The Coffee Bean & Tea Leaf(CBTL), Business strategy case study
Organizationalbehaviour 120626122600-phpapp02
1. Prepared by :-
Mehul Rasadiya
(K.K.Parekh Institute of Management Studies)
(Amreli)
Mehul Rasadiya
2. Organizational Behavior –
Introduction, definition, goals, elements
Historical development of Organizational
Behaviour
Fundamental concepts
Contributing disciplines to OB
Models of OB
Social systems and organizational culture
International dimensions of organizational
behaviour
Limitations of Organizational behaviour,
The future of OB.
Mehul Rasadiya
3. Human beings depend on organization from birth to
death
Most people neglect organizations, unless they fail to
deliver goods and services
Need for effective organizations as they provide goods
and services at reasonable cost
OB contributes for organizational effectiveness
Mehul Rasadiya
4. Behaviour is a function of person and environment
Different people different behaviour
Behaviour may be desirable or undesirable
Managers have to manage both person and
environment in organizations to achieve desired goals
5. Organization is a set of people working together to
achieve shared goals
OB is the study of human behaviour in organizational
settings
OB offers tools and techniques to manage behaviour in
organization
Mehul Rasadiya
6. So, OB is the study of human behaviour in an
organization environment, and applying the
knowledge derived from this study to improve
organizational effectiveness
OB deals with behaviour of individuals and groups
within organizations and the interaction between
organizational members and their external
environment
Mehul Rasadiya
7. Stephen P Robbins, “ OB is a field of study/ that
investigates the impact /that individuals, groups and
structure/ have on behaviour within organizations /for
the purpose of /applying such knowledge towards
improving an organization’s effectiveness”
It is the common body of knowledge which studies
individuals, groups and effect of structure on behaviour
Mehul Rasadiya
8. Describe behaviour: goal is to describe systematically
how people behave under variety of conditions. If this
goal is achieved managers can define behaviour of
employees easily
Understand: goal is to understand why people behave
as they do. It is to understand the reason behind those
behaviours
Mehul Rasadiya
9. Predict: goal is to empower managers with a capacity
to predict or anticipate employee/ people behaviour. It
is to anticipate which employee might be successful,
who might be absent, who might cause problem etc.
this helps managers to prepare concrete plans & take
preventive actions wherever necessary
Control: Goal is to control and develop the human
activity at work. This is to minimize undesirable
behaviour and develop desirable behaviour in the
organization
Mehul Rasadiya
10. Elements of OB
People, their
Company Co. level of
Organization
philosophy, culture, lead satisfaction, structure,
values, visio ership, comm motivation, technology
n, goals unication growth &
development
Note: Company philosophy can be the principles or foundations
Around Which company works
Mehul Rasadiya
11. Koutilya’s Arthashastra states that there was
systematic management of human resources during
4th Century BC itself
Minimum wage rate, incentive wage plan concepts
were included in Babylonian civilization during 1800
BC
Actual development of OB can be traced from
beginning of the 19th Century
Mehul Rasadiya
12. Prior to 19th Century, condition of workers was
miserable
Industry Revolution, which happened during 19th
Century benefitted employees in terms of increased
wages and reduced working hours
Robert Owen, Andrew and J N Tata were the pioneers
in providing welfare facilities to workers
But they were criticized of following do-good-
approach
Mehul Rasadiya
13. During Scientific Management Era, Taylor focused on
human resources at work, but he wanted to rationalize
everything & his sole aim is to get more output from
workers
Failure of Scientific Management gave birth to human
relations movement, which heavily emphasized on
employee cooperation and morale
3 contributing factors to human relations movement
are; Great Depression, Labour Movement and
Hawthorne Studies
Mehul Rasadiya
14. Every discipline- social science or physical science-
have assumptions or principles
Ex: Financial Accounting one of the principles says, for
every debit there shall be a corresponding credit
Ex: Law of gravity is common everywhere
Mehul Rasadiya
15. There are differences between individuals
A whole person
Behaviour of an individual is caused
An individual has dignity
Organizations are social systems
Mutuality of interest among organizational
members
Holistic organizational behaviour
Need for management
Mehul Rasadiya
16. First four are around people
Next two are concerned with organizations
Last two are combination of first five assumptions
Mehul Rasadiya
17. Individual
differences Social systems
Whole person
OB Mutuality of
interests
Caused behaviour
Human dignity Holistic approach
Need for
management
Mehul Rasadiya
18. 1. Individual Differences:
There are differences between people. Be it in
intelligence, physique, personality or any other trait, they
are different. This concept comes from psychology
2. A whole person:
When an individual is appointed, hisher skill alone is
not hired, hisher social background, likes, dislikes are
also hired. A person’s family life can not be separated
with work life.
3. Caused behaviour:
Behaviour of an employee is caused, not random. Behind
every behaviour, there will be a cause, reason.
