The Challenges Facing Management

In the 1980s and 1990s managers were preoccupied with restructuring their organizations to improve Productivity and meet the competitive challenges in the international marketplace and Quality Expectations of customers. Thus the resulting organizations offered shortrun benefits in terms of lowered costs and Improved Technology.

Now-a-days it is very tough time for managers. The reason is the increasing danger of Disruptive Change . Consider the following Changes in the Nature of Work: The Blending of Tech and Human components of work Jobs are less tightly Defined Contingent workers Customers Influence the work that is performed within the organization Teams rather than Individuals

 All of the above points represent the Disruptive Change and require new thinking and new ways of managing. For example; Disappearance of Tightly defined and programmed jobs ; The nature of work is changing so rapidly that Rigid Job Structure impede the work to be done now, and that drastically change in the following year, month or even week times.

Following are the near future workplace environment; 1. Knowledge workers will not have a Traditional Contractual Relationship with employers. Instead they will Rent their services to different companies at different

 Corporate Headquarters- Heart CentersDownsizing, Rightsizing .. .welcome form of Sizing companies Productivity driven by Speed and Efficiency Internet workplace ..Irregular Schedules and Work/Life balance

ORGANIZATIONAL BEHAVIOR
1. MANAGERS
Get things done through others Make Decisions, Allocate Resources Direct the Activities of Others to Attain Goals. The people who Oversee the Activities of others and who are Responsible to Achieve a Common Goal are Managers

2. ORGANIZATION
Consciously Coordinated Social Unit, Composed of two or more people, Function on a relatively Continuous Basis to Achieve a Common Goal or Set of Goals.

 2. WHAT MANAGERS DO? 2.1. MANAGEMENT FUNCTIONS: i. Planning ii. Organizing iii. Leading iv Controlling

ORGANIZATIONAL BEHAVIOR
2.2. MANAGEMENT ROLES A. Interpersonal B. Informational C. Decisional 2.3. MANAGEMENT SKILLS A. Technical B. Human C. Conceptual 3. ORGANIZATIONAL BEHAVIOR

ORGANIZATIONAL BEHAVIOR
It investigates the Impact that Individuals, Groups, and Structure have on Behavior within Organizations, for the Purpose of Applying such Knowledge toward Improving an organization s Effectiveness.

Complementing Intuition with Systematic Study

Improving the Predictive Ability by Supplementing Intuition by using more Systematic Approach Through Systematic Approach More Accurate Predictions of Behavior can be Made Fundamental Consistencies underlying the Behavior of all Individuals that can be Identified and Modified

Complementing Intuition with Systematic Study

Thus Behavior is generally Predictable and the Systematic Study of Behavior is a Means to making reasonably Accurate Predictions. SYSTEMATIC STUDY: -Looking at the Relationships, Causes and Effects -Conclusions on the basis of Scientific Evidence

Complementing Intuition with Systematic Study

Systematic Study adds to Intuition about Why I do? What I do? What makes others do something? One s Intuitive views of behavior can be enhanced with a systematic analysis, consequently it will Improve Accuracy in Explaining and Predicting Behavior

CONTRIBUTING DISCIPLINES TO THE OB

PSYCHOLOGY:
Psychology contribution mainly at the Individual or Micro Level of Analysis

-Studying and Attempting to Understand Behavior -Measure, Explain and Change Behavior
-Learning, Perception, Personality, Counseling Emotions -Motivation, Leadership Effectiveness, Performance Appraisal

CONTRIBUTING DISCIPLINES TO THE OB

Understanding of Macro concepts Group processes and Organization Social Psychology: It Focuses on People s Influence on One Another. Change; how to implement it and How to reduce Barriers to its Acceptance.

CONTRIBUTING DISCIPLINES TO THE OB

Sociology: Study of Group Behavior in Organizations It has contributed to Research on; Organizational Culture, Formal Organization Theory & Structure, Communications, Power,Conflict.

ABSOLUTES IN OB
Humans are Complex creatures - Anybody s Ability to Make Simple and Accurate Generalizations about Humans is Limited. -People act differently in the Same Situation -OB was developed by taking general Concepts and applying them to a Situation, Person or Group. -Thus it has become possible to offer reasonably Accurate Explanations of Human Behavior and to Make Valid Predictions

CHALLENGES AND OPPERTUNITIES FOR OB

Changes are taking place in the Organizations at a rapid pace: -more and more women at workplace -people of different color, race, nationalities have to work together -increasing use of temporary workers

CHALLENGES AND OPPERTUNITIES FOR OB

-downsizing has become a common activity -global competition -learning to adapt changes by employees has become a necessity for the survival of company

