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Introduction to Organisational
Behavior
Who is a Manager & What Managers Do ?

Managerial Activities
Make decisions
Allocate resources
Direct activities of others to
attain goals
Where Managers Work
Four Functions of Management
Planning

Organizing

Decide on organizational goals
and allocate and use
resources to
achieve those goals

Establish the rules and
reporting relationships that
allow people to
achieve organizational goals

Controlling

Evaluate how well the
organization is achieving goals
and take action to
maintain, improve, and correct
performance

Leading

Encourage and coordinate
individuals and groups
so that they work
toward organizational goals
Management Functions (cont’d)
Management Functions (cont’d)
Management Functions (cont’d)
Management Functions (cont’d)
Managerial Skills

Conceptual Skills

Technical Skills

Human Skills
Managerial Skills
What is Organizational Behavior?

Insert Figure 1.1 here
Complementing Intuition with
Systematic Study
Intuition
“Gut” feelings about “why I do what I do” and “what makes
others tick”

Systematic Study
Looking at relationships, attempting to attribute causes
and effects, and drawing conclusions based on scientific
evidence

Provides a means to predict behaviors
Organisational Behavior Defined :
• Organisational Behavior is concerned with the
understanding, prediction and control of
human behavior in organisation/s.
Features of Organisational Behavior :
• It is the study of human behavior in
organisation.
• Knowledge of human behavior helps in
improving organisational effectiveness and
efficiency.
Elements of Organisational Behavior :
There are three basic elements of the
organisation namely:
• People
• Structure
• Technology
Relation between the three Elements :
Levels of Organizational Behavior :
Goals of Organisational Behavior at
Different Levels :
• Organisational Level : Culture, Change

Management, Financial Performance, Customer
Satisfaction & Retention.

• Group Level : Group performance, Information
Sharing, Cross-functional Partnerships, Conflict
Management, Leadership, Power & Politics.

• Individual Level : Perception,Performance,
Personality,Attitude & Motivation.
Fundamental Concepts of Organisational
Behavior : Basic Assumptions
• Nature of People :
 Individual Difference
 A whole person
 Caused Behavior
 Value of the person

• Nature of Organisation :
 Social System
 Mutual Interest
Contributing Disciplines to the OB Field
Contributing Disciplines to the OB Field
(cont’d)
Contributing Disciplines to the OB Field
(cont’d)
Contributing Disciplines to the OB Field
(cont’d)
Contributing Disciplines to the OB Field
(cont’d)
Towards an OB Discipline
Behavioural
science

Psychology

Sociology

Contribution
Learning
Motivation
Perception
Training
Leadership effectiveness
Job satisfaction
Individual decision making
Performance appraisal
Attitude measurement
Employee selection
Work design
Work stress

Individual

Group

Behavioural change
Attitude change
Communication
Group processes
Group decision making
Comparative values
Comparative attitudes
Cross-cultural analysis

Anthropology
Organizational culture
Organizational environment

Political science

Output

Group dynamics
Work teams
Communication
Power
Conflict
Intergroup behaviour
Formal organization theory
Organizational technology
Organizational change
Organizational culture

Social psychology

Unit of
analysis

Conflict
Intraorganizational politics
Power

Organization
system

Study of
Organizational
Behaviour
An Open Systems View of Organizational
Behavior
A Social Learning Approach to OB
Models of OB
Facets

