MPA 509

Integrated Concepts of Organizational Behavior

Prepared by: Patricia Irene DC Pangan

What is Organizational Behavior?

Organizational Behavior (OB) can be defined as the understanding, prediction
and management of human behavior both individually or in a group that occur
within an organization.

OB is the study & applications of knowledge about how people act within an
organization. It is a human tool for human benefit. It applies broadly to the behavior
of people in all types of organizations such as business, Govt. Schools & Service
Organizations.
- Keith Davis & JW Newton in Human Behavior @ work.

Three Major Factors

People - An organization consists of people with different traits, personality,

skills, qualities, interests, background, beliefs, values and intelligence.
Structure - Structure is the layout design of an organization.
Technology - Technology can be defined as the implementation of scientific
knowledge for practical usage.

Types of Organizational Behavior

Micro refers to individual and group dynamics in organizations.

Macro studies whole organizations and industries, including how they adapt,
and the strategies, structures, and contingencies that guide them.

Two key elements namely

Nature of people

o Individual Difference - It is the managerial approach towards each

employee individually, that is one-on-one approach and not the
statistical approach, that is, avoidance of single rule.

o Perception - It is a unique ability to observe, listen and conclude

something. It is believing in our senses. In short, the way we interpret
things and have our point of view is our perception.

o A whole person - As we all know that a persons skill or brain cannot

be employed we have to employee a whole person.

o Motivated behavior - It is the behavior implanted or caused by some

motivation from some person, group or even a situation.

o Value of person - Employees want to be valued and appreciated for

their skills and abilities followed by opportunities which help them
develop themselves.

Nature of the organization

 o Social System - Every organization socializes with other firms, their
customers, or simply the outer world, and all of its employees - their
own social roles and status.

o Mutual Interest - Every organization needs people and people need

organizations to survive and prosper.

o Ethics - They are the moral principles of an individual, group, and

organization.

Scope

Individual behavior - It is the study of individuals personality, learning,

attitudes, motivation, and job satisfaction. In this study, we interact with
others in order to study about them and make our perception about them.
Inter-individual behavior - It is the study conducted through
communication between the employees among themselves as well as their
subordinates, understanding peoples leadership qualities, group dynamics,
group conflicts, power and politics.
Group Behavior - Group behavior studies the formation of organization,
structure of organization and effectiveness of organization.

The Hawthorne Studies

Worker productivity studies (1924-1933) carried out at Western Electric.

- Focused on the relationship of workers productivity and changes in their

work environment.

- Strongly influence by behavioral management theory.

- Researchers concluded that social factors were powerful determinants of

worker productivity.

Behavioral School of Management

An organization was viewed as a social system of people-to-people and

people-to-work networks in which employees have both social needs and the desire
to make meaningful contributions toward the accomplishment of organizational
goals.

Behavioral School Contributors

Robert Owen (17711858)
Progressive industrialist who recognized need for good overall
management of an organizations human resources.
 Hugo Munsterberg (18631916)
Father of industrial psychology and its use to enhance
organizational effectiveness.
Walter Dill Scott (18691955)
Advocated improving employee attitudes and motivation as a
means to increase worker productivity.
Mary Parker Follett (18681933)
Asserted that managers influence and power should flow from
their knowledge and skill.
Chester Barnard (18861961)
Provided insight into the concept of formal (consciously
created) and informal (spontaneous) organizations within
firms.

Organizational Humanism
A system that promoted an interest in understanding the
psychological forces tying individuals to organizations.
A system that also promoted management practices that lead to
employee satisfaction and well-being.

Models of Organizational Behavior

Autocratic Custodial Supportive Collegial

Model Power Economic Leadership Partnership

Depends on: resources

Managerial Authority Money Supportive Teamwork

orientation:

Employee Obedience Security Job Responsibilit

orientation: performance y

Employee Dependence Dependence Participation Self-

psychological on boss on discipline
result: organization

Employee Subsistence Maintenance Higher-order Self-

needs met: actualization

Performance Minimum Passive Awakened Moderate

 result: cooperation drives enthusiasm

Autocratic Model
The root level of this model is power with a managerial orientation of authority. The
employees in this model are oriented towards obedience and discipline. They are
dependent on their boss. The employee requirement that is met is subsistence. The
performance result is less.

Custodial Model

The root level of this model is economic resources with a managerial orientation of
money. The employees in this model are oriented towards security and benefits
provided to them. They are dependent on the organization. The employee
requirement that is met is security.

Supportive Model
The root level of this model is leadership with a managerial orientation of support.
The employees in this model are oriented towards their job performance and
participation. The employee requirement that is met is status and recognition. The
performance result is awakened drives.

Collegial Model
The root level of this model is partnership with a managerial orientation of
teamwork. The employees in this model are oriented towards responsible behavior
and self-discipline. The employee requirement that is met is self-actualization. The
performance result is moderate zeal.