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OB U1.pptx
1. Sree Narayana Guru Institute of Management Studies
Managed by
Kumaraguru Institutions
By
Dr. C.Pradeepkumar
Organizational Behaviour
2. Course Objective
• The main objectives of this course are to:
• 1. Understand fundamentals of individual and group behaviour
• 2. Learn the application of knowledge of OB in business
• 3. Learn to modify personality and get equipped for better work place
relationships
3. Course Outcome
• On the successful completion of the course, student will be able to:
• 1 Learn basic concepts of management
• 2 Understand the various functions of business management
• 3 Identify the scope and application of management in day to day life
4. Organizational behaviour ?
Organization
• Organization a social
arrangement for achieving
controlled performance in
pursuit of collective goals.
Organizational behaviour
Organizational behaviour the study of the
structure and management of
organizations, their environments, and the
actions and interactions of their individual
The study of organizational behaviour
thus has practical implications for those
who work in, manage, seek to subvert, or
interact in other ways with organizations,
whether they are small and local, or large
and international.
4
5. Organizational behavior's importance
• Discover and understand human behaviour,
• Properly motivate their employees to perform better,
• Create a conducive work environment to bring about higher employee
productivity,
• Ensure effective communication along with its elements,
• Maintain ethical workplace practices, and
• Build positive relationships among employees for cooperation.
5
6. Major Contributing Disciplines to the field of
organizational Behavior
Psychology: how individuals behave in response to
a stimulus.
Sociology: how individuals relate to groups and to each
other.
Social Psychology: How individuals and
organizations perceive conflict, threats and undergo
stress.
Anthropology: understanding customs traditions and
social mores of peoplesince the organization is a
microcosm of the largersociety.
7. Contd..
Political Science: Understanding Power, Authority and
Corporate Politics.
Economics: Appreciating monetary (wage and bonus) and
non monetary incentives (housing, schooling and medical care)
to employees so that they are motivated to produce more
efficiently and effectively.
13. Evolution
• In order to understand further how the discipline of
organizational behaviour grew, it is necessary to know the
evolution of organizational behaviour.
• The classical approach (Max weber Bureaucracy)
• The neo-classical approach
• The modem approach
13
14. Classical approach
• The classical approach of management emphasizes on organizational
efficiency as a tool to ensure organizational success.
• It believes in functional interrelationships, following certain principles based
on experience, bureaucratic structure, and the reward-punishment system.
• Classical thoughts on management developed in three different directions—
scientific management, administration theory, and bureaucracy
• Classical : Adam Smith, Frederick Taylor, Charles Babbage, Max Weber,
Daniel McCullum, and Henry Fayol
14
17. 1. DIVISION OF WORK:
Work should be divided among individuals and
groups to ensure that effort and attention are
focused on special portions of the task. Fayol
presented work specialization as the best way
to use the human resources of the
organization.
HENRI FAYOL’S:14 Principles of Management
18. 2. AUTHORITY:
The concepts of Authority and responsibility are closely related.
Authority was defined by Fayol as the right to give orders and the
power to exact obedience.
Responsibility involves being
accountable, and is therefore naturally associated with authority.
Whoever assumes authority also assumes responsibility.
19. 3. DISCIPLINE:
• A successful organization requires the common effort of workers.
• Penalties should be applied judiciously to encourage this common
effort.
20. 4. UNITY OF COMMAND
Workers should receive orders from only
one manager.
21. 5. UNITY OF DIRECTION:
The entire organization should be
moving towards a common objective
in a common direction.
22. 6. SUBORDINATION OF
INDIVIDUAL INTERESTS TO THE
GENERAL INTERESTS:
The interests of one person should
not take priority over the interests of
the organization as a whole.
23. 7. REMUNERATION:
• Many variables, such as cost of living, supply of qualified personnel, general
business conditions, and success of the business, should be considered in
determining a worker’s rate of pay.
24. 8. CENTRALIZATION:
Fayol defined centralization as lowering the importance of
the subordinate role. Decentralization is increasing the
importance. The degree to which centralization or
decentralization should be adopted depends on the specific
organization in which the manager is working.
