chap001-the dynamics of people and organizations

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Organizational Behavior Human Behavior at Work

Thirteenth Edition

McGraw-Hill/Irwin Copyright 2011 by The McGraw-H il l Companies, Inc. All ri ghts reserved.


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Chapter One

The Dynamics of

People and Organizations


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Chapter Objectives

To understand:

The meaning of organizational behavior

The key goals and forces with which it is

concerned

Basic concepts of organizational behavior

Major approaches taken in this book

How organizational behavior affects

organizational performance Limitations of organizational behavior

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Introduction

Basic Concepts

Organizations are complex

Human behavior in organizations is sometimes

unpredictable

Human behavior can be partially understood

There are no perfect solutions to organizational

problems

Organizational behavior is needed

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Understanding Organizational Behavior

Organizational behavior

The systematic study and careful application

of knowledge about how people act within

organizations

Strives to find ways in which people can actmore effectively

Is an applied science

Provides a useful set of analysis tools

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Goals of OB

Describe

Understand

Predict, and

Control human behavior at work

Organizational behavior is a human tool forhuman benefit

It is not designed to limit freedoms or take

away rights

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Primary Forces

People

Structure

Technology

Environment

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Positive Characteristics of the OB Field

Interdisciplinary nature

Emerging base of research knowledge, models,

and conceptual frameworks

Practice

ResearchTheory

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Positive Characteristics of the OB Field

Three Keys to Success

Theories

Offer explanation of how and why people

think, feel, and act as they do

Practical

Research

Gathering and interpreting relevant evidence

Ongoing process

Practice

Acceptance & application by practicing

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Fundamental Concepts

The Nature of People

Individual differences

Perception

A whole person

Motivated behavior

Desire for involvement

Value of the person

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The Nature of Organizations

Social systems

Mutual interest

Ethics

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Mutual Interest Provides a Subordinate Goal

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Basic Approaches of This Book

Organizational behavior seeks to integrate People

Structure

Technology

Environment

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Basic Approaches of This Book

Figure 1.4

Human Resources(Supportive)

Employee growth and development areencouraged and supported

Contingency Different managerial behaviors arerequired by different environments

Results-Oriented Outcomes of organizational behaviorprograms are assessed in terms of theireffectiveness

Systems All parts of an organization interact in a

complex relationship

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Human Resources Approach

A supportive approach

Helps employees become better, more

responsible people

Creates a climate in which employees can

contribute to the limit of their improved abilities Leads to operating efficiencies

Results in work satisfaction

Produces better results

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Contingency Approach

Few across-the-board concepts apply in all

instances

Different situations require different practices

The key question is when to use a specific

approach Encourages analysis of each situation prior to

action

Discouraging habitual practice based on

universal assumptions about people

Helps managers use all the current appropriate

knowledge about people in the organization

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Results-Oriented Approach

A dominant goal for many organizations is to be

productive

A ratio that compares output with input, often

against a predetermined standard

Productivity is measured in terms of economics,but human and social inputs & outputs are also

important

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Results-Oriented Approach: OB Equations

Knowledge x Skill = Ability

Attitude x Situation = Motivation

Ability x Motivation = Potential performance

Potential performance x Resources x Opportunity =

Organizational results

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Systems Approach

1. There are many variables within a system2. The parts of a system are interdependent

3. There are many subsystems

4. Systems require inputs, a process, and outputs5. The input-process-output mechanism is cyclical

and self-sustaining

6. Systems produce positive and negative results

7. Systems produce intended and unintendedconsequences

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Systems Approach

8. Consequences may be both short-term & long-

term

9. Multiple ways can be used to achieve a desiredobjective

10. Systems can be understood, changed and managedif focus remains on problems causes

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Systems Approach

A systems approach requires

Holistic organizational behavior

Cost-benefit analysis

Figure 1.6

Proposed OB Action

Potential Benefits

Potential Costs

Compare

Decide

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Limitations of Organizational Behavior

Behavioral bias

A narrow viewpoints that emphasizes satisfying

employee experiences while overlooking the

broader system

Can harm both the employees and organization The law of diminishing returns

Increases of a desirable practice produced

declining returns eventually zero return and then

negative returns!

For any situation there is an optimum amount of

a desirable practice

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Limitations of Organizational Behavior

Unethical manipulation of people

Knowledge & techniques of OB may be used for

negative as well as positive consequences

Ethical Leadership Principles

Social responsibility

Open communication

Cost-benefit analysis

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Continuing Challenges

Seeking Quick Fixes

Embracing the newest fad

Addressing symptoms, not underlying problems

Fragmented efforts

Varying Environments

Shrinking demand

Scarce resources

More intense competition

Organizational stagnation or decline

Increased stress and conflict

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Continuing Challenges

Definitional Confusion

OB has experienced some difficulty emerging as

a clearly defined field

Lack of consensus regarding

Unit of analysisNeeds

Focus

Contributions to date

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