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Commerce (1,633)
Chapter 1

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McMaster University
Teal Mc Ateer

Amreen Azam Thursday, September 6 , 2012 Chapter 1 – OB & Management **Emotional Intelligence (EI): consists of two components: self and other Intelligence Self Other Awareness Management Awareness Management  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 inventionfor accomplishing common goals② through group ③ effort 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 Page 1 of 8 Amreen Azam Thursday, September 6 , 2012 **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 Page 2 of 8 Amreen Azam Thursday, September 6 , 2012 The Evolution of OB • The perspective managers have had on the evolution of OB: Beyond Human relations Classical/Traditional (HR Perscpective) Human Relations Systems/Contingency ** Theory 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 Page 3 of 8 Amreen Azam Thursday, September 6 , 2012 **Human Relations Movement • Human relations movement: advocated management styles that were more participative and oriented toward employee needs o More flexible systems of mgmt. o Open communication; employee participation o Less rigid & more decentralized forms of control • Hawthorne Studies – research conducted at the Hawthorne plant of Western Electric in the 1920s that examined how psychological and social processes affect productivity o Done by Elton Mayo  Pay attention to workers influences productivity  Stimulated thinking around involvement, importance, encouraging workers to improve work somehow • Maslow’s Hierarchy of Needs – Know all 5 for the exam! o The bottom two sections are basic needs o The top three sections are higher order needs **Exam Question** • Notion of Pre-Potency: Is there an order? YES! • Could you be at the top levels of the pyramid without fulfilling basic needs? NO! Self- Actualization Esteem Afiliation Safety/Security Physiological(Food,2H O) • McGregor’s Theory X and Y o Theory X: Perspective manager holds about employees  Responsible for organizing employees  Mindset: Average worker is stupid; Thus, must
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