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Presenter: Group 2

CONCEPTS OF BEHAVIOR
IN BUSINESS
ORGANIZATION
ORGANIZATIONAL BEHAVIOR (OB)
It is the study of human behavior in organizational settings, the interface between human
behavior and the organization, and the organization itself. One definition describes it as
the attitudes and actions of those within an organization towards each other and the
organization itself, and how those behaviors affect it. In many cases, organizational
behavior is best studied and applied with groups of people in an organization-think along
the lines of how co-workers and team members interact at work.
Organizational behavior is not universal so there are several
different types and models that businesses can use or have. This is
typically determined by your business model and the philosophies
the business is based upon.
PRINCIPLES OF HUMAN BEHAVIOR
Human behavior can be identified as the result of attempts to satisfy certain needs.
These needs can be simple and easy to understand such as the need of food, water and
shelter. However it can also be complex such as the need of respect or acceptance.
Leadership and human behavior work hand in hand. To be a successful leader, you
must understand your people and work with them to resolve their problems. In
Nairobi the school of tomorrow the basic needs of any student is a good environment,
shelter and the basic needs such as water and food. As the human behavior changes
according to the environment Nairobi school of tomorrow has to make sure that the
environment in each class and in the school is positive. By examining human behavior, we
can expand the knowledge we need to better understand people. Human behavior study
helps us understand why people act and react in certain ways.
PRINCIPLES OF HUMAN BEHAVIOR

Leadership and Human Behavior Preferences


As a leader in order to accomplish your goals, you need to interact with your followers,
peers, seniors, and others; whose support your needs to accomplish the goals. To gain their
support, you must be able to understand and motivate them. Human nature is the common
qualities of all human beings. People behave according to certain principles of human
nature.
Values, beliefs, and customs differ from country to country and even
within group to group, but in general, all people have a few basic needs. As
a leader you must understand these needs because they can be powerful
motivators.
CASE STUDY: MOTIVATION FOR LEISURE
SITUATION:
Glenn Kelman, the CEO of Rodfin said that when he has time, he does not have the money but when he
has the money, he does not have time. Workers in the US are workaholics that do not even have time to go
for a vacation. Most of them work up to 80 hours a week compared to the people who are unemployed.
Dennis Lee, who works as a sale associates in Chicago said that, even though her girlfriend is unemployed
and has a bunch of time to spend for vacation, it is financially impossible for him to support both of them
even if it is just a small trip.
Some argued that people choose to be unemployed to take advantage of social safety and enjoy a
more leisurely lifestyle. In contrast, people who are employed and have the money to go for a vacation
usually choose to go to work on their vacation day. They just simply do not have the motivation to go for a
vacation even though their company provide the employee with the vacation hours.
To what extend is it an organizational responsibility to ensure that workers are given more
vacation time that they will actually use?

SOLUTION:
The vacation time allocated by the organization to the workers is intended to motivate
the workers and to increase their productivity. Therefore, the organization should ensure
that the workers are using enough vacation time as a temporary break from work.
Vacationing ensures that employees have a healthy body and heart. When employees take
some personal time away from work, they tend to feel recharged and relaxed. They are thus
more receptive towards work and show more focus. A calm and relaxed mind is better at
decision making and can do more work in a shorter time.
PRINCIPLES OF HUMAN BEHAVIOR

Preferred Learning Style


Learning is defines as a relatively permanent change in an attitude or behavior that occurs
as a result of repeated experience.

