composed of two or

more people that functions on a relatively continuous basis

to achieve a common goal or set of goals.

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Management process

It is a systematic method of handling activities. Allmanagers regardless of their particular skills or

aptitude perform certain functions to get things done

by others. These functions are interrelated and involve

relationship and time.

Management process is the set of on going process and

work activities in which managers engage as they plan,

organize, lead, and control. Manager manage their

work activities are usually done in continuous mannerthat is, in a process.


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Management process

Foyal classificationPlanning

Organizing

Commanding

Co-ordinating

ControllingGullick and Urwick

(POSDCORB)

Planning

Organizing

Staffing

Directing

Co-ordinating

Reporting

budgeting

Koontz and DonnelsPlanning

Organizing

Staffing

Leading

controlling


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Functions ofManagement


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Management Functions

Control

Lead

Organize

Plan

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Management Functions: Plan

A process that includes defining

goals, establishing strategy, anddeveloping course of actions (plans)

to coordinate activities.

The management function that

assesses the management

environment to set future

objectives and map out

activities necessary to achieve

those objectives.

Control

Lead

Organize

Plan

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Management Functions: Organize

Control

Lead

Organize

Plan

It is an important dynamic aspect

determining

1. what tasks are to be done,

2. who is to do them,

3. how the tasks are to be

grouped,

4. who reports to whom, and

5. where decisions are to be

made.

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Organizing

The process of identifying and grouping the work to beperformed, who has to perform them, on what basis the

task are to be grouped, who reports to whom and who

should have the authority to take decision.

Organizing is a function involving-

1. Assigning tasks and duties

2. Grouping task

3. Delegating authority and responsibility4. Allocation of resources


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Management Functions: Lead

Control

Lead

Organize

Plan

It is the process of influencing people so that they

will contribute to organization and group goals. It isthis area of management that behavioral science

have major contribution.

A function that includes-

1. Understanding nature and behavior of people2. motivating employees,

3. directing others,

4. selecting the most effective communication

channels, and5. Understanding stress and resolving conflicts.

It is about PEOPLE!

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Management Functions: Control

Monitoring performance, comparing actual

performance with previously set goals(plannedperformance), and correcting any deviation.

Therefore there is considerable overlap

between controlling and other functions like

planning, organizing and leading.

Importance of controlling

1. Coping with uncertainty

2. Detecting irregularity

3. Identifying opportunity

4. Handling complex situation

5. Minimizing cost

6. Decentralizing authority

Control

Lead

Organize

Lead

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Controlling

Desired performanceActual performance

Measurement of actual performance Comparison of

actual performance against std.Identification of

deviation Analysis of causes of deviation Program of

corrective action Implementation of correction


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Managers Role

Henry Mintzber

Natalie Anderson (Liaison, Monitor,

Negotiator

Henri Foyal (Planning, organizing,leading, controlling, co-ordinating )

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Discovered ten managerial roles

Separated into three groups:

Interpersonal-(Figure Head, leader,

liaison)

Informational (monitor, disseminator,

Liaison)

Decisional- (Entrepreneur, resource

allocation, disturbance handler,

negotiator)

Henry Mintzbergs Managerial Roles

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The Importance of Interpersonal Skills

Understanding OB helps determine manager

effectiveness

Technical and quantitative skills are important

But leadership and communication skills are CRITICAL

Organizational benefits of skilled managers

Lower turnover of quality employees (retention ofemployee)

Higher quality applications for recruitment

Better financial performance

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Mintzbergs Managerial Roles: Interpersonal

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This role involves people and other duties


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Mintzbergs Managerial Roles: Informational

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Manager receives collect and disseminate information. They seek external

and internal information by reading reports, periodicals, through personal

contact etc, then they disseminate to insider and outsider through boardmeeting, media etc


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Mintzbergs Managerial Roles: Decisional

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Role that revolve around searching for opportunities, improvingsituation by making better and efficient choices


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Katzs Essential Management Skills

Technical Skills The ability to use process, apply

specialized knowledge or expertise

Human Skills

The ability to work with, understand,and motivate other people, both

individually and in groups

Conceptual Skills

The mental ability to analyze and

diagnose complex situations, co-ordinate and integrate all of an

organizational interest and activities,

understanding when and where

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Luthans Study of Managerial Activities

Is there a difference in frequency of managerial activitybetween effective and successful managers?

Four types of managerial activity:

Traditional Management

Decision-making, planning, and controlling.

Communication

Exchanging routine information and processing paperwork

Human Resource Management

Motivating, disciplining, managing conflict, staffing andtraining.

Networking

Socializing, politicking, and interacting with others.

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Successful vs. Effective Allocation by Time

Managers who promoted faster (were successful) did different

things than did effective managers (those who did their jobs well) 1-41


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Intuition and Systematic Study

Gut feelings

Individual observation

CommonsenseIntuition

Looks at relationships

Scientific evidence

Predicts behaviors

Systematic

Study

The two are complementary means of predicting behavior.

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An Outgrowth ofSystematic Study

Pose amanagerialquestion

Search forbestavailable

evidence

Applyrelevantinformationto case

Evidence-Based Management (EBM)

Basing managerial decisions on the best available

scientific evidence

Must think like scientists:

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Managers Should Use All Three Approaches

The trick is to know when to go with your gut.

JackWelsh

Intuition is often based on inaccurate information

Faddism is prevalent in management

Systematic study can be time-consuming

Use evidence as much as possible to inform your intuition

and experience. That is the promise of OB.

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Summary and Managerial Implications

Managers need to develop their interpersonal skills tobe effective.

OB focuses on how to improve factors that make

organizations more effective.

The best predictions of behavior are made from acombination of systematic study and intuition.

Situational variables moderate cause-and-effect

relationships which is why OB theories are

contingent.

There are many OB challenges and opportunities for

managers today.

The textbook is based on the contingent OB model.

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What is Organizational Behavior -1