EASTERN VISAYAS STATE UNIVERSITY

TACLOBAN CITY
GRADUATE SCHOOL

RADNEY JAY B. ABING

MAED (Administration & Supervision)
A. Understanding Organizational Behavior

KEY CONCEPTS
- Individual
- Behavior
- Environment
- Organization
- Management
- Background
- Relationship

 What is OB?
 is the study of human behavior in organization settings, how human
behavior interacts with the organization, and the organization itself.
 study that investigates the impact that individuals, groups and
organizational structure have on behavior within the organization.

 Contributing Fields to OB
 Psychology - is an applied science, which attempts to explain
human behavior in a particular situation and predicts actions of
individuals.
 Sociology - studies the impact of culture on group behavior and
has contributed to a large extent to the field of group-dynamics,
roles that individual plays in the organization, communication,
norms, status, power, conflict management, formal organization
theory, group processes and group decision-making.
 Social Psychology - is a subject where concept of psychology and
sociology are blend to achieve better human behaviour in
organization. The field has contributed to manage change, group
decision-making, communication and ability of people in the
organization, to maintain social norms.
 Anthropology - a field of study relating to human activities in various
cultural and environmental frameworks.

B. Historical Development of OB

EARLY PRACTICES

1. ADAM SMITH
- The Wealth of Nations
- Division of Labor
2. CHARLES BABBAGE
- On the Economy of Machinery and Manufactures
- Work Specialization
- Added four advantages in the concept of Smith’s Division of Labor
1. It reduces the time needed for learning a job.
2. It reduces the waste of material during the learning stage.
3. It allows for the attainment of high skill levels.
4. It allows a more careful matching of people’s skills and physical abilities
with specific tasks.

3. ROBERT OWEN
- Concern for the Employees
- He proposed a utopian workplace that would reduce the suffering of
the working class.

THE CLASSICAL ERA (1900-1930)

1. FREDRIC TAYLOR
- Scientific Management
- Four Principles of Management
1. Develop a science for each element of an individual’s work.
2. Scientifically select, train, teach and develop the worker.
3. Co-operate with the workers heartily.
4. Divide work and responsibility almost equally between
management and workers.

2. HENRY FAYOL
- Administrative Theory
- 14 Principles of Management
1. Division of Work. This principle is the same as Adam Smith’s “division of labor.”
Specialization increases output by making employees more efficient.
2. Authority. Managers must be able to give orders. Authority gives them this right.
Along with authority, however, goes responsibility. Whenever authority is exercised,
responsibility arises.
3. Discipline. Employees must obey and respect the rules that govern the
organization. Good discipline is the result of effective leadership, a clear understanding
between management and workers regarding the organization’s rules, and the judicious
use of penalties for infractions of the rules.
4. Unity of Command. Every employee should receive orders from only one
superior.
5. Unity of Direction. Each group of organizational activities that have the same
objective should be directed by one manager using one plan.
6. Subordination of Individual Interests to the General Interests. The interests of any
one employee or group of employees should not take precedence over the interests of
the organization as a whole.
7. Remuneration. Workers must be paid a fair wage for their services.
8. Centralization. Centralization refers to the degree to which subordinates are
involved in decision making. Whether decision making is centralized (to management) or
 decentralized (to subordinates) is a question of proper proportion. The problem is to find
the optimum degree of centralization for each situation.
9. Scalar Chain. The line of authority from top management to the lowest ranks
represents the scalar chain. Communications should follow this chain. However, if
following the chain creates delays, cross-communications can be allowed if agreed to
by all parties and superiors are kept informed.
10. Order. People and materials should be in the right place at the right time.
11. Equity. Managers should be kind and fair to their subordinates.
12. Stability of Tenure of Personnel. High employee turnover is inefficient.
Management should provide orderly personnel planning and ensure that replacements are
available to fill vacancies.
13. Initiative. Employees who are allowed to originate and carry out plans will
exert high levels of effort.
14. Esprit de Corps. Promoting team spirit will build harmony and unity within the
organization.

3. MAX WEBER
- Structural Theory
- Ideal Bureaucracy
1. Job Specialization
2. Authority Hierarchy
3. Formal Selection
4. Rules and Regulations
5. Impersonality
6. Career Orientation

4. MARY PARKER FOLLETT & CHESTER BARNARD

- Social Man Theory
 Perspective of individual and group behavior.
 People-Oriented Ideas
 Based on group ethic rather than individualism.
 Social System
 Cooperation

THE BEHAVIORAL ERA

 The Birth of the Personnel Office

 The Birth of Industrial Psychology
 The Magna Carta of Labor
 Human Relations

1. ABRAHAM MASLOW (HIERARCHY OF FIVE NEED)

 Physiological
 Safety
  Social
 Esteem
 Self-actualization

2. DOUGLAS McGregor (THEORY X & THEORY Y)

THEORY X SPHERE THEORY Y

Dislike works, find it boring, will avoid if we Need to work, want to take an interest, we
ATTITUDE
can can enjoy it.

Must be forced or coerced into compliance DIRECTION Direct ourselves towards an accepted target

Need to be directed, avoid responsibility RESPONSIBILITY Thrive on responsibility

Motivated by fear, lack of money, lack of job Motivated by the desire of self-development
MOTIVATION
security and to contribute to the world

Little creativity, except when getting around Highly creative when given recognition and
CREATIVITY
rules opportunity.