CHAPTER 1

1. CHAPTER 1 AN INTRODUCTION TO ORGANIZATIONAL BEHAVIOR

2. Incentive pay Employee ownership Employment security Selective recruiting Competitive wages Information sharing Participation & empowerment Cross-training Promoting from within Self-managed teams A Breakthrough View on Management? Ten policies and practices to adopt to change the culture and increase employee productivity:

3. What is Organizational Behavior? • A relatively new field of inquiry concerned with scientific study of behavioral processes that occur in work settings • Encompasses topics like employee attitudes, motivation, and performance • Extends to larger organizational and societal factors

4. What is Organizational Behavior? (cont.) • OB borrows from behavioral and social sciences such as psychology, sociology, political science, and anthropology. • Most of what is borrowed comes from psychology (Maslow, Herzberg, Skinner).

5. Why Bother? Or, Three Reasons for Studying Organizational Behavior • Practical applications • Personal growth • Increased knowledge

6. Organizational Behavior • Systematic study of the behavior and attitudes of both individuals and groups within organizations

7. Organizational Theory • Focuses on organization as the unit of analysis e.g. organizational goals, technology, and culture • Macro level perspective (across organizational approach) • Uses distinctly different research methods, mostly surveys and case studies

8. Fields Related to OB • Human Resource Management • Organizational Development

9. Human Resource Management • Applies principles of behavioral sciences in the workplace • Concerned with applied techniques and behavioral technology • Links the individual and the organization by designing systems to attract, develop, and motivate individuals within an organization

10. Organizational Development • Involved in the introduction of successful changes in organizations • Macro perspective • Focuses on changing structure and changing values of organization

11. Emergence of OB - Historical View • Scientific Management • Human Relations Approach • Contingency Approach • Culture-Quality Movement

12. Scientific Management • Developed by Frederick Taylor • Detailed analysis of tasks and time-and- motion studies • Piece-rate pay schemes to improve productivity • “One best way” to perform task

13. Criticisms of Scientific Management • Lots of work and time involved to arrive at standards • Workers resist having their effort and productivity measured • Workers oppose changes in pay schemes

14. Example of Pay Scheme • Schmidt, a pig-iron handler • Hauled pig-iron • Increased output by 280%, yet pay increased only 61% • Taylor believed inequity was justified because management was entitled to substantial profits

15. Human Relations Approach • Emphasized importance of motivation and attitudes in explaining worker behavior • Drew strength from Hawthorne Studies (important because social factors influence worker behavior)

16. Human Relations Approach (cont.) • Important studies and aspects of this approach • Relay Assembly Room Study • Hawthorne Effect • Conclusion • Problem

17. Relay Assembly Room Study • Objective was to determine what effect changes in work setting would have on women’s productivity • Introduced various different changes: rest periods, free lunch, shortened work day, five day work week, variations in pay method

18. Relay Assembly Room Study (cont.) • All changes followed an upward trend in productivity over the course of the study.

19. Hawthorne Effect • People will act differently when being studied than they do in normal situations.

20. Conclusions • Social effects on the work setting are very important to employees.

21. Problem • Assumes that workers who are satisfied will be more productive • Has never been proven

22. Contingency Approach • Acknowledges the difficulty of offering simple general principles to explain or predict behavior in organizational settings • Seeks to identify the factor necessary for a given principle to hold • Recognizes interdependency

23. Culture/Quality Movement • Quick interest in corporate culture and quality improvement • Emphasizes quality, service, high performance, and flexibility • Productivity and financial returns are enhanced

24. Challenges Confronting Managers in the 21st Century • Workforce diversity • Contingent workers • Expression of emotions at work

25. Workforce Diversity • One major conclusion of the Work Force 2000 study was that a large proportion of the new entrants to the labor force for the near future will be from demographic categories other than that of white males. • Many managers still face the challenge of how diversity should be specifically “managed”.

26. Contingent Workers • The use of contingent, or temporary workers, is surging. • Over 400% percent in the past 15 years • The superficial advantages to employers are greater flexibility and savings on perks.

27. Contingent Workers (cont.) • However, it is not at all clear that many temps benefit from the supposed “gateway” opportunity that contingent employment may offer. • A major concern for managers is how to effectively manage employees who do not have a sense of commitment or loyalty to their employer.

28. The Expression of Emotions at Work • Evidence of this growing tendency is given by data on the rise of workplace violence. • Murder in the workplace is the fastest growing of homicides. • The increase in hate crimes in society in general has been also spreading into the workplace.

29. The Expression of Emotions at Work (cont.) • Factors that contribute to greater violence at work include: failure to screen for unstable applicants, mediocre supervision that fails to manage potential conflict, and perceived inequities. • The propensity to act on strong positive emotion is also an emerging challenge for managers.

30. The Expression of Emotions at Work (cont.) • Workplace romances • There is a growing concern with the misuse of power in the work place: instances of sexual harassment

31. Criticisms of the Field • Findings in field are too obvious • Reading in results of studies • Findings are self-evident to anyone • Hindsight Bias (the tendency to claim that we would have foreseen the relative inevitability of an outcome)