Chapter 1
Organizational Behavior
the study of individual behavior and
group dynamics in organizations
What is an Organization?
A structured social system consisting of
groups and individuals working together to
meet some agreed-upon objectives.
What objectives are we interested in and why?
1-3
Organizational Behavior:
Dynamics in Organizations
Psychosocial
Organizational
Behavior
Interpersonal
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Behavioral
Organizational Variables that
Affect Human Behavior
Communication
Organizational
Structure
Human
Behavior
Performance
Appraisal
Work
Design
Jobs
Organizational
Design
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External Perspective
Understand behavior in terms of external
events, environmental forces, and behavioral
consequences.
Internal
Perspective
Understand behavior
in terms of thoughts,
feelings, past experiences,
and needs.
Explain behavior by
examining individuals’
history and personal value
System.
Explain behavior by examining surrounding
external events and environmental forces.
Both perspectives have produced
motivational & leadership theories.
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Kurt Lewin
Behavior is a function of
both the person and the
environment (system).
B = f (P/E)
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1-7
 Your explanation for the behavior
that you observe (caused by a
combination of person and
environment factors) is critical
because it determines your reaction
to the behavior, and the thing you
control the most at work is your own
personal behavior.
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Sociology
the science
of society
Psychology
Engineering
the science
of human
behavior
the applied science
of energy & matter
Anthropology
the science of the
learned behavior of
human beings
Interdisciplinary
Influences on
Organizational
Behavior
Medicine
the applied science
of healing or treating
diseases to enhance
health and
well-being
Management
the study of overseeing
activities and supervising
people in organizations
© 2011 Cengage Learning. All rights reserved.
Components of an
Organization
Task – an organization’s mission, purpose, or goal
for existing
People – the human resources of the organization
Structure – the manner in which an organization’s
work is designed at the micro level; how
departments, divisions, and the overall
organization are designed at the macro level
Technology – the tools, knowledge, and/or
techniques used to transform inputs into outputs
© 2011 Cengage Learning. All rights reserved.
S
U
P
P
L
I
E
R
S
Process
Inputs
Outputs
A process is a series of related tasks;
A system is a group of related processes
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C
U
S
T
O
M
E
R
S
Time for an exercise?
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1-12
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Total
Process
materials
methods
supervision
measurement
equipment
15%
training
staffing
Individual
effort
Sterman (1994)
• “When we attribute behavior to people
rather than system structure, the focus
of management becomes the search for
extraordinary people to do the job rather
than designing the job so that ordinary
people can do it.”
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1-15
Grade distribution Spring 2012
 A = 11 (48%)
 A- = 3 (13)
 B+ = 3
 B =4
 B- = 1
 C =1
 D =0
 F =0
How do you explain the fact that 61% made an A?
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1-16
Formal vs. Informal
Organization
Formal Organization – the official,
legitimate, and most visible part of
the system
Informal Organization – the
unofficial and less visible part of
the system
Hawthorne Studies: studies
conducted during the 1920’s and
1930’s that suggested the importance
of informal organizations
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Formal & Informal Elements of Organizations
Social Surface
Formal organization
(overt)
Goals and objectives
Policies and procedures
Job descriptions
Financial resources
Authority structure
Communication channels
Products and services
Informal organization
(covert)
Beliefs and assumptions
Perceptions and attitudes
Values
Feelings, such as fear, joy
anger, trust, and hope
Group norms
Informal leaders
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Total Quality Management
(TQM)
The total dedication to continuous
improvement and to customers so that
customers’ needs are met and their
expectations exceeded.
Who is the customer?
How do you know their expectations?
How do you know if you are meeting their expectations?
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1-19
[QUALITY]
• Can give organizations in viable
industries a competitive edge in
international competition
• A rubric for products and services of
high status
• A customer-oriented philosophy of
management with implications for
all aspects of organizational
behavior
• A cultural value embedded in
successful organizations
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Three key questions in evaluating qualityimprovement ideas
1. Does the idea improve customer
response?
2. Does the idea accelerate
results?
3. Does the idea raise the
effectiveness of resources?
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Seven Categories in the Malcolm
Baldrige National Quality Award
Examination
•
•
•
•
•
•
•
Leadership
Information and analysis
Strategic quality planning
Human resource utilization
Quality assurance of products and services
Quality results
Customer satisfaction
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