AUTOCRATIC

CUSTODIAL

SUPPORTIVE

COLLEGIAL

Model depends Power
on

Economic
Resources

Leadership

Partnership

Managerial
Orientation

Authority

Money

Support

Team Work

Employee
Orientation

Obedience

Security

Job
Performance

Responsibility

Employee
Psychological
Result

Dependence
on Boss

Dependence
on
Organisation

Participation

Self Discipline

Employee
Needs Met

Subsistence

Maintenance

Higher Order

Self
Actualisation

Performance
Result

Minimum

Passive
Co-operation

Awakened
Drives

Moderate
Enthusiasm
Historical Development of OB
The predecessors of OB are :
• Industrial Psychology
• Scientific Management Movement
• Human Relations Movement
Historical Development of OB (cont.)
• Industrial Psychology : It is simply the
application or extension of psychological facts
& principles concerning human beings
operating within the context of business &
industry. Group testing, trade testing, rating
scales, personality inventories are all its
contribution which came into existence with
the formation of APA (American Psychological
Association)
Historical Development of OB (cont.)
• Scientific Management Movement : Fredrick
Winslow Taylor advocated the concept of
parity of wages, selection of right man for
right job, maximum output with minimum
wastage etc. he insisted upon supervisory
training to make supervisor a strong link
between management & non – management
group/s.
Historical Development of OB (cont.)
• Human Relations Movement : According to
Fred Luthans, three events cumulatively
ushered in the era of human relations
movement. These are :
 The Great Depression
 Rise of Trade Unionism
 The Hawthorne Experiments
Historical Development of OB (cont.)
 The Hawthorne Experiments have been
segmented into following broad categories :
 Illumination Experiments (1924-1927)
 Relay Room Experiments (1927-1932)
 Bank Wiring Room Experiment (1931-1932)
 Mass Interview Program (1928-1930)
Historical Development of OB (cont.)
• The discipline of OB came to be recognised as
a field of study around 1950. OB studies not
only the human behavior within the
parameters of the organisation but also the
group dynamics. OB studies the external
environment which influences the human
behavior within the organisation. That is why
OB takes cognizance of TQM, TPM, BPR or for
that matter, any new concept originating in
the external environment.
A Paradigm Shift
The term ‘Paradigm’ is used to mean a broad
model, a framework, a way of thinking or a
scheme for understanding reality.
Joel Barker defined Paradigm as :
“A paradigm simply establishes the rules,
defines the boundaries & tells one how to
behave within the boundaries to be
successful.”
A Paradigm Shift
 Paradigms powerfully influences our
perceptions of the world around us.
 We like our current paradigms & therefore
resist change.
 Outsiders are more effective at introducing
paradigms (new ones) to us.
 Early adopters of new paradigms must often
do so on faith & not on facts
 New paradigms give us new ways of viewing
the world & solving problems
Management Challenges
•
•
•
•
•
•
•
•

Globalization
Technical Innovation & Change
Quality Revolution
Workforce Diversity
Employee Empowerment
Facilitating Work Life Balance
Maintenance of Work Ethics & Culture
Corporate Reorganisation
Challenges Faced by Different Levels at
Workplace
Organizational Level
•
•
•
•

Productivity
Developing Effective Employees
Global Competition
Managing in the Global Village

Group Level
•
•

Working With Others
Workforce Diversity

Individual Level
•
•
•

Job Satisfaction
Empowerment
Behaving Ethically

Workplace
Challenges and Opportunity for OB
•
•
•
•
•

Responding to Globalization
Managing Workforce Diversity
Improving Quality and Productivity
Responding to the Labor Shortage
Improving Customer Service
Challenges and Opportunity for OB
(cont’d)
•
•
•
•
•

Improving People Skills
Empowering People
Coping with “Temporariness”
Stimulation Innovation and Change
Helping Employees Balance Work/Life
Conflicts
• Improving Ethical Behavior
Emerging Trends/ Concerns in OB
• Cultural Diversity & Team Work
• Ethical Management & Corporate Social
Responsibility (CSR)
Organisation & Environment
• The environment of any organisation is “the
aggregate of all conditions, events &
influences” that surround and affect it.
Components of Organisational
Environment
Organisational Environment can be broadly
classified into following categories :
• Internal Environment
• External Environment
External General Environment
External Operating Environment
Components of Internal Environment
• Internal Environment :
Organisational Aspect
Personnel Aspect
Production Aspect
Marketing Aspect
Financial Aspect
Components of External Environment
• External Environment :
 External Operating Environment :
Supplier Component
Customer Component
Labor Component
Competition Component
International Component
Components of External Environment
• External Environment:
 External General Environment :
Economic Component
Demographic Component
Technological Component
Legal Component
Political Component
Social Component
Environmental Analysis
Role of Environmental Analysis in
Organisation
The role of environmental analysis vary
drastically from organisation to organisation,
however, the basic role played by it are as
under:
• Function Oriented Role: Its main purpose is to
improve organisational performance by
providing environmental information
concerning effective performance of specific
organisational functions.
Role of Environmental Analysis in
Organisation
• The Integrated Strategic Planning Role: Its
main purpose is to improve organisational
performance by making top managers &
divisional managers aware of the issue that
arises in organisation’s environment, by
having a direct impact on planning & by
linking corporate & divisional planning.
Role of Environmental Analysis in
Organisation
• The Policy Oriented Role : Its main purpose is
to improve organisational performance by
simply keeping top management informed
about major trends emerging in the
environment. It is basically unstructured,
indirect & informal.
Strategies for Managing Environment
•
•
•
•
•
•
•
•
•

