SequenceSequence

IntroIntro

PurposePurpose

Elements of OrgElements of Org

Org ModelOrg Model

McGregor’s TheoryMcGregor’s Theory

Japanese OB Japanese OB

ConclusionConclusion

Model of OrgModel of OrgIntroduction:Introduction:Century ago employees were used as Century ago employees were used as “Hands” and “Hands” and Employers used to view that Employers used to view that they were purchasing the commodity they were purchasing the commodity “labour” ie skill of the hands of employees.“labour” ie skill of the hands of employees.

- - Org have undergone sea changes Org have undergone sea changes during the last 02 centuries.during the last 02 centuries.

–Old rules are replaced by new ones to Old rules are replaced by new ones to attract their workers.attract their workers.

–These work rules vary across org, time These work rules vary across org, time and culture. and culture.

[Days changed to OSS, Front Desk Executive etc][Days changed to OSS, Front Desk Executive etc]

KNOWLEDGEKNOWLEDGE

Psychology

Science

Philosophy

OB is the study and application of knowledge OB is the study and application of knowledge about how people, individuals, and groups act in about how people, individuals, and groups act in org.org.

That is, it interprets people-org relationships in That is, it interprets people-org relationships in terms of the whole person, whole group, whole terms of the whole person, whole group, whole org, and whole social system.org, and whole social system.

Its purpose is to build better relationships by Its purpose is to build better relationships by achieving human objectives, organizational achieving human objectives, organizational objectives, and social objectivesobjectives, and social objectives

OB SystemOB System–Org achieve their goals by creating and Org achieve their goals by creating and

operating an OB system. operating an OB system.

–Major element of good OB system are Major element of good OB system are cautiously created and regularly cautiously created and regularly examined and updated. examined and updated.

–To meet emerging need.To meet emerging need.

–The prime purpose of OB systems are The prime purpose of OB systems are to identify and manipulate human and to identify and manipulate human and organizational variables that affect orgorganizational variables that affect org..

Elements of OB SystemElements of OB System

Philosophy (Model)Philosophy (Model)– Fact PremisesFact Premises– Value PremisesValue Premises

AutocraticAutocratic

CustodialCustodial

SupportiveSupportive

CollegialCollegial

SystemSystem

The org's base rests on management's The org's base rests on management's philosophy, values, vision and goals. This philosophy, values, vision and goals. This in turn drives the organizational culture in turn drives the organizational culture which is composed of the formal org, which is composed of the formal org, informal org, and the social environment.informal org, and the social environment.

The culture determines the type of The culture determines the type of leadership, communication, and group leadership, communication, and group dynamics within the org. dynamics within the org.

The workers perceive this as the quality of The workers perceive this as the quality of work life which directs their degree of work life which directs their degree of motivation. The final outcome are motivation. The final outcome are performance, individual satisfaction, and performance, individual satisfaction, and personal growth and development. All personal growth and development. All these elements combine to build the these elements combine to build the model or framework that the org operates model or framework that the org operates from. The philosophy of OB stems from 2 from. The philosophy of OB stems from 2 sources- Fact Premises and Value sources- Fact Premises and Value Premises Premises [Throwing off a camera down [Throwing off a camera down from storey].from storey].

Fact PremisesFact Premises: The camera will drop on : The camera will drop on grd and smashed.grd and smashed.

Value PremisesValue Premises: Due to unhappiness : Due to unhappiness against its performanceagainst its performance

VisionVision- represents a challenging portrait of - represents a challenging portrait of what the org and its members can be a what the org and its members can be a possible and desirable, future,. Where org possible and desirable, future,. Where org should go and what major changes and should go and what major changes and challenges lie ahead. The next is to challenges lie ahead. The next is to achieve the goal by all of the orgachieve the goal by all of the org..

