UNIT 1

Introduction to Organization
Behaviour
Organizational behaviour (OB): 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.
Nature of Organizational Behaviour:
1. Separate field of study not a discipline.
2. Interdisciplinary approach(Psychology, Sociology,
Anthropology)
3. Applied Science- Not just gathering information, but
also applying them (e.g. in mathematics you not only
learn the formulae but you also apply it)
4. Normative Science- it will not only give the cause and
effect relationship, but also how those results can be
used to improve the organization’s performance. (e.g:
Action <-> Reaction; How the reaction will help for the
betterment of the organization.)
5. Humanistic and optimistic approach - it cares for human
beings (e.g. leaves and holidays for employees when in
need)
6. A total system approach (e.g. different departments in
an organization)
Key Elements of OB:
1. People: individuals, groups; different traits, personality
2. Structure: Organizations are Social systems; Formal
relationships of people.
3. Technology: provides resources which help people to
perform tasks
4. Environment: Organizations are influenced by external
environment. Affects people by influencing their
attitudes, working conditions, etc.
Scope of OB: Individuals, Group of Individual and
Organization
1. Individuals
– Personality
– Perception
– Attitude
– Motivation
– Job Satisfaction
– Learning
– Value
2. Group of Individuals
– Group Dynamics
– Group Conflicts
– Communication
– Leadership
– Power and Politics
3. Organization/Structure
– Structure
– Culture
– Change
– Development
Contributing Disciplines to OB
Challenges and Opportunities for OB
1. Work-force Diversity
– Differs in terms of age, gender, race, ethnicity, & education
– Comes with differing cultural values & lifestyle preferences
– Challenge for organization is to make people accommodate to
diverse groups of people at workplace by addressing their
different lifestyles, family needs & work styles
– If diversity not managed properly, it can result in higher
turnover, inter-personal conflict, & ineffective communication
2. Changing Demographics of Workforce
– Increase in the number of different age groups, women,
husband-wife joining working together
– Changing employee expectations: traditional to quality work
life(QWL)
– Needs to redraw new methods of motivation such as job
design
3. Ever Expanding Globalization
– Multi-national business has made managing people more
complex
– Globalization of business poses at least two major challenges
for managers
4. Towards improving quality
– Offering & delivery of quality products & services to the
customers, as it directly impacts the success of organizations.
– Total Quality Management (TQM) – philosophy of modern
management; constant attainment of customer satisfaction
through the continuous improvement of all organizational
processes.
Goals of Organizational Behaviour: Organizational
behavior is a telecommunication that deals with discrete
behavior as well as group behavior in an organization. The
four primary goals of organizational behavior are −
• To describe − The first objective is to narrate how to
behave under various conditions. For example, as a
manager, I have information regarding the junior employee
who comes to the office late and leaves the office early.
• To understand − The second goal of OB is to understand
why people behave as they do. Managers have to
understand the reasons behind their actions. For example,
as a manager, I will have to find out the reason why the
junior employee is coming late and going earlier - before I
take any actions against him as per company rules.
• To predict − Predicting future behavior of employees is
another goal of OB. Usually managers would have the
capacity to predict why the employees are committed to
the organization or not. For example, I have to realize
why he wants to leave my organization, how I can hold
the employee in my organization, what should be done
by me in this situation or what my role is, etc.
• To control − The final goal of organizational behavior is
to control and develop a friendly ambiance for the
organization. Since managers are responsible for the
overall performance of an organization, they must
develop workers’ teamwork, skills, and commitment.
Managers should take necessary action for themselves.
Models of Organizational Behaviour:
All models of OB are broadly classified into four types:
1. The Autocratic Model 2. The Custodial Model
3. The Supportive Model 4. The Collegial Model

Impact of Global and Cultural diversity on OB-