Organizational Behaviour

Prof. Deepak Shyam

Department of Management Studies

deepakshyam@pes.edu
Organizational
Behaviour
Unit 1: Introduction to
Organizational
Behaviour

Prof. Deepak Shyam

Department of Management Studies
Introduction

Organizational Manager:

• Someone who coordinates and oversees

the work of other people so that
organizational goals can be accomplished.

• Managers run large corporations,

medium-sized businesses, and
entrepreneurial start-ups.
Organizational Behaviour and
Management
• OB is the study of human behaviour in
organizations, the interface between human
behaviour and the organization and the
organization itself.

• Directing the actions of a group to achieve a

goal
in the most efficient manner

• Getting things done through people

• Process of achieving organizational goals by

working with and through people and
organizational resources
Nature and Scope

• OB (HR) has a body of specialized

knowledge
• This knowledge need not to be obtained in
formal disciplined programs
• Also includes Supervision of Research or
Design activities
• Application of quantitative methods &
techniques to the practice of OB
What is Management?

• Directing supervision of employees across

functions.

• Employees possessing both abilities to

apply principles and skills in organizing and
directing people and projects.

• OB is discipline + art… So Somewhere

between art and science.
HR Manager

• The HR Manager is distinguished from other

managers because he/she possesses:
• Both an ability to apply management
principles
• And skill in organizing and directing
people and projects

• HR manager is uniquely qualified for the

management of HR functions
and management of broader functions in
all enterprises.
Advantages of Understanding OB
in Top Management
• Really understanding employees in the
business
• Understanding techniques driving the
business today and that will change the
business in future
• Treating HR and OB as investment not an
expense to be minimized
• Spending more time on strategic HR
thinking
• Dedicating a customer’s problem (true
marketing via customer relations)
• Place a premium on HR innovation
Levels of Management
Classifying Managers

First-Line Managers: manage the

work of non-managerial employees.

Middle Managers: manage the work

of first-line managers.

Top Managers: responsible for

making organization-wide decisions
and establishing plans and goals that
affect the entire organization
How Do Managers Work

Organization:
A deliberate arrangement of people to
accomplish some specific purpose.

• First, an organization has a distinct purpose

typically expressed through goals the
organization hopes to accomplish.
• Second, each organization is composed of
people. It takes people to perform the work
that’s necessary for the organization to
achieve its goals.
• Third, all organizations develop a deliberate
structure within which members do their
work.
Characteristics of
Organizations
Why Are Managers
Important?
• First, managers are important because
organizations need their managerial skills
and abilities more than ever in uncertain,
complex, and chaotic times.
• Another reason why managers are important
to organizations is because they’re critical to
getting things done.
• Managers matter. The single most important
variable in employee productivity and loyalty
isn’t pay, or benefits, or the workplace
environment—it’s the quality of the
relationship between employees and their
direct supervisors.
Contribution from other disciplines
• Management involves contributing,
coordinating and overseeing the work
activities of others so their activities are
completed efficiently and effectively.
• While coordinating and overseeing the work
of others is what distinguishes a managerial
position from a non-managerial one, this
doesn’t mean that managers can do what
they want anytime, anywhere, or in any way.
• Instead, management involves ensuring that
work activities are completed efficiently and
effectively by the people responsible for
doing them.
Efficiency and Effectiveness

• Efficiency refers to doing things right,

getting the most output from the least
amount of inputs or resources. Managers
deal with scarce resources—including
people, money, and equipment—and want to
use those resources efficiently.
• Effectiveness is often described as “doing
the right things,” that is, doing those work
activities that will result in achieving goals.
• Whereas efficiency is concerned with the
means of getting things done, effectiveness
is concerned with the ends, or attainment of
organizational goals.
Efficiency and Effectiveness in
OB
Four Management Functions
Managerial Roles

• Roles:
Specific actions or behaviors
expected of and exhibited by a
manager.

• Henry Mintzberg identified roles

grouped around interpersonal
relationships, the transfer of
information, and decision-making.
Types of Managerial Roles
Management Skills

• Technical skills are the job-specific

knowledge and techniques needed to
proficiently perform work tasks. These skills
tend to be more important for first-line
managers.
• Human skills involve the ability to work well
with other people both individually and in a
group. Because all managers deal with
people, these skills are equally important to
all levels of management.
• Finally, conceptual skills are the skills
managers use to think and to conceptualize
about abstract and complex situations. These
skills are most important to top managers.
Skills Needed at Different
Managerial Levels
Important Managerial Skills
Changes Facing Managers
Basic organization behaviour
model
The Autocratic Model