Mission-identifies the business it is in , the Mission-identifies the business it is in , the market niches it tries to serve the types of market niches it tries to serve the types of customers it is likely to have and the reasons customers it is likely to have and the reasons for its existence.for its existence.Goal-are relatively concrete formulations of Goal-are relatively concrete formulations of achievements the org is aiming for within set achievements the org is aiming for within set periods of time, It is set at highest level.periods of time, It is set at highest level.– AutocraticAutocratic– CustodialCustodial– SupportiveSupportive– CollegialCollegial– SystemSystem

Models of OBModels of OB

There are four major models or frameworks There are four major models or frameworks that org operate out of: that org operate out of:

AutocraticAutocratic - The basis of this model is power - The basis of this model is power with a managerial orientation of authority. with a managerial orientation of authority. The employees in turn are oriented towards The employees in turn are oriented towards obedience and dependence on the boss. The obedience and dependence on the boss. The employee need that is met is subsistence. employee need that is met is subsistence. The performance result is minimal. The performance result is minimal.

Autocratic ModelAutocratic ModelThe autocratic model depends on power. Those who The autocratic model depends on power. Those who are in command must have the power to demand “you are in command must have the power to demand “you do this-or else,” meaning that an employee who does do this-or else,” meaning that an employee who does not follow orders will be penalized.not follow orders will be penalized.In an autocratic environment the managerial orientation In an autocratic environment the managerial orientation is formal, official authority. This authority is delegated is formal, official authority. This authority is delegated by right of command over the people to it applies.by right of command over the people to it applies.Under autocratic environment the employee is Under autocratic environment the employee is obedience to a boss, not respect for a manager.obedience to a boss, not respect for a manager.The psychological result for employees is dependence The psychological result for employees is dependence on their boss, whose power to hire, fire, and “perspire” on their boss, whose power to hire, fire, and “perspire” them is almost absolute. It is not complete failure them is almost absolute. It is not complete failure

TheThe Custodial ModelCustodial ModelA successful custodial approach depends on A successful custodial approach depends on economic resources.economic resources.The resulting managerial orientation is toward The resulting managerial orientation is toward money to pay wages and benefits.money to pay wages and benefits.Manager study his employees. Since employees’ Manager study his employees. Since employees’ physical needs are already reasonably met, the physical needs are already reasonably met, the employer looks to security needs as a motivating employer looks to security needs as a motivating force. If an organization does not have the wealth force. If an organization does not have the wealth to provide pensions and pay other benefits, it to provide pensions and pay other benefits, it cannot follow a custodial approach.cannot follow a custodial approach.The custodial approach leads to employee The custodial approach leads to employee dependence on the organization. Rather than dependence on the organization. Rather than being dependence on their boss for their weekly being dependence on their boss for their weekly bread, employees now depend on org for their bread, employees now depend on org for their security and welfare.security and welfare...

Employees working in a custodial Employees working in a custodial environment become psychologically environment become psychologically preoccupied with their economic rewards preoccupied with their economic rewards and benefits.and benefits.As a result of their treatment, they are well As a result of their treatment, they are well maintained and contended. However, maintained and contended. However, contentment does not necessarily produce contentment does not necessarily produce strong motivation; it may produce only strong motivation; it may produce only passive cooperation. The result tends to passive cooperation. The result tends to be those employees do not perform much be those employees do not perform much more effectively than under the old more effectively than under the old autocratic approachautocratic approach

Employees sy remains a high priority.Employees sy remains a high priority.The Supportive ModelThe Supportive Model

The supportive model depends on leadership The supportive model depends on leadership instead of power or money. Through leadership, instead of power or money. Through leadership, management provides a climate to help management provides a climate to help employees grow and accomplish in the interests employees grow and accomplish in the interests of the org the things of which they are capable.of the org the things of which they are capable.The leader assumes that workers are not by The leader assumes that workers are not by nature passive and resistant to organizational nature passive and resistant to organizational needs, but that they are made so by an needs, but that they are made so by an inadequately supportive climate at work. inadequately supportive climate at work.

