Organizational Behaviour Organizational Behavior Introduction definition goals elements
Organizational Behaviour
• Organizational Behavior – Introduction, definition, goals, elements • Fundamental concepts • Contributing disciplines to OB • Models of OB • Limitations of Organizational behaviour, • The future of OB.
OB Meaning Behaviour is a function of person and environment Different people different behaviour Behaviour may be desirable or undesirable Managers have to manage both person and environment in organizations to achieve desired goals • Human beings depend on organization to satisfy their needs • Organizations depend on the employees for the achievement of their objectives • •
Contd. . • Organization is a set of people working together to achieve shared goals • Study of human behaviour in organizational settings is imperative • OB offers tools and techniques to understand, manage and control behaviour in organization and thereby improve organizational effectiveness
Contd. . • So, OB is the study of human behaviour in an organization environment, and applying the knowledge derived from this study to improve organizational effectiveness • OB deals with behaviour of individuals and groups within organizations and the interaction between organizational members and their external environment
Definition • Stephen P Robbins, “ OB is 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 towards improving an organization’s effectiveness” • It is the common body of knowledge which studies individuals, groups and effect of structure on behaviour
Why is OB Important? Companies whose managers accurately appraise the work of their subordinates enjoy lower costs and higher productivity. People who are satisfied with the way they are treated on their jobs are more pleasant to work with and less likely to quit. People who are trained to work together tend to be happier and more productive. Employees who believe they have been treated unfairly are more likely to steal and reject the policies of their organizations. People who are mistreated by their supervisors have more mental and physical illnesses than those who are treated with kindness, dignity, and respect. Organizations that offer good employee benefits and have friendly conditions are more profitable than those that are less people oriented.
Why Study Organizational Behavior Understand organizational events Role of Organizational Behavior Influence organizational events Predict & control organizational events
• Describe behaviour: goal is to describe systematically how people behave under variety of conditions. If this goal is achieved managers can define behaviour of employees easily • Understand: goal is to understand why people behave as they do. It is to understand the reason behind those behaviours • Predict: goal is to empower managers with a capacity to predict or anticipate employee/ people behaviour. It is to anticipate which employee might be successful, who might be absent, who might cause problem etc. this helps managers to prepare concrete plans & take preventive actions wherever necessary • Control: Goal is to control and develop the human activity at work. This is to minimize undesirable behaviour and develop desirable behaviour in the organization
Levels of Analysis Organizational Level Group Level Individual Level 10
Components of Organizational Behavior Understanding organizational behavior requires studying Individuals in Organizations Group and Team Processes Organizational Processes
FUNDAMENTALS Individual differences Social systems Whole person OB Caused behaviour Human dignity Mutuality of interests Holistic approach Need for management
FUNDAMENTALS OF OB There are differences between individuals A whole person Behaviour of an individual is caused An individual has dignity Organizations are social systems Mutuality of interest among organizational members • Holistic organizational behaviour • Need for management • • •
Contd. . • First four are around people • Next two are concerned with organizations • Last two are combination of first five assumptions
1. Individual Differences: There are differences between people. Be it in intelligence, physique, personality or any other trait, they are different. This concept comes from psychology 2. A whole person: When an individual is appointed, hisher skill alone is not hired, hisher social background, likes, dislikes are also hired. A person’s family life can not be separated with work life. 3. Caused behaviour: Behaviour of an employee is caused, not random. Behind every behaviour, there will be a cause, reason. Management should find that cause if it wants to manage the behaviour
4. Human dignity: People have to be treated differently from other factors of production. People should be treated with respect and dignity. It rejects the old idea of using people as economic tools. 5. Organizations as social systems: Organizational activities are governed by social status, rules & regulations & psychological needs. It implies that environment is dynamic. All parts are interdependent and subject to influence by any other part.
6. Mutuality of interest: It represents the statement “ organizations need people & people also need organizations”. Organizations utilize people to achieve their goals. People see organizations to satisfy their needs or desires. 7. Holistic organizational behaviour: When first 6 concepts are placed together holistic concept emerges. Interprets that people- organization relationship expressed in terms of whole people, whole group, whole organization, & whole social system. 8. Need for management: Knowledge derived from OB study will be utilized in improving organizational effectiveness. And management uses this knowledge. While studying OB, management needs should be considered.
Characteristics of Ob • • • Field of study not a discipline Multidisciplinary Three levels of analysis Cause and effect relationship Science as well as an art Human approach Normative approach Beneficial to both organisation and individuals Rational thinking Contingency approach
Personality Perception Learning Attitudes and attribution Motivation Scope/Levels of analysis Individual Behaviour Group dynamics Team dynamics Leadership Power and politics Communication Conflict Organizational Culture Human resource Policies & Practices Work Stress Organization Change & Development Group Behaviour Organizational Effectiveness
OB models by Keith Davis.
OB Model Contd. . • Keith Davis recognizes four different models of OB. These models show evolution of the thinking and behaviour on the part of management and managers alike. The four major models or frameworks that organizations operate out of: 1. Autocratic - The basis of this model is power with a managerial orientation of authority. The employees in turn are oriented towards obedience and dependence on the boss. The employee need that is met is subsistence. The performance result is minimal. 2. Custodial - The basis of this model is economic resources with a managerial orientation of money. The employees in turn are oriented towards security and benefits and dependence on the organization. The employee need that is met is security. The performance result is passive cooperation.
3. Supportive - The basis of this model is leadership with a managerial orientation of support. The employees in turn are oriented towards job performance and participation. The employee need that is met is status and recognition. The performance result is awakened drives. 4. Collegial - The basis of this model is partnership with a managerial orientation of teamwork. The employees in turn are oriented towards responsible behavior and self-discipline. The employee need that is met is self-actualization. The performance result is moderate enthusiasm.
Other models • Human value model: • • • The natural process of behaviour is Stimulus, Organism, Behaviour and Consequence. It is generally known as SOBC. Every organization should provide enough incentives in the form of intrinsic and extrinsic stimuli. Organizations should identify best social, cultural, physical and technological stimuli so that positive consequences in the form of behaviour is achieved. It must be understood that people work in the organization for achieving psychological satisfaction Environment of the organization therefore must be conducive to work and quality of work life should be very rich
• Contingency model: • Contingency model of organizational behaviour refers to complex variables that influence individual, group and organizational structures. • Contingency model is designed to meet the contingent situations like management of conflict, handling of stress, achieving growth and managing the complexities caused due to changes in organization structures. • In the contingency model relations between manager and employees are based on co-operation, trust and desire of wellbeing. Promotion to employees are assured. No distinction is made between specialist and non-specialist. • It is also known as the hybrid model where long term employment is assured to the employees.
Limitations of OB � Knowledge about OB does not help an individual manage personal life better � OB is a means to improve, not an absolute answer for problem � Qualities of OB are mysterious � Has become a fad with managers � Is selfish and exploitative � Managers expect quick-fix solutions-not possible � Principles and practices may not work in the events of declining fortunes � Cannot eliminate conflict and frustration totally
Future of OB • In future employee focus will change towards career development & recognition • Task will become flexible in nature to avoid monotony & boredom in work place • Organization’s structural changes [ boundary less, network or project structures] • Internationalization of business brings cultural & behavioural complexity
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