Orgnizational Behavior July1

download Orgnizational Behavior July1

of 65

Transcript of Orgnizational Behavior July1

  • 8/4/2019 Orgnizational Behavior July1

    1/65

    Organizational Behavior-I

    Instructor:

    Prof. Varsha Singh

  • 8/4/2019 Orgnizational Behavior July1

    2/65

    Introduction

    (Instructor & course)

  • 8/4/2019 Orgnizational Behavior July1

    3/65

    Brief introduction [Instructor]

    Varsha Singh

    Education: PhD (Psychology), IIT - Bombay

    Editorial-Research Associate, IIM - Bangalore

  • 8/4/2019 Orgnizational Behavior July1

    4/65

    Brief introduction [Course]

    Aim: OB-I course is aimed at providing a framework to

    understand behavior (self & others) at work placesPedagogy: Lectures/slides, discussions etc

    Evaluation: *Peer-based evaluation, quiz, mid term, & end exam

  • 8/4/2019 Orgnizational Behavior July1

    5/65

    Chapter 1:

    Introduction to Organizational Behavior (OB)

  • 8/4/2019 Orgnizational Behavior July1

    6/65

    Session 1 content

    Who is a manager?

    What managers do?

    What roles do they play?

    What is Organizational Behavior?

    Difference between common sense/intuition v/s systematic

    study

    Challenges and opportunities of OB

    Interdisciplinary nature of OB

    Developing an OB model

    Session summary

  • 8/4/2019 Orgnizational Behavior July1

    7/65

    Who is a manager?

    Definition: Manager

    Managers manage work (i.e. get work done)

    By making decisions, allocating resources, directing activities

    to attain organizational goals.

  • 8/4/2019 Orgnizational Behavior July1

    8/65

    They do this work in an organization.

  • 8/4/2019 Orgnizational Behavior July1

    9/65

    Have you been affected by any organization?

    (esp. if you have never worked before)

  • 8/4/2019 Orgnizational Behavior July1

    10/65

    People are born in an organization (hospital)

    Educated in an organization (school)

    Employed in an organization (firms)

    Everyones behavior is regulated by an organization

    (government)

  • 8/4/2019 Orgnizational Behavior July1

    11/65

    What is an organization?

    It is a consciously coordinated social unit that functions on a

    relatively continuous basis to achieve set of common goals.

    e.g. manufacturing and service firms are organizations, so are

    schools and hospitals

  • 8/4/2019 Orgnizational Behavior July1

    12/65

    Definition of managers + organizations=

    Managers oversee the activities of others and are responsible for

    attaining organizations goals

    *Also called administrators, in not-for-profit organizations (e.g.

    government, education)

  • 8/4/2019 Orgnizational Behavior July1

    13/65

    Recap:

    A manager is someone who accomplishes pre-determined goals

    of an organization with the help of other individuals.

    An organization is a group of people who work inter-dependently

    towards a common goal.

  • 8/4/2019 Orgnizational Behavior July1

    14/65

    Managers have titles in an organization

    Obvious titles: Marketing manager, plant manager

    Less obvious: VP, CFO,CEO

  • 8/4/2019 Orgnizational Behavior July1

    15/65

    What managers do? (managerial functions)

    Assuming that an organization has resources which are used as

    inputs in achieving its goals/objectives (e.g. human, financial,

    physical, & information resource)

    Basic managerial functions are:

    1. Planning

    2. Organizing

    3. Leading4. Controlling

  • 8/4/2019 Orgnizational Behavior July1

    16/65

    1. Planning

    Organizations exists for achieving a pre-planned goal

    Planning involves the following:

    -Defining organizations goals (desired future)

    -establishing an overall strategy towards the goals,

    -developing a comprehensive plan for integrating and

    coordinating activities

  • 8/4/2019 Orgnizational Behavior July1

    17/65

    2. Organizing

    Once the goal is planned, organizing becomes important foraccomplishing the goal.

