Unit 1 –

Introduction-

Organizational behavior is the study of human behavior in an organizational setting. This includes
how individuals interact with each other in addition to how individuals interact with the organization
itself. Organizational behavior is a critical part of human resources, though it is embedded across a
company.

Definition –

Definition of organization behavior - According to Keith Davis “organizational behavior is the study
and application of knowledge about how people act within organizations. It is human tool for the
human benefit. It applies broadly to behavior of people in all type of organization such as business,
government, schools, etc.

Scope –

The scope of organizational behavior includes a vast and diverse range of topics, extending its reach
to various levels within an organization. It investigates the details of individual behavior, group
dynamics, organizational structure, and the broader external environment.

The scope of OB is as under: Elements of the Organizational Behavior. People, structure, technology,
and the external environment are the key elements of the organizational behavior. First three
elements are micro-level and last one is macro level. These elements can be undertaken as a part of
the OB scope.

Historical Development –

Though the origin to the study of Organizational Behavior can trace its roots back to Max Weber and
earlier organizational studies, it is generally considered to have begun as an academic discipline with
the advent of scientific management in the 1890's, with Taylorism representing the peak of the
movement.

OD emerged from human relations studies in the 1930s, during which psychologists realized that
organizational structures and processes influence worker behavior and motivation. Organization
Development allows businesses to construct and maintain a brand-new preferred state for the whole
agency.

OD emerged out of human relations studies from the 1930s where psychologists realized that
organizational structures and processes influence worker behavior and motivation. Lewin's work in
the 1940s and 1950s also helped show that feedback was a valuable tool in addressing social
processes.

The best-known theories today originate from Henri Fayol, Chester Barnard, and Mary Parker Follet.
All three of them drew from their experience to develop a model of effective organizational
management, and each of their theories independently shared a focus on human behavior and
motivation.

Importance of studying OB –

Importantly, learning about organizational behavior will help you to understand your own behaviors,
attitudes, ethical views, and performance, as well as those of the people with whom you'll be
working. This type of knowledge will assist you in working effectively with managers, colleagues, and
subordinates.

Organizational behavior is essentially an interdisciplinary approach to study human behavior at work.

It tries to integrate the relevant knowledge drawn from related disciplines like psychology, sociology,
and anthropology to make them applicable for studying and analyzing organizational behavior.

Individual Behavior in Organization –

In an organizational setting, there seems great influence of individual behavior on organizational

performance. It is important to understand how a person behaves, reacts, and expresses which let to
come up with a solution and what types of duties handling capabilities he/she holds

Individual behavior means how an employee or individual behaves, responds, or replies in a certain
environment. The factors which influence the human behavior are person, environment, and the
organization itself. So, individual behavior is a function of person, environment & the organization.

Individual behavior can range from mundane tasks such as brushing our teeth to more complex tasks
such as decision-making. Several factors can influence individual behavior as well including genetics,
environment, past experiences, trauma, personality, or mental health.

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