2. Objectives
⚫ After completing this course, the students shall be able to:
⚫ Identify the different environmental forces that recently
had redesigned management practices in most
organizations.
⚫Describe the foundations and basic assumptions of OB.
⚫Name the importance of OB in the organization.
⚫Discuss the challenges of OB in most organizations.
⚫Generalize the anchors that represent the principles on
which OB is developed and refined.
3. ⚫ An organization- is a collection of individuals
forming a synchronized system of specialized
activities for the rationale of realizing certain goals
over some extended period of time.
⚫ Organizational behavior- is the field of study
concerned with describing, understanding,
predicting, and controlling individual and group
human behavior. In an organizational setting where
they work.
4. ⚫It deals with what people think, feel and do in the
organization. The field mostly deals with group
dynamics, how individual relate to and participate in
groups, how leadership is applied, how organizations
function, and how change in organizational
situations.
5. ⚫ Whatever size, scope or location of an organization,
the reality is that they are composed of people. It is
this people and the results of their behavior that can
direct the success or failure of an organization.
Therefore, it is vital for organization to understand
those people who work for them. The study of the
organizations and those people who work for them
comprises organizational behavior.
6. ⚫ Change is the reality of life.
Managers must be entrepreneurial on
how to instruct people on what to do
and how to do the work. Intelligence,
passion, a strong work ethics,
teamwork orientation and a real
concern for people are the qualities
required today of an ideal work
atmosphere.
7. MANAGEMENT PRACTICES
⚫ Power of human resources
⚫Globalization
⚫Multiculturalism
⚫Rapidity of Change
⚫Psychological contract
⚫Technology
⚫Service economy
⚫Teamwork
8. ⚫ Power of human resources- is the capability to get things
completed in the manner one wants to be done The perspective
of modern firms now center on the growing importance and
centrality of human function.
⚫ Globalization is the interconnection among nations in
transportation distribution, communication and economic
networks. The global economy is now characterized by global
competition via networks that bring together countries,
institutions and people. The trading among nations in terms of
goods and services is even faster than the actual production of
goods worldwide. Therefore investments in people not only
capital investment is highly necessary for survival.
⚫ Multiculturalism (cultural diversity) – is a huge assortment of
differences produced by cultural trends like history,
characteristics , language, norms and mores. In the Philipppnes.
9. ⚫women’s status as workers has significantly
changed. Increased participation of women, older
workers, people with disabilities and minorities in
the workplace amplify the challenge for managers
to address this diversity to stay competitive
globally. SRapidity of change- is the rate at which
change occurs in technology, demographics,
globalization and new products and services.
Some of the sweeping changes in the world are
the internet, genetic engineering, microchips and
more demanding consumers for quality yet
reasonably priced goods and services.
10. ⚫Psychological contract-is the unwritten set of
expectations of the employment relationship
which details what each party looks forward to
give and receive. The top priorities of best
employers are openness, integrity, providing
opportunities and supporting the growth and
development of their employees.
⚫Technology – is the process that transforms raw
materials or intellectual capital into products and
services. More than machinery it influences the
work flow, structure, systems and philosophy of
the organization to some extent.
11. ⚫In this contemporary time, computer technology
needs to be learned and be used effectively because it
is pervasive and powerful.
⚫Service economy- the field of service like
transportation, communication, wholesale and retail,
finance, insurance, real estate and government is
growing. This growth necessitates high quality
interactions between service providers and customers
such as health-care workers and patients which must
be addressed with greater understanding and
appreciation.
12. ⚫Teamwork- in order to meet their goals, many
organizations is focusing on teamwork. It provides
better approach to quality goods and services. Strong
teamwork makes people engaged and committed to
the goals of the organization. Teamwork too required
that individuals in the organization must work
together harmoniously.
13. ⚫
⚫The eight (8) environmental forces
mentioned earlier provide challenges
to managers. Failure to cope and deal
with these forces shall give room to job
dissatisfaction, poor performance,
poor morale, conflict, stress, poor
judgment and a lot of unhealthy result.
15. Concepts that revolve around the individual in organizational
behavior:
⚫ Uniqueness of an individual
⚫ A total person
⚫ Attributions
⚫ Ethics and dignity
⚫ Organization as social system
⚫ Mutuality of interest
⚫ Holistic benefit
16. FOUNDATIONS AND BASIC ASSUMPTIONS OF OB
⚫ Several concepts that revolve around the individual in
organizational behavior namely:
⚫ 1) uniqueness of an individual- no two persons react to the
same stimulus. Each person has its own individuality which
could be in the form of trait, intelligence , physique, body
language or verbal language.
⚫ 2) a total person- when a certain person is hired for a job, the
organization accepts him in his totality with his attitude,
aptitude, skill and knowledge plus his emotion.
17. ⚫3) Attribution- it is important to disclose the root
cause of a certain employee’s disturbed behavior. This
involves knowing the reason for his abnormal looks
and overt reactions to normal.
