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ORGANIZATIONAL BEHAVIOUR FOR EXECUTIVE BBA

ORGANIZATIONAL BEHAVIOUR FOR EXECUTIVE BBA. CHAPTER 1 ORGANIZATIONAL BEHAVIOUR. WHAT IS OB?. A study of human behaviour , attitudes and performance in organization. Interaction between individual and organization

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ORGANIZATIONAL BEHAVIOUR FOR EXECUTIVE BBA

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  1. ORGANIZATIONAL BEHAVIOUR FOR EXECUTIVE BBA

  2. CHAPTER 1ORGANIZATIONAL BEHAVIOUR

  3. WHAT IS OB? • A study of human behaviour, attitudes and performance in organization. • Interaction between individual and organization • An interdisciplinary – drawing on concepts from social and clinical psychology, sociology, cultural anthropology, industrial engineering and organizational psychology.

  4. WHY STUDY OB? • Cherrington identified three main objectives in organizational behaviour: • Explain • Clarify • Control

  5. RELEVANCE OF OB FOR MANAGERS • Managers’ job is to manage people • To guide managers to predict human behaviour in an organization • Can offer specific perspectives on human side of management

  6. UNIT OF ANALYSIS • Individual • Group • Organization

  7. RELATIONSHIP BETWEEN OB AND MANAGEMENT • Organizational behaviour: • Interaction between individual and organization • Management: • A critical element in the economic growth of the country • Essential in all organized effort • The dynamic, life giving element in every organization

  8. CHAPTER 2BEGINNINGS OF OB STUDIES

  9. THE HAWTHORNE STUDIES • The Test Room Studies • Interviewing Studies • Observational Studies

  10. MARY PARKER FOLLETT • Management is getting things done with and through other people • Sharing of empowerment through working together between employer and employee • Conflict solution through integration

  11. CHESTER BARNARD • Sets out theory of organization and functions of executives in organizations • Functions of executives: • Establishing and maintaining a system of communication • Securing essential services from other members and formulating organizational purposes and objectives

  12. ROLES OF MANAGERS • Interpersonal Roles • Figurehead Role • Leader Role • Liaison Role • Informational Role • Monitor Role • Disseminator Role • Spokesperson Role

  13. ROLES OF MANAGERS • Decisional Roles • Entrepreneur Role • Disturbance Handler Role • Resource Allocator Role • Negotiator Role

  14. BEHAVIOURAL STUDIES IN MANAGEMENT • Individual • Group • Motivation • Leadership • Communication • Conflict in organization • Organizational politics • Organizational culture • Team buildings • Change process • Organizational development • Organizational learning • Organizational ethics & value • Diversity, gender • Role analysis & role conflicts

  15. MOTIVATION

  16. WHY MOTIVATE? • Motivation is a psychological state that exist whenever internal and / or external forces stimulate, direct or maintain behaviours • By understanding employee motivation, managers can increase productive behaviours, enables managers to decrease disruptive behaviours such as tardiness, theft and loafing • Motivating employees are important to ensure a productive and harmonious work environment • Can affect organizational climate

  17. HOW TO MOTIVATE? • Through job design • Motivator factors • Hygiene factors • Through performance expectations • Expectancy model • Through equity

  18. STICK AND CARROT APPROACH

  19. STICK AND CARROT APPROACH • Idiom that refers to a policy of offering a combination of rewards and punishment to induce behaviour • Sometimes it takes both a carrot (goal) and a stick (motivator) to overcome procrastination and get the job done • Most people, rewards work better than penalties

  20. MANIPULATING WORKERS • Most managers engage in some form of manipulation to get employees to do their best • An employer may use inappropriate manipulation to coerce an employee into doing something he doesn’t want to do by threatening or implying some manner of punishment • Example: threats, fear, bribery, pressure, deceit, charm

  21. EXTRINSIC MOTIVATORS • Factors external to the job • Includes company policy and administration, technical supervision, salary, fringe benefits, working conditions and interpersonal relations • These factors are associated with an individual’s negative feelings about job and are related to the environment in which the job is performed

  22. INTRINSIC MOTIVATORS • Directly related to the job and are largely internal to the individual • Includes the work itself, recognition, advancement and responsibility • These positive feelings are associated with the individual’s experiences of achievement, recognition and responsibility

  23. MANAGERS’ PERCEPTION(THEORY X AND THEORY Y) Theory X managers believe employees Theory Y managers believe employees Want to be involved Can think for themselves and make decisions Share ownership of tasks Will find word more rewarding if given responsibility and a variety of tasks Have good ideas Can engage in some level of self-management • Need to be controlled • Don’t like work • Need to be pushed to be more productive • Need incentive schemes • Have to be directed to do things that they don’t enjoy

  24. SATISFIER AND DISSATISFIER • Herzberg’s Two-Factor Theory • Relationship between job satisfaction and motivation is a complicated one • He discovered that the presence of a particular job characteristic, such as responsibility might increase job satisfaction • Lack of responsibility didn’t necessarily produce dissatisfaction • Hygiene factors • Motivator factors

