COMMERCE 1BA3 Chapter Notes - Chapter 1: Human Relations Movement, Elton Mayo, Hawthorne Effect
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21 Nov 2012
School
Department
Course
Professor
Amreen Azam Thursday, September 6th, 2012
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Chapter 1 – OB & Management
**Emotional Intelligence (EI): consists of two components: self and other
More than 50% of the population uses the word “terminated” to fire someone. This reveals low EI.
Objective: to have High EI
**Organization Behaviour - can be divided into 3 groups:
1. Micro OB: study of the human (individual)
2. Mezzo OB: an individual in interaction with other individuals
3. Macro OB: study of the entire organization in a competitive
landscape
Teal’s Job: Relocation Consultant
Assist with termination – “pick up the broken pieces”
OB Consulting Tools
• Internal Consulting (ex. you are a manager in an organization
confronting any issues pertaining to any of the 2BA3 topics)
• External Consulting (ex. you are hired by an organization to provide advice on any of the 2BA3
topics)
**OB Consulting Basics
• What are organizations?
o Organizations are social inventions① for accomplishing common goals② through group
effort③
1. Social inventions – Understanding people and managing them to work effectively
o [Subliminal Side] – “WHO”
2. Common Goals – People assembled together for a goal. Understand what this is. – “WHAT”
o how organizations can survive and adapt to change
3. Group Effort – Pulling people together. “Interaction, Teamwork & Coordination”. – “HOW”
o how to get people to practice effective teamwork
Emotional
Intelligence
Self
Awareness Management
Other
Awareness Management
Amreen Azam Thursday, September 6th, 2012
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**Introduction to OB
• OB: The attitudes (T) and behaviors (R) of individuals and groups in organizations
o Attitudes: how satisfied people are with their job, how committed they feel to the goals
of the org., etc.
o Behaviours: cooperation, conflict, innovation or resignation are important in OB
o S+T = R How you think determines how you behave
• Attempt to understand, predict, explain and manage how people behave at work
o Understand – attitudes and behaviours (T&R)
o Predict – “I wonder”; “Good match?”
o Explain – “This is why…”; “Ahaa….” Moment
o Manage – Take action (2BA3 & 2BC3)
• OB is important to managers, employees, and consumers, and understanding it can make us
more effective managers, employees, or consumers
• Main factor that differentiates organizations is their workforce/human capital
• Management practices and organizational behavior have an effect on organizations effectiveness
• Note: there is a direct positive link between employee relations & attitudes and financial
performance
• **Thermostat Analogy**
o Step 1: Current temperature = Current state [analyzed]
o Step 2: Desired/Future State where do you want to be?
o Step 3: Measure magnitude of gap & take action to close gap
o Step 4: Start again
Goals of OB
• Predicting OB
o Predicting behavior of others is essential
o being able to predict OB doesn’t guarantee that we can explain reasons for behavior and
develop and effective strategy to manage it
• Explaining OB
o explain events in organizations
• Managing OB
o Management: art of getting things accomplished in organizations
o if behavior can be predicted and explained, it can often be controlled/managed
Amreen Azam Thursday, September 6th, 2012
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Classical/Traditional
Human Relations
Beyond Human relations
(HR Perscpective)
Systems/Contingency
** Theory
The Evolution of OB
• The perspective managers have had on the evolution of OB:
Classical/Traditional Views
• Early 1900s
• High degree of specialization of labor
• Each dept. tended to its own business
• Centralized decision making; High degree of coordination
o Max Weber and Frederick Taylor
o Psylo-Management – Strategically & Psychologically
• “Psylo-wed” organized in a way that areas don’t communicate with each other
(ex. Finance and R&D Dept.)
o It was a cookie-cutter job; no thinking “outside the box”
• Bureaucracy – Max Weber
o Early to Mid-1900s
o No such thing as “under the water line”
o Structured; “top-down”; fixed official duties
o He stated everything should be planned, coordinated and controlled
o Avoid mistakes by letter people NOT think on their own (non-humanistic)
o It was all about efficient organizing
o Strict chain of command, detailed rules, high specialization, centralized power, and
selection and promotion based on technical competence\
o Workers have fair chance of being promoted due to conformity
• Scientific Management – Frederick Taylor
o Also early 1900s
o Best way: Measure effects of different arrangements and pick the one that allows gross
efficiency (non-humanistic)
o Focus was on maximum quantity
o PIECE more widgets = more money
o Assumed price is the only motivator
o Use of careful research to determine degree of specialization
o Supported development of written instruction that defined work procedures