WHAT IS OB session 2

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    INTRODUCTION TOORGANIZATIONAL

    BEHAVIOUR1

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    What Managers Do

    Managerial Activities

    Make decisions

    Allocate resources Direct activities of others to

    attain goals

    Managerial Activities

    Make decisions

    Allocate resources

    Direct activities of others to

    attain goals

    ManagersIndividuals who achieve goals through otherpeople.

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    2005 Prentice Hall Inc. All rights reserved.

    Where Managers Work

    Organization

    A consciously coordinated socialunit, composed of two or morepeople, that functions on a

    relatively continuous basis toachieve a common goal or set ofgoals.

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    .

    Management Functions

    ManagementManagementFunctionsFunctions

    PlanningPlanning OrganizingOrganizing

    LeadingLeadingControllingControlling

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    Management Functions (contd)

    Planning

    A process that includes defininggoals, establishing strategy, anddeveloping plans to coordinate

    activities.

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    Management Functions (contd)

    Organizing

    Determining what tasks are to bedone, who is to do them, how thetasks are to be grouped, who reports

    to whom, and where decisions are tobe made.

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    Management Functions (contd)

    Leading

    A function that includes motivatingemployees, directing others,selecting the most effective

    communication channels, andresolving conflicts.

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    .

    Management Functions (contd)

    Controlling

    Monitoring activities to ensure they arebeing accomplished as planned andcorrecting any significant deviations.

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    Case 1

    . Abhay Bedi joined Eslia Electronics Ltd., as anengineer. When he had completed five years in

    the firm, his manager resigned to join another

    firm in a higher position. After evaluating the

    performance records of 10 engineers in the Firm,

    the top management decided to promote Abhayto the position. When Abhay was handed the

    promotion letter, he was happy but also tense

    about his new role. What are the different roles

    that Abhay will have to perform as a manager.

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    Mintzbergs Managerial Roles

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    Mintzbergs Managerial Roles (contd)

    .

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    Mintzbergs Managerial Roles (contd)

    .

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    Ramanath , one of the software engineer working with

    INO solutions, had excellent knowledge in his field,and had received an award for the best softwareengineer in the third year of his joining the company.However ramnath lacked interpersonal skills andalways worked in isolation without interacting withany of his colleagues. The only time he interacted with

    people were-first when he had to listen to therequirements of the customers and note thespecification of the product desired by them andsecond when he had to explain to the customers theusage of the product desired by them . Even duringthese interactions , Ramanath was ill tempered and

    got easily irrated . Due to his poor interpersonal skill ,he was not considered for managerial position in theorganization. Suggest how Ramnath can improve hischances of being considered for promotion in nextappraisal.

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    Common mistakes committed by managers

    Lack Of clarity Lack Of empathy

    Act as Demotivator

    Poor Listening Skills

    Failure to give effective feedback Too busy to manage

    2005 Prentice Hall Inc. All rights reserved. 114

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    Management Skills

    Technical skillsThe ability to apply specializedknowledge or expertise.

    Human skillsThe ability to work with,understand, and motivate otherpeople, both individually and ingroups.

    Conceptual SkillsThe mental ability to analyze anddiagnose complex situations.

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    Enter Organizational Behavior

    Organizational behavior(OB)

    A field of study thatinvestigates the impactthat individuals, groups,and structure have onbehavior withinorganizations, for the

    purpose of applying suchknowledge towardimproving anorganizations

    effectiveness.

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    What is the net present value at a discounted rate

    of 12% per year of an portfolio of stocks , with an

    intial dividend next year of INR 4 crores and an

    expected rate of dividend dividend next year of rs

    4 lakh and an expected rate of dividend growth

    thereafter of 4% per year.

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    What is the most effective way to motivate people

    at work?

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    Intuition and Systematic Study

    The two are complementary means of predicting behavior.

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    Replacing Intuition with Systematic Study

    Systematic study

    Looking at relationships, attempting toattribute causes and effects, and drawingconclusions based on scientific evidence.

