Module 1 of organizational behaviour MBA 1st Sem notes

1. ORGANIZATIONAL BEHAVIOUR
MT 403
MONSOON 2023
1

2. ORGANIZATIONAL BEHAVIOR (MT 403)
Module1
Introduction to Organization Behaviour:
Concept, Significance, Challenges and Opportunities of Organizational Behaviour
Determinants of Individual Behaviour:
Attitudes – Components and Major Job Attitudes, Personality Concept,
Determinants and Theories, Perception- Concept, Perceptual Process and
Learning- Concept, Process. [9]
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3. ORGANIZATIONAL BEHAVIOR (MT 403)
Module2
Motivation:
Concept, Application on Individuals and Organization, Early and Contemporary
Theories of Motivation (Hierarchy of Need, Two Factor, Expectancy, Equity
Theories) [5]
Module3
Groups and Teams:
Group Behaviour – Concept, Types, Stages of Group Development, Group
Decision Making. Work Teams – Types and Creating Effective Teams. [5]
3

4. ORGANIZATIONAL BEHAVIOR (MT 403)
Module 4
Leadership and Communication:
Leadership - Concept, Theories (Trait, Behavioural and Contingency).
Communication - Concept, Process and Barriers,
Inter Personal Communication – Transactional Analysis [6]
Module5
Organisational Change and Stress:
Organizational Change – Forces and Resistance to Change
Stress Management– Sources and Consequences of Stress,
Stress Assessment and Management. [5]
4

5. ORGANIZATIONAL BEHAVIOR (MT 403)
Recommended Books
• Organizational Behavior by Stephen P Robbins, Timothy A
Judge, Neharika Vohra, 15th Edition, 2013, Pearson
Publication, Delhi.
• Understanding Organizational Behavior by Udai Pareek
Revised and Updated by Sushama Khanna, 3rd Edition,
2011, Oxford University Press, New Delhi.
• Organizational Behavior -A Modern Approach by Arun
Kumar and N Meenakshi, 2011, Vikas Publishing House
Pvt Ltd.
• Organizational Behavior: An Evidence Based Approach by
Fred Luthans, 12th Edition, 2010. 5

6. Module 1
Introduction to
Organizational Behavior
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7. My Expectations
• That you come to class prepared
• That you participate, question and
discuss
• That you deliver things professionally and
on time
• That you score in 9 point scale
• That you will give no proxy
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8. What you can expect from
me
•Be here and prepared
•Available as a resource - quick response
•Fair evaluation
•Open to your ideas
•Committed to your success
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9. After reading this module,
you should be able to:
1. Define Organizational Behavior (OB)
2. Explain the value of the systematic study of OB
3. Identify the contributions made to OB by major
behavioral science disciplines
4. Describe how OB concepts can help make organizations
more productive
5. List the major challenges and opportunities for managers
to use OB concepts
6. Identify the three levels of analysis in OB
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10. Organizational Behavior and
Organizations
•Organizational behavior
•The study of what people think, feel, and do in and around
organizations.
•. . . a field of study that investigates how individuals, groups and
structure affect and are affected by behavior within organizations, for
the purpose of applying such knowledge toward improving an
organization’s effectiveness (Winter, 2007).
•Organizations
•Groups of people who work interdependently toward some purpose
•Structured patterns of interaction
•Coordinated tasks
•Have common objectives (even if not fully
agreed)
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11. Why Study Organizational
Behavior?
• OB theories help you to make sense of the
workplace
•Question and rebuild your personal theories for work
•Important -- much of our time is in organizations
• OB provides knowledge/tools to work with
others
•Helps you to get things done
• OB improves an organization’s financial health.
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12. Why study Organizational
Behavior? Contd…
• To learn about yourself and how to deal with
others.
• You are part of an organization now, and will
continue to be a part of various organizations.
• Organizations are increasingly expecting
individuals to be able to work in teams, at
least some of the time.
• Some of you may want to be managers or
entrepreneurs.
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13. The Field of Organizational
Behavior
• Organizational Behavior studies the influence
that individuals, groups and structure have on
behavior within organizations.
• Its chief goal is to apply that knowledge toward
improving an organization’s effectiveness.
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14. Perspective: Achieving Goals
•Effective firms achieve their stated objectives.
•No longer accepted as a perspective of
organizational effectiveness.
•Companies could set easy goals.
•Some goals too abstract to know if achieved.
•Company might achieve goals but go out of
business by achieving wrong goals.
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15. OB studies what people do in an organization
and how that behavior affects the performance
of the organization
15