They will take responsibility, develop a They will take responsibility, develop a drive to contribute, and improve themselves drive to contribute, and improve themselves if management will give them a chance. if management will give them a chance. Management orientation, therefore, is to Management orientation, therefore, is to support the employee’s job performance support the employee’s job performance rather than to simply support employee rather than to simply support employee benefit payments as in the custodial benefit payments as in the custodial approach.approach.Since management supports employees in Since management supports employees in their work, the psychological result is a their work, the psychological result is a feeling of participation and task involvement feeling of participation and task involvement in the org. Employee may say “we” instead in the org. Employee may say “we” instead of “they” when referring to their org.of “they” when referring to their org.

Supportive behaviour is that Supportive behaviour is that behaviour require money rater a life behaviour require money rater a life style style Managers help employees to solve Managers help employees to solve their problem. Employees are more their problem. Employees are more strongly motivated than by earlier strongly motivated than by earlier models because of their status and models because of their status and recognition needs are better met. recognition needs are better met. Thus they have awakened drives for Thus they have awakened drives for work.work.

The Collegial ModelThe Collegial ModelA useful extension of the supportive model is A useful extension of the supportive model is the collegial model. The term “collegial” relates the collegial model. The term “collegial” relates to a body of people working together to a body of people working together cooperatively.cooperatively.The collegial model depends on management’s The collegial model depends on management’s building a feeling of partnership with employees. building a feeling of partnership with employees. The result is that employees feel needed and The result is that employees feel needed and useful. They feel that managers are contributing useful. They feel that managers are contributing also, so it is easy to accept and respect their also, so it is easy to accept and respect their roles in their organization. Managers are seen roles in their organization. Managers are seen as joint contributors rather than as bosses.as joint contributors rather than as bosses.The managerial orientation is toward teamwork. The managerial orientation is toward teamwork. Management is the coach that builds a better Management is the coach that builds a better teamteam

The employee’s response to this situation is responsibility. For The employee’s response to this situation is responsibility. For

example employees produce quality work not because management example employees produce quality work not because management

tells them to do so or because the inspector will catch them if they do tells them to do so or because the inspector will catch them if they do

not, but because they feel inside themselves an obligation to provide not, but because they feel inside themselves an obligation to provide

others with high quality. They also feel an obligation to uphold quality others with high quality. They also feel an obligation to uphold quality

standards that will bring credit to their jobs and company.standards that will bring credit to their jobs and company.

The psychological result of the collegial approach for the employee is The psychological result of the collegial approach for the employee is

self-discipline. Feeling responsible, employees discipline themselves self-discipline. Feeling responsible, employees discipline themselves

for performance on the team in the same way that the members of a for performance on the team in the same way that the members of a

football team discipline themselves to training standards and the football team discipline themselves to training standards and the

rules of the game.rules of the game.

In this kind of environment employees normally In this kind of environment employees normally feel some degree of fulfillment, worthwhile feel some degree of fulfillment, worthwhile contribution, and self-actualization, even contribution, and self-actualization, even though the amount may be modest in some though the amount may be modest in some situation. This self-actualization will lead to situation. This self-actualization will lead to moderate enthusiasm in performance.moderate enthusiasm in performance.

The System ModelThe System Modelmanagers must increasingly demonstrate a sense managers must increasingly demonstrate a sense of caring and compassion, being sensitive to the of caring and compassion, being sensitive to the needs of a diverse workforce with rapidly changing needs of a diverse workforce with rapidly changing needs and complex personal and family needs.needs and complex personal and family needs.In response, many employees embrace the goal of In response, many employees embrace the goal of organizational effectiveness, and reorganize the organizational effectiveness, and reorganize the mutuality of company-employee obligations in a mutuality of company-employee obligations in a system viewpoint. They experience a sense of system viewpoint. They experience a sense of psychological ownership for the organization and its psychological ownership for the organization and its product and services. product and services.

