1.1. “ORGANISATIONAL BEHAVIOU! a concent of Organisational Behaviour oa < ane ey is the study and application of knowledge about how people ~ as individuals and as groups — act ae ea ee ee to identify ways in which people can act more effectively. Organisational behaviour is a selene iy ip! : in which a large number of research studies and conceptual developments are constantly adding to its Da 4 hese lus a ‘an. applied science, in that information about effective practices in one organisation is being According to Fred Luthans, “Organisational behaviour is to understand, predicting and controlling, human behaviour at work”, a ‘According to Callahan, “Organisational behaviour is subset of management activities concerned with understanding, predicting and influencing individual behaviour in organisational setting”. ‘According to Aldag and Brief, “Organisational behaviour isa branch of social sciences that secks 0 build theories that can li ‘understanding, and controlling behaviour in work organisations”. behaviour is a field of study that investigates the impact that individuals, pose of applying such knowledge towards improving an mpts to understand human behaviour in organisational settings, the organisation itself, and the individual reas ar highly iterate. Thus, alliough ti possible to focus on only an of hes as aivlmtanding of OB requires knowledge of all three areas, Ths, the Fell of OB is exciting and Field of Study “Analysis of BehaviourS and not the whole of 7 sral management b 1) tng Part of Managements Orson shan Fr eh ons fhe MANE Soe heme ns esate bas eteaen | Cn ee mal ae ey nc oie er Sa Sec ene Secor mugen me en mene en isciplis jsational behaviour is heavily influen« wap 3) Inter-Disciplinary Approach: The field of organisation ° ly inf athropology. OTE 4 Dinar, proc Te Slo sil Sys) an ator, ri behaviour draws a rich array of research from these disciplines. What makes it a fie! 4) Analysis of Behaviour: Organisational behaviour involves three levels of analysis of behaviour indivic behaviour, troup behaviour and behaviour of the organisation itself. It helps in demolishing “incorrect” assumptions one may hold ‘about behaviour. It provides a rational thinking about people. 5) Goal-Oriented: Organisational behaviour is an action-oriented and goal-directed discipline. The major goals of organisational behaviour are to understand, explain and predict human behaviour in the organisational context so that it may be moulded into result-yielding situations. 6) Human Tool: OB is a human tool for human benefit. I helps in understanding and predicting the behaviour of individuals. It provides generalisations that managers can use to anticipate the effects of certain actions on human: behaviour, 7) Science and Art: Organisational behaviour is both science as well as an art. The systematic knowledge about human behaviour is a science. The application of behavioural knowledge and skills clearly learns towards being an art. However, organisation behaviour is not an exact science like physics or chemistry. It cannot provide specific answers to all organisational problems. The exact prediction of behaviour of people in organisations is also not possible. It is possible to predict relationships between variables on a broad scale, but it is difficult to apply predictive models in all situations. 8) Fulfilment of Employees’ Needs: Organisational behaviour seeks to fulfil employees’ needs and aspirations. Eveqy employee in the organisation wants to fulfil his needs through organisational activities. It is the organisation's responsibility to provide congenial climate in the organisation so that people may get need satisfaction and the ‘organisation may attain its objectives. Thus, both organisation and individuals can be benefited by each other. 9) Humanistic and Optimistic: Organisational behaviour focuses the attention of people from humanistic point of view is based on the belief that needs and motivation of people are of high concern. There is an acceptance of the value of Individual asa thinking, feeling being, and without these considerations the organisations may not be fully operational 4 social entity. Further, there is optimism about the innate potential of man to be independent, creative, productive, a ‘apable of contributing positively to the objectives of the organisation. The man will acwualise these pores fel proper conditions and environments. 10) Oriented Towards Organisational Objectives: OB, being an applied science and em, ing human asy i SP crtan i orcad tonarts xentatalcjcives Thou ak Sonate meng human spl “sometimes conflicting with individual objectives, it should not be understood that OB-only emphacices th me ‘of individual objectives at the cost of organisational objectives. In fact, OB tries to int Sas tegrate -s of objectives ‘both are achieved simultaneously. For this purpose, ‘grate two types of objectives suggests various behavioural approaches. Total Systems Approach: Organisational behaviour is @ total systems approach wherei tion is viewed as an enla,zement of a man. The systems approach account all the variables affecting organisational functioning. In fact, the "i mn the living system of isan integrative approach which takes # systems thinking i oped by behavioural scientists. Behavioural science, while analysin ional Bence, dae al Organisationa ‘i in alan at te pot of sophia cere Tne oan Per chological framework, interpersonal orientation, group influence, and social and eektant seven quite complex and OB by applying systems approach ries o find solution of this eominesiy Organisational Behaviour attempts 10 explain how and why people in business firms and and in groups. It looks at the needs and actions of both m: -and future managers, whatever their level in an org: ther organisations. aN wanagers and non-managers. It anisation, with a sounder undeo=™ ,Of the problems actually encountered in mana alternative solutions available when confronted by ‘Studying organisational behaviour can enhance effectiveness of & organisational behaviour are not as.immediately apparent as those derived from & accounting, marketing, purchasing, and information systems. Such fields consti professional work, Organisational behaviour, n contrast, relates t the process of be scen with organisational behaviour specialists whose content, or functional know behaviour concepts and methods. ‘Scope of organisational behaviour covers various areas which are as follows: ‘Scope of Organisational Behaviour Skill Development | (ical Goorch oem H Human Behaviour Enhancement of Organisational and vidual Effectiveness ec otee Beas ‘Sharpening and Refining of Com Sense 1). Skill Development: An essential requirement for entering into, surviving, and sweet have the appropriate skills. A person needs both skills related to his or her diseip solving and dealing with people. The study of organisational behaviour contrib Organisational behaviour skills have gained in importance in the modem CIOs (Chief Information Officers) now need information technology profes concerns, to interact with other