II BBA 4TH SEM

ORGANISATION CULTURE AND BEHAVIOUR

UBA 20402T
 UNIT - 1
Introduction To Organizational Behaviour-Concept and Meaning
Org psychology & HRM
Characteristics, Nature
Various Disciplines contributing to OB
Role
Foundation Of individual Behaviour
Organisation Theory & Approaches
Process
Model
Challenges and opportunities
Individual Behaviour characteristics, factors, environment, models,
performance
Framework of Organizational Behaviour
Organizational Structure and Design-Types, Factors affecting, Org
chart
OB
ORGANISATION CULTURE
HOTEL TAJ ATTACK 26/2011
 HOTEL TAJ
As the congenial buzz of conversation was shattered by the bullets, the staff at the hotel
redefined customer centricity.
They didn't abandon their posts and flee to safety.
They didn't leave their guests at the mercy of armed men intent on murder.
They didn't They put the security of the guests above their own, and assisted in the
safety and evacuation process of about 1500 to 2000 guests who were in the hotel that
day.
At the end of 2 days, when the threat of terror had been completely extinguished, 31
people had died and 28 had been injured.
Out of the casualties, about one-third were hotel employees who had laid down their
lives while ushering guests to safety.
There was world-wide appreciation of the courage displayed by Taj employees that day.
The restaurant and banquet staff had escorted people to safe places like the basement,
while the kitchen staff had formed human shields around the guests as they attempted
to escape.
Telephone operators remained at their stations, asking guests to remain in their rooms
and not step out.
There were many heroes who sacrificed their lives that day.
 HOTEL TAJ

The question that arose was natural - why would the

employees of Taj behave in such a manner?

What prompted them to put the lives of guests above

their own?

