MGHB02H3 Chapter Notes - Chapter 1: Yokohama Rubber Company, Corporate Social Responsibility, Absenteeism
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What Are Organizations?
Organization: Social invention for accomplishing common goals through group effort
•OB is about understanding people and managing them to work effectively
•OB is concerned with how organizations can survive and adapt to change
•OB is concerned with how to get people to practise effective teamwork
What Is Organizational Behaviour?
Organizational Behaviour: The attitudes and behaviours of individuals and groups in organizations
The main factor that differentiates organizations is their workforce or human capital, and the most
successful organizations are those that effectively manage their employees. The goal of organiza-
tional behaviour is to predict, explain and manage organizational behaviour.
Early Prescriptions Concerning Management
The Classical View and Bureaucracy
Classical Viewpoint: An early prescription on management that advocated high specialization of
labour, intensive co-ordination and centralized decision making. Each department was to tend to its
own affairs, with centralized decision making from upper management providing co-ordination.
At the time scientific management contributed to the classical school.
Scientific Management: Frederick Taylor’s system for using research to determine the optimum
degree of specialization and standardization of work tasks.
Bureaucracy: Max Weber’s ideal type of organization that included a strict chain of command, de-
tailed rules, high specialization, centralized power and selection and promotion based on technical
The Human Relations Movement and a Critique of Bureaucracy
The movement began after the Hawthorne studies (1920’s and 30’s) conducted at the Western
Electric illustrated how psychological and social processes affect productivity and work adjust-
February 27, 2011 8:43 PM
OB is interest-
and it makes a
agement of of
sustain a com-
tions can be
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