OB THEORY- PD.ppt

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    Organizational Behaviour

    1

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    Organizational Theory

    Taylor

    Henry

    Fayol

    Max

    Weber

    Elton

    Mayo

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    EvolutionOf Management Thought

    1890 1900 1910 1920 1930 1940 1950 1960

    Systematic

    management

    Administrative

    management

    Quantitative

    management

    Systems

    theory

    Current and

    future revolutions

    Scientific

    management

    Human

    relations

    Organizational

    behavior

    Bureaucracy

    Classical Approaches Contemporary Approaches

    Contingency

    theory

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    Frederick Winslow Taylor (18561915) was the first person whoattempted to study human behavior

    at work using a systematic approach.Taylor studied human characteristics,social environment, task, physicalenvironment, capacity, speed,durability, cost and their interactionwith each other. His overall objectivewas to reduce and/or remove human

    variability.

    Frederick Winslow Taylor

    http://en.wikipedia.org/wiki/Frederick_Winslow_Taylorhttp://en.wikipedia.org/wiki/Frederick_Winslow_Taylor
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    Four Principles of Scientific Management

    1. Study the way employees perform their

    tasks, gather informal job knowledge that

    employees possess, and experiment with

    ways of improving the way tasks are

    performed.

    2. Codify the new methods of performing

    tasks into written rules and standardoperating procedures.

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    Four Principles of Scientific Management

    3. Carefully select employees so that they

    possess skills and abilities that match the

    needs of the task, and train them to

    perform the task according to the

    established rules and procedures.

    4. Establish an acceptable level of

    performance for a task, and then developa pay system that provides a reward for

    performance above the acceptable level.

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    Historical foundations of OB

    Theory of Administration Henri Fayol (1919)

    Fayols theory described the major management

    functions and several principles that act as aadministrative guide.

    Five functions of management:1. Planning

    2. Organizing

    3. Commanding

    4. Coordinating

    5. controlling

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    Fayols 14 principles

    Division of labour

    Authority and

    responsibility

    Centralization

    Unity of command

    Unity of direction.

    Discipline Subordination of

    individual interests to

    the general interest.

    Remuneration

    Scalar Chain

    Order

    Equity

    Stability of tenure of

    personnel.

    Initiative Espirit De Corps -

    Harmony

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    Historical foundations of OB

    Bureaucracy (Max Weber, 1922)

    An administrative structure with well defined

    offices and functions and hierarchical

    relationships among the functions.

    The bureaucracy defines the authority when it

    develops its division of labour. The person

    who takes authority assumes the authority ofthat position.

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    Historical foundations of OB

    Bureaucracy (cont) Features:

    Clearly defined and specialized functions

    Use of legal authority Hierarchical form

    Written rules

    Technical trained bureaucrats

    Appointment based on technical competence

    Clearly defined career path

    Fixed formal relationships among clearly

    defined hierarchically organized functions.

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    Hawthorne Works of the Western Electric Company near

    Chicago; 1924-1932 these studies mark the starting point

    of the field ofOrganizational Behaviour

    Initiated as an attempt to investigate how characteristics of

    the work setting affect employee fatigue and performance

    (i.e., lighting).

    Found that productivity increased regardless of whether

    illumination was raised or lowered.

    The Hawthorne Studies

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    Started in 1924 to examine the relationshipbetween light intensity and employee

    productivity a test group and a controlgroup were used the test group initially didnot show any increase or decrease in outputin proportion to the increase/decrease in

    illumination. The control group withunchanged illumination increased output bythe same amount overall by the test group.Subsequent phases brought the level of lightdown to moonlight intensity: the workerscould barely see what they were doing, butproductivity increased. The results baffled the

    researchers. Obviously, something besides

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    The serendipitous results of theseexperiments provided the impetus for

    the further study of human behaviour inthe work place.

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    Modern Organization theories

    Systems

    Socio-technical theory

    Situational Contingency

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    systems viewpoint,

    dynamic process of interaction,

    multileveled and multidimensional, probabilistic,

    multidisciplinary,

    descriptive, multivariable, and

    adaptive and organic

    Features of modern organization theories

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    Systems and Socio-technical approach

    Systems

    mutually dependent -

    sub-systems.

    comprises of 3

    elements

    Components

    individual and their

    behaviour , roles

    Linking processes communication &

    linkage among units.

