Introduction to Organization Behaviour
Dr Teena Bharti
IIM Bodh Gaya
OB –Evaluation components
Evaluation Components Marks
Mid-Trimester Exam 20%
End-Trimester Exam 30%
Class Participation 10%
Class Discussion and assignment 10%
Quiz 30%
Total 100 Marks
Define Organizational Behavior
Organizational behavior (OB) is a field of study that
investigates the impact that individuals, groups, and
structure have on behavior within organizations for
the purpose of applying such knowledge toward
improving an organization’s effectiveness.
Systematic Study of Behavior
• Behavior generally is predictable if we know how the
person perceived the situation and what is important to
him or her.
Complementing
Evidence-Based Management (EBM)
Intuition with
• Complements systematic study.
Systematic • Argues for managers to make decisions based on
Study evidence.
Intuition
• Systematic study and EBM add to intuition, or those “gut
feelings” about “why I do what I do” and “what makes
others tick.”
• If we make all decisions with intuition or gut instinct,
we’re likely working with incomplete information.
Big Data
Background: Current Usage: New Trends: Limitations:
The use of Big Data The reasons for data The use of Big Data Use evidence as
for managerial analytics include for understanding, much as possible to
practices is a predicting any event, helping, and inform your intuition
relatively new area, detecting how much managing people is and experience.
but one that holds risk is incurred at relatively new but
convincing promise. any time, and holds promise.
preventing
catastrophes.
Major Behavioral
Science Disciplines That
Contribute to OB
• Organizational behavior is an
applied behavioral science that is
built upon contributions from a
number of behavioral disciplines:
• Psychology
• Social psychology
• Sociology
• Anthropology-the science of
human beings
Major Behavioral Science Disciplines
That Contribute to OB
• Psychology
• seeks to measure, explain, and sometimes change the
behavior of humans and other animals.
• Social psychology
• blends the concepts of psychology and sociology.
• Sociology
• studies people in relation to their social environment or
culture.
• Anthropology
• is the study of societies to learn about human beings and
their activities.
Major Behavioral
Science Disciplines
That Contribute to
OB
Exhibit 1-3 Toward an OB
Discipline
Why Few Absolutes
Apply to OB
There are few, if any, simple and
universal principles that explain
organizational behavior.
• Contingency variables situational factors are
variables that moderate the relationship
between the independent and dependent
variables.
• A contingency theory or situation theory is an
organizational theory that claims that there
is no best way to organize a corporation, to
lead a company, or to make decisions.
Instead, the optimal course of action is
contingent (dependent) upon the internal and
external situation.
Challenges and Opportunities of OB Concepts
Responding to economic pressure Responding to globalization
• In tough economic times, effective • Increased foreign assignments.
management is an asset. • Working with people from different cultures.
• In good times, understanding how to • Overseeing movement of jobs to countries
reward, satisfy, and retain employees is at a
with low-cost labor.
premium.
• In bad times, issues like stress, decision • Adapting to differing cultural and regulatory
making, and coping come to the forefront. norms.
Managing workforce diversity Improving customer service
• Workforce diversity – organizations • Service employees have substantial
are becoming more heterogeneous in interaction with customers.
terms of gender, age, race, ethnicity, • Employee attitudes and behavior are
sexual orientation, and inclusion of associated with customer satisfaction.
Workforce other diverse groups. • Need a customer-responsive culture.
Challenges and Opportunities of OB Concepts
Improving people skills Working in networked Creating a positive work environment
organizations • Positive organizational scholarship is
• People skills are essential to concerned with how organizations develop
managerial effectiveness. • Networked organizations are human strength, foster vitality and resilience,
becoming more pronounced. and unlock potential.
• OB provides the concepts and • Challenges of motivating and • This field of study focuses on employees’
theories that allow managers leading “online” require different strengths versus their limitations, as
to predict employee behavior techniques. employees share situations in which they
in given situations. performed at their personal best.
Using social media at work Enhancing employee well-being at Improving ethical behavior
work
• Policies on accessing social media at
• Global workforce means work no longer • Ethical dilemmas and ethical choices are
work.
sleeps. situations in which an individual is
• When, where, and for what required to define right and wrong
• Longer working hours per week.
purpose. conduct.
• The lifestyles of families have changed—
• Impact of social media on employee creating conflict. • Managers need to create an ethically
well-being. • Balancing work and life demands now healthy climate.
surpasses job security as an employee
priority.
Three Levels of Analysis in OB Model
Exhibit 1-5 A Basic OB Model
Outcome Variables
Attitudes and stress
• Employee attitudes are the evaluations employees make, ranging from positive to negative, about objects,
people, or events.
• Stress is an unpleasant psychological process that occurs in response to environmental pressures.
Task performance
• The combination of effectiveness and efficiency at doing your core job tasks is a reflection of your level of
task performance.
Organizational citizenship behavior
• The discretionary behavior that is not part of an employee’s formal job requirements, and that contributes to
the psychological and social environment of the workplace, is called organizational citizenship behavior.
Productivity
• An organization is productive if it achieves its goals by transforming inputs into outputs at the lowest cost.
This requires both effectiveness and efficiency.
Survival
• The final outcome is organizational survival, which is simply evidence that the organization is able to exist
and grow over the long term.
Outcome Variables (contd…)
Withdrawal behavior
• Withdrawal behavior is the set of actions that employees take to separate
themselves from the organization.
Group cohesion
• Group cohesion is the extent to which members of a group support and validate
one another at work.
Group functioning
• Group functioning refers to the quantity and quality of a group’s work output.
Implications for Managers
Resist the inclination to rely on
generalizations; some provide valid insights
into human behavior, but many are erroneous.
Use metrics and situational variables rather
than “hunches” to explain cause-and-effect
relationships.
Work on your interpersonal skills to increase
your leadership potential.
Thank You