25. 9. SCALAR CHAIN:
Managers in hierarchies are part of a chain like authority
scale. Each manager, from the first line supervisor to the
president, possess certain amounts of authority. The
President possesses the most authority; the first line
supervisor the least. Lower level managers should always
keep upper level managers informed of their work activities.
The existence of a scalar chain and adherence to it are
necessary if the organization is to be successful.
26. 10. ORDER:
For the sake of efficiency and
coordination, all materials and people
related to a specific kind of work
should be treated as equally as
possible.
28. 12. STABILITY OF TENURE OF
PERSONNEL:
Retaining productive employees should
always be a high priority of management.
Recruitment and Selection Costs, as well as
increased product-reject rates are usually
associated with hiring new workers.
29. 13. INITIATIVE:
• Management should take steps to encourage worker initiative, which is defined
as new or additional work activity undertaken through self direction.
31. Neo-classical approach
• The neo-classical approach emphasized on human relations, the impor-
tance of the man behind the machine, the importance of individual as
well as group relationships, social aspects, etc.
• Elton Mayo pioneered the Hawthorne studies which formed the basis
for this theory
31
32. • There are 4 separate experiments in
Hawthorne Studies :
Illumination Experiments (1924-1927)
Relay Assembly Test Room Experiments
(1927-1928)
Experiments in Interviewing Workers (1928-
1930)
Bank Wiring Room Experiments (1931-1932)
Hawthorne Studies
33. • The purpose is to find out the effect of illumination/lighting on
worker productivity.
• Research is conducted in 2 separated group, one group is given more
lighting and the other group is with low lighting.
• hypothesis : higher illumination, productivity will increase
• The result : productivity of both group are increased
• Other physical changes are also made such as maintaining clean
work stations, clearing floors of obstacles, and even relocating
workstations , and always resulted in increased productivity
• the workers are doing their best because their being observed
Illumination Experiment
34. • Research is conducted by choosing two women as test
subjects and asked them to choose four other workers to join
the test group.
• Research has some variables :
• changing the pay rules so that the group was paid for
overall group production, not individual production
•giving two 5-minute breaks (Productivity increased),
but
when they received six 5-minute rests (reduced output)
•providing food during the breaks.
•shortening the day by 30 minutes (output went up);
shortening it more (output per hour went up, but overall
output decreased); returning to the first condition (where
output peaked).
Relay Assembly Test Room Experiments
35. • The result : productivity is increased.
• Researchers concluded that the workers worked
harder because they thought that they were being
monitored individually and the more personal
atmosphere in the group is also influencing the high
productivity.
36. • The workers were interviewed in attempt to
validate the Hawthorne Studies.
• The participants were asked about supervisory
practices and employee morale.
• The results proved that communication in an
organization creates a positive attitude in the
work environment.
Experiments in Interviewing Workers
37. Bank Wiring Room Experiments (1931-1932)
• These experiments were conducted to find
out the impact of small groups on the
individuals.
• In this experiment, a group of 14 male
workers were formed into a small work group,
hourly wage for each worker was fixed on the
basis of average output of each worker.
• Hypotesis : highly efficient workers would
bring pressure on less efficient workers to
increase output and take advantage of group
incentive plan.
• Result : the workers established their own
standard of output to protect other workers
38. Cont..
• It further got extended to the behavioural sciences approach,
pioneered by Abraham Maslow, Chris Argyris, Douglas
McGregor, and Rensis Likert.
• The quantitative approach (during World War II), and the
contingency (situational) approach were also developed and
they also form a part of the neo-classical theory.
• Modern management thought combines the concepts of the
classical approach with the social and natural sciences. It
emerged basically from systems analysis.
38
39. Evolution of OB
Robert Owen-(1800)
Young Factory Owner-First to emphasize the human needs of employees and refused
to employ children
Taught workers to improve working conditions Father of personnel
management
Andrew Ure-(1935)
The Philosophy of Manufacturers -1835 Value of human factor in
manufacturing Provided welfare facilities to workers
J.N. TA
TA in 1886 Instituted a pension fund & 1895 began to pay accident
compensation.