Proper recruitment & selection
Organisational image building through advertising.
Proper domain choice & domain change
Contracting
Smoothening
Lobbying
Vertical integration
Buffering
Strategic alliances/ mergers/ acquisitions
OB: Cognitive Framework
The cognitive framework determines a
person’s deliberate or conscious efforts
towards acquiring knowledge.
‘Cognition’ the basic unit of cognitive
framework can be defined as an act of
knowing an item of information. It involves a
person’s higher mental processes. Edward
Toleman is being credited for the evolution of
cognitive framework.
OB: Behavioristic Framework
• The roots of behavioristic framework could be
traced back to the research work of Ivan
Pavlov & B.F Skinner
OB: Behavioristic Framework
• Classical Conditioning/ Reflexive
Conditioning: Ivan Pavlov emphasized the S-R
(Stimulus- Response) approach. Learning is
building up association between
Unconditioned Stimulus (UCS) & Conditioned
Stimulus (CS). The experiment is conducted in
three stages:
OB: Behavioristic Framework
• Stage I: Pre-conditioning:
UCS
–
(Meat Powder)
CS
(Bell)

–

UCR
(Salivation)
No Response
OB: Behavioristic Framework
• Stage II: During Conditioning :
CS + UCS
(Bell)
(Meat Powder)

UCR
(Salivation)

(The activity is done repeatedly over a period
of time.)
OB: Behavioristic Framework
• Stage III: Post Conditioning :
CS
CR
(Bell)
(Salivation)
UCS: Unconditioned Stimulus (Meat Powder)
UCR: Unconditioned Response (Salivation)
CS: Conditioned Stimulus (Bell)
CR: Conditioned Response (Salivation)
OB: Behavioristic Framework
• Operant Conditioning/Instrumental
Conditioning: B.F Skinner proposed the theory
of operant conditioning emphasizing R-S
(Response-Stimulus) approach. It is basically
presumed that a person’s behavior is
determined by environment & individual
learns by producing alteration in their
environment.
OB: Behavioristic Framework
It presupposes that human beings explore
their environment (out of curiosity) &
thereafter act upon it. Reinforcement is given
only when a correct response is made.
(Most behavior in organisation are learnt
controlled & are altered by the
consequences, by manipulating
reward system.)
OB: Social Cognitive Framework
The social cognitive framework of
organisational behavior discusses the two
major concerns:
• Knowledge Management
• Emotional Intelligence
OB: Social Cognitive Framework
• Knowledge Management: It’s the collection
of processes that govern the creation,
dissemination & utilization of knowledge. It
requires :
 Establishing a strategy.
 Redesigning the organisational structure.
 Reshaping the organisational culture.
Elements of Knowledge Management
Knowledge
Acquisition

Knowledge
Sharing

 Individual learning

 Training

 Sense making

 Environmental
scanning

 Communication

 Knowledge
awareness
 Empowerment

 Grafting
 Experimentation

 Rewards
OB: Social Cognitive Framework
• Emotional Intelligence: It refers to the
assortment of non-cognitive skills, capabilities,
competencies that influences a person’s
ability to succeed in coping with
environmental demands & pressures. The
concept has been devised by Daniel Goleman.
OB: Social Cognitive Framework
• Emotional Intelligence: It is composed of five
dimensions:

 Self Awareness: awareness of one’s own feelings.
 Self Management: ability to manage one’s emotions &

impulses.