    Goals of

    organization

    Socio-technical

    consists of the people,

    the technical system and

    the environment.

    people are social units

    uses technical tools for

    improvement of work.

    equilibrium among social

    system, technical systemand environment results

    in effectiveness

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    Situational and Contingency Approach

    Situational Approach

    (Selznick, 1949; Burns

    and Stalker,1961;

    Woodward, 1965;

    Lawrence and Lorsch,1967)

    cannot be universal

    guidelines which are

    suitable for allsituations.

    organizational systems

    are inter-related with

    the environment.

    Contingency Approach

    (Hellriegel and Slocum,

    1973)

    suggests that different

    environments require

    different organizational

    relationships for

    optimum effectiveness,

    business environmentis dynamic and

    organization must

    adapt to changes to

    continue to evolve .

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    The Z Theory

    Proposed by William Ouchi

    Combination of American & Japanese style of

    management.

    Paternalist in approach

    High motivation and job security and stability.

    Long term association among employee and

    organization i.e.. Loyalty. Slow yet gradual growth with optimum

    inducements.

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    Why study OB?

    To attain the competencies needed to be

    an effective employee, team leader,

    and/or manager.

    Knowledge and skills gained should help

    to diagnose, understand, and explain what

    is happening around to an employee in his

    or her job.

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    Issues in OB

    Issues in organizational behaviour are likelyto result from areas of : Workforce diversity Changes in the work force and customers Gender Race and ethnicityAge Quality management Technology Global environment Ethics

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    1) Autocratic

    2) Custodial

    3) Supportive

    4) Collegial

    OB MODELS

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    Autocratic

    power with a managerial orientation of authority.

    The employees in turn are oriented towards obedience and

    dependence on the boss.

    The employee need that is met is subsistence.

    Believed in use of force to improve performance.

    persons in power can demand work from workers pushing, directing and persuading tight control unfair

    practices, low payment and exploitation

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    Economic resources with a managerial orientation of

    money.

    The employees in turn are oriented towards security and

    benefits and dependence on the organization. The

    employee need that is met is security.

    The performance result is passive cooperation.

    Developed as a soothe to autocratic model.

    Allowance for incentives and welfare schemes.

    paternalism fringe benefits job security

    Custodial

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    Supportive

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    Leadership with a managerial orientation of support.

    The employees in turn are oriented towards job

    performance and participation.

    The employee need that is met is status and recognition.

    The performance result is awakened drives.

    Ensures organizational harmony.

    Mutual goal setting and optimum performance through

    mutual relationship building.

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    Collegial

    Partnership with a managerial orientation of teamwork.

    The employees in turn are oriented towards responsible

    behavior and self-discipline.

    The employee need that is met is self-actualization.

    The performance result is moderate enthusiasm.

    Mostly extension of supportive model. Ensures activeteambuilding and working for a mutual goal.

    High performance organization culture through various

    reinforcements programs.

    autocratic Custodial Supportive Collegial

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    Autocratic Custodial Supportive Collegial

    Model depends on

    PowerEconomic resourcesLeadershipPartnershipManagerial

    orientationAuthorityMoneySupportTeamworkEmployee

    orientationObedienceSecurityJobResponsiblityEmployee

    psychological resultDependence on bossDependence on

    organizationParticipationSelf-disciplineEmployees needs

    metSubsistemceMaintenanceHigher-orderSelf-actualizationPerformance resultMinimumPassive

    cooperationAwakened drivesModerate enthusiasm

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    autocratic Custodial Supportive Collegial

    Model depends on PowerEconomicresources

    Leadership Partnership

    Managerial orientation Authority Money Support Teamwork

    Employee orientation Obedience Security Job Responsibility

    Employeepsychological result

    Dependenceon boss

    Dependenceon

    organizationParticipation Self-discipline

    Employees needs met Subsistence Maintenance Higher-orderSelf-

    actualization

    Performance result MinimumPassive

    cooperation

    Awakened

    drives

    Moderate

    enthusiasm

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    Done by Poushali Dey

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