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INTRODUCTION TO ORGANIZATIONAL
BEHAVIOR
 CHAPTER STUDY QUESTIONS

What is organizational behavior and why is it important?

What are organizations like as work settings?
What is the nature of managerial work?
How do we learn about organizational behavior?

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Introduction
Basic Concepts
Organizations are complex
Human behavior in organizations is
sometimes unpredictable
Human behavior can be partially
understood
Organizational behavior is needed

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 What is an Organization?
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 A collection of people working together in a

division of labor to achieve a common purpose.
 The core purpose of an organization is the creation
of goods and services.
 Mission statements focus attention on the core
purpose.
What is Organizational Behavior?

Insert Figure 1.1 here

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Definitions of Organizational
Behavior

Studies the influence that individuals,

groups and structure have on
behavior within organizations.

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Definitions of Organizational Behavior
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 OB studies what people do in an

organization and how that
behavior affects the performance
of the organization.
 Organizational Behavior
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A field of study that investigates

the impact that individuals,
groups, and structure have on
behavior within organizations,
for the purpose of applying such
knowledge toward improving an
organization’s effectiveness.
Chief Goal of OB

To apply that knowledge toward improving

an organization’s effectiveness.

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Understanding Organizational
Behavior
Organizational behavior…
The systematic study and careful
application of knowledge about how people
act within organizations
Strives to find ways in which people can act
more effectively
Is an applied science
Provides a useful set of analysis tools

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Understanding Organizational
Behavior
Goals
Describe
Understand
Predict, and
Control human behavior at work

Organizational behavior is a human

tool for human benefit
It is not designed to limit freedoms or take
away rights
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Fundamental Concepts
The Nature of People
Individual differences
Perception
A whole person
Motivated behavior
Desire for involvement
Value of the person

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Fundamental Concepts

The Nature of Organizations

Social systems
Mutual interest
Ethics
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Fundamental Concepts
Mutual Interest Provides a
Superordinate Goal

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 Goals of
Organizational Behavior

Prediction Explanation Control

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Three Levels of OB Analysis

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Understanding Organizational
Behavior
Primary Forces
People
Structure
Technology
Environment

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 Key Factors Affecting Organizational Behavior:

People
•Individuals
•Groups

Environment Organizational
Structure
•Government Behavior
•Jobs
•Competition
•Relationships
•Societal Pressures

Technology
•Machinery
•Computer hardware
and software

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 Contributing Disciplines
Psychology seeks to Sociology studies
measure,explain, people in relation to their
and change fellow human beings
behavior

Social psychology
focuses on the
influence of people
on one another

Political science is the

Anthropology is the
study of the
study of societies
behavior of individuals
to learn about human
and groups within
beings and their activities
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Challenges and Opportunities for
OB
Workers represent a large range of cultures and
ethnic groups
Increased uncertainty in the world
Typical employee is getting older
More women in the workplace
Global competition is requiring employees to
become more flexible
Historical loyalty-bonds that held many employees
to their employers are being severed

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Responding to Globalization
Increased foreign assignments
Working with people from
different cultures
Overseeing movement of jobs
to countries with low-cost labor
Managing people during the
War on Terror

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 Managing 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

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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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 Types of Study Variables
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Independent (X) Dependent (Y)

The presumed cause This is the response to
of the change in the X (the independent
dependent variable variable).
(Y). It is what the OB
This is the variable researchers want to
that OB researchers predict or explain.
manipulate to observe The interesting
the changes in Y. variable!

Predictive
X Y
Ability
 Dependent variable
Things which will be affected by OB
Productivity
What factors influence the effectiveness and
efficiency of individuals
Absenteeism
Absenteeism is not all bad
Having too high employee absent rate will affect
productivity
Turnover
Not all turnover is bad
High turnover rate…in some degree affect
productivity

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Organizational citizenship behavior (OCB)

Helping others on one's work team

Volunteering for extra job activities
Avoiding unnecessary conflicts
Making constructive statements about one's work group and the
overall organization

Job satisfaction

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 The Independent Variables
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The independent variable (X) can be at any of these
three levels in this model:
Individual
Biographical characteristics, personality and
emotions, values and attitudes, ability, perception,
motivation, individual learning and individual decision
making.
Group
Communication, group decision making, leadership
and trust, group structure, conflict, power and politics,
and work teams.
Organization System
Organizational culture, human resource policies and
practices, and organizational structure and design.
 OB Model
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Dependent
Variables (Y)
Three Levels

Independent
Variables (X)
Implications for Managers

Improve people skills

See the value of workforce diversity
Improve quality and productivity
Provide suggestions for meeting
chronic labor shortages
Cope in a world of temporariness
Offer guidance in creating an
ethically healthy work environment

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 Exercise:
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 Sandhya has worked in your department for several years. Until recently
she has been a “model” employee. She has always been on time, or
early, for work, and stayed late whenever necessary to get her to work
done. She was upbeat, cheerful and worked very hard. She frequently
said that the company was the best place she had ever worked, and that
you were the perfect boss.

 About six months ago, however, you began to see changes in Sandra’s
behavior. She began to occasionally come in late, and you cannot
remember the last time she agreed to work past 5:00. She also complains
a lot . Other workers have started to avoid her, because she is so negative
all the time. You also suspect that she may be looking for a new job.
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 Write a brief case with more information that
explains why Sandhya’s behavior has changed.
 Suggest means to resolve things with Sandhya.