Introduction to ob

1. CONCEPT OF ORGANIZATIONAL BEHAVIOR
Learning quest 1: What is an organization?
Organization in simple terms may be referred to as
a systematic and scientific arrangement of
resources brought together with the aim to achieve
the stated goals of the institution to be achieved
over a period of time.
Such resources may be broadly classified into two
categories – i. human, and ii. non-human resources.
Organizational objectives or aims also may be
broadly categorized into tow types – i. business for
a profit, and ii. service not for profit.
Similarly, the time also can be classified into two
runs – i. short-run, and ii. long-run.
April 8, 2015 1Dr Rijal on OB

Learning quest 2: What is behavior?
Simply speaking, behavior may be referred to the
way one acts upon something.
In other words, behavior in human science, may be
referred to as the pattern of actions of an individual
over a situation or context.
Behavior is a psychological phenomenon inherent in
human.
Behavior is an end-result of certain happening
preceding it.

Learning quest 3: What is OB then?
The scientific study of human and institutional
behavioral exchanges in an organizational setting is
the sole subject matter of study in OB.
Such exchanges may be observed at least in three
levels – i. individual level exchanges, ii. group level
exchanges and system level exchanges.
Again, study of the sole subject matter of OB is
primarily guided by three disciplines - anthropology,
psychology and sociology.

Learning quest 4: Why considering OB in hospitality?
The main purpose of hospitality business is to
exchange glorify the learning moments of the
guests by guiding them marvelously towards the
staging of the services on offer of the institution
through quality human and institutional touch.

Model of OB
 Needs discussion on various dependent and
independent variables at individual, group and
systems level and their collective outcomes.
 Refer exhibit 1.8, Basic OB Model Stage II, p. 37;
Robbins, Judge and Sanghi, OB 13th ed.
 Let’s develop a new and widely covered model by
ourselves in class itself. Are you ready for it?

Model of OB
Individual Level Variables
Personal demography [Education, gender, religion,
nationality, social class, age, etc.]
Biographical characteristics
Values and norms
Attitudes
Personality
Perception
Skill competence
Learning
Individual decision-making
Commitment towards organization
H
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a
n
I
n
p
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s
Motivation
Group Level Variables
Communication
Work groups
Work teams
Interpersonal conflict
Group decision-making
Leadership
Systems Level Variables
HR policies/practices
Structure and design
Change and development
Organizational culture
Work stress
Power and politics
Strategic
Thrusts
Expected OB Outcomes
Increased productivity
Increased job satisfaction
Decreased turnover
Decreased absenteeism
Feedback
Corporate
Citizenship

Levels of OB Analyses
 Basically, the analyses of organizational behavior is
performed at three levels of human input and
transaction leading to organizational outcomes as
the collective results of behavioral exchanges at
each level of OB system in a hospitality institution.
 The study of individual characteristics,
interpersonal relationship, group dynamics,
intergroup behavior, and institutional systems
level operations’ analyses are the key levels of
analyses in OB in a hospitality specialized
institution.

1. Concept of Organizational Behavior
The scientific study of behavior -- facts about the
people what they do, what they should do, how
they do and why they should the way they are
expected to do or act refers to the study of OB in a
hospitality institution.
It focuses on the human and better understanding
of human behavior in an organizational setting.
Organizes facts surrounding the actions of people at
workplace, say in the F&B Production Department.
Also provides with depth insights on how
organization’s structural system affects the pattern
of responses of the people in an organization, say
organizational culture affecting the shaping of
people behavior in an airlines company.

To recap it…
 An organization is referred to as a well coordinated
set of people and other resources brought
together to accomplish a specified purpose.
 Human behavior refers to the way how people
perceive, receive and react to each other so as to
contribute collectively for personal as well as
institutional betterment.
 Organizational behavior (OB) is the study of how
people and organizational systems behave or
interact each other.
 Study of OB is precisely a learning of social science.

More OB identifiers…
 Study of OB serves as a root for the study of –
 Organizational relations
 Industrial relations
 Industrial psychology
 Organizational psychology
 Behavioral science
 And so on …
 It precisely specializes in the study of human
behavioral dimension in an organizational setting.

Importance of OB
It attempts to explore and establish the fitness of
individual in working environment – person-job-fit,
person-group-fit, and person-organization-fit.
Promotes human behavior and attitude among the
employees in an organization.
Attempts to rationalize human actions.
Explores the areas of development among people
working together in an organizations.
Establishes relations across organizations.
Promotes the value of cross-cultural diversity.