⚫4) Ethics and dignity- employees deserved humane
treatment. Managers and supervisors must be warned
not to treat subordinates as slaves because this
manner deprives them of their dignity. People are to
be treated differently from other factors of production
because they are of a higher order in the universe.
18. ⚫5. Organizations as social system- individual behavior
is governed by psychology which must be acceptable
to the society. Group behavior is ruled by sociology.
Just as people have psychological needs, they also
have social roles and status. Their behavior is
influenced by their group as well as by their
individual drives. In fact, two types of social system
exist side by side in organizations. One is the formal
(official) social system, and the other is the informal
social system.
19. 6) Mutuality of interest- under normal condition the
individual tries his best to work for the organization.
In return, the organization makes him a capable
person through the opportunities given to him. Each
employee must also support each other in their
personal growth and should maintain their friendly
relations. People see organizations as a means to help
them reach their goals, while organizations need
people to help reach organizational objectives
conflicts must be avoided to prevent erosion of
mutual interests.
20. C. Importance of OB
⚫Building a high-performance team, motivating
employees, managing workplace conflicts, influencing
the boss and modifying employee behavior are some
of the few areas of knowledge and skills offered by
organizational behavior. Whatever career path an
individual chooses in the workplace, OB shall play a
significant role in his job performance and will help
him work effectively.
21. If correctly learned, OB can be
beneficial in the following ways:
⚫1. Effective confronting- an individual with proactive
thinking about approaching troubles and bottlenecks
can work without pressures and plan ahead in dealing
with difficult situations.
⚫2. OB is a science- though OB is probabilistic in
nature it is based on validated facts. Therefore, a
person aware of this fact can make decision based on
probability of success.
22. ⚫3. OB enhances conviction- OB can provide
confidence in making things happen. Even in tough
situations, a person with OB knowledge can
encourage people better.
⚫4. OB improves perceptual skills- with enhanced self-
perception and perception of others through OB, in
terms of personality, attitudes, transactional analysis,
conflict resolution and negotiations, a person can
become successful.
⚫5. OB makes better employer-employee relations- OB
through conflict resolution and negotation can help
achieve better industrial relations.
23. ⚫6. OB helps motivate people- a person can use the
knowledge in motivation theory and its application to
delegate authority and inspire people.
⚫7. OB teaches managers about consumer behavior-
OB can be extended to understanding consumers
better. Success in marketing can be attained through
improved relations in dealing with people which
could be learned from OB.
24. Challenges of OB
⚫ Organizational behavior is the culture of the
organization, which includes how the employees
interact with one another. It also involves how the
employees feel about the company itself. The
challenges of OB that most companies face include:
overcoming cultural and ethnic differences,
improving productivity, hiring employees that fit into
the organizational culture or who can improve it and
helping employees to find proper level of a work-life
balance.
25. ⚫One of primary challenges of organizational behavior
is overpowering ethnic and cultural multiplicity
among employees. Because different employees have
diverse beliefs, opinions and ways of working, it can
be challenging for employees to work jointly because
of these differences. Some organizations prefer to
offer diversity training courses or workshops to help
defeat these issues. The point is to clarify how the
diversity of an organization actually makes it better
for the different benefits that each of the employees
bring to the workplace.
26. ⚫2. Finding ways to motivate employees as a way to
improve activity is another challenge related to OB. A
few of the ways organizations improve productivity
inside the organization is to empower employees.
When organizations and businesses give power to its
employees, it gives them a sense of loyalty to the
company because they feel like they are an ingredient
in the success of the business.
⚫3. Hiring the correct employees for the company is
not only finding the people with the skills and
knowledge that the position necessitates, but also
employees that match into the organizational culture
or can help to get better employee relations.
27. ⚫4. another of the main challenges of organizational
behavior is how to run a productive company, but
also show its employees that it cares about them as
well. It is about helping employees find the right
work-life balance. Ex: a company that provides an on-
site daycare center as an employee benefit or at a
reduced cost is one w ay for the company to show that
it cares about its employees both professionally and
personally. This can lead to the employees
contributing to organizational behavior and culture in
a positive manner.
28. ANCHORS OF OB
⚫1. Multi-diciplinary anchor-understanding individual and
personal behavior are contributed by psychology.
Knowledge of team dynamics and power came from
sociology. The fields of communication, marketing and
information systems have some beneficial inputs also to
OB.
⚫2. systematic research anchor- it is critical that OB must
be based on systematic research which consists of forming
research questions, data collection and hypothesis
testing. This result to evidence based management that
utilizes research evidence in decision-making.
29. ⚫3. contingency anchor- since people and work
environment are multifaceted, a particular action
could have different consequences in different
circumstances. The field of OB recognizes that there
is no single solution is best for all situations. It is
important that when confronted with a problem or
opportunity understanding and diagnosing the
situation and choosing the appropriate strategy must
be done.
30. ⚫4. Multi-levels of analysis anchor- Under the
individual level are topics like attribution, motivation,
perception, personality attitudes and values. The team
level on the other hand includes team dynamics,
decision-making, power, politics, conflict and
leadership. At the organizational level the focus are
working relationships, organizational interaction and
working environment.
