HBO PPT 1

Essentials of
Organizational Behavior
Stephen P. Robbins & Timothy A. Judge
Chapter 1
Introduction to
Organizational Behavior
Copyright ©2010 Pearson Education, Inc. Publishing as Prentice Hall 1-1
After reading this chapter, you
should be able to:
1. Define organizational behavior (OB).

2. Explain the value of the systematic study of OB.
3. Identify the contributions made to OB by major
behavioral science disciplines.
4. Describe how OB concepts can help make organizations
more productive.
5. List the major challenges and opportunities for
managers to use OB concepts.
6. Identify the three levels of analysis in OB.
Copyright © 2010 Pearson Education, Inc. Publishing as Prentice Hall 1-2
What is Organization
Behavior?
An organization is a collection of people who
work together to achieve a wide variety of
goals.
Organizational behavior (OB) is defined as
actions and attitudes of people in the
organization. It is the study of human
behavior in organizational settings, how
human behavior interacts with the
organization, and the organization itself.
The Field of Organizational
Behavior
Organizational Behavior studies the
influence that individuals, groups and
structure have on behavior within
organizations.
Its chief goal is to apply that knowledge

toward improving an organization’s
effectiveness.

Usefulness of OB to
Managers
It can help managers understand the

complexity within the organization, identify
the problems, determine the best ways to
correct them, and establish whether the
changes would make a significant difference.

The Nature of Organizational
Behavior
Environment
Individual
The Individual-
Human Behavior
Organization
In
Interface
Organization
The Organization

Historical Roots of
Organization Behavior
1. Scientific Management. One of the first
approaches to the study of management during the
1900s, was scientific management. Individuals
who helped develop and promote scientific
management included Frank and Lillian Gilbreth,
Henry Gantt, Harrington Emerson and Fredric
Taylor scientific management is Taylor.
- Early in his life, Taylor developed an interest in
efficiency and productivity. He scientifically studied
all jobs and developed a standardized method of
performing each one.
Historical Roots of
- Taylor also installed a piece-rate pay system in
which each worker was paid for the amount of
work he completed during the workday rather than
for the time spent on the job. He believed that
money was the only motivational factor in the
workplace. His innovations resulted in a marked
increase in productivity and serve as the foundation
of scientific management. Quickly scientific
management became a mainstay of business
practice.
Historical Roots of
2. Classical Organization Theory. During the
same era, another perspective on management
theory and practice was also emerging, generally
referred to as classical organization theory. This
perspective is concerned with structuring
organizations effectively. This theory focused on
how a large number of workers and managers
could be most effectively organized into an overall
structure. The major contributors are: Henri Fayol,
Lyndall Urwick, and Max Weber.
Historical Roots of
Weber the most prominent, proposed a
“bureaucratic” form of structure that he believed
would work for all organizations. Weber’s model of
bureaucracy embraced logic, rationality, and
efficiency. A bureaucracy is an organization in
which tasks are specialized under a given set of
rules and hierarchy of authority. This model is
characterized by division of labor. Division of labor
is the separation of work loads into small segments
to be performed by one or more people. Tasks are
assigned through division of labor.
Historical Roots of
However, creativity of workers are low since
the procedures are invariable, the tasks
assigned for each job become routine for the
employee. It also lead to an impersonal work
environment, lacking incentives for
extraordinary task performance and
ultimately limiting the growth potential of
individual employees.

Historical Roots of
In contrast to Weber’s view, contemporary

organization theorists recognize that different
structures may be appropriate in different
situations. However, classical organization theory
played a major role in the development of
management thought. Weber’s ideas and concepts
associated with his bureaucratic structure are still
interesting and relevant today.

Historical Roots of
3. The Emergence of Organizational
Behavior. Both scientific management and
classical organization theory ignored
altogether or gave minimal attention to the
roles of individuals and groups in
organization. However, few early writers and
managers recognized the importance of
individual and social processes in
organization.
Historical Roots of
a. Precursors of Organizational Behavior.
In the early 19th century, Robert Owen
(British Industrialist) attempted to improve
the conditions of industrial workers –
improved working conditions, raised
minimum ages for hiring children, introduced
meals for employees, and shortened working
hours.

