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Chapter 1 Introduction to Organizational Behavior. Organizations as Open Systems. The Organization’s Environment. Outputs (goods and services). Inputs (raw materials). Processes (how things are done). $. $. $. $. $. Open Systems Approach.

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slide2

Organizations as

Open Systems

The Organization’s Environment

Outputs

(goods and services)

Inputs

(raw materials)

Processes

(how things are done)

$

$

$

$

$

open systems approach
Open Systems Approach
  • Allorganizations are systems“competing” for success/survival.
  • The parts are all interrelated (synergistically).
  • They constantly interact with environment.
  • All organizations have access to same/similar inputs and outputs (so why do some prosper and others struggle?)
the open systems approach
The Open Systems Approach
  • Success is a function of competition and results can range from:
    • Extinction (demise)
    • Subsistence
    • Prosperity
    • Enduring prosperity
  • Some companies find a competitive edge(CE):
    • CE is almost always short term(because _____________?)
    • But sometimes a CEcan be enduring:
      • _________________________
      • _________________________
      • _________________________
      • _________________________
behind the scenes at swa
Behind the Scenes at SWA
  • No trade or business process secrets
  • No proprietary technologies
  • Highly competitive, no-frills “commodity”
  • Same capitalized infrastructure as other firms
  • BUT, highly productive, very motivated

(and 87% unionized) workforce:

company cultures and sustainable ce
Company Cultures and SustainableCE
  • People differ from all other inputs (“resources”) because:

(a)

(b)

  • How people are managed (via company culture) and its effect on employee behavior, is often viewed as “soft” side of business (it’s invisible, fuzzy, easily dismissed)
  • Enacted Culture is the overall “system of management practices,” a comprehensive philosophy, not just a few techniques or management fads
elements in a system of management practices signaling culture based sce
Elements in a “System of Management Practices” Signaling Culture-based SCE

Does the firm have a genuinely Enacted culture as its basis for a Sustainable Competitive Edge?

  • Employment security
  • Selective recruiting and hiring
  • LR view of training and skill development
  • Cross-training and cross-utilization of employees
  • Promotion and advancements from within
  • Information sharing
  • Genuine participation and empowerment
  • Self-directed teams
  • Appropriate levels of wage parity
  • Above average wages
  • Incentive pay (shared prosperity)
  • Employee ownership
  • Both symbolic and meaningful egalitarianism

(Remember: Talk is cheap!)

why study org behavior
Why study org. behavior?
  • Organizations surround us everywhere
  • Organizational life is inevitable
  • Our work is carried out through them
  • They develop their own identities
  • They control many very important outcomes
  • OK. So, what is OB??
what is org behavior
What is org. behavior?
  • Organizational Behavior:
    • systematic study of the actions and attitudes that people exhibit within organizations
  • Systematic Study:
    • more rigorous than “common sense” or intuition
    • relies on scientific process and research methods
      • methodical studies/experiments
      • valid and reliable measurement
      • logical and rationally supported conclusions
      • repeatable and generalizable conclusions
what are the goals of ob
What are the goals of OB?

OB strives to . . .

  • Explain
  • Predict
  • Control

. . . human behavior

the levels of analysis for ob
The Levels of Analysis for OB

Organization System Level

Group Level

Individual Level

history of mgmt ideas
History of Mgmt. Ideas
  • Classical View
    • Scientific Management
    • Administrative Science
  • Humanistic View
    • The Hawthorne Studies
    • Human Relations Movement
  • Current Approaches
    • Contingency view
    • Open Systems model
slide13

Psychology

(Social and I/O)

Sociology

OB and Related

Social Sciences

Political

Science

Anthropology

slide14

OB and Related Mgmt. Fields

Organization Theory

Human Resource Mgmt.

Strategic Management

slide15

Today’s OB Challenges

and Opportunities

Workforce

Diversity

Responding to

Globalization

Improving

Quality and

Productivity

Improving

Customer

Service

slide16

Today’s OB Challenges

and Opportunities (cont.)

Stimulating

Innovation

and Change

Improving

People Skills

Coping with

“Temporariness”

Helping Balance

Work-Life

Conflicts

slide17

Today’s OB Challenges

and Opportunities (cont.)

Declining

Workforce

Loyalty

Improving

Ethical Behavior