departments, and to communicate more effective business insight, communication, leadership, and project management become: information technology professionals get more involved in the overall business. per cent of these managers offered information technology employees training i Personal Growth through Insight into Human Behaviour: As explained by for studying organisational behaviour is the personal fulfilment gained from human beings can also lead to enhanced self-knowledge and self-insight. others, person may gain an understanding of what motivates him. Enhancement of Organisational and Individual Effectiveness: A major behaviour is that it provides information that can be applied to organisation: organisational behaviour is to improve organisational effectiveness ~ the extent ‘and satisfies the demands of its interested parties. One visible example is the Certainly, organisational behaviour specialists did not invent teams. ‘Understanding organisational behaviour also improves organisational effectiveness: contribute to or hinder effective performance. Among these many factors are employee and communication barriers. Furthermore, an advanced understanding of people is a m ‘success, This is especially rue because so much of a manager’ job involves aecomplish behaviour also contributes insights and skills that can enhance individ Knowledge about subjects such as improved interpersonal communication, ¢0 ‘or she will become more effective. A specific example is that knowledge about organi formance, and Refining of Common Sense: Studying organisational behaviour is rele gerial job involves dealing with people, and one cannot learn that through a book. However logic ound, common sense is not an adequate substitute for knowledge about organisational behaviout. and enlarges the domain for common sense. It markedly reduces the amount of time necessary to Team, knowledge and skills, much as law school reduces the amount of time that a person in a previous ¢ had to spend as a law apprentice. 4s et ae ee ne can Know through common sense that giving recognition 10 poop emer effective method of motivating ariton 1° Pesviou, however, ope might Team thot 4 Sem i earn that the type gf them toward higher performance. By studying organi should be given frequently but not every time somebody attains high performance. Tecognition one gives should be tailored o the individuals personality and preferences. For “example, some PeOPIe like flamboyant praise, while others prefer praise focused tighlly °° ity amerts oftheir work. Formal knowledge thy enhances individual effectiveness. 1.1.4. Importance of Organisational Behaviour COeganisational behaviour is part of management, OB contains multi tine problematic situations, Organisational behaviour of input {0 rip Ksowledge that can improve his immunity to work effectively Fes, ambiguities, COntrOVerSiC, ang JFfeltes, It investigates the impact that individuals, roMFt tery ardcture have on behaviour within ‘organisation, and Spnlies that knowledge to make organisations work mor rPcntvely. It focuses om how to imprest productivity, redige applies im, tumover, and deviant workplace behaviour nd vt organisational citizenship behaviout, a8 abesfuction Interestingly, management practices affect behaviors sretmaployees. Type of Management Practecy depend an systematic and scientific study of human behaviour, So, OB is an important input 19 ‘management. Sound managemy practices always need background knowledge of OB: scipinary knowledge and is capable 10 al tit sc averal decisions. OB supplies the MANGE it elps managers in understanding and managing human behViO¥ * explained below: Tmportance of Organi Specifically, cational Behaviour ‘Understanding of Self and Others jon of Human Resources Timprovement of Quality and Productivity Efective Communication fective Organisational Climate ‘Good Human Relations Tharouction of Change inthe ‘Organisation 1). Understanding of Self and Others: The behavioural sciences help an individual to understand him and othets in bets ‘way. This will improve interpersonal relations wmiderably. There are topics like attitude, perception, I if Communication, transactional analysis and conflict ar ‘of particular significance in an interpersonal relation At Understanding of these will be very helpful to ‘he individual in shaping his personality and dealing with ‘ihn effectively. Organisation behaviour is a useful tool of understanding human behaviour in all the directions in which human belts interact. Human behaviour can be studied at the various levels as discussed below: 1 j) Individual Behaviour: The main focus ‘of psychology is the study of individual behaviour. It tries 10 analyse vi set how an individual behaves in a particular way, Human behaviour is affected by a number of psyd are land cultural factors. Organisational behaviour integrates these factors to understand individual behaviowt- ii) Inter-Personal Behaviour: Imer personal interaction takes place Because of individuals natural desie # | __ socialisation. Behavioural sciences provide means for understanding the interpersonal relations jn the o i ‘By studying the behavioural sciences, an indi ral can understand himself and others better This will help hilt nprove interpersonal relations considerably. Understanding of inter-personal behaviour is facilitated by the _pereeption, role analysis, transactional analysis, ete. ef «An individual behaves differently as an individual and as a mem : He Suis, This behavior is often modified by group norms. Therefore ee ia “importance in organisational behaviour. It helps in knowing how od group hy oot ‘exert pressures on the individuals, groups and management, qs oe ae ‘effective leadership and building high morale. a Hew “The job of a manager in an organisation is to get thi the can motivate his subordinates to work for ‘rman pons gstbehaviour will help the manager to understand the needs and desires of the subord their motivation. He can use suitable incentives to motivate the subordinates. Improvement of Quality and Productivity: OB teaches a number of direet and i about how to improve quality of operations and employees’ productivity, It reengineering, etc., must be based on extensive involvement of employees. Effective Communication: Behavioural sciences help in improving communication through which people come in contact with each other. To ‘communication must be effective. The communication process and how it works by behavioural sciences. The analysis of factors that influence commun communication effective Effective Organisational Climate: Behavioural sciences suggest the creation 0 fo gal than merely improving the physiological conditions or increasing et process ensures efficient organisational functioning. Satisfactory working equipments for the job are viewed as only a small effort in creating a sound of Good Human Relations: Organisational behaviour can be useful to organisation. If an employee is slow in his work, it is not always bee environment, Similarly, if the union gives a strike call, the basic issue m ‘bonus, a