Chapter One Chapter One The Nature and Scope of Organizational Behaviour.
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Transcript of Chapter One Chapter One The Nature and Scope of Organizational Behaviour.
Chapter OneChapter One
The Nature and Scope of The Nature and Scope of Organizational BehaviourOrganizational Behaviour
Copyright © 2007 by Nelson, a division of Thomson Canada LimitedCopyright © 2007 by Nelson, a division of Thomson Canada Limited 22
ObjectivesObjectivesAfter reading and studying this chapter, you should be able to:After reading and studying this chapter, you should be able to:
1.1. Explain what organizational behaviour Explain what organizational behaviour means.means.
2.2. Identify the potential advantages of Identify the potential advantages of organizational behaviour knowledge.organizational behaviour knowledge.
3.3. Explain key events in the history of Explain key events in the history of organizational behaviour.organizational behaviour.
4.4. Identify some of the key approaches to Identify some of the key approaches to organizational behaviour and recent organizational behaviour and recent trends in the field.trends in the field.
5.5. Summarize the research methods of Summarize the research methods of organizational behaviour.organizational behaviour.
6.6. Understand how a person develops Understand how a person develops organizational behaviour skills.organizational behaviour skills.
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The Meaning of Organizational The Meaning of Organizational BehaviourBehaviour
OB is the study of human behaviour OB is the study of human behaviour in the workplace, the interaction in the workplace, the interaction between people and the between people and the organization, and the organization organization, and the organization itself.itself.
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Goals of OBGoals of OB
Explain behaviourExplain behaviour Predict behaviourPredict behaviour Influence behaviourInfluence behaviour
For you to be able to make sense of an For you to be able to make sense of an organization in which you are placed: organization in which you are placed: ““What is going on here from a human What is going on here from a human
standpoint?”standpoint?”
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Benefits of Studying OBBenefits of Studying OB
1.1. Skill developmentSkill development
2.2. Personal growthPersonal growth
3.3. Enhancement of organizational Enhancement of organizational effectivenesseffectiveness
4.4. Sharpening and refinement of Sharpening and refinement of common sensecommon sense
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Benefit #1 – Skill Benefit #1 – Skill developmentdevelopment
Generic skills that complement all Generic skills that complement all disciplines (e.g., dealing with people, disciplines (e.g., dealing with people, problem solving)problem solving)
““soft” skillssoft” skills e.g., motivating otherse.g., motivating others
hard & softhard & soft e.g., decision makinge.g., decision making
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Benefit #2 – Personal Growth Benefit #2 – Personal Growth through Insight into Human through Insight into Human
BehaviourBehaviour
Better understanding of othersBetter understanding of others Enhanced self-knowledge and self-Enhanced self-knowledge and self-
insightinsight Practical applications:Practical applications:
Managerial tasks, e.g., selecting people Managerial tasks, e.g., selecting people for jobs, communicatingfor jobs, communicating
Professional tasks, e.g., managing Professional tasks, e.g., managing change, dealing with customerschange, dealing with customers
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Benefit #3 – Enhancement of Benefit #3 – Enhancement of Organizational EffectivenessOrganizational Effectiveness
Attention to the human element improves Attention to the human element improves business performancebusiness performance e.g., link between human resource practices and e.g., link between human resource practices and
bank performancebank performance OB uncovers factors influencing OB uncovers factors influencing
performanceperformance e.g., motivation – people work harder with e.g., motivation – people work harder with
greater control over work environment, teams greater control over work environment, teams more productive and happier when given more productive and happier when given responsibilityresponsibility
Managerial success enhanced by Managerial success enhanced by understanding peopleunderstanding people
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Benefit #4 – Sharpening & Benefit #4 – Sharpening & Refining Common SenseRefining Common Sense
Reduces time needed to acquire Reduces time needed to acquire knowledge and skills re. behaviourknowledge and skills re. behaviour
Common sense applies generally; OB Common sense applies generally; OB helps with specific applicationhelps with specific application