    Provides a means to predict behaviors.

    IntuitionA feeling not necessarily supported by research.

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    Contributing Disciplines

    See E X H I B I T 13 for details

    Many behavioral sciences

    have contributed to the

    development of

    Organizational

    Behavior

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    Contributing Disciplines to the OB Field

    PsychologyThe science that seeks to measure, explain, and sometimes

    change the behavior of humans and other animals.

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    Contributing Disciplines to the OB Field (contd)

    SociologyThe study of people in relation to their fellow human beings.

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    Contributing Disciplines to the OB Field (contd)

    Social PsychologyAn area within psychology that blends concepts frompsychology and sociology and that focuses on theinfluence of people on one another.

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    Contributing Disciplines to the OB Field (contd)

    AnthropologyThe study of societies to learn about human beingsand their activities.

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    Contributing Disciplines to the OB Field (contd)

    Political ScienceThe study of the behavior of individuals andgroups within a political environment.

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    Toward an OB DisciplineToward an OB Discipline

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    There Are Few Absolutes in OB

    ContingencyContingencyVariablesVariablesx y

    Contingency variablesSituational factors: variables thatmoderate the relationship between twoor more other variables and improve the

    correlation.

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    Basic OB Model, Stage I

    Model

    An abstraction of reality.A simplifiedrepresentation of some

    real-world phenomenon.

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    Types of Study Variables

    Independent (X)

    The presumed cause of thechange in the dependentvariable (Y).

    This is the variable that OBresearchers manipulate toobserve the changes in Y.

    Dependent (Y)

    This is the response to X (theindependent variable).

    It is what the OB researchers

    want to predict or explain. The interesting variable!

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    The Dependent Variables (contd)

    ProductivityA performance measure thatincludes effectiveness andefficiency.

    Effectiveness

    Achievement ofgoals.Efficiency

    The ratio of effectiveoutput to the inputrequired to achieve it.

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    The Dependent Variables (contd)

    Absenteeism

    The failure to report to

    work.

    Turnover

    The voluntary andinvoluntary permanentwithdrawal from anorganization.

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    The Dependent Variables (contd)

    Organizational citizenshipbehavior (OCB)

    Discretionary behavior that isnot part of an employees

    formal job requirements, butthat nevertheless promotes theeffective functioning of theorganization.

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    The Dependent Variables (contd)

    Job satisfactionA general attitude toward ones job, thedifference between the amount of rewardworkers receive and the amount they believe

    they should receive.

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    The Independent Variables

    IndependentIndependentVariablesVariables

    Individual-LevelIndividual-Level

    VariablesVariables

    OrganizationOrganization

    System-LevelSystem-Level

    VariablesVariables

    Group-LevelGroup-Level

    VariablesVariables

    Independent variableThe presumed cause of some change in thedependent variable.

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    OB Model

    E X H I B I T 16

    Independent

    Variables (X)

    DependentVariables (Y)

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    Challenges and Opportunities for OB

    Responding to Globalization

    Managing Workforce Diversity

    Improving Quality and Productivity

    Improving Customer Service

    Improving People Skills

    Stimulating Innovation and Change

    Coping with Temporariness

    Working in Networked Organizations

    Helping Employees Balance Work-Life Conflicts Creating a Positive Work Environment

    Improving Ethical Behavior

    S

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    After studying this chapter,you should be able to:

    1. Define organizational behavior (OB).

    2. Describe what managers do.

    3. Explain the value of the systematic study of

    OB.

    4. List the major challenges and opportunities for

    managers to use OB concepts.

    5. Identify the contributions made by majorbehavioral science disciplines to OB.

    LEA

    R

    N

    IN

    G

    O

    B

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    V

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    )

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    After studying this chapter,you should be able to:

    6. Describe why managers require a knowledge

    of OB.

    7. Explain the need for a contingency approach

    to the study of OB.

    8. Identify the three levels of analysis in this

    books OB model.

    LEAR

    N

    IN

    G

    OB

    JEC

    TI

    VE

    S(cont

    d)