Introduction to Organisational Behaviour


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Organisational behavior is a field of study that investigates the impact that Individuals, Groups and Structure have on behavior within organization for the purpose of applying such knowledge towards improving an organisations effectiveness. (Stephen. P. Robbins).

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Introduction to Organisational Behaviour

  1. 1. Organisational Behaviour(OB) • Organisational behaviour is a field of study that investigates the impact that Individuals, Groups and Structure have on behaviour within organization for the purpose of applying such knowledge towards improving an organisations effectiveness. (Stephen. P. Robbins). • Organisational behaviour can be defined as the understanding ; prediction and management of human behaviour that affect the performance of the organizations.(Luthans)
  2. 2. • So, Organisational Behaviour is concerned with the study of what people do in an organisation and how their behaviour affect the performance of the organisations. • Organisational Behaviour is a scientific discipline in which a large number of research is conducted which improve its knowledge base.
  3. 3. Why OB is Significant? • Organisational behaviour offers several ideas to manage as how human factor should be properly emphasized to achieve organisational objectives. • OB provides opportunity to the management to analyze human behaviour and prescribe means for shaping it to a particular direction. • OB helps to analyze “why” and “how” an individual behaves in a particular way.
  4. 4. Human behaviour • Human behaviour is an complex phenomenon and is effected by large number of factors including Psychological, Social, and cultural implications. • Organisational Behaviour integrates these factors to provide simplicity in understanding the human behaviour.
  5. 5. Human behaviour at various levels  Interpersonal Level: Human Behaviour can be understood at the level of interpersonal interaction. Organizational behaviour provides means for understanding the interpersonal relationships in an organization.  Group Level: Though people interpret anything at their individual level, they are often modified by group pressures, which then become a force in shaping human behaviour. Thus individuals should be studied in groups also  Inter-Group Level: The organization is made up of many groups that develop complex relationships to build their process and substance. Understanding the effect of group relationships is important for managers in today's organization. Inter-group relationship may be in the form of co-operation or competition.
  6. 6. Factors applied at various levels of Human behaviour 1. 2. 3. 4. 5. 6. Controlling and directing Behaviour Use of Power and Sanction Leadership Communication Organisational Climate Organisational Adaption
  7. 7. 1. Controlling and directing Behaviour • After understanding the mechanism of human behaviour, managers are required to control and direct the behaviour so that it conforms to the standards required for achieving the organizational objectives. • Thus, managers are required to control and direct the behaviour at all levels of individual interaction.
  8. 8. 2. Use of Power and Sanction • The behaviours can be controlled and directed by the use of power and sanction, which are formally defined by the organization. • Power is referred to as the capacity of an individual to take certain action and may be utilized in many ways. • Organizational behaviour explains how various means of power and sanction can be utilized so that both organizational and individual objectives are achieved simultaneously.
  9. 9. 3.Leadership • Organizational behaviour brings new insights and understanding to the practice and theory of leadership. • Thus, managers can adopt styles keeping in view the various dimensions of organizations, individuals and situations.
  10. 10. 4. Communication • Communication helps people to come in contact with each other. • To achieve organizational objectives, the communication must be effective.
  11. 11. 5. Organisational Climate • Organizational climate refers to the total organizational situations affecting human behaviour. • Organizational climate takes a system perspective that affect human behaviour. • Besides improving the satisfactory working conditions and adequate compensation, organizational climate includes creation of an atmosphere of effective supervision; the opportunity for the realization of personal goals, congenial relations with others at the work place and a sense of accomplishment.
  12. 12. 6. Organisational Adaption • Organizations, as dynamic entities characterized by pervasive changes. are • Organizations have to adapt themselves to the environmental changes by making suitable, internal arrangements such as convincing employees who normally have the tendency of resisting any changes.
  13. 13. Historical Background For Modern Organizational Behaviour 1. Scientific Management Approach • Scientific management approach was developed by F.W. Taylor at the beginning of the 20th century. • This theory supported the use of certain steps in scientifically studying each element of a job, selecting and training the best workers for the job arid making sure that the workers follow the prescribed method of doing the job. • It provided a scientific rationale for job specialization and mass production. His assumption was that employees are motivated largely by money.
