Ch.1 What is Organizational Behavior?

productivity

requires effectiveness & efficiency A hospital is effective when it successfully meets the needs of its clientele. It is efficient when it can do so at a low cost.

managers

An individual who achieves goals through other people. According to a large-scale survey, more than 58 percent of managers reported they had not received any training and 25 percent admitted they were not ready to lead others when they were given the role

intuition

"gut feelings" about what makes others (and ourselves) "tick." "The trick, of course, is to know when to go with your gut." But if we make all decisions with intuition or gut instinct, we're likely working with incomplete information—like making an investment decision with only half the data about the potential for risk and reward. Surveys of human resource managers have also shown that many managers hold "commonsense" opinions regarding effective management that have been flatly refuted by empirical evidence

importance of interpersonal skills

1) generate superior financial performance 2) developing managers' interpersonal skills helps organizations attract and keep high-performing employees, which is important since outstanding employees are always in short supply and are costly to replace 3) strong associations between the quality of workplace relationships and employee job satisfaction, stress, and turnover 4) universities have begun to incorporate social entrepreneurship education into their curriculum in order to train future leaders to address social issues within their organizations

employee well-being at work

1) workers never get away from the virtual workplace. 2) many feel like they're not part of a team. "The sense of belonging is very challenging for virtual workers, who seem to be all alone out in cyberland," said Ellen Raineri of Kaplan University. 3) organizations are asking employees to put in longer hours. According to one study, one in four employees shows signs of burnout, and two in three report high stress levels and fatigue. 4) Millions of single-parent employees and employees with dependent parents face significant challenges in balancing work and family responsibilities, 5) employees want jobs that give them flexibility in their work schedules so they can better manage work-life conflicts 6) Organizations that don't help their people achieve work-life balance will find it increasingly difficult to attract and retain the most capable and motivated individuals.

organization

A consciously coordinated social unit, composed of two or more people, that functions on a relatively continuous basis to achieve a common goal or set of goals manufacturing and service firms are organizations, and so are schools, hospitals, churches, military units, nonprofits, police departments, and local, state, and federal government agencies

planning

A process that includes defining goals, establishing strategy, and developing plans to coordinate activities

positive organizational scholarship/ positive organizational behavior

An area of OB research that concerns how organizations develop human strengths, foster vitality and resilience, and unlock potential. Some key subjects in positive OB research are engagement, hope, optimism, and resilience in the face of strain. Researchers in this area say too much of OB research and management practice has been targeted toward identifying what's wrong with organizations and their employees. In response, they try to study what's good about them.

ethical behavior

Companies that promote a strong ethical mission, encourage employees to behave with integrity, and provide strong leadership can influence employee decisions to behave ethically.58 Classroom training sessions in ethics have also proven helpful in maintaining a higher level of awareness of the implications of employee choices as long as the training sessions are given on an ongoing basis Today's manager must create an ethically healthy climate for employees in which they can do their work productively with minimal ambiguity about right and wrong behaviors

psychology & OB

Contributors to the knowledge of OB are learning theorists, personality theorists, counseling psychologists and, most important, industrial and organizational psychologists.

organizing

Determining what tasks are to be done, who is to do them, how the tasks are to be grouped, who reports to whom, and where decisions are to be made

controlling

If there are any significant deviations, it is management's job to get the organization back on track. This monitoring, comparing, and potential correcting is controlling

task performance

If we think about the job of a factory worker, task performance could be measured by the number and quality of products produced in an hour. The task performance of a teacher would be the level of education that students obtain. The task performance of consultants might be the timeliness and quality of the presentations they offer to the client.

overseeing movement of jobs to countries with low-cost labor

It is increasingly difficult for managers in advanced nations, where the minimum wage can be as high as $16.88 an hour, to compete against firms that rely on workers from developing nations where labor is available for as little as nine cents an hour.37 In a global economy, jobs tend to flow where lower costs give businesses a comparative advantage, though labor groups, politicians, and local community leaders see the exporting of jobs as undermining the job market at home

systematic study

Looking at relationships, attempting to attribute causes and effects, and drawing conclusions based on scientific evidence.

