Thursday, May 27, 2010

Organisational behavior

Organisational behavior

The study of Organizational Behaviour (OB) is very interesting and challenging too. It is related to individuals, group of people working together in teams. The study becomes more challenging when situational factors interact. The study of organizational behaviour relates to the expected behaviour of an individual in the organization. No two individuals are likely to behave in the same manner in a particular work situation. It is the predictability

of a manager about the expected behaviour of an individual. There are no absolutes in human behaviour. It is the human factor that is contributory to the productivity hence the study of human behaviour is important. Great importance therefore must be attached to the study. Researchers, management practitioners, psychologists, and social scientists must understand the very credentials of an individual, his background, social framework, educational update, impact of social groups and other situational factors on behaviour. Managers under whom an individual is working should be able to explain, predict, evaluate and modify human behaviour that will largely depend upon knowledge, skill and experience of the manager in handling large group of people in diverse situations. Preemptive

actions need to be taken for human behaviour forecasting. The value system, emotional intelligence, organizational culture, job design and the work environment are important causal agents in determining human behaviour. Cause and effect relationship plays an important role in how an individual is likely to behave in a particular situation and its impact on productivity. An appropriate organizational culture can modify individual behaviour. Recent trends exist in laying greater stress on organizational development and imbibing a favorable organizational culture in each individual. It also involves fostering a team spirit and motivation so that the organizational objectives are achieved.

There is a need for commitment on the part of the management that should be continuous and incremental in nature.

The scope of the organizational behaviour is as under:

(a) Impact of personality on performance

(b) Employee motivation

(c) Leadership

(d) How to create effective teams and groups

(e) Study of different organizational structures

(f) Individual behavior, attitude and learning

(g) Perception

(h) Design and development of effective organization

(i) Job design

(j) Impact of culture on organizational behavior

(k) Management of change

(l) Management of conflict and stress

(m) Organizational development

(n) Organizational culture

(o) Transactional analysis

(p) Group behaviour, power and politics

(q) Job design

(r) Study of emotions

The field of the organizational behaviour does not depend upon deductions based on gut feelings but attempts to gather information regarding an issue in a scientific manner under controlled conditions. It uses information and interprets the findings so that the behaviour of an individual and group can be canalized as desired. Large number of

psychologists, social scientists and academicians have carried out research on various issues related to organization behaviour. Employee performance and job satisfaction are determinants of accomplishment of individual and organizational goals.

Organizations have been set up to fulfill needs of the people. In today’s competitive world, the organizations have to be growth-oriented. This is possible when productivity is ensured with respect to quantity of product to be roduced with zero error quality. Employee absenteeism and turnover has a negative impact on productivity.Employee who absents frequently cannot contribute towards productivity and growth of the organization. In the same manner, employee turnover causes increased cost of production. Job satisfaction is a major factor to analyse performance of an individual towards his work. Satisfied workers are productive workers who contribute towards building an appropriate work culture in an organization. Organizations are composed of number of individuals working

independently or collectively in teams, and number of such teams makes a department and number of such departments make an organization. It is a formal structure and all departments have to function in a coordinated manner to achieve the organizational objective. It is therefore important for all employees to possess a positive attitude towards work. They need to function in congenial atmosphere and accomplish assigned goals. It is

also important for managers to develop an appropriate work culture. Use of authority, delegation of certain powers to subordinates, division of labour, efficient communication, benchmarking, re-engineering, job re-design and empowerment are some of the important factors so that an organization can function as well-oiled machine. This is not only applicable to manufacturing organizations but also to service and social organizations.

DEFINITION

“Organizational behavior is a field of study that investigates the impact that individuals, groups and organizational structure have on behavior within the organization, for the purpose of applying such knowledge towards improving an organizational effectiveness”.

Elements of Organizational Behavior

The organization's base rests on management's philosophy, values, vision and goals. This in turn drives the organizational culture which is composed of the formal organization, informal organization, and the social environment. The culture determines the type of leadership, communication, and group dynamics within the organization. The workers perceive this as the quality of work life which directs their degree of motivation. The final outcome are performance, individual satisfaction, and personal growth and development. All these elements combine to build the model or framework that the organization operates from.

Models of Organizational Behavior

There are four major models or frameworks that organizations operate out of:

  • Autocratic - The basis of this model is power with a managerial orientation of authority. The employees in turn are oriented towards obedience and dependence on the boss. The employee need that is met is subsistence. The performance result is minimal.
  • Custodial - The basis of this model is economic resources with a managerial orientation of money. The employees in turn are oriented towards security and benefits and dependence on the organization. The employee need that is met is security. The performance result is passive cooperation.
  • Supportive - The basis of this model is leadership with a managerial orientation of support. The employees in turn are oriented towards job performance and participation. The employee need that is met is status and recognition. The performance result is awakened drives.
  • Collegial - The basis of this model is partnership with a managerial orientation of teamwork. The employees in turn are oriented towards responsible behavior and self-discipline. The employee need that is met is self-actualization. The performance result is moderate enthusiasm.

Although there are four separate models, almost no organization operates exclusively in one. There will usually be a predominate one, with one or more areas over-lapping in the other models.

The first model, autocratic, has its roots in the industrial revolution. The managers of this type of organization operate out of McGregor's Theory X. The next three models begin to build on McGregor's Theory Y. They have each evolved over a period of time and there is no one "best" model. The collegial model should not be thought as the last or best model, but the beginning of a new model or paradigm.

Social Systems, Culture, and Individualization

A social system is a complex set of human relationships interacting in many ways. Within an organization, the social system includes all the people in it and their relationships to each other and to the outside world. The behavior of one member can have an impact, either directly or indirectly, on the behavior of others. Also, the social system does not have boundaries...it exchanges goods, ideas, culture, etc. with the environment around it.

Culture is the conventional behavior of a society that encompasses beliefs, customs, knowledge, and practices. It influences human behavior, even though it seldom enters into their conscious thought. People depend on culture as it gives them stability, security, understanding, and the ability to respond to a given situation. This is why people fear change. They fear the system will become unstable, their security will be lost, they will not understand the new process, and they will not know how to respond to the new situations.

Individualization is when employees successfully exert influence on the social system by challenging the culture.

See the figure above..

  • Too little socialization and too little individualization creates isolation.
  • Too high socialization and too little individualization creates conformity.
  • Too little socialization and too high individualization creates rebellion.
  • While the match that organizations want to create is high socialization and high individualization for a creative environment. This is what it takes to survive in a very competitive environment...having people grow with the organization, but doing the right thing when others want to follow the easy path.

This can become quite a balancing act. Individualism favors individual rights, loosely knit social networks, self respect, and personal rewards and careers. It becomes look out for number 1! Socialization or collectivism favors the group, harmony, and asks "What is best for the organization?" Organizations need people to challenge, question, and experiment while still maintaining the culture that binds them into a social system.

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