What made them stay put even as the air was rent with
sound of bullets and anguish?
 HOTEL TAJ
According to Deshpande and Raina, the answer lies in the unusual recruitment,
training and incentive system at the Taj.
Taj hires from smaller cities, not metros, and looks for people who display the
values that the group prizes.
Even the management trainees are not hired out of top tier schools - they prefer
to hire people who are looking for a long term career with the company, and
hence pass over the top tier schools where graduates are more likely to switch
jobs.
The training period is long and intensive.
The staff is trained to act as the customers' ambassadors, which makes them
feel empowered to make decisions.
The same empowered behaviour was displayed that November night - they took
decisions on their own, which allowed them to save lives of hundreds of guests.
The incentive system at the Taj - STARS is a unique system that links customer
delight to employee reward.
STARS has won the Hermes award in 2002 for the best human resource
innovation in the global hospitality industry.
 HOTEL TAJ
This unique organisation culture has put Taj way
ahead of it's competitors.
The learnings that we can derive out of this are
immense.
The Taj case is an example of how organisations are
built.
All the processes in the Taj are geared towards one
thing - delighting the customers.
Is it any wonder that customer centricity is at the core
of how the organisation works?
EMPLOYEE MOTIVATION
 Netflix
At Netflix, employee motivation is about "talent density and appealing challenges." 
Great colleagues and tough challenges to tackle are the strongest draws to working--and stay
working--at a company according to McCord. 
This especially holds true for the emerging generations, as 65 percent of Generation Z say the
people whom they work with would enable their best work.
In addition, 75 percent of Generation Z (and 70 percent of Millennials) want their work to have
meaning which can be achieved through solving perplexing problems.
Because the Netflix culture that McCord built lends itself to managing younger people much more
than the old top-to-bottom style, this approach to employee motivation really strikes a cord with
Millennials and Generation Z employees.
"Companies don't exist to make happy employees. It's absolutely great for employees to be happy,
but it's best for both them and their companies if the reason they're happy is that they're doing
great work with great people," says McCord. 
"People's happiness in their work is not about gourmet salads or sleeping pods or foosball tables.
True and abiding happiness in work comes from being deeply engaged in solving a problem with
talented people you know are also deeply engaged in solving it, and from knowing that the
customer loves the product or service you all have worked so hard to make," writes McCord. 
Be clear about the challenges the company is solving in order to attract top next-generation talent
and to ensure they are excited to come to work each day not despite the challenges but because of
them. 
 Amazon
Amazon has understood that money itself is not a huge
motivator especially once you have already earned it
however, ‘hope for money’ is a huge motivator and
it keeps people going.
Amazon has understood that money itself is not a huge
motivator especially once you have already earned it
At Amazon, employees get visibility of their future pay
today and that becomes a motivating factor.
Employees feel motivated to run towards that future
and work hard for it.
EMPLOYEE LEARNING
 Google
Google, who dominate almost every sector they operate in. 
In their arsenal, they’ve got Gmail, Youtube, Google Maps
and various products which all lead their respective fields .
Their influence extends way beyond their search engine,
which is the most visited website on the planet.
Google has a unique culture.
Photos from inside their headquarters look more like a
playground than a place of work. 
But, it’s not just office design that they do differently. The
way they approach learning and development is unique,
too.
 Google
The basis of training and development at Google focuses on
employee-to-employee interaction. Up to 80% of all learning
activity is delivered this way.
They call it g2g (Googler-to-Googler), and it’s helped create a
culture that places a high value on learning. 
Firstly, they acknowledge their employees’ right to learn and
allow them to do so whilst on the job, as well as encouraging
them to give back to their colleagues in equal measure.
It’s no secret that Google employs some of the most sought-
after professionals in the world.
That means they have the most knowledgeable specialists in the
industry, and they encourage them to share their knowledge.
They say “your own employees are perhaps the most qualified
instructors available to you.”
 Introduction to OB
Organisational Behaviour tries to understand human
behaviour in the organization.
OB is a part of total management but plays a very
important role in every area of management and has
been accepted by all the people concerned.
The mangers now understand that to make their
organization more effective, they have to understand
and predict the human behaviour in the organization.
 Definitions of OB
Stephen P Robbins
“Organisational behaviour is a field of study that
investigates the impact that individuals, groups and
structure have on behaviours within the organizations
for the purpose of applying such knowledge towards
improving an organizations effectiveness”.
Fred Luthans
“Organisational behaviour is directly concerned with the
understanding production and control of human
behaviour in organization”.
 Evolution of OB
The great Greek philosopher PLATO had wrote about the “importance of Leadership”.
Great philosopher Aristotle had addressed the topic “Persuasive Communication”.
In 500 B.C Chinese philosopher Confucius had started “Emphasizing ethics and
leadership”.
In 1776, Adam smith, economist in his book “Wealth of Nations” he propounded new
form of organizational structure based on “Division of labour and Work
specialization”.
German Sociologist, Max Weber developed “a theory of authority structures and
described organizational activity based on authority structures”.
