1_overview of hbo

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Overview of HBO


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Module Outline

What is Organizational Behavior (OB)?

Goals of OB

Importance of OB The Nature of OB, People and the

Organization

Historical Roots of OB Models of Organizational Behavior


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Definition:Organizational Behavior

OB is the systematic study and carefulapplication of knowledge about how

people -- as individuals and as groups --act within organizations (Newstrom)

It strives to identify ways in which people

can act more effectively withinorganizations.


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3 Goals of OB

1. Describe systematically how peoplebehave under a variety of conditions

2. Understand why people behave asthey do

3. Predict future employee behaviorsbased on their past behavior andexpected responses of people


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Fundamental Question:Why is it important to study HBO?

Consider the following:

Most adults spend a big part of their lives working inorganizations

Many of our activities are regulated by organizationslike government

Organizations support the development of theeconomy and society

Because Organizations influence our lives somuch, we have every reason to be concernedabout how and why those organizations function


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Organizational Behavior is

INTERESTING

Because its about PEOPLE and HUMAN NATURE

IMPORTANT

Because what happens to organizations has aprofound impact on people, communities and societyat large

MAKES A DIFFERENCE

Because how people behave and act in anorganization can impact a companys performance

and bottomline


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The Nature of People

(Key Concepts) Individual Differences -- people have much in common

but they are also individually unique Perception -- people look at the world and see things

differently

A Whole Person -- When an organization hires a person,they actually employ the whole person (not just his brainsor skills)

Motivated Behavior -- People need to be motivated toimprove and do their best!

Desire for Involvement -- Employees by nature want toget involved (in work, activities, contributing to goals andsuccess)

Value of the Person -- People deserve to be treateddifferently from other factors of production (land, capitaland technology)


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Why is an ORGANIZATION

a SOCIAL INVENTION?

It is because their essential characteristic

is the coordinated presence of PEOPLE,not necessarily THINGS.


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The Nature of Organizations

(Key Concepts)

Social Systems -- Organizations aresocial systems governed by social lawsand psychological laws

Mutual Interest -- Organizations needpeople and people need organizations

Ethics -- To attract and keep employees,Organizations must treat employees in anethical manner


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In an organization, it is mutual interest which links theemployees and the organization together

EmployeeGoals

Organizational

Goals

SuperordinateGoal of

Mutual Interest

Ethics

MutualAccomplishment

of Goals

guides

links

links

Employee

Organization

Society

benefit

s

resulting in mutual achievement of goals which eventually

benefits employees, the organization and society at large


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Historical Roots of OB

Scientific Management: Took place in the 1900s Movement led by Frederick Taylor (Father of Modern

Management)

Taylor noticed a phenomenon called soldiering(employees taking it easy on the job) He studied jobs of people and developed a

standardized method for performing jobs Used money and productivity as the main

motivators for improving performance (i.e., paidworkers piecemeal, based on output/results) His theory was widely accepted although it was quite

narrowWHY???


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Classical Organization Theory: Major proponents were Henri Fayol and Max Weber Main concern was how to structure organizations

effectively

Led to the concept of bureaucracy and spawned theadoption of organizational hierarchies (bureaucraticorganizations)

Espoused the universal approach (adoption of jobroles and division of labor as a means to achieve

standardization and promote mass production) In contrast to Webers theory, modern organizational

theorists recognize different types of org structuresmay be appropriate for different situations


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Hawthorne Studies: Conducted between 1927-1932 at Western Electrics Hawthorne

plant near Chicago led by Elton Mayo of Harvard

Premised on: people responding primarily to their socialenvironment.

