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What Is Organizational Behavior?

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What is Organizational Behavior?

Where Managers Work


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.

Organisational Behavior, Do Tien Long

Enter Organizational Behavior


Organizational behavior (OB)
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.

Organisational Behavior, Do Tien Long

Complementing Intuition with Systematic Study


Intuition
Gut feelings about why I do what I do and what makes others tick.

Systematic study
Looking at relationships, attempting to attribute causes and effects, and drawing conclusions based on scientific evidence. Provides a means to predict behaviors.
Organisational Behavior, Do Tien Long

Influences on OB.
Individuals Groups The organisation itself

The environment
Organisational Behavior, Do Tien Long

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 demands of the organisation are incompatible

Organisational Behavior, Do Tien Long

Management and the individual


Managements task is to integrate the individual & the organisation, providing a working environment that permits the satisfaction of individual needs & attainment of organisation goals

Organisational Behavior, Do Tien Long

Groups
Exist in all organisations Are essential to organisational working and performance Comprise a range of different individuals

Can develop their own hierarchies and leaders

Organisational Behavior, Do Tien Long

Groups
Can have a major influence on behaviour and performance of individual members Have their own structures and functions, role relationships and influences and pressure

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


Organisational Behavior, Do Tien Long

The organisation
Individuals & groups interact within the structure of the formal organisation Organisational structure is created by management to: - establish a relationship between individuals & groups - provide order and systems to direct efforts of the organisationOrganisational Behavior, Do Tien Long activities

The organisation
The formal structure allows people/groups to carry out organisational activities to achieve aims & objectives Behaviour is affected by patterns of organisational structure
Organisational Behavior, Do Tien Long

Environment
The environment affects the organisation through:

technological & scientific development


economic activity

social & cultural influences government activities

Organisational Behavior, Do Tien Long

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


Organisational Behavior, Do Tien Long

Organisational Behavior, Do Tien Long

Contributing Disciplines to the OB Field


Psychology
The science that seeks to measure, explain, and sometimes change the behavior of humans and other animals.

E X H I B I T 13 (contd) E X H I B I T 13 (contd)

Organisational Behavior, Do Tien Long

Contributing Disciplines to the OB Field (contd)


Sociology
The study of people in relation to their fellow human beings.

E X H I B I T 13 (contd) E X H I B I T 13 (contd)

Organisational Behavior, Do Tien Long

Contributing Disciplines to the OB Field (contd)


Social Psychology
An area within psychology that blends concepts from psychology and sociology and that focuses on the influence of people on one another.

E X H I B I T 13 (contd) E X H I B I T 13 (contd)

Organisational Behavior, Do Tien Long

Contributing Disciplines to the OB Field (contd)


Anthropology
The study of societies to learn about human beings and their activities.

E X H I B I T 13 (contd) E X H I B I T 13 (contd)

Organisational Behavior, Do Tien Long

Behavioural science a multidisciplinary approach


Personality system (psychology) Social system (Sociology)

Cultural system (Anthropology)

Economics

Political science

Organisational Behavior, Do Tien Long

Why Do We Study OB?


To learn about yourself and how to deal with others You are part of an organization now, and will continue to be a part of various organizations Organizations are increasingly expecting individuals to be able to work in teams, at least some of the time Some of you may want to be managers or entrepreneurs
Organisational Behavior, Do Tien Long

The importance of the study of organizational behaviour


In its concern for the way people behave in an organizational context, organizational behaviour can be regarded as the key to the whole area of management

The more technical a managers training, the more important organisational behaviour becomes

Organisational Behavior, Do Tien Long

The psychological contract


The series of mutual expectations & satisfaction of needs arising from the people / organisational relationship

Process of giving & receiving by the individual & the organisation Covers a range of expectations of rights and privileges, duties and obligations that do not form part of the formal agreements but still has important influence of peoples behaviour
The significant of the contract depends on the extent it is perceived to be fair
Organisational Behavior, Do Tien Long

Group practice
The class is divided into two groups:
Group 1 represents the organization: What do you expect from the employees?
Group 2 represents the employees:

What do you expect from the organization?