  25. MASLOW’S HIERARCHY OF NEEDS • Abraham H. Maslow suggested that people have a complex set of exceptionally strong needs, which can be arranged in a hierarchy • Five types of needs: • Physiological • Security • Affiliation • Esteem • Self-actualization

  26. EXPECTANCY THEORY • Work effort is directed toward behaviour that is believed to produce desired outcomes • Effort is employee’s actual exertion of energy and motivation • Three concepts of effort level: • Expectancy • Instrumentality • Valence

  27. LEADERSHIP

  28. MANAGERS AND LEADERS • Managers: • Direct the work of others and is responsible for the results • Effective managers bring a degree of order and consistency to the work for their employees • Leaders: • Exhibits the attributes of leadership (ideas, vision, values, influencing others and making decisions) • Do no perform management functions (planning, organizing, leading and controling)

  29. TYPES OF LEADERS • Transactional leaders • Involves motivating and directing followers through contingent reward-based practices • Three components to achieve performance goals • Contingent rewards • Active management by exception • Passive management by exception • Charismatic leaders • Emphasizes shared vision and values • Promotes shared identity • Exhibits desired behaviours • Reflects strength

  30. TYPES OF LEADERS • Transformational leaders • Anticipating future trends • Inspiring followers to understand and embrace a new vision of possibilities • Developing others to be leaders or better leaders • Building organization or group into a community of challenged and rewarded learners

  31. STYLES OF LEADERSHIP • Authoritarian • Also known as autocratic leader • Keeps strict, close control over followers • Create a distinct professional relationship • Democratic • Leaders share the decision-making abilities with group members • Laissez-faire • All the rights and power to make decisions is fully given to the worker

  32. MODELS OF LEADERSHIP STYLES • Hersey and Blanchard’s Situational Model • Vroom-Jago Leadership Model • Theory X and Theory Y • Blake Mouton Managerial Grid • Path-Goal Theory

  33. HERSEY AND BLANCHARD’S SITUATIONAL MODEL • Hersey and Blanchard’s Situational Model • Based on the amount of relationship and task behaviour that a leader provides to subordinates in a situation • The amount of relationship and task behaviour is based on the readiness of the followers to perform needed tasks

  34. HERSEY AND BLANCHARD’S SITUATIONAL MODEL High Relationship Behaviour Low Low High Task Behaviour

  35. VROOM-JAGO LEADERSHIP MODEL • Vroom-Jago Leadership Model • Developed by Victor Vroom, in collaboration with Phillip Yetton and later Arthur Jago • Focuses on the leadership role in decision-making situations • Prescribers a leader’s choices among five leadership styles based on seven situational factors, recognizing the time requirements and costs associated with each style

  36. VROOM-JAGO LEADERSHIP MODEL

  37. THEORY X AND THEORY Y • Theory X and Theory Y • Developed by Douglas McGregor in 1957 • Theory X is a composite of propositions and underlying beliefs that take a command and control view of management based on a negative view of human nature • Theory Y is a composite of propositions and beliefs that take a leadership and empowering view of management based on a positive view of human nature

  38. BLAKE MOUTON MANAGERIAL GRID • Managerial Grid • Developed by Robert Blake and Jane Mouton • Identifies five leadership styles that combine different degrees of concern for production and concern for people • Impoverished style • Country club • Produce or perish • Middle of the road • Team

  39. BLAKE MOUTON MANAGERIAL GRID

  40. PATH-GOAL THEORY

  41. PATH-GOAL THEORY

  42. COMMUNICATION

  43. WHAT IS COMMUNICATION? • Exchange of information and ideas to create understanding between two parties • Not limited to only verbal communication

  44. IMPORTANCE OF COMMUNICATION TO ORGANIZATION • Promotes motivation • Source of information • Altering individual’s attitudes • Helps in socializing • Controlling process

  45. COMMUNICATION FLOWS IN ORGANIZATION • Downward communication • Upward communication • Horizontal communication • External networking

  46. COMMUNICATION PROCESS • Sender (encoder) • Sender is the source of information and the initiator of the communication process • Encoding is the process of translating thoughts or feelings into a medium (writing, visual or spoken) that conveys the meaning intended • Five principles of communication: • Relevancy • Simplicity • Organization • Repetition • Focus

  47. COMMUNICATION PROCESS • Receiver (decoder) • Receiver is the person who receives and decodes the sender’s message • Decoding is translating messages into a form that has meaning to the receiver

  48. COMMUNICATION PROCESS • Sender has an idea • Sender encodes the idea • Sender transmits the message to the sender • Receiver gets the message • Receiver decodes the message • Receiver sends feedback • Noise

  49. TYPES OF COMMUNICATION • Interpersonal • Formal and informal • Internal and external • Non-verbal • Active listening

  50. COMMUNICATIONS NETWORKS • Star network • Y network • Chain network • Circle network • All-channel network

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