Historical Roots of
In the early 20th century, Hugo
Munsterberg (German Psychologist) argued
that the field of psychology could improve
important insights into areas such as
motivation and hiring of new employees.
Another writer in the early 1900s, Mary
Parker Follett, argued that organizations
should strive harder to accommodate their
employees’ human needs.
Historical Roots of
The views of Owen, Munsterberg and
Follett, however, were not widely shared by
practicing managers. Not until 1930’s did
notable change occur in management’s
perception of the relationship between
individual and the workplace. A series of
classic research studies led to the emergence
of organizational behavior in the filed of
study.
Historical Roots of
b. The Hawthorne Studies.
The Hawthorne studies were conducted
between 1927 and 1932 at Western Electric’s
Hawthorne plant in Chicago. Several researchers
were involved, the best known being Elton Mayo
and Fritz Roethlisberger (Harvard University faculty
members and consultants) and William Dickson
(chief Employee of Hawthorne Employee Relations
Research Department).

Historical Roots of
The Hawthorne researchers concluded
that human element in the workplace was
considerably more important, individual and
social processes are too important to ignore.
Like its precursors, the Hawthorne Studies
were major factor in the advancement of
organizational behavior.

Historical Roots of
c. The Human Relations Movement
The basic premises underlying the human
relations movement are that people respond
primarily to their social environment, that
motivation depend more on social needs than
economic needs, that satisfied employees work
harder than unsatisfied employees. This theory
shift away from the philosophy and values of
scientific management and classical organization
theory.
Historical Roots of
The Behavioral Theory of Management
holds that all people have complex needs,
desires and attitudes. The fulfillment of
needs is the goal which employees are
motivated. Effective leadership matches
need-fulfillment rewards with desired
behaviors (tasks) that accomplish
organizational goals.

Historical Roots of
The values of human relationists are
exemplified by the works of Douglas McGregor and
Abraham Maslow.
- McGregor in his classical book Human Side
of Enterprise identified two opposing perspectives
that he believed typified managerial views of
employees. He labeled it Theory X. Theory X,
which takes a pessimistic view on human nature
and employee behavior. A much more optimistic
and positive view of employees is found in Theory
Y. © 2010 Pearson Education, Inc. Publishing as Prentice Hall
Copyright 1-21
Historical Roots of
In 1943, Abraham Maslow published a
pioneering psychological theory applicable to
employee motivation that became well
known and widely accepted among
managers known as Abraham Maslow’s
Hierarchy of Needs.

Historical Roots of
d. Toward Organizational Behavior
The emergence of organizational
behavior as a mature field of study began in
the late 1950s and early 1960s. That period
saw the field’s evolution from simple
assumptions and behavioral models of
human relationists to the concepts and
methodologies of a scientific discipline.

Contemporary Organization
Behavior
Organizational Behavior studies the
influence that individuals, groups and structure
have on behavior within organizations
Characteristics of Organizational Behavior:
1. An Interdisciplinary Focus. OB
synthesizes several fields of study such as:
a. Psychology – organizational psychologists
specifically address the behavior of people in
organizational settings.

Behavior
b. Sociology – because a major concern of
organizational behavior is the study of
organization structures, the field clearly
overlaps with areas of sociology that focus
on the organization as a social system.
c. Anthropology – culture is a major
influence on the structure of organization as
well as on the behavior of individual people
within the organization
Behavior
d. Political Science – areas in political science like
how and why people acquire power, political
behavior, decision-making, conflict, the behavior of
interest group, and coalition formation are also
major areas of interest in organizational behavior.
e. Economics - organizational behaviorists share
the economist’s interests of topics such as labor
markets dynamics, productivity, human resource
planning and forecasting, and cost-benefit analysis.

Behavior
f. Engineering – work measurement, work
flow analysis and design, and labor relations
are obviously areas relevant to organizational
behavior.
g. Medicine – recently medicine has
influenced organizational behavior in
connection with the study of human behavior
at work, specifically in the area of stress.

Behavior
2. Descriptive in Nature. The primary goal
of organization behavior is to describe
relationships between two or more
behavioral variables.

Focal Points of OB
• Jobs
• Work
• Absenteeism
• Employment turnover
• Productivity
• Human performance
• Management

Challenges and Opportunities
for OB
• The workplace is contains a wide mix of
cultures, races, ethnic groups, genders and
ages
• Employees have to learn to cope with rapid
change due to global competition
• Corporate loyalty has decreased due to
corporate downsizing and use of temp workers
• Managers can benefit from OB theory and
concepts

Responding to Globalization
• Increased foreign assignments
 Differing needs and aspirations in
workforce
• Working with people from
different cultures
 Domestic motivational techniques
and managerial styles may not
work
• Overseeing movement of jobs
to countries with low-cost labor

Managing Workforce
Diversity
Workforce diversity:
organizations are
becoming a more
heterogeneous mix of
people in terms of
gender, age, race,
ethnicity, and sexual
orientation

Diversity Implications
“Managers have to shift their

philosophy from treating
everyone alike to recognizing
differences and responding to
those differences in ways
that ensure employee
retention and greater
productivity while, at the
same time, not
discriminating.”