Common sense sometimes only Common sense sometimes only partially true (e.g., inactivity des not partially true (e.g., inactivity des not reduce stress for all)reduce stress for all)
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Brief History:Brief History: Four Key Four Key DevelopmentsDevelopments
1.1. Classical Approach to ManagementClassical Approach to Management
2.2. Hawthorne studiesHawthorne studies
3.3. Human Relations MovementHuman Relations Movement
4.4. Contingency Approach to Contingency Approach to management & leadershipmanagement & leadership
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Brief History: Brief History: Classical Classical ApproachApproach
Study of management more Study of management more systematic and formal as a result of systematic and formal as a result of Industrial revolutionIndustrial revolution
Encompassed:Encompassed: Scientific ManagementScientific Management Administrative ManagementAdministrative Management
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Brief History: ClassicalBrief History: ClassicalScientific ManagementScientific Management
Applying scientific methods (Taylor, Applying scientific methods (Taylor, Gilbreth, Gantt) to increase productivity:Gilbreth, Gantt) to increase productivity: Careful study to develop standard work Careful study to develop standard work
practices, standardization of toolspractices, standardization of tools Worker selection using scientific principlesWorker selection using scientific principles Management/worker cooperation to Management/worker cooperation to
accomplish standard proceduresaccomplish standard procedures Managers do the thinking/workers carry outManagers do the thinking/workers carry out
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Brief History: ClassicalBrief History: ClassicalAdministrative ManagementAdministrative Management
Concerned with management & Concerned with management & structure of organizationsstructure of organizations
Fayol developed management Fayol developed management principles for planning, organizing, principles for planning, organizing, commanding, coordinating & commanding, coordinating & controllingcontrolling
Weber suggested bureaucracy as Weber suggested bureaucracy as ideal in efficiencyideal in efficiency
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Brief History: Brief History: Classical Classical ApproachApproach
Strengths & contributions:Strengths & contributions: Provided framework for management – Provided framework for management –
planning, organizing, leading & controllingplanning, organizing, leading & controlling Provided systematic ways of measuring people Provided systematic ways of measuring people
and workand work Limitations:Limitations:
Sometimes ignores differences among people Sometimes ignores differences among people and situationsand situations
Some principles not suited to fast-changing Some principles not suited to fast-changing situationssituations
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Brief History: Brief History: Hawthorne Hawthorne StudiesStudies
Marked beginning of behavioural Marked beginning of behavioural approach to managementapproach to management
Began with lighting studies at Began with lighting studies at Western Electric’s Hawthorne plant, Western Electric’s Hawthorne plant, continued by investigating other continued by investigating other possible influencespossible influences
Revealed production influenced by Revealed production influenced by human factors human factors
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Brief History: Brief History: Hawthorne Hawthorne Studies Studies (cont.)(cont.)
Origin of phenomenon referred to as Origin of phenomenon referred to as “Hawthorne Effect”:“Hawthorne Effect”: People tend to behave differently when People tend to behave differently when
they receive attention (as in an they receive attention (as in an experiment) because they respond to experiment) because they respond to the demands of the situationthe demands of the situation
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Brief History: Hawthorne Brief History: Hawthorne StudiesStudies
•• Key Findings Key Findings •• 1.1. Economic incentives not as powerful as Economic incentives not as powerful as
assumed. assumed.
2.2. Human problems challenging & complicated to Human problems challenging & complicated to deal with.deal with.
3.3. Leadership practices & work-group pressure Leadership practices & work-group pressure influence employee satisfaction & productivityinfluence employee satisfaction & productivity
4.4. Personal problems can influence productivityPersonal problems can influence productivity
5.5. Good communication critical to mgt success.Good communication critical to mgt success.
6.6. Factors influencing employee behaviour must Factors influencing employee behaviour must be understood in context of social system.be understood in context of social system.