They studied the effects of better lighting on work areas onworkers better lighting = better production

They also studied the effects of piecemeal wages on meetingwork quotas -- chiselers (not meeting quota) and wage-busters (those surpassing)

Soon, workers tried to just limit their outputs to the quota (toavoid being ostracized by the group)

The Hawthorne Studies showed that the HUMAN ELEMENTwas actually more important than previously recognized


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Human Relations Movement:

Premises of the HR Movement are as follows:

People respond primarily to their social environment

Motivation depends more on social than economic needs

Satisfied employees work harder than unsatisfied employees

Fulfillment of employee needs is the GOAL towards whichemployees are motivated

Main Proponents: Douglas McGregor (Human Side of

Enterprise, Theory X and Y), Abraham Maslow(Hierarchy of Needs)



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An Organizational Behavior SystemManagements

Philosophy - Values - Vision - Mission - Goals

FormalOrganization

OrganizationalCulture

SocialEnvironment

InformalOrganization

Leadership - Communication - Group Dynamics

Quality of Work Life (QWL)

Motivation

Outcomes:-Performance-Employee Satisfaction

-Personal Growth and Development


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Key Points of theOrganizational Behavior System

An organizations management defines the philosophies,values, vision, mission and goals of the organization

The social environment of the firm, its managementphilosophies and goals, and its formal and informalorganizations help define the organizations corporateculture.

Leadership, Communication and Group Dynamics defineand drive the Quality of Work Life of employees in anorganization. These are key to achieving motivation ofemployees.

When employees are motivated, the outcomes are: highperformance, employee satisfaction, and personalgrowth and development these help drive theachievement of the organizations vision, mission andgoals


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Models of Organizational Behavior

McGregors Theory X and Theory Y Model

Theory X Theory Y

The typical person dislikes work and will avoidit if possible

Work is as natural as play or rest to mostpeople

The typical person lacks responsibility, haslittle ambition, and seeks security above all

People are not inherently lazy. They havebecome that way because of experience.

Most people must be coerced, controlled andthreatened with punishment to get them towork

People will exercise self-direction and self-control in the service of objectives to whichthey are committed.

People have potential. Under properconditions, they learn to accept and seekresponsibility. They have imagination,ingenuity and creativity that can be appliedto work.

Managerial Role: To COERCE &

CONTROL

Managerial Role: To DEVELOP and

INSPIRE


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Autocratic Model

Became the prevailing model during theindustrial revolution

Based on power -- those in command have the

power to demand Manager is the authority figure who delegateswork

Assumes employees have to be directed and

controlled Management does the thinking, employees do

the work execution


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Custodial Model

Developed in the 1920s and 1930s

Was initially referred to as paternalism

Employers regarded as benevolent

fathers caring and taking care ofemployees financial needs

Orientation is Economic towards

money to pay wages Result is employees are dependent on the

organization for subsistence


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Supportive Model

Had its origins from Principle of SupportiveRelationships by Rensis Likert

Depends on Leadership instead of Power through leadership, management provides

employees a climate to help them do their tasksand grow

Managements orientation is to support theemployees job performance rather than simply

support him with wages and benefits Psychological Result: feeling of participation andtask involvement among employees


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Collegial Model

Collegial relates to body of people working

together cooperatively embodying theTEAM CONCEPT

Depends on Managements building a feeling ofPARTNERSHIP WITH EMPLOYEES

Orientation is towards achieving TEAMWORK

Psychological result is SELF-DISCIPLINE

individuals feel responsible for their actions andthose of the rest of the team


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Systems Model

Basis of the model is developing trust,community, and employees finding meaning inwhat they do

Managerial orientation is towards caring for

employees and making them understand howthey are all an important part of the wholesystem

The role of the manager becomes one of

facilitating employee accomplishments through avariety of ways Psychological result for employees is that of

self-motivation and developing sense ofownership


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How The 5 Models ofOrganizational Behavior Compare

Autocratic Custodial Supportive Collegial System

Basis ofModel

Power EconomicResources

Leadership Partnership Trust,Community,Meaning

ManagerialOrientation

Authority Money Support Teamwork Caring,Compassion

EmployeeOrientation

Obedience Security andbenefits

JobPerformance

ResponsibleBehavior

EmployeePsychologicalResult

Dependenceon Boss

DependenceonOrganization

Participation Self-discipline Self-motivation

Employeeneeds met

Subsistence Security Status andRecognition

Self-actualization

Wide Range

PerformanceResult

Minimum Passivecooperation

Awakeneddrives

Moderateenthusiasm

Passion andCommitmenttoorganizationalgoals

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