This document defines and discusses organizational behavior. It provides definitions of organizational behavior from various scholars as the study and understanding of how people act within organizations. It outlines different theories of organization, including classical, humanistic, and modern theories. The classical theory treats workers objectively and focuses on efficiency and production, exemplified by Taylor's scientific management and Fayol's 14 principles of management. The humanistic theory allows more worker participation and focuses on needs. Modern theory recognizes limitations of prior approaches and consists of system and contingency theories using an open system framework.

2. ORGANISATION
It is an inescable part of our life.
Organizations are large, small, formal,
informal, religious, economic,
educational, social or political – affect us
enormously
An organization is made to run an
institution.
Nothing can be accomplished in a proper
way without organization.
The success of work rests upon the
quality of organization.

3. DEFINITION
Organization is a form of human
association for the attainment of common
purpose.
(According to J.B.MOOREY)

4. ORGANIZATIONAL BEHAVIOUR
Organizational behaviour is essential for
an organization to achieve effectiveness
in its activities

5. DEFINITIONS
1) Organizational behaviour is directly
concerned with the understanding,
prediction and control of human
behaviour.
-Fred Luthans
2) Organization behaviour is the study and
application of knowledge of how people
act or behave within an organization.
-Keith Davis and John Newstorm

6. CONCEPTS OF ORGANIZATIONAL
BEHAVIOUR

8. THEORIES OF ORGANIZATION

9. 1) CLASSICAL DOCTRINE
Classical doctrine is the oldest theory in
the study of organizations.
• An institution organized under the
classical theory tends to treat wokers in
an objective way.
• Such an institution is very efficient in
accomplishing its goals.

10. I) FREDERICK TAYLOR
Taylor is considered as the father of
classical theory and the father of
scientific management.
 High production was his primary concern
in developing this theory.
 He believed that high production could be
achieved by paying high wages.

11. II) HENRI FAYOL
Fayol identified 14 principles of
management.
 His principles made it clear that
production, efficiency and profit were of
prime importance, while individuals or
worker were of comparatively less
importance.

12. His principles are as follows ;-
1) Division of work
- work is broken down into specialized
tasks.
2) Authority
- employers have the right to give
orders and expect them to be obeyed

13. 3) Discipline
- the employee is expected to be
obedient to the institutions.
4) Unity Of Command
- an employee should receive orders
from only one superior.

14. 5) Unity Of Direction
- there is only one person at the top of
the institution and he or she has only one
plan for the institution.
6) Subordination of individual interest
- institutional goal and activities always
come first.
7) Remuneration of personnel
- salary should be fair and satisfactory.

15. 8) Centralization
- all communication comes from and
goes to the person at the top of the
institution.
9) Scaler chain
- there should be scaler chain of
authority and communication ranging
from highest to lowest.
10) Order
-There is a place for everyone in an
orderly manner.

16. 11) Equity
- All persons in the institution will be
treated alike.
12) Stability of tenure for personnel
- There should be a reasonal security of
job.
13) Initiative
- within the limits of authority and
discipline manager should encourage
their employs to take initiative.
14) Espirit de corps
- In unity there is strength.

17. 2) HUMANISTIC SCHOOL
 The humanistic theory, also called
behavioural or neoclassical theory.
 An institution organized according to the
humanistic theory allows and encourages
participation of workers in planning and
decision making.
 It mainly concerns with workers needs
will lead to improved production and
economic cost effectiveness.

18. 3) MODERN ORGANIZATION THEORY
 The modern organization theory began in
the late 1950s as researcher’s
recognized that in the humanistic and
classical approach something was
missing.
 It consists of two main approaches :
system and contigency.
 Its basic assumptions lies in a system
framework – that the organization is an
open system, consisting of input output
and feedback.