Organizational Behavior

John W. Newstrom
 Chapter I – Dynamics of
People and Organization

 Definition – is the systematic

study and careful application
of knowledge about how
people – as individual and
groups – act within
organizations.
 It strives to identify ways in which people can act
more effectively.

 Organizational Behavior is a scientific discipline in

which a large number of research studies and
conceptual developments are constantly adding to its
knowledge base.

 Organizational behavior provides a useful set of

tools at many levels of analysis.
Forces in the Organization

People

environment environment

ORGANIZATION

Technology
environment Structure
Fundamental Concept
a. Nature of People:
- Individual Differences
- Perception
- A whole person
- Motivated Behavior
- Desire for Involvement
- Value of the person
b. Nature of Organization
- Social System
- Mutual Interest
- practice of ethics
 Basic Approaches of this
book
- A human resource approach
- Contingency Approach
- A results-oriented approach
- A system approach
Limitations of Organizational
Behavior
- Behavioral Bias
- Law of diminishing return
- Unethical manipulation of
people
 AnOrganizational Behavior System
Organizations achieve their goals by
creating, communicating and
operating.
Elements of the system
- Fact premise
- Value premise
vision, mission & goals
Autocratic
Managing across National
Boundaries

1. Relation of Models to Human

Needs
2. Increasing use of Some Models
3. Contingent use of all Models.
4. Managerial flexibility
CHAPTER 3
Managing Communication
Communication Fundamentals
Communication
- is the transfer of information
and understanding from one
person to another.
- It is a way of reaching others
by transmitting ideas, facts,
thoughts, feelings and values.
- Its goal is to have the receiver
understand the message as it
was intended and to act upon
that information.
 When communication is
effective, it provides a bridge of
meaning between the two
people so they can each share
what they feel and know.
 Importance of communication
- - Organization cannot exist
without communication
- - If there is no communication,
employees cannot know what
their co workers are doing,
management cannot receive
information inputs, and
supervisors and team leaders
cannot give instructions.
 When communication is
effective, it tends to facilitate
better performance and improve
job satisfaction.

 People understand their jobs

better and feel more involved in
them.

 The Two way Communication

Process
is the method by which a
sender reaches a receiver with a
message.
 The Process always requires eight steps.
- develop an idea
- encode
- framing
- transmit
- receive
- decode
- accept
- use
provide feedback
 Barriers to communication
personal
physical
semantics
Communication Symbols
Words, Social Cues, Readability, Pictures,
Action, Credibility gap, body language
 Downward Communication
It is the flow of information
from higher to lower level of
authority.
ex. Pre-requisites & problems
Communication overload

Acceptance of communications
Communication needs
job instruction
performance feedback
 Upward Communication
It is the two way flow of
information
Difficulties
-questioning
-listening
-employee meeting
-an open door policy
-participation in social
group
 Other Forms of
Communication
Lateral Social

Networking
Electronics
Ex. Electronic
mail
Blog
Twitter
FB

Informal Communication
grapevine, Rumor
 CHAPTER 4 - Social Systems and Organizational
Culture
Understanding A Social System
- Social System/Open system
- Social Equilibrium
- Functional and Dysfunctional Effects
- Psychological and Economic Contracts
 SOCIAL CULTURE
 Cultural Diversity
 Social Culture Values
 Mentors
 Role Conflict
 Role Ambiguity
 STATUS
 Status Relationship
 Status symbols
 Sources of Status
 Significance of status
 ORGANIZATIONAL CULTURE
 Characteristics of culture
 Measuring Organizational Culture
 Communicating and Changing Culture