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Lecture 1, 10/12/2012

Introduction to Organizational Behaviour

Professor Julia Connell

Myth 1:It is easy to be a manager!

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Lecture 1: objectives (Students will be able to): Describe the major challenges and contributions for OB concepts

Describe the relationship between the organisation and its environment

dentify forces in an organisation’s environment influencing the role of managing today.

Outline the requirements to pass the course.

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What is Organisational Behaviour about?

A study of individuals, groups and contextual factors in organisations

A framework for more advanced management studies

Involves theoretical insights and practical skills development

Aims to provide students with a greater awareness into their own behaviour and that of others

Aims to broaden perspectives

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Some Questions we may have Why are decisions taken in a particular manner?

Why are structures and systems like this?

Why do colleagues/my boss behave like this towards me and each other?

Why don’t others work the way I do?

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OVERVIEW OF MANAGEMENT

‘Management is the achievement of organisational goals through the major functions of planning, organising, leading and controlling.’

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The ‘Management’ in Organisations

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OVERVIEW OF MANAGEMENT Planning

The process of setting goals and deciding how best to achieve them.

Organising The process of allocating human and non-human resources so that plans can be carried out successfully.

Leading The process of influencing others to engage in the work behaviours necessary to reach organisational goals.

Controlling The process of regulating organisational activities so that actual performance conforms to expected organisational standards and goals.

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Aligning the organisation and the environment

Source: D. Dunphy and D. Stace, Under New Management: Australian Organisations in

Strategic management

Strategy(strategic directions, goals)

Structure Process(macro to micro levels) (management systems)

Aim:To maintain or regain internal fit in theprocess of strategic implementation

Externalenvironment

• Leadership

• Culture

• Management quality

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Leadership and Management

Managers who are also Leaders

Managers who are not Leaders

Leaders who are not Managers

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OrganisationalOrganisationalresearchresearch

UnderstandUnderstandorganisationalorganisational

eventsevents

PredictPredictorganisationalorganisational

eventsevents

InfluenceInfluenceorganisationalorganisational

eventsevents

Why study management and organisational behaviour?

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What can it do for you? Improve your own performance and effectiveness

Builds job-related skills (eg. Management/ leadership, team formation, relationship building within and between organisations, understanding workplace diversity, coping with change)

‘Soft skills’ (people as resources) rather than just ‘hard skills’ (functional or technical)

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What can it do for you? Gain awareness that will prepare you for roles of responsibility at work (how to assess people for promotion, how to make appropriate decisions etc).

Generalise this awareness to help all areas of your life, not just work

Not just for managers

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Values, Ethics, and Emotions

Motivation

Individual LevelIndividual Level Organisational LevelOrganisational Level

Group ProcessesDecision-Making

Politics Leadership etc

StructureCulture

Change etc

Levels of Organisational Analysis

Group LevelGroup Level

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Quiz on Organisational Behaviour True False A happy worker is a productive worker.

True False Decision makers tend to continue supporting a course of action even though information suggests that the decision is ineffective.

True False Organisations are more effective when they prevent conflict among employees.

True False It is better to negotiate alone than as a team.

True False Companies are most effective when they have a strong corporate culture.

True False Employees perform better when they don’t experience stress.

True False The best way to change an organization is to get employees to identify and focus on its current problems.

True False Female leaders involve employees in decisions to a greater degree than do male leaders.

True False Brainstorming is an effective way to improve creativity in teams.

True False Top-level executives tend to exhibit a Type A behaviour pattern (ie hard-driving, impatient, competitive, short tempered, strong sense of time

urgency, rapid talkers).

True False Employees usually feel over reward inequity when they are paid more than colleagues performing the same work.

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Major periods in the development of the field of management

1900 1924 1945 1980 1990

Pre-scientificmanagementperiod(before 1900)

Scientificmanagementperiod

Human relationsapproach

Contingencyapproach

Culture–qualitymovement

Postmodernorganisation

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Changes in the need for three types of skills across organisational levels

Source: adapted from R.L. Katz, ‘Skills of an Effective Administrator’, Havard BusinessReview 33 (1955): 33–42.

