29855030 concept and meaning of organizational behavior

8/22/2019 29855030 Concept and Meaning of Organizational Behavior

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Unit - IConcept and Meaning of

Organizational Behavior


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What is Organisational Behaviour?

Organisation: -

A place where managers practice the art of management. An Institution or sub-units of an institution working together for acommon goal.

Organisation Behaviour: -

It is an study of human behaviour The study is about the behaviour of people in an organisation. Knowledge about human behaviour and its usefulness in improvingan organizations effectiveness.

Some DefinitionsOB is the study & applications of knowledge about how people actwithin an organisation. It is a human tool for human benefit. It appliesbroadly to the behaviour of people in all types of organizations such asbusiness, Govt. Schools & Service Organisations.Keith Davis & JW Newton in Human Behaviour @ work.


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OB is directly concerned with the understanding, predicting &controlling of human behaviour in Organisations.-Fred Luthaus.

Organization behaviour encompasses a wide range of topics such ashuman behaviour, change, leadership, teams etc. OB is also a field ofstudy. It studies 3 determinants of behaviour in organizations:- Individual. Group. Organisation.

To sum up OB is concerned with:-

Study of what people do in the organization. How behaviour effects the performance of the organization.


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MODELS of OB:

AutocraticThe basis of this model is power with a managerial

orientation of authority CustodialThe basis of this model is economic resources with amanagerial orientation of money.

Supportive The basis of this model is leadership with themanagerial orientation of support.

Collegial The basis of this model is partnership with themanagerial orientation of team work.


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OB offers both challenges and opportunities for managers. It recognizesdifferences and helps managers to see the value of workforce diversityand practices that need to be changed when managing. It can help

improve quality and employee productivity by showing managers how toempower their people as well as how to design and implement changeprograms. It offers specific insights to improve a managers peoplesskills. OB can help managers cope in the world of temporariness andlearn ways to stimulate innovation. Finally, OB can offer managersguidance in creating an ethically healthy work climate.


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Key Elements of OB

1.People

2.Structure

3.Technology4.Environment

Foundations of OB

1. Individual Differences2.Whole Person

3.Caused Behaviour

4.Human Dignity

5.Organisations as Social System6.Mutuality of Interest

7.Holistic Concept

8.Need for Management


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Scope of OB1. Individuals

2.Groups of Individuals

3.Organisation as a whole

Need for study OB

1.Helps to understand self and others better.2.Effective management of people

3.Tackle human problems humanly

4.Predict the human behaviour

5.Effective utilisation of human resources.


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Contributions to the development of OB as

major subject in Modern Literature

1. Scientific Management: Frederick W. Taylor (1911):

Maximum prosperity for employers with maximumprosperity for each employee

Disputes between Management & labour should becentered on what each viewes as mutually exclusive goals.

This theory can maximize goals.

Management should view profit as a result of co-operation between management & workers

There should be proper divisions of work betweenmanagers & workers.


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Four Principles of Scientific

Management

1. Standard work practices standardize thetools for management.

2. Scientifically select each worker.

3. Management & workers must co-operate toand work according to a standardprocedure.

4. Management must make plans & taskassignments; workers should carry out thetasks assigned by the managers.


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2. Theory of Administration: Henry Fayol

(1919):

Five functions of management:1. Planning.

2. Organising.

3. Command/Directing.

4. Co-ordination. &

5. Control.


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3. Bureaucracy: Max Webber (1922):

Max Webber was a German Political Scientist,

economist & sociologist. He suggestedBureaucratic form of organisation & managementin order to form a successful & efficientadministration.

Bureaucracy also takes into it purview the following:

Clearly defined specialize function

Use of legal authority

Hierarchal form

Written rules & procedures

Technically trained bureaucrats


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Apt to positions based on technical expertise.

Promotions should be based on technical

expertise & Competence. Should clearly define career path. &

There should be objectivity & impersonality of

decisions.


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4.Observations on Organisations & Management

Mary Parker Follet (1925)

Mary worked mainly as Social worker in RoxburySection of Boston.

In 1920s1930s; her main observations regarding

Organisation & Management were:Power:Power is capacity & cannot be delegated but

authority can.

Conflict:

Studied integration of desires.Leadership:Good Leader Tenacity, steadfastness of

purpose, tactfulness, steadiness in stormy periods.


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5. The Twentieth Centurys Management GuruPeter F. Drucker 1995

Austrian born, modern management guru.

Propounded MBO & Self control concepts.

Statistician and an analyst of things from differentPerspectives.

Prediction up to 2010:

- Rise in alliance, partnership & joint ventures onglobal scale. Technology will help in Networkingof

Societies.- Need for decentralizing in an extremely uncertain

environment.


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Use of teams in Organisations.

Number of knowledgable workers, blue collar jobs

and continuous learning. Evolution of knowledge societies in developed

countries. These societies will remain in 3 sectors(1) Business (2) Government (3) Non-Profit

Organisations/NGOs. World market will become more important than

domestic market.


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5. Functions of the Executive: Chester I. Bernard

(1938):

Organisations are formed because individuals have apurpose but also limitations. Limitations could beknowledge, financial resource or physical resource.

Purpose + Limitation = System of Cooperative action.

Two types of motivation in organisation:

Motivation to participate.

Motivation to perform.

Chris Argyris, has further tried to elaborate it by comparingbureaucratic system (with assumption) to more humanstructure (Theory) because bureaucratic values leads to poor

or shallow relationships.