economic pressures

Managing employees well when times are tough is just as hard as when times are good, if not harder. In good times, understanding how to reward, satisfy, and retain employees is at a premium. In bad times, issues like stress, decision making, and coping come to the forefront.

social media

Nordstrom fired an Oregon employee who had posted a personal Facebook comment seeming to advocate violence against white police officers.47 These examples show that social media is a difficult issue for today's manager, presenting both a challenge and an opportunity for OB subjects who checked Facebook frequently over a two-week period reported a decreased level of satisfaction with their lives. One recent study found that subjects who woke up in a positive mood and then accessed Facebook frequently found their mood decreased during the day. *these studies show that social media can be a barrier to job satisfaction if accessed at work

few absolutes apply to OB

OB concepts must reflect situational, or contingency, conditions. We can say x leads to y, but only under conditions specified in z don't use blanket statements because people and situations are unique...no two are exactly the same

positive work environments

Organizational culture influences employee behavior so strongly that organizations have begun to employ a culture officer to shape and preserve the company's personality.

customer service

Service employees include technical support representatives, fast-food workers, sales clerks, nurses, automobile repair technicians, consultants, financial planners, and flight attendants. employee attitudes and behavior influence customer satisfaction Many an organization has failed because its employees failed to please customers. Management needs to create a customer-responsive culture. OB can provide considerable guidance in helping managers create such cultures—in which employees establish rapport with customers, put customers at ease, show genuine interest, and are sensitive to a customer's individual situation

contingency variables

Situational factors: variables that moderate the relationship between two or more variables. OB scholars would avoid stating that everyone likes complex and challenging work (a general concept). Why? Because not everyone wants a challenging job. Some people prefer routine over varied work, or simple over complex tasks. A job attractive to one person may not be to another; its appeal is contingent on the person who holds it.

networked organizations

Software programmers, graphic designers, systems analysts, technical writers, photo researchers, book and media editors, and medical transcribers are just a few examples of people who can work from home or other non-office locations. The manager's job is different in a networked organization. Motivating and leading people and making collaborative decisions online require different techniques than when individuals are physically present in a single location.

human skills

The ability to understand, communicate with, motivate, and support other people, both individually and in groups Many people may be technically proficient but poor listeners, unable to understand the needs of others, or weak at managing conflicts. Because managers get things done through other people, they must have good human skills.

workforce diversity

The concept that organizations are becoming more heterogeneous in terms of gender, age, race, ethnicity, sexual orientation, and inclusion of other diverse groups. How can we leverage differences within groups for competitive advantage? Should we treat all employees alike? Should we recognize individual and cultural differences? What are the legal requirements in each country? Does increasing diversity even matter?

Luthan's 4 managerial activities

The connection between communication and effective managers is also clear. communication made the largest relative contribution and networking the least. Managers who explain their decisions and seek information from colleagues and employees—even if the information turns out to be negative—are the most effective.

workforce demographics

The workforce has always adapted to variations in economies, longevity and birth rates, socioeconomic conditions, and other changes that have widespread impact global longevity rates have increased six years in a very short time (since 1990) The days when women stayed home because it was expected are just a memory in some cultures, while in others, women face significant barriers to entry into the workforce (see OB Poll). We are interested in how these women fare in the workplace, and how their conditions can be improved.

working with people from different cultures

What motivates you may not motivate them. Or your communication style may be straightforward and open, which others may find uncomfortable and threatening. To work effectively with people from different cultures, you need to understand how their culture and background have shaped them and how to adapt your management style to fit any differences.

leading

When managers motivate employees, direct their activities, select the most effective communication channels, or resolve conflicts