40. William Gilbreth-(1914)
“The Psychology of Management
F.W.Taylor-(1916)
Father of Scientific Management Time &
Motion Study
Piece Rate Method
Evolution of OB
41. Henry Fayol (1916)
Administrative Management , Principleof Governing Behavior,
Management Quality
Elton Mayo-(1920’s & 1930’s)
Human behavior at Harvard University
Hawthorne's Experiments/Plant
Abraham H. Maslow (1954):
Need Hierarchy Motivation model
Douglas McGregor (1960):
Theory X and Theory Y Managerial Style
Henry Mintzberg (1960) :
Managerial Roles : Interpersonal, Informational and Decision making
Evolution of OB
42. Peter Drucker (1909 -2005)
Fatherof modern management
Importanceof change
How to bring bestout of people
Innovation
Entrepreneurship
Evolution of OB
45. Personality
• The sum total of ways in which an individual reacts to and
interacts with others and the environment
• Most often described in terms of measurable traits that a person exhibits
such as shy, aggressive, submissive, lazy, ambitious, loyal, and timid
• Measurement of Personality
Self-report surveys
Observer rating
45
46. Personality Determinants
Personality reflects heredity and environment
Heredity is the most dominant factor
Twin studies: genetics more influential than parents
Environmental factors do have some influence
Aging influences levels of ability
Basic personality is constant
47. MeasuringPersonality Traits: Myers-
Briggs Type Indicator
Most widely used personality-assessment
instrument in the world
Individuals are classified as:
Extroverted or Introverted (E/I)
Sensing or Intuitive (S/N)
Thinking or Feeling (T/F)
Judging or Perceiving (J/P)
Classifications combined into 16 personality types (i.e. INTJ or
ESTJ)
Unrelated to job performance
Determine Your personality :https://www.16personalities.com/free-
personality-test
48. Cont..
• Extraversion and Introversion(the direction of your
energy)
• If you prefer to direct your energy to deal with people, things,
situations, or "the outer world", then your preference is for
Extraversion
• If you prefer to direct your energy to deal with ideas,
information, explanations or beliefs, or "the inner world",
then your preference is for Introversion.
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49. • Sensing and Intuition (type of information/things that you process)
• If you prefer to deal with facts, what you know, to have clarity, or to
describe what you see, then your preference is for Sensing
• If you prefer to deal with ideas, look into the unknown, to generate
new possibilities or to anticipate what isn't obvious, then your
preference is for Intuition
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50. • Thinking and Feeling (style of decision-making)
• If you prefer to decide on the basis of objective logic, using an
analytic and detached approach, then your preference is for Thinking
• If you prefer to decide using values - i.e. on the basis of what or who
you believe is important - then your preference is for Feeling.
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51. • Judgment and Perception (the type of lifestyle you adopt)
• If you prefer your life to be planned and well-structured then your
preference is for Judging. This is not to be confused with 'Judgmental',
which is quite different
• If you prefer to go with the flow, to maintain flexibility and respond to
things as they arise, then your preference is for Perception.
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53. Measuring Personality Traits: The
Big-Five Model
Five Traits:
Extraversion
Agreeableness
Conscientiousness
Emotional Stability
Openness to Experience
Strongly supported
relationship to job
performance (especially
Conscientiousness)
54. Big Five
• The conscientiousness dimension is a measure of reliability. A highly conscientious person is
responsible, organized, dependable, and persistent. Those who score low on this dimension
are easily distracted, disorganized, and unreliable.
• The emotional stability dimension taps a person’s ability to withstand stress. People with
emotional stability tend to be calm, self-confident, and secure.
• The extraversion dimension captures our comfort level with relationships. Extraverts tend to
be gregarious, assertive, and sociable
• The openness to experience dimension addresses the range of interests and fascination with
novelty. Open people are creative, curious, and artistically sensitive.
