Organizational Behavior

O + B = OB

People Are an Organizations Most Important Assets

3

What is an Organization?

Organizations

are simply groups with two or more people that share a certain set of goals and meet at regular times.

Behavior

This behavior occurs in organizations.

What is an Organization?

An organization is a collection of people who work together to achieve individual and organizational goals.
5

What is Organizational Behavior?

Organizational behavior (OB) is the study of factors that affect how individuals and groups act in organizations and how organizations manage their environments.
6

What is Organizational Behavior?

Definition:

The study of human behavior, attitudes, and performance in organizations.

Value of OB: Helps people attain the competencies needed to become effective employees, team leaders/members, or managers Competency = an interrelated set of abilities, behaviors, attitudes, and knowledge needed by an individual to be effective in most professional and managerial positions

What is Organizational Behavior?

Organizational Behavior is the study of human behavior in the workplace, the interaction between people and the organization with the intent to understand and predict human behavior.

What is OB?

The study of human behavior in the workplace The investigation of the impact that individuals, groups and structure have on behaviour within organizations, for the purpose of applying such knowledge toward improving an organizations effectiveness OB theories have widespread applications among other things, knowing these theories can help you to:

Promote the well-being of employees Evaluate solutions proposed by consultants and managers Predict what will happen in your organization Influence the direction of your organization

10

Organizational Behaviour

. . . a field of study that investigates the impact that individuals, groups and structure have on behaviour within organizations, for the purpose of applying such knowledge toward improving an organizations effectiveness.
11

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

12

WHY OB

13

Insert Figure 1.1 here

14

Characteristics

Goal-Oriented Levels of analysis Human tool Satisfaction of employees need

A total systems approach

15

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 cost labor Managing people during the war on terror
Embracing diversity Changing U.S. demographics Implications for managers

low-

Managing Workforce Diversity

Recognizing and responding to differences

16

Major Workforce Diversity Categories

Gender
Disability Age Non-Christian Race Domestic Partners
E X H I B I T 14

National Origin

17

Challenges and Opportunities for OB (contd)

Improving Quality and Productivity

Quality management (QM) Process reengineering

Changing work force demographics Fewer skilled laborers Early retirements and older workers Increased expectation of service quality Customer-responsive cultures

Responding to the Labor Shortage

Improving Customer Service

18

Todays Challenges in the Canadian Workplace

Challenges at the Individual Level

Job Satisfaction Empowerment Behaving Ethically

Challenges at the Group Level

Working With Others Workforce Diversity

19

Todays Challenges in the Canadian Workplace

Challenges at the Organizational Level

Productivity Developing Effective Employees

Absenteeism Turnover Organizational Citizenship

Competition From the Global Environment Managing and Working in a Global Village

20

Productivity

Productivity

A performance measure including effectiveness and efficiency Achievement of goals

The ratio of effective work output to the input required to produce the work

Effectiveness

Efficiency

21

Effective Employees

Absenteeism

Failure to report to work

Voluntary and involuntary permanent withdrawal from the organization Discretionary behaviour that is not part of an employees formal job requirements, but is helpful to the organization

Turnover

Organizational citizenship behaviour

22

Exhibit 1-2 Toward an OB Discipline

Behavioural science

Contribution
Learning Motivation Perception Training Leadership effectiveness Job satisfaction Individual decision making Performance appraisal Attitude measurement Employee selection Work design Work stress Group dynamics Work teams Communication Power Conflict Intergroup behaviour Formal organization theory Organizational technology Organizational change Organizational culture Behavioural change Attitude change Communication Group processes Group decision making Comparative values Comparative attitudes Cross-cultural analysis

Unit of analysis

Output

Psychology

Individual

Sociology

Group

Study of Organizational Behaviour

Social psychology

Organization system

Anthropology Organizational culture Organizational environment Political science Conflict Intraorganizational politics Power

23

The Rigour of OB

OB looks at consistencies

What is common about behaviour, and helps predictability? Systematic study, based on scientific evidence

OB is more than common sense

OB has few absolutes OB takes a contingency approach

Considers behaviour in context

24

Beyond Common Sense

Systematic Study

Looking at relationships, attempting to attribute causes and effects and drawing conclusions based on scientific evidence
Behaviour is generally predictable There are differences between individuals There are fundamental consistencies There are rules (written & unwritten) in almost every setting

