Chapter 1
Introduction to
Organizational Behavior
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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.
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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.
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Focal Points of OB
•Jobs
•Work
•Absenteeism
•Employment turnover
•Productivity
•Human performance
•Management
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Complementing Intuition with Systematic
Study
• Intuition: the “gut feeling” explanation of
behavior.
• Systematic study improves ability to
accurately predict behavior.
– Assumes behavior is not random.
– Fundamental consistencies underlie behavior.
– These can be identified and modified to reflect
individual differences.
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Systematic Study
• Examines relationships.
• Attempts to attribute causes and
effects.
• Bases conclusions on scientific
evidence:
– On data gathered under controlled
conditions.
– Data is measured and interpreted in a
reasonably rigorous manner.
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Evidence-Based Management
• Complements systematic
study.
• Bases decisions on the
best available scientific
evidence.
• Forces managers to
become more scientific in
their thinking.
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Contributing Disciplines to the OB Field
Micro:
The Individual
Macro:
Groups &
Organizations
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Few Absolutes in OB
• Impossible to make simple and accurate
generalizations
• Human beings are complex and diverse
• OB concepts must reflect situational
conditions: contingency variables
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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
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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
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Managing Workforce Diversity
Workforce diversity:
Organizations are
becoming a more
heterogeneous mix of
people in terms of gender,
age, race, ethnicity, and
sexual orientation
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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.”
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OB Offers Insights Into:
• Improving quality and
productivity
• Customer service and
building a customer-
responsive culture
• Developing people skills
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OB Aids in Dealing With:
• Stimulating Innovation and
Change
• Increasing “temporariness”
in the workplace
• Helping employees balance
work-life conflicts
• Improving ethical behavior
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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.
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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
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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.
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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.
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Discussion:’
Questions and
answer session