Management should find that cause if it wants to manage
the behaviour
Mehul Rasadiya
19. 4. Human dignity:
People have to be treated differently from other factors
of production. People should be treated with respect
and dignity. It rejects the old idea of using people as
economic tools.
5. Organizations as social systems:
Organizational activities are governed by social status,
rules & regulations & psychological needs. It implies
that environment is dynamic. All parts are
interdependent and subject to influence by any other
part.
Mehul Rasadiya
20. 6. Mutuality of interest:
It represents the statement “ organizations need people &
people also need organizations”. Organizations utilize
people to achieve their goals. People see organizations to
satisfy their needs or desires.
7. Holistic organizational behaviour:
When first 6 concepts are placed together holistic concept
emerges. Interprets that people organization relationship
expressed in terms of whole people, whole group, whole
organization, & whole social system.
8. Need for management:
Knowledge derived from OB study will be utilized in
improving organizational effectiveness. And management
uses this knowledge. While studying OB, management
needs should be considered.
Mehul Rasadiya
26. Personality
Perception
Learning
Attitudes and
attribution
Individual
Motivation
Behaviour
Group dynamics
Team dynamics
Leadership Organizational
Power and politics Group Behaviour
Effectiveness
Communication
Conflict
Organizational Culture
Human resource Policies &
Practices
Organization
Work Stress
Organization Change &
Development
Mehul Rasadiya
27. Keith Davis recognizes four different models of OB. These models
show evolution of the thinking and behaviour on the part of
management and managers alike. The four major models or
frameworks that organizations operate out of:
1. Autocratic - The basis of this model is 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. The performance result is
minimal.
2. Custodial - The basis of this model is 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.
Mehul Rasadiya
28. 3. Supportive - The basis of this model is 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.
4. Collegial - The basis of this model is 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.
Mehul Rasadiya
30. Social System:
A social system is complex set of human relationships
interacting in many ways
Within an organization, it includes all the people in it
and their relationships to each other and to the outside
world
Behaviour of one member can have impact on the
behaviour of others.
It does not have boundaries, it exchanges goods, ideas,
culture, etc. with the environment around it.
Mehul Rasadiya
31. Organizational Culture:
Culture is the conventional behavior of a society that
encompasses beliefs, customs, knowledge, and
practices
Culture gives them
stability, security, understanding, and the ability to
respond to a given situation.
Individualization is when employees successfully
exert influence on the social system by challenging
the culture
Mehul Rasadiya
32. For a creative environment match of high socialization and
high individualization should be implemented in an
organization
Individualization favors individual rights, personal
rewards, it looks for number 1 or the best
Socialization favors group, harmony and asks "What is best
for the organization?"
Organizations need people to challenge, question, and
experiment while still maintaining the culture that binds
them into a social system.
Mehul Rasadiya
33. Organizations are expanding beyond their national
boundaries
The world has entered an era of global economic
activity
4 aspects of International dimension of OB:
Behaviour across cultures
Culture determines behaviour
Culture clusters
Cultural diversity
Mehul Rasadiya
34. 1. Behaviour across cultures:
Behaviour in organizational settings varies across
cultures. HR practices too vary across cultures. Ex: in
Australia & Brazil, employees with 1 year of service
are automatically given 30 days of paid vacation
2. Culture determines behaviour
Culture influences behaviour. Cultural norms & values
guide everyday life of individuals. These norms &
values will pass to future generation through cultural
symbols, stories & rituals.
Mehul Rasadiya
35. Cultural norms: behaviours & practices, tell us what we
can do or what we can not do
Cultural values: tell us what is dear to our hearts. Ex:
American culture values freedom, this is towards
individualization. Japanese culture finds a higher value
in belonging. Belonging to a group is ore important
than individualism.
Mehul Rasadiya
36. 3.Culture clusters:
Represent countries that share cultural similarities.
Similarities can be in same language, currency
usage, etc
International businesses utilize this culture-clustering
approach in formulating global strategies. People with
identical culture behaviour can be grouped
4. Cultural Diversity:
By adopting cultural diversity, an organization can
become more effective. It will become more flexible &
can manage behaviour easily. One culture may benefit
from other culture
Mehul Rasadiya
37. OB is a means to improve, not an absolute answer for
problem
OB results wont give any assurance for future
behaviour
OB is a fad. Concepts has become vague now. Ex:
transparency, open cabin
OB is selfish & exploitative: practically it serves
interest of management
Mehul Rasadiya
38. In future employee focus will change towards career
development & recognition
Task will become flexible in nature to avoid monotony
& boredom in work place
Organization’s structural changes [ boundary less,
network or project structures]
Internationalization of business brings cultural &
behavioural complexity
Mehul Rasadiya
39. Define Organizational Behaviour. [3 marks]
Explain OB models. [7 marks]
Explain limitations & future of OB. [10 marks]
Explain fundamental concepts of OB. [7 marks]
Mehul Rasadiya