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Introduction tothe Field of Organizational
Behavior
Copyright © 2015 McGraw-Hill Education. All rights resered. !o reproduction or distri"ution without the prior written consent o# McGraw-Hill Education.
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Quicken Loans
Quicken Loans has become oneof America’s most successful
companies through high
involvement, a focus on
creativity, a strong culture, and
other eective organizational
behavior practices.
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Organizational Behaviorand Organizations
Organizational behavior he study of !hat people think, feel, and do in
and around organizations
Organizations"roups of people !ho !ork interdependently
to!ard some purpose
#ollective entities
#ollective sense of purpose
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Why Study OB?
$atisfy the need to understand and predict
%elps us to test&improve personal theories
'n(uence behavior ) get things done
O* improves an organization’s +nancialhealth
O* is for everyone
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rgan za onaEectiveness
he ultimate dependentvariable in O*
Old approach ) achievingstated goals
roblem !ith goalattainment
#ould set easy goals
#ompany might achieve!rong goals
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Four !ers"ectives ofOrganizational Eectiveness
$takeholder erspective
%igh-erformance erspective
Organizational Learning
erspective
Open $ystems erspective
/O01 /eed to consider all four perspectives !henassessing a company’s eectiveness
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"en ys e#s!ers"ective
Organizations are comple2 systems that3live4 !ithin, and depend on, the e2ternalenvironment
0ective organizations5aintain a close 3+t4 !ith changing conditions
ransform inputs to outputs e6ciently and(e2ibly
7oundation for the other threeorganizational eectiveness perspectives
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8roducts&services
8$hareholderdividends
8#ommunitysupport
8aste&pollution
echnologicalsubsystem
5arketing &$ales
subsystem
roduction
subsystem
# u l t u r a l
s u b s y s t e m
subsystem
s u b s
y s t e
m
, u r c h a s i n g
s u b s y s t e m
Engineeringsubsystem
Accounting
subsystem
s u b s y s t e m
S o c i a l i z a t i o n s u b s y s t e m
s u b s y s t e
m89a!materials
8%umanresources
8'nformation
87inances
80:uipment
7eedback7eedback
s u b s y s t e
m
subsystem
s u b s
y s t e
m
5anagerial
subsystem
$ransfor#ing in"uts toout"uts
"en ys e#s!ers"ective
02ternal0nvironment
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Organizational Learning!ers"ective
An organization’s capacity toac:uire, share, use, and storevaluable kno!ledge
/eed to consider both stockand (o! of kno!ledge
$tock1 intellectual capital
7lo!1 org learning processesof ac:uisition, sharing, use,
and storage
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Intellectual %a"ital
Relationship
CapitalValue derived from satisfied
customers, reliable suppliers, etc.
Structural
CapitalKnowledge captured in systems and
structures
Human
CapitalKnowledge that people possess and
generate
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Organizational Learning!rocesses
Knowledge
Acquisition
Knowledge
Sharing
Knowledge
Use
Knowledge
Storage
• Learning
• Scanning
• Grafting
• Experimenting
• Communicating
• Info systems
• Internal learning
• raining
•!"ser#ing
• Awareness of$nowledge
• Sense ma$ing
%locating
$nowledge&
• Autonomy toapply $nowledge
• 'uman memory
• (ocumentation
• )ractices*ha"its
• (ata"ases
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Organizational &e#ory he storage and preservation ofintellectual capital
9etain intellectual capital by1
;eeping kno!ledgeable employees ransferring kno!ledge to others
ransferring human capital tostructural capital
$uccessful companies also unlearn
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'igh(!erfor#ance Work!ractices
orkplace practices that leverage thepotential of human capital
7our %s . 0mployee involvement?. @ob autonomy
. Bevelop competencies
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%or"orate Social )es"onsi*ilityat &$+
At 5/ "roup, Africa’s largest mobile Bays of D’ello #are4 program.
his photo sho!s 5/ employees painting schools during a
recent D’ello #are event.
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Stakeholder !ers"ective
$takeholders1 entities !hoaect or are aected by the+rm’s obEectives and actions
ersonalizes the open systems
perspective
#hallenges !ith stakeholderperspective1
$takeholders have con(ictinginterests
7irms have limited resources tosatisfy all stakeholder needs
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Stakeholders, -alues andEthics
Falues and ethics prioritizestakeholder interests
Falues
$table, evaluative beliefs, guide
preferences for outcomes orcourses of action in varioussituations
0thics
5oral principles&values,determine !hether actions areright&!rong and outcomes aregood or bad
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Stakeholders and %S)
$takeholder perspectiveincludes corporate socialresponsibility
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.lo*alization
0conomic, social, and cultural connectivity!ith people in other parts of the !orld
Bue to better communication and
transportation systems0ects of globalization on organizationsLarger markets, lo!er costs, more innovation
'ncreasing diversity'ncreasing !ork intensi+cation, less !ork-life
balance
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Increasing Workforce/iversity
$urface-level vs deep-level diversity
'mplications
*etter kno!ledge,decisions, representation,+nancial returns
5anage challenges ofdiversity
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E#erging E#"loy#ent)elationshi"s
ork&life balance5inimizing con(ict bet!een !ork and non!ork
demands
Firtual !orkHsing information technology to perform one’s Eob a!ay from the traditional physical !orkplace
elecommuting ) issues of social isolation,
emphasis on face time, employee self-motivated
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Organizational Behavior0nchors
$ystematic research anchorO* kno!ledge is built on systematic
research
0vidence-based management ) rely on
research evidence, not fads, untestedassumptions
5ultidisciplinary anchor5any O* concepts adopted from other
disciplines
O* develops its o!n theories, but scansother +elds
i i l h i
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Organizational Behavior0nchors con2t3
#ontingency anchorA particular action may have dierent
conse:uences in dierent situations
/eed to diagnose the situation and select
best strategy under those conditions
5ultiple levels of analysis anchor'ndividual, team, organizational level of
analysis
O* topics usually relevant at all threelevels of analysis
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Introduction tothe Field of Organizational
Behavior
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