intoduction of organization behaviour
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The document provides an introduction to organizational behaviour. It defines organizational behaviour as a field of study that seeks to understand, predict, and influence individual behavior in organizational settings. It draws on various disciplines like psychology, sociology, social psychology, and anthropology. Key contributions of these disciplines to OB are discussed. The document also discusses the nature of OB as an interdisciplinary applied science with a humanistic approach oriented toward organizational objectives. Milestones in the history of OB like scientific management and the Hawthorne studies are summarized. Challenges and opportunities for applying OB like responding to economic pressures, globalization, and managing workforce diversity are outlined.
intoduction of organization behaviour
- 2. OB-Concept and Definition According to Aldag and Brief OB is defined as: “Is a branch of the social sciences that seeks to build theories that can be applied to predicting, understanding and controlling behaviour in work organizations’. According to Callahan, Fleenor and Kudson OB is: “Organizational Behaviour is a subset of management activities concerned with understanding, predicting and influencing individual behaviour in organizational settings”. According to above definitions ingredients of OB are same, that is: Studying, understanding and controlling human behaviour The study is about behaviour in organizations It studies human behaviour at individual level, group level and organizational level. Knowledge about human behaviour would be useful in improving an organization’s effectiveness.
- 3. Intuition and Systematic Study • Gut feelings • Individual observation • Common sense Intuition • Looks at relationships • Scientific evidence • Predicts behaviors Systematic Study The two are complementary means of predicting behavior. 1-3
- 4. An Outgrowth of Systematic Study… Pose a managerial question Search for best available evidence Apply relevant information to case Evidence-Based Management (EBM) Basing managerial decisions on the best available scientific evidence Must think like scientists: 1-4
- 5. Managers Should Use All Three Approaches The trick is to know when to go with your gut. – Jack Welsh 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. 1-5
- 6. Contributing Disciplines Psychology Sociology Social Psychology Anthropology See E X H I B I T 1–3 for details Many behavioral sciences have contributed to the development of Organizational Behavior 1-6
- 7. Psychology The science that seeks to measure, explain, and sometimes change the behavior of humans and other animals. Unit of Analysis: 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 1-7
- 8. Social Psychology An area within psychology that blends concepts from psychology and sociology and that focuses on the influence of people on one another. Unit of Analysis: Group Contributions to OB: Behavioral change Attitude change Communication Group processes Group decision making 1-8
- 9. Sociology Unit of Analysis: -- Organizational System Contributions to OB: 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. 1-9
- 10. Anthropology Unit of Analysis: -- Organizational System Contributions to OB: Organizational culture Organizational environment -- Group Comparative values Comparative attitudes Cross-cultural analysis The study of societies to learn about human beings and their activities. 1-10
- 11. Nature of OB A field of Study and not a Discipline- OB can be treated as a distinct field of study and not a discipline or even emerging discipline. OB, because of its broad base, recent emergence and interdisciplinary orientation, is not accepted as science. 2. Interdisciplinary Approach- OB is basically an interdisciplinary approach. An interdisciplinary approach integrates the relevant knowledge drawn from different disciplines like psychology, sociology and anthropology. 3. An Applied Science- The basic objective of OB is to make application of various researches to solve the organizational problems particularly related to human behaviour aspect. 4. Humanistic and Optimistic- OB focuses the attention on people from humanistic point of view. It is based on the belief that needs and motivation of people are of high concern. 5. Oriented towards Organizational Objective- OB, being an applied science and emphasising human aspect of the organization, is oriented towards organizational objectives. 6. A total Systems Approach- The systems approach is an integrative approach which takes into account all the variables affecting organizational functioning.
- 12. Importance of OB Road map to our lives in organisations Helps us understand and predict organisational life Influences events in organisations Helps understand self and others better Helps a manager get things done better Helps maintain cordial relations Highly useful in the field of marketing Helps in career planning and development Helps sustain the temp of economic growth
- 13. Limitations of OB Knowledge about OB does not help an individual manage personal life better Dualities of OB are baffling 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 totally conflict and frustration
- 14. Milestones in the History of Organisation Behaviour/Predecessors of OB Industrial Revolution Robert Owen, Andrew Ure and J.N. Tata provided certain welfare facilities. The ideas degenerated into paternalistic approach. Scientific Management– Taylor believed in rationalising production. He believed Early 20th Century that human behaviour was based on ‘rabble hypothesis.’ Human Relations Movement Great Depression, labour movement and during 1920s to 1940s Hawthorne studies led to the movement. The movement subsequently became a fad Organisational behaviour – 1950’s
- 15. The Industrial Revolution’s Influence On Management Practices Machine power began to substitute for human power Lead to mass production of economical goods Improved and less costly transportation systems became available Created larger markets for goods. Larger organizations developed to serve larger markets Created the need for formalized management practices.
- 16. Scientific Management Frederick W. Taylor Scientific Management The Principles of Scientific Management (1911) Advocated the use of the scientific method to define the “one best way” for a job to be done Believed that increased efficiency could be achieved by selecting the right people for the job and training them to do it precisely in the one best way. To motivate workers, he favored incentive wage plans. Separated managerial work from operative work. The systematic study of the relationships between people and tasks for the purpose of redesigning the work process for higher efficiency. Taylor sought to reduce the time a worker spent on each task by optimizing the way the task was done.
- 17. Definition of Hawthorne Studies “Mayo wanted to find out what effect fatigue and monotony had on job productivity and how to control them through such variables as rest breaks, work hours, temperatures and humidity.”