Theory of OBTheory of OB-Org differ in nature and system they -Org differ in nature and system they develop & maintain and in result they develop & maintain and in result they achieve.achieve.McGregorMcGregor given theory X and Theory given theory X and Theory Y (also known as Paradigms or Frame of Y (also known as Paradigms or Frame of Work)Work)

Per learn, grow and contribute

Theory XTheory X-Typical per dislikes work-Typical per dislikes work

-Typical per lacks responsibility-Typical per lacks responsibility

-Most pers to be coerced, controlled, -Most pers to be coerced, controlled, threatened to work,threatened to work,

Theory YTheory Y

--Pers work as natural as Pers work as natural as they play & restthey play & rest

-Pers are not inherently lazy -Pers are not inherently lazy but are madebut are made

-Pers exercise self direction -Pers exercise self direction & self Control& self Control

-Pers have pot and keen to -Pers have pot and keen to accept responsibility. accept responsibility. They have imaginations, They have imaginations, ingenuity, and creativityingenuity, and creativity

McGregorMcGregor

Japanese ModelJapanese Model

KAIZENKAIZEN KAIZEN means gradual but endless KAIZEN means gradual but endless

little improvements. little improvements. It is every body’s business. It is every body’s business. KAIZEN is an ongoing process.KAIZEN is an ongoing process. KAIZEN is a process oriented thinking.KAIZEN is a process oriented thinking. Japan is a process oriented societyJapan is a process oriented society

Top Top ManagementManagement

Middle Middle ManagementManagement

SupervisorSupervisor WorkersWorkers

InnovationInnovation KaizenKaizen MaintenanceMaintenance WorkWork

Determine, Determine, introduce introduce Kaizan, set Kaizan, set policy, realize policy, realize goalsgoals

Implement Implement KaizenKaizen

Comm and Comm and sustain high sustain high moral, moral, introduce introduce disciplinediscipline

Enhance skill Enhance skill and suggest and suggest and become and become problem problem solver.solver.

In Japan one Manger to spend at least 50% of his time In Japan one Manger to spend at least 50% of his time in improvement.in improvement.

Japanese think the management should pursue the 5 Japanese think the management should pursue the 5 objectsobjects

–Management has to achieve max quality with max Management has to achieve max quality with max efficiencyefficiency–Maintain min inventoryMaintain min inventory–Eliminate hard workEliminate hard work–Use facility to attain max quality and efficiency and Use facility to attain max quality and efficiency and minimize effort.minimize effort.–Maintain a questioning and open minded attitude for Maintain a questioning and open minded attitude for constant improvement based on team work and constant improvement based on team work and cooperationcooperation

In Japan management has 2 major In Japan management has 2 major components: components: – Maintenance Maintenance andand– ImprovementImprovement

Maintenance (Refers to activities Maintenance (Refers to activities technological, managerial ie is SOPs technological, managerial ie is SOPs iro rules, regulations, procedures, iro rules, regulations, procedures, discipline, and operational standards)discipline, and operational standards)

ImprovementImprovement– DisciplineDiscipline– TQMTQM– KambanKamban– Quality improvementQuality improvement– Just in timeJust in time– Zero defectsZero defects– Small group activitiesSmall group activities– Comparative labour management relationsComparative labour management relations– Productivity improvementProductivity improvement– New product developmentNew product development– Improvement (Refers improving current standards,)Improvement (Refers improving current standards,)

MaintenanceMaintenance– Customer orientationCustomer orientation– TQCTQC– RoboticRobotic– QC CircleQC Circle– Suggestion systemSuggestion system– AutomationAutomation

USA is result oriented thinking. No result means failure.USA is result oriented thinking. No result means failure.– No matter hard you work lack of results will bring poor personal rating No matter hard you work lack of results will bring poor personal rating

and lower income.and lower income.