MGT 221: Organizational Behavior

Dr. Shahid Mir,

Post Doc. (Fulbright Scholar), PhD, MBA, BE,
Assistant Professor,
Teacher, Researcher, Trainer, Consultant,
Chairman, Procurement Committee,
Ex-Director QEC, Ex. Chairman, Department of Management,
Ex-Testing In-charge, Ex-Students Counselor,
Institute of Business Administration, Karachi
Certified: SECP Board Director, SPPRA, ISO 9000
Master Trainer LUMS/McGill/CIDA, USAID, Sindh PPRA
smir@iba.edu.pk; 0336-8337869
Course Outline:

• Course Outline V1.1.docx

Chapter 1: Learning Objectives
After studying this chapter you should be able to:
• Define organizational behavior (OB).
• Describe the manager‘s functions, roles and skills.
• Identify the major behavioral science disciplines that
contribute to OB.
• Identify the challenges and opportunities managers have
in applying OB concepts.
• Compare the three levels of analysis in this book‘s OB
model.
Psychology, Human Behavior and
Organizational Behavior
• Psychology is the scientific study of the human mind and
its functions, especially those affecting behaviour in a
given context.
• The mental characteristics or attitude of a person or
group.
• Human behavior is the potential and expressed capacity
(mentally, physically, and socially) of human individuals or
groups to respond to internal and external stimuli
throughout their life.
• Organizational behavior describes how people interact
with one another inside of an organization, such as a
business. These interactions subsequently influence how
Define “Organizational Behavior”
(OB)
• Organizational Behavior is a field of study that
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.

Copyright © 2013 Pearson Education 1-6

Levels of Analysis

Organizational Level
e.g., Selection Systems
Group Level
e.g., Groupthink
Group Level
Individual
Level
e.g., Personality
Organizational Behavior
• The study of individual behavior and group dynamics in
organizations/situations:

“A field of study that 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”

• Understand
• Predict
• Manage
 Insert Exhibit 1.3

Copyright © 2013 Pearson Education 1-9

What is an Organization?

A social unit of people that is structured and managed to

meet a need or to pursue collective goals. All organizations
have a management structure that determines relationships
between the different activities and the members, and
subdivides and assign roles, responsibilities, and authority
to carry out different tasks.

Organizations are open systems--they affect and are

affected by their environment.
Manager’s Functions, Roles and Skills

• Manager: Someone who gets things done through other

people in organizations.
• Organization: A consciously coordinated social unit
composed of two or more people that functions on a
relatively continuous basis to achieve a common goal or
set of goals.
• Planning, organizing, leading, and controlling are the most
often studied.
• Mintzberg concluded that managers perform ten different,
highly interrelated roles or sets of behaviors attributable
to their jobs.
 Effective Versus Successful Managerial
Activities
Luthans and associates found that all managers engage in
four managerial activities.
• Traditional management: Decision making, planning,
controlling.
• Communication: Exchanging and processing information.
• Human resource management: Motivating, disciplining,
managing conflict, staffing and training.
• Networking: Socializing, politicking, and interacting with
Copyright © 2013 Pearson Education 1-13

outsiders.
Effective Versus Successful Managerial
Activities

Insert Exhibit 1.2

Copyright © 2013 Pearson Education 1-14

Demonstrate the Importance of
Interpersonal Skills in the Workplace
• Understanding OB helping to determine manager
effectiveness
• Leadership and communication skills that are critical as a
person progresses in a career
• Lower turnover of quality employees
• Higher quality applications for recruitment
• Better financial performance
Three Levels of Analysis in This
Book’s OB Model

Copyright © 2013 Pearson Education Exhibit 1-4 1-28

 Three Levels of Analysis in This OB
Model
Inputs
• Inputs are the variables like
personality, group structure, and
organizational culture that lead to
processes.
• Group structure, roles, and team
responsibilities are typically assigned
immediately before or after a group
is© formed.
Copyright 2013 Pearson Education
 Three Levels of Analysis in OB Model

Processes
• If inputs are like the nouns in
organizational behavior, processes
are like verbs.
• Processes are actions that
individuals, groups, and organizations
engage in as a result of inputs and
that lead to certain outcomes.
Three Levels of Analysis in OB Model

Outcomes
• Outcomes are the key variables
that you want to explain or
predict, and that are affected by
some other variables.