    (what tasks need to be done? by whom? how to group the tasks?who reports to whom? who makes the decision)

    Organizing involved the following:

    - Structuring the organization

    - Designing jobs,

    - Grouping jobs,

    - Establishing a pattern of authority, reporting

  • 8/4/2019 Orgnizational Behavior July1

    18/65

    3. Leading

    Directing and coordinating people to achieve common goals

    requires leading

    Leading involves the following:

    Motivating, directing, communication, managing group

    dynamics, and resolving conflicts

  • 8/4/2019 Orgnizational Behavior July1

    19/65

    4. Controlling

    After goals are set and plans formulated (planning),,

    structural arrangements done (organizing) , people are

    motivated (leading), there might still be a problem inachieving the set goals

    Controlling is a managerial function that monitors, compares

    (with pre-set goals), and takes potential corrective actions in

    case of deviations to ensure goal-attainment

  • 8/4/2019 Orgnizational Behavior July1

    20/65

    Recap:

    Managerial functions =

    Plan, organize, lead, & control

  • 8/4/2019 Orgnizational Behavior July1

    21/65

    Managerial Roles

    In 1960s, a careful observational study of managers

    undertaken by an MIT graduate, Henry Mintzberg resulted in

    a concept called Managerial Role

    What is a Managerial Role?

  • 8/4/2019 Orgnizational Behavior July1

    22/65

    Managerial roles = Inter-related sets of behaviors that

    managers perform

  • 8/4/2019 Orgnizational Behavior July1

    23/65

    Difference between a role & a function

    A role comes with its functions

    E.g. Role of a Product Manager entails responsibility for

    entire life cycle of a product.

    The role is fulfilled by performing key functions such as

    planning, developing, and marketing the product

  • 8/4/2019 Orgnizational Behavior July1

    24/65

    Types of roles

    The systematic observational study by Mitzberg led to the

    conclusion that a manager performs set of functions making

    the manager undertake 3 types of roles:

    A. Interpersonal

    B. Informational

    C. Decisional

  • 8/4/2019 Orgnizational Behavior July1

    25/65

    Major Managerial Roles

    A. Interpersonal role [ ceremonial/symbolic role)

    (Figurehead, leader, liaison)

    1. Figurehead- Symbolic head who performs ceremonial or symbolic duties

    - E.g. attending ceremonies, providing status requests

  • 8/4/2019 Orgnizational Behavior July1

    26/65

    2. Leader

    - Motivating

    - Directing subordinates

    - E.g. encouraging workers to increase productivity

  • 8/4/2019 Orgnizational Behavior July1

    27/65

    3. Liaison

    - Acts as a point of contact between the firm and outsiders

    - E.g. Price negotiation with key suppliers

  • 8/4/2019 Orgnizational Behavior July1

    28/65

    B. Informational role

    [monitor, disseminator, spokesperson]

    1. Monitor- Receives information from internal and external sources

    - Monitors information

  • 8/4/2019 Orgnizational Behavior July1

    29/65

    2. Disseminator

    - Transmits information received from inside and outside

    sources

    - E.g. sending a memo outlining a new policy

  • 8/4/2019 Orgnizational Behavior July1

    30/65

    3. Spokesperson

    - Transmits information to outsiders about organizations plans,

    policies, actions, results

    - E.g. board meetings

  • 8/4/2019 Orgnizational Behavior July1

    31/65

    C. Decisional role [entrepreneur, conflict handler, resource

    allocator, negotiator]

    1. entrepreneur

    - Search and develop ideas for business opportunities

  • 8/4/2019 Orgnizational Behavior July1

    32/65

    2. Conflict handler

    - Resolves disputes and take corrective actions

    3. Resource allocator- Making or approving organizational decisions e.g. allocating

    budget

    Negotiator- represents the organization at major negotiations e.g. settle

    labor dispute

  • 8/4/2019 Orgnizational Behavior July1

    33/65

    Recap:

    Managerial functions (planning, organization,leading, controlling)

    Managerial roles (interpersonal,informational, decisional)

  • 8/4/2019 Orgnizational Behavior July1

    34/65

    Managerial skills

    Managerial functions, and roles can be studied by

    understanding managerial skills, skills that managers apply.

