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Organisational Behaviour

Theories, concepts, and frameworks of organisational behaviour and why


they are important to organisational life.

A group of two or more individuals working together to accomplish a single goal is called an
organisation. Organizations are governed systems of deliberate social interaction that include

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mechanisms for communication, dynamics of power, and the application of incentives. Businesses,
hospitals, institutions, retail establishments, and jails are just a few examples of organisations. Being
that "organisational behaviour" actually refers to how people behave within organisations, the word
is a little confusing. Understanding people's behaviours, attitudes, and output inside organisations is
the goal of organisational behaviour (S. Shajahan, 2004). The contributions of numerous behavioural
disciplines have helped the field of applied behavioural science known as organisational behaviour.
More individuals than ever before are aware of how critical applied behavioural science-based
human resource management is to the success of our companies. We need specialised tools and the
know-how to employ them in order to overcome these challenges. This is the main topic of the
essay. It outlines key behavioural science theories and concepts and offers straightforward tools that
have been employed successfully in the field. In this essay, we'll look at how management practises
are changing, talk about the most recent theories, concepts, and data about organisational
behaviour, show how organisational culture and structure affect behaviour, show how managing
teams and groups, workforce diversity, and knowledge of globalisation are demonstrated, and look
at the idea of learning organisations.

An organisational paradigm that prioritised rationalism, efficiency, and productivity through


standardised procedures and scientific principles emerged in the early 1900s. Frederick Winson
Taylor is credited with developing the field of scientific management theory. Taylor (1911) identified
efficiency as the primary social issue facing his generation. His scientific management is focused on
exploring the fundamental motion concepts involved in performing physical work with the goal of
identifying the one most efficient method for quickly completing any project. Taylor predicted that
conventional rule-of-thumb management practises will eventually be replaced by scientific
management techniques. He believed that applying scientific management ideas would improve and
harmonise interactions between employers and employees (Frank B. Copley, 1993). The following
guidelines should be followed: establish a management science; hire and train personnel;
collaborate with labour and science; and allocate work and responsibility equally among
management and employees (Taylor 1911).

Taylor focused on methods of administration, but another school of thought that was centred on
"principles of administration" was emerging. The publications that served as the foundation for this
school of thinking were produced by Henri Fayol, a French mining engineer. (Fayol, 1949) Fayol
discusses a variety of administrative principles in his contribution, including the delegation of
authority, discipline, maintaining unity of command and direction, putting the common good ahead
of individual interests, compensation, centralization, scalar chain of command, order, equity,
stability of tenure, initiative, and morale (Gulick, Luther. and Urwick, L. eds. 1937; Norman
Cuthbert,1970). Fayol's ideas mirrored Taylor's commitment to maximising effectiveness. In order to
help individual managers better comprehend the circumstances of their organisations, he intended
his concepts to be applied as general principles.

Regarding the "principles of administration" strategy, Max Weber must also be mentioned. In that
he adopts the same stance on the correct dynamic between politicians and administrators as the
majority of classical authors, Weber is comparable to the classical approach. The conventional

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division between politics and administration, which requires the bureaucrat to serve his political
masters impartially, effectively captures his point of view. He starts at the area of his attention.
Compared to Taylor and Fayol, Weber focuses more emphasis on organisational structure. The three
different types of authority are first described by Weber. There is the traditional society, where the
rulers, as the name says, have personal power based on tradition. It is founded on awe for the
eternal and the sense that going along with the flow is proper and right. A tribal chief's authority
would serve as one illustration. The second type of authority is charismatic, when the leader's appeal
is based on inborn traits. Because of their faith in the leader's revelations, bravery, or magical
abilities, followers cleave to such power (Weber, 1947). The adherents acknowledge the legal
competency of individuals who hold positions of authority under legal authority, the last type of
authority. Powerful people carry out their responsibilities in line with a set of laws and customs.
Weber's idealised conception of bureaucracy was built on this authority.

