MGMT 371 Fall 2009 Semester

Organizational Behavior

College of Business Learning OutcomesRecognize ethical, legal and global

implications in business decision makingWork in collaborative environmentsCommunicate ideas (written, oral, visual, and

electronic)Use quantitative and analytical methods to

address unstructured business problems Use business technologies in creating valueRecognize the benefits and challenges of

diversity

Top 5 Skill Areas Demanded by Top 5 Skill Areas Demanded by US OccupationsUS Occupations

Active ListeningActive ListeningReading ComprehensionReading ComprehensionSpeakingSpeakingCritical ThinkingCritical ThinkingActive LearningActive Learning

BLS Statistics

The goal of Organizational Behavior:

People-centered practicesJob security: eliminate fearCareful hiring: good fit with cultureEmpower: decentralize to self-

managed teamsGenerous pay for performance

(motivation)Training, training, training“We” mentality: ban statusBuild trust: share information

Chapter 1: Organizational Behavior

What do Managers do?Work with and through others to achieve org. objectives

Skills4-P Cycle

Skills Exhibited by an Effective Manager

6) Provides feedback honestly and constructively

5) Facilitates work through team building, coaching, and support

4) Has technical and administrative expertise to address organization-related questions (consulting)

3) Plans and organizes for an effective work flow

2) Encourages participation, upward communication, and input

1) Clarifies goals and objectives for everyone involved

Skills Exhibited by an Effective Manager

11) Recognizes good performance with rewards and positive reinforcement

10) Empowers and delegates key duties to others while maintaining goal clarity and commitment

9) Applies reasonable pressure for goal accomplishment

8) Controls details without being overbearing

7) Organizing work--relying on schedules, deadlines

McGraw-Hill

The 4-P Cycle of Continuous Improvement

History of OB FieldDefining OB: LevelsHuman Relations Movement

Hawthorne EffectMcGregor’s Theory X and Theory YMary Parker Follett

Total Quality Management MovementDemingPrinciples

The Human Relations Movement

Legalization of union-management collective bargaining

Behavioral scientists called more attention to the human factor

The Hawthorne Legacy

The urban legendConclusions about positive effect of

supportive supervision may be overstatedMoney, fear of unemployment, managerial

discipline and high quality raw materials were also appear to have been related to high output

McGregor’s Theory X and Theory Y

5) Employees typically have imagination, ingenuity, and creativity

4) Employees can learn to seek responsibility

3) Rewards help people become committed to organizational objectives

3) Most people prefer to be directed

2) People committed to objectives are capable of self-direction

2) People must be pushed to work

1) Work is a natural activity

1) People dislike work

Theory YTheory YTheory XTheory X

Table 1-3

Mary Parker Follett

Saw employees as complex bundles of attitudes, beliefs, and needs

Believed managers should motivate job performance

What is Total Quality Management? (TQM)

Principles of TQM:Principles of TQM:Do it right the first time to eliminate costly reworkListen to and learn from customers and employeesMake continuous improvement an everyday matterBuild teamwork, trust, and mutual respect

AAn organizational culture dedicated to training, continuous improvement, and customer satisfaction

History of OB Field (con’t.)

Internet RevolutionE-Business

Contingency ApproachAge of Human and Social Capital

Positive OB

E-business Implications for OBE-businessE-business involves using the Internet to facilitate

every aspect of running a business.E-Management – Fast paced; Virtual teams; New

skillsE-communication – Email use/abuse;

Telecommuting Goal setting and feedback – Web-based goal-

setting/evaluationOrganizational structure – Virtual teams and

organizations. Trust and loyalty in “faceless” organizations?

Job design – Virtual jobs

E-Business Implications Cont.

Decision making – Less time, more decisions; Information overload; Empowerment; Participative decision making

Knowledge management – E-training; E-learning; distance learning

Speed, conflict, and stress – Does speed = burnout?

Change and resistance to change – ConstantEthics – Electronic monitoring; Repetitive motion

injuries; Privacy issues

The Contingency Approach

Using management concepts and techniques in a situationally appropriate manner, instead of trying to rely on “one best way”

The Age of Human and Social Capital

Human CapitalThe productive potential of one’s

knowledge and actions

A present or future employee with the right combination of knowledge, skills, and motivation to excel

Human Capital Outcomes

Leadership/managerial practicesWorkforce optimizationLearning opportunitiesKnowledge accessibilityTalent managementEmployee engagement

The Age of Human and Social CapitalSocial capitalThe productive potential of strong, trusting, and

cooperative relationships

Dimensions of Human and Social Capital

The Positive Psychology Movement

Recommends focusing on human strengths and potential as a way to prevent mental and behavioral problems and to improve the general quality of life

Positive Organizational Behavior

• The study and improvement of employees’ positive attributes and capabilities

Evolution of 21st Century Managers

Primary resourcePotential problemView of People

Knowledge (technical and interpersonal)

Formal authorityPrimary Source of Influence

Skills, resultsTime, effort, rankCompensation Criteria

Continuous, life-long learning, generalist with multiple specialties

Periodic learning, narrow specialist

Learning and Knowledge

Facilitator, team member, teacher, advocate, sponsor, coach

Order giver, privileged elite, manipulator, controller

Primary Role

Future ManagersPast Managers

Table 1-2

Evolution of 21st Century Managers

Cooperative (win-win)Competitive (win-lose)

Nature of Interpersonal Relationships

ForethoughtAfterthoughtEthical Considerations

Broad-based input for joint decisions

Limited input for individual decisions

Decision-making Style

MultidirectionalVerticalPrimary Communication Pattern

Future ManagersPast Managers

Table 1-2 cont.

Evolution of 21st Century Managers

FacilitateResistApproach to Change

Share and broaden access

Hoard and restrict access

Handling of Power and Key Information

Future ManagersPast Managers

Table 1-2 cont.

Learning About OB Through A Combination of Theory, Research, and Practice

Research

Practice

Theory Most completeinformation for

betterunderstandingand managingorganizational

behavior

Figure 1-3

Four Sources of OB Research Insights

Meta-analysis pools the results of many studies through statistical procedure

Field study examination of variables in real-life settings

Laboratory study manipulation and measurement variables in contrived situations

Sample survey questionnaire responses from a sample of people