better canteen or entertainment facilities. Reluctance of the manag Problems might provoke them to give a strike call. In other words, relatio quite often strained for reasons, which are psychological and not rational. causes of poor industrial relations in the organisation and suggest suitable Introduction of Change in the Organisation: Change is the law of nature, as a result of technological, social, political and other environmental ‘organisational members. This problem can be successfully handled by the Change can be introduced through group dynamics and by proper ‘communication. The benefits of change should be i be affected by the change 1.1.5. Evolution of Organisational Behaviour Many disciplines, such as physics and chemistry, are literally thousands of cone form or another for centuries. For example, the writings of Aristotle and PI ‘of management concepts and practices. But because serious interest in the the turn of the twentieth century, the study of organisational behaviour is only a ‘One reason for the relatively late development of management as a scientific field is existed until the nineteenth century. Although management is just as important to a small firms were needed to provide both a stimulus and a laboratory for management research. first people who took an interest in studying organisations were economists who at the organisational level are by nature efficient and effective; therefore, they as national economic policy and industrial structures. Organisational behaviour has the goal of helping today's and tomorrow's managers. ‘make the transition to the new paradigm, Some of the new paradigm characteristics ‘include coverage of information technology and globalisation, managing diversity and ies, reward systems. The historical development of organisational behaviour includes phases which are as follows: )) Industrial Revolution: Industrial revolution brought about materialism, discipline, monotony, boredom, job displacement, impersonality, work interdependence, and related behavioural phenomena. Nevertheless, the industrial revolution was responsible for planting the sced for potential improvement, Industry created ‘surplus of goods and knowledge that eventually gave workers increased wages, hours, and mote work satisfaction. In this new industrial environment ‘Owen, a young Welsh factory owner, about the year 1800, was one of the Figure 1: Evolution of OB aa.6. Fundamental Concepts of Organisational Behaviour Every discipline of study has certain set of fundamental concepts. These concepts are proceeding. They do not leng themselves to the question ‘why so". ‘They are something, which have to be accepted and not questioned. They. the foundation stones on which the entire edifice of the discipline is developed. In the discipline of Accountancy the fundamental concept is “for every debit entry there will bea credit entry” the nature of people and organisation, Organisational behaviour starts with a set of fundamental concepts revolving around 1 ational behaviour. These ‘These fundamental concepts are the enduring principles that form a strong foundation for organts are detailed below: Toa el sb Sinceee pa ——— sec ae ‘Son ee wor Sy Maly of Rn a le Toned eee Desire for Pris. ea [ean = Bey igre 12: Fundamental Conc Orpnsatona Behaviour 1). Nature of People: With regard to people, there are following concepts: {) Individual Difference: Individual differences mean that management can motivate employees best by treating them differently. Individual differences require that a manager's approach to employees be individual, not statistical. Ths belief that each person is different from all others is typically called the law of individual differences. ii) Perception: People look at the world and see things differently. Even when presented with the same object, two people may view it in two different ways. Their views oftheir objective environment is filtered by perception, which is the unique way in which each person sees, organises, and interprets things. ii) Motivation to Employees: An employee has so many needs inside him. So, they want to fulfil those needs. Tats wviy: they had to perform well inthe organisation. Some motivations are needed to enrich the quality of work. & path toward increased need fulfilment isthe beter way of enriching the quality of work. iv) Whole Person: When an individual is appointed, his/her skill alone is not hired; his/her social background, likes ail dislikes, pride and prejudices are also hired. A person's family life cannot be separated from his or her work life. ts for this reason that managers should endeavour to make the workplace a home away from home. They not oa strive hard to develop a better employee out of a worker, but also a better person in terms of growth and fulfilment ¥) Caused Behaviour: In psychology it is seen that normal behaviour has certain causes. These may relate 0% person's needs and/or the consequences that result from given acts. Inthe case of needs, people are motivated not {ehat others think they ougbt to have but by what they, themselves want, To an outside observer, a person's nes tay be unrealistic, but they are still controlling. This fact leaves management with two basic ways to motiv®® people; itcan show them how certain actions will increase their need fulfilment, or it can threaten decreased fulfilment if they follow an undesirable course of ‘action. Clearly, a path toward increased need fulfilment is ‘better approach. Motivation is essential to the operation of organisation. ¥) Desire for Involvement: People wish to fel good about them. This est is reflectedin thei rive for sl fe c belief that one has the necessary capabilities to perform a task, fulfil role expectations, make a meania ceri eo cere: situation successfully. They hunger for the chance to share what they know and! ta lm he experience Orgaisaons need o provide opportunities for meaningful involvement, paste, whitule 1 Concept of Organisational Behaviour (Mo 4 to be treated | vii) Human Dignity: Because of a higher order, ecco Pa that every person should be respected simply because He BAPE ® 4 refuse to accep the old idea that dey are simply eeonorte Bf abilities and to be provided with opportunities to develop themse ‘al ‘Organisation: With regard to organisation, there are following ° a "Organisation Ss Socal Sytem: An organisation is a social esa for the achievement of common goals. I is a part of the society ane’ oe change in the social system is reflected in the organisational beha groups. Mutuality of Interests: Organisations need people, and people need purpose. They are formed and maintained on the basis of some mut ‘Organisations help people to achieve their own personal objectives at achieve its objectives. It is a symbiotic relation. Mutual interest pro attained only through the integrated efforts of individuals and their emp Ethies: In order to attract and retain valuable employees in an. era in away, ethical treatment is necessary. To succeed, organisations must t ‘organisation's goals and actions are ethical, mutuality creates a ‘organisational, and social objectives are all met. People find more teamwork. They are learning, growing, and contributing. The orgé operates more effectively. 