Organisational Behavior, Do Tien Long

Individuals expectations
Provide safe and hygienic working conditions

Make every reasonable effort to provide job security


Attempt to provide challenging and satisfying jobs and reduce alienating aspects of work Adopt equitable personnel policies and procedures Allow staff genuine participation in decisions which affect them Implement best practice in equal opportunity policies and procedures Provide reasonable opportunities for personal development and career progression Treat members of staff with respect Demonstrate an understanding and considerate attitude towards personal Organisational Behavior, Do Tien Long problems of staff

The organizations expectation


To accept the ideology of the organization
To work diligently in pursuit of organizational objectives Not to abuse goodwill shown by management

To uphold the image of the organization


To show loyalty Not to be betray positions of trust To observe reasonable and acceptable standards of dress and appearance Behavior, Do Tien Long

Process of balancing
It is unlikely that all expectations of the individual or of the organisation will be met fully There is a continual process of balancing, and explicit and implicit bargaining

Organisational Behavior, Do Tien Long

Caring demonstrating genuine concern for individuals

Formula for balancing unwritten needs of employees with the needs of the organisation

Communicating really talking about what the company hopes to achieve

Listening hearing not only the words but also what lies behind the words
Knowing - those who work for you, their families, personal wishes, desires & ambitions Rewarding money is not always necessary

Organisational Behavior, Do Tien Long

There Are Few Absolutes in OB


Contingency variables: "It Depends!!!"

Organisational Behavior, Do Tien Long

Challenges and Opportunities for OB


Responding to Globalization
Increased foreign assignments Working with people from different cultures Coping with anti-capitalism backlash Overseeing movement of jobs to countries with lowcost labor Managing people during the war on terror.

Managing Workforce Diversity


Embracing diversity Changing U.S. demographics Implications for managers
Recognizing and responding to differences
Organisational Behavior, Do Tien Long

Challenges and Opportunities for OB (contd)


Improving Quality and Productivity
Quality management (QM) Process reengineering

Responding to the Labor Shortage


Changing work force demographics Fewer skilled laborers Early retirements and older workers

Improving Customer Service


Increased expectation of service quality Customer-responsive cultures
Organisational Behavior, Do Tien Long

Challenges and Opportunity for OB (contd)


Improving People Skills Empowering People Stimulating Innovation and Change Working in Networked Organizations Helping Employees Balance Work/Life Conflicts

Improving Ethical Behavior

Organisational Behavior, Do Tien Long

Basic OB Model, Stage I


Model
An abstraction of reality. A simplified representation of some real-world phenomenon.

E X H I B I T 1-6 E X H I B I T 1-6

Organisational Behavior, Do Tien Long

The Dependent Variables


Dependent variable
A response that is affected by an independent variable (what organizational behavior researchers try to understand).

x
Organisational Behavior, Do Tien Long

The Dependent Variables (contd)


Productivity A performance measure that includes effectiveness and efficiency. Effectiveness Achievement of goals.

Efficiency Meeting goals at a low cost.

Organisational Behavior, Do Tien Long

The Dependent Variables (contd)


Absenteeism
The failure to report to work.

Turnover
The voluntary and involuntary permanent withdrawal from an organization.
Organisational Behavior, Do Tien Long

The Dependent Variables (contd)


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.

Organisational Behavior, Do Tien Long

The Dependent Variables (contd)


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.

Organisational Behavior, Do Tien Long

The Dependent Variables (contd)


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.

Organisational Behavior, Do Tien Long

The Independent Variables


Independent variable
The presumed cause of some change in the dependent variable; major determinants of a dependent variable.

Independent Variables Can Be

Individual-Level Variables

Group-Level Variables

Organization System-Level Variables

Organisational Behavior, Do Tien Long

Challenges Facing the Workplace


Organizational Level
Productivity Developing Effective Employees Global Competition Managing in the Global Village

Group Level
Working With Others Workforce Diversity

Workplace

Individual Level
Job Satisfaction Empowerment Behaving Ethically

Organisational Behavior, Do Tien Long

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