Introduction to Organizational Behavior (OB)

1. Introduction to Organizational Behavior

 Definition: Study of human behavior in organizations and its impact on performance.

 Key Elements: Focuses on individuals, groups, and organizational structure.

 Objective: Enhancing organizational effectiveness by applying behavioral knowledge.

2. Management and Organizational Behavior

 Manager: A person who achieves goals through others.

 Organization: A structured group of people working towards a common goal.

Managerial Functions (POLC)

1. Planning: Setting goals, defining strategies, and coordinating activities.

2. Organizing: Assigning tasks, reporting relationships, and decision-making structures.

3. Leading: Motivating, directing, and managing employee relations.

4. Controlling: Monitoring activities and correcting deviations.

3. Managerial Roles (Mintzberg’s Roles)

Interpersonal Roles

 Figurehead: Represents the company legally and socially.

 Leader: Guides, hires, trains, and motivates employees.

 Liaison: Builds external and internal relationships.

Informational Roles

 Monitor: Collects information for decision-making.

 Disseminator: Shares information within the organization.

 Spokesperson: Represents the organization externally.

Decisional Roles
  Entrepreneur: Drives innovation and new projects.

 Disturbance Handler: Manages unexpected issues.

 Resource Allocator: Distributes resources efficiently.

 Negotiator: Engages in internal and external bargaining.

4. Management Skills (Robert L. Katz)

1. Technical Skills: Specialized knowledge and expertise.

2. Human Skills: Ability to work with, understand, and motivate people.

3. Conceptual Skills: Analyzing complex situations and strategic thinking.

5. Interpersonal Skills in OB

 Definition: Ability to communicate and interact effectively.

 Importance:

o Enhances financial performance.

o Helps retain top employees.

o Improves job satisfaction and reduces stress.

o Promotes corporate social responsibility.

6. Complementing Intuition with Systematic Study

 Systematic Study: Scientific approach to analyzing behavior.

 Evidence-Based Management (EBM): Making decisions based on research.

 Intuition vs. Systematic Approach: Combining both methods for better decision-making.

7. OB Model: Inputs, Processes, and Outcomes

 Inputs: Factors like personality, structure, and culture affecting behavior.

 Processes: Actions taken by individuals, groups, and organizations.

  Outcomes: Key variables like job satisfaction, performance, and turnover.

8. Disciplines Contributing to OB

 Psychology: Understanding individual behavior.

 Sociology: Group behavior and organizational structure.

 Anthropology: Cultural influences on organizations.

 Political Science: Power dynamics in organizations.

9. Workplace Diversity

 Definition: Variety in employee backgrounds and characteristics.

 Importance: Affects communication, leadership, and decision-making.

Levels of Diversity

1. Surface-Level Diversity (Biographical Characteristics)

o Age, sex, race, ethnicity, disability.

2. Deep-Level Diversity

o Tenure, religion, sexual orientation, cultural identity.

10. Discrimination in Organizations

 Definition: Unfair treatment based on stereotypes.

 Types:

o Overt Discrimination: Direct and intentional bias.

o Subtle Discrimination: Unintentional biases affecting decisions.

 Impact: Decreases morale, productivity, and inclusivity.

11. Ability and Its Impact on OB

 Definition: Capacity to perform tasks efficiently.

  Types:

1. Intellectual Ability: Thinking, problem-solving, decision-making.

2. Physical Ability: Stamina, strength, dexterity.

12. Managing Diversity in Organizations

 Strategies:

o Hiring diverse employees.

o Inclusive training programs.

o Promoting fair workplace policies.

o Encouraging international exposure (Expatriate Adjustment).

13. Challenges in Organizational Behavior

 Economic Pressures: Recessions, layoffs, financial instability.

 Globalization: Cultural adaptability, foreign assignments.

 Changing Workforce Demographics: Generational shifts and diverse needs.

 Technological Changes: Digital transformation.

 Customer Service Expectations: High demand for service excellence.

 Social Media Influence: Managing online reputation.

 Resistance to Change: Employees resisting new policies or structures.

14. Implications of Organizational Behavior

 Using Metrics: Data-driven decision-making instead of intuition.

 Developing Interpersonal Skills: Essential for leadership roles.

 Enhancing Technical and Conceptual Skills: Staying updated with trends.

 Implementing Change Management: Balancing employee needs with company goals.

 Work-Life Balance: Encouraging policies for employee well-being.

 Chapter 2: Attitude, Emotions, Personality and Values

1. Attitude, Emotions, Personality, and Values

1.1 Attitude

 Definition: Attitudes are learned predispositions to respond in a certain way toward

people, objects, events, or issues.

 Nature of Attitude:

o Attitudes are learned through social interactions and experiences.

o They have a specific object (person, thing, or event).

o Attitudes influence behavior.

o Attitudes are relatively stable but can change over time.

Components of Attitude

1. Affective Component – Emotional reactions toward something (e.g., feeling angry at

rule-breakers).

2. Cognitive Component – Beliefs or knowledge (e.g., believing that drinking warm water
with lemon is healthy).

3. Behavioral Component – Actions based on emotions and beliefs (e.g., quitting a job due
to dissatisfaction).

1.2 Attitude Formation

 Direct Personal Experience – Personal events shape attitudes, and these attitudes are
hard to change.

