Chapter 1

What is Organizational Behaviour?

What is an Organization?
An organization is a collection of people who work together to achieve individual and organizational goals.

What is an Organization?
A consciously coordinated social unit, composed of two or more people, that functions on a relatively continuous basis to achieve a common goal or set of goals.

Organization as a process

Organizing involves the grouping of activities necessary to accomplish goals and plans, the assignment of these activities to appropriate departments and the provision for authority delegation and coordination.

Organization as a structure

It denotes the pattern of relationships among positions and jobs with the object of accomplishment of enterprise objectives.

Organization as a group

Groups of people who work interdependently toward some purpose Structured patterns of interaction Coordinated tasks Work toward some purpose

Why Do We Study OB?

To learn about yourself and how to deal with others You are part of an organization now, and will continue to be a part of various organizations Organizations are increasingly expecting individuals to be able to work in teams. Better communication To help the manager to understand the basics of motivation and then motivate his/her subordinates Controlling and directing behaviour Management of change Creation of congenial climate

Organizational Behaviour
Organizational Behavior (OB) is a discipline that deals with the study and application of knowledge about how people as individuals and as groups act within organizations. Fred Luthans defines OB as
the understanding, prediction and management of human behavior in organizations.

Defining Organisational Behaviour

It is an application of knowledge about how people act within organisation(Keith Davis&Newstrom) It is an interdisciplinary field dedicated to better understanding and managing people at work(Kiniki)

Definitions (contd)
It is a systematic study of the actions and reactions of individuals ,groups and subsystems(Uma sekaran) It is a study of what people think,feel, and do in and around organisations(Steven L.Mcshane )

Organizational Behaviour
. . . a field of study that investigates the impact that individuals, groups and structure have on behaviour within organizations, for the purpose of applying such knowledge toward improving an organizations effectiveness.

Insert Figure 1.1 here

What we will study in Organisational Behaviour?

Individual Behaviour- Percepton,Attribution,Personality, Attitude,Values,Learning,Motivation Group BehaviourLeadership,Group Dynamics,Power and Politics,Communication,Conflict Organisation_ Organisational Culture, Work stress, Organisational Change and Development

Levels of Analysis
e.g., Selection Systems e.g., Groupthink e.g., Personality Individual Group Level Level Organizational Level

Contributing Disciplines to the OB Field

Contributing Disciplines to the OB Field (contd)

Contributing Disciplines to the OB Field (contd)

Contributing Disciplines to the OB Field (contd)

Contributing Disciplines to the OB Field (contd)

Theoretical Frameworks for O.B.

Approaches to the study of Organisational behaviour

Cognitive Framework
Personality Satisfaction, Commitment and Absenteeism Model Attraction- Selection-Attrition Model

Behavioristic Framework
Pavlovs Dogs Environmental Contingencies

Social Cognitive Framework

Allows for more complexities More accepted framework

Cognitive framework
The cognitive approach is based on the expectancy, demand, and incentive concepts. Under this approach, behavior is determined with the help of cognition. The term cognition can be explained as a psychological process of recollecting information and past experiences. In OB, the cognitive approach is applied in the analysis of perception, personality and attitude, goal setting, and motivation.

Behavioristic Framework
Ivan Pavlov and John B Watson who pioneered the behavioristic theory explained human behavior with the help of stimulus-response experiments. The duo observed that a stimulus elicits a certain response, which results in learning. For example, when a person is pricked with a pin, he immediately flinches. The theory tried to explain the role of physical reflexes in human beings that contributed to the stimulus-response relationship.

 Although the behavioristic approach is based on the environment, some behavioristic scientists believe that cognitive variables too have a role in this approach. As a result of continuous efforts, a new area called the social learning approach has evolved, which incorporates both cognitive and behavioristic concepts.

Social learning Approach

The social learning approach incorporates both the cognitive and behavioral approaches though it is influenced more by the behavioral approach than the cognitive approach. Like the behavioristic framework, the social learning concept considers behavior as the appropriate unit of analysis. According to the social learning framework, people are self-aware and make efforts toward conscientious behavior. They gain knowledge of the environment and accordingly alter and construct it in a manner that is most suitable to them.

