ORGANIZATIONAL BEHAVIOUR

CHANDAN KUMAR Lecturer OB/HR Area Dept. Of Computer Applications National Institute of Technology(NIT) Jamshedpur

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Organization
 Organization : A consciously coordinated social unit composed of a group of people functioning on a relatively continuous basis to achieve a common goal or set of goals.

 Organization Behavior : It is a field of study that investigates the impact of individuals, groups, and structure on behavior within organizations; the aim is to apply such knowledge toward improving organizational effectiveness.
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Why to Study OB

 To learn about yourself and others.  To understand how the organizations work.  To become familiar with aspects related to groups and teams.  To help you think about the people issues Which you may come across as a manager/ employee in non managerial role .  This apart even in the informal interactions also OB applies in many situations where you interact with others- when you are travelling, go for shopping, in school, or in social gatherings.
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Key forces affecting organizational behavior

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Levels of Analysis

Organizational Level

Group Level

Individual Level

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Levels of Analysis  Individual Level: The level of analysis at individual level is more related to the study of aspects like learning, perception, creativity, motivation, personality, turnover, task performance, cooperative behavior, deviant behavior, ethics, and cognition.  Group Level: The group level of analysis involves the study of group dynamics, intra- and intergroup conflict and cohesion, leadership, power, norms, interpersonal communication, networks, and roles.  Organizational Level: The organization level of analysis covers the topics such as organizational culture, organizational structure, cultural diversity, inter-organizational cooperation and conflict, change, technology, and external environmental forces.

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Fundamental concept
The nature of people

The nature of organization Social systems Mutual Interest

Individual difference

Perception

A whole person

Ethics

Motivated behavior Desire for involveme nt Value of the person

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Management Functions

Planning

Organizing

Management Functions
Controlling Leading

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Management Functions (contd) Planning

A process that includes defining goals, establishing strategy, and developing plans to coordinate activities.

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Management Functions (contd) Organizing (Designing Structure)

Determining what tasks are to be done, who is to do them, how the tasks are to be grouped, who reports to whom, and where decisions are to be made.

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Management Functions (contd) Leading (Directing and coordinating people)

A function that includes motivating employees, directing others, selecting the most effective communication channels, and resolving conflicts.

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Management Functions (contd) Controlling

Monitoring activities to ensure they are being accomplished as planned and correcting any significant deviations.

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Managerial Roles

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Managerial Roles (contd)

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Managerial Roles (contd)

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Management Skills
Technical skills
The ability to apply specialized knowledge or expertise Formal training on the job experience

Human skills
The ability to work with, understand, and motivate other people, both individually and in groups-Most technically proficient

Conceptual Skills
The mental ability to analyze and diagnose complex situations. Mostly used in decision making
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Effective Versus Successful Managerial Activities

1. Traditional management
Decision making, planning, and controlling

2. Communication
Exchanging routine information and processing paperwork

3. Human resource management

Motivating, disciplining, managing conflict, staffing, and training

4. Networking
Socializing, politicking, and interacting with others
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Allocation of Activities by Time

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Toward an OB Discipline

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Contributing Disciplines to the OB Field

Psychology
The science that seeks to measure, explain, and sometimes change the behavior of humans and other animals.

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Contributing Disciplines to the OB Field (contd)

Sociology
The study of people in relation to their fellow human beings.

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Contributing Disciplines to the OB Field (contd)

Social Psychology
An area within psychology that blends concepts from psychology and sociology and that focuses on the influence of people on one another.

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Contributing Disciplines to the OB Field (contd)

Anthropology
The study of societies to learn about human beings and their activities.

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Contributing Disciplines to the OB Field (contd)

Political Science The study of the behavior of individuals and groups within a political environment.

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Challenges and Opportunities for OB

 Responding to Globalization
Increased foreign assignments Working with people from different cultures Coping with anti-capitalism backlash Overseeing movement of jobs to countries with lowcost labor

 Managing Workforce Diversity

Embracing diversity Changing U.S. demographics Implications for managers
Recognizing and responding to differences

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Challenges and Opportunities for OB (contd)

 Improving Quality and Productivity
Quality management (QM) Process reengineering

 Responding to the Labor Shortage

Changing work force demographics Fewer skilled laborers Early retirements and older workers

 Improving Customer Service

Increased expectation of service quality Customer-responsive cultures

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What Is Quality Management? 1. Intense focus on the customer. 2. Concern for continuous improvement. 3. Improvement in the quality of everything the organization does. 4. Accurate measurement. 5. Empowerment of employees.

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Improving Quality and Productivity

 Quality management (QM)
The constant attainment of customer satisfaction through the continuous improvement of all organizational processes. Requires employees to rethink what they do and become more involved in workplace decisions.

 Process reengineering
Asks managers to reconsider how work would be done and their organization structured if they were starting over. Instead of making incremental changes in processes, reengineering involves evaluating every process in terms of its contribution.
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Challenges and Opportunity for OB (contd)

 Improving People Skills  Empowering People  Stimulating Innovation and Change  Coping with Temporariness  Working in Networked Organizations  Helping Employees Balance Work/Life Conflicts  Improving Ethical Behavior

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Basic OB Model, Stage II

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Motivation
 Motivation

The processes that account for an individual s intensity, direction, and persistence of effort toward attaining a goal.