Conceptual

Conceptual

ConceptualHuman

Human

HumanTechnical

Technical

TechnicalFirst-level Middle-level Top-levelmanagement managementmanagement

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VERTICAL DIFFERENCES IN MANAGEMENT ROLES

Top managers—planning, conceptual skills

Middle managers—mixed skill needs

First line managers/supervisors—leading, technical skills

Operational level staff

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Average Managers

Trad. M gm nt32%

Com m unication29%

HRM20%

Networking19%

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Successful Managers vsEffective Managers

Trad. M gm nt13%

Com m unication28%

HRM11%

Netw orking

48%

Trad. M gm nt19%

Com m unication44%

HRM26%

Netw orking

11%

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Globally, 8 Areas Demand Most Immediate Action/attention

Trends from Trends from 83 countries83 countries

Improving Improving LeadershipLeadership

Work Life Work Life BalanceBalance

Managing Managing DemographicsDemographics

Managing Change/Managing Change/cultural transformationcultural transformation

Making HR a strategic Making HR a strategic partnerpartner

BCG: Worldwide Challenges 2015BCG: Worldwide Challenges 2015

Managing Managing globalisationglobalisation

Managing talentManaging talentBecoming a Becoming a learning org.learning org.

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5 Trends in Managing Contemporary Organisations Globalisation Changing Workforce Employment Relationship Information Technology Changing Values and Ethics

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Trends: globalisation Global companies

extend their activities to other parts of the world

actively participate in other markets

compete against firms in other countries

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Trends: globalisation Implications of globalisation new organisational structures

different forms of communication

more competition, change, mergers, downsizing, stress

need more sensitivity to cultural differences

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Trends: changing workforce Primary and secondary diversity More women in workforce and professions

Different needs of Gen-X, Gen-Y and baby-boomers

Diversity has advantages, but firms need to adjust through cultural awareness family-friendly policies empowerment

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Trends: employment relationship Employability

employees perform many tasks, not a specific job

Casual work no explicit or implicit contract for long-term employment

Telecommuting working from home, usually with a computer connection to the office

Virtual teams operate across space, time and organisational boundaries; mainly communicate through electronic technologies

Changing Labour Contracts

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Trends: information technology Affects how employees interact

virtual teams telecommuting

Affects how organisations are configured network structures alliance of several organisations

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Trends - values and ethics Values

stable, long-lasting beliefs about what is important

personal, cultural, organisational, professional Importance of values

globalisation more awareness of different values

values replacing command and control more emphasis on ethical business conduct

Ethics moral principles/values determine whether

actions are right/wrong and outcomes are good/bad

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Challenges and Opportunities for Organisational Behaviour

Changing ‘Psychological Contract’, nature of work

Responding to globalisation Managing workplace diversity Improving quality and productivity Improving people skills Empowering people Implementing teams Managing changing technology Coping with change Improving ethical behaviour Managing knowledge

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The Psychological Contract – An Open System

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A model of the psychological contract (Guest, 1998)

Causes Content ConsequencesOrganisational culture/climateHRM Policy & practiceExperienceExpectationsAlternatives

Fairness

Trust The delivery of the ‘deal’

Job satisfactionOrg.commitmentSense of securityEmployment relationsMotivationOrg. citizenshipAbsenceIntention to quit

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FeedbackFeedback FeedbackFeedback

OutputsOutputsInputsInputs

SubsystemSubsystemSubsystemSubsystem

SubsystemSubsystem SubsystemSubsystem

OrganisatioOrganisationn

Open systems anchor of OB

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Intellectual capital Human capital

knowledge that employees possess and generate

Structural capital knowledge captured in systems and structures

Relationship capital value derived from satisfied customers, reliable suppliers and others

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Knowledge management processes Knowledge acquisition

grafting learning experimentation

Knowledge sharing communication communities of practice

Knowledge use awareness freedom to apply knowledge

Courtesy of Billabong

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LEARNING ABOUT OB

Organisational Behaviour AssignmentsAssessment Type  

When assessed 

Weighting  

Learning Outcomes Assessed

Quizzes Sessions 3, 5, 7 and 8

20% a, c

Participation/Learning Journal

Ongoing – submitted week 9

15% a, b, c

Group Work Presentation Sessions 8 and 9 15% a, b, c

Individual Assignment Post sessions 20% a, b, c

Exam Exam week 40% a, b, c

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David Kolb:Experiential Learning Cycle

ReflectiveObservation

ActiveExperimentation

ConcreteExperience

AbstractConceptualization

Kolb & Fry, 1975; Kolb, 1976, 1984

Experiential Learning

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LECTURE SUMMARY Overview of management

Management functions (POLC) Managerial knowledge, skills & performance Technical, human and conceptual Vertical & horizontal differences in management roles

Managing in the 21st century Change, innovation, diversity, globalisation, quality & organisational development

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OB Students – what you need to do. Familiarise yourself with the text, course requirements and assessments.

Begin reading/preparing for assignments