25

Exhibit 1-1 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

26

Exhibit 1-3 Basic OB Model, Stage I

Organization systems level

Group level

Individual level

27

Exhibit 1-4 Basic OB Model, Stage II

Human resource policies and practices Organizational culture Organization structure and design Work design and technology

Organization Systems Level

Change and stress Group decision making Leadership

Communication

Group structure

Work teams

Productivity

Absence

Other groups

Conflict

Power and politics

Turnover

Group Level

Human output

Satisfaction

Organizational commitment Biographical characteristics

Workplace interaction

Personality

Perception

Values and attitudes

Motivation

Individual decision making

Human input

Ability

Individual Differences

Individual Level

28

Exhibit 1-5 Competing Values Framework

Flexibility

External Focus

Internal Focus

Control
29

Competing Values Framework

Internal-External Dimension

Inwardly toward employee needs and concerns and/or production processes and internal systems or Outwardly, toward such factors as the marketplace, government regulations, and the changing social, environmental, and technological conditions of the future Flexible and dynamic, allowing more teamwork and participation; seeking new opportunities for products and services or Controlling or stable, maintaining the status quo and exhibiting less change

Flexibility-Control Dimension

30

Basic OB Model
Organization systems level Group level Individual level Independent Variables Individual-Level Variables (Leadership, Power, Attitudes) Group-Level Variables (Diversity, Groups, Teams, Conflict) Organizational Systems-Level Variables (Culture, Structure, Design, Change) Dependent Variables Productivity Absenteeism Turnover Job Satisfaction Motivation Well-being Safety Effectiveness Efficiency Ethics
31

Summary & Implications

OB is a field of study that investigates the impact of individuals, groups, and structure on behaviour within an organization. OB focuses on improving productivity, by understanding employees and why they behave in the ways they do. Behavior of organizations, groups, & individuals can be predicted, but you have to understand the circumstances. To study OB, one needs to move from an intuition and common sense approach to a systematic study. OB uses systematic study to improve predictions of behaviour.

32

Success isnt a destination its a process. And the margin between successes is often small. Learn the principles of defining and achieving success in your own life and begin the journey today. This journey begins with understanding the behaviors between the leader, the followers, and the organization. This is also a leadership course of study. To be successful leader, one needs to understand the behaviors of people, organizations, and the situation.

Why Study Organizational Behavior?

33

Levels of Analysis

Organization level Group level Individual level

34

Basic OB Model

Dependent Variables

Independent Variables
Organizational Level PRODUCTIVITY

Group Level

ABSENTEESIM

TURNOVER Individual Level JOB SATISFACTION

35

Elements of ob
People .Individuals .Group

Environment .Government .Competition .Social

Structure .Jobs .Relationship

OB

Technology .Machinery .Copm. hard & soft.

36

Insert Figure 1.2 here

37

Contribution to various disciplines of ob

38

Contributing Disciplines to the OB Field

Psychology Sociology Social Psychology Anthropology Political Science

39

Psychology

Perception Personality Motivation Training PA Job Satisfact.

Individual

Sociology

Group ,Team Communi. Conflict Org.change, structure Attit.& beh. Change Group process & decision making Indi.Org.culture & Env.

Social Psychology

Group

Study of OB

Anthropology

Political science

Org. Power Politics

Organizations
40

ORIGINS OF ORGANIZATIONAL BEHAVIOR Psychology. Psychological theories have helped us explain and predict individual behavior. Many of the theories dealing with personality, attitude, learning, motivation, and stress have been applied in Organizational Behavior to understand work-related phenomena such as job satisfaction, commitment, absenteeism, turnover, and worker well-being.

41

Sociology

Sociologists, studying the structure and function of small groups within a society have contributed greatly to a more complete understanding of behavior within organizations. Taking their cue from Sociologists, scholars in the field of Organizational Behavior have studied the effects of the structure and function of work organization on the behavior of groups, as well as the individuals within those groups. Many of the concepts and theories about groups and the processes of communication, decision making, conflict, and politics used in Organizational Behavior, are rooted in the field of Social Psychology.

42

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)

43

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)

44

The field of Political Science has helped us understand how differences in preferences and interests lead to conflict and power struggles between groups within organizations.