1.1.7. Determinants of Organisational Behaviour ‘organisation to achieve certain objectives. The efforts of the people are co-c responsibility relationships. People use some technology to produce goods structure and technology interact with the external environment and are influen behaviour, thus, involves four key elements, in which the organisation operates. Th 1) People: People make up the internal social system of the organisation. That 5 ‘groups and small ones as well. There are unofficial, informal groups and more 0 ‘Organisations exist to serve people, rather than people existing to serve organist ‘The human organisation of today is not the same as it was yesterday, or the day become richly diverse, which means that employees bring a wide array of perspectives to their jobs. Managers need to be tuned into these diverse patterns and tothem. 2) Structure: Structure defines the roles and relationships of people in ‘an organisation, Different people in the organisation are given different roles and they have certain relationships with others. Organisation structure leads to _ division of work so that people can Perform their duties to accomplish the organisational goals. Under the Structure, different duties are to be * performed by different people. Some may be managers others may bbe supervisors, clerks, peons or Environment + Government Competition © Social Pressures “Technology workers. All are related. to each ‘+ Machinery other to accomplish the goals in a + Computer Hardware and Software co-ordinated manner. ‘The structure ‘relates to authority-responsibility relationships.3) Technology: Technology provides the resources with which people work and affects the tasks that they perform. The, cannot accomplish much with their bare hands, so they build buildings, design machines, create work processes, say assemble resources, The technology used has a significant influence on working relationships. The great benefit of technology is that it allows people to do more and better work, but it also restricts people in various ways. It has costs well as benefits 4) Environment: All organisations operate within an internal and an external environment. A single Organisation does exist alone, It is part of a large system that contains many other elements, such as government, the family, and other ‘organisations. Numerous changes in the environment create demands on organisations. Individual organisations, such a, a factory or a school, cannot escape being influenced by the external environment. It influences the atitudes of people affects working conditions, and provides competition for resources and power. It must be considered in the study of ‘human behaviour in organisations. 1.1.8. Levels of Organisational Behaviour i Organisational behaviour is concerned with understanding, predicting and regulating human behaviour in organisations, According to Greenberg and Baron, “Organisational behaviour is the field that seeks knowledge of behaviour in organisational settings by systematically studying Organisation individual, group and organisational processes.” Thus, organisational behaviour Level focuses on three levels of analysis which are shown in figure 1.4: 1) Individual Level: Organisations are made up of their individual members. The individual is a central feature of organisational behaviour and a necessary part of any behavioural situation, whether acting in isolation or as part of a group, in response to expectations of the organisation, or asa result of influence of the external environment, Figure 14: Levels of OB 5 & Individual Level ‘The behaviour of individuals is a complex phenomenon and is affected by a large number of factors such as personality, attitudes, perception, learning and motivation, social, cultural and other factors. OB integrates these factors to provide simplicity in understanding human behaviour. The study of behaviour of an individual working in the organisation is also known as Micro Organisational Behaviour. 2) Group Level: Though people interact with the outside world at their individual level, their behaviour pattern is also influenced by the groups to which they belong. Several research studies have shown people behave differently in groups than as individuals. Several factors influence the behaviour of groups such as group goals, norms, communication, leadership, cohesiveness, etc. Understanding of group dynamics is essential to reduce conflicts and improve morale and productivity. This is also known as Meso Organisation Behaviour. 3) Organisation Level: An organisation is a system composed of several interdependent individuals and groups. Individuals and groups operate within the structure of formal organisation. They participate in shaping the culture of the ‘organisation and also in organisation development. At times, they may resist change, while they may fight for change in certain situations. Stress caused by the activities of individuals and groups has to be managed at the organisational, group and individual levels, The study of behaviour from the perspective of the whole organisation is also referred to as Macro Organisational Behaviour. 1.1.9. Models of Organisational Behaviour Organisations differ in the quality of the systems they develop and maintaining and in the results they achieve. V: i ! in i y achieve. Varying Tear ite Substantially caused by different models of organisational behaviour. These models constitute the belie system dominates management's thought and affects management's actions in each ‘sation. highly {important that managers recognise the nature, Seana teary ea ignificance, and effectiveness of their own models, as well as the models of ‘others around them. Four models of organisational behaviour are as follows: orient Models of Organisational Behaviour Autocratic Model a ‘Custodial Model Supportive Model CCollegial Model—————————— anwer, [206e WO SS wi hs > ae wer. Those /. the theory. It depends upon Po ie Model: “Might is right” isthe motto oft ? " a ee, to demand. Main features of the autocratic model are given as belo ‘Only Management Decides {or Wrong: Employees are to follow: thei! yg employees ae i) Only Manageme aemption tat only management knows Whats Rie ght and employees thee ow orders without any argument. Management thinks hat employees are / © sanisational needs. Iti just like theory X developed by McGregor, ‘ organisational needs. It is just like theory a. es iy Obedient Orientation of Employees: Under autocratic conditions the emplV¥Es MES tics boss, Chetan respect for a manager. The psychological result for employees 18 depeneR OE suhtese DOMES rahe, fire, and “perspire” is almost absolute, The boss pays minimum Wales Det ‘minimum performance fiven by employees. They are willing to give minimum performance though SOMEHIIIS S vst satisfy subsistence needs for themselves and their families. [cine ee si Useful Approach: The autocratic model was an