CHALLENGES AND OPPERTUNITIES FOR OB

Critical Issues for which OB offers Solutions: 1.Responding to Globalization i. Increased Foreign Assignments ii. Working with people from different Cultures iii. Overseeing Movement of Jobs to LowCost Labor Countries

CHALLENGES AND OPPERTUNITIES FOR OB

2. Managing Workforce Diversity Categories of Workforce Diversityi. Minorities ii. Local Population iii. Ex-Defense Personnel iv. Disabled Persons v. Displaced Persons vi. Gender Issues vii. Age Factor viii. Temporary/ Contracts

CHALLENGES AND OPPERTUNITIES FOR OB

Implications of Workforce Diversity Workforce Diversity is Inevitable
-in order to cope with it one must Learn to Value and Respect Culture and ways of Behaving that are Different from one s own

Managing Workforce Diversity- a Priority

-penetration in new markets - Diverse Teams Enhance Creativity, Flexibility, Response to Change

Workforce Potential Maximization

-Link Concerns for diversity to every Business Strategy

CHALLENGES AND OPPERTUNITIES FOR OB

Embracing Diversity: -Organizations must Accommodate
Diverse groups of people by addressing their different Lifestyles, Work styles, Needs -Managers should recognize Individual Differences and respond to those Differences in ways that ensure employee Retention, and greater Productivity without any Discrimination. -Positive management of Diversity Increase Creativity, Innovation and Effective Decision making by providing different Perspectives on Problems.

CHALLENGES AND OPPERTUNITIES FOR OB

Improving Quality and Productivity -Any Effort at Improving Quality and Productivity
must include their Employees. OB helps in Planning Changes, Carrying out Changes

Responding to Labor Shortage -In tight labor markets those Managers who do not understand Human Behavior Fails to treat employees properly

CHALLENGES AND OPPERTUNITIES FOR OB

IMPROVING CUSTOMER SERVICE
--ORGANIZATIONS and CUSTOMERS -Organizations can t Exist without Customers.
Management Needs to Ensure that employees Do What it takes to Please Customers.

--EMPLOYEE BEHAVIOR and CUSTOMER SATISFACTION

OB helps managers achieve this purpose and thus Contribute to Improving an organization's Performance by Showing managers How employees Behavior is Associated with Customer Satisfaction.

CHALLENGES AND OPPERTUNITIES FOR OB

--EMPLOYEE BEHAVIOR and CUSTOMER SATISFACTION OB helps managers achieve this purpose and thus Contribute to Improving an organization's Performance by Showing managers How employees Behavior is Associated with Customer Satisfaction.

CHALLENGES AND OPPERTUNITIES FOR OB

Improving People Skills -gaining insights into specific people skills:
designing motivating jobs, techniques for improving communication skills, Creating more effective Teams

Empowering People
-Putting employees in charge of what they do. Managers give up Control, and Employees take Responsibilities

 Stimulating Innovation and Change - Employees can be the Front runners for
Innovation and Change or they can be the greatest Hurdle. OB provides techniques for the attainment of these goals through employees

Coping with Temporariness:

Managers have to learn to live with Flexibility, Spontaneity and Unpredictability prevalent in the present Business Environment which has given rise to the temporary nature of Work Assignments.

CHALLENGES AND OPPERTUNITIES FOR OB

Working in Networked Organizations -Communication technology
Now it is possible to work from non Office Locations in a Networked organization

Helping Employees Balance Work-Life Conflicts

Balancing Work Life with Personal Life has become Priority of today s Employees

Improving Ethical Behavior

OB MODEL
Three Levels of Analysis in OB Each Level is constructed on the Previous Level

Dependant Variables:

Affected by other Factor (s).

Productivity, Absenteeism, Turnover, Job Satisfaction, Deviant Workplace Behavior Organizational Citizenship Behavior Factors to be Explained and are Influenced/

OB MODEL
Dependant Variables
PRODUCTIVITY It is Concerned with Effectiveness and Efficiency -OB Concern: Any organization must know what elements INFLUENCE/ will INFLUENCE the Effectiveness and the Efficiency of the INDIVIDUAL, GROUP, ORGANIZATION

OB MODEL
ABSENTEEISM:
-It

causes Disruption in the Production Cycle/ Value Creation and has direct Impact on the Effectiveness and Efficiency of the Organization.

-Is there any condition where Absence benefits the Organization?