MBWA management by walking around

Years of research indicate that effective management practices are not built around MBWA. Many companies expecting managers and executives to do regular "floor time" have claimed benefits from increased employee engagement to deeper management understanding of company issues. A recent three-year study also suggested that a modified form of MBWA may significantly improve safety in organizations as employees become more mindful of following regulatory procedures when supervisors observe and monitor them frequently.

increased foreign assignments

You are increasingly likely to find yourself in a foreign assignment—transferred to your employer's operating division or subsidiary in another country. Once there, you'll have to manage a workforce very different in needs, aspirations, and attitudes from those you are used to back home. To be effective, you will need to understand everything you can about your new location's culture and workforce—and demonstrate your cultural sensitivity—before introducing alternate practices.

organizational behavior

a field of study that investigates the impact individuals, groups, and structure have on behavior within organizations, for the purpose of applying such knowledge toward improving an organization's effectiveness in other words: It studies three determinants of behavior in organizations: individuals, groups, and structure. In addition, OB applies the knowledge gained about individuals, groups, and the effect of structure on behavior in order to make organizations work more effectively. concerned specifically with employment-related situations, it examines behavior in the context of job satisfaction, absenteeism, employment turnover, productivity, human performance, and management.

processes

actions that individuals, groups, and organizations engage in as a result of inputs and that lead to certain outcomes include communication, leadership, power and politics, and conflict and negotiation. human resource management and change practices

"reflected best self"

asking employees to think about when they were at their "personal best" in order to understand how to exploit their strengths. The idea is that we all have things at which we are unusually good, yet we too often focus on addressing our limitations and too rarely think about how to exploit our strengths

organizational citizenship behavior (OCB)

citizenship behavior. Successful organizations have employees who will do more than their usual job duties—who will provide performance beyond expectations. In today's dynamic workplace, where tasks are increasingly performed by teams and flexibility is critical, employees who engage in "good citizenship" behaviors help others on their team, volunteer for extra work, avoid unnecessary conflicts, respect the spirit as well as the letter of rules and regulations, and gracefully tolerate occasional work-related impositions and nuisances.

evidence-based management (EBM)

complements systematic study by basing managerial decisions on the best available scientific evidence. A manager might pose a question, search for the best available evidence, and apply the relevant information to the question or case at hand. You might wonder what manager would not base decisions on evidence, but the vast majority of management decisions are still made "on the fly," with little to no systematic study of available evidence.

organizational survival

evidence that the organization is able to exist and grow over the long term. The survival of an organization depends not just on how productive the organization is, but also on how well it fits with its environment. A company that is very productively making goods and services of little value to the market is unlikely to survive for long, so survival also relies on perceiving the market successfully, making good decisions about how and when to pursue opportunities, and successfully managing change to adapt to new business conditions.

social psychology & OB

focus on people's influence on one another. One major study area is change—how to implement it and how to reduce barriers to its acceptance. Social psychologists also contribute to measuring, understanding, and changing attitudes; identifying communication patterns; and building trust. Finally, they have made important contributions to our study of group behavior, power, and conflict.

global issues for managers

increased foreign assignments, working with people from different cultures, overseeing movement of jobs to countries with low-cost labor, adapting to differing cultural and regulatory norms

Mintzberg's 3 role categories

interpersonal roles, informational roles, decisional roles

adapting to differing cultural and regulatory norms

managers need to know the cultural norms of the workforce in each country where they do business. For instance, in some countries a large percentage of the workforce enjoys long holidays. There will be country and local regulations to consider, too. Managers of subsidiaries abroad need to be aware of the unique financial and legal regulations applying to "guest companies" or else risk violating them. Violations can have implications for their operations in that country and also for political relations between countries. Managers also need to be cognizant of differences in regulations for competitors in that country; many times, understanding the laws can lead to success or failure. For example, knowing local banking laws allowed one multinational firm—the Bank of China—to seize control of a storied (and very valuable) London building, Grosvenor House, from under the nose of the owner, the Indian hotel group Sahara. Management at Sahara contends that the loan default that led to the seizure was a misunderstanding regarding one of their other properties in New York.38 Globalization can get complicated