Along with William Dickson and Frank Roethlisberger, Elton Mayo was a leading proponent of the
human relations movement, later known as organisational behaviour. They stated that in
organisational situations, relationships between group members are essential (Robbins and Coulter,
2012). The course of management research was altered by the findings of their "Hawthorne
experiment" study. The "Hawthorne Effect" refers to the phenomenon wherein people perform
better when they are watched (Cherry, 2018). The Hawthorne Company, a Western Electric plant
where the experiment was conducted, is where the phenomena gets its name (Ibid). The goal of the
experiment was to investigate the connection between the workplace atmosphere and productivity
(such as light, break duration and length of day work). It is clear that whenever something changes,
employee productivity tends to increase during the trial but decline once it is over. The experiment
was crucial in demonstrating the fundamental principle that receiving more attention from the boss
or supervisor results in better performance (Robbins and Coulter, 2012). People do not leave their
attitude, emotions, and feelings behind at work since they do not only work for financial gain,
according to the results of follow-up interviews with the workers. They were driven to work in
exchange for fair treatment, a pleasant working environment, and the freedom to complete duties
as they saw fit in addition to financial compensation (Robbins and Coulter, 2012). There are large
informal groups and non-economic factors have a considerable impact on employee behaviour at
work, according to the experiment's two primary findings (Sridhar, 2017).

There are two different types of employees in an organisation: the X type and the Y type, according
to Douglas McGregor's 1960 essay "Human Side of Companies" (Robinson, 2010). According to
Theory X, managers have a poor opinion of employees and believe they are dishonest, lethargic, and
lack the initiative to assume responsibility (McGregor, 1960; Robinson, 2010). These managers
consequently usually adopt more rigid and authoritarian management methods. Because it is
assumed that staff members' motivation is either low or nonexistent, clear instructions are
necessary to fulfil jobs. On the other hand, managers who adhere to Theory Y believe that workers
are dependable and capable of taking on leadership responsibilities. The employees are extremely
driven by themselves as well (Robinson, 2010). The participative and democratic management
practises of Y type managers inspire workers by participating them actively in routine tasks (Ibid).
Theory Y managers are also present in the modern day. For instance, the company WL Gore and

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Associates strongly suggests that managers act as coaches to foster employee initiative and
creativity. Festejo (2012) asserts that when given the chance to use their creativity, employees often
perform better. According to Smith (2010), Theory X managers and supervisors are more successful
with lower-level or operational employees because, when given detailed instructions, they may
increase productivity and produce exact units. According to Grandey (2004), while Theory X
managers put task completion first, Theory Y managers put meeting employees' motivating needs
first. However, both points of view agree that increasing production—rather than gauging an
employee's wellbeing—is the main goal. Theory Y is also criticised for using an intentional strategy to
put additional demands on employees in order to boost productivity (Grandey, 2004). Employee
care is decided by their output at work and the organization's financial success. According to Barnett,
the concept is still realistically applicable in the twenty-first century because self-managed workers
are given higher value (2017). As a result, these personnel participate in projects that reward
initiative and innovation, which are characteristics of Theory Y.

What Funder (1997) refers to as a person's personality is their unique pattern of thinking, feeling,
and acting, as well as the psychological mechanisms—whether or not they are obvious—behind
those patterns (pp. 1–2). One of the origins of individual personality differences can be characteristic
sampling of the information in the environment, comparable to the sampling that occurs in many
cultures. Another way to look at personality is as a collection of thoughts, feelings, and behaviours
that manifest when certain circumstances favour their development. A person's individual aptitude
for adjusting to the outside world is frequently determined by them.

Individualism is the antithesis of collectivism in a cultural understanding of society. Vertical


individualist societies value competition highly, and becoming "the best" is a prerequisite for
advancement. In horizontal individualist societies, individuality, independence from others, and self-
reliance are prized more highly than hierarchical distinction (Triandis & Gelfand 1998). These are but
a handful of the aspects of cultural diversity. There have been many more proposed (for example,
Hofstede et al. 1998), but there is not enough room to display them all here. Success boosts
motivation in individualist societies. After failing, it works in collectivist cultures because the
individual concentrates on how to modify himself and better align their requirements with those of
the social context (Heine et al. 2000). Munro just published a book on the connections between
culture and other driving kinds (1997). (such as job, religion, society, and sexuality).