Soon after Max Weber, F W Taylor introduced a “systematic use of goal setting and
rewards to motivate employees” and also defining clear guidelines for improving
production efficiency by his one of the paper called “The Principles of Scientific
Management”.
Henry Fayol, Real father of modern Management defined the universal functions that
all managers perform and the principles (14 principles of Management) that constitute
good management practices.
In the late 1950’s people like Abraham Maslow, Douglas McGregor, David McCellenad,
Fred Fiedler, Herzberg, Freud Sigmund and other behavioural scientists propounded
many theories on employee behaviour.
 Evolution of OB
Robert Owen is an important name in the history of
OB because he was one of the first industrialists who
argued for :-
• Regulated hours of work for all workers
• Child labour laws
• Public education
• Company supplied meals at work
• Business involvement in community projects.
Nature of OB
A field of study and not a discipline
Interdisciplinary Approach
An Applied Science
Normative and Value Centered
Humanistic & Optimistic
Oriented Towards Organizational Objectives
A total Systems Approach
Need & Importance of OB
OB provides a road map to our lives in organizations.
OB uses scientific research to understand and make
organization life, as it helps to predict what people will do
under various conditions
It helps to influence organizational events – to understand and
predict events
It helps individual understand herself/ himself in better
fashion.
It helps manager to manage human resources effectively. Eg.
Motivation
It helps organizations for maintaining cordial industrial
relations.
It is also useful in the field marketing.
OB WITH OTHER DISCIPLINE
 1. Psychology
Psychology is the science that seeks to measure, explain and sometimes change the
behavior of human beings.
Psychology studies behavior of different people in various conditions such as
normal, abnormal, social, industrial legal, childhood, adolescence, old age, etc.
It also studies processes of human behavior, such as learning, motivation,
perception, individual and group decision-making, pattern of influences change in
organization, group process, satisfaction, communication, selection and training. 
The major contribution of psychology in the field of OB (Organizational Behavior)
have been concerned are following:
 Learning
 Personality
 Perception
 Individual decision-making
 Performance appraised
 Attitude measurement
 Employee selected
 Work design
 Motivation
 Emotions
 Work strain
 Job satisfaction
2. Sociology
Sociology is the study of group behavior.
In other words, it studies the behavior of the people in relation to
their fellow human beings.
The main contributions of sociology to the field of OB are as follows:
 Group dynamics
 Communication
 Power
 Conflict
 Inter group behavior
 Formal organizational theory
 Organizational technology
 Organizational change
 Organizational culture
3. Social Psychology
Social psychology is that part of psychology that integrates
concepts from psychology and sociology.
 In other words, social psychology studies all aspects of social
behavior and social thought – how people think about and
interact with others.
The major contributions of social psychology to OB are as
follows:
 Behavior change
 Attitude change
 Communication
 Group process
 Group decision-making
 4. Anthropology
anthropology can be defined as the science of man.
It is also known as ‘science of humanity’ which encompasses a broad
range of studies including the evolutionary history of human beings
and features of different societies, cultures and human groups.
In other words, the field of anthropology studies the relationship
between individuals and their environment.
The major contributions of Anthropology in the field of OB are as
follows:
 Comparative values
 Comparative attitudes
 Cross-culture analysis
 Organization environment
 Organization culture
5. Political Science
Political science is the branch of social science which
deals with politics in its theory and practice, and the
analysis of various political system and political
behaviors.
Political scientists study the behavior of individuals
and groups within a political environment.
The main contribution of political science in the field
of OB have been concerned with:
 Conflict
 Intra-organizational policies
 Power
Human Resources Approach
This approach recognizes the fact that people are the central resource in any
organization and that they should be developed towards higher levels of
competency, creativity, and fulfillment.
Contingency Approach
The contingency approach (sometimes called the situational approach) is based
on the premise that methods or behaviors which work effectively in One situation
fail in another.
Productivity Approach
Productivity which is the ratio of output to input is a measure of an organization’s
effectiveness. It also reveals the manager’s efficiency in optimizing resource
utilization.
Systems Approach
The Systems Approach to OB views the organization as a united, purposeful
system composed of interrelated parts.
Organisation process
Individual Environment
 Organizational Structure
& design
Organizational Structure
The formal arrangement of jobs within an organization.
A process involving decisions about six key elements
Work specialization
Departmentalization
Chain of command
Span of control
Centralization and decentralization
Formalization
Tesla Inc.’s Organizational Structure
Tesla, Inc. (formerly Tesla Motors, Inc.) has an
organizational structure that supports continuous
business growth. 
Tesla has a functional or U-form organizational
structure.
The unitary-form (U-form) structure uses
organizational function as the main defining factor.
For example, the company has a structural group of
employees for engineering, and another for sales and
service.
Tesla Inc.’s Organizational Structure
The following characteristics are significant in Tesla’s
organizational structure:
Function-based hierarchy -most important(Chairman
& Chief Executive Officer,Finance,Technology,Global
Sales and Service,Engineering,Legal)
Centralization
Divisions(The company’s main divisions in its
corporate structure are (1) Automotive and (2) Energy
Generation and Storage.)
WIPRO