  • 8/4/2019 Orgnizational Behavior July1

    35/65

    These managerial skills are mainly:

    1. Technical

    2. Human/interpersonal3. Conceptual

  • 8/4/2019 Orgnizational Behavior July1

    36/65

    1. Technical skills: Ability to apply specialized knowledge or

    expertise earned through formal education

    e.g. designing a new modem for Dell, conducting clinical trials ofa new drug, writing a press release for Satyam computers

    All require technical skills in a specific area

  • 8/4/2019 Orgnizational Behavior July1

    37/65

    2. Human/interpersonal skills

    - Ability to communicate, understand, and motivate individuals

    and groups of people

    3. Conceptual and diagnostic skills

    -mental ability to analyze and diagnose complex situations

    - see the bigger picture

    - Understand cause-and-effect relationship to indentifyproblems

  • 8/4/2019 Orgnizational Behavior July1

    38/65

    Recap

    Managerial functions

    (planning, organization, leading, controlling)

    Managerial roles

    (interpersonal, informational, decisional)

    Managerial skills

    (technical, interpersonal, conceptual)

  • 8/4/2019 Orgnizational Behavior July1

    39/65

    Understanding of managerial functions, roles, and skills brings

    us to the topic which has enabled this understanding

    ORGANIZATIONAL BEHAVIOR (OB)

  • 8/4/2019 Orgnizational Behavior July1

    40/65

    OB field

    A discipline that studies people in organizations is

    Organizational behavior (OB)

    Definition of OB

    OB is a field of study which deals with understanding the

    effect of individual, groups of individuals, and structures

    on behavior taking place within organizations with the

    aim of improving the effectiveness of the organization

  • 8/4/2019 Orgnizational Behavior July1

    41/65

    Simple definition:

    OB is a study of what people do in an organization, and how it

    affects the performance of that organization

  • 8/4/2019 Orgnizational Behavior July1

    42/65

    OB as a field of study:

    Why study OB when our common sense, intuition,

    generalizations can help in understanding

    people@workplace?

  • 8/4/2019 Orgnizational Behavior July1

    43/65

    Accuracy of generalization Questionable

    E.g. Examples of some widely held common sense beliefs:

    1. Interview can predict who will be a high performance

    employee (False)

    2. Everyone is motivated by money (False)

    3. Most effective work groups are devoid of conflicts (False)

  • 8/4/2019 Orgnizational Behavior July1

    44/65

    OB is a systematic study of workplace behavior

    Systematic OB involves ..

    looking at relationships between variables,

    gathering data under control conditions,

    measuring and interpreting data with statistical rigor

    isolating cause-and-effect,

    drawing conclusions based on scientific evidence

  • 8/4/2019 Orgnizational Behavior July1

    45/65

    OB model

    Model: abstraction of reality

    e.g. a formula to calculate interest rates

    An OB model is used to understand and predict work placebehavior

  • 8/4/2019 Orgnizational Behavior July1

    46/65

    An OB model has at least 2 types of variables

    1. Dependent variables: What is being explained/predicted

    Desirable output: Productivity, quality, job satisfaction,Undesirable output: Absenteeism, turnover (withdrawal from

    organization)

  • 8/4/2019 Orgnizational Behavior July1

    47/65

    2. Independent variables:

    What is used for explaining/predicting

  • 8/4/2019 Orgnizational Behavior July1

    48/65

    Independent variables affect

    behavior/performance

  • 8/4/2019 Orgnizational Behavior July1

    49/65

    a. Individual level : education, gender, age, personality

    b. Group level: size of the group, cohesiveness of the group,

    communication within the groupc. System level: Organizational culture, HR policies

    (recruitment, training-development, appraisals, promotions)

  • 8/4/2019 Orgnizational Behavior July1

    50/65

  • 8/4/2019 Orgnizational Behavior July1

    51/65

    Challenges for OB

    Challenges to OB

    Challenges to OB Challenges faced by managers today.