The internal factors that drive someone to meet their basic needs or desires are one definition of
"motivation" (Yorks 1976, 21). Employees will react to rewards in different ways depending on the
intensity of their wants. Dessler asserts that the majority of psychologists hold that tension that
results from unmet demands at the core is ultimately the root of all motivation (Dessler 1986, 332).
Most definitions of motivation frequently incorporate these three qualities: It assumes an internal
drive, supplies energy for action, and affects how that action is carried out (Russell 1971, 5).
Abraham Maslow felt that people had an innately decent nature, a drive that is always growing and
has great potential. Maslow created the requirements hierarchy concept in 1954, and it is a popular
way for categorising human motives. There are five different sorts of involved causes, and each type
is arranged so that the lower-level demands must be met before the higher-level wants may be

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satisfied (Wallace, Goldstein and Nathan 1987, 277). Herzberg's motivation hygiene theory, often
known as the two-factor hypothesis, focuses on the motivating factors that are essential for
completing tasks (Hall and Williams 1986, 6). Herzberg came to the conclusion that the two
independent causes of job happiness and dissatisfaction were motivating reasons (satisfiers) and
hygienic considerations (dissatisfiers). The idea of motivation as presented by McClelland is directly
related to ideas in education. According to the theory, when a person has a real need, that need will
drive them to act in a way that satisfies that need. In McClelland's opinion, a person discovers what
they need through changing to their surroundings. Rewarding behaviour improves the likelihood
that it will occur again since needs are learned (Gibson, Ivancevich and Donnelly, 1979, 111-112).
Even though employees are treated fairly, the company may lack motivation if they are unmotivated
and unwilling to put up extra effort for the company (Herzberg 1976, 94). A good manager must be
aware of what drives employees and how to meet those demands (Ferguson 1987, 149).

The definition of organisational culture by O'Donnel & Boyle is "an informal, common perspective on
an organisation and membership in the organisation that ties employees and influences how they
view themselves and their employment" (2008). According to Gathai, Ngugi, Waithaka, and Kamingi,
organisational culture is related to "leadership styles and the dominant values and beliefs, both
conscious and unconscious, dress codes, job titles, among others in an organisation" (2012).
According to Schein (2009), organisational culture is the way that everyone acts within a company as
a whole (as cited in Onyango, 2014, p. 205). Organizational culture, according to Maseko, is a
company's approach toward its internal stakeholders and consists of the core principles that guide
employees' behaviour and are produced and transmitted within an organisation (2017). (p. 3). This is
the most exciting aspect of culture, according to Schein (2004), because it "directs us to occurrences
that below the surface are immense in their significance but undetected and to a great extent,
unconscious to people." (p. 8). The culture of an organisation might be robust or weak (Deal &
Kennedy, 1982). How well its individuals fit inside a certain culture determines whether or not an
organisation adopts it. p. Maseko (2017) (2017) A corporation is said to have a strong culture when
every employee accepts and adheres to the specified pattern of behaviour that has been shown to
be advantageous to the entire organisation in terms of both content and context. According to
Ashipaoloye (2014), a negative organisational culture is characterised by values and beliefs that are
not firmly and widely held within the organisation. According to research, the importance of
individualism, masculinity, power distance, uncertainty avoidance, and long-term orientation varies
by country (Hofstede, 1980, p. 13). He identified these characteristics as national cultural values.
"National culture was largely formed on distinctions in values learned throughout early life," he said.
Over the course of their lives, these unchanging, timeless principles were not likely to change (Abu-
Jarad, Yusof, and Nikbin, 2010, p.36). Some researchers claim that certain cultural characteristics are
related to economic performance (Denison, 1990). One of the most crucial elements affecting a
company's performance is its culture (Ahmed, & Shafiq, 2014, p. 22). Any organization's longevity
and success are linked to the idea of organisational performance, Ahmed & Shafiq (2014) said on
page 22 of their book.