acceptable approach to guide managerial emaviGhe TTT! ) Use APPT mown afernatives, and i sill can be useful under some conditions; Where situation are diTessai 2) Custodial Model: Workers being managed under the autocratie model often feel insecurity andl feusiations meg caster aberession towards their boss, their families and neighbours. Tat s why progressive Managers fk Mall TES ce enone: way to develop better employee relationships so that insecurity and frustration eould be dispelled: Mais features of the custodial model are given below: fanreaployee Dependence on the Organisation: ‘The custodial approach leads to employee dependence on the reanisation. Rather than being dependent on their boss for their weekly bread, employers now slepend 0 ‘organisations for their security and welfare, act ii) Emphasises Rewards: The model emphasises economic reward, security, organisational dependence, and maintenance factors. iii) Promotes Employee Satisfaction: Employees working in a custodial environment become psychologically preoccupied with their economic rewards and benefits. As a result of their teatment, they are well maintained and Contented, However, contentment does not necessarily produce strong motivation; it may produce only passive Cooperation. ‘The result tends to be that employees do not perform much more effectively than under the old autocratic approach. 3) Supportive Model: The basic idea behind this theory is that leadership motivates the people to work and not the power ‘of money as in custodial model. Main features of the supportive model are given as below: i) Supports Employee Job Performance: Through leadership, management provides a climate to help employees ‘grow and accomplish in the interest of the organisation, the things of which they are eapable. Management's: orientation, therefore, is to support the employee's job performance, rather than to simply support employee benefit ‘payments as in the custodial approach. ii) Management's Lifestyle Reflects Support: Supportive behaviour is not the kind of behaviour that requires money. Rather, it is a part of management's lifestyle at work, reflected in the way that it deals with other people. The manager's role is of helping employees, solve their problems and accomplish their work. iii) Creates Sense of Participation: Under the supportive model, the workers feel a sense of participation and task involvement in the organisation. The manager's role is one of helping employees solve their problems and accomplish their work. iv) Limited Application: This model has been found to be effective in affluent countries where workers are more concemed about their higher level needs affiliation and esteem, This model has limited application under Indian conditions because a vast majority of operative workers are still working for the satisfaction of their physiological and security needs. 4) Collegial Model: A useful extension of the supportive model is the collegial model. The term collegial relates to a body ‘of persons having a common purpose. The collegial model, which embodies a team concept, is based on the principle of ‘mutual contribution by employer and employees. The features of collegial model is as follows: i) Creates Favourable Working Climate: It creates a favourable climate in the organisation as workers feel they are the pariners in the organisation. They do not see the managers as their bosses but as joint contributors. ii) Foster Teamwork: The managerial orientation is towards teamwork. Management is the coach that builds a better team, The employee accept responsibilities because they find it their obligation to do so, not because that they will bee puinished by the management. This helps in developing a system of self discipline in the organisation.iii) Fulfilment of Employees: In this kind of environment employees normally feel some degree of fulfitmen, ‘worthwhile contribution, and self-actualisation, even though the amount may be modest in some situations. This self-actualisation will lead to moderate enthusiasm in performance. Attributes of Different Models of Organisational Behaviour ‘Autocratic | Custodial | Supportive Collegial 1) Basis of Power eonomic | Leadership | Partnership Model resources 2) Managerial | Authoriy | Money Support| Teamwork Orientation 3 Employee | Obedience | Security | Job Responsibility | Orientation performance Employee | Dependence | Dependence | Participation | Sel-discipline Psychological. | on boss on Result ‘organisation [Sy mployee | Subsiience | Muimenance | Status and | SelF-actualisstion Needs Met Recognition _| @ Performance | Minimum | Passive | Awakened [Moderate enthusiasm Result cooperation | drives 1.1.10. Organisational Behaviour Processes Process ean be defined as the underlying human and behavioural dimensions of an organisation and the various groups ani individuals constituting it. There are some processes within organisation which together constitute a framework of ‘Organisational behaviour. The framework for understanding the behaviour of employees in organisations consists of fom basic processes: ‘These are explained as follows: 1) Individual Processes: People make assumptions about those whom they work with, supervise, or spend time with ia leisure activities. To some extent, these assumptions influence the person’s behaviour towards others. Effective ‘employees understand what affects their own behaviour before attempting to influence the behaviour of others. Individual behaviour is the foundation of een oe NN organisational performance. _ Understanding Vales dod Aiud individual behaviour, therefore, is crucial for ) Perception effective management. Each person is a ls) Learning and physiological system composed of a number of sub- ‘ep Leet systems — digestive, nervous, circulatory and De eseich ns reproductive; as well as a psychological system composed of a number of sub-systems — attitudes, perception, learning capabilities, personality, needs, feelings, and values. Tapas a Secu Nicoal Proce Interpersonal and Team Processes: Being |), 1 ee |!) Organisational Structure inherently social, people generally do not choose t0 |” Communication pean snee live or work alone, Almost all our time is. spent 2) Group Dynamics, eams 5) Oxguibaonal Chang fnteracting with others. People are born into a | and camwork fete] Power and Political family group; they worship in groups; they work in |?) Dynamics between Teams Behaviour ‘groups; they play in groups. Much of our personal [2) peony 5) Job Design : ‘ Is) Decision-Makin ‘identity is based on the way that other group 6) Conflict and Negotiation ‘members perceive and treat us. For these reasons ~ ‘and because many managers spend more than two: / rd of their working days in meetings ~ skills in ‘ ‘dynamics. are vital to all managers and + Changs Procomes ” > y Nature of Planned Organisational Change ive team member requires an 2) Approach to Planned Organisational Change " dynamics within and between ‘members must be skilful in ote aTicrd to schieviig oF inating barriers to achieving their goals, solving Bro ®t peg