manager's 4 main activities

planning, organizing, leading, and controlling

sociology & OB

studies people in relation to their social environment or culture. Sociologists have contributed to OB through their study of group behaviors in organizations, particularly formal and complex organizations. Perhaps most important, sociologists have studied organizational culture, formal organization theory and structure, organizational technology, communications, power, and conflict

management skills

technical skills, human skills, conceptual skills

technical skills

the ability to apply specialized knowledge or expertise. When you think of the skills of professionals such as civil engineers or oral surgeons, you typically focus on the technical skills they have learned through extensive formal education. Of course, professionals don't have a monopoly on technical skills, and not all technical skills have to be learned in schools or other formal training programs. All jobs require some specialized expertise, and many people develop their technical skills on the job.

"Big data"

the extensive use of statistical compilation and analysis didn't become possible until computers were sophisticated enough to both store and manipulate large amounts of information. the reasons for data analytics include: predicting any event, from a book purchase to a spacesuit malfunction; detecting how much risk is incurred at any time, from the risk of a fire to that of a loan default; and preventing catastrophes large and small, from a plane crash to an overstock of product.22 With big data, U.S. defense contractor BAE Systems protects itself from cyber-attacks, San Francisco's Bank of the West uses customer data to create tiered pricing systems, and London's Graze.com analyzes customers' preferences to select snack samples to send with their orders big data will always be limited in predicting behavior, curtailing risk, and preventing catastrophes because it is sometimes too invasive

group cohesion

the extent to which members of a group support and validate one another at work. In other words, a cohesive group is one that sticks together. When employees trust one another, seek common goals, and work together to achieve these common ends, the group is cohesive; when employees are divided among themselves in terms of what they want to achieve and have little loyalty to one another, the group is not cohesive.

outcomes

the key variables that you want to explain or predict, and that are affected by some other variables. individual-level outcomes: such as attitudes and stress, task performance, citizenship behavior, and withdrawal behavior. group level: cohesion and functioning are the dependent variables. organizational level: overall productivity and survival

conceptual skills

the mental ability to analyze and diagnose complex situations Decision making, for instance, requires managers to identify problems, develop alternative solutions to correct those problems, evaluate those alternative solutions, and select the best one. After they have selected a course of action, managers must be able to organize a plan of action and then execute it. The ability to integrate new ideas with existing processes and innovate on the job are also crucial conceptual skills for today's managers

group functioning

the quantity and quality of a group's work output. In the same way that the performance of a sports team is more than the sum of individual players' performance, group functioning in work organizations is more than the sum of individual task performances.

withdrawal behavior

the set of actions that employees take to separate themselves from the organization. There are many forms of withdrawal, ranging from showing up late or failing to attend meetings to absenteeism and turnover. The cost of employee turnover alone has been estimated to run into the thousands of dollars, even for entry-level positions. Absenteeism also costs organizations significant amounts of money and time every year. For instance, a recent survey found the average direct cost to U.S. employers of unscheduled absences is 8.7 percent of payroll.60 And in Sweden, an average of 10 percent of the country's workforce is on sick leave at any given time turn-over rate: People quit because they are optimistic about their outside prospects. Moreover, if the "right" people are leaving—the poorer performers—quits can actually be positive for an organization. they can lessen the need for management-initiated layoffs.

anthropology

the study of societies to learn about human beings and their activities. Anthropologists' work on cultures and environments has helped us understand differences in fundamental values, attitudes, and behavior among people in different countries and within different organizations. Much of our current understanding of organizational culture, organizational climate, and differences among national cultures is a result of the work of anthropologists or those using their methods.

inputs

the variables like personality, group structure, and organizational culture that lead to processes