MGHB02H3 Chapter Notes - Chapter 1: Human Relations Movement

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19 Jul 2010
Sunday, September-13-09 Organization Behaviour Chapter 1
Organizational Behaviour and Management
Organizations are social inventions for accomplishing common goals through grouped
o Example: Calgary Flames
Social Inventions
When organizations are called social inventions, it means that their essential
characteristic is the coordinated presence of people, not only things.
Many service organizations have very little physical capital
However these organizations have people who present opportunities and challenges
The field of organizational behaviour is about understanding people and managing them
to work effectively
Goal Accomplishment
Some organizations have basic goals as in providing services, delivering news, or
winning hockey games.
Non-profit organizations have goals such as saving souls or educating people.
All organizations have survival as their main goal.
The field of organizational behaviour is concerned with how organizations can survive
and adapt to change
For organizations to survive people have to
o Be motivated and remain in organizations
o Carry out basic work reliably
o Be willing to learn and upgrade knowledge
o Be flexible and innovative
Group Effort
Organizations depend on interaction and coordination among people to achieve goals
Informal groupings of people occur because of developed friendships that make alliances
to accomplish work
Informal groups have a positive impact of morale within a organization
The field of organizational behaviour is concerned with how to get people to practise
effective teamwork.
Organizational Behaviour refers to the attitudes and behaviours of individuals and
groups in organizations.
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Sunday, September-13-09 Organization Behaviour Chapter 1
Organizational behaviour is even interested with attitudes such as how satisfied or
committed are people to their work
Important areas of study are co-operation, conflict, innovation and resignation.
How do employees in organizations learn and what is the role of training and career
o Internal training
o Tuition reimbursement program
o Outside courses
How can organizations motivate employees and how important is compensation?
o Receive many benefits
o Receive bonuses based on profit and productivity of company
What is a strong organizational culture and what role does it play in an organization’s
o Culture that emphasizes social responsibility
o Concern/caring for employees
What style of leadership is most effective?
o Senior management sits down with employees for their input and involvement in
company decisions
Organizational Behaviour is Interesting
Interesting because it is about people and human nature
Organizational Behaviour is Important
A company’s success is not only based on economics and finance, but also a strong sense
of organizational behaviour.
The consumers of an organization’s products and services are also affected by
organizational behaviour
Important to managers, employees and consumers
Help improve organizational effectiveness and efficiency
Organizational Behaviour Makes a Difference
The main factor that differentiates successful organizations is those that can effectively
manage their employees, it’s not all about financial resources or technology.
There are 16 practices of companies that are effective through their management of
o Incentive pay
o Participation
o Empowerment
o Teams
o Job redesign
o Training and skill development
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Sunday, September-13-09 Organization Behaviour Chapter 1
High performing employees are good for profits
1. Effective organizational leaders tend to possess identical personality traits. FALSE
2. Nearly all workers prefer stimulating, challenging jobs. FALSE
3. Managers have a very accurate idea about how much their peers and superiors are paid.
4. Workers have a very accurate idea about how often they are absent from work. FALSE
5. Pay is the best way to motivate most employees and improve job performance. FALSE
Main goals are predicting, explaining and managing behaviour that occurs in
o Example: The factors that predict which pay plans are most effective in
motivating employees
Predicting Organizational Behaviour
Considerable interest in organizations in predicting when people will make ethical
decisions, create innovative products , or engage in sexual harassment
Organizational behaviour provides a scientific foundation that helps improve predictions
or organizational events
Explaining Organizational Behaviour
In general, accurate prediction precedes explanation
A particular behaviour may have multiple causes, so explaining it is the key, not just
predicting it
A company with a turnover problem, will need to try to find an explanation for why it’s
happening before it could put effective correction into place
o This turnover problem could have many causes
Ability to understand behaviour is a necessary prerequisite for effectively managing it
Managing Organizational Behaviour
Management is defined as the art of getting things accomplished in organizations.
Managers acquire, allocate and utilize physical and human resources to accomplish goals.
Behaviour that can be predicted and explained can often be controlled and managed
Prediction and explanation constitutes analysis, management constitutes action.
If you act without analysis, the result is disaster
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