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2005 The McGraw-Hill Companies, Inc. All rights reserved.

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Chapter

1
Introduction to
Organizational Behavior

McGraw-Hill/Irwin

2005 The McGraw-Hill Companies, Inc. All rights reserved.

Introduction

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Organizations are much more than only a


means for providing goods and service
They create the settings in which most of us
spend our lives
They have profound influence on employee
behavior
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2005 The McGraw-Hill Companies, Inc. All rights reserved.

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The core 21st century


qualities needed to create
the ideal work atmosphere
begin with intelligence,
passion, a strong work ethic,
and a genuine concern for
people.

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Managing and Working Today and


in the Future:

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Managers must become agile and


flexible to help their firms develop and
sustain competitive advantage
To be successful, managers will need to
harness the powers of:
information technology
human capital
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2005 The McGraw-Hill Companies, Inc. All rights reserved.

Environmental Forces Reshaping


Management Practice

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Power of
Human
Resources

Globalism

Rapidity of
Change
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Cultural
Diversity
New WorkerEmployer
Psychological
Contract

Technology

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Challenges of These Forces to


Managers

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Resisting the reality of


Failing to cope and deal
with these forces will likely
these forces will likely lead
result in:
to:
Job dissatisfaction
Unnecessary conflict
Poor morale
Reduced managerial
Reduced commitment
performance
Lower work quality
Reduced non Burnout
managerial performance
Poor judgment
Lost opportunities
Unhealthy consequences
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2005 The McGraw-Hill Companies, Inc. All rights reserved.

The Origins of Management

Frederic W. Taylors
Scientific
Management
Principles

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Henri Fayols
Functions of
Management

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Taylors Scientific Management


Principles

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(1 of 2)

Develop a science for each element of an


employees work
which replaces the old rule-of-thumb
method

Scientifically select and then train, teach,


and develop the worker
whereas in the past a worker chose the
work to do and was self-trained
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2005 The McGraw-Hill Companies, Inc. All rights reserved.

Taylors Scientific Management 1-10


Principles
(2 of 2)

Heartily cooperate with each other to


insure that all work was done in
accordance with the principles of science
There is an almost equal division of the
work and the responsibility between
management and non-managers

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2005 The McGraw-Hill Companies, Inc. All rights reserved.

Impact of Fayols Functions of


Management
Emphasized the
importance of carefully
practicing efficient:
planning
organizing
commanding
coordinating
controlling

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Management is a separate
body of knowledge that can
be applied in any type of
organization
A theory of management
that can be learned and
taught
There is a need for
teaching management in
colleges
2005 The McGraw-Hill Companies, Inc. All rights reserved.

Definition of Organizational
Behavior (OB)

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The study of human behavior, attitudes,


and performance within an organizational
setting
drawing on theory, methods, and principles from
such disciplines as psychology, sociology, political
science, and cultural anthropology
to learn about individual, groups, structure, and
processes
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2005 The McGraw-Hill Companies, Inc. All rights reserved.

Key Points About OB

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1. OB is a way of thinking
2. OB is multidisciplinary
3. There is a distinctly humanistic orientation
4.
5.
6.

within OB
The field of OB is performance-oriented
The role of the scientific method is important in
studying variables and relationships
OB has a distinctive applications orientation

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2005 The McGraw-Hill Companies, Inc. All rights reserved.

Contributions to the Study of Organizational1-14


Behavior
Discipline

Unit of Analysis

Output

Psychology
Individual
Sociology

Social Psychology

Group

Organizational
Behavior

Anthropology
Organization
Political Science

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2005 The McGraw-Hill Companies, Inc. All rights reserved.

Studying Organizational
Behavior

Leaders and
Organizational
Behavior

McGraw-Hill/Irwin

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The Hawthorne
Studies

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Topics in Studying and


Understanding OB

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The
Organizations
Environment
Understanding
and Managing
Individual
Behavior
Organizational
Processes
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Group Behavior
and
Interpersonal
Influence
Organizational
Structure

Change and
Innovation

2005 The McGraw-Hill Companies, Inc. All rights reserved.

The Basic Elements of a


System

Inputs

Process

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Outputs

Environmen
t
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Three Perspectives on
Effectiveness

Individual
effectiveness

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Group
effectiveness

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Organizational
effectiveness

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Time Dimension Model of


Effectiveness

Short run

Intermediate run

Long run

Quality

Quality

Quality

Productivity
Efficiency
Satisfaction

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Adaptiveness
Efficiency
Satisfaction

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Survival

2005 The McGraw-Hill Companies, Inc. All rights reserved.

Systems Theory and


Effectiveness (1 of 2)

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Effectiveness criteria must reflect the


entire input-process-output cycle, not
simply output
Effectiveness criteria must reflect the
interrelationships between the
organization and its outside environment

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2005 The McGraw-Hill Companies, Inc. All rights reserved.

Systems Theory and


Effectiveness (2 of 2)

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Organizational effectiveness is an allencompassing concept that includes a


number of component concepts
The managerial task is to maintain the
optimal balance among these
components

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2005 The McGraw-Hill Companies, Inc. All rights reserved.

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Managers can lead the way to higher


levels of effectiveness by: (1 of 2)
Providing opportunities for training and
continuous learning
Sharing information with employees
Encouraging cross-development
partnerships
Linking compensation to performance

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2005 The McGraw-Hill Companies, Inc. All rights reserved.

1-23

Managers can lead the way to higher


levels of effectiveness by: (2 of 2)
Avoiding layoffs
Being a supportive role model
Respecting the differences across
employees
Being a good listener

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2005 The McGraw-Hill Companies, Inc. All rights reserved.

Key Points

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(1 of 2)

The key to an organizations success is


its human resources
Organizations need human resources
that:
work hard
think creatively
perform excellently
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2005 The McGraw-Hill Companies, Inc. All rights reserved.

Key Points

1-25

(2 of 2)

Rewarding, encouraging, and nurturing


the human resources in a timely and
meaningful manner is what is required
The behavior of employees is the key to
achieving effectiveness

McGraw-Hill/Irwin

2005 The McGraw-Hill Companies, Inc. All rights reserved.

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