Key Elements 1. Intensity: how hard a person tries 2. Direction: toward beneficial goal 3. Persistence: how long a person tries
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Hierarchy of Needs Theory (Abraham Maslow)

 Hierarchy of Needs Theory

There is a hierarchy of five needs physiological, safety, social, esteem, and selfactualization; as each need is substantially satisfied, the next need becomes dominant.

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Hierarchy of Needs Theory(Contd.)

 Physiological: Hunger, thirst, sex, other bodily needs  Safety: Security and protection from physical and emotional harm  Social: Affection, belongingness, acceptance, friendship  Esteem: Includes internal esteem factors self-respect, autonomy, achievement; external esteem factors status, recognition, attention  Self-actualization: The rive to become what one is capable of becoming; includes growth, achieving ones potential, and self-fulfillment

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Maslows Hierarchy of Needs

Lower-Order Needs
Needs that are satisfied externally; physiological and safety needs (pay, union contracts, tenure).

Higher-Order Needs
Needs that are satisfied internally; social, esteem, and self-actualization needs.
No need ever fully gratified Focus on what level the person currently is on Satisfy the need above that level

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Two-Factor Theory (Frederick Herzberg)

Two-Factor (Motivation-Hygiene) Theory Intrinsic factors are related to job satisfaction, while extrinsic factors are associated with dissatisfaction. Hygiene Factors Factors such as company policy and administration, supervision, and salary that, when adequate in a job, placate workers. When factors are adequate, people will not be dissatisfied.

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Comparison of Satisfiers and Dissatisfiers

Factors characterizing events on the job that led to extreme job dissatisfaction

Factors characterizing events on the job that led to extreme job satisfaction

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Contemporary Theories of Motivation

 ERG Theory ( Clayton Alderfer)

There are three groups of core needs: existence, relatedness, and growth.

Core Needs Existence: provision of basic material requirements. Relatedness: desire for relationships. Growth: desire for personal development.
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Concepts: More than one need can be operative at the same time. If a higher-level need cannot be fulfilled, the desire to satisfy a lowerlevel need increases.
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Work Performance
Job Characteristics Model Identifies five job characteristics and their relationship to personal and work outcomes. Characteristics: 1. Skill variety 2. Task identity 3. Task significance 4. Autonomy 5. Feedback

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Work Performance(Contd)
 Job Characteristics Model
Jobs with skill variety, task identity, task significance, autonomy, and for which feedback of results is given, directly affect three psychological states of employees:
Knowledge of results Meaningfulness of work Personal feelings of responsibility for results

Increases in these psychological states result in increased motivation, performance, and job satisfaction.

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Work Performance(contd)
Skill Variety The degree to which a job requires a variety of different activities. Task Identity The degree to which the job requires completion of a whole and identifiable piece of work. Task Significance The degree to which the job has a substantial impact on the lives or work of other people.
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Work Performance(Contd)
Autonomy The degree to which the job provides substantial freedom and discretion to the individual in scheduling the work and in determining the procedures to be used in carrying it out.

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Work Performance(Contd)
Feedback The degree to which carrying out the work activities required by a job results in the individual obtaining direct and clear information about the effectiveness of his or her performance.

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Performance Dimensions

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Leadership
 Leadership: Ability to influence a group toward achievement of goals or "Leadership is the lifting of mans visions to higher sights, the raising of man's performance to a higher standard, the building of man's personality beyond its normal limitations.

Note: Theories that consider personality, social, physical, or intellectual traits to differentiate leaders from non leaders.

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Management Vs Leadership
*Management
 Mangers have subordinates.  Managers administer  Managers demand  Managers maintain  Managers focus on systems  Managers strives for control  Managers have short-term view.  Managers are focused on the bottom line.
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*Leadership
Leaders have followers. Leaders innovate. Leaders command. Leaders develop. Leaders focus on people.  Leaders inspire trust.  Leaders have a longterm goal.  Leaders are focused on potential.
    

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The Leadership Grid

1,9 9,9

5,5

1,1

9,1

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The Leadership Grid (Contd)

 1. The impoverished style (1, 1). The indifferent Leader (Evade & Elude)  2.The country club style (1, 9). The accommodating Leader (Yield & Comply)  3.The produce or perish style (9, 1). The Controlling Leader (Direct & Dominate)  4.The middle-of-the-road style (5, 5). The Status Quo Leader. (Balance & Compromise)  5.The team style (9, 9). The Sound / Team Leader (Contribute & Commit)

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Leader Behaviors
1. Directive Leader What followers to do, work schedules, specific guidance to accomplish tasks 2. Supportive Leader: friendly, concern for followers needs 3. Participative Leader consults, uses suggestions before decisions 4. Achievement oriented Leader sets challenging goals, highest performance level Leaders flexible can display one or all behaviors based on situation
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The Path Goal Theory

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The Path Goal Theory(Contd)

Predictions based on path-goal theory:  Directive leadership leads to greater satisfaction when tasks ambiguous or stressful than when highly structured and well laid out  Supportive relationship results in high performance and satisfaction when employees performing structured tasks

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