- 18. Origins of Human Relations Theory “The Hawthorne Studies Hawthorne Works of Western Electric Company 1924 - Chicago Research focus: Relation of quality and quantity of illumination to efficiency in industry Four Important Studies
- 19. “The Hawthorne Studies” Illumination Study (November 1924) Designed to test the effect of lighting intensity on worker productivity Heuristic value: influence of human relations on work behavior Relay Assembly Test Room Study (1927-1932) Assembly of telephone relays (35 parts - 4 machine screws) Production and satisfaction increased regardless of IV manipulation Workers’ increased production and satisfaction related to supervisory practices Human interrelationships are important contributing factors to worker productivity Bottom Line: Supervisory practices increase employee morale AND productivity Interviewing Program (1928-1930) Investigate connection between supervisory practices and employee morale Employees expressed their ideas and feelings (e.g., likes and dislikes) Process more important than actual results Bank Wiring Room Observation Study (November 1931 - May 1932) Social groups can influence production and individual work behavior RQ: How is social control manifested on the shop floor? Informal organization constrains employee behavior within formal organizational structure
- 20. CHALLENGES AND OPPORTUNITIES FOR OB 1. Responding to economic pressures Deep and prolonged recession in 2008 that spread worldwide In difficult economic times, effective management is an asset. During these times, the difference between good and bad management can be the difference between profit and loss. In good times, understanding how to reward, satisfy, and retain employees is at a premium. In bad times, issues like stress, decision making, and coping come to the fore.
- 21. CHALLENGES AND OPPORTUNITIES FOR OB 2. Responding to globalization Increased foreign assignments Organizations are no longer constrained by national borders. Once you’re in another country, you’ll have to manage a workforce very differently in needs, aspirations, and attitudes from those you are used to back home. Working with people from different cultures Even in your own country, you’ll find yourself working with bosses, peers, and other employees born and raised in different cultures. Management practices need to be modified to reflect the values of the different countries in which an organization operates. Overseeing movement of jobs to countries with low-cost labor Managers are under pressure to keep costs down to maintain competitiveness. Moving jobs to low-labor cost places requires managers to deal with difficulties in balancing the interests of their organization with responsibilities to the communities in which they operate.
- 22. CHALLENGES AND OPPORTUNITIES FOR OB 3. Managing workforce diversity Workforce diversity is one of the most important and broad- based challenges currently facing organizations. While globalization focuses on differences between people from different countries, workforce diversity addresses differences among people within given countries. Workforce diversity acknowledges a workforce of women and men; many racial and ethnic groups; individuals with a variety of physical or psychological abilities; and people who differ in age and sexual orientation. Managing this diversity is a global concern. Three demographic forces will shape India’s labor force in this decade: more women in the workforce, urbanization, and an increase in the population of Indians in their thirties and forties.
- 23. CHALLENGES AND OPPORTUNITIES FOR OB 4. Improving customer service Today the majority of employees in developed countries work in service jobs. The service industry in India contributed 54.6 per cent of the country’s GDP and employed 34 per cent of the labor force in 2009. Examples of people in the service industry include technical support reps, fast food counter workers, waiters, nurses, financial planners, and flight attendants. Employee attitudes and behavior are associated with customer satisfaction.
- 24. CHALLENGES AND OPPORTUNITIES FOR OB 5. Improving people skills People skills are essential to managerial effectiveness. OB provides the concepts and theories that allow managers to predict employee behavior in given situations. 6. Stimulating innovation and change Successful organizations must foster innovation and master the art of change. Employees can be the impetus for innovation and change or a major stumbling block. Managers must stimulate employees’ creativity and tolerance for change.
- 25. CHALLENGES AND OPPORTUNITIES FOR OB 7. Coping with “temporariness” Organizations must be flexible and fast in order to survive. In such a scenario: Jobs must be continually redesigned. Tasks are being done by flexible work teams rather than individuals. Companies rely more on temporary workers. Workers need to update knowledge and skills. Work groups and organizations are in a continuing state of flux. Managers and employees must learn to cope with temporariness. Learning to live with flexibility, spontaneity, and unpredictability has become part of one’s job. OB provides help in understanding a work world of continual change, overcoming resistance to change, and creating an organizational culture that thrives on change.
- 26. CHALLENGES AND OPPORTUNITIES FOR OB 8. Working in networked organizations Networked organizations are becoming more pronounced. Manager’s job is fundamentally different in networked organizations. Challenges of motivating and leading “online” require different techniques. 9. Helping employees balance work-life conflicts The creation of the global workforce means work no longer sleeps. Workers are on-call 24-hours a day or working nontraditional shifts. Communication technology has provided a vehicle for working at any time or any place. Employees are working longer hours per week— India ranks among the hardest working nations globally with an average workweek of 50 hours. The lifestyles of families have changed—creating conflict: more dual- career couples and single parents find it hard to fulfill commitments to home, children, spouse, parents, and friends. Balancing work and life demands now surpasses job security as an employee priority.
- 27. CHALLENGES AND OPPORTUNITIES FOR OB 10. Creating a positive work environment Organizations like the erstwhile Satyam Computer Services realized that creating a positive work environment could be a competitive advantage. Positive organizational scholarship or behavior studies what is ‘good’ about organizations. This field of study focuses on employees’ strengths versus their limitations as employees share situations in which they performed at their personal best. 11. Improving ethical behavior Ethical dilemmas are situations in which an individual is required to define right and wrong conduct. Good ethical behavior is not so easily defined. Organizations are distributing codes of ethics to guide employees through ethical dilemmas. Managers need to create an ethically healthy climate.
- 28. Group Activity Business Game – Discuss the challenges for managers in designing a new organization.