OB Models Models are framework of descriptions of how things work and are also known as paradigms. given by Keith Davis and Newstrom are: 1) Autocratic 2) Custodial 3) Supportive 4) Collegial
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 The Autocratic Model:- The autocratic model is based on power.

Models of ob

The Custodial Model:-The custodial model of OB takes into consideration the security needs of employees.

 The Supportive Model:- Creates supportive work environment and motivate employees to perform

Models of ob

The Collegial Model:-The management nurtures a feeling of partnership with its employees

 The basis of this model is power with a managerial orientation of authority. The employees in turn are oriented towards obedience and dependence on the boss. The employee need that is met is subsistence(conditioning of managing to stay alive). The performance result is minimal - most prevalent during the industrial revolution persons in power can demand work from workers pushing, directing and persuading The autocratic model is to maintain the tight control over the worker Manager resort to unfair practices, low payment and exploitation so the employees put in min work in the job to serve the basic needs of the family though model seem harsh, it has worked well in certain conditions, 28 e.g., organizational crisis.

AUTOCRATIC MODEL

The Custodial Model

To perk up the sagging morale of the workers under the autocratic model employers began to offer various welfare schemes in the 19th century paternalism fringe benefits job security. The basis of this model is economic resources with a managerial orientation of money. The employees in turn are oriented towards security and benefits and dependence on the organization instead on manager. The employee need that is met is security. In this model employees are assured of economic rewards and benefits irrespective of the performance, Thus the drawback of this model is that employees do not cooperate with superiors to improve organizational performance and do not contribute to best of their abilities as as they are no longer dependent on them

 E.g., IBM makes considerable efforts to stabilise the workforce and preserve their jobs reduces overtime, freezes hiring, allows job transfers and offers retirement incentives and lessens sub-contracting to adjust IT slow downs. The organisation should have considerable resources to pay pension benefit from physical needs to security needs. Workers depend more on the organisation and less on the managers ensures loyalty economic rewards are assured even if the employee does not perform contented but performance may decline because of job security 1940s and 50s University of Michigan conducted studies which revealed that happy employees are not necessarily the most productive employees.
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Supportive
The basis of this model is leadership with a managerial orientation of support. The supportive model is based on leadership The employees in turn are oriented towards job performance and participation. The employee need that is met is status and recognition. The leadership and other processes of the organisation must be such as to ensure a maximum probability that in all interactions and all relationships within the organisation each member will, in the light of his or her back ground, values, and expectations view the experience as supportive and one which builds and maintains his or her sense of personal worth and importance. e.g., TATAs. Ensures organizational harmony.
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 The basis of this model is partnership with a managerial orientation of teamwork. The employees in turn are oriented towards responsible behavior and self-discipline. The employee need that is met is self-actualization. The performance result is moderate enthusiasm. Collegial means a group of people working for a common purpose. Manager is not addressed as boss but is a facilitator. Employees are self disciplined, self content and self actualised. E.g., a R&D team or a project team. Although there are four separate models, almost no organization operates exclusively in one. There will usually be a predominate one, with one or more areas over-lapping in the other models.
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Collegial

autocratic

Custodial

Supportive

Collegial

Autocratic Custodial Supportive Collegial Economic Model depends on Power Model depends on Leadership Partnership resources PowerEconomic resourcesLeadershipPartnershipManagerial orientationAuthorityMoneySupportTeamworkEmployee Managerial orientation Authority Money Support orientationObedienceSecurityJobResponsiblityEmployee Teamwork psychological resultDependence on bossDependence on organizationParticipationSelf-disciplineEmployees needs Employee orientation Obedience Security Responsibility metSubsistemceMaintenanceHigher-orderSelf- Job actualizationPerformance resultMinimumPassive cooperationAwakened drivesModerate enthusiasm Employee psychological Dependence Dependence on
result on boss organization Participation Self-discipline

Employees needs met

Subsistence

Maintenance

Higher-order

Self-actualization

Performance result

Minimum

Passive cooperation

Awakened drives

Moderate enthusiasm 33