 In 4th century BC, Aristotle, the first behavioral scientist,
labeled human merits in many aspects.
 Comte (1830s) wrote about the discipline of sociology and
core value of sociology.
 Ford Foundation (1950s) performed the study of favorable
attitudes towards behavioral science over short span of
time.
 Galileo and Merton (1963) said behavioral science
comprises a new science of ancient subject.
 Berelson (1963) pointed out the revolutionary change in
the fields, i.e. technical and specialized.
 Senn (1966) considered behavioral science in human and
organizational setting, as a valid description of the work.
Emergence of OB as a Discipline

2. Contributing Disciplines to OB
 In fact, OB is an integrated study of a number of
social sciences rather than itself being a stand
alone subject of study.
 More specifically, psychology, social psychology,
sociology and anthropology are the basic
disciplines that contribute significantly in the field
of OB.

Basic disciplines contributing to the field of OB
Behavioral Contribution Unit of Analysis Output
Sciences
April 8, 2015 14
Learning, motivation, personality,
emotions, perception, training,
leadership effectiveness, job
satisfaction, individual decision-
making, performance appraisal,
aptitude measurement, employee
selection, work design, work stress
Behavioral and attitude change,
communication, group processes,
group decision-making
Communication, power, conflict,
intergroup behavior
Individual
Study
of OB
Comparative values, attitudes and
cross-cultural diversity
Organizational culture,
environment, power and politics
Formal organizational theory,
technology, change and culture
Group
Organizational
System
Dr Rijal on OB

Disciplines contributing to the field of OB
i. Basic disciplines: Anthropology, Psychology, and
Sociology.
ii. Applied areas: Marketing, Management, and
Economics.
iii. Newer fields: Decision Theory, Information and
Communication Theory, and Cybernetics.

Anthropology and OB
 Anthropology focuses on human study from the
perspectives of human development, span of
development across various life stages, human
values, norms, caste-ethnic perspectives, language,
cultural system and traditions.
 These all are the key elements of individual
behavioral study.
 OB attempts to establish the relationship between
the social norms, values and traditions and
responses of people to each other bearing diverse
value system in an organization.

Psychology and OB
 Psychology is the study of human intelligence.
 Assessment of the impact of one’s mental health
on his/her memory power as well as set pattern of
behavior is the key of the study in psychology.
 OB attempts to establish linkage between one’s
mental health, level of intelligence and memory
power to his/her behavioral responses,
adjustment, and individual productivity leading to
organizational performance.

Sociology and OB
 Sociology is the study of human behavioral exchanges
in social setting.
 Formation of social values, norms, rules and
regulations as well as collective thoughts are deeply
rooted with the human behavior in collective form.
 The behavior of individual members significantly
affects the behavior of the society at large since the
individuals are the basic unit of the formation of a
society.
 An organization itself being a diverse society,
behavioral exchanges may have even greater
relevance.

Marketing and OB
 Marketing specializes on influencing consumer
behavior by means of effective marketing and
promotional attempts on its offering.
 Influencing consumer responses is precisely
behavioral adjustment.
 Managing market demand and supply precisely
relies on consumers’ behavior and attitude towards
the goods and services brought for marketing offer.

Management and OB
 Getting things done from and with the people and
other resources available in an organization is the
act of management.
 Motivated and happy workers may serve with
higher degree of productivity.
 Making people and system motivated is a part of
behavioral adjustment.
 Thus, managing partly refers to influencing human
behavior.

Economics and OB
 Economics specializes on public welfare through
managing cost effectiveness of their utilities and
other items of consumption.
 It focuses on the analyses of how one unit of
change in price of the product will affect its
demand or how will it affect the economic welfare
of the target customers and general public at large.
 Similarly, it also studies how the firms respond to
increasing demand of certain products or services.
 Such a study is precisely a part of study of human
and institutional behavior.

Decision Theory and OB
 The focal point of study in decision theory is to establish
proper estimations of effectiveness of the decision
alternatives.
 It also establishes the priorities for alternative courses of
action, if the selected alternatives will work, or to what
extent, and what, if they do not work at all.
 For example, to increase employee motivation, a manager
may come up with salary raise as the first alternative. If it
does not work, other alternatives will be given priority.
 Such an adjustment is precisely a part of influencing
human behavior at work place.

Information and Communication Theory and OB
 The concept of information and communication
underlies the fact that this is the age of information
and communication and effective communication
through right channel and right message will have
greater impact on human behavior.
 Effective marketing communication linkages will, of
course, influence more intended customers to
consume the market offerings of a company.
 Similarly, effective information and communication
system in an organization system will create more
conducive behavioral relations among the people.

