Organizational Behavior

Management is the process of getting activities completed efficiently and effectively

with and through other people.

Management functions:

Planning
Organizing
Staffing
Directing
Coordinating
Reporting
Budgeting
(Gulick & Urwick 1937. Papers on the Science of Administration)

Management roles:
Interpersonal roles Figurehead, Leader, Liaison
Informational roles Monitor, Disseminator, Spokesperson
Decisional roles Entrepreneur, Disturbance handler, Resource allocator,
Negotiator

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reserved.

what is management ?
 Management focuses on the entire organization from
both a short and a long-term perspective.
Management is the managerial process of forming a
strategic Error! Hyperlink reference not valid.,
setting objectives, crafting a strategy and then
implementing and executing the strategy.
Management goes beyond the organization’s internal
operations to include the industry and the general
environment. The key emphasis is on issues related
to environmental scanning and industry analysis,
appraisal of current and future competitors,
assessment of core competencies, strategic control
and the effective allocation of organizational
resources.

In general terms, there are two approaches to management:

-The Industrial Organization Approach: This approach is based

on Error! Hyperlink reference not valid. theory which
deals with issues like competitive rivalry, resource allocation,
economies of scale. This approach to management assumes
rationality, self interested behavior, profit maximization.

- The Sociological Approach: This approach deals primarily

with human interactions. It assumes rationality, satisfying
behavior, profit sub-optimality.

Management theories can also be divided into two sets. One

is the set that concentrates mainly on efficiency and another
is the set that concentrates mainly on effectiveness. Efficiency
is about doing things the right way. It involves eliminating
waste and optimizing processes. Effectiveness is about doing
the right things.

A good management style is a blend of both efficiency and

effectiveness. There is no point in Error! Hyperlink
reference not valid. efficiently if what you are doing will not
have the desired effect.

Management techniques can be viewed as either bottom-up,

top-down, or collaborative processes.

In India, largely the top down approach is popular. In the

top-down approach, the management makes the decisions,
which the employees have no choice but to accept. On the
other hand, in the bottom-up approach, employees submit
proposals to their managers who, in turn, funnel the best
ideas further up the organization. However the bottom up
approach is not a very popular approach in India as most of
the Indian businesses are family run businesses.
~ Category editor Sakina Kadiwala. copyright data indianchild.com
 Management is the organizational function that, like investment, gets
things done efficiently, to gain the best return on all resources.

Management is an organizational function, like sales, marketing or

finance. It doesn't necessarily mean managing people. We can
manage ourselves or the material assigned to us at work. If you
managed a project very well on your own, it would mean that you did
the job in a well-organized, efficient manner, making good use of all
resources at your disposal.

Management is like investment. Managers have resources to invest -

their time, talent and, possibly, human resources. The goal (function)
of management is to get the best return on such resources by getting
things done efficiently. This doesn't imply being mechanical or
narrowly controlling as some writers on management suggest. The
manager's style is a personal or situational matter and it has evolved
over time. With highly skilled and self-motivated knowledge workers,
the manager must be very empowering. Where the workforce is less
skilled or not very motivated, the manager may need to monitor
output more closely. Skilled managers know how flex their style,
coach and motivate diverse employees. Getting things done through
people is what they do. By saying that management is a function, not
a type of person or role, we can better account for self-managed work
teams where no one is in charge. In a self-managed team,
management is a group effort with no one being the designated
manager.

Management versus Leadership

A burning question is how management differs from leadership. For

some, there is no difference. But increasing complexity drives ever
greater specialization, so we really need to recognize that leadership
and management are two different functions. This is the same as
saying they serve two different purposes. A clear way of
differentiating the two is to say that leadership promotes new
directions while management executes existing directions as
efficiently as possible. But the work of the manager is not just the
mundane monitoring of daily operations. It includes getting the most
complex projects done, like putting the first man on the moon.
Unfortunately, management is mistakenly seen as task-oriented,
controlling and insensitive to people's needs. By contrast, leaders are
portrayed as emotionally engaging, visionary and inspiring. But,
separating leadership from management in terms of style is a dead
end, simply because leadership can be shown by quiet or forceful
arguments based on hard facts. An inspiring leader induces us to
change direction while an inspiring manager motivates us to work
harder to get a tough job done on time.

The best managers are very strategic about themselves. They

recognize that time and other resources are scarce, that competitive
pressures demand efficient use of everything. Being strategic about
themselves is the same thing as being a proactive, studious investor
who regularly monitors his or her investments in order to shift them
around to get a better return. Managers also have to be strategic
about the business. It is not enough to do the work efficiently, it is
essential to do the right things. Both of these imperatives can be
thought of in terms of wise investment. Management is primarily a
decision making role. Managers are charged with the responsibility to
make a profit and this requires them to make sound decisions.

By contrast, leadership is strictly informal influence. Leaders

persuade people to change direction. This way of thinking about
leadership means that it is not a position and that there is no such
thing as autocratic leadership. It is vitally important to recast
leadership in this way. Otherwise, how can we explain the leadership
of Martin Luther King who influenced the Supreme Court to outlaw
segregation on buses without any formal authority over this body?
We confuse ourselves when we call senior executives leaders. The
truth is that they are managers by virtue of their positions and they
only show leadership when they influence people informally, like
Martin Luther King did, to change direction. Leadership is an
occasional act; management is an ongoing role.

