C H A P T E R

Introduction to the Field of Organizational Behavior

McGraw-Hill/Irwin
2005 The McGraw-Hill Companies, Inc. All rights reserved.

Google and OB
Google founders Larry Page and Sergey Brin have leveraged the power of organizational behavior to create the worlds leading Internet search engine as well as one of the best places to work.
Richard Hernandez/San Jose Mercury News

McShane/Von Glinow OB 3e

2005 The McGraw-Hill Companies, Inc. All rights reserved.

What are Organizations?

Groups of people who work interdependently toward some purpose Structured patterns of interaction Coordinated tasks Work toward some purpose
Richard Hernandez/San Jose Mercury News

McShane/Von Glinow OB 3e

2005 The McGraw-Hill Companies, Inc. All rights reserved.

Why Study Organizational Behavior

Understand organizational events

Influence organizational events

McShane/Von Glinow OB 3e

Organizational Behavior Research

Predict organizational events

2005 The McGraw-Hill Companies, Inc. All rights reserved.

Trends: Globalization
Economic, social, and cultural connectivity with people in other parts of the world Effects of globalization on organizations:

Greater efficiencies and knowledge sources Ethical issues about economies of developing countries New organizational structures and communication Greater workforce diversity More competitive pressure, demands on employees

McShane/Von Glinow OB 3e

2005 The McGraw-Hill Companies, Inc. All rights reserved.

Trends: Information Technology

Blurs temporal and spatial boundaries between employees and organizations Re-designs jobs and power relationships Increases value of knowledge management Supports telecommuting Supports virtual teams

McShane/Von Glinow OB 3e

2005 The McGraw-Hill Companies, Inc. All rights reserved.

Telecommuting
An alternative work arrangement where employees work at home or remote site, usually with a computer connection to the office

Tends to increase productivity and empowerment, reduce stress and costs

Problems with lack of recognition, lack of social interaction

McShane/Von Glinow OB 3e

2005 The McGraw-Hill Companies, Inc. All rights reserved.

Trends: Changing Workforce

Primary and secondary diversity -- but concerns about distinguishing people by ethnicity More women in workforce and professions

Different needs of Gen-X/Gen-Y and babyboomers

Diversity has advantages, but firms need to adjust

McShane/Von Glinow OB 3e

2005 The McGraw-Hill Companies, Inc. All rights reserved.

Trends: Employment Relationship

Employability

New deal employment relationship Continuously learn new skills

Contingent work

No contract for long-term employment Free agents, temporary-temporaries Minimum hours of work vary

McShane/Von Glinow OB 3e

2005 The McGraw-Hill Companies, Inc. All rights reserved.

Employability vs Job Security

Job Security
Lifetime job security Jobs are permanent

Employability
Limited job security Jobs are temporary Career selfmanagement High emphasis on skill development

Company manages career

Low emphasis on skill development

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2005 The McGraw-Hill Companies, Inc. All rights reserved.

Trends: Workplace Values & Ethics

Values are long-lasting beliefs about what is important in a variety of situations

Define right versus wrong --guide our decisions Values relate to individuals, companies, professions, societies, etc.

Importance values due to:

Need to guide employee decisions and actions Globalization increases awareness of different values Increasing emphasis on applying ethical values Ethics -- study of moral principles or values

McShane/Von Glinow OB 3e

11

2005 The McGraw-Hill Companies, Inc. All rights reserved.

Values/Ethics at Toms of Maine

Tom and Kate Chappell have

built Toms of Maine, the

personal health care products firm, around the

idea that businesses need to

be compatible with the personal values of their
Courtesy of Toms of Maine

employees.

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12

2005 The McGraw-Hill Companies, Inc. All rights reserved.

Corporate Social Responsibility

Corporate Social Responsibility
stakeholders

Organizations moral obligation toward its

Shareholders, customers, suppliers,
governments etc.

Stakeholders

Triple bottom line philosophy

Economic, Social & Environmental

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13

2005 The McGraw-Hill Companies, Inc. All rights reserved.

Organizational Behavior Anchors

Multidisciplinary Anchor
Systematic Research Anchor

Open Systems Anchor

Organizational Behavior Anchors

Multiple Levels of Analysis Anchor

Contingency Anchor

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14

2005 The McGraw-Hill Companies, Inc. All rights reserved.

Open Systems Anchor of OB

Feedback Feedback

Subsystem

Subsystem

Inputs

Organization
Subsystem Subsystem

Outputs

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2005 The McGraw-Hill Companies, Inc. All rights reserved.

Knowledge Management Defined

Any structured activity that improves an organizations capacity to acquire, share, and use knowledge for its survival and success

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16

2005 The McGraw-Hill Companies, Inc. All rights reserved.

Intellectual Capital
Knowledge that people possess Human Capital and generate

Structural Capital

Knowledge captured in systems and structures

Relationship Capital

Values derived from satisfied customers, reliable suppliers, etc.

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17

2005 The McGraw-Hill Companies, Inc. All rights reserved.

Knowledge Management Processes

Knowledge acquisition
Grafting Individual learning Experimentation

Knowledge sharing
Communication Communities of practice

Knowledge use
Awareness Empowerment

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18

2005 The McGraw-Hill Companies, Inc. All rights reserved.

Organizational Memory
The storage and preservation of intellectual capital Retain intellectual capital by:

Keeping knowledgeable employees Transferring knowledge to others Transferring human capital to structural capital

Successful companies also unlearn.

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2005 The McGraw-Hill Companies, Inc. All rights reserved.

C H A P T E R

Introduction to the Field of Organizational Behavior

McGraw-Hill/Irwin
2005 The McGraw-Hill Companies, Inc. All rights reserved.