• The basis of this model is power with a

managerial orientation of authority. The
employees in turn are oriented towards
obedience and dependence on the boss.
• The employee need that is met is subsistence.
The performance result is minimal.
• The managers exercise their commands over
employees. The managers give orders and the
employees have to obey the orders.
• Thus, the employees orientation towards the
managers/bosses is obedience.
The Custodial Model
• The basis of this model is economic resources
with a managerial orientation of money. The
employees in turn are oriented towards
security and benefits and dependence on the
organization.
• The employee need that is met is security.
The performance result is passive
cooperation.
• While studying the employees, the managers
realized and recognized that although the
employees managed under autocratic style do
not talk back to their boss they certainly think
back about the system.
• Such employees filled with frustration and
The Supportive Model
• The basis of this model is leadership with a
managerial orientation of support. The
employees in turn are oriented towards job
performance and participation.
• The employee need that is met is status and
recognition. The supportive model is founded
on leadership, not on money or authority.
• In fact, it is the managerial leadership style
that provides an atmosphere to help
employees grow and accomplish their tasks
successfully.
• The managers recognize that the workers are
not by nature passive and disinterested to
organizational needs, but they are made so by
an inappropriate leadership style
The Collegial Model
• The collegial model is an extension of the
supportive model. The basic foundation of the
collegial model lies on management's building
a feeling of team work and partnership with
employees.
• They consider managers as joint contributors
to organizational success rather than as
bosses.
• Its greatest benefit is that the employee
becomes self-discipline.
• Compared to traditional management model,
the more open, participative, collegial
managerial approach produced improved
results in situations where it is suitable.
Framework of OB

The three frameworks of organizational

behaviour.:

• Cognitive Framework:
• It includes the positive and freewill
aspects of human behaviour.
• Behaviorist Framework:
• It mainly focus on stimulus and
response
• Social cognitive framework:
• This framework of organizational
behaviour considers cognitive and
environmental variables
Focus on the Customer

• Without customers, most organizations

would cease to exist
• Managing customer relationships is the
responsibility of all managers and
employees
• Consistent, high-quality customer
service is essential
 Focus on Technology
• Managers must work with employees to
understand why new technology is an
improvement over present ways of conducting
business. The job of a manager is to help
people cross the bridge—to get them
comfortable with the technology, to get them
using it, and to help them understand how it
makes their lives better.

• It is a myth that social skills have become less

important because there is more technology in
the workplace. Particularly in team settings,
workers rely on each other’s expertise, and
they are able to adapt to changing
circumstances than is made possible by
 Focus on Social Media

• Today, the new frontier is social media, forms

of electronic communication through which
users create online communities to share
ideas, information, personal messages, and
other content.

• Internally, social media also becomes

problematic when it becomes a way for
boastful employees to brag about their
accomplishments, or for employees to argue
or gripe about something or someone they
don’t like at work—then it has lost its
usefulness. To avoid this, managers need to
remember that social media is a tool that
Focus on Innovation

• Innovation means doing things

differently, exploring new territory, and
taking risks.

• Innovation isn’t just for high-tech or

other technologically sophisticated
organizations.

• Innovative efforts can be found in all

types of organizations.
Focus on Sustainability

• The concept of managing in a sustainable

way, which has had the effect of widening
corporate responsibility not only to
managing in an efficient and effective way,
but also to responding strategically to a wide
range of environmental and societal
challenges.

• From a business perspective,

sustainability has been defined as a
company’s ability to achieve its business
goals and increase long-term shareholder
value by integrating economic,
environmental, and social opportunities into
 Focus on Employees
• Progressive companies recognize the
importance of treating employees well not only
because it’s simply the right thing to do, but
also because well-treated employees are more
likely to go the extra mile when performing their
work.
• Successful managers regularly provide
performance feedback that serves as an
evaluation of an employee’s performance and
provides the foundation for discussing
developmental opportunities.
• Effective performance appraisal outcomes
depend on clearly communicating performance
expectations and the resources available to
help employees perform well and providing
Universal Need for OB and
Management
The Reality of Work in OB

• Another reason for studying OB is the reality

that for most of you, once you graduate from
college and begin your career, you will either
manage or be managed.

• For those who plan to be managers, an

understanding of OB forms the foundation upon
which to build your management knowledge and
skills.

• For those of you who don’t see yourself

managing, you’re still likely to have to work with
managers.
 Rewards and Challenges of
Being a OB-HR Manager
Rewards Challenges

Create a work environment in which Do hard work

organizational members can work to the
best of their ability
Have opportunities to think creatively and
use imagination
Help others find meaning and fulfillment
in work
Support, coach, and nurture others
Work with a variety of people
Receive recognition and status in
community and organization
Play a role in influencing organizational
outcomes
Receive appropriate compensation in the
form of salaries, bonuses, and stock
options
Good mangers are needed by
May have duties that are more clerical
than managerial
Have to deal with a variety of
personalities
Often have to make do with limited
resources
Motivate workers in chaotic and
uncertain situations
Blend knowledge, skills, ambitions, and
experiences of diverse work group
Success depends on others’ work
performance
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THANK YOU

Prof. Deepak Shyam

Department of Management Studies
deepakshyam@pes.edu