Module 1 #Introduction to Organizational Behavior
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Transcript of Module 1 #Introduction to Organizational Behavior
Organizational Behavior
Module 1: Introduction to organizational behavior
Vinay Kumar, Ph.D
Vidisha Garg, MBA
ICBM-SBE, 2014
Idea of an ‘organization’
Vinay Kumar; Vidisha Garg 2
PEOPLE
PROCESSES
TECHNOLOGY
GOALS
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SOCIETY (GOVERNMENT)
MARKETS (COMPETITION)
Read more @ http://www.csupomona.edu/~msharifzadeh/chapter1.html
Managing organizations
• Who is managing – people
• Who/what are managed – people/resources
• What is being managed – alignment
• Why management – goals
• What happens if there is no management
– Supplement 1: Is management always necessary?
– Supplement 2: Should management always be felt?
– Supplement 3: Can management not exist in any organization?
• What is the context for management – boundary constraints
3 Vinay Kumar; Vidisha Garg
Perspectives
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What does effective management need?
• Externally,
– Being sensitive to regulatory and social constraints
– Having access and capacity to mobilize resources (men/material etc)
• Internally,
– Being sensitive to human behaviour (Here is Org. Behaviour)
– Making optimal utilization of resources (men/material etc)
Vinay Kumar; Vidisha Garg 5
What is organizational behaviour?
• Systematic study of people and structures on behaviours
exhibited within the organization
– Key premise here is that knowledge gained through such study could be
applied to improve organizational effectiveness
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Roots of OB
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• Psychology
– Studies the causes and
changes individual behavior
• Social psychology
– Studies the influences of
people on one another,
especially in group settings
• Sociology
– Studies the behavior of
people in relation to their
social culture or environment
• Anthropology
– Studies the evolution of
cultures and environments
Source: Robbins, S. P., & Judge, T. A. (2013). Organizational Behavior,15th Edition. Pearson: New Jersey.
Contributions to foundations of OB
• What if all of us thought alike, i.e. there is a common
conscience in all of us?
– Crime is that which deviates from common conscience; and
punishment becomes repressive
• What if there is a social order brought through division of
labor according to merit?
– Crime is that which tries to break the social order; and
punishment becomes restorative
– Social inequalities come closest to natural inequalities
• ‘Whole is greater and different than the sum of its parts’
• Read more @
http://www.wavesofwords.4t.com/theorywebpage.htm
Vinay Kumar; Vidisha Garg 8
Emile Durkheim (1858-1957)
Contributions to foundations of OB
• What if the most efficient way of organizing human
activity?
– Bureaucracy as a method of organizing human activity by
bestowing rational-legal authority to certain individuals
– Administration as an idea of dominating through
knowledge
– Bureaucracy is efficient yet it
• Threatens individual freedom
• Through a process of rationalization, it captures the human soul in an
iron-cage made of rules and controls
• Read more @
http://faculty.babson.edu/krollag/org_site/encyclop/bur
eaucracy.html
Vinay Kumar; Vidisha Garg 9
Max Weber (1864-1920)
Contributions to foundations of OB
• When would people cooperate? (ex: take orders)
– Informal organization exists within formal setups.
– People take orders from managers when there is a ‘zone
of indifference’, i.e. a situation where individuals accept
orders without questioning the authority of manager
– Four conditions when authority is acceptable:
• Communication is effective
• Decisions are purposeful
• Orders compatible with interests of executives
• Executive is capable
• Read more @
http://en.wikipedia.org/wiki/The_Functions_of_the_Executive
Vinay Kumar; Vidisha Garg 10
Chester Barnard (1886-1961)
How to recognize OB?
• Four checks:
– Systematic study: Identifying relationships between variables, cause and effect
relations, if any, based on scientific methods of observation and analysis
• Example 1: Survey indicates moderate level of satisfaction among mid-career group
• Example 2: Manager observes sudden decrease in performance of his team; and the
manager interviews his team to explore reasons (evidence-based management)
• Note: Intuition isn’t necessarily the best method for decision-making
– Behaviours: Not all behaviours, but those related to performance
• Examples: Absenteeism, turnover, productivity, loyalty etc
– Structures: Indicates how different configurations influence behaviour
• Example: Deep hierarchies could discourage people from performing
– Application: Changes within organization would make it more effective
• Example: Merit-based promotions encourage people to perform
Vinay Kumar; Vidisha Garg 11
TYS: Is this OB?