Principles of Human Communication


Communication is basic human interaction. It is a process and it is dynamic, ongoing and
ever changing. It may not have a beginning or an end.
Communication can be divided into two categories. Interpersonal
communication is between people and intrapersonal communication is
your own self dialog.
THEORIES OF HUMAN BEHAVIOR IN
ORGANIZATION
Theory X
Theory X managers tend to take a pessimistic view of their people, and assume that
they are naturally unmotivated and dislike work. As a result, they think that team
members need to be prompted, rewarded or punished constantly to make sure that
they complete their tasks.
Work in organizations that are managed like this can be repetitive, and people are
often motivated with a "carrot and stick" approach. Performance appraisals and
remuneration are usually based on tangible results, such as sales figures or
product output, and are used to control staff and "keep tabs" on them.
THEORIES OF HUMAN BEHAVIOR IN
ORGANIZATION
This style of management assumes that workers:
• Dislike their work.
• Avoid responsibility and need constant direction.
• Have to be controlled, forced and threatened to deliver work.
• Need to be supervised at every step.
• Have no incentive to work or ambition, and therefore need to be enticed by
rewards to achieve goals.
THEORIES OF HUMAN BEHAVIOR IN
ORGANIZATION
Theory Y
Theory Y managers have an optimistic, positive opinion of their people, and they use a
decentralized, participative management style. This encourages a more collaborative ,
trust-based relationship between managers and their team members.
People have greater responsibility, and managers encourage them to develop their skills
and suggest improvements. Appraisals are regular but, unlike in Theory X organizations,
they are used to encourage open communication rather than control staff.
Theory Y organizations also give employees frequent opportunities for promotion.
THEORIES OF HUMAN BEHAVIOR IN
ORGANIZATION
According to McGregor, organizations with a Theory X approach tend to have
several tiers of managers and supervisors to oversee and direct workers.
Authority is rarely delegated, and control remains firmly centralized. Managers
are more authoritarian and actively intervene to get things done.
Although Theory X management has largely fallen out of fashion in recent times,
big organizations may find that adopting it is unavoidable due to the sheer
number of people that they employ and the tight deadlines that they have to
meet.
THEORIES OF HUMAN BEHAVIOR IN
ORGANIZATION
This style of management assumes that workers are:
• Happy to work on their own initiative.
• More involved in decision making.
• Self-motivated to complete their tasks.
• Enjoy taking ownership of their work.
• Seek and accept responsibility, and need little direction.
• View work as fulfilling and challenging.
• Solve problems creatively and imaginatively.
THEORIES OF HUMAN BEHAVIOR IN
ORGANIZATION
Theory Y has become more popular among organizations. This
reflects workers' increasing desire for more meaningful careers
that provide them with more than just money.
It's also viewed by McGregor as superior to Theory X, which, he says,
reduces workers to "cogs in a machine," and likely demotivates
people in the long term.
MODELS OF HUMAN BEHAVIOR IN
ORGANIZATION

Organizational behavior reflects the behavior of the people and management


all together, it is considered as field study not just a discipline. A discipline is
an accepted science that is based upon theoretical foundation, whereas OB is
an inter-disciplinary approach where knowledge from different disciplines like
psychology, sociology, anthropology, etc. are included. It is used to solve
organizational problems, especially those related to human beings.
MODELS OF HUMAN BEHAVIOR IN
ORGANIZATION

There are four different types of models in OB. We will throw some light on each of these four models.

Autocratic Model
The root level of this model is power with a managerial orientation of authority. The
employees in this model are oriented towards obedience and discipline. They are dependent
on their boss. The employee requirement that is met is subsistence. The performance result
is less.
The major drawbacks of this model are people are easily frustrated, insecurity, dependency
on the superiors, minimum performance because of minimum wage.
MODELS OF HUMAN BEHAVIOR IN
ORGANIZATION

Custodial Model

The root level of this model is economic resources with a managerial orientation of money.
The employees in this model are oriented towards security and benefits provided to them.
They are dependent on the organization. The employee requirement that is met is security.
This model is adapted by firms having high resources as the name suggest. It is dependent on
economic resources. This approach directs to depend on firm rather than on manager or
boss. They give passive cooperation as they are satisfied but not strongly encouraged.
MODELS OF HUMAN BEHAVIOR IN
ORGANIZATION

Supportive Model

The root level of this model is leadership with a managerial orientation of support. The
employees in this model are oriented towards their job performance and participation. The
employee requirement that is met is status and recognition. The performance result is
awakened drives.
This model is dependent on leadership strive. It gives a climate to help employees grow and
accomplish the job in the interest of the organization. Management job is to assist the
employee’s job performance. Employees feel a sense of participation.
CASE STUDY: CAREER PROMOTION
SITUATION:
Kareem who first entered into Emox as a research analyst was promoted to be
the content manager of LebWeb. His excellent working performance has given him
the opportunity to move to a new place to continue his career at a higher level.
He spent three years working in Lebanon and now promoted to move to Saudi
Arabia for hi next stage of working life. Although he is fully satisfied of his
performance which had given him the promotion now, he needs to think properly
of accepting the promotion or declining it.
SOLUTION:
The decision making criteria that Kareem has to look upon in deciding whether to accept or reject the
promotion will be the new environment of hiss work, where he will be transferred from Lebanon to Saudi
Arabia. Second criteria will be his increment in salary. When an employee is promoted to a higher position at
work, their pay will be raised accordingly and in this case, Kareem will be receiving a higher pay in future.
The third criterion is his self realization. There is where Kareem has to decide whether he will be able to do
his job or not.
We think that Kareem’s decision should be to accept the promotion, this is because Kareem is already
satisfied with his performance at Emox and thus he will be experiencing a new environment and new
experiences in the upcoming work in Saudi Arabia. This is giving him the opportunity to let himself grow more
in his field and explore a new place from the current one. Besides, when he is promoted, his pay will be
higher than before This is a benefit to Kareem’s source of income and thus enables a slight upgrading in his
standard of living.
MODELS OF HUMAN BEHAVIOR IN
ORGANIZATION