• The agreeableness dimension refers to an individual’s propensity to defer to others.
Agreeable people are cooperative, warm, and trusting.
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56. Major Personality Attributes Influencing OB
Core Self-Evaluation
People with positive core self-evaluation like themselves and
see themselves as capable and effective in the workplace
The Dark triad
Machiavellianism
Narcissism
A person with a grandiose view of self, requires
excessive admiration, has a sense of self-entitlement
and is arrogant
Psychopath
Defined as a lack of concern for others, and a lack of
guilt or remorse when actions cause harm.
57. Major Personality Attributes Influencing OB
Self-monitoring
Adjusts behavior to meet external,
situational factors
Risk Taking
Willingness to accept risk
Proactive Personality
Identifies opportunities, shows initiative, takes action and perseveres
Type A personality
Type B Personality
58. Locus of Control
Locus of Control
Locus of Control
The degree to which people believe they are
masters of their own fate.
Internals
Individuals who believe that they control what happens to
them.
Externals
Individuals who believe that what happens to them is
controlled by outside forces such as luck or chance.
59. Machiavellianis
Machiavellianism
Conditions Favoring High Machs
• Direct interaction
• Minimal rules and regulations
• Emotions distract for others
Machiavellianism (Mach)
Degree to which an individual is pragmatic,
maintains emotional distance, and believes that
ends can justify means.
60. Self-Esteem and Self-Monitoring
Self-Esteem (SE)
Individuals’ degree of liking or disliking themselves.
Self-Monitoring
A personality trait that measures an individuals
ability to adjust his or her behavior to external,
situational factors.
61. Risk-Taking
Risk-Taking
➢High Risk-taking Managers
– Make quicker decisions
– Use less information to make decisions
– Operate in smaller and more entrepreneurial
organizations
➢Low Risk-taking Managers
– Are slower to make decisions
– Require more information before making decisions
– Exist in larger organizations with stable environments
➢Risk Propensity
– Aligning managers’ risk-taking propensity to job
requirements should be beneficial to organizations.
62. Type A Personality
Type A Personality
➢The theory describes Type A individuals as ambitious,
rigidly organized, highly status- conscious, sensitive,
impatient, take on more than they can handle, want other
people to get to the point, anxious, proactive, and
concerned with time management.
➢ People with Type A personalities are often high-
achieving "workaholics", push themselves with deadlines,
and hate both delays and ambivalence.
63. Type B personality
Type B personality
➢They typically work steadily, and may enjoy achievement,
although they have a greater tendency to disregard
physical or mental stress when they do not achieve.
➢ When faced with competition, they may focus less on
winning or losing than their Type A counterparts, and
more on enjoying the game regardless of winning or
losing.
➢Unlike the Type A personality's rhythm of multi- tasked
careers, Type B individuals are sometimes attracted to careers
of creativity: writer, counsellor, therapist, actor or actress.
64. Individual’s Personality and Job Fit
• John Holland’s personality–job fit theory
• Holland presented six personality types and
proposed that satisfaction and the propensity
to leave a position depend on how well
individuals match their personalities to a job.
• Test:
https://openpsychometrics.org/tests/RIASE
C/
64
Fields adjacent are
similar
Field opposite are
dissimilar
67. ID
ID
➢Present from Birth
➢Animalistic and Childish Desires
and no values
➢Operates on Pleasure Principle, to
gain Pleasure and avoid pain
➢Immediate Satisfaction
➢I Want it and want it right now
➢Exists in Unconscious
mind
68. Super Ego
Super Ego
➢Develops from 5 to 6
age
➢Opposite of the Id
➢Operates on Moral
principle
➢Differentiate b/w Good
and Bad
➢If we follow it , We feel
proud and if not
,then , We feel guilty
➢Exists in
Preconscious Mind
69. Ego
Ego
➢Develops After Birth
➢In the middle of Id
And Super Ego
➢Organized and
Rational
➢Reality Principle
➢Responsible for
Dealing with Reality
➢Exists in Conscious
Mind