• Ranjan got married recently, and went out for a long honeymoon on
company approved leaves. When he was back he was shocked to find there
were several complaints on his pending work which was allotted to him
during his absence. Ranjan was upset about this and confronted his
manager. His manager simply said, ‘we followed the rules of project
management in allocating work and were totally scientific in our methods,
and by that we imagine you should be able to comeback and do your stuff’.
Vinay Kumar; Vidisha Garg 12
TYS: Is this OB?
• Namita has joined the firm recently as a software developer but she aspires
to be a civil servant. After office hours, she is spending time at a coaching
center to prepare for her upcoming exams. However, overnight
preparations started showing up in her performance on the job. Her
manager suggested that Namita should carefully think about her priorities
since lackadaisical performance was intolerable.
Vinay Kumar; Vidisha Garg 13
TYS: Is this OB?
• Sumit worked as a consultant for twenty years in the same firm. He began
to feel the need to spend time with his family and informed his manager
about this. After a long discussion, manager agreed to relieve Sumit from
the job and wished him a happy time ahead.
Vinay Kumar; Vidisha Garg 14
TYS: Is this OB?
• Polly is a bubbly girl and she works for an ad agency. People around her are
always flattered by her style. Recently, her manager began to feel a bit
isolated with everyone giving their attention to Polly and not him. He
figured that it was because of how Polly dressed herself and decided to
deal with it. One day he called Polly and warned her to dress more
appropriately. When Polly did not comply, he came with a new dress-code
policy to make sure everyone, including Polly, adhered to it. This, he
reasoned to seniors as an initiative to reduce differences in how people
looked, and therefore lets them focus on their performance more than
their appearance.
Vinay Kumar; Vidisha Garg 15
The holy grail of OB
• Hypothesis 1: Productive people are happier
• Hypothesis 2: Happier people are more productive
• Managerial dilemma
– Control production vs. Care for people
– Performance vs. Satisfaction
• The way in which individuals deal with each other often indicates their
orientation towards this dilemma
– Example: Task-oriented managers stress for results, whereas people-oriented
managers stress for bonding, teamwork, and loyalty
Reference:
Landy, E. F. (1989). Psychology of work behavior. Pacific Grove, CA: Brooks/Cole.
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What managers do • Planning
• Organizing
• Leading
• Controlling
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Fayol, H. (1949). General and Industrial Management. (C. Storrs, Translation). Sir Isaac Pitman & Sons Limited: London
Gulick, L. & Urwick, L. (1933). Papers on the science of administration. Institute of Public Administration: New York.
Note: Evolution of management thought must be learnt in detail from the PPM Course, Unit 1.
Skills managers need
• Technical skills
– Specialized knowledge in solving technical problems. These problems need more
individual attention than group interaction or public consultation.
– Examples: Building functions in Excel, charting processes in Visio, entering transactions
into Tally, writing summary reports in Word
• Interpersonal skills
– Specialized knowledge in interacting with individuals and groups. These problems need
greater variety of thought or individuals contributing pieces of their knowledge.
– Examples: Designing ads, establishing international businesses, dealing with new
customer segments, maintaining organizational reports
• Conceptual skills
– Specialized knowledge in abstraction. Typically, individuals need these skills to identify
problems, work on alternatives, make hard decisions and drive policies
– Examples: …more money, and then…, …high labor turnover, so now what…
Vinay Kumar; Vidisha Garg 18
Success vs. Effectiveness
Vinay Kumar; Vidisha Garg 19
Do managers who get quick promotions continue doing the same
things they did to get promoted?
Roles that managers play
• Interpersonal
• Informational
• Decisional
• Managers can play several
roles at the same time,
depending on the situation
Vinay Kumar; Vidisha Garg 20
TYS: What role is prominent here?
