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Chapter 1

What is Organizational Behaviour - Chapter 1.docx

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Organization Studies
ORGS 1000
Frank Miller

What is Organizational Behaviour? - WestJet and Royal Bank of Canada developed corporate structures in such a way as to unleash talent of people and achieve important organizational goals - RBC values teamwork, ongoing learning, development and embracing and harnessing diversity of its employees - Have a shared value, vision and purpose - People driven organizations with employees that are committed to the company Good workers - - Get job done without having to be managed or - Helped new co-workers who needed assistance reminded - Followed key rules, even when reasons for - Adapt when something is needed to be them were not apparent changed or done differently - Felt attachment and obligation to employer for - Are always a good sport, even when bad things long haul occur - First to arrive last to leave - Attend optional meetings or functions to support colleague’s - Essential to understand why good and bad workers function differently; develop better ways to interact and complete work efficiently and effectively - As a manager you must: screen applicants, train and socialize with organizational members, mange evaluations, reward performance, and deal with conflict - Try to improve attitudes and behaviours in the unit Organizational Behaviour Defined - Field of study devoted to understanding, explaining and improving attitudes and behaviours of individuals and groups in organizations - Human resources management: field of study that focuses on applications of Organizational behaviour theories and principles in organizations o Explores the nuts and bolts application of those principles in organizations o Organizational behaviour study may explore relationship between learning and job performance; HR management study might examine best ways to structure training programs to promote employee learning - Strategic Management: field of study devoted to exploring product choices and industry characteristics that affect and organizations profitability o Might examine relationship between diversification and profitability - Job performance and individual characteristics draws from studies in organizational psychology - Models from economics used to understand motivation, leaning and decision making - Research on satisfaction, emotions and team processes draws from social psychology Role of Management Theory - Frederick Taylor (father of scientific management) and Max Weber emphasize on specialization, coordination and efficiency - Scientific management: using scientific methods to design optimal and efficient work processes and tasks o Carefully observed, measured and experimented to optimize performance - Bureaucracy: organizational form that emphasizes control and coordination of members through strict chain of command, formal rules and procedures, high specialization and centralized decision making o Every member reported to someone at a higher level in the organization o Rules ensured consistency, impartiality and impersonality throughout the organization - Human relations movement: field of study that recognizes that psychological attributes of individual workers and social forces within work groups have important effects on work behaviours - For human relations theorists: productivity problems viewed as result of worker alienation from organization failure of work to satisfy personal needs/goals, low organizational commitment or workgroup norms encouraging low performance - Contemporary management theories recognize dependencies between classical and human relations approach Integrative model of Organizational Behaviour Individual Outcomes - Primary outcomes of interest to organizational behaviour researches: job performance and organizational commitment - Employees want to perform jobs well and remain in companies that they respect - Managers want to maximize employee job performance and retain employees for as long as possible Individual Mechanisms - Job satisfaction; captures what employees feel when thinking about jobs and doing day to dat work - Stress; reflects employees’ psychological responses to job demands that tax or exceed their capacities - Motivation; captures energetic forces that drive employees’ work effort - Trust, justice, and ethics; reflect degree to which employees feel that company conducts business with fairness, honesty and integrity - Learning and decision making; deals with how employees gain job knowledge and use it to make accurate decisions Individual Characteristics and Group Mechanisms - Personality, cultural values and ability: helps understand what factors improve individual mechanisms; focuses on individual characteristics and describes how personal attributes relate to performance and commitment - Teams, diversity and communication: people at times work in groups; group factors shape satisfaction, stress, motivation, trust and learning - Power, influence and negotiation: focus on how power and influence are used to negotiate outcomes and resolve conflict - Leadership styles and behaviour: describes how leaders behave and conditions and analyze conditions where different styles are appropriate to influence others Organizational Mechanisms - Organizational Structure: dictates how units within the firm link t and coordinate with other units; structures can be centralised around decision making authority or decentralized, giving each unit autonomy - Organizational Culture and Change: shared knowledge about rules, norms and values that shape employee attitudes and behaviours; need to review how corporate culture may change Does Organizational Behaviour Matter - Effective organizational behaviour can help keep product good and make it better, incrementally, over the long term - Has bearing on company’s bottom-line profitability - Hyundai emphasized on quality; work teams were devoted quality have been expanded and employees have been enrolled in special training programs Organizational Behaviour Internationally - Changes in technology, communications and economic forces have made business more global and international - Cross-cultural differences: national cultures affect many relationships - International corporations: hard to determine whether to keep policies and practices consistent across locations or tailor to meet needs of i
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