 Self Motivation: ability to persist in the face of

setbacks & failures.
 Empathy: ability to sense how others are feeling.
 Social Skills: ability to handle other’s emotions.
OB: Social Cognitive Framework
The assessment and analysis of emotional
intelligence is represented as a measure/
value of EQ (Emotional Quotient)
QUESTIONS
Review
• Discuss the contribution of different
disciplines in the study of OB?
• Discuss the fundamental concepts of OB.
• Why should a manager know about this
domain of knowledge?
• Contrast formal versus informal organization.
• What are the three basic elements of an
organization?
Review
• Discuss Hawthorne Studies?
• What is Scientific Management Movement?
• Describe 3 challenges facing managers today;
why are they considered as “challenges”?
• What is Emotional Intelligence & how is it
important in work organisation ?
• Discuss the role of Knowledge Management in
an organisation.
Review
• “Organisations differ in their nature”. In the
light of this statement discuss various models
of OB.
• Discuss the purpose & role of environmental
analysis in an organisation.
• “OB represents interaction among individual,
group & the organisation”. Elucidate this
statement.
Review
•




•





The Hawthorne Experiment heralded the:
Management approach
Group Work approach
Human Relations Approach
Organisational Behavior Approach
OB as a discipline now has a fairly strong presence in the
study of management because:
It borrows extensively from other behavioral sciences
It has a strong emphasis on studying human behavior to
harness it in enhancing organisational effectiveness
It helps in changing organisations
It leads to better people management
THANK YOU