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Brief History: Hawthorne Brief History: Hawthorne StudiesStudies
•• CriticismsCriticisms •• Lacking scientific rigourLacking scientific rigour
E.g., control group employees E.g., control group employees influenced by feedback and rewardsinfluenced by feedback and rewards
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Brief History: Human Relations Brief History: Human Relations MovementMovement
Theme 1: Theme 1: Believes important link between managerial Believes important link between managerial
practices, morale & productivitypractices, morale & productivity Workers bring social needs to job & are members of Workers bring social needs to job & are members of
various work groupsvarious work groups Managers must recognize those needs & the Managers must recognize those needs & the
influence of work groups on performanceinfluence of work groups on performance
Theme 2:Theme 2: Strong belief in workers’ capabilities; all would Strong belief in workers’ capabilities; all would
be productive in proper environmentbe productive in proper environment
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Brief History: Human Brief History: Human Relations – McGregorRelations – McGregor
Noted management’s assumptions about Noted management’s assumptions about workers’ capabilities:workers’ capabilities: Theory X (Theory X (pessimistic)pessimistic)
People dislike work, not ambitious, seek to People dislike work, not ambitious, seek to avoid responsibility, must be watched closelyavoid responsibility, must be watched closely
Theory YTheory Y (optimistic) (optimistic) People do accept responsibility, can innovate, People do accept responsibility, can innovate,
see work as natural, can exercise self-controlsee work as natural, can exercise self-control
McGregor: Y should guide managerial McGregor: Y should guide managerial practicepractice
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Brief History: Contingency Brief History: Contingency Approach to ManagementApproach to Management
No one best way to manage people No one best way to manage people or work; must consider situational or work; must consider situational factorsfactors
Emerged from study of leadership Emerged from study of leadership styles: workers do not respond in styles: workers do not respond in same way to identical leadership same way to identical leadership initiativesinitiatives
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Brief History: Contingency Brief History: Contingency Approach to Management Approach to Management
(cont.)(cont.) Strength:Strength:
Encourages us to examine individual Encourages us to examine individual and situational differences before and situational differences before deciding on course of actiondeciding on course of action
Problem:Problem: Used as excuse for not acquiring OB Used as excuse for not acquiring OB
knowledge (what’s the point if “it knowledge (what’s the point if “it depends”?)depends”?)
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Other Key Approaches to OBOther Key Approaches to OB
Multidisciplinary, e.g.,Multidisciplinary, e.g., PsychologyPsychology SociologySociology AnthropologyAnthropology Political sciencePolitical science Engineering Engineering
Systems approachSystems approach
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Systems ApproachSystems Approach
Considers an organization to be a system Considers an organization to be a system (set of inter-related parts acting as one) that (set of inter-related parts acting as one) that interacts with environmentinteracts with environment Draws Draws inputinput (people, equipment…) from (people, equipment…) from
environmentenvironment ProcessesProcesses inputs inputs Returns Returns outputsoutputs (goods, services) to environment(goods, services) to environment
Has subsystems within; is part of larger Has subsystems within; is part of larger systemsystem
Change in one system or subsystem affects Change in one system or subsystem affects othersothers
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Systems Approach (cont.)Systems Approach (cont.)
Emphasizes Emphasizes opennessopenness and and connectednessconnectedness
Notes use of Notes use of boundary spannersboundary spanners Suggests people working Suggests people working together together
often more effective than as individualsoften more effective than as individuals Suggests Suggests many waysmany ways to do things to do things
(different processes creating similar (different processes creating similar outputs)outputs)
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Recent Trends Influencing Recent Trends Influencing OBOB
GlobalizationGlobalization Requirements for managing Requirements for managing diversitydiversity Emphasis on Emphasis on ethicalethical decision makingdecision making Demands for Demands for leadershipleadership development development Need for effective Need for effective knowledge knowledge
managementmanagement
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OB Data Collection & Research OB Data Collection & Research MethodsMethods
Methods of data collection:Methods of data collection: SurveysSurveys InterviewsInterviews Direct observation of behaviourDirect observation of behaviour
Systematic observationSystematic observation Participant observationParticipant observation
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OB Data Collection & Research OB Data Collection & Research Methods (cont.)Methods (cont.)
Research Methods:Research Methods: Case studiesCase studies ExperimentsExperiments
independent and dependent variablesindependent and dependent variables lab experimentslab experiments field experimentsfield experiments
Meta-analysisMeta-analysis combining resultscombining results note moderator variablesnote moderator variables
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A Framework for Studying OBA Framework for Studying OB
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Skill Development in OBSkill Development in OB
Means learning to work effectively Means learning to work effectively with individuals, groups and with individuals, groups and organizational forcesorganizational forces
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Exhibit 1-3 Exhibit 1-3 A Model for Developing Skills in A Model for Developing Skills in
OBOB