©2007 The McGraw-Hill Companies, Inc., All Rights Reserved Newstrom 12/e PPT ©2007 The McGraw-Hill Companies, Inc., All Rights Reserved

Models of Organizational Behavior Chapter Two Models of Organizational Behavior ©2007 The McGraw-Hill Companies, Inc., All Rights Reserved

©2007 The McGraw-Hill Companies, Inc., All Rights Reserved Chapter Objectives To understand: The elements of an organizational behavior system The role of management’s philosophy and paradigms Alternative models of organizational behavior and their effects Trends in the use of these models ©2007 The McGraw-Hill Companies, Inc., All Rights Reserved

An Organizational Behavior System An organizational behavior system is… Purposely created and used Regularly examined and updated Typical outcomes… Performance Employee satisfaction Personal growth and development ©2007 The McGraw-Hill Companies, Inc., All Rights Reserved

An Organizational Behavior System Elements of the System Fact and value premises (Fact represent our descriptive view of how the world behaves; Value represent our view of the desirability of certain goals and activities) Vision (What the organization can be, and desirable future) Mission (Business its in; market, customers and reasons for existence) Goals (Achievements the organization is aiming) ©2007 The McGraw-Hill Companies, Inc., All Rights Reserved

Models of Organizational Behavior Based on the theory of human behavior managers hold (McGregor’s theory, Alternative sets of assumptions about employees; P29) Theory X Theory Y Managers tend to act as they think ©2007 The McGraw-Hill Companies, Inc., All Rights Reserved

Theory X Theory Y Workers are lazy Workers lack ambition Workers must be controlled Workers cannot be trusted Workers want to work Workers have potential Workers are committed Workers can be trusted

An Organizational Behavior System ©2007 The McGraw-Hill Companies, Inc., All Rights Reserved

Models of Organizational Behavior Managerial paradigms… Influence managerial perceptions of the world Define boundaries and for how to behave Encourage resistance to change New paradigms provide alternative ways of viewing the world and solving problems ©2007 The McGraw-Hill Companies, Inc., All Rights Reserved

Models of Organizational Behavior Autocratic, Custodial, Supportive, Collegial, System ©2007 The McGraw-Hill Companies, Inc., All Rights Reserved

Model Characteristics ©2007 The McGraw-Hill Companies, Inc., All Rights Reserved

©2007 The McGraw-Hill Companies, Inc., All Rights Reserved The Autocratic Model Based on power and authority (you do this ---or else) Leads to tight control of employees Is intensely disliked by many employees Orientation is obedience to a boss Psychological result is dependence Useful for accomplishing work ©2007 The McGraw-Hill Companies, Inc., All Rights Reserved

©2007 The McGraw-Hill Companies, Inc., All Rights Reserved The Custodial Model Designed to dispel employee insecurities, frustrations, and aggressions Success depends on economic resources Leads to dependence on the organization Employees become psychologically preoccupied with economic rewards and benefits Does not produce top productivity, motivation, or desire to grow ©2007 The McGraw-Hill Companies, Inc., All Rights Reserved

©2007 The McGraw-Hill Companies, Inc., All Rights Reserved The Supportive Model Originated with the “principle of supportive relationships” (development of research) Depends on leadership, not power or money Management orientation is to support the employee’s job performance and productivity Works well with both employees and managers Especially effective in affluent nations ©2007 The McGraw-Hill Companies, Inc., All Rights Reserved

©2007 The McGraw-Hill Companies, Inc., All Rights Reserved The Collegial Model An extension of the supportive model Embodies a team concept Depends on partnership between management and employees Managerial orientation is teamwork Psychological result is self-discipline ©2007 The McGraw-Hill Companies, Inc., All Rights Reserved

©2007 The McGraw-Hill Companies, Inc., All Rights Reserved The System Model The result of a strong search for higher meaning at work by today’s employees Managers must demonstrate caring, compassion, sensitivity Reflects positive organizational behavior Requires social intelligence Management role is facilitating employee accomplishments Employees self-motivation Can engender passion and commitment to goals ©2007 The McGraw-Hill Companies, Inc., All Rights Reserved

Conclusions About the Models Evolving Usage Funtion of prevailing employee needs No permanently “best” model Monitor effectiveness of current model Relation of Models to Human Needs Adaptive approach Build on previous models ©2007 The McGraw-Hill Companies, Inc., All Rights Reserved

Conclusions About the Models Increasing Use of Some Models Trend toward supportive, collegial, and system models will continue Top managers of giant, complex organizations cannot be authoritarian Contingent Use of All Models One model may be used most Some uses for other models will remain More advanced models will have growing use ©2007 The McGraw-Hill Companies, Inc., All Rights Reserved

Conclusions About the Models Managerial Flexibility Managers must identify their current behavioral model It must be kept flexible and current There is great danger is paradigm rigidity ©2007 The McGraw-Hill Companies, Inc., All Rights Reserved