An organisational structure is a framework that details how responsibilities are formally organised
and managed within a team that is purposefully organised to accomplish a common goal (Robbins,

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2014; McNamera, 2018). To understand the impact that performance in each department has on the
performance of the organisation as a whole, it is imperative to analyse the performance of each
department or division within the organisation. The organisational purpose is to have a structure
where all departments contribute to the main goals of the business. There are two main
organisational structures, in Shields' opinion (2016). These are made up of a mechanistic structure
and an organic structure. The mechanistic structure is thought to be more formalised than the
organic structure, which is thought to be less formalised, due to its high level of specialisation and
administrative intensity. Therefore, it is clear that depending on the environment the organisation is
in at the time, issues could occur for all organisational structures. Since most organisational
structures have established procedures, altering them requires a drawn-out process that cannot be
altered to fit all organisational changes, especially transitory or short-term ones. An organisation
must make sure that its organisational structure is flexible and/or adaptable to the majority of
foreseeable conditions if it wants to guarantee that it is constantly effective. The organisational
structure of a company affects its culture. The culture of the organisation is one of the major
variables influencing performance. Every organisational structure and culture must be in line with
the vision and mission of the entire organisation. According to a study by Glavas and Godwin, if
there is a misalignment, an organization's performance may suffer (2013). Organizations align
themselves for a variety of reasons. Organizational alignment, in the opinion of Schweitzer and
Iyengar (2013), can improve an organization's ability to work together cohesively, coordinate
everyone's efforts so that the organisation as a whole can work toward the same goals, and give
employees a clear understanding of what matters most within the organisation. Performance
underpins an organization's success. According to Schweitzer and Iyengar's claim that organisational
culture directly affects an organization's performance, it is crucial to understand an organization's
organisational culture before making changes to its organisational structure (2013).

Teams and groups are the basis of all organisations. A group is defined as three or more people
cooperating on a single task or objective. Teams are made up of people who depend on one another,
frequently collaborate, and often have a past and future, whereas groups may work largely
independently toward a single goal and only occasionally interact. Research on organisational
communication has always been correlated with research on teams and groups (Gouran, 1999).
Teams and groups offer a natural setting for studying communication, including the processes
involved, contexts, and additional factors that affect how people communicate as well as the results
of their communication. In this article, we discuss, categorise, and link several fundamental
discoveries about the function of communication in organisational groups and teams using a broad
framework known as the input-process-output model (McGrath, 1964). The framework, which takes
into account various communication roles in organisations, is based on early group communication
research. Early models of group behaviour subscribed to the notion that team processes and input
variables influence group processes (Gouran, 1999). Recent years have seen the introduction of
several extensions to the input-process-output model, both in the context of organisations as a
whole and in more specialised contexts like sports teams and team communication in the healthcare
industry (Reimer, Park, & Hinsz, 2006). Cross-functional, self-managing, embedded, and virtual
teams are just a few of the functional team types that operate within organisations that have been

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the subject of recent team research. This study also looked at how the specific roles and
characteristics of these teams affect important processes and outcome variables.

The phrase "workforce diversity" refers to a broad spectrum of distinctions, such as those based on
colour, nationality, gender, function, ability, language, religion, lifestyle, or length of employment
(Kossek & Lobel, 1996). "Workforce diversity" in the workplace also includes differences in
intelligence and culture. In addition to demographic diversity, there are other requirements for a
firm's performance and high effectiveness. In a broader sense, "workforce diversity" refers to an
organization's conscious efforts to hire and keep workers with a variety of educational backgrounds
and skill sets. A more equitable distribution of economic opportunities as well as improved
judgement, increased inventiveness, and success on both domestic and international markets may
all be facilitated by a diverse workforce (Cox, 1991; Cox and Blake, 1991). In terms of interaction and
output, diverse groups outperform homogeneous ones in terms of culture. However, this advantage
won't become apparent until a diverse team has worked together for some time. Employee
retention is more positively impacted by a diverse workforce. If hiring is done on the basis of merit,
having a diverse staff helps to recruit and keep the best talent. According to a study by Strategic
Human Resource Management (SHRM), organisations can preserve a competitive advantage by
implementing diversity efforts. This is true because organisations believe that diversity will enhance
their corporate cultures, hiring practises, and client relationships. If companies can successfully sell
and distribute their products across a range of cultural contexts, they will have an advantage over
competitors. Being knowledgeable about the country's political, social, legal, economic, and cultural
surroundings will help a multinational corporation grow its market share (White, 1999). Diversity
issues will become more important as economies transition from manufacturing to service
economies because successful business operations in a service economy depend on successful
human interactions and communication (Wentling and Palma-Rivas, 2000). This is especially
supported by the idea that diversity will help organisations enter the global market as globalisation
picks up speed (Cascio, 1998). According to Jackson et al., diversity encourages innovation and
creativity and creates competitive advantages (1992). 1992 (Jackson et al.). Diverse teams can
improve adaptability, quick thinking, and change adaptation (Jackson et al., 1992).