  • 8/4/2019 Orgnizational Behavior July1

    52/65

    Examples of challenges:

    1. Globalization: Removing geographical constraints

    E.g. Nokia recruiting from India & China, Honda motors buildingcars in Ohio, Ford in Brazil, BMW in South Africa

    2. Rapid change in business processes

    Downsizing: reduction of workforce, divisions, businesses

    Implication: Managing the remaining workforce

    Expansion: growing of business

    Implication: ability to attract and retain talent

  • 8/4/2019 Orgnizational Behavior July1

    53/65

    3. Workforce diversity

    Managing the differences in age, gender, ethnicity, physical

    disabilities etc

    - Age- re-hiring retired workforce (skill)- Gender: managing women in workforce

    - Ethnicity: managing immigrants

    - Foreign assignment

  • 8/4/2019 Orgnizational Behavior July1

    54/65

    4. Business focus:

    Increasing competition has translated into :

    improvement in quality and increase in productivity

    (i.e. need for quality management, process re-engineering=greater employee involvement)

    Increase in Customer focus

    (i.e. change in employee attitude and behavior towardscustomers aimed at gaining customer satisfaction andcustomer loyalty)

  • 8/4/2019 Orgnizational Behavior July1

    55/65

    5. Organizational Change

    - Changing workforce (demographics)

    - Change in workplace (flatter organizations)

    - Change in nature of business (innovations, IT enabled)- Change in environment

    - competitive: fast paced

    - globalization: cultural-national differences

    - emphasis on ethical and social responsibility: Mediahighlighted scandals Satyam & CWG

  • 8/4/2019 Orgnizational Behavior July1

    56/65

    Recap:

    Challenges to OB

    - Globalization

    - Downsizing- Expansion

    - Diversity

    - Business focus

    - Organizational change

  • 8/4/2019 Orgnizational Behavior July1

    57/65

    Some known applications of OB in improving managerial skills

    - stimulating innovation (encouraging employee creativity) and

    change (instilling greater tolerance for change)- deal with uncertainty, flexibility, and change

    - achieving work-life balance

    - improving ethical behavior

  • 8/4/2019 Orgnizational Behavior July1

    58/65

    Nature of OB

    OB as a field of study is inter-disciplinary

  • 8/4/2019 Orgnizational Behavior July1

    59/65

    Inter-disciplinary nature of OB

    OB has developed by borrowing from various disciplines:

    1. Psychology

    2. Social psychology3. Sociology

    4. Anthropology

    5. Political science

  • 8/4/2019 Orgnizational Behavior July1

    60/65

    Psychology

    Psychology: Science of measuring, explaining, and changing behavior

    Learning

    Motivation

    Personality

    Emotions

    Perception Leadership

    Decision making

    Job satisfaction

    Training Performance appraisal

    Attitude measurement

    Employee selection

    Work design

    Work stress

  • 8/4/2019 Orgnizational Behavior July1

    61/65

    Sociology

    Sociology: Study of people in relation to others

    Group dynamics

    Work teams

    C

    ommunication Power

    Conflict

    Inter group behavior

    Organizational theory Organizational technology

    Organizational change

    Organizational culture

  • 8/4/2019 Orgnizational Behavior July1

    62/65

    Social psychology

    Social psychology: blend of psychology and sociology

    that studies influence of people on others

    Behavioral change

    Attitude change

    Communication

    Group processes

    Group decision making

  • 8/4/2019 Orgnizational Behavior July1

    63/65

    Anthropology

    Anthropology: Study of societies to lean about human

    beings and their activities

    Comparative values

    Comparative attitudes

    Cross cultural analysis

    Organizational culture

    Organizational environment

  • 8/4/2019 Orgnizational Behavior July1

    64/65

    Political science

    Political science: Study of individuals and groups

    in a political environment

    Power

    Conflict

    Intra organizational politics

  • 8/4/2019 Orgnizational Behavior July1

    65/65

    Session summary

    1. Managers are essential to an organization, performing key

    functions, playing different roles, applying different skills

    2. Organizations are complex and OB

    aims at understandingand improving organizational effectiveness.

    3. OB as a field is distinct from common sense view, it has its

    challenges, and is a growing field which is interdisciplinary