Organization Behavior

1. Organization: organization is an entity comprising multiple people such as an

institution or association that has a particular purpose.
Organization drive from Greek word Organon. The meaning of Organon is organ.

2. Behavior: behavior is a verbal or physical response shown by person as a consequences of the

impact of his/her surrounding.

3. Organizational Behavior: organizational behavior as a field of study that investigates the impact that
individual, groups and structure have an behavior within organization for the purpose of applying such
knowledge toward improving an organization effectiveness

4. Concept of organizational behavior/ discuss the factor affecting organizational

behavior.
i. People
ii. Structure
iii. Technology
iv. Environment

5. Importance of organization behavior

i. Skill improvement
ii. Understanding consumer buying behavior
iii. Employee motivation
iv. Nature of employee
v. Efficiency and effectiveness
vi. Better environment of organization
vii. Optimum utilization of resource
viii. Goodwill of organization
ix. Human resource behavior

6. Limitation of organization behavior

i. Behavioral bios
ii. Law of diminishing return
iii. Unethical practices and manipulation of people

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7. Fundamental concept of organizational behavior
i. The Nature of People
a. Individual difference: Each and every person in the world is individual different. The idea
of individual difference is supported by science. A person is different in millions of ways.
b. A whole person: Some organization may wish that they could employ only a person’s skill
or brain. They forget that they actually employ a whole person rather than certain
characteristics.
c. Motivated behavior: Motivation is essential to the operation of organization. An
organization with sophisticated technology and equipment can’t work if the human
resources aren’t motivated and guided properly.
d. Perception: People look at the world and see things differently. Two people may view
the same object in two different ways. Employees see their work worlds differently for
a variety of reasons. They may differ in their personalities needs, demographic factors
(Age, Gander, Income, Marital status), past experience and so on. Management learns
to guide their employees who have perceptual difference.(Short Note)
e. Desire for involvement: Today many employees are actively seeking opportunities at
work to become involved in relevant decisions. They want to make a contribution by their
talents and ideas for the organization.
f. Values of the person: People deserve to be treated differently from other factors of
productions (Land, Capital, and Technology). They want to be treated with caring, respect
and dignity.

ii. The Nature of organization

a. Social system: Organizations are social system. People have psychological needs; they
also have social roles and status. Their behaviour is influenced by their groups as well as
by their individual drives.
b. Mutual of interest/mutual system: Organizations need people and people need
organizations. Organizations have a human purpose. They are formed and maintained
on the basic of some mutuality of interest among their participant’s managers need
employees to help them reach organizational objectives. Mutual interest provides a
supportive goal that can be attained on attained only through the integrated
efforts.(short note)
c. Ethics: In order to attract and retain valuable or experienced employees ethical treatment
is necessary.

8. Model of organizational behavior

i. Autocratic Model: The root level of this model is power with a managerial orientation of
authority. The employees in this model are oriented towards obedience and discipline.
ii. Custodial Model: The root level of this model is economic resources with a
managerial orientation of money. The employees in this model are oriented towards security
and benefits provided to them. They are dependent on the organization. The employee
equirement that is met is security.
 iii. Supportive Model: The root level of this model is leadership with a managerial orientation of
support. The employees in this model are oriented towards their job performance and
participation.
iv. Collegial Model: The root level of this model is partnership with a managerial orientation of
teamwork. The employees in this model are oriented towards responsible behavior and
self-discipline.

9. The component of total quality management

i. An intense focus on the customer
ii. Concern for continual improvement
iii. Improvement in the quality of everything the organization does
iv. Accurate measurement
v. Empowerment of people

10. Challenge and opportunity of modern organization behavior

i. Improving people skill
ii. Improving quality & productivity
iii. Total quality management(Short Note): Total quality management (TQM) is the continual process
of detecting and reducing or eliminating errors in manufacturing, streamlining supply chain
management, improving the customer experience, and ensuring that employees are up to speed with
training. Total quality management aims to hold all parties involved in the production process
accountable for the overall quality of the final product or service.
iv. Managing work force diversity
v. Empowering people
vi. Coping with temporizes
vii. Responding to globalization
viii. Stimulation innovation and change
ix. Improving ethical behavior
x. Improving customer service

11. Climate: climate is nature sense referred to the average course or condition of the weather at
a place over a period of years exhibited by temperature, wind, velocity and precipitation.

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12. Organizational climate: Organizational climate consist of a set of characteristic that describe
an organization, distinguish it from other organization are relatively enduring over time and influence
the behavior of it.

13. Characteristics of organizational

climate i. General perception
ii. Abstract and intangible concept
iii. Unique & distinct identity
iv. Enduring quality
v. Multi-dimensional concept

14. Factors influencing organizational

climate i. Organizational structure
ii. Individual responsibility
iii. Rewards
iv. Risk & Risk taking
v. Warmth and support
vi. Tolerance factors & conflict

15. Organizational culture: organizational culture is defined as the underlying beliefs,

assumption, values & ways of interaction that contribute to the unique social & psychological
environment of an organization.

16. Characteristics of organizational

culture i. Distinctive
ii. Stable
iii. Implicit
iv. Symbolic
v. Integrated
vi. Accepted
vii. A reflection of top management
viii. Subculture of varying strength
 17. Difference between organizational culture & organizational climate

Topic Organizational Culture Organizational climate

Definition It is an organization’s personality which consists 1. : Organizational climate consist of a
of all the shared beliefs, values, norms, rules and set of characteristic that describe
observed behavioral regularities such as an organization, distinguish it from
language, and rituals. other organization are relatively
enduring over time and influence
the behavior of it.
Nature It is historical in nature. It is an overall picture of
It is an organization’s atmosphere perceived by
an organization that was developed from the its employees. It is the general impression that
commencement of the organization. individuals get about the organization.
Emphasis The means through which employees learn and The current atmosphere of the organization,
communicate acceptable and unacceptable mostly not dealing with beliefs, values and
things (beliefs, values and norms) based on the norms.
history and traditions of the organization.
Changeability It is difficult to change as it has been developed It is easy to change as it is about attitudes of
over the course of years of history and tradition. current situations of autonomy, supervision,
It is stable relatively. rewards, caring and trust. It is dynamic
relatively.
Base It is based on Anthology and Sociology. It is based on Psychology.

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