ORGANISATION

Orgn. may be defined as identifiable aggregation of human beings, deliberately and consciously created for the attainment of certain goals with rational coordination of closely relevant activities.

FEATURES OF ORGN.

1. Identifiable aggregation of human beings 2. deliberate and conscious creation i.e., relationship between orgn. And its member is contractual . They enter into an orgn. Through contact and they can be replaced also.

3. Purposive creation 4. Coordination of activities 5. Structure- the coordination of human activities require str. wherein various individuals are fitted. 6. Rationality-There is a rationality in coordination of activities or behavior.

Organization Behavior

Organizational behavior is a subset of management activities concerned with understanding, predicting and influencing individual behavior in organizational settings. Organization behavior is concerned with that aspect of human behavior which is relevant for organizational performance. It studies human behavior at individual level, group level and organizational level.

KEY ELEMENTS OF O B

1.PEOPLE 2.STRUCTURE 3.TECHNOLOGY 4.ENVIRONMENT

PEOPLE Orgn. are run by people. Every individual is different from the other .Manager has to treat employees with individual differences differently.OB studies individual as a whole person. There is always a cause behind every human behavior and the behavior is directed towards some goals.

STRUCTURE- Orgns. are social systems. The formal relationship of people in orgn is called structure. TECHNOLOGY- Tech. provides the resources with which people work and also affects the tasks that they perform.

ENVIRONMENT-All orgn.operate within a given internal and external environment. No orgn exist alone. An orgn is totally connected with each other with the factors such as govt.,the family and other orgn.

Features of Organizational Behavior

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An integral part of management. A branch of social sciences. Organization behavior is a science as well as an art. Organization behavior is a goal directed discipline. Organizational behavior involves three levels of analysis of behavior- individual behavior, group behavior and behavior of the organization itself.

6. Organizational behavior is a human technique. It helps in understanding and predicting the behavior of individuals. It provides rational thinking about people. It helps the managers in anticipating the effects of certain actions of human behavior.

SCOPE OF O B
Scope of O B includes the study of individuals,groups,and orgn structure. INDIVIDUALPersonality,perception,attitudes values, job satisfaction,learningand motivation. Groups of individuals- group dynamics, group conflicts, communication, leadership, power ,politics and the like

ORGANISATION STRUCTURE-The study of orgn structure includes aspects such as formation of organizational str.,culture and change and development.

Challenges of organization behavior

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Liberalization , Privatization, Globalization. Entrance of women work force. Improving Quality and Productivity. Work force diversity. Changing demographics of work force.

6. Satisfaction of aspirations of work force. 7. Empowerment of Employees. 8. Stimulating innovation and change. 9. Ethical behavior. 10. Social Responsibility.

HISTORICAL DEVELOPMENT OF OB
Evolution of O B The attempts to understand and explain human behavior at individual and group level have been made long back. O B has started in the beginning of the nineteenth century.

Organizational behavior emerged as a distinct field of study in the late 1950s and early 1960s. Understanding and predictability of human behavior could help managers make their organizations more effective.

These can be amalgamated in 3 stages 1.Industrial Revolution 2. Scientific management 3. Human relation movement

Industrial Revolution

The Industrial Revolution was a period from the 18th to the 19th century where major changes in agriculture, manufacturing, mining, and transport had a profound effect on the socioeconomic and cultural conditions starting in the United Kingdom, then subsequently spreading throughout Europe, North America, and eventually the world. The onset of the Industrial Revolution marked a major turning point in human history; almost every aspect of daily life was eventually influenced in some way.

It started with the mechanisation of the textile industries, the development of ironmaking techniques and the increased use of refined coal. Trade expansion was enabled by the introduction of canals, improved roads and railways. The introduction of steam power fuelled primarily by coal, wider utilisation of water wheels and powered machinery (mainly in textile manufacturing) underpinned the dramatic increases in production capacity.

Industrial revolution started in the beginning of last quarter of the 18th century. It brought materialism, discipline, monotony, boredom, job displacement, work interdependence and others. The I R led to increase in production that eventually gave workers increased wages followed by increased job satisfaction and decreasing working hours.

Robert Owen, a young welsh factory owner, in the yr of 1800, was the first to emphasize the human needs of employees. He refused to employ the young children, educated his adult workers about proper cleanliness . It was the beginning of O B . ROBERT OWEN ,was called the father of PERSONNEL ADMINISTRATION.

ANDREW URE, IN 1835,recognized a factor i.e., human factor and provided workers with hot tea, medical treatment facility, a fan apparatus for ventilation and sickness payments. J. N.TATA, in India also took special interest in the welfare of workers and provided the special facility to workers.

SCIENTIFIC MANAGEMENT

FREDERICK W. TAYLOR IS CALLED THE FATHER OF SCIENTIFIC MGT.He was one of the first to attempt to systematically analyze human behavior at work. S M brought the interest in behavioral aspects of mgt. Taylors main goal was technical efficiency ,but he awakened the mgt to the importance of human resources which was so far neglected.

F W. Taylor called for careful analysis of tasks and offered four principles as basis for scientific management -- into 1. Every job should be broken

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elements and a scientific method to perform each element should be established. Workers should be scientifically selected with right attitudes for the job and ability and then properly trained to perform the task.

3. Management should cooperate with workers to ensure that all work is done in accordance with the scientific principles. 4. Scientific distribution of work and responsibility between workers and managers. The management should design the work, set up and supervise the task and the workers are free to perform the task in the best possible way.