 Association – Forming attitudes based on the influence of familiar people or objects.

 Family and Peer Group – Attitudes develop through modeling behaviors from parents,
teachers, and friends.

 Neighborhood & Culture – Cultural and religious influences shape attitudes.

 Economic Status & Occupation – Socio-economic background affects values and

attitudes.
  Mass Communication – Media, advertisements, and public messages can alter attitudes.

1.3 Attitude and Behavior

 Cognitive Dissonance Theory: When attitudes and behaviors are inconsistent,

individuals experience discomfort and try to reduce it.

 Example: A smoker who knows smoking is harmful but continues smoking experiences
cognitive dissonance.

 Ways to Reduce Cognitive Dissonance:

o Change one’s beliefs.

o Modify behavior.

o Justify behavior by adding new thoughts.

2. Job Attitude

2.1 Key Job Attitudes

 Job Satisfaction – Positive feelings about a job based on its characteristics.

 Job Involvement – The degree of identification with a job and commitment to it.

 Organizational Commitment – Loyalty and attachment to the organization.

 Perceived Organizational Support – Employees’ belief that the organization values their
contributions.

 Employee Engagement – Involvement, enthusiasm, and commitment toward work.

2.2 Job Satisfaction and Dissatisfaction

 Causes of Job Satisfaction: Work conditions, relationships, job security, compensation,

etc.

 Outcome of Job Satisfaction: Productivity, motivation, positive workplace behavior.

 Exit-Voice-Loyalty-Neglect (EVLN) Framework:

o Exit – Leaving the job.

o Voice – Actively suggesting improvements.

o Loyalty – Staying despite dissatisfaction, hoping for improvement.

 o Neglect – Ignoring duties, reducing effort, and making errors.

3. Emotions and Moods

3.1 Understanding Emotions

 Emotions: Intense, short-lived feelings caused by specific events.

 Moods: Longer-lasting emotional states without a clear cause.

Types of Emotions

 Basic Emotions: Fear, anger, sadness, enjoyment, love, disgust, surprise, shame.

 Structure of Moods:

o Positive Affect – High energy, enthusiasm.

o Negative Affect – Stress, anxiety, sadness.

3.2 Theories of Emotions

 Schachter-Singer’s Two-Factor Theory:

o Emotions depend on physiological arousal and environmental cues.

o Example: Sweating and nervousness + seeing a gun = Fear.

o Example: Sweating and nervousness + receiving a smile = Love.

4. Emotional Labour

 Definition: Managing emotions as part of work responsibilities.

 Types of Emotional Labour:

o Surface Acting – Faking required emotions (e.g., forcing a smile).

o Deep Acting – Genuinely altering emotions to fit the role.

4.1 Affective Events Theory (AET)

 Workplace events lead to emotional reactions, influencing job performance and

satisfaction.

 Example: Job insecurity during layoffs leads to anxiety, affecting productivity.

4.2 Emotional Intelligence (EI)

 Self-awareness – Understanding personal emotions.

 Self-regulation – Controlling emotions.

 Motivation – Internal drive for success.

 Empathy – Understanding others’ emotions.

 Social Skills – Effective communication and relationships.

5. Personality

5.1 Definition

 Personality refers to consistent behavioral traits and individual differences.

5.2 Determinants of Personality

 Heredity – Genetic factors (e.g., physical traits, temperament).

 Environment – Culture, family, social influences.

 Situation – Events and experiences shaping personality.

5.3 Freud’s Psychoanalytic Theory

 Id – Instinctive and pleasure-seeking.

 Ego – Logical and reality-oriented.

 Superego – Moral and ethical standards.

6. Personality Frameworks

6.1 Myers-Briggs Type Indicator (MBTI)

 Extraversion (E) vs. Introversion (I)

 Sensing (S) vs. Intuition (N)

 Thinking (T) vs. Feeling (F)

 Judging (J) vs. Perceiving (P)

 Benefits: Self-awareness, career guidance.

  Limitations: Not scientifically strong.

6.2 Big Five Personality Model

 Openness – Creativity, curiosity.

 Conscientiousness – Responsibility, reliability.

 Extraversion – Social interaction, energy.

 Agreeableness – Cooperation, trust.

 Neuroticism (Emotional Stability) – Ability to handle stress.

7. Values

7.1 Definition

 Values are deeply held beliefs about what is right and desirable.

 Terminal Values – End-goals (e.g., success, peace).

 Instrumental Values – Means to achieve goals (e.g., honesty, discipline).

7.2 Generational Values

 Different generations hold different values based on historical events and social
conditions.

7.3 Linking Personality & Values to Workplace

 Person-Job Fit: Matching personality with job roles (Holland’s Theory).

 Person-Organization Fit: Employees aligning with organizational culture.

 Person-Group Fit: Team compatibility.

 Person-Supervisor Fit: Relationship between employees and supervisors.

8. Implications for Managers

 Recognizing individual differences in personality, emotions, and values is essential.

 Use the Big Five Model for better job-personality fit.

 Encourage emotional intelligence in employees.

 Manage emotional labor by supporting employees.