Organization Behavior

Where Managers Work

What Managers Do

Managerial
ManagerialActivities
Activities
• •Make decisions
Make decisions
• •Allocate resources
Allocate resources
• •Direct activities of others to attain
Direct activities of others to attain
goals
goals
Organization?

Behaviour?
 Organization

A collection of two or more people who work

together and coordinate their actions to
achieve individual and organizational goals.
 Behaviour
Behaviour is a way of action. It is
the behaviour of the people
working in an organization to
achieve common goals or
objectives.
Organizational Behavior
Thus Organizational Behavior……..

Insert Figure 1.1 here

Goals of Organizational Behavior

Understand
organizational
events

Organizational
Behavior
Influence Predict
organizational organizational
events events
 Contributing toward an OB Discipline

Psychology
Social Psychology
Sociology
Anthropology
Political Science
Contributing toward an OB Discipline
Contributing toward an OB Discipline
Sociology studies people in relation to –

• their social environment and

• culture
Contributing toward an OB Discipline
Contributing toward an OB Discipline
Contributing toward an OB Discipline
Challenges and Opportunities for OB
• RESPONDING TO GLOBALIZATION
– Increased foreign assignments
– Working with people from different cultures
– Overseeing movement of jobs to countries with low-cost
labor
• MANAGING WORKFORCE DIVERSITY
– Embracing diversity
– Changing demographics
– For management practices, employee retention and greater
productivity, Recognizing and responding to differences
Challenges and Opportunities for OB
Major Workforce Diversity Categories
Gender
Gender
National
National
Disability
Disability Origin
Origin

Age
Age
Religion
Religion
Race
Race
Domestic
Domestic
Partners
Partners
Sexual
Sexual
orientation
orientation
Challenges and Opportunity for OB
• 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
 Challenges and Opportunity for OB

• Improving People Skills

• Empowering People
• Coping with “Temporariness”
• Stimulate Innovation and tolerance
• Helping Employees Balance Work/Life Conflicts
• Creating positive environment
• Improving Ethical Behavior
 Basic assumptions of OB
• Individuals are different
• Individual- a whole person outlook
• Behavior is caused
• Value people
• Organization is a social system
• Mutuality of interests
 Emerging Trends in OB
From
Closed system
Materialistic orientation
Centralized power
Extrinsic motivation
Negative attitude about
people
Focus on organizational needs
Imposed discipline
Authoritative managerial role
To
Open system
Human orientation
Distributed power
Intrinsic motivation
Positive attitude about people
Balance focus on employee
and organizational needs
Self and team support
discipline
Managerial role of leadership
 OB Model- the Variables

• Independent Variable
• Dependent Variable
IV Effect
Causes IV
IV
IV DV
IV
IV
The Dependent Variables
 The Independent Variables

Independent
Independent
Variables
Variables

Individual-Level Group-Level Organization

Organization
Individual-Level Group-Level System-Level
Variables
Variables Variables
Variables System-Level
Variables
Variables
 The independent variables of OB MODEL

• Independent Variables :
– Individual level variables: Biographical
characteristics, ability, value, attitudes, personality,
learning, perception and emotions. Etc.
– Group level Variables: Group communication,
leadership, conflict, work teams, power conflict,
group structures, group decision-making
– Organizational level variables: HR Practices, policies,
organizational structure and design, organization
culture
 The dependent variables of OB MODEL

• Dependent Variables :
– Productivity
– Absenteeism
– Turnover
– Deviant workplace behavior
– Organizational Citizenship Behavior
– Job satisfaction
OB Model
 Determinants of OB

• Beliefs
• Attitudes
• Values
• Emotions
 Beliefs

• Ideas about someone or something and the

conclusion people draw about them.
 Attitudes

• Collection of beliefs, feelings, and behavioral

components.
• Evaluative statements or judgments
concerning objects, people or events
 Components of an Attitude
1. Cognitive Component of an Attitude
– The opinion on belief segment of an attitude
2. Affective Component of an Attitude
– Affect is the emotional or feeling segment of an
attitude
– It sets the stage for the more critical part of an
attitude
3. Behavioral Component of an Attitude
– It refers to an intention to behave in a certain
way toward someone or something
 Types of Attitudes in OB

• Job Satisfaction
• Job Involvement
• Organizational Commitment
 Values
• Value is the basic convictions that a specific
mode of conduct or end-state of existence is
personally or socially preferable to an opposite
or converse mode of conduct or end-state of
existence
 Types of Values
1. Terminal Values
2. Instrumental Values

• People in the same occupations or categories

tend to hold similar values
Terminal Values

• These are values that we think are most important or most desirable.
• These refer to desirable end states of existence, the goals a person
would like to achieve during his or her lifetime.
• They include happiness, self-respect, recognition, inner harmony,
leading a prosperous life, and professional excellence.

Instrumental Values

• Instrumental values deal with views on acceptable modes of conduct

or means of achieving the terminal values.
• These include being honest, sincere, ethical, and being ambitious.
These values are more focused on personality traits and character.
 Values Across Cultures

• Values differ across cultures