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Americans very much followed the scientific management and laid the foundation for job specialization and mass production. This resulted in the following specific applications. Maximum utility of efforts and eliminating the waste. The role of compensation and incentives for increase in productivity.

3. Establishment of standards of performance as average output and maximum output per capita. 4. Greater specialization of work. 5. More emphasis on fitting workers to particular tasks and training them further to best utilize their abilities.

Criticism of Scientific Management from the workers as well as the management-1.

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Because of the competitive nature of more work, more pay , it promotes individualism rather than team spirit. Specialization makes the worker unfit for other types of jobs. It ignores the average worker because of tough competition to be more efficient and productive.

4. Specialization makes the work repetitive and monotonous. 5. It is anti democratic in the sense that it separates manager from the worker. In a truly democratic situation, the workers and the management are expected to work together to achieve the integrated individual and organizational goals.

HUMAN RELATION MOVEMENT

Failure of scientific mgt gave birth to the human relation movement. Under the human relation approach, the workers were distinguished from non human factors such as capital, machine, buildings etc.The feeling ,sentiments, ambition, were duly recognized. Workers were involved in decision making process.

Human Relations Movement refers to those researchers of organizational development who study the behavior of people in groups, in particular workplace groups. It originated in the 1920s' Hawthorne studies, which examined the effects of social relations, motivation and employee satisfaction on factory productivity. The movement viewed workers in terms of their psychology and fit with companies, rather than as interchangeable parts.

The human relations movement refers to the approach to management and worker productivity that takes into account a person's motivation, satisfaction, and relationship with others in the workplace. Prior to the human relations movement, Scientific Management, dominated most approaches to managing employees.

Three forces contributed to the recognition of human as a distinct factor amongst others in an organization1. the great depression 2. the labor movement 3. the Hawthorne studies

THE GREAT DEPRESSION

IN 1929,the stock exchange in America crashed. Widespread unemployment, declining purchase power, market collapse, lowering standards of living of people were the consequences witnessed worldwide. The great depression was accompanied by some positive consequences also.

The Great Depression was a severe worldwide economic depression in the decade preceding World War II. The timing of the Great Depression varied across nations, but in most countries it started in about 1929 and lasted until the late 1930s or early 1940s. It was the longest, most widespread, and deepest depression of the 20th century, and is used in the 21st century as an example of how far the world's economy can decline. The depression originated in the United States, starting with the stock market crash of October 29, 1929 (known as Black Tuesday), but quickly spread to almost every country in the world.

The Great Depression had devastating effects in virtually every country, rich and poor. Personal income, tax revenue, profits and prices dropped, and international trade plunged by a half to twothirds. Unemployment in the United States rose to 25%, and in some countries rose as high as 33%.Cities all around the world were hit hard, especially those dependent on heavy industry. Construction was virtually halted in many countries. Farming and rural areas suffered as crop prices fell by approximately 60 percent. Facing plummeting demand with few alternate sources of jobs, areas dependent on primary sector industries such as cash cropping, mining and logging suffered the most.

Hawthorne Experiments
The Hawthorne plant of the General Electric Company, Chicago, was manufacturing telephone system bell. It has employed about 30,000 employees at the time of experiments. Although the company was providing lots of benefits to their employees , still there was great deal of dissatisfaction among the workers and productivity was not up to the mark.

Elton Mayo, Whitehead and Roethlisberger and company representatives formed to group to investigate the problem. The researcher originally set out to study the relationship between productivity and physical working conditions.

The"Hawthorne Effect" describes the effects that observing, surveying, and showing an interest in workers & the workplace have on the performance of the workers and their productivity.

They conducted various researches in four phases.

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Illumination Experiments Relay assembly test room experiments. Mass Interviewing Programme. Bank Wiring Observation Room Experiments.

Illumination Experiments
Illumination Experiments were undertaken to find out how varying levels of illumination affected the productivity. The hypothesis was that with higher illumination productivity will increase. The experiment group was divided into two. One group was exposed to varying intensities of illumination. This group was termed experimental group.

Another group called control group continued to work under constant intensities of illumination. When the intensity of illumination increased in the experimental group, this group showed the increased productivity and when the intensity of illumination decreased, the there was also the increased productivity. When the level of illumination was decreased to the level of moonlight then the productivity decreased.

Relay assembly test room experiment

Relay assembly test room experiments were designed to determine the effect of changes in various job conditions on group productivity. The work related to the assembly of telephone relays. Each relay consisted of a number of parts which girls assembled into finished products. Output depended on the speed and continuity with which girls worked. An observer was associated with girls to supervise their work.

Before each change was introduced, the girls were consulted. They were given opportunity to express their viewpoint. In some cases they were allowed to take decisions also.s

Mass Interviewing Programme

During the course of experiments, about 20,000 interviews were conducted to determine employees attitudes towards company, supervision, insurance plans, promotion and wages. The interview programme gave valuable insights about the human behavior in the company.

Bank Wiring Observation Room Experiments

These experiments were carried on between November 1931 and May 1932 with a view to analyze the functioning of small group and its impact on individual behavior. The hypothesis was that in order to earn more, worker would produce more and in order to take the advantage of group bonus, they would help each other to produce more.

A group of fourteen male workers was employed in the bank wiring room, nine wire man, three solder man, and two inspectors. The work involved attaching wire to switches for certain equipment used in telephone exchange. Hourly wage rate for the personnel was based on average output of each worker while bonus was to be determined on the basis of average output.