The Twin Tasks of Management

All organizations have two tasks or goals - to deliver today's results

profitably and to create the future. In businesses that compete mainly
 on the basis of cost and service, efficiency of execution is all that
matters. But nearly all businesses need some innovation to keep
ahead of their competition. Managers in these organizations need to
foster innovation as well as efficiency. The best way to stimulate
innovation is to encourage all employees to show leadership by
promoting new products or services.

Organisational Behaviour

Bob Dailey 

If you work in an organisation, you probably think you know a lot 
about them. But do you? An organisation continually has to adapt to 
changes in the competitive environment. Its effectiveness depends on 
the motivation and behaviour of the workforce. To capitalise on the 
capabilities of the workforce, it must have appropriate incentives, 
develop effective teams, design an attractive job environment and 
manage the dynamics of organisational change. By understanding 
the principles of organisational behaviour you acquire a deeper 
knowledge of how you relate to other members of the organisation.

Topics covered

• Basics of organisational behaviour related to management. 
• Stress and well­being at work. 
• Contemporary theories of motivation. 
• Organisational control and reward systems. 
• Job design and employee reactions to work. 
• Workgroup dynamics and group­based problem solving. 
• Influence processes in organisations: power, politics, leadership. 
• Organisational design and new service­driven organisations. 
• Managing transitions: organisational culture and change. 
 

behavior

behaviorbehaviorbehavior

behavior

OrganisationalBehavior

Learning Outcomes
 Define organizational behavior
 Explain some of the differences in
organizations
 Understand the need for
systematic study of organizational
behavior
 Describe an organization
 Recognize OB depends on
contingencies
Copyright 2006, Vandeveer,
Chapter 1 Menefee, Sinclair 1
Why Study Organizational
Behavior?
Success isn’t a destination – it’s 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.
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.


Organizational Behavior

Is organizational behavior really just common

sense ?
When employees are happy workers are more productive . (T/F)
Friendly, trusting, and approachable bosses can motivate their
workers. (T/F)
Leaders who exhibit a stable behavior, regardless of the situations
faced, make the best leaders. (T/F)
Experiences have shown us that interviews where the interviewer
leads with “tell me about yourself” are very effective selection
methods. (T/F)
A challenging job appeals to everyone. (T/F)

Organizational Behavior

Does organizational behavior (OB)

require a systematic study ?
Many people think OB is just
common sense.
Some would add OB is just
intuition.
Intuition versus Common
Sense

Common Sense Defined

The unreflective opinion of ordinary
men and women, unsophisticated
judgment.

Intuition Defined
A feeling not necessarily supported by
research.

Organizational Behavior

Does organizational behavior (OB)

require a systematic study?
The answer is YES!!!
Consistency vs. Individual
Differences
Systematic Study
Looking at relationships, attempting to
attribute causes and effects and
drawing conclusions based on scientific
evidence.
Behavior is generally predictable.
There are differences between
individuals.
There are fundamental consistencies.
There are rules (written & unwritten) in
almost every setting.

What is an Organization?

This behavior occurs in

organizations.
Organizations are simply groups
with two or more people that
share a certain set of goals and
meet at regular times.
Looking at the Big Picture
The number one reason for failure
among executives of Fortune
500 companies is poor
interpersonal skills. In short,
they don’t have a command of
the needed people skills and, as
a result, they come across as
not really caring about their
people.
What is changing that requires a more systematic study?
 Organizations
 Diversity
 Global competition
 Technology’s influence on behavior
 Society – social changes
Looking at the Big Picture
With strong interpersonal skills
through a study in
organizational behavior, we
can begin to predict how
others will behave in a given
situation. What a valuable
leadership skill to have!

Organizational Behavior

Human behavior depends on

contingencies.
Behavior can be predicted, but you
have to understand the
circumstances.
Understanding circumstances and
predicting behavior require a
systematic study.
Developing an OB Model

Dependent variables
Productivity
Absenteeism
Turnover
Job Satisfaction

Developing an OB Model

Independent variables
Individual-level variables (Chapters 1-
6)
Group-level variables (Chapters 7-13)
Organizational systems-level variables
(Chapters 14-21)
 Basic OB Model

Organizational Level PRODUCTIVITY

Dependent
Variables
Independent Variables ABSENTEESIM
Group Level

TURNOVER
Individual Level
JOB SATISFACTION

Summary
Organizations come in many shapes
and sizes – we need to study
these.
Behavior of organizations, groups,
and individuals, if studied, is
predictable.
To study Organizational Behavior,
one needs to move from an
intuition and common sense
 Summary

Organizations come in many shapes

and sizes – we need to study
these.
Behavior of organizations, groups,
and individuals, if studied, is
predictable.
To study Organizational Behavior,
one needs to move from an
intuition and common sense

Summary

Behavior can be predicted, but

you have to understand the
circumstances.

http://www.scribd.com/doc/7111728/Organisational-Behavior-and-ion-Culture