• At a reputed consulting firm, call it Booz Allen, a lady receptionist, about 80
years old still continues in her job. The manager of that facility proudly says
that his receptionist’s single point job-description is to greet all other
employees with a smile.
• Companies should be fortunate to find eager-beavers. Justin was one such
who would not leave the desk with any pending work, not just of his but of
his team too. But his manager has been asking him to leave the office on-
time irrespective of whether the work gets done or not.
• Vallika had to fly to US to sign a contract. She anticipated other deals in
India in her absence, and had put up a vacation responder on her email
indicating her subordinate’s contact details and the date of her arrival.
Vinay Kumar; Vidisha Garg 21
TYS: What role is prominent here?
• Bank manager, Srinivas, signing loan applications was consciously checking
whether his subordinates have signed on the file, and whether the
applicants have reliable sources of income. If he is unsatisfied with any
application, he is sending it back for more information.
• As a senior manager of the firm, Teffany, had to report the recent employee
satisfaction survey results to the media. Whenever she talks, she also
wanted to communicate her expectations from employees. She prepared
her speech accordingly.
• Bappi, manager of an upcoming steel plant, found that there are two other
companies vying for the load of coal that was recently imported into the
local shipyard. He knew that competition would be counter-productive to
his business. He wanted to discuss with the shipyard on getting his rights on
coal before others get into competition for the same load.
Vinay Kumar; Vidisha Garg 22
Challenges to OB
• Responding to economic pressures
• Responding to globalization
• Managing workplace diversity
• Improving customer service
• Improving people skills
• Stimulating innovation and change
• Coping with ‘temporariness’ (becoming obsolete too soon)
• Working in networked organizations
• Helping employees balance work-life conflicts
• Creating a positive work environment
• Improving ethical behavior
Vinay Kumar; Vidisha Garg 23
Making sense of OB: Process model
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Source: Robbins, S. P., & Judge, T. A. (2013). Organizational Behavior,15th Edition. Pearson: New Jersey.
Modus operandi
• Managers may, from their abilities to grasp a situation, choose any (or combination)
of the models of operating with their understanding of OB
– Autocratic model: Power-centric; ‘I order-you do’
– Custodial model: Resource-centric; ‘We must share these’
– Supportive model: Leadership-centric; ‘Let us make this a better place’
– Collegial model: Cooperation-centric; ‘What can I do for you’
– Systems model: Structure-centric; ‘All of us are here for each other’
• In that order, each model makes organizations more democratic
• For more discussion, read:
– http://wikieducator.org/Organizational_Behavior
– http://www.jstor.org/discover/10.2307/255194?uid=2&uid=4&sid=21104332911777
Vinay Kumar; Vidisha Garg 25
Exercise
• Find one news article which has an OB component. Preferably, it should include ‘in
quote’ comments by a representative of the organization in the article.
• Note: You should be able to explain the OB component you observed.
Vinay Kumar; Vidisha Garg 26
• For example, in this article, Satya Nadella says, in quotes:
• My message to employees is clear: let's be bold and
ambitious and really get behind the core that is
unique to us
• Today is all about focusing on the change that is
needed and renewal that is needed
• [Microsoft should become a place with] least number
of layers and least number of decision makers
• Read more @ http://online.wsj.com/articles/microsoft-ceo-
nadella-hints-at-organizational-changes-1405003356
For discussion
• Does national culture influence behavior within organizations?
• What is the best way to learn organizational behavior?
– Is it possible to learn from failures?
– Is robust research necessary for decision-making?
• Do introverts influence the behavior of others in organizations?
– If so, how?
– If not, why should they be in organizations?
• What are different forms of violence in organizations that is not apparent,
but also not ignorable?
– For example, bullying is an apparent act of violence. Objurgating is not so apparent,
but causes serious damage to psychology of individuals.
– What other forms of these soft violence are identifiable?
Vinay Kumar; Vidisha Garg 27
End of module 1.
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Do not forget to mention the ‘session date/section’ details
Upcoming
Module 2: Foundations of individual behavior