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People - Organisation relationship. Whole person

Whole groups

Whole organisation &

Whole Social System

ORGANISATION BEHAVIOUR ANCHOROB should draw on knowledge from other disciplines rather than own

research base:

1. Multidisciplinary Anchor

Field of psychology & sociology has contributed the most to currentOB knowledge.

PsychologyUnderstanding of individual & interpersonal behaviour

Sociology Team dynamics, organisation socializations organisationpower

AnthropologyOrganisation culture. Political SciencePower & politics in organisation. EngineeringProductivity issues. EconomicsPower, negotiations & decision making.

Th S i ifi h d A h


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2.The Scientific Method Anchor Testing their hypothesis in a scientific manner from collecting data, analyzing

& concluding.

A set of principles & procedures is adhered.

3.The Contingency Anchor

Clause Itdepends No single solution is best in all circumstances.

Different consequences in different situation, no single solution applicable

all the time. Should be careful in this clause as well.

4.The multiple Level of Analysis anchor How people structure their work relationship & How organisations interact

with the environment?

Discussion, power, Organisation politics and conflict.

5.The Open System Anchor Organisations are living systems.

Phil Carrol, Organisation consists of interdependent parts that works

together to continually monitor & transact with the external Environment.


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OB offers both challenges and opportunities for managers. Itrecognizes differences and helps managers to see the value of

workforce diversity and practices that need to be changed when

managing. It can help improve quality and employee productivity byshowing managers how to empower their people as well as how todesign and implement change programs. It offers specific insights toimprove a managers peoples skills. OB can help managers cope in the

world of temporariness and learn ways to stimulate innovation. Finally,OB can offer managers guidance in creating an ethically healthy workclimate.

ORGANIZATION


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ORGANIZATION:An organization is a social arrangement which pursues collective goals andwhich controls its own performance and which has boundaries separating it

from its environment. In social sciences, organizations are studied by

researchers from several disciplines which are as follows:-

Sociology. Economics.

Political Science.

Psychology. Management. Organizational Communication.

Types of organizations:

Sole proprietorship Partnership

Corporation

Non-profit organization/NGOs.

Trusts


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Organizational Structures:Organization structure defines how job tasks are formally divided, grouped

& coordinated. There are 6 elements for organization structure which are as

follows:-

Work SpecializationDepartmentalization

Chain of Command

Span of controlCentralization & DecentralizationFormalization

Organizational Design:Simple StructureThe Bureaucracy

The Matrix Structure

Pyramid or Hierarchies Structure


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Simple Structure

B ti St t


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Bureaucratic Structure


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Pyramid Structure

Organization Culture:


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Organization Culture:

Organizational culture, or corporate culture, comprises of the attitudes,experiences, beliefs and values of an organization.

It has been defined as "the specific collection of values and norms that areshared by people and groups in an organization and that control the way theyinteract with each other and with stakeholders outside the organization. From organizational values develop organizational norms, guidelines orexpectations that prescribe appropriate kinds of behavior by employees inparticular situations and control the behavior of organizational members towardsone another" Senior management may try to determine a corporate culture. In addition, there will also be an extant internal culture within the workforce.Work-groups within the organization have their own behavioral quirks andinteractions which, to an extent, affect the whole system.

Strong/weak cultures: Strong culture is said to exist where staff respond to stimulus because of theiralignment to organizational values. Conversely, there is weak culture where there is little alignment withorganizational values and control must be exercised through extensive proceduresand bureaucracy.

Elements


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Elements

A number of elements that can be used to describe or influenceOrganizational Culture:

The Paradigm

Control Systems Organizational Structures Power Structures

Symbols

Rituals and Routines

Stories and Myths

Characteristics of Organization Culture:Research suggests that there are 7 primary characteristics:

Innovation and risk taking

Attention to detail Outcome orientation

People orientation

Team orientation

Aggressiveness

Stability


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Each of these characteristics exists from low to high. Appraising theorganization on these 7 characteristics then, gives a composite pictureof the organization.

Organizational Climate


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Organizational ClimateClimate is often defined as the recurring patterns of behaviour, attitudes &

feelings that categorize life in the organization. Although culture and climate

are related, climate often proves easier to assess & change. At an individual

level of analysis the concept is called individual psychological climate. Theseindividual perceptions are often aggregated or collected for analysis and

understanding at the team or group level, or the divisional, functional or overallorganizational level.

There are several approaches to the concept of climate of which 2 have receivedsubstantial patronage which are as follows:

Cognitive Scheme Approach:

Shared Perception Approach:

It is important to realize that among these 2 approaches, there is no best approach

and they actually have a great deal of overlap.

While an organisation and its leaders cannot remove every stressor in the daily life

of its employees, Organisational Climate studies have identified a number of

Organizational Climate Assessment:


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Organizational Climate Assessment:The objective of performing an employee climate assessment is to identify the

key areas which are hindering production, reducing effectiveness & which

might generate unexpected cost in near future. The idea & approach is for

the organization not to simply perform an academic exercise, but tocritically examine themselves to see where the company and the employees

might be finely tuned to generate higher levels of performance. Onceidentified, opportunities to strengthen existing approaches which are

working well, as well as selecting appropriate interventions for addressing

weakest areas should be aggressively pursued for maximum benefit ofeveryone.

The assessment is designed with the following assumptions in

mind:-

Fundamental care of employee as an asset Respect for the dignity of the employee and the sensitiveness of human

beings

Full understanding of the realities of business

Embracing optimization and improvement

Key to motivation and commitment

29855030 concept and meaning of organizational behavior

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