  14. 14. Scientific Management Approach • To increase the output, Taylor advised managers to pay monetary incentives to efficient workers. • Yet, his theory was criticized by many employers and workers. Workers objected to the pressure of work as being harder and faster. • Critics worried that the methods took the humanity out of labour, reducing workers to machines responding to management incentives. Therefore, Taylor's view is now considered inadequate and narrow due to the points given by the critics.
  15. 15. 2. Bureaucratic Approach • The term "bureaucracy" was created from words: ‘bureau’ means “desk or office” and “cracy or kratos” which means– rule or political power • While scientific management was focusing on the interaction between workers and the task, researchers of such approach were studying how to structure the organization more effectively. • Instead of trying to make each worker more efficient, classical organization theory sought the most effective overall organizational structure for workers and managers.
  16. 16. Bureaucratic Approach • The theory's most prominent advocate, Max Weber (1864-1920), proposed a 'bureaucratic form' of structure, which he thought would work for all organizations . • Henry Ford, Henry Fayol and Frederick W. Taylor, the early management pioneers, recognized the behavioural side of management. However, they did not emphasize the human dimensions.
  17. 17. 3. Hawthorne Studies • The real beginning of applied research in the area of organizational behaviour started with Hawthorne Experiments. • In 1924, a group of professors began an enquiry into the human aspects of work and working conditions at the Hawthorne plant of Western Electric Company, Chicago. • The findings of these studies were given a new name 'human relations' the studies brought out a number of findings relevant to understanding human behaviour at work. • The Human element in the workplace was considerably more important. The workers are influenced by social factors and the behaviour of the individual worker is determined by the group.
  18. 18. Learning organization and knowledge management • Learning organizations • Learning organizations are organizations where people continually expand their capacity to create the results they truly desire, where new and expansive patterns of thinking are nurtured, where collective aspiration is set free, and where people are continually learning to see the whole together.
  19. 19. • According to Sandra Kerka (1995) most conceptualizations of the learning organizations seem to work on the assumption that ‘learning is valuable, continuous, and most effective when shared and that every experience is an opportunity to learn‘. • Learning organizations: – Provide continuous learning opportunities. – Use learning to reach their goals. – Link individual performance with organizational performance.
  20. 20. Benefits of Learning Organisations • The main benefits are: • Maintaining levels of innovation and remaining competitive • Being better placed to respond to external pressures • Having the knowledge to better link resources to customer needs • Improving quality of outputs at all levels • Improving Corporate image by becoming more people oriented • Increasing the pace of change within the organization.
  21. 21. Knowledge management (KM) • Knowledge management (KM) comprises a range of strategies and practices used in an organization to identify, create, represent, distribute, and enable adoption of insights and experiences. • Knowledge management efforts typically focus on organizational objectives such as improved performance, competitive advantage, innovation, the sharing of lessons learned, integration and continuous improvement of the organization.
  22. 22. Individual Behaviour and Managing Diversity
  23. 23. The models to understand the process of individual behaviour • The process of individual behaviour can be understood by three models: (a) Basic model of behaviour (b) S-R model of behaviour (c) MARS model of behaviour
  24. 24. (a) Basic Model of behaviour
  25. 25. Basic Model of behaviour shows that:1. The behaviour process is similar for all people 2. Actual behaviour can differ because of physiological, environmental and physiological variables and such factors as frustration, conflict, and anxiety 3. Many of the variables influencing behaviour have been shaped before persons enter in the organization.
  26. 26. (b) Stimulus-Response(S-R) Model of Behaviour Cognition:-the mental action or process of acquiring knowledge through experience, thought and the senses. Eg. a perception, sensation, or intuition.
  27. 27. The behaviour of person may be caused by : I. Certain internal factors such as feelings, stress, motives, etc. II. Other external stimulus (environment) III. A stimulus may be any factor in the environment which directly has an impact on the individual which may be visible in the behaviour. This means that the response or behaviour of an individual is determined by certain situational forces present in the environment. This entire situation is referred to as the S-R process.