16. •Interpersonal roles
Figurehead Role
Leader Role
Liaison Role
•Informational roles
Monitor Role/Recipient Role
Disseminator Role
Spokesperson Role
•Decisional roles
Entrepreneur Role
Disturbance Handler Role
Resource Allocator Role
Negotiator Role
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Mintzberg’s Roles

17. Roles and Skills in the New Workplace
17
Flexibility
Control
Mentor Innovator
Broker
Facilitator
Monitor Producer
Coordinator Director
Internal
Focus
External
Focus

18. Management skills
•Technical skills
•Human skills
•Conceptual skills
18

19. 19

20. Goals of Organizational Behavior
•Explain, predict, and
•control human behavior
20

21. The field of OB seeks to replace
intuitive explanations with
systematic study
21

22. Complementing Intuition
with Systematic Study
Intuition: the “gut feeling” explanation of behavior.
Systematic study improves ability to accurately predict behavior.
Assumes behavior is not random.
Fundamental consistencies underlie behavior.
These can be identified and modified to reflect
individual differences.
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23. Systematic Study
Examines relationships.
Attempts to attribute causes and effects.
Bases conclusions on scientific evidence:
On data gathered under controlled
conditions.
Data is measured and interpreted in a
reasonably rigorous manner.
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24. Evidence-Based Management
• Complements systematic
study.
• Bases decisions on the best
available scientific evidence.
• Forces managers to become
more scientific in their
thinking.
24

25. Exhibit 1-1
The Layers of OB
Winter, 2007
25
The Organization
Negotiation
Conflict
Communication
Groups and teams
Power and politics
The Group
Emotions
Values and attitudes
Perception
Personality
Motivating self and others
The Individual
Change
Organizational culture
Decision making
Leadership

26. Exhibit 1-2 Challenges Facing the
Workplace
Organizational Level
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
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27. Today’s Challenges in the Canadian
Workplace
Challenges at the Individual Level
•Job Satisfaction
•Empowerment
•Behaving Ethically
Challenges at the Group Level
•Working With Others
•Workforce Diversity
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28. Today’s Challenges in the
Canadian Workplace
Challenges at the Organizational Level
Productivity
Developing Effective Employees
•Absenteeism
•Turnover
•Organizational Citizenship
28

29. Productivity
•Productivity
•A performance measure including effectiveness and efficiency
•Effectiveness
•Achievement of goals
•Efficiency
•The ratio of effective work output to the input required to produce
the work
29

30. Effective Employees
•Absenteeism
•Failure to report to work
•Turnover
•Voluntary and involuntary permanent withdrawal from
the organization
•Organizational citizenship behavior
•Discretionary behavior that is not part of an employee’s
formal job requirements, but is helpful to the organization
30

31. How Will Knowing OB
Make a Difference?
•For Managers
•Knowing organizational behavior can help you
manage well and makes for better
corporations.
•Managing people well leads to greater
organizational commitment.
•Finally, managing well may improve
organizational citizenship.
31

32. How Will Knowing OB Make a
Difference? Contd…
•For Individuals
•What if I’m not going to work in a large organization?
•The theories generally apply to organizations
of any size.
•What if I don’t want to be a manager?
•To some extent, the roles of managers and
employees are becoming blurred in many
organizations.
•While self-employed individuals often do not
act as managers, they certainly interact with
other individuals and organizations as part of
their work.
32

