Copyright © 2012 by The McGraw-Hill Companies, Inc. All rights reserved. McGraw-Hill/Irwin Introduction to the Field of Organizational Behavior

1-2 Organizational Behavior and Organizations  Organizational behavior The study of what people think, feel, and do in and around organizations  Organizations Groups of people who work interdependently toward some purpose Collective entities Collective sense of purpose

1-3 Why Study OB?  Satisfy the need to understand and predict  Helps us to test personal theories  Influence behavior – get things done  OB improves an organization’s financial health  OB is for everyone

1-4 Organizational Effectiveness  The ultimate dependent variable in OB  Old approach -- define effectiveness as achievement of stated goals  Problem with goal approach Could set easy goals Some goals too abstract to evaluate Company might achieve wrong goals

1-5 Open Systems Perspective  Organizations are complex systems that “live” within (and depend upon) the external environment  Effective organizations Maintain a close “fit” with changing conditions Transform inputs to outputs efficiently and flexibly  Open systems perspective lays the foundation for the other three perspectives of organizational effectiveness

1-6 Organizational Learning Processes Knowledge Acquisition Knowledge Sharing Knowledge Use Knowledge Storage Learning Scanning Grafting Experimenting Learning Scanning Grafting Experimenting Communication Training Info systems Observation Communication Training Info systems Observation Awareness Sensemaking Autonomy Empowerment Awareness Sensemaking Autonomy Empowerment Human memory Documentation Practices/habits Databases Human memory Documentation Practices/habits Databases

1-7 Intellectual Capital Relationship Capital Value derived from satisfied customers, reliable suppliers, etc. Structural Capital Knowledge captured in systems and structures Human Capital Knowledge that people possess and generate

1-8 High Performance Work Practices (HPWPs)  Workplace practices the leverage the potential of human capital  Human capital – employee knowledge, skills, and abilities – is competitive advantage Help realize opportunities and minimize threats in the external environment Not easily available nor duplicated Can’t be replaced by technology  Companies apply these practices to leverage human capital

1-9 Stakeholder Perspective  Stakeholders: any entity who affects or is affected by the firm’s objectives and actions  Personalizes the open systems perspective  Challenges with stakeholder perspective: Stakeholders have conflicting interests Firms have limited resources

1-10 Types of Individual Behavior Organizational Citizenship Cooperation and helpfulness beyond required job duties Task Performance Goal-directed behaviors under person’s control Maintaining Work Attendance Attending work at required times Joining/staying with the Organization Agreeing to employment relationship; remaining in that relationship Counterproductive Work Behaviors Voluntary behaviors that potentially harm the organization

1-11 Globalization  Economic, social, and cultural connectivity with people in other parts of the world  Effects of globalization on organizations New structures Increasing diversity Increasing competitive pressures, intensification

1-12 Increasing Workforce Diversity  Surface-level vs deep-level diversity  Implications Leveraging the diversity advantage Manage challenges of diversity (e.g. teams, conflict) Ethical imperative of diversity

1-13 Emerging Employment Relationships  Work/life balance Minimizing conflict between work and nonwork demands number one indicator of career success  Virtual work Using information technology to perform one’s job away from the traditional physical workplace Telecommuting – issues of replacing face time, clarifying employment expectations

1-14 Organizational Behavior Anchors  Multidisciplinary anchor Many OB concepts adopted from other disciplines  Systematic research anchor OB knowledge is built on systematic research – evidence-based management  Contingency anchor A particular action may have different consequences in different situations  Multiple levels of analysis anchor Individual, team, organizational level of analysis