McGraw-Hill/Irwin© 2008 The McGraw-Hill Companies, Inc. All rights reserved. 1 1 Introduction to the Field of Organizational Behavior

McShane/Von Glinow OB4e© 2008 The McGraw-Hill Companies, Inc. All rights reserved. Slide 1-2 Google and OB Google has leveraged the power of organizational behavior to attract talented employees who want to make a difference in the Internet world. AP/Wide World Photos

McShane/Von Glinow OB4e© 2008 The McGraw-Hill Companies, Inc. All rights reserved. Slide 1-3 What are Organizations? Groups of people who work interdependently toward some purpose –Structured patterns of interaction –Coordinated tasks –Have common objectives (even if not fully agreed) AP/Wide World Photos

McShane/Von Glinow OB4e© 2008 The McGraw-Hill Companies, Inc. All rights reserved. Slide 1-4 Why study organizational behavior Understandorganizationalevents Predict organizational eventsInfluenceorganizationalevents Why Study Organizational Behavior

McShane/Von Glinow OB4e© 2008 The McGraw-Hill Companies, Inc. All rights reserved. Slide 1-5 Trends: Globalization Economic, social, and cultural connectivity (and interdependence) with people in other parts of the world Effects of globalization on organizations: –New organizational structures –Different forms of communication –More diverse workforce. –More competition, mergers, work intensification and demands for work flexibility

McShane/Von Glinow OB4e© 2008 The McGraw-Hill Companies, Inc. All rights reserved. Slide 1-6 Trends: Changing Workforce –Workforce has increasing diversity along several dimensions –Primary categories gender, age, ethnicity, etc. –Secondary categories some control over (e.g. education, marital status)

McShane/Von Glinow OB4e© 2008 The McGraw-Hill Companies, Inc. All rights reserved. Slide 1-7 Trends: Changing Workforce Current trends –Increased racial and ethnic diversity –More women in workforce –Generational diversity –New age cohorts (e.g. Gen-X, Gen-Y) Implications –Leverage diversity advantage –Adjust to the new workforce

McShane/Von Glinow OB4e© 2008 The McGraw-Hill Companies, Inc. All rights reserved. Slide 1-8 Trends: Employment Relationships Work-life balance –Number one indicator of career success –Priority for many young people looking for new jobs Employability –“New deal” employment relationship –Continuously learn new skills Contingent work –No explicit or implicit contract for long-term employment, or minimum hours of work can vary in a nonsystematic way

McShane/Von Glinow OB4e© 2008 The McGraw-Hill Companies, Inc. All rights reserved. Slide 1-9 Trends: Virtual Work Using information technology to perform one’s job away from the traditional physical workplace. –Telecommuting (telework) working from home, usually internet connection to office –Virtual teams operate across space, time, and organizational boundaries with members who communicate mainly through electronic technologies

McShane/Von Glinow OB4e© 2008 The McGraw-Hill Companies, Inc. All rights reserved. Slide 1-10 Department of Economic Development, Government of Dubai Values-based Leadership in Dubai The Department of Economic Development (DED) in the Emirate of Dubai recently devoted several months to identifying the agency’s core values: accountability, teamwork, and continuous improvement. DED also organized a series of workshops (shown in photo) to help employees recognize values-consistent behaviors.

McShane/Von Glinow OB4e© 2008 The McGraw-Hill Companies, Inc. All rights reserved. Slide 1-11 Trends: Values/Ethics Defined Long-lasting beliefs about what is important in a variety of situations –Define right versus wrong --guide our decisions Ethics –Study of moral principles or values that determine whether actions are right or wrong and outcomes are good or bad Department of Economic Development, Government of Dubai

McShane/Von Glinow OB4e© 2008 The McGraw-Hill Companies, Inc. All rights reserved. Slide 1-12 Trends: Why Values are Important 1.Need to guide employee decisions and actions 2.Globalization increases awareness of different values 3.Increasing emphasis on applying ethical values