33. Bottom Line: OB Is For Everyone
• Organizational behavior is not just for
managers.
•The roles of managers and employees are
becoming blurred in many organizations.
•Managers are increasingly asking employees
to share in their decision-making processes
rather than simply follow orders.
• OB applies equally well to all situations in
which you interact with others: on the
basketball court, at the grocery store, in school,
or in church.
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34. Challenges and Opportunities for OB
•The workplace is which contains a wide mix of cultures, races,
ethnic groups, genders and ages.
•Employees have to learn to cope with rapid change due to
global competition.
•Corporate loyalty has decreased due to corporate downsizing
and use of temporary workers.
•Managers can benefit from OB theory and concepts.
34

35. Exhibit 1-2 Contributing Disciplines
to the OB Field
Social psychology
Psychology
Behavioral
science
Contribution Unit of
analysis
Output
Anthropology
Sociology
Political science
Study of
Organizational
Behaviour
Organization
system
Learning
Motivation
Perception
Training
Leadership effectiveness
Job satisfaction
Individual decision making
Performance appraisal
Attitude measurement
Employee selection
Work design
Work stress
Group dynamics
Work teams
Communication
Power
Conflict
Intergroup behaviour
Formal organization theory
Organizational technology
Organizational change
Organizational culture
Conflict
Intraorganizational politics
Power
Organizational culture
Organizational environment
Behavioural change
Attitude change
Communication
Group processes
Group decision making
Group
Comparative values
Comparative attitudes
Cross-cultural analysis
Individual
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36. Cross Cultural Implications
• Japanese wake up at 3:00 am and at 5:00 am
get ready at 7:00 am take their breakfast, take
their lunch at 11:00 am. Whole of Japan sleep
8:00 pm night.
• When two different groups interact with other
people of different cultures, the difference is felt.
They eat boiled foods (no masala).
• In Japan, bosses often sit together with their
employees in the same large room.
• The heads of some of the biggest Japanese firms
ride the public subways to work in the morning so
that they can be with their workers.
36

37. Cross Cultural Implications Contd…
• In the Arab world, Arabs talk with their
hands and with profuse facial
expressions. When talking, Arabs stand
much closer together, kissing on the
cheeks is the common way for men to
greet each other; they use right hand
always for public matters and they
always insist on a personal, one-to-one
meeting for concluding deals.
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38. Cross Cultural Implications Contd…
•Chinese do not like to be touched, even to shake hands, they do
not like loud , boisterous or aggressive behavior.
•Chinese prefer to meet others in groups. They are more retiring,
reticent and shy. They prefer to conclude deals through a third
party. They do not like to conclude anything in a hurry.
•Patience and persistence are required to strike deals with the
Chinese. They are punctual and they expect others to arrive
promptly for each meeting.
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39. Cross Cultural Implications Contd…
•North Americans prefer private space. In India, usually one
finds the boss occupying a large territory in any Public Sector
or Private Sector Organizations.
•Work habits and practices- The attitude towards work may
vary greatly across various cultures. European favors power
and status; Americans prefer to be informal and value initiative
and achievement greatly; Japanese emphasize consensus and
teamwork in workplace more than anything else.
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40. Cross Cultural Implications Contd…
• Different cultures have different ways of
preparing and eating food. Beef, a favorite
of many Americans, may be a prohibitive
term (leave alone eating the same) in the
Hindu culture. Some may eat with their
hands; others prefer to use chopsticks or full
set of cutlery.
40

41. OB Insights
•Improving People Skills
•Improving Customer Service
•Empowering People
•Working in Networked Organizations
•Stimulating Innovation and Change
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42. OB Insights
•Coping with ‘Temporariness’
•Helping Employees Balance Work/Life Conflicts
•Declining Employee Loyalty
•Improving Ethical Behavior
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43. Determinants of
Individual Behavior
43

