CONTRIBUTING DISCIPLES Transaction costs economics implies cost components to make an

exchange on the market.

Flattening World
Anthropology
Thomas Friedman’s book The World Is Flat: A Brief History of the Anthropology aims to acquire a better understanding of the
Twenty-First Century makes the point that the Internet has relationship between the human being and the environment.
“flattened” the world and created an environment in which there is
a more level playing field in terms of access to information.

Psychology Social Psychology

Psychology has perhaps the first influence on the field of It is the scientific investigation of how the thoughts,
organizational behavior because it is a science of behavior. A feelings, and behavior of individuals are influenced by the actual,
psychologist studies almost all aspects of behavior. imagined or implied the presence of others.

Sociology

Psychology Sociologists focus on studying the social systems

in which individuals fill their roles. The focus is on group
deals with studying human behavior that seeks to explain and dynamics
sometimes change the behavior of humans and other animals.

Political Science
These two different categories of skills are managerial skills and
The political scientists’ contributions are significant to the technical skills.
understanding of behavior in organizations. Political scientists study
the behavior of individuals and groups within a political Some of the managerial skills include listening skills,
environment. motivating skills, planning and organizing skills, leading skills,
problem-solving skills, decision-making skills.
Economics
Economics contributes to organizational behavior to a great
Quality
extent in designing the organizational structure. Transaction cost
economics influence the organization and its structure.
 is the extent to which the customers or users believe the
product or service surpasses their needs and expectations.

Performance: Primary rating characteristics of a product such

as signal coverage, audio quality, display quality, etc. Total Quality Management (TQM)

Features: Secondary characteristics, added features, such is a philosophy of management that is driven by the
as calculators, and alarm clock features in handphone constant attainment of customer satisfaction through the
continuous improvement of all organizational processes.
Conformance: meeting specifications or industry
standards, the workmanship of the degree to which a
product’s design or operating characteristics match pre-
established standards

Reliability: The probability of a product’s falling within a

specified period

Durability: It is a measure of a product’s life having both

economic and technical dimension
Services: Resolution of problem and complaints, ease of
repair

Response: Human to human interfaces, such as the

courtesy of the dealer « Aesthetics: Sensory characteristics
such exterior finish

Reputations: Past performance and other intangibles, such as

being ranked first.

More and more managers are confronting to meet the

challenges to fulfill the specific requirements of customers.

INTRODUCTION
*The human behaviour in organization is commonly known as
organizational behaviour (OB).*
ORGANIZATIONAL BEHAVIOR
It is referred to as the understanding of human behaviour in
an organization, both individually and in a group in the organization.
There is the interaction between individuals and the organizations,
and the organization itself. The understanding of individual, group,
and organizational behavior is critical to success as a leader or a
follower, and it requires a systematic study to even begin to grasp
all of the variables that impact behavior.
Benefits of studying organizational behavior
Goals of OB
It is always significant to understand others behaviour and
our behaviours as well in an organization.
Elements of OB
There are four important elements operating in OB:
1. People. An organization consists of people with different
traits, personality, skills, qualities, interests, background,
beliefs, values and intelligence. In order to maintain a
healthy environment, all the employees should be treated
equally and be judged according to their work and other
aspects that affect the firm.
2. Structure. The layout design of an organization. It is the
construction and arrangement of relationships, strategies
according to the organizational goal. It describes how job
tasks are formally divided, grouped and coordinated.
3. Technology. The combination of resources, knowledge, and
techniques with which people work and affect the task that
they perform. It consists of buildings, machines, work
processes, and assembled resources.
4. Environment. The institutions or forces outside the
organization that potentially affect the organization’s
performance. This includes suppliers, customers,
competitors, government regulatory agencies, public
pressure groups and the like.
1. Development of people skills. There are two types of skills
that people need to succeed in his chosen career. (a.) the
skill in doing his work, (b.) the skill in relating with people
A person who is performing excellently in his work may be
successful up to certain extent, but still needs other skill to
make other people believe that he should be more
successful than his current achievement. An example is an
 accountant who is well-trained in the discipline but avoided
by many clients.

2. Personal Growth. Personal growth makes a person highly

competitive in the workplace. For example, knowledge of
the behaviour of others will help the person understand his
own behavior.

3. Enhancement of organizational and individual

effectiveness. Effectiveness is a major attribute of
successful organizations, as well as individuals. When the
right decisions are made, effectiveness follows. For
instance, there are persons who perform better when they
work in the afternoon. It would be a mistake to make them
work in the morning and expect that they will perform
better. This could be avoided if one authorized to decide on
work assignments have knowledge of OB.

4. Sharpening and refinement of common sense. People

differ in the degree of common sense they possess.
Improvements in this type of ability, however can be made.
For instance, common sense dictates the persons working in
hot and humid places cannot perform well. Common sense
cannot easily provide information on the exact temperature
that will make them work at optimum levels.