Behavioral Theories Vanvilay Phonesavanh & Amphaphone Luangkhamdeng

What is it? concerned with the actions (behavior) of people at work (ORGANISATIONAL BEHAVIOR) Behavioral theorists believes that business is made up of both jobs and people. Effectiveness of an organization heavily relies on motivation and actions of work force.

Early Behavioral Theorists started around late 1800s and early 1900s Four major theorists: Mary Parker Follett, Chester Barnard, Hugo Munsterberg, & Robert Owen common belief: human resources is the most important aspect of an organization and should be manage accordingly to the foundation for such management practices as employee selection procedures, employee motivation program & employee work teams.

Hawthorne Studies experiments on behaviors of workers (1924 & 1932, USA) redesign of jobs, changes in length of working day and working weeks, introduction of rest periods and individual vs. group pay plans group standards and attitudes were the key factors that influenced individual work behavior, money was not as important

The Human Relations Movement behavioral approach focused on making management practices and businesses more humane. satisfied worker = productive worker hierarchy of five needs: physiological, safety, social, esteem, self- actualization Mc Gregor has two different assumptions about human nature – the X theory (negative view of workers) and Y theory (positive view of workers). It is a guide for managers about workers.

Management as Leading Motivating Communicating behavioral approached has shaped today’s modern business  Managers design motivating jobs  working with employee teams (communication) behavioral approach influences decision making, organizational structure, & types of tools and techniques used

Flat Organizational Structure and Teams organizational structures created by bureaucracy bureaucracy’s centralized decision-making, impersonal submission to authority and narrow division of labor were being replaced by de-centralized and democratic structures organized around flexible groups classical theorists strongly supported the ideas of authority and chain of command. However, behavior theorist changed this traditional tall structure are not appropriate for the dynamic and complex business environment they face, market place, demands that businesses be flexible and innovative = remove layers from hierarchy and widen the span of control to make more effective use of human resources.