44. After reading Individual Behavior, you should
be able to:
Chat history
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Organizational Behavior: Key Concepts
Formal vs Informal Groups
Group Dynamics & Development
Motivation Theories Critique Compare
Organizational Behavior Concepts
Organizational Behavior Overview
Organizational Behavior & Management
Yesterday
Management: A Comprehensive Overview
Management Principles and Theories
Management Principles and Theories
Management Principles & Theories
Management Principles: Fayol & Taylor
Management: Brief Overview
Qualitative vs Quantitative Research
Discriminant Analysis Overview
Likert Scales Explained
Scales: Rating, Ranking, Differential
Scale Construction Approaches
Approaches to Analyzing Skills
Obtrusive vs Unobtrusive Observation
Previous 7 Days
Research Report Components Guide
Attendance Shortage Application
Attendance Shortage: Consequences & Solutions
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45. After reading Individual Behavior, you should
be able to:
• Define learning and its importance to
Organizational Behavior.
• Can be able to explain the cycle of learning
• Can be able to enumerate the factors
influencing the learning process.
45

46. After reading Individual Behavior, you should
be able to:
• Define perception and explain the factors that
influence perception.
• Explain attribution theory and list the three
determinants of attribution.
• Contrast the three components of an attitude.
• Summarize the relationship between attitudes
and behavior.
• Compare and contrast the major job attitudes.
46

47. After reading this module, you should be able
to:
• Contrast the three components of Attitude
• Summarize the relationship between
attitudes and behavior
• Compare and contrast the major job
attitudes
47

48. What is Behavior?
• Anything an organism or living being
does.
• Must be observable and
measureable.
• Includes: Actions, verbalizations,
manifestations of emotions and
thoughts.
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49. Other Characteristics
•Individualized – different people do
different things
•May be adaptive, inappropriate,
disruptive and/or dangerous
•May be socially acceptable or
unacceptable
•Must be operationally defined – Must
have a reason
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50. Functions of Behavior
• Communication – some are intentional, others
may be more subtle or subconscious
• Gain positive rein forcers
•Food, comfort, playing or doing something
fun
• Gain negative rein forcers
•Pain, rejection, avoidance, undesired
activities
50

51. Definitions: J.P. Guilford (1959)
“An individual’s personality, then, is his
unique pattern of traits.”
A trait is “any distinguishable, relatively
enduring way in which one individual
differs from others.”
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52. Definitions: Mackinnon (1959)
• Personality refers to “factors” inside
people that explain their behavior
• The sum total of typical ways of acting,
thinking, and feeling that makes a
person unique.
52

53. Definitions: R.B. Cattell (1950)
“The personality of an individual is that
which enables us to predict what he will do
in a given situation.”
53

54. 3 Facts to Consider When
Defining “Personality”
 Individuals are unique
 Individuals behave differently in different situations
 Although individuals are unique and behave inconsistently
across situations, there is considerable commonality in human
behavior
54

55. Exhibit 1-3 Big Five Personality Model
FIGURE: Personality types are defined by the presence of several specific traits.
For example, several possible personality traits are shown in the left column. A
person who has a Type A personality typically possesses all or most of the
highlighted traits. Type A persons are especially prone to heart disease.
55

56. Even More Relevant Personality
Traits
•Type A Personality
•Type B people are the complete opposite
•Proactive Personality
56

57. Type A Personality
•Aggressively involved in a chronic,
incessant struggle to achieve more in less
time
•Impatient: always moving, walking,
and eating rapidly
•Strive to think or do two or more
things at once
•Cannot cope with leisure time
•Obsessed with achievement numbers
57

58. Type B Personality
•Never suffers from a sense of time urgency
•Doesn’t need to display or discuss achievements or accomplishments
•Plays for fun and relaxation, not to win
•Can relax without guilt
58

59. Proactive Personality
•Identifies opportunities, shows initiative,
takes action, and perseveres to
completion (until meaningful change
occurs).
• Creates positive change in the
environment.
59

