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Principles of Organizational Behavior:

Realities and Challenges


8e
James Campbell Quick and Debra L. Nelson

CHAPTER
1
Organizational
Behavior and
Opportunity

2013 Cengage Learning. All Rights Reserved.


May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
2013 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
Learning Objectives

1 Define organizational behavior.


2 Identify four action steps for responding
positively in times of change.
3 Identify the important system components
of an organization.
4 Describe the formal and informal elements
of an organization.

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2013 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
Learning Objectives continued

5 Understand the diversity of organizations in


the economy, as exemplified by the six
focus organizations.
6 Recognize the opportunities that change
creates for organizational behavior.
7 Demonstrate the value of objective
knowledge and skill development in the
study of organizational behavior.

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^
^ Organizational Behavior Defined

Organizational behavior is
individual behavior and group
dynamics in organizations.

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^
The call to competition,
^
contest or batle

Times of Challenge and Change

The transformation or modification of


an organization and/or its stakeholders

Lead to Opportunities

Favorable times or chances for


progress and advancement
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^ Organizational Variables that Affect Human
^ Behavior

Communication Performance
Appraisal

Work Design Organizational


Design

Jobs
Human Organizational
Behavior Structure

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^
^ Two Perspectives on Human Behavior

Internal External
Understands Understands
behavior through behavior through
factors inside the factors outside the
person person

Interprets behavior
Interprets behavior through external
through thoughts events and
and feelings environmental
factors

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^
^ Anthropology
the science of
human learned
Psychology behavior Engineering
the science the applied science
of human Interdisciplinary of energy and
behavior Influences on mater
Organizational
Sociology Behavior Medicine
the science the applied science
of society Management of healing or
the study of overseeing treatment of
activities and supervising diseases to enhance
people in organizations an individuals
health and well-
being 8
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^
^ Behavior in Times of Change

In the midst of change, people often become


rigid and reactive, rather than open and
responsive
See the opportunity in change
Have a positive attitude
Ask questions
Listen to the answers
Be committed to success

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^
^ Organizations as Open Systems

Organizations are open systems of


interacting components
People, tasks, technology, and structure
come together for a purpose
Internal components interact with external
components in the task environment
Competitors
Customers
Vendors

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2013 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
^
^ Internal Components of an Organization

Task an organizations mission, purpose,


or goal for existing
People the human resources of the
organization
Technology the tools, knowledge,
and/or techniques used to transform inputs
into outputs
Structure the systems of communication,
authority and roles, and workflow

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^
^

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^
^ The Formal and Informal Organization

Formal Organization the official, legitimate,


and most visible part of the system
Informal Organization the unofficial and less
visible part of the system
The importance of employees moods,
emotions, and dispositional affect is a key
factor in critical organizational outcomes.

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^
^

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^
^ Six Focus Organizations

Netflix, Inc.
Ford Motor Company
Oracle Corporation
Groupon
Dyson
QuikTrip

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^
^ The Challenges of Change

Three challenges for managers relating to


change in organizations:
1. Globalization leads to intense rivalry
2. Workforce diversity
Ethnic
Religious
Gender
3. Ethics

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^
^ Quality Is

A potential means for giving organizations in


viable industries a competitive edge in
international competition
A rubric for products and services that are of high
status
A customer-oriented philosophy of management
with implications for all aspects of organizational
behavior
A cultural value embedded in successful
organizations
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^ Three Key Questions in Evaluating
^ Quality-Improvement Ideas

Does the idea improve customer response?


Does the idea accelerate results?
Does the idea raise the effectiveness of
resources?

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^
^ Six Sigma

A philosophy for company-wide quality


improvement
Characterized by
Customer-driven approach
Quantitative decision making
A priority on saving money

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^
^

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2013 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
^
^ Managers Act to Advance Total Quality

Engage in participative management


Be willing to change everything
Focus quality efforts on customer satisfaction (not
cost cutting)
Include quality as a reward criterion
Communicate quality improvement successes (or
failures)
Be actively and personally involved in quality efforts

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2013 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
^
^ Challenges to Managing Organizational Behavior

Increasing globalization of organizations


operating territory
Increasing diversity of organizational
workforces
Continuing demand for higher levels of
moral and ethical behavior at work

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2013 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
^
^ Learning about Organizational Behavior

First, the science of organizational behavior


requires the mastery of a certain body of
objective knowledge from research and scientific
activities
Second, the practice of organizational behavior
requires skill development based on knowledge
and an understanding of yourself
Third, both objective knowledge and skill
development must be applied in real-world
settings
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^
^

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2013 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
^
^

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2013 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
^
^ Trends Affecting Managers

Industrial restructuring
A dramatic increase in the amount and
availability of information
A need to atract and retain the best
employees
A need to understand a wide range of human
and cultural differences
A rapid shortening of response times in all
aspects of business activities
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^
^ The Challenge for Managers Today

Reweaving the fabric of human relationships


within, across, and outside the organization
requires
Trust
Predictability
A sense of security

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^
^ Knowledge Becomes Power

Information

Facts Theories

Knowledge
base

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2013 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.

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