Cybernetics and OB
 Today, the advent of cybernetics has brought
revolution on the functional aspects of general
investigation, criminology, lie test and detecting
human perception and attitude towards
something.
 Cybernetics rests on the study of physically unseen
aspects of human behavior.

25
Centrality of work to human existence
 In the any country today, you are what you do. Your choice of a
job/occupation determines as much about what you will be, the
status and prestige you will be afforded, what your children will do
and who they will do it with, where they go to school, as do your
choice of a spouse/partner and your own values.
 Go to a mall, your favorite bar, a construction site, etc., and ask
anybody who will talk to you, “What are you?” How many define
themselves in terms of their job or occupation?
 How does one know when one is a “success?” What is our cultural
measuring-stick?
Success = money
Success = happy
Happy = what you want
What you want requires $$$ or accomplishing goal. Goal usually is professional.
One of the first questions you ask someone: what’s your major? Or what do you do? Or
perhaps identify by religion or spouse, not as likely
April 8, 2015 Dr Rijal on OB

26
Work is a source of…
1. Identity: last name ‘Smith’ ‘Cooper’
2. Relationships: outside the family.
3. Obligatory activity: Provides structure to our days
and deadlines
4. Autonomy: Independence
1. Values: in terms of money, products, and
associated dignity (women).
5. Opportunity: for developing skill competence.
6. Self-esteem: i. What would you do if you didn’t
have college or a job, ii. You can afford to be lazy
for a break, what about when no end in sight.

27
Implicit Themes of Work
When work is discussed, people mention--
–Good Provider: Heavily influenced by social
constructs of gender and gender identity.
–Independence: “Stand on one’s own two feet.”
• Being separate from your parents
–Success: “Hard work pays off.”
–Self Respect: Hard work of any type has dignity; a
person’s worth is reflected in work.

OB is the study of behavioral science influencing work…
 In management, behavioral science or
organizational psychology is the science of study of
human behavior at work.
 It has dual focus-- i. efficiency/productivity of the
organizations, and ii. health/well-being of the
employees.
 It is of dual nature – i. application of the science of
psychology to the workplace, and ii. development
or discovery of scientific psychological principles at
workplace.

Specific Areas of Concern
 Recruiting and selecting employees for jobs.
 Training employees.
 Assessing employee performance.
 Defining and analyzing jobs.
 Determining how people feel about work.
 Determining why people act as they do at work.
 Assessing the work effects on people.
 Assessing the effects people have on one another.
 Learning about how organizations are structured and
functioning.
 Designing work.
 Designing tools and equipment for assessment.
 Employee health, safety and security.

3. Challenges facing managerial jobs from OB perspectives
 Managing with diversity
 Compliance with HR policy level liberalization
 Challenges created by globalization
 Dealing with the environmental uncertainty
 Managing with technological changes
 Changing culture, human interest and habit
 Responding to unionized workforce
 Changing nature of work
 Changing organizational design and structure
 Global economic crisis

Roles of Leadership in Promoting OB
 Incubating organizational system
 Establishing and promoting organization’s strategic
thrusts, setting priorities and working principles
 Providing stewardship, role modeling and coaching
 Coordinating and collaborating with individuals
and work groups
 Managing diversity, conflict and work stress among
the individuals and work groups
 Establishing and promoting organizational culture
and value system

4. Emerging Trends in OB
 Business process and jobs outsourcing; Example?
 Transforming organizations into more open systems
 Use of information and communication technologies
at workplaces; Nepal Tourism Board
 Redesign of traditional work systems into more ICT
enabled virtual systems; Punjab National Bank.
 Transforming organizations into learning organizations
 Promotion of employee ownership in organizational
stockholding; IBM
 Emergence of spiritual leadership as a key to connect
people in organizations; Karna Shakya

Questions for your preparation
1. Define OB and establish its linkage with other behavioral
disciplines leading to hospitality study.
2. Discuss briefly the role of organizational leadership in
promoting conducive organizational behavioral system in a
hospitality institution.
3. Discuss the various challenges from OB perspectives, that
the hospitality managers are likely to face today.
4. Establish a detailed model of OB with adequate labeling of
different variables and expected outcomes and briefly
discuss it in line with a hospitality institution.
5. What do you think are the emerging trends, other than
discussed earlier in this presentation, in the field of OB in
hospitality today? Discuss with examples.

Pleasure learning…

Introduction to ob

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