Learning organisations are those that are skilled in creating, acquiring, and sharing knowledge as
well as changing their behaviour to take into account new information and insights (Garvin DA,
1993). In the area of management sciences, the concept of learning organisations is relatively new. A
perfect organisation that encourages and supports the learning of each of its members is referred to
as a "learning organisation" (Hussein N, 2014). Learning organisations are those where work and
learning are routinely and methodically combined to support ongoing improvements in individuals,
teams, and organisations. According to the definition provided above, individuals who work in
learning organisations see learning as a continuous process and derive value from almost everything
they do. According to Griego, a learning organisation pursues excellence and transformation through
sporadic and continuing organisational renewal and incremental subject-matter mastery (2000). A
specific kind of reflective thinking is displayed by learning organisations, along with insights about
people, organisations, and management. Iles and Sutherland contend that organisational structure,
organisational culture, information systems, practises in human resource management, and

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leadership can be used to discriminate between learning organisations and non-learning
organisations. Organizational structure: Management hierarchies improve opportunities for
employee, career, and service user involvement in learning organisations. Organizational culture:
Learning organisations have vibrant cultures that value their staff members' creativity, openness,
and risk-taking. They enable people to experiment, take risks, and make errors, and they promote
innovation, information gathering, processing, and sharing. Information systems: Learning
organisations need information systems that not only go beyond those used in traditional
organisations, where information is typically used for control purposes, but also enhance and
support practise. Utilizing human resources: It is common knowledge that people both create and
consume organisational learning. As a result, delivering and promoting individual learning is highly
valued in human resource management. To assess performance over time and promote learning and
information exchange, systems of evaluation and remuneration are developed. Leadership: Learning
organisations, like all other types of ideal organisations, heavily rely on capable leadership. By
offering the assistance and interpersonal support necessary to transition to and maintain an
organisational growth path, leaders project a realistic image of the learning organisation.

Another creative way to identify a learning business is through the promotion of work-related
learning, information-sharing among staff to encourage innovation, and ongoing organisational
changes by managers and staff. Along with learning for immediate application, a learning
organisation also promotes learning for the future. In this instance, the person gains new knowledge
and uses it to complete his task. In a learning organisation, mistakes are not viewed as failures but
rather as chances to develop and improve organisational outcomes. Learning organisations draw and
keep the best talent, giving them a significant competitive advantage over their competitors
(Wilhelm W, 2017). 2017 (Wilhelm W) (Wilhelm W). Some study shows how these advantages are
sustained and links abilities as a source of competitive advantage (Amit R, 1993). (Amit R, 1993). The
article goes on to say that organisational learning has unquestionably evolved into a source of
competitive advantage because capacities can only be learned. In a learning organisation, the
leaders promote continuous learning, make it known, and show how valuable it is until every
employee is convinced that it is both a means to an end and an end in and of itself. Because learning
organisations are better competitors, have stronger brand equity, and can draw and keep the best
talent, being a learning organisation gives you an advantage over competitors.

Business management requires an understanding of organisational behaviour. This area of research


identifies the influence that people, teams, and organisational structures have on behaviour within a
company and uses what it discovers to improve commercial success. Different applications of
learning theories to organisational behaviour may be advantageous. In order to create a sustainable
competitive advantage, management's role in organisational learning has been to promote
continuous and collective learning and then translate it into desirable behaviours and processes.
Because of this, managers need to understand the crucial role that motivation plays in influencing
both individual and group behaviour in organisational settings and be familiar with the cognitive and
content motivational factors that support employee commitment and satisfaction. Organizational
behaviour focuses on ways to increase organisational citizenship behaviour and job satisfaction
while reducing absenteeism, turnover, and disruptive workplace behaviour. Organizations must

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constantly learn to meet the challenges posed by the rapid technological advancements of the
future. It must continually unlearn some old and false presumptions while doing this.

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