Taruna Dureja Banga

People Are an Organizations Most Important Assets

What is an Organization?

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

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.
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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

WHY OB

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Insert Figure 1.1 here

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Challenges and Opportunities for OB

Responding to Globalization

Increased foreign assignments Working with people from different cultures Overseeing movement of jobs to countries with cost labor
Embracing diversity Changing demographics Implications for managers

low-

Diversity

Recognizing and responding to differences

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Major Workforce Diversity Categories

Gender
Disability Age Culture Race Domestic Partners National Origin

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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

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Todays Challenges in the Workplace

Challenges at the Individual Level

Job Satisfaction Empowerment Behaving Ethically

Challenges at the Group Level

Working With Others Workforce Diversity

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Todays Challenges in the Workplace

Challenges at the Organizational Level

Productivity Developing Effective Employees

Absenteeism Turnover

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

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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

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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

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Elements of OB
Elements of OB

Company philosophy, values, vision, goals

Co. culture, leadership, communicatio n

People, their level of satisfaction, motivation, growth & development

Organization structure, technology

Note: Company philosophy can be the principles or foundations Around Which company works

Contd..
Individual differences Social systems Whole person

OB
Caused behaviour

Mutuality of interests

Human dignity Need for management

Holistic approach

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, his\her skill alone is not hired, his\her social background, likes, dislikes are also hired. A persons 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
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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.

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.

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Contributing Disciplines to OB

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.

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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)

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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)

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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

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

Anthropology

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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)

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Personality Perception Learning Attitudes and attribution Motivation

OB Model
Individual Behaviour

Group dynamics

Team dynamics Leadership

Power and politics Communication Conflict

Group Behaviour

Organizational Effectiveness

Organizational Culture Human resource Policies & Practices Work Stress Organization Change & Development

Organization

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

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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

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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: Jobspecific knowledge and techniques.
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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 wellbeing. Managing a diverse work force. Managing the global environment.
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