McShane/Von Glinow OB4e© 2008 The McGraw-Hill Companies, Inc. All rights reserved. Slide 1-13 Corporate Social Responsibility –Organization's moral obligation toward its stakeholders Stakeholders –Shareholders, customers, suppliers, governments etc. Triple bottom line philosophy –Economic, social & environmental

McShane/Von Glinow OB4e© 2008 The McGraw-Hill Companies, Inc. All rights reserved. Slide 1-14 OrganizationalBehaviorAnchors MultidisciplinaryAnchor Systematic Research Anchor ContingencyAnchor Open Systems Anchor Multiple Levels of Analysis Anchor Organizational Behavior Anchors

McShane/Von Glinow OB4e© 2008 The McGraw-Hill Companies, Inc. All rights reserved. Slide 1-15 Organizational Behavior Anchors Multidisciplinary anchor –Many OB concepts adopted from other disciplines –OB develops its own models and theories, but also needs to scan other fields for ideas Systematic research anchor –OB researchers rely on scientific method –OB also adopting grounded theory and similar qualitative approaches to knowledge

McShane/Von Glinow OB4e© 2008 The McGraw-Hill Companies, Inc. All rights reserved. Slide 1-16 Organizational Behavior Anchors (con’t) Contingency anchor –A particular action may have different consequences in different situations –Need to diagnose the situation and select best strategy under those conditions Multiple levels of analysis anchor –OB issues can be studied from individual, team, and/or organizational level –Topics usually relate to all three levels

McShane/Von Glinow OB4e© 2008 The McGraw-Hill Companies, Inc. All rights reserved. Slide 1-17 Open Systems Anchor Need to monitor and adapt to environment External environment -- natural and social conditions outside the organization Receive inputs from environment; transform them into outputs back to the environment Stakeholders – anyone with a vested interest in the organization Organizations consist of interdependent parts (subsystems) that need to coordinate

McShane/Von Glinow OB4e© 2008 The McGraw-Hill Companies, Inc. All rights reserved. Slide 1-18 Open Systems Anchor Feedback Environment

McShane/Von Glinow OB4e© 2008 The McGraw-Hill Companies, Inc. All rights reserved. Slide 1-19 Knowledge Management Defined Any structured activity that improves an organization’s capacity to acquire, share, and use knowledge for its survival and success

McShane/Von Glinow OB4e© 2008 The McGraw-Hill Companies, Inc. All rights reserved. Slide 1-20 Structural Capital Relationship Capital Knowledge captured in systems and structures Value derived from satisfied customers, reliable suppliers, etc. Human Capital Knowledge that people possess and generate Intellectual Capital

McShane/Von Glinow OB4e© 2008 The McGraw-Hill Companies, Inc. All rights reserved. Slide 1-21 Awareness Freedom to apply Communication Communities of practice Hiring talent Acquiring firms Individual learning Experimentation Knowledgeacquisition KnowledgesharingKnowledgeuse Knowledge Management Processes

McShane/Von Glinow OB4e© 2008 The McGraw-Hill Companies, Inc. All rights reserved. Slide 1-22 Organizational Memory The storage and preservation of intellectual capital Retain intellectual capital by: –Keeping knowledgeable employees –Transferring knowledge to others –Transferring human capital to structural capital Successful companies also unlearn

McGraw-Hill/Irwin© 2008 The McGraw-Hill Companies, Inc. All rights reserved. 1 1 Introduction to the Field of Organizational Behavior

McGraw-Hill/Irwin© 2008 The McGraw-Hill Companies, Inc. All rights reserved. 1 1 Chapter One Extras

McShane/Von Glinow OB4e© 2008 The McGraw-Hill Companies, Inc. All rights reserved. Slide 1-25 Job Security vs. Employability Job Security Lifetime job security Jobs are permanent Company manages career Low emphasis on skill development Employability Limited job securityLimited job security Jobs are temporaryJobs are temporary Career self- managementCareer self- management High emphasis on skill developmentHigh emphasis on skill development