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Unit i intro to ob

  • 2. Who is a Manager & What Managers Do ? Managerial Activities Make decisions Allocate resources Direct activities of others to attain goals
  • 4. Four Functions of Management Planning Organizing Decide on organizational goals and allocate and use resources to achieve those goals Establish the rules and reporting relationships that allow people to achieve organizational goals Controlling Evaluate how well the organization is achieving goals and take action to maintain, improve, and correct performance Leading Encourage and coordinate individuals and groups so that they work toward organizational goals
  • 11. What is Organizational Behavior? Insert Figure 1.1 here
  • 12. Complementing Intuition with Systematic Study Intuition “Gut” feelings about “why I do what I do” and “what makes others tick” Systematic Study Looking at relationships, attempting to attribute causes and effects, and drawing conclusions based on scientific evidence Provides a means to predict behaviors
  • 13. Organisational Behavior Defined : • Organisational Behavior is concerned with the understanding, prediction and control of human behavior in organisation/s.
  • 14. Features of Organisational Behavior : • It is the study of human behavior in organisation. • Knowledge of human behavior helps in improving organisational effectiveness and efficiency.
  • 15. Elements of Organisational Behavior : There are three basic elements of the organisation namely: • People • Structure • Technology
  • 16. Relation between the three Elements :
  • 18. Goals of Organisational Behavior at Different Levels : • Organisational Level : Culture, Change Management, Financial Performance, Customer Satisfaction & Retention. • Group Level : Group performance, Information Sharing, Cross-functional Partnerships, Conflict Management, Leadership, Power & Politics. • Individual Level : Perception,Performance, Personality,Attitude & Motivation.
  • 19. Fundamental Concepts of Organisational Behavior : Basic Assumptions • Nature of People :  Individual Difference  A whole person  Caused Behavior  Value of the person • Nature of Organisation :  Social System  Mutual Interest
  • 21. Contributing Disciplines to the OB Field (cont’d)
  • 22. Contributing Disciplines to the OB Field (cont’d)
  • 23. Contributing Disciplines to the OB Field (cont’d)
  • 24. Contributing Disciplines to the OB Field (cont’d)
  • 25. Towards an OB Discipline Behavioural science Psychology Sociology Contribution Learning Motivation Perception Training Leadership effectiveness Job satisfaction Individual decision making Performance appraisal Attitude measurement Employee selection Work design Work stress Individual Group Behavioural change Attitude change Communication Group processes Group decision making Comparative values Comparative attitudes Cross-cultural analysis Anthropology Organizational culture Organizational environment Political science Output Group dynamics Work teams Communication Power Conflict Intergroup behaviour Formal organization theory Organizational technology Organizational change Organizational culture Social psychology Unit of analysis Conflict Intraorganizational politics Power Organization system Study of Organizational Behaviour
  • 26. An Open Systems View of Organizational Behavior
  • 27. A Social Learning Approach to OB
  • 28. Models of OB Facets AUTOCRATIC CUSTODIAL SUPPORTIVE COLLEGIAL Model depends Power on Economic Resources Leadership Partnership Managerial Orientation Authority Money Support Team Work Employee Orientation Obedience Security Job Performance Responsibility Employee Psychological Result Dependence on Boss Dependence on Organisation Participation Self Discipline Employee Needs Met Subsistence Maintenance Higher Order Self Actualisation Performance Result Minimum Passive Co-operation Awakened Drives Moderate Enthusiasm
  • 29. Historical Development of OB The predecessors of OB are : • Industrial Psychology • Scientific Management Movement • Human Relations Movement
  • 30. Historical Development of OB (cont.) • Industrial Psychology : It is simply the application or extension of psychological facts & principles concerning human beings operating within the context of business & industry. Group testing, trade testing, rating scales, personality inventories are all its contribution which came into existence with the formation of APA (American Psychological Association)
  • 31. Historical Development of OB (cont.) • Scientific Management Movement : Fredrick Winslow Taylor advocated the concept of parity of wages, selection of right man for right job, maximum output with minimum wastage etc. he insisted upon supervisory training to make supervisor a strong link between management & non – management group/s.
  • 32. Historical Development of OB (cont.) • Human Relations Movement : According to Fred Luthans, three events cumulatively ushered in the era of human relations movement. These are :  The Great Depression  Rise of Trade Unionism  The Hawthorne Experiments
  • 33. Historical Development of OB (cont.)  The Hawthorne Experiments have been segmented into following broad categories :  Illumination Experiments (1924-1927)  Relay Room Experiments (1927-1932)  Bank Wiring Room Experiment (1931-1932)  Mass Interview Program (1928-1930)
  • 34. Historical Development of OB (cont.) • The discipline of OB came to be recognised as a field of study around 1950. OB studies not only the human behavior within the parameters of the organisation but also the group dynamics. OB studies the external environment which influences the human behavior within the organisation. That is why OB takes cognizance of TQM, TPM, BPR or for that matter, any new concept originating in the external environment.
  • 35. A Paradigm Shift The term ‘Paradigm’ is used to mean a broad model, a framework, a way of thinking or a scheme for understanding reality. Joel Barker defined Paradigm as : “A paradigm simply establishes the rules, defines the boundaries & tells one how to behave within the boundaries to be successful.”
  • 36. A Paradigm Shift  Paradigms powerfully influences our perceptions of the world around us.  We like our current paradigms & therefore resist change.  Outsiders are more effective at introducing paradigms (new ones) to us.  Early adopters of new paradigms must often do so on faith & not on facts  New paradigms give us new ways of viewing the world & solving problems
  • 37. Management Challenges • • • • • • • • Globalization Technical Innovation & Change Quality Revolution Workforce Diversity Employee Empowerment Facilitating Work Life Balance Maintenance of Work Ethics & Culture Corporate Reorganisation
  • 38. Challenges Faced by Different Levels at Workplace Organizational Level • • • • Productivity Developing Effective Employees Global Competition Managing in the Global Village Group Level • • Working With Others Workforce Diversity Individual Level • • • Job Satisfaction Empowerment Behaving Ethically Workplace
  • 39. Challenges and Opportunity for OB • • • • • Responding to Globalization Managing Workforce Diversity Improving Quality and Productivity Responding to the Labor Shortage Improving Customer Service
  • 40. Challenges and Opportunity for OB (cont’d) • • • • • Improving People Skills Empowering People Coping with “Temporariness” Stimulation Innovation and Change Helping Employees Balance Work/Life Conflicts • Improving Ethical Behavior
