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MHR 405 (330)
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MHR CHAPTERS NOTES.doc

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Department
Human Resources
Course Code
MHR 405
Professor
Frank Miller

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CHAPTER 1: INTRODUCTION TO ORGANIZATIONAL BEHAVIOUR WHAT IS ORGANIZATIONAL BEHAVIOUR Organizational Behavior: a field of study that seeks to understand, explain, predict, and change human behavior, both individual and collective in the organizational context Organizational behaviour is studied at three different levels, the individual level, the group level and the organization wide level. Today, inter-organizational levels are also being explored Roots of Organizational Behaviour The roots of organizational behaviour emerged as a distinct field in the mid- 1940s and is a discipline that has grown out of contributions from numerous earlier fields of study The fields include; 1. Psychology: influences; work teams, work motivation, training and development, power and leadership, human resource planning, and workshop wellness 2. Sociology: influences; group and intergroup dynamics, roles, norms, and standards of behaviour, ethics, etc 3. Engineering: influences; design of work, efficiency, performance standards, productivity, goal setting, and scientific management 4. Anthropology: influences; organizational culture, patterns of behaviour 5. Administrative Science: influences; design, implementation, and management of various administrative and organizational systems Organizational Behavior and Management Organization: groups of people who work independently toward some common purpose Managers: people in the organizations who perform jobs that involve the direct supervision of other people o Planning: involves defining goals that flow from the business strategy, setting performance objectives and creating action plans o Organizing: includes dividing up the tasks and establishing work roles or departments in order to carry out the plans o Leading: involves communicating, motivating and managing conflict o Controlling: monitoring financial and human performance Mintzberg discovered that managers are required to perform interpersonal, informational, and decisional functions that encompassed tasks related to the management of people as well as those related to the management of information, material and financial resources THE BENEFITS OF STUDYING ORGANIZATIONAL BEHAVIOUR Organizational behaviour is an applied behaviour science which means it is based on research that improves ones ability to understand, predict and influence others 1. Improved Managerial Effectiveness and Bottom Line Effective management of OB connects to various aspects of a companys bottom line such as sustaining high performance over changing market conditions, improving individual and group productivity, and increasing organizational adaptability Management of OB has become increasingly important partly because traditional sources of competitive advantage such as market share, proprietary technology, access to capital have become less powerful 2. More Efficient Influence Mastering the field of OB is essential for managers in order to influence others. It is important for non-managers as well to influence their bosses 3. A Career in Human Resources The first step towards learning about the field of OB AN OPEN SYSTEMS FRAMEWORK FOR EXPLAINING HOW ORGANIZATIONS FUNCTION External Task Environment The companys external environment includes those sectors with which the organization interacts directly and that have a direct impact on the organizations ability to achieve goals Boundary-spanning role: jobs that link and coordinate an organization with key elements in the task environment Organizational Inputs All the human, informational, material and financial resources taken from the external task environment and used by the organization The GHOST Model for the Internal Organization G (goals): the action strategies that leaders create and follow to accomplish the organizations purpose and vision H (human resources): employees and managers in the organization, including the nature of their relationships, their values, and the impact of the reward system on their behavior OS (organizational structure): is defined as the manner in which an organizations work is designed, as well as how departments, divisions, and the overall organization are designed. A key aspect of effective OB is ensuring that these complement each other rather than conflict T (technology): is the wide range of tolls, knowledge, IT, work processes and techniques used to transform the inputs into outputs Organizational Outputs The products and services, as well as the more intangible outputs such as reputation, image and ideas Feedback Processes Any information that people or organizations receive about their behaviour or performance, its effect on others, or comparison to a standard or expectation THE FORMAL/INFORMAL FRAMEWORK AND NEW PARADIGMS FOR UNDERSTANDING HOW ORGANIZATIONS WORK Formal organization: the official, legitimate and most visible part of the system Informal organization: the unofficial and less visible part of the system. This includes the unofficial and less visible elements such as beliefs, assumptions, values and unspoken norms that emerge in the organizational culture Organizational culture: a pattern of basic assumptions that are considered valid and that are taught to new members as the way to perceive, think and feel in the organization New Organizational Paradigms These paradigms tend to stress and elaborate on the internal organizations dynamic capacity for self-organization, learning, and complex adaptation These are important for managers as they draw attention to the softer aspects of organizational life such as relationships, trust, and interconnections that while less visible and easy to control directly, can be highly influential Chaos Theory and OB Say that organizations are not made up of different parts that can be controlled, but rather, they are made up of fields that influence our interactions, directions and decisions. These fields are both visible and invisible Imposed organizational structures should not be permanent. Rather, they need to come and go so that a structure emerges that actually supports the relationships that are most necessary Organizations as Complex Adaptive Systems It is the informal organization that emerges and guides peoples actions as they self organize and form patterns of behavior. A complex adaptive system can be defined as; complex means that organizations are composed of multiple and diverse pieces in differing relationships. Adaptive means that the organization is constantly learning new and effective means to fit with its environment in ways that enable a healthy, harmonious existence CURRENT ORGANIZATIONAL BEHAVIOR CHALLENGES AND OPPORTUNITIES Demands for Good Corporate Governance and Ethical Behavior Corporate governance: is the system of control and performance monitoring of top management Triple bottom line: a companys ability to generate economic, environmental and social benefits Corporate social responsibility: the obligation of a firm to use its economic, legal, ethical, and philanthropic resources in ways to benefit the society at large and to improve the welfare of society at large, independent of direct gains of the company Ethical behavior: acting in ways consistent with ones personal values and the commonly held values of the organization and society. The three ethical theories that help organizational leaders govern as good corporate citizens are o Theories that help us explore consequences of our behavior o Theories that provide us with universal rules to guide our decisions o Theories that emphasize the character, personal virtues and integrity of the individual Increasing Globalization and Competition: Challenges and Opportunities Competition Rapidly changing task environments are creating an increasing amount of competition Competition is leading to downsizing and restructuring, yet creating opportunities Globalization Transnational organization: organization in which the global viewpoint supersedes national issues The world has become a global macro economic village Customer Demand for Quality An increasing borderless and competitive marketplace has forced organizations to become more customer focused to meet customers expectations of high quality products and services Total quality management: the total dedication to continuous improvement and to customers, so that the customers needs are met and their expectations exceeded Managing Workforce Diversity: Challenges and Opportunities Diversity: all forms of individuals differences, including race, ethnicity, culture, gender, age, marital status, religion beliefs, educational background, stage in career, physical and mental ability, personality, social status, sexual orientation Cultural diversity
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