Obstacles to team effectiveness. Organisations 2 0 sryanisational goals. How employees communicate with Pest superiors, crzanisvnbers or lead to Jow morale and lack of commitment. Besse Tine dealing with others, interpersonal communication is & majo a jisational Processes: Individuals enter organisations to work, €2 Organi Pree eat whichis he st of shared 3590 ‘ork - ie. Which policies, practices, and norms are important in the i an inde tobe aceped an become putt. So others simply rely on ‘co-workers, and still others use a combination of | ee fers use power to accomplish goals and in m elimi and overcoming Employees and manags person's success or failure in using or reacting to power is largely phd when to use it, and being able to predict its probable effects on o to understand the way the jobs have been designed and the features and bone of the important activities to be performed by managers and requires Change Processes: The management of change involves adapting an 01 and modifying the actual behaviour of employees. If employees do not che ‘change. Many things must be considered when undertaking organisational exerted on the organisation to change, the kinds of resistance to change that are i implement change. Six basic strategies for achieving change are: ate i) People Approaches: This approach using behavioural science te organisational problems and planning actions to correct them, ii) Cultural Approaches: This approach changing the shared beliefs, values, eXP organisation’s culture. t iii) Technological Approaches: This approach changing the methods by which work is: y) Task Approaches: This approach re-designing individual jobs. . vi) Strategy Approaches: This approach changing the organisation’s intended courses of select new goals. 1.1.11. Disciplines Contributing to Organisational Behaviour Organisational behaviour is an applied behavioural science that is built upon contributions from a number of behavioural disciplines. The predominant areas are: 1) Psychology: The term ‘psychology’ is derived from the Greek work ‘psyche’, which means ‘soul’ or ‘spirit’. Modern authors define psychology as the science of individual behaviour. Psychology has a great deal of influence on the field of organisational behaviour. The reason is the focus of psychology — what determines the behaviour of an individual? ‘The attempt to answer this question in different settings has engendered a multitude of sub disciplines ~ industrial psychology, clinical psychology, and experimental psychology. The major areas researched to understand the determinants of behaviour are attitudes, motivation and learning, Motivation refers to the mental and emotional processes that precede actual behaviour under consideration. Learning concerned with the changes and adaptations of behaviour that occur over time. Obviously, understanding of motivation and learning would help clarify the individual behaviour in the organisation. 2) Medicine: Medicine is perhaps the newest field affecting organisational behaviour. The primary area of interest is work related stress, tension and depression. The study of causes and consequences of stress and use of medicinal drugs to teduce stress is fast becoming an area of study within the organisational setting. ‘Sociology: Sociology as an academic discipline utilises scientific method in accumulating knowledge about the social wiour of groups. It specifically studies social groups, social behaviour, society, customs, institutions, social classes, . social mobility and prestige. Sociology addresses itself to the study of group behaviour. It studies the behaviour of| ‘Concept of Organisational Behaviour (Module 1) 6) Political Science: Political science has also contributed to the under scientists include how and why people acquire power and such conflict behaviour of interest groups, formation of coalition, etc. 7) Engineering: This discipline too has influence on OB. Industrial. with work measurement, productivity measurement, workflow these are important for OB. 8) Economics: Economics aids in the understanding of economic cond "government, allocation of scarce resources to different c organisational climate. Organisational behaviour has leamed a great Bcynamies, com: boct analysis, marina uy analy Ha 1.1.12. Theoretical Frameworks of Organisational + Initially psychology was developed using the mental thinking expressed by ps " psychology. But John B. Watson differed from that approach and he pioneet visible environmental stimulus became the subject of study. B.F. Skinner deve by bringing in the contingent environmental consequences. Behaviour is not the ou outcome determined by the stimulus as well as the contingent environmental are altemative behaviours for the same stimulus and which behaviour is ‘environmental consequences. Organisational behaviour is an extremely complex discipline in management that invol Nevertheless, an overall model of organisational behaviour can be developed by making | social cognitive framework. 1.1.12.1. Cognitive Framework Cognitive approach gives people much more “credit” than the other approaches. The cognitive positive and freewill aspects of human behaviour and uses concepts such as expectancy, demand, and Cognition, which is the basic unit of the cognitive framework, is the act of knowing an item of information. Under this framework, cognitions precede behaviour and constitute input into the person’s thinking, perception, problem solving, and information processing. Concepts such as cognitive maps can be used as pictures or visual aids in comprehending a person’ “understanding of particular, and selective, elements of the thoughts (rather than thinking) of an individual, group or “organisation.” ‘The classic work of Edward Tolman can be used to represent the cognitive theoretical approach. Although Tolman believed behaviour to be the appropriate unit of analysis, he felt that behaviour is purposive, that it is directed toward a goal. In his laboratory experiments, he found that animals learned to expect that certain events would follow one another. For example, animals learned to behave as if they expected food when a certain cue appeared, Thus, Tolman believed that learning ‘consists of the expectancy that a particular event will lead to a particular consequence. This cognitive concept of expectancy implies that the organism is thinking about, or is conscious or aware of, the goal. Thus, Tolman and others espousing the cognitive approach felt that behaviour is best explained by these cognitions. Over the years, there have been controversies regarding the contributions of cos behavioural sciences. Cognition gained considerable significance after the rapid progress made in the field of psychology. Cognitive approach is also widely applied in the field of Organisational Behaviour and is mostly used in the analysis of Perception, personality and attitude, motivation and goal setting. The role of cognition is found to be significant in decision- making. 