Collegial Model
The root level of this model is partnership with a managerial orientation of teamwork. The
employees in this model are oriented towards responsible behavior and self-discipline. The
employee requirement that is met is self-actualization. The performance result is moderate
zeal.
This is an extension of supportive model. The team work approach is adapted for this model.
Self-discipline is maintained. Workers feel an obligation to uphold quality standard for the better
image of the company. A sense of “accept” and “respect” is seen.
FACTORS THAT AFFECT PERSONAL DEVELOPMENT IN ORGANIZATION

• Heredity: This refers to the influences on your personality that you are born with. They are
in your genes and there is not much you can do to change these traits. They can include your
temperament, which helps to determine how you react to situations and how easygoing you
are. In kids, it may affect how well they get along with others. Genetics, of course, also
determines how someone looks.
• Environment: Our environment is the nurturing aspect of our lives. It is the type of
environment in which we live and grow up. Environment would include home, school, work, or
other places that you spend a lot of time. Environmental factors also include such things as
languages, religion, etc.
CASE STUDY: THE TOXIC WORKPLACE
SITUATION:
At Renault, it is crucial that people who work in a highly stressful job or who live in highly stressful
environments learn some simple relaxation techniques in order to manage the stress in their lives at work.
There are things that an individual can do to relieve stress including hobby, exercise routines, or become a part
of a self group or see a therapist.
ANALYSIS:
Stress at Renault can make people dread walking into the office every morning, and then make them worry
about their jobs at night. When staff is unhappy, they are less efficient, less effective and more likely to waste
work hours or quit. Stress affects not just morale, but a company’s bottom line. The first course of action is to
identify the causes of stress.
GOAL:
The goal is to find out what is creating the stress in the workplace at Renault. Manager and HR should
regularly assess the attitudes and practices of an organization and identify areas of concern. Manager and
HR should effectively guide and support their staff. Manager and HR should implement programs that
encourage positive attitudes, relationship building and generally healthy lifestyle.
OPTIONS:
Team building can also be encourage among staff members by developing a reward system. For example,
Manager and HR staff might develop certificates that colleagues can award each other for a job well. At the
end of the month or quarter, staff can exchange the certificates for gift certificates or prizes. Positive
environment by incorporating company culture into training sessions, meetings and activities. Humorous
activities, anecdotes or even fun training materials can lighten up the job environment and add an incentive
for employees to participate and learn. Implementing a wellness programs might involve nutrition support,
such as bringing in a nutritionist to speak with staff, sponsoring a cooking class or installing health food in
vending machines or they may involve a lunch time yoga class or running group or subsidized gym
membership.
RECOMMENDATIONS:
Our recommendations to Renault managers and HR staff is get employees involved by
organizing a Spirit or Activities Committee and inviting representatives from various
departments to be a part of the committee. Spirited staff will help bring suggestions to the
table, such as organizing social events, sport or talent competitions, or community service
fund raisers, and these individuals are more likely to get everyone involved in the fun.
JUSTIFICATION:
Since stress starts with individuals or within departments, the Manager and HR can’t turn
around a stress culture overnight. The ultimate goal is for Manager and HR to remain
available to resolve issues and to proactively step in and give employees the opportunity to
work together in an effective way. Encourage individuals to form healthy departments and
optimize their work performance and satisfaction on the job.
FACTORS THAT AFFECT PERSONAL DEVELOPMENT IN ORGANIZATION

• Situations: These are the experiences that each


individual person goes through. The various things that
people experience will leave imprints on and help to
develop his or her personality. Everything from divorce,
death, trauma, and even happy times fit into the
"situations" category of shaping one's personality.

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