  • 41. Emerging Trends/ Concerns in OB • Cultural Diversity & Team Work • Ethical Management & Corporate Social Responsibility (CSR)
  • 42. Organisation & Environment • The environment of any organisation is “the aggregate of all conditions, events & influences” that surround and affect it.
  • 43. Components of Organisational Environment Organisational Environment can be broadly classified into following categories : • Internal Environment • External Environment External General Environment External Operating Environment
  • 44. Components of Internal Environment • Internal Environment : Organisational Aspect Personnel Aspect Production Aspect Marketing Aspect Financial Aspect
  • 45. Components of External Environment • External Environment :  External Operating Environment : Supplier Component Customer Component Labor Component Competition Component International Component
  • 46. Components of External Environment • External Environment:  External General Environment : Economic Component Demographic Component Technological Component Legal Component Political Component Social Component
  • 48. Role of Environmental Analysis in Organisation The role of environmental analysis vary drastically from organisation to organisation, however, the basic role played by it are as under: • Function Oriented Role: Its main purpose is to improve organisational performance by providing environmental information concerning effective performance of specific organisational functions.
  • 49. Role of Environmental Analysis in Organisation • The Integrated Strategic Planning Role: Its main purpose is to improve organisational performance by making top managers & divisional managers aware of the issue that arises in organisation’s environment, by having a direct impact on planning & by linking corporate & divisional planning.
  • 50. Role of Environmental Analysis in Organisation • The Policy Oriented Role : Its main purpose is to improve organisational performance by simply keeping top management informed about major trends emerging in the environment. It is basically unstructured, indirect & informal.
  • 51. Strategies for Managing Environment • • • • • • • • • Proper recruitment & selection Organisational image building through advertising. Proper domain choice & domain change Contracting Smoothening Lobbying Vertical integration Buffering Strategic alliances/ mergers/ acquisitions
  • 52. OB: Cognitive Framework The cognitive framework determines a person’s deliberate or conscious efforts towards acquiring knowledge. ‘Cognition’ the basic unit of cognitive framework can be defined as an act of knowing an item of information. It involves a person’s higher mental processes. Edward Toleman is being credited for the evolution of cognitive framework.
  • 53. OB: Behavioristic Framework • The roots of behavioristic framework could be traced back to the research work of Ivan Pavlov & B.F Skinner
  • 54. OB: Behavioristic Framework • Classical Conditioning/ Reflexive Conditioning: Ivan Pavlov emphasized the S-R (Stimulus- Response) approach. Learning is building up association between Unconditioned Stimulus (UCS) & Conditioned Stimulus (CS). The experiment is conducted in three stages:
  • 55. OB: Behavioristic Framework • Stage I: Pre-conditioning: UCS – (Meat Powder) CS (Bell) – UCR (Salivation) No Response
  • 56. OB: Behavioristic Framework • Stage II: During Conditioning : CS + UCS (Bell) (Meat Powder) UCR (Salivation) (The activity is done repeatedly over a period of time.)
  • 57. OB: Behavioristic Framework • Stage III: Post Conditioning : CS CR (Bell) (Salivation) UCS: Unconditioned Stimulus (Meat Powder) UCR: Unconditioned Response (Salivation) CS: Conditioned Stimulus (Bell) CR: Conditioned Response (Salivation)
  • 58. OB: Behavioristic Framework • Operant Conditioning/Instrumental Conditioning: B.F Skinner proposed the theory of operant conditioning emphasizing R-S (Response-Stimulus) approach. It is basically presumed that a person’s behavior is determined by environment & individual learns by producing alteration in their environment.
  • 59. OB: Behavioristic Framework It presupposes that human beings explore their environment (out of curiosity) & thereafter act upon it. Reinforcement is given only when a correct response is made. (Most behavior in organisation are learnt controlled & are altered by the consequences, by manipulating reward system.)
  • 60. OB: Social Cognitive Framework The social cognitive framework of organisational behavior discusses the two major concerns: • Knowledge Management • Emotional Intelligence
  • 61. OB: Social Cognitive Framework • Knowledge Management: It’s the collection of processes that govern the creation, dissemination & utilization of knowledge. It requires :  Establishing a strategy.  Redesigning the organisational structure.  Reshaping the organisational culture.
  • 62. Elements of Knowledge Management Knowledge Acquisition Knowledge Sharing  Individual learning  Training  Sense making  Environmental scanning  Communication  Knowledge awareness  Empowerment  Grafting  Experimentation  Rewards
  • 63. OB: Social Cognitive Framework • Emotional Intelligence: It refers to the assortment of non-cognitive skills, capabilities, competencies that influences a person’s ability to succeed in coping with environmental demands & pressures. The concept has been devised by Daniel Goleman.
  • 64. OB: Social Cognitive Framework • Emotional Intelligence: It is composed of five dimensions:  Self Awareness: awareness of one’s own feelings.  Self Management: ability to manage one’s emotions & impulses.  Self Motivation: ability to persist in the face of setbacks & failures.  Empathy: ability to sense how others are feeling.  Social Skills: ability to handle other’s emotions.
  • 65. OB: Social Cognitive Framework The assessment and analysis of emotional intelligence is represented as a measure/ value of EQ (Emotional Quotient)
  • 67. Review • Discuss the contribution of different disciplines in the study of OB? • Discuss the fundamental concepts of OB. • Why should a manager know about this domain of knowledge? • Contrast formal versus informal organization. • What are the three basic elements of an organization?
  • 68. Review • Discuss Hawthorne Studies? • What is Scientific Management Movement? • Describe 3 challenges facing managers today; why are they considered as “challenges”? • What is Emotional Intelligence & how is it important in work organisation ? • Discuss the role of Knowledge Management in an organisation.
  • 69. Review • “Organisations differ in their nature”. In the light of this statement discuss various models of OB. • Discuss the purpose & role of environmental analysis in an organisation. • “OB represents interaction among individual, group & the organisation”. Elucidate this statement.
  • 70. Review •     •     The Hawthorne Experiment heralded the: Management approach Group Work approach Human Relations Approach Organisational Behavior Approach OB as a discipline now has a fairly strong presence in the study of management because: It borrows extensively from other behavioral sciences It has a strong emphasis on studying human behavior to harness it in enhancing organisational effectiveness It helps in changing organisations It leads to better people management