1.1.12.2. Behaviourist Framework ‘van Pavloy and John B. Watson were the pioneers of the behaviouristic theory. Unlike the earlier psychologists, they ocused on observable behaviours rather than the evasive mind. They explained human behaviour with the help of stimulus- nse experiments. A stimulus brings out a response in an individual and results in learning. The stimulus-response mship explains the physical reflexes in human beings. For example, when a person is pricked with a pin, he flinches.; -Thakur’s MBA First Semester (Organisational Behaviour yy . F, Skinner is a major contributor to modern behaviourisin He explained the more complex operant behaviours that w wit un-dealt by the early behaviourists. Operant behaviour ‘indicates voluntary or learned behaviour. Through his eal conditioning experiments, Skinner emphasised the imporranes of stimulus-response relationship. He found that the consequences of response explain more about behaviour Than the stimuli that elicit response. The stimulus serves 38 @eue to soiviftet certain behaviour and does not actually cause the behaviour. An individual responds in a particular way to the stimulus and this result in certain consequences. Skinner believed that behaviour is a function of its conseauener For instance, an organisation passes a circular to it employees asking them to stay longer in order to insieane the production to meet the increasing demand. Here, the circulars ‘he stimulus, The employees may increase the production. “This is the response. If the increase in productivity is rewarded it vo pe onsequence. Skinner explained that certain behaviour on te expected from an individual by creating post consequence desired by him. ‘The behaviouristic approach is based on the environmes ‘Though cognitive processes like thinking, expectations and pereeption do exist they ae not needed to manage predict behaviour. However, some behavioural sien" believe that The cognitive Variables do have a rote in the rane ourstc approach. Continuous research efforts have led to the emergence ao new area called social learning approach which incorporaics oth cognitive and behaviouristic concepts. 1.1.12.3. Social Cognitive Framework srerording to some researchers, the, cognitive Approach emphasises too much on psychological process, whet the bbehaviouristic approach stresses on stimulus, response vind consequences. The social learning approach atiem! to integrate the contributions ‘of both these approaches. However, the influence of behavioural approach is higher than the ‘cognitive approach on the social earning approach, In social learee approach, behaviour is considered 3s the apProplnt unit of analysis. It is held that people are self-aware and make an effort towards conscientious behaviour. Individuals Jearn about the ‘environment, modify and construct it in a manner favourable to them, ‘Organisational Participants - _ ‘Panticipants control their own ‘one : Cognitive representations of ‘reality belp guide behaviour to the extent that they ‘organisational behaviour rely on eognitive supports and manage relevant environmental ‘cues and consequences te Mech of complex tein aN ‘acquired by directly observing and Organaonal ¢—riting ers LF eeay e apeaenontioant cavironient eee Figure 1.7: Social Cognitive Framework, taken his social leaming and developed it into the i is i ng and ev oped tino the more comprehensive Social Cognitive Theory. SCR ms have an (ated to the theoretical foundation for organisational beh SCT is pescoes behaviouristic approaches by themselves and its ee al lear seconisth inperne: (of behaviourism’s contingent environmental eee, bet ln ae sex Ee acknowledges the social origins of mich of ‘human thous? lean by being ‘a society), whereas the “cognitive” " a oon ‘cognitive’ portion recognises the influen™ i isin na ee ee ae ee Se ee such as contingent recognition from we Ree reese pan ear itself (e.g., previous successful 4 . ‘al learning, organisational participants are at ® y‘Concept of Organisational Behaviour (Module 1) same time both products and producers of their personality, respective environments, social learning with SCT by explaining the nature of the bi capabilities summarised in figure 1.8. Symbolising | [ “Forethought | | Observational employees JEmployees plan] |Employees tearm] process visual] their actions| [by observing th| lexperiences Jowhat Tam going| fperformance of (customer to do), anticipate] _freferent (pers of named ite consequences} supervisors) and Applegate) into], Jiwhat am I going|, credible others cognitive to get fori), and] high performer) models (appte)| determine the | fand the that then serve] fievel of desired | consequences as guides for| |performance they receive for fre actions | what is my} {their setions |emembering | |performance (what do they ge his name} |poa,. for it. easily. 1.1.13. Emerging Issues in Organisational Behaviour noe ‘There are a lot of challenges and opportunities today for managers to use OB concepts. Some of the j trends confronting managers for which OB offer solutions — or at least some meaningful insights follows: Emerging Issues in OB Globalisation of Business FY I Workforce Diversity 2 (Changed Employee Expectations Increasing Quality Consciousness Managing Change [Bthies and Social Responsibility 1) Globalisation of Business: Managing in a global economy poses many challenges and opportunities. For example, at a macro level, property ownership arrangements vary widely in different countries. So does the availability of natural resources and components of the infrastructure, as well as the role of government in business. For our purposes, a very important consideration is how behavioural processes vary widely across cultural and national boundaries. Norms, values and beliefs differ sharply among cultures and these shape patterns of work-related behaviour of the workers to a ‘great extent. They also affect the nature of supervisory relationship, decision-making styles and processes, and ‘organisational configurations. Group and inter-group processes, responses to stress, and the nature of political behaviour also differ from culture to culture. Thus, globalisation has posed both challenges and opportunities for the managers. 2), Workforce Diversity: Another aspect is workforce diversity, ie., the increasing heterogeneity of organisations with the inclusion of workers from different groups such as women, physically disabled persons, retired defence personnel, "+ backward classes, ethnic groups efc. Whereas globalisation focuses on differences between personnel from different Countries, workforce diversity addresses differences among people within the same country. For example, more and “ more women have been joining the organisations in India and women executives have also been occupying important Positions at the middle and top levels in the organisations. This in itself is a challenge for organisations as, traditionally, the Indian society has been male dominated. 