ORGANIZATIONAL BEHAVIOUR

By Dr. B. R. Shejwal

Organizational Behaviour
OB is the study and applications of knowledge about how people as individuals and as groups act within organizations.

Goals of Organization Behaviour

To describe: To understand: To predict: To control: how people behave under a variety of conditions? why people behave as they do? future employee behaviour. and develop human activity at work.

Elements of Organizational Behaviour

i. i. i. People : Organization exist to serve the people, rather than people exist to serve the organization. Structure: The formal relationship of people in organization. Technology: Technology allows people to do more and better work effectively. It also restricts people in various ways. Environment: Government,family,and other organizations are the larger parts of the environment.These interactions influence the attitudes of people and affect working conditions.

i.

Importance / Forces of O.B.

Globalization Work force diversity Quality and productivity People skill Empower people Coping with Temporariness Innovation Ethical Behaviour

Historical Background
Why study history? When I want to understand what is happening today or try to decide what will happen tomorrow, I look back.
Oliver Wendell Holmes

Historical Background
Early Practices

Adam Smith Charles Babbage Robert Owen Scientific management Administrative Theory Structural Theory Social man Theory The Magna Carta of Labor Human Relations Behvaioural Science Theories

The Classical Era

The Behavioral Era

Early Practices

Adam Smith Economist

In 1776, contribution to economic doctrine The Wealth of Nations. Talked about work of specialization, which lead to the development of assembly-line production in 20th century.

Charles Babbage British Mathematician

He proposed that the economies from specialization should be as relevant to doing mental work as physical labor.

Robert Owen Welsh Entrepreneur

In 1789, recognized how the growing factory system was demeaning to workers.

The Classical Era (1900-1930)

Scientific management Frederick Taylor during 1900, proposed Four principles of Management. Administrative Theory Henri Fayol proposed 14 principles of management. Structural Theory Max Weber, 6 points of Ideal Bureaucracy. Social man Theory Mary Parker Follett, Chester Barnard gave importance to the social aspects of organizations.

The Behavioral Era

The birth of the personnel office around 1900 and the creation of field of industrial psychology with the publication of Hugo Munsterbergs textbook in 1913.

The Behavioral Era

The people side of organizations came into its own in the 1930s, predominantly as a result of the Hawthorne studies. These studies led to a new emphasis on the human factor in organization and increased paternalism by management. In the late 1950s managers attention was caught by the ideas of people such as Abraham Maslow and Douglas McGregor, who proposed that organization structures and management practices had to be altered so as the bring out the full productive potential offered by David McClelland, Fred Fiedler, Frederick Herzberg, and other behavioral scientists during the 1960s to 1970s provided managers with still greater insights into employee behavior.

Fundamental Concepts of OB
A) B)

Nature of people Nature of organization

A) Nature of people
(i) (ii)

Individual differences: Unique person Individual experiences Perception: Behaviour of an individual is largely result of the way one perceives oneself and the world around him at any given moment A whole person: Personal life is not separable from work life. Motivated Behavior: Motivation is essential to the operation of organization Involvement: Provide opportunities for meaningful involvement in activities Value of a person (ethical treatment): People want to be treated with respect and dignity by employers

(iii) (iv) (v) (vi)

B) Nature of organization Social system: Formal social system and Informal social system (ii) Mutual interest: Mutuality of interest among participants of organizations
(i)

Models of Organizational Behaviour

Models of O.B.
Feudal Model Autocratic Model Custodial Model Supportive Model Collegial Model Human Value Model

Feudal Model
This model depends on the owner-Hire and Fire principleCarrot (Money) and stick (Threat of retrenchment) approach for motivationFear psychosis among employees

Autocratic Model
The model depends on power i.e. authority or bossDisobedient employees penalized-Authority delegated by right to command over people-It assumes that employees have to be directed, persuaded and pushed into performance-Management believes that it knows what is best-Employees depend on their own authority figures;but they do not respect them-Employees feel insecurity, frustration and aggression-The employees can not express their genuine aggression feeling towards their boss, instead they express these negative emotions in their families and communities.

Custodial Model
This model depends on the organization, rather than on the boss-Owners and managers are considered custodians of resources- Management looks after the welfare of the employees to a certain extent-Employees are allowed to redress their problems-Security needs of employees are metEmployees are happy and contented; but not strongly motivated and hence gives only passive cooperationEmployees do not utilize their full potential because employees values , preferences and attitudes are not given due consideration.

Supportive Model
This model depends on leadership-Through effective leadership, management provides climate to grow and accomplish employees capabilities. Leaders use the attitudes and values of the employees for motivating them. Employees participate and involve in activities of the organization. We feeling is created among employees. Status and recognition needs of employees are met

Collegial Model
This model depends on a feeling of partnership between management and employees- Managers are as joint contributors rather than bosses. Managers are co-workers. Managerial orientation is towards team work. Sense of responsibility is created among employees. Selfactualization and fulfillment needs of employees are met. Outcome of this approach is cultivation of self-discipline among employees.

Human Value Model

In this model, Behaviour and consequences are observed- People work in organization, in addition to economic needs, for fulfilling their social and psychological needs- It is briefly known as SOBC model (Stimulus, Organism, Behaviour and Consequences)The SO portion deals with the understanding of behaviour and the BC portion deals with prediction and control of behaviour- The stimuli may be physical, social, cultural and technological.

THANK YOU..