  28. 28. (c) MARS Model of Individual Behaviour
  29. 29. MARS Model of Individual Behaviour shows that : 1. All these four factors have combined effect on individual performance. If any factor weakens, employee performance will decrease. 2. These four factor – Motivation, Ability, Role perceptions, and Situational factors are influenced by several other individual variables such as values, personality, perceptions, emotions, attitudes, stres s etc. Personality and values are the most stable elements, whereas emotions, attitudes, and stress are much more fluid characteristics. 3. Each of these factors relates to the MARS model in various ways. For example, personal values affect an employee‘s motivation through emotions & tend to shape role perceptions through the perceptual process.
  30. 30. MODELS IN OB • Models are developed in different fields to guide activities in those fields. • Every organization develops a particular model in which behavior of the people takes place. • “Davis” has described four(4) OB models which are as follows: 1. Autocratic 2. Custodial 3. Supportive 4. Collegial Jayant Isaac,Asso.Profesor
  31. 31. THE AUTOCRATIC MODEL • The autocratic model is based on power. Under this model, the person who holds power has the authority to demand work from workers. • This model was widely popular during the Industrial Revolution. • It is based on the assumption that work can only be extracted by means of pushing, directing, and persuading the employees. Jayant Isaac,Asso.Profesor
  32. 32. THE AUTOCRATIC MODEL • This model empowers managers with authority which might be used for unfair practices such as suspending the employees for not obeying the orders, giving low pay, etc. • Such a work environment motivates very few employees to exhibit higher productivity. • However, the autocratic model works well under certain conditions, particularly in times of an organizational crisis. Jayant Isaac,Asso.Profesor
  33. 33. THE CUSTODIAL MODEL • In the custodial model, the emphasis is laid on providing job security to the employees. It has been observed that employees generally prefer jobs that promise job security. • Therefore, employers offer fringe benefits to strengthen the employee’s confidence in job security. • While this helps in retaining the employees, knowing that they are going to get incentives irrespective of their job performance might cause the employees to be more laid back in their approach toward work. Jayant Isaac,Asso.Profesor
  34. 34. THE SUPPORTIVE MODEL • The supportive model emphasizes leadership rather than power or money. • Under this approach, leaders promote an environment for the employees to grow while they help in achieving the organization’s objectives. • Also the support extended by the management motivates the employees to work. The employees are self motivated to enhance their performance and are not compelled to do so. • This model might not be effective for employees whose lower level needs are not satisfied. • Nevertheless, the supportive model enhances relationships between Jayant Isaac,Asso.Profesor and the employer. the employee the
  35. 35. THE COLLEGIAL MODEL • In the collegial model, employees are selfdisciplined, self-satisfied, and have specific goals which motivate them to improve their performance. • In this approach, the superior acts more like a leader who leads the way and motivates employees that to perform at their best. • The term ‘collegial’ refers to a group of persons working for a common purpose. This approach is an extension of the supportive model. Jayant Isaac,Asso.Profesor
  36. 36. Model of OB AUTOCRATIC CUSTODIAL SUPPORTIVE COLLEGIAL Basis of model Power Economic Resources Leadership Partnership Managerial orientation Authority Money Supportive Teamwork Employee orientation Obedience Security & Benefits Job Performance Responsible Behavior Employee Dependence psychological on boss result Dependence on organization Participation Self-discipline Employees need met Subsistence Security Status & recognition Self actualization Performance result Minimum Passive Cooperation Awakened drives Moderate enthusiasm Jayant Isaac,Asso.Profesor
  37. 37. S-O-B-C Model • The OB model based on the social learning approach is termed as the SOBC model, where “S” stands for stimulus, “O” for organism, “B” for behavior, and “C” for consequence. • The S-O-B-C model gives the basic framework rather than a complete explanation of OB. Jayant Isaac,Asso.Profesor
  38. 38. • S – Stimulus: is an environmental variable that depicts the environmental situation, both contextual and organizational. • O – Organism: is a cognitive variable that understands organizational participants which link the environmental situation and the resulting organizational behavior. • B – Represents the organizational behavior. • C – Consequence: is an environmental variable that depicts organizational and group dynamics and the consequences of previous interactions between environmental, personal and behavioral variables. Jayant Isaac,Asso.Profesor