Chet Nath Dahal

Fundamental of Organizational Behaviour 1.1 Historical Overview of O.B

Hand out no: 1 The relationship of O.B. to other closely disciplines:

O.T Theoretical (Organization theory)

O.B ( Organizational behavior)

O.D Applied ( Organization development)

HRM ( Human resource mgmt)

1. Definition: Fred Luthans Organizational behaviour can be defined as the understanding, prediction and control of human behaviour in organization Understanding = Theory Prediction = Research Control = Management

Simple relationships among problems, methodology and Knowledge

Body of Knowledge

Research methodology

Problems & questions of O.B

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Chet Nath Dahal

2. Joe Kelly Organizational behavior is the systematic study of the nature of organizations: how they begin, grow and develop their effect on individual member, constituent groups and other organizations and larger institution Understanding: 1. People 2.Structure 3.Technolology 4.Organisational behavior 5.External environment People

External environment

O.B

Structure 3. System theory:

Technology

Comes from external Environment

INPUTS -Information -Physical resources -Human resources -Financial resources -Technology

CONVERSION Value addition ( Meaning full items) = Greater than

OUTPUTS End results = Less than

4.

The nature of Organization

Ext.env.

Org .

Peo ple

Ext.env.

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Chet Nath Dahal

a. Human behavior in organizational setting: Knowledge based organization; Individual dimension; b. The individual-organization interface: behavioral outcome; effort, motivation, cooperation, involvement. c. The organization: structure, distribution of authority and power, communication , organizational culture. 5. Historical Background of O.B

O.B emerged around the 1940s

Plato who describes essence of leadership and job specialization Aristotle about persuasive and organizational communication Niccolo Machiavelli advocated organizational power and politics Adam Smith about organization structure based on division of labour Max Weber advocated rational organizational structure and charismatic leadership F.W Taylor introduced the concept of labour management co-operation; Scientific Management -The principle of scientific management (1911) 1. Science , not rule of thumbs 2. Harmony, not discard 3. Co-operation, not individualism 4. Maximum output/not restricted output 5. Development of each man to his greatest efficiency and prosperity Eton W. Mayo founder of human relation moment (1927-32) Human relation moment contribution Abraham Maslow, Douglas Maslows hierarchy of needs : Five needs 1. Physiological 2. Security 3. Social 4. Esteem 5. Self-actualization Mc Gregors Theory X and Theory Y Modern Era 1. Emerged 1940 2. O.B. books published in 1944 3. O.B is a hybrid of different social sciences: sociology; psychology; political science; Anthropology; economics and industrial engineering 4. It draws different theories from these different disciplines in order to understand and predict behavior at work. Eventually, O.B emerged as a mature field of study in the late 1950s and 1960s.

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6. Importance of O.B Satisfy one needs to understand and predict Influence organizational event Research and practice

7. Multidisciplinary Anchor A. Traditional 1. 2. 3. 4. 5. 6. Psychology Sociology Anthropology Political science Economics Industrial engineering

B. Emerging Discipline 1. 2. 3. 4. Communication Information system Womens studies Medicine

8. Subject Matter of O.B Anthropology: - Individual to organization -One part reflect to other -Observing capacity of people Sociology -Construct society, (individual and groups) Psychology -Related to mind, knowledge 9. Approaches to study to O.B 1. Interdisciplinary approach: - Hybrid discipline; buy only human related matters; individual indifference; value, perception and thinking. - Biology and psychology: people and organization; medicine. 2. Human resource approach (Supporting or development): - Growth and development of individual; competency and creditability; supportive system.

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Chet Nath Dahal

-Traditional manager function is to decision making, controlling, directing; new role is selfdirection and self- control. 3. Contingency approach: - Environment and situation; differ environment and behavior. - Change leads to changing in working style. O.B.is always guided by contingency situation. - There is relationship between environment and existing working condition. - Scientific management; human relation and bureaucracy; success or failure depends on situation. - A successful manager is one who cope the situation and environment that make people more motivated to attain the organization. -It is trial and error not rule of thumb. 4. System approach - Modern approach; whole system; A system is constitute many sub-systems. - There is positive relationship between people behavior action and organization system. - Cost benefit analysis; If and then logic; either or; Cost out put analysis; The gap between budgeted and actual both cost and achievement; Net benefit analysis. WHICH MODEL IS BEST? No one is single best one it depends on situation. Both of either approach may produce best result. System approach is more logical as well as scientific.

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