OrganizationOrganization ä A formally structured collection of individuals working toward common goals. ä A social entity that is goal directed, designed as deliberately structured and coordinated activity systems, and linked to the external environment.

Organizational Behavior ä The study of individual and group dynamics in organizational settings.

ORGANIZATIONAL BEHAVIOR IndividualTeamDepartmentPlantDivisionOrganization ORGANIZATIONAL THEORY

Goals in studying Organizational Behavior ä Enhancing Performance ä Productivity, Profit, ROI, etc. ä Promoting Member Well-being ä Job Satisfaction, Physical Health, Mental Health

Behavioral Sciences Influencing OB  Psychology  Personality, Motivation, Leadership, Stress  Sociology  Norms, Roles, Status, Power, Conflict  Anthropology  Organizational Culture, Cross-Cultural Analysis  Political Science  Organizational Politics, Power, Conflict

Classical Perspective (1900+) ä Emphasized a rational, scientific approach to study of management and sought to make workers and organizations like efficiently operating machines

Classic. Perspective Categories ä Scientific Management ä Bureaucratic Organizations (rational) ä Administrative Principles (rational)

Summary of Classical Management Scientific Bureaucratic Administrative Emphases Rules Rationality Emphases Rules Rationality Focus Whole organization Benefits Fairness Efficiency Drawbacks Rigidity Slowness Emphases Training routines Financial motivation Emphases Training routines Financial motivation Focus Workers Benefits Productivity Efficiency Drawbacks Overlooks social needs Emphases Management functions Chain of Command Emphases Management functions Chain of Command Focus Managers Benefits Clear structure Guiding Principles Efficiency Drawbacks Oversimplified, doesn’t consider environment

Shift in Management Thinking Following the Hawthorne Studies FromTo Classical Management Human Relations/Resources - Rationality - Efficiency - Standardization Recognition of importance of workers’ Social Environment

Human Relations Movement ä Emphasized satisfaction of employees’ social/psychological needs as the key to increased worker productivity. ä Implication: Be nice to employees.

Human Resources Perspective ä Jobs should be designed to allow workers to use their full potential ä People will accept responsibility ä People have intellect that can be applied to reaching organizational goals ä Implication: allow active participation

Other General Viewpoints in OB ä Systems Theory ä How the parts fit together ä How the org. interacts with its environment ä Contingency View

Contingency View (1960+) ä Integrates many of the other views ä “No one best way to manage - the best way depends on the situation (e.g., have few rules in a small organization, many rules in a large one)