3) Changed Employee Expectations: With the changes in workforce demographics, employee expectations and attitudes {have also changed. Traditional allurements such as job-security, attractive remuneration, housing, and the like do not ‘attract, retain or motivate today’s workforce. Employees today demand empowerment and expect quality of status with _ ‘the management. Previous notions on managerial authority are giving way to employee influence and involvement along ‘with mechanisms for upward communicati4) Increasing Qualit : ty Consciousness: Because of increased com ncrensing Quality Conack -ompetition, both from indigenous as well a organisations, thee is increased emphasis on quality of produets and service, hat oo at ompsive oa beers a iy ae oa aualty ‘management, kaizen (improvement upon improvement), six sigma rane certification. Because of increased emphasis on quality, organisa h sel uy cee, Bese ¥y, organisations have to change not only th of their working. Such a change results into behavioural problems in emplo me chnology ees as they perce uo meh ‘a change woald affect them adversely. Therefore, the managers have to adopt fnbie faicices coal at employees accept change willingly and become part of th o ‘tno Ps ee ly part of the mission of spreading quality consciousness throughout 5) Managing Change: Nothing is permanent except change. In the contemporary environment, organisations mu ‘and implement change to survive and grow. As a result, demands and expectations placed on managers nice organisations are greater than ever before, as is the complexity of the environment within which they must = While in the past managers might have seen change as something that must be addressed periodically, it has now ai 4 fact of everyday life for everyone in the business world, And human resources are keys to rocceesl itd any change. The challenge before managers is to prepare organisational members for change. They must play the mT ‘change, agents” or ‘facilitators of change’, to improve organisational effectiveness. 4 6). Ethics and Social Responsibility: Ethics denote the socially accepted beliefs about what is right and wrong or god ax bad, Social responsibility is the organisation's obligation to protect and contribute to interests of various stakeholden uch as investors and owners, employees, customers, suppliers, government, society, etc. Various trade associations an chambers of commerce and industry have developed codes of ethics for their member-organisations to increase he credibility of business. From the point of view of social responsibility, increasing attention has been focuses the asm sears on business obligation to help avoid pollution, and contribute to social causes. Howene™ clearly defining etied err jour and social responsibility is a great challenge. Nevertheless itis expected of managers to reais an Stik healthy climate for their subordinates where they can perform their duties efficiently and confront a minimal degre o ambiguity regarding what constitutes good and bad behaviour. 1.1.14. Limitations of Organisational Behaviour: Improved organisational behaviour will not (by itself) solve unemployment It will not make up for our own deficiencies. I anpvot substitute for poor planning, incompetent organising oF inadequate control. Its only one of many systems operating ‘vithin a larger social system, There are three major limitations of OB: 1) Behavioural Bias: It includes: i) Overemphasising the Employee Satisfaction: People who lack system understanding and become superticiall infatuated with OB may develop a behavioural bias, which gives them @ narrow viewpoint that emphasises satistying fnployee experiences while overlooking the broader system ofthe organisation in relation to all ts publics. Concet for employees can be so greatly overdone that the original purpose of bringing people together—producti organisational outputs for society—is lost. Sound organisational behaviour should help achieve organisati * purposes, not replace them. The person who ignores the needs of people as consumers of organisational coutpat Pihile championing employee needs is misapplying the ideas of organisational behaviour. 4) Overemphasising the Production Output: Moreover, the organisation who pushes. production outputs wither regard for employee needs is misapplying organisational behaviour. Sound organisational behaviour recognise? social system in which many types of human needs are served in many ways. Behavioural bias can be so mis=>plied that it harms employees as well as the or ited > i Fe ganisation. Sc le, in spite their good intentions, so overwheim others with care that the recipients of such eare are SE Ee a a reduced to dependent—and unproductive—indignity. They become content, not fulfilled. They find excuse’ fealure rather than take responsibility for progress. They lack self-discipline and self-respect. of Diminishing Returns: The law of diminishing returns states: ‘Much Oe eeoplae is Produce Negative Results: Overemphasis on an organisational behaviour practice ™ negative results, as indicated by the law of diminishing returns. It states that at some point, increases practice produce declining returns, eventually zero returns, and then negative returns are added. Desirable Practice: The concept implies that for any situation there is an optimum amount of « desit®™ ‘as recognition of participation. When that point is exceeded, there i st ion oF pat | there is de s. as onc rmaiuinoecftimecioeUnethical Manipulation of People i) Misuse of OB Knowled; knowledge and technic dignity of the human of manipulation means that people in integrity and not misuse their power. Without ethical People becomes a dangerous instrument for possible misuse. Ethi attributes: 4) Social Responsibility: Responsibility to others arises whenever people have power in an o ») Open Communication: The organisation will operate as a two-way, open system, with, from people and open disclosure of its operations to them. ©) Cost-Benefit Analysis: In addition to economic costs and benefits, human and social coste activity will be analysed in determining whether to proceed with the activity ‘As the general population learns more about organisational behaviour, it will be more difficult to ‘manipulate people, but the possibility is always there. That is why Society desperately needs ethical leaders. 20 aE 2) “Orzanizational Behaviour isthe study of what people think, feed and do in and around organisation”, Explain it and discuss the Scope of organisational behaviour in present scenario. 2). Write short note on: 8) OB is artor science? 'b) “OB can be used for skill development” ©) Social cognitive framework. State the fundamentals concepts of organisational behaviour. Write a note on the evolution of organisation behaviour? Also explain the levels of organisational behaviour. ‘What are the different models of organisation behaviour? Discuss them and differentiate each model with other. What are the different disciplines that contribute in the development of OB? 7) Explain the theoretical framework of OB. §), In today’s dynamically changing work environment, understanding human behaviour has become ‘very important. What are the + iSsues that managers can have in applying OB concepts? 3) 4) 3) 6)