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C H A P T E R

2005 The McGraw-Hill Companies, Inc. All rights reserved.McGraw-Hill/Irwin

1Introduction tothe Field of

OrganizationalBehavior

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2 2005 The McGraw-Hill Companies, Inc. All rights reserved.McShane/Von Glinow OB 3e

Google and OB

Google founders Larry Page

and Sergey Brin have

leveraged the power of

organizational behavior to

create the worlds leading

Internet search engine as well

as one of the best places to

work. Richard Hernandez/San Jose Mercury News

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3 2005 The McGraw-Hill Companies, Inc. All rights reserved.McShane/Von Glinow OB 3e

What are Organizations?

Groups of people who work

interdependently toward some

purpose

Structured patterns ofinteraction

Coordinated tasks

Work toward some

purpose

Richard Hernandez/San Jose Mercury News

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4 2005 The McGraw-Hill Companies, Inc. All rights reserved.McShane/Von Glinow OB 3e

Organizational

Behavior

Research

Understand

organizational

events

Predict

organizational

events

Influence

organizational

events

Why Study Organizational Behavior

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5 2005 The McGraw-Hill Companies, Inc. All rights reserved.McShane/Von Glinow OB 3e

Trends: Globalization

Economic, social, and cultural connectivity with

people in other parts of the world

Effects of globalization on organizations:

Greater efficiencies and knowledge sources

Ethical issues about economies of developing countries

New organizational structures and communication

Greater workforce diversity

More competitive pressure, demands on employees

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6 2005 The McGraw-Hill Companies, Inc. All rights reserved.McShane/Von Glinow OB 3e

Trends: Information Technology

Blurs temporal and spatial boundaries

between employees and organizations

Re-designs jobs and power relationships

Increases value of knowledge management

Supports telecommuting

Supports virtual teams

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7/207 2005 The McGraw-Hill Companies, Inc. All rights reserved.McShane/Von Glinow OB 3e

Telecommuting

An alternative work arrangement where

employees work at home or remote site,

usually with a computer connection to the

office

Tends to increase productivity and

empowerment, reduce stress and costs

Problems with lack of recognition, lack ofsocial interaction

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8/208 2005 The McGraw-Hill Companies, Inc. All rights reserved.McShane/Von Glinow OB 3e

Trends: Changing Workforce

Primary and secondary diversity -- butconcerns about distinguishing people byethnicity

More women in workforce and professions

Different needs of Gen-X/Gen-Y and baby-boomers

Diversity has advantages, but firms need toadjust

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Trends: Employment Relationship

Employability

New deal employment relationship

Continuously learn new skills

Contingent work

No contract for long-term employment

Free agents, temporary-temporaries

Minimum hours of work vary

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10/2010 2005 The McGraw-Hill Companies, Inc. All rights reserved.McShane/Von Glinow OB 3e

Employability vs Job Security

Job Security

Lifetime job security

Jobs are permanent

Company manages

career

Low emphasis on skill

development

Employability

Limited job security

Jobs are temporary

Career self-

management

High emphasis on skill

development

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11/2011 2005 The McGraw-Hill Companies, Inc. All rights reserved.McShane/Von Glinow OB 3e

Trends: Workplace Values & Ethics

Values are long-lasting beliefs about what is

important in a variety of situations

Define right versus wrong --guide our decisions

Values relate to individuals, companies, professions,

societies, etc.

Importance values due to:

Need to guide employee decisions and actions

Globalization increases awareness of different values

Increasing emphasis on applying ethical values

Ethics -- study of moral principles or values

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12/2012 2005 The McGraw-Hill Companies, Inc. All rights reserved.McShane/Von Glinow OB 3e

Values/Ethics at Toms of Maine

Tom and Kate Chappell have

built Toms of Maine, the

personal health care

products firm, around the

idea that businesses need to

be compatible with the

personal values of theiremployees.

Courtesy of Toms of Maine

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13/2013 2005 The McGraw-Hill Companies, Inc. All rights reserved.McShane/Von Glinow OB 3e

Corporate Social Responsibility

Corporate Social Responsibility Organizations moral obligation toward its

stakeholders

Stakeholders Shareholders, customers, suppliers,

governments etc.

Triple bottom line philosophy

Economic, Social & Environmental

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14/2014 2005 The McGraw-Hill Companies, Inc. All rights reserved.McShane/Von Glinow OB 3e

OrganizationalBehavior

Anchors

MultidisciplinaryAnchor

SystematicResearchAnchor

ContingencyAnchor

Open SystemsAnchor

Multiple Levelsof AnalysisAnchor

Organizational Behavior Anchors

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15/2015 2005 The McGraw-Hill Companies, Inc. All rights reserved.McShane/Von Glinow OB 3e

OutputsInputs

SubsystemSubsystem

Subsystem Subsystem

Organization

Open Systems Anchor of OB

FeedbackFeedback

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16/2016 2005 The McGraw-Hill Companies, Inc. All rights reserved.McShane/Von Glinow OB 3e

Knowledge Management Defined

Any structured activity that

improves an organizations

capacity to acquire, share,and use knowledge for its

survival and success

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17/2017 2005 The McGraw-Hill Companies, Inc. All rights reserved.McShane/Von Glinow OB 3e

StructuralCapital

RelationshipCapital

Knowledge captured in systemsand structures

Values derived from satisfiedcustomers, reliable suppliers, etc.

Human CapitalKnowledge that people possess

and generate

Intellectual Capital

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18/2018 2005 The McGraw-Hill Companies, Inc. All rights reserved.McShane/Von Glinow OB 3e

Awareness

Empowerment

Communication

Communities ofpractice

Grafting

Individuallearning

Experimentation

Knowledge

acquisition

Knowledge

sharing

Knowledge

use

Knowledge Management Processes

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19/2019 2005 The McGraw-Hill Companies, Inc. All rights reserved.McShane/Von Glinow OB 3e

Organizational Memory

The storage and preservation of intellectual

capital

Retain intellectual capital by:

Keeping knowledgeable employees

Transferring knowledge to others

Transferring human capital to structural capital

Successful companies also unlearn.

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C H A P T E R

2005 The McGraw Hill Companies Inc All rights reserved

1Introduction tothe Field of

Organizational

Behavior