Organizational behavior

Organizational behavior

is the systematic study and careful application of knowledge about how peopleas individuals and as groupsact within organizations for the purpose of applying such knowledge toward improving an organizations effectiveness.

Goals of Organizational behavior

Describe how people behave under a variety of conditions. Understand why people behave as they do. Predict future employee behavior. Control and develop some human activity at work.

Key factors that affect the nature of the Organization

People make up the internal social system of the organization. Structure defines the formal relationship and use of people in organizations. Technology provides the resources with which people work and affects the tasks that they perform. Environment is where all organizations operate.

Fundamental Concepts of Organizational behavior

As to the Nature of People

Individual Differences Perception A Whole Person Motivated Behavior Desire for Involvement Value of the Person
Social Systems Ethics Mutual Interest

As to the Nature of Organizations

As to the Nature of People

Individual Differences

Management can motivate employees best by treating them differently. Individual differences require that a managers approach to employees be individual, not statistical.

Perception

People look at the world and see things differently. Even when presented with the same object, two people may view it in two different ways. Whatever the reasons, they tend to act on the basis of their perceptions.

A Whole Person

People function as total human beings. When management applies the principles of organizational behavior, it is trying to develop a better employee, but it also wants to develop a better person in terms of growth and fulfillment. If the whole person can be improved, then benefits will extend beyond the firm into the larger society in which each employee lives.

Motivated Behavior

Motivation is essential to the operation of organizations. These may relate to a persons needs or the consequences that result from acts.

Desire for Involvement

Organizations need to provide opportunities for meaningful involvement. This can be achieved through employee empowermenta practice that will result in mutual benefit employees and employers.

Value of the Person

Employees want to be treated with caring, respect, and dignity because they are of a higher order in the universe compared to other factors in production (land, capital, technology).

As to the Nature of Organizations

Social Systems

Organizations are social systems; consequently, activities therein are governed by social laws as well as psychological laws. Just as people have psychological needs, they also have social roles and status. Their behavior is influenced by their group as well as by their individual drives.

Mutual Interest

Managers need employees to help them reach organizational objectives; people need organizations to help them reach individual objectives.

Ethics

Companies have begun to recognize the importance of ethical standards in an organization. The organization is also more successful, because it operates more effectively.

Basic approaches to Organizational behavior

Systems Approach Results-Oriented Approach Contingency Approach Human resources (supportive) approach

Human resources (supportive) approach

It is concerned with the growth and development of people toward higher levels of competency, creativity, and fulfillment, because people are the central resource in any organization and any society. It helps employees become better, more responsible people, and then it tries to create a climate in which they may contribute to the limits of their improved abilities.

Contingency Approach

Different situations require different behavioral practices for greatest effectiveness.

Results-Oriented Approach

A dominant goal for many is to be productive, so this results orientation is a common thread woven through organizational behavior. Productivity is a ratio that compares units of output with units of input, often against a predetermined standard

Equations Showing the Role of Organizational Behavior in Work Systems 1. Knowledge X Skill = Ability 2. Attitude X Situation = Motivation 3. Ability X Motivation = Potential Human Performance 4. Potential Performance X Resources X Opportunity = Organizational Results

Systems Approach
Treating an organization as a system is critically important to its success. The fundamental elements of the systems approach include: 1. There are many variables within a system. 2. The parts of a system are interdependent.

3. There are many subsystems contained within larger systems. 4. Systems generally require inputs, engage in some process, and produce outputs. 5. The input-process-output mechanism is cyclical and selfsustaining (it is ongoing, repetitive, and uses feedback to adjust itself).

6. Systems produce both positive and negative results. 7. Systems produce both intended and unintended consequences. 8. The consequences of systems may be short-term, long-term, or both. Holistic organizational behavior interprets people-organization relationships in terms of the whole person, whole group, whole organization, and whole social system.