According to Stephen P Robbins – “Organisational behaviour is a field of study that

investigates the impact that individuals, groups and structure have on ehaviours within
the organizations for the purpose of applying such knowledge towards improving an
organizations effectiveness”.

According to Fred Luthans – “Organisational behaviour is directly concerned with the

understanding production and control of human behaviour in organization”.

According to Raman J Aldag – “Organisational behaviour is a branch of the social sciences

that seeks to build theories that can be applied to predicting, understanding and
controlling behaviour in work organizations”.

By analyzing the above definitions, we can define OB as a behavioural science that

states about :

• Nature of Man

• Nature of the Organization

• Knowledge of human would be useful in improving an organization’s effectiveness.

Components of Organizational Behavior

Organizational Behavior encompasses several key components, each playing a crucial
role in shaping workplace dynamics. Let’s explore these components:

1. Individual Behavior:

Understanding individual behavior is fundamental to OB. It involves studying how

employees’ personalities, attitudes, perceptions, and motivations influence their actions
and decisions within the organization.

2. Group Behavior:

Group behavior examines the interactions and dynamics among employees working
together toward common goals. It includes studying group formation, communication
patterns, norms, and the impact of group cohesion on performance.

3. Organizational Structure:

The organizational structure defines the hierarchical arrangement of roles,

responsibilities, and reporting relationships within an organization. It plays a vital role in
shaping communication, decision-making, and overall efficiency.

4. Organizational Culture:

Organizational culture refers to the shared values, beliefs, norms, and customs that
define the work environment. A healthy and strong culture fosters employee
engagement, satisfaction, and organizational commitment.

5. Organizational Change:

Managing organizational change is crucial for adaptability and growth. Studying how
individuals and groups react to change helps organizations implement successful change
management strategies.
Variables that explains output
1. Intelligence

A behavioral assessment variable is employee intelligence, which refers to the ability to

understand easily and well, to grasp what is essential, to solve new situations or
problems based on previous experience. Intelligence is of two types: academic or
cognitive (IQ) and emotional (EQ).

Academic intelligence is determined through intelligence tests and is a combination of an

individual's potential and the knowledge he or she acquires in the early years of life and
during formal education. By acting through academic intelligence, anyone can guarantee
success in any type of activity, including evaluating and shaping their own and others'
behavior.

2. Learning

Projecting the situation in the organization, we conclude that employee behavior can
range from productive to unproductive / counterproductive, depending on how the
manager, acting as moderator, alternates between stimuli and consequences, while
explaining to subordinates the interdependence between his behavior and results.
Subsequently, given that the result is a new behavior, the alternation of stimuli and
consequences is aligned in the process called learning, and because it is done by
managers in the organization - organizational learning (OL).

3. Stress

In the organization, stress arises from the action on the employee of the work factors in
the employee's work environment, including the action of individuals, groups and the
organization in which the employee works. This type of stress is called organizational
(OS) and is defined as ,,a response to an action, situation, or event within the
organization that places a special request on an employee”.

4. Diversity

In an institution there are different individual behaviors that interact with different
personalities, which, in turn, interact with organizational environments, giving rise to
different individual behaviors.

5. Culture

The norms of behavior imposed by the culture, such as the address/greeting formulas,
the ways of achieving interpersonal relationships, habits, dress, sex, family,
relationships, etc. of an employee are analogous to an organization. Like the individual,
each organization has its own behavioral norms that make it unique.

6. Communication

Successful communication within groups and organizations depends on the need for
members to communicate and emerge from its managerial functions: information,
command, instruction, integrative, persuasion and motivation. Or, the manager's ability
to receive, interpret and transform into actions and transmit information, in order to
shape the behavior of subordinates, is the basis of organizational survival.
 7. Power

One of the variables of evaluation and influence of OB is the power in organizations (PO),
which is related to the ability of an employee or a group of employees, which, through
their own behavior, can act on the behavior of others and affect the functioning and
results of a organizations, influencing decision-making, the use of resources or the
performance of tasks”

8. Leadership

Leadership could be an attribute of hierarchical position, it could come from intelligence

or knowledge, it could be interpreted as a function of personality or as an important
variable in shaping behavior.

9. Motivation

Motivation is the totality of motives, considerations, or motives that determine a person

to perform a certain action or to aim for certain purposes; set of dynamic factors that
determine an individual's behavior.

Importance of Organizational Behavior

1. Good Workplace Relationships

It is hard to build meaningful workplace relationships. As a leader, you have to look out
for any instances of conflict. Or situations that can hamper employee relationships.

Figuring out the real issues that harm employee relationships might be a daunting job.
But it is essential to do that.

2. Employee Motivation

Motivation is a crucial element when we talk about employee engagement. Without

motivation, it is difficult to improve productivity. A lack of motivation is why your people
don’t give their 100% effort to the job.

3. Builds a Psychologically Safe Workplace

Organizational behavior study helps a leader to understand their influence on the

employees. It determines your attitude towards them. It draws a clear picture of how to
make your workplace psychologically safe. This is a workplace that will inspire and build
morale.

4. Nature of Employees

Achieving success in the long term can be a difficult task. And maintaining consistency is
even more significantly challenging.

However, it will all depend on how employees behave at work. Their attitude towards
their work will reflect on the results.

The employees need to be passionate and enthusiastic about their work. And if they are
laid back regarding their work, then it poses as a roadblock.

5. Higher Efficiency in Teams

The study of behavior in an organization is vital for team collaboration. It gives you
insights into the similarities and differences that people share.

Key Elements of Organizational Behavior

1. People

People refer to the employees working in your organization. They work either in groups
or individually and make up the whole working structure. Because the “people” element
of organizational behavior is regarded as the most important factor in a business, you
should take notice of how you treat them. There is no alternative in the quality of an
employee. They help to achieve the organization’s objectives. Learn to manage and treat
them properly and in return, your business will thrive. It’s important that you pay as
much individual attention to employees as you can. Learning how each one behaves will
allow you to know how to treat them in the workplace.

2. Structure

Structure relates to the roles and relationships of those in an organization. It’s important
that an employee’s role in the structure is clearly defined to them. It will lead to more
work efficiency and employees can avoid confusion. Due to engaging employees in work
that fits their skills, business goals are likely to happen.

3. Technology

With the necessary technology added to your business’ production, tasks can be
performed more effectively. Without it, work would be very difficult to perform. Its
presence makes business tasks easy not only for employees but also for you. It doesn’t
just supply different machines, tools, and resources, but also different methods to
accomplish work. How much technology you require depends on how much work needs
to be done. Technology provides an important role in work quality and reducing
production costs. But be cautious of how much technology interferes in the workplace. It
can place a restriction on your employees’ freedom.

4. Environment

Finally, there is the business environment. With it, you must keep in mind both internal
and external factors. Organizations aren’t able to thrive on their own and they and the
environmental factors surrounding it include government, society, family, and even other
organizations. Organizational culture refers to the internal environment within your
business structure. The external environment will pertain to political, social, cultural, and
economic factors. Make sure to study all these factors properly for the benefit of your
business and make necessary changes where you see fit.