OB MODEL
TURNOVER: The permanent Withdrawal of Employees from an Organization. -Higher rate of Turnover has negative implications for the efficiency and effectiveness in an Organization -It facilitates Organizational Flexibility and Employee Independence

OB MODEL
DEVIANT WORK PLACE BEHAVIOR (ANTISOCIAL BEHAVIOR) -Deliberate Insult, Teasing, Acts of Sabotage, Gossips, Stealing, and so on. - It is a Voluntary Behavior that Violates the Organizational Norms and consequently inflict Harm to the Organization. -In most case It is a Response due to
Dissatisfaction -Managers must address the problems by Eliminating its Root Causes

OB MODEL
ORGANIZATIONAL CITIZENSHIP BEHAVIOR: -Discretionary Behavior e.g., volunteering for Extra work JOB SATISFACTION: -Satisfied employees are more Productive than the Dissatisfied ones, thus it has direct impact on the Organizational Efficiency & Effectiveness

OB MODEL
INDEPENDENT VARIABLES (Causes of Change in Dependent Variables) 1. Individual-Level Variables -People enter organizations having certain Characteristics that Influence their Behavior -They have great Impact on employee Behavior

INDEPENDENT VARIABLES Individual-Level Variables

BIOGRAPHICAL Characteristics:
-AGE, GENDER, MARITAL STATUS, RACE, NATIONALITY

ABILITY ATTITUDES PERSONALITY VALUES EMOTIONS PERCEPTION INDIVIDUAL DECISION MAKING LEARNING MOTIVATION

OB MODEL
INDEPENDENT VARIABLES Individual-Level -People enter the organizations carrying with them Certain Characteristics - These Characteristics are not easy to Alter/Change for any organization -These Characteristics have great Impact on Employee Behavior

OB MODEL
INDEPENDENT VARIABLES GROUP-LEVEL VARIABLES The Behavior of people in Group is more than the Sum of the total of all the Individuals acting in their Own way. ORGANIZATION SYSTEM LEVEL VARIABLES Organization Culture and Design, HR Policies/ Practices INFLUENCE dependant behavior.

FOUNDATIONS OF INDIVIDUAL BEHAVIOR

Now we look at How Basic Individual Differences Affect Employee Performance and Satisfaction. Employee s Performance and Satisfaction is Affected by his/her ABILITIES and BIOGRAPHICAL CHARACTERISTICS

FOUNDATIONS OF INDIVIDUAL BEHAVIOR

ABILITY
An Individual s Capacity to Perform the various Tasks in a Job. -What one can do at this point of time INTELECTUAL ABILITY PHYSICAL ABILITY

INTELECTUAL ABILITY

-Mental ActivitiesTHINKINGREASONINGPROBLEM SOLVING

FOUNDATIONS OF INDIVIDUAL BEHAVIOR

INTELECTUAL ABILITY -SMART PEOPL:
LEADERS OF GROUPS -IQ TESTS: Tools for measurement for Intellectual Ability SAT, GMAT, GRE etc.

FOUNDATIONS OF INDIVIDUAL BEHAVIOR

INTELECTUAL ABILITY
Seven (7) Dimensions 1. NUMBER APTITUDE
Speedy, Accurate Arithmetic

2. VERBAL COMPREHENSION Understand What is HEARD &

READ

3. Perceptual Speed Identify Visual Similarities &

Differences Quickly and Accurately

FOUNDATIONS OF INDIVIDUAL BEHAVIOR

INTELECTUAL ABILITY
Seven (7) Dimensions 4. INDUCTIVE REASONING
Identify Logical Sequence in Problem Solving

5. DEDUCTIVE RESONING
Use Logic for Implications of Argument 6.

SPATIAL VISUALIZATION
Ability to visualize Changed Position of an Object

7. MEMORY
Retaining, Recall : PAST EXPERIENCES

FOUNDATIONS OF INDIVIDUAL BEHAVIOR

INTELECTUAL ABILITY - Different Jobs require different Intellectual
Abilities Thus, High IQ may not be required for all jobs. - But people having Intellectual Abilities Perform Better in their Jobs INTELLIGENCE IS BETTER PREDICTOR OF PERFORMANCE Because: -Intelligent PeopleLearn Quickly More Adaptable to Change Invent Solutions to Problems

FOUNDATIONS OF INDIVIDUAL BEHAVIOR

INTELECTUAL ABILITY -Intelligent People Better Performers BUT Not Satisfied with the Job and More Critical in Evaluating Job Conditions THEY EXPECT MORE

FOUNDATIONS OF INDIVIDUAL BEHAVIOR

INTELECTUAL ABILITY
1. 2. 3. 4. Another way of looking at Intelligence Cognitive : AptitudesTraditional Intelligence Tests Social : Ability to Relate to Others Emotional : Identify- Understand-Manage EMOTIONS Cultural : Awareness of and Function in Cross Cultural Word

FOUNDATIONS OF INDIVIDUAL BEHAVIOR

INTELECTUAL ABILITY
Another way of looking at Intelligence LIMITATIONS -Measurement of Intelligence other than Cognitive NOT EASY -But all of these Factors Affect Person s Intelligence Level

