1the Dynamics of People and Organizations

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The Dynamics of People

and Organization
Chapter 1
Understanding Organization Behavior

Organizational Behavior
 The study and application of knowledge about
how people – as individuals and as groups – act
within organizations.

Goals of Organizational Behavior


 Describe
 Understand
 Predict
 Control
Understanding Organization Behavior

Forces

 People
– Make up the internal social system of the organization
 Structure
– Defines the formal relationship and use of people in
organizations
 Technology
– Provides the resources with which people work and
affects the tasks that they perform
 Environment
– It is where organizations operate
Fundamental Concepts

Figure 1-1

Key forces
affecting
organizational
behavior
Understanding Organizational Behavior

Positive Characteristics of the OB Field


 Theories
– Offer explanations of how and why people think, feel,
and act as they do.

 Research
– The process of gathering and interpreting relevant
evidence that will either support a behavioral theory or
help change it.

 Practice
– The conscious application of conceptual models and
research results in order to improve individual and
organizational performance at work.
Understanding Organizational Behavior

Major Strengths of OB
 Interdisciplinary nature
– Integrates the behavioral sciences with other social
sciences that can contribute to the subject.

 Research knowledge and conceptual frameworks


– The keys to its past and future successes revolve around
the related processes of theory development, research,
and managerial practice.

 Acceptance of theory and research


– Managers of today are more receptive to new models,
they support related research, and they hungrily
experiment with new ideas.
Fundamental Concepts

Figure 1-2

The interaction of theory, research, and practice


in organizational behavior
Fundamental Concepts

The Nature of People


 Individual Differences
 Perception
 A Whole Person
 Motivated Behavior
 Desire for Involvement
 Value of the Person

The Nature of Organizations


 Social Systems
 Mutual Interest
 Ethics
Fundamental Concepts

Figure 1-4

Mutual interest provides super ordinate goal for


employees, the organization, and society
Fundamental Concepts

Figure 1-7

Cost benefit analysis of organizational behavior


options
Limitations of Organizational Behavior

Behavior Bias
 People who lack system understanding may
develop this which gives people the narrow
viewpoint that emphasizes satisfying employee
experiences while overlooking the broader system
of the organization in relation to all its publics.
– Tunnel Bias

Law of Diminishing Returns


 Overemphasis on an organizational behavior
practice may produce negative results.
Limitations of Organizational Behavior

Unethical Manipulation of People


 People who lack respect for the basic dignity of
the human being could learn organizational
behavior ideas and use them for selfish ends.

 Ethical Leadership recognize such principles as


the following:
– Social Responsibility
– Open Communication
– Cost-benefit Analysis
Continuing Challenges

 Seeking Quick Fixes

 Varying Environments

 Lack of a Single Definition

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