OB Offers Insights Into:
• Improving quality and

productivity
• Customer service and
building a customer-
responsive culture
• Developing people skills

OB Aids in Dealing With:
• Stimulating Innovation
and Change
• Increasing
“temporariness” in the
workplace
• Helping employees
balance work-life conflicts
• Improving ethical
behavior
Thinking Positive
• Creating a positive work environment can

be a competitive advantage
• Positive Organizational Scholarship
(Positive OB):
 Examines how organizations develop human
strengths, foster vitality and resilience, and
unlock potential.
 Focus is on employee strengths, not their
weaknesses.
Interactionism
Interactionism is a relatively new approach to
understanding behavior in organizational
settings. This view assumes that individual
behavior results from a continuous and
multidirectional interaction between the
characteristics of a person and characteristics of
a situation. More specifically, interactionism
attempts to explain how people select,
interpret, and change various situations.

Three Levels of OB Analysis
Chapters 14 - 16
Chapters 8 - 13
Chapters 2 - 7
Plan of the Book

Implications for Managers
• OB helps with:
 Insights to improve people skills
 Valuing of workforce diversity
 Empowering people and creating a
positive work environment
 Dealing with labor shortages
 Coping in a world of temporariness
 Creating an ethically healthy work
environment

Keep in Mind…
• OB’s goal is to understand and predict

human behavior in organizations.
• Fundamental consistencies underlie
behavior.
• It is more important than ever to learn OB
concepts.
• Both managers and employees must learn
to cope with temporariness.
Summary
1. Defined Organizational Behavior (OB).

2. Explained the value of the systematic study of OB.
3. Identified the contributions made to OB by major
behavioral science disciplines.
4. Described how OB concepts can help make
organizations more productive.
5. Listed the major challenges and opportunities for
managers to use OB concepts.
6. Identified the three levels of analysis in OB.

HBO PPT 1

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Essentials of

Stephen P. Robbins & Timothy A. Judge

1. Define organizational behavior (OB).

Its chief goal is to apply that knowledge

Copyright © 2010 Pearson Education, Inc. Publishing as Prentice Hall 1-4

It can help managers understand the

Copyright © 2010 Pearson Education, Inc. Publishing as Prentice Hall 1-5

Copyright © 2010 Pearson Education, Inc. Publishing as Prentice Hall 1-6

Copyright © 2010 Pearson Education, Inc. Publishing as Prentice Hall 1-11

In contrast to Weber’s view, contemporary

Copyright © 2010 Pearson Education, Inc. Publishing as Prentice Hall 1-12

Copyright © 2010 Pearson Education, Inc. Publishing as Prentice Hall 1-14

Copyright © 2010 Pearson Education, Inc. Publishing as Prentice Hall 1-17

Copyright © 2010 Pearson Education, Inc. Publishing as Prentice Hall 1-18

Copyright © 2010 Pearson Education, Inc. Publishing as Prentice Hall 1-20

Copyright © 2010 Pearson Education, Inc. Publishing as Prentice Hall 1-22

Copyright © 2010 Pearson Education, Inc. Publishing as Prentice Hall 1-23

Copyright © 2010 Pearson Education, Inc. Publishing as Prentice Hall 1-24

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Copyright © 2010 Pearson Education, Inc. Publishing as Prentice Hall 1-27

Copyright © 2010 Pearson Education, Inc. Publishing as Prentice Hall 1-28

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Copyright © 2010 Pearson Education, Inc. Publishing as Prentice Hall 1-30

Copyright © 2010 Pearson Education, Inc. Publishing as Prentice Hall 1-31

Copyright © 2010 Pearson Education, Inc. Publishing as Prentice Hall 1-32

“Managers have to shift their

Copyright © 2010 Pearson Education, Inc. Publishing as Prentice Hall 1-33

• Improving quality and

Copyright © 2010 Pearson Education, Inc. Publishing as Prentice Hall 1-34

• Creating a positive work environment can

Copyright © 2010 Pearson Education, Inc. Publishing as Prentice Hall 1-37

Plan of the Book

Copyright © 2010 Pearson Education, Inc. Publishing as Prentice Hall 1-38

Copyright © 2010 Pearson Education, Inc. Publishing as Prentice Hall 1-39

• OB’s goal is to understand and predict

1. Defined Organizational Behavior (OB).

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