Editor's Notes

  1. OB and Planning: The study of OB reveals how decisions are made in organizations and how politics and conflict affect the planning process. It shows how group decision making and biases can affect planning. OB and Organizing: OB offers guidelines on how to organize employees to make the best use of their skills and capabilities. OB and Leading: The study of different leadership methods and of how to match leadership style to the characteristics of the organization and all its components is a major concern of OB. OB and Controlling: The theories and concepts of organizational behavior allow managers to understand and accurately diagnose work situations in order to pinpoint where corrective action may be needed.
  2. A skill is an ability to act in a way that allows a person to perform well in his or her role. Managers need all three types of skills to perform their organizational functions and roles effectively. Conceptual Skills refer to the ability to analyze and diagnose a situation and distinguish between cause and effect. Human Skills refer to the ability to understand, work with, lead, and control the behavior of other people and groups. Technical Skills refer to job-specific knowledge and techniques.
  3. Figure 1.1 illustrates how organizational behavior concepts and theories allow people to correctly understand, describe, and analyze the characteristics of individuals, groups, work situations, and the organization itself.
  4. The material for this illustration is found on pages 15-17.
  5. In an open system, an organization takes in resources from its external environment and converts or transforms them into goods and services that are sent back to that environment, where they are bought by customers. The activities of most organizations can be modeled using the open-systems view. Consider asking students to apply the open systems model to a company’s processes. The system is said to be open because the organization draws from and interacts with the external environment to secure resources, transform them, and then sell the products created to customers.
  6. The material for this illustration is found on page 6.