FOUNDATIONS OF INDIVIDUAL BEHAVIOR

PHYSICAL ABILITIES

FOUNDATIONS OF INDIVIDUAL BEHAVIOR

ABILITY-JOB FIT Performance enhances with the increase in Ability-Job Fit Ability Requirements of Jobs, e.g., Pilot- Spatial Visualization Limitations of Job frustrates an able person

FOUNDATIONS OF INDIVIDUAL BEHAVIOR

BIOGRAPHICAL CHARACTERISTICS OB is concerned with Finding and Analyzing the Variables that have an Impact on Employee PRODUCTIVITY, ABSENCE, TURNOVER, DEVIANCE, CITIZENSHIP, SATISFACTION

FOUNDATIONS OF INDIVIDUAL BEHAVIOR

DATA about Biographical Characteristics is easily Definable and Readily Available in comparison to other Variables

BIOGRAPHICAL CHARACTERISTICS AGE : GENDER: RACE: TENURE:

FOUNDATIONS OF INDIVIDUAL BEHAVIOR

LEARNING
In order to Explain and Predict Behavior one needs to know HOW PEOPLE LEARN

Definition:
RELATIVE PERMANENT CHANGE IN BEHAVIOR THAT OCCURS AS A RESULT OF EXPERIENCE

FOUNDATIONS OF INDIVIDUAL BEHAVIOR

LEARNING If an individual behaves, reacts, responds as a result of EXPERIENE in a manner different from previous behaviorThen LEARNING has Taken Place Learning involves 1. CHANGE 2. PERMANENCY 3. EXPERIENCE

FOUNDATIONS OF INDIVIDUAL BEHAVIOR

1. CHANGE : (A) Favorable Behaviors (B) Unfavorable Behaviors 2. PERMANENCY: Long-lasting effect

3. EXPERIENCE: (A) Direct - Observation or Practice (B) Indirect - Reading

FOUNDATIONS OF INDIVIDUAL BEHAVIOR

THEORIES OF LEARNING

1. CLASSICAL CONDITIONING 2. OPERANT CONDITIONING 3. SOCIAL LEARNING

THEORIES OF LEARNING
CLASSICAL CONDITIONING Russian Physiologist- Ivan Pavlov- 1900s Unconditioned Stimulus Unconditioned Response Conditioned Stimulus Conditioned Response

FOUNDATIONS OF INDIVIDUAL BEHAVIOR

CLASSICAL CONDITIONING
When the Stimuli, One Unconditioned (Compelling) Other Neutral are PAIRED the Neutral Stimulus becomes CONDITIONED and thus, adapts the Properties of the Unconditioned Stimulus Learning a Conditioned Response involves building up ASSOCIATION between a Conditioned Stimulus and An Unconditioned Stimulus

FOUNDATIONS OF INDIVIDUAL BEHAVIOR

CLASSICAL CONDITIONING It is PASSIVE: --Classical Conditioning explains Simple Reflexive behavior. --Something HAPPENS and we REACT in a Specific Way --It is Elicited in Response to a specific Identifiable Event

FOUNDATIONS OF INDIVIDUAL BEHAVIOR

OPERANT CONDITIONING BEVIOR IS A FUNCTION OF ITS CONSEQUENCES --People learn to Behave to Get something they Want or To Avoid something they Don t Want --It is a Voluntary Behavior --Tendencies to Repeat such behavior; -Reinforcement -Lack of Reinforcement

FOUNDATIONS OF INDIVIDUAL BEHAVIOR

SOCIAL LEARNING
Learning through OBSERVATION and DIRECT EXPERIENCE Learning by Observing What Happens to Others - learning from Watching Models which may be: Showbiz personalities, Political Leaders, Film or TV Performers, Teachers, Parents

FOUNDATIONS OF INDIVIDUAL BEHAVIOR

SOCIAL LEARNING
INFLUENCE OF MODELS Following processes determine the Influence of Models on the Individuals 1. 2. 3. 4. ATTENTION PROCESS RETENTION PROCESS MOTOR REPRODUCTION PROCESS REINFORCEMENT PROCESS

FOUNDATIONS OF INDIVIDUAL BEHAVIOR

LEARNING
SHAPING BEHAVIOR Molding Individuals by Guiding their Learning in Gradual Steps Positive Reinforcement Negative Reinforcement Punishment Extinction

ATTITUDES and JOB SATISFACTION

EVALUATIVE STATEMENTS
FAVORABLE or UNFAVORABLE CONCERNING; PEOPLE, OBJECTS, EVENTS COMPONENTS OF ATTITUDE 1. COGNITIVE COMPONENT 2. AFFECTIVE COMPONENT 3. BEHAVIORAL COMPONENT