60. Exhibit 1-4Hans Eysenck Personality Traits
FIGURE: English psychologist Hans Eysenck (1916–1997) believed that many personality
traits are related to whether you are mainly introverted or extroverted and whether you
tend to be emotionally stable or unstable (highly emotional). These characteristics, in turn,
are related to four basic types of temperament first recognized by the early Greeks. The
types are: melancholic (sad, gloomy), choleric (hot-tempered, irritable), phlegmatic (sluggish,
calm), and sanguine (cheerful, hopeful). 60

61. Big Five Personality Model of OB
FIGURE : The Big Five. According to the five-factor model, basic differences in personality can be “boiled down”
to the dimensions shown here. The five-factor model answers these essential questions about a person: Is she
or he extroverted or introverted? Agreeable or difficult? Conscientious or irresponsible? Emotionally stable or
unstable? Smart or unintelligent? These questions cover a large measure of what we might want to know about
someone’s personality.
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62. Big Five Personality Factors
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63. 63
Sixteen Primary Traits

64. Other Personality Traits Relevant to OB
•Core Self-Evaluation
•The degree to which people like or dislike themselves
•Positive self-evaluation leads to higher job performance
•Machiavellianism
•A pragmatic, emotionally distant power-player who believes
that ends justify the means
•High Machs are manipulative, win more often, and persuade
more than they are persuaded. Flourish when:
•Have direct interaction
•Work with minimal rules and regulations
•Emotions distract others
•Narcissism
•An arrogant, entitled, self-important person who needs
excessive admiration
•Less effective in their jobs
64

65. More Relevant Personality Traits
•Self-Monitoring
•The ability to adjust behavior to meet external, situational factors.
•High monitors conform more and are more likely to become leaders.
•Risk Taking
•The willingness to take chances.
•May be best to align propensities with job requirements.
•Risk takers make faster decisions with less information.
65

66. More Relevant Personality Traits Contd…
•Locus of Control
The degree to which people believe they are in control of their
own fate.
•Internals
•Individuals who believe that they control what happens to them.
•Externals
•Individuals who believe that what happens to them is controlled by
outside forces such as luck or chance.
66

67. Myers-Briggs Type Indicator (MBTI)
The indicator is widely used as personality assessment
instrument in the world. It is a 100 question personality test that
asks people how they usually feel or act in particular situations.
On the basis of their answers, individuals are classified as
•Extraverted or Introverted (E or I),
•Sensing or Intuitive (S or N),
•Thinking or Feeling (T or F), and
•Judging or Perceiving (J or P).
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68. Myers-Briggs Type Indicator (MBTI)
•Extraverted (E) Vs Introverted (I). Extraverted individuals are
outgoing, sociable and assertive. Introverts are quiet and shy.
•Sensing (S) Vs. Intuitive (N). Sensing types are practical and
prefer routine and order. They focus on details. Intuitives rely on
unconscious processes and look at the ‘big picture’.
•Thinking (T) Vs. Feeling (F). Thinking types are reason and logic
to handle problems. Feeling types rely on their personal values
and emotions.
•Judging (J) Vs. Perceiving (P). Judging types want control and
prefer their world to be ordered and structured. Perceiving types
are flexible and spontaneous.
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69. Myers-Briggs Type Indicator (MBTI)
Exploration of several examples
•INTJs are visionaries. They usually have original minds and
great drive for their own ideas and purposes. They are
skeptical, critical, independent, determined and often
stubborn.
•ESTJs are organizers. They are realistic, logical, analytical and
decisive and have a natural head for business or mechanics.
They like to organize and run activities.
•ENTPs are conceptualizers. They are innovative, individualistic,
versatile and attracted to entrepreneurial ideas. This person
tend to be resourceful in solving challenging problems but may
neglect routine assignments.
69

70. Myers-Briggs Type Indicator (MBTI)
MBTI used by organizations namely,
Apple Computer, AT & T, Citigroup, GE, many hospitals and
educational institutions and even the US Armed Forces.
FedEx, Honda Motors, Microsoft, and Sony, found that all were
intuitive thinkers (NTs). This result is particularly interesting
because intuitive thinkers represent only about 5 percent of the
population.
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