Political Science

45

Organizational Behavior draws on the field of Anthropology for lessons about how cultures ( corporate culture) and belief systems develop.

Anthropology

46

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)

47

Managerial Roles

Manager: Any person who supervises one or more

subordinates. Role: A set of behaviors or tasks a person is expected to perform because of the position he or she holds in a group or organization. Managerial roles identified by Mintzberg (see Table 1.1):
Figurehead Liaison Disseminator Entrepreneur Resource allocator Leader Monitor Spokesperson Disturbance handler Negotiator
48

Managerial Skills

Conceptual Skills: The

ability to analyze and diagnose a situation and distinguish between cause and effect. Human Skills: The ability to understand, work with, lead, and control the behavior of other people and groups. Technical Skills: Job-specific knowledge and techniques.

49

10

Challenges for Organizational Behavior and Management

Using new information technology to enhance creativity and organizational learning. Managing human resources to increase competitive advantage. Developing organizational ethics and well-being. Managing a diverse work force. Managing the global environment.

50

personality

51

Nature of Personality
Personality

traits

Reflects

individuals differences

Personality

can change
52

determinants
Individual personality

Biological

Cultural

Family & Social

Situational

Others

53

biological
Heredity

Brain

Physical

features
54

Cultural

factors

Situational

factors
55

Family & Social Factors

Home

& Family environment

Social

group
56

Others
Interest

Motives

57

Big Five Traits of Personality

58

 Agreeableness

Extroversion
Emotional

stability

Conscientiousness

Openness
59

agreeableness

Agreeableness High Low

Agreeableness- Cooperative, warm, caring, good-natured, trusting

60

Extroversion

Extroversion Extroversion Introversion

Extroversion- Social, outgoing, talkative, assertive, forgiving, understanding

61

Emotional stability

Emotional High Low

Emotional stability- happy, unworried,

secure, calm

62

Conscientiousness

Conscientiousness High Low

Conscientiousness- Dependable, hardworking, organized, self-disciplined, responsible

63

Openness

Openness More Less

Openness- Creative, Cultured, Flexible,

imaginative

64

perception

65

 Human

being are constantly attacked by numerous sensory including noise, sight, smell, taste etc.
critical question is the study of perception is why the same universe is viewed differently by different persons?

The

The answer is the perception. Different people perceive the universe differently.
66

 Perception

is the process through which the information from outside environment is selected, received, organize and interpreted to make it meaningful to us.

Acc.

To the Joseph Reitz: perception includes all those processes by which an individual receive information about his environment seeing, hearing, feeling, tasting and

67

process
Perceptual Inputs Perceptual Mechanisms Perceptual Outputs

Receiving Individual Organizing

Selecting Actions Interpreting

68

 Figure

and Group-Figure is perceived to dominate and more attention is paid to it, while ground is given less attention and is kept in the background. Whenever people is overloaded with the information, they try to simplify it to make it more meaningful and understandable. Perceiver subtract less salient information and concentrate on more important one.
69

Simplification-

action
The

last phase of perceptual process is that acting in relation to what has been perceived. This action may be covert or overt. Change in attitude, opinions, feeling, values and impression formation resulting from the perceptual input.

Covert-

Overt-

The overt action may be in the

70

Factors that influence the perception

Factors in situation Social setting, Organizational setting

Factors in perceiver Needs and Motives, Experience, Current psychological state

Perception

Factors in target Status, Size, Contrast,

71

Internal factors
Needs

and Motives- Peoples perception is determined by their inner needs. A feeling of tension and discomfort when one thinks he is missing something or requires something. Similarly people with different needs selects different items to respond. It have a constant bearing on perception. Successful experience boost the perception ability whereas failure erodes self-

Experience-

72

 Current

psychological state- The

emotional and psychological states of an individual are likely to influence how things are perceived. If a person is depressed, he is likely to perceive the same situation differently than if he is elated.

73

External factors
Status-

Perception is also influenced by the status of the perceiver. High status people can exert influence on perception of employees than low status people. For example if we introduce the CEO or the peon of the organization then w remember only the name of the CEO.

74

 Contrast-

Stimuli contrast with the surrounding environment. A contrasting effects can be caused by color or any other factor that is unusual. The bigger size of the perceived stimulus, the higher is the probability that it is perceived. Size attracts the attention of an individual.
75

Size-