09042021 Note: We want to improve our predictive ability, out ability

to read other people and their possible reaction or behavior

CHAPTER 1 if they are expose to a certain situation. You should also be
Organizational Behavior (OB) able to predict if that person would be able to handle
pressure.
 OB studies the influence that individuals, group,
and structure have on behavior within organization What is Systematic Study?
 The chief goal of OB is to apply that knowledge  Systematic study means examining relationships,
toward improving an organization’s effectiveness attempting to attribute causes and effects, and
Note: OB will help us understand how the individual, group basing our conclusions on specific evidence – that
and structure influence the behavior within the organization is, on data gathered under controlled conditions and
and vice versa. When we say structure, this is how the measured and interpreted in a reasonably rigorous
people are being place in the organization. Example: Highly manner
hierarchical structure, meaning there is the top boss, the Note: So that your can draw conclusion because you cannot
medium boss, supervisor, general manager, etc. In this type draw conclusion without data and information. You collect
of structure, people are expected to observe power—this is and gather data/information and study them so that you can
power in each and you have to adhere to it, observe it, and create a conclusion whether that person would be
respect it. And how this structure affects the performance of appropriate on a certain post.
all the employees of the organization.
What is Evidence-Based Management (EBM)?
Focal points of Organizational Behavior
 EBM is the complementary approach to systematic
 Jobs study that involves basing managerial decisions on
 Absenteeism the best possible scientific evidence
 Turnover – in or out of the employee or movement  Managers must become more scientific about how
of employee in an organization. If there is a high they think about managerial problems and not rely
employee turnover rate meaning there is a problem on instinct
in your organization because employees are keep
resigning. If there is very slow turnover rate (less Note: Managers need to make decisions every single day for
than 5%) it is not good because there is no the future and benefit of the organization. Before you do
movement in the organization. that, it is best if you use EBM—you will use systematic
 Productivity – our goal is to maximize our profit study and your instinct.
and to make sure that our organization is behaving
What is Intuition?
towards the achievement of the goal so that the
organization will be effective—so that you want  Intuition is your “gut feeling” about “what makes
them to be productive. other tick”
 Human performance – make sure your employees  This natural ability to guess how people will most
are performing well. accurate when coupled with systematic thinking
 Management and evidence-based management
Focus of OB course Note: When you make a decision regarding people do not
just rely on your gut feeling, you should also use the
 Motivation
systematic study and EBM to be able to come up with a
 Leader behavior and power better decision, but do not discard your intuition.
 Interpersonal communication
 Group structure and processes Disciplines that contribute to OB field:
 Perception and attitudes
 Psychology
 Personality, emotions, and values
 Social psychology
 Change processes
 Sociology
 Conflict and negotiation
 Anthropology
 Work design
Psychology
Complementing Intuition with Systematic Study
 Psychology is the study that seeks to measure,
 People develop intuitive understanding of the explain, and sometimes change behavior of human
behaviors of other people through experience and other animal
 You can improve your predictive ability by taking  The following are the contributors of OB
the systematic approach to the study of human knowledge
behavior - Learning theories
 Human behavior is not random. There are - Personality theories
fundamental consistencies that under the behavior - Counseling psychologists
of all individuals.
 - Industrial and organizational  The typical employee us getting older – challenge
psychologists because you will lose an employee and opportunity
because older people have vast knowledge already
Note: Psychology helps us understand why a person behave
 More women and people of color are in the
a certain manner. This will help us understand individual
workplace; corporate downsizing and heavy use of
level.
temporary workers are severing the bonds of
Social Psychology loyalty of employees
Note: Women employee is a challenge
 It is generally considered a branch of psychology because if we are going to hire women, time will
that focuses on the concepts that blends both come that they will give birth and they will have to
psychology and sociology to focus on people’s file maternity leave and you will still pay her and
influence on one another hire someone for her part & it is opportunity
 The important contributions of because there are things that only women can do;
sociologists’ studies are organizational Corporate downsizing because you are going to let
culture, formal organization theory and go of your employee because of financial difficulty
structure, organizational technology, that the corporate experiencing & it is opportunity
communications, power and conflict. for the organization to keep the venture afloat and
to minimize or cut-off expenses
Note: This is about the study of the people’s influence to
 Global competitions
one another. The psychologist has help us understand more
on how one person affects another. Because of this social Note: Globalization is a challenge and at
the same time an opportunity
psychology we are able to understand group level and
effects of groups in the structure and individual.  Global recession
Note: Recession last has caused a lot of
Sociology challenges and damage to corporations

 Is the study of people in relation to their social

environment or culture
 Sociologists have contributed to OB their 09082921
study of group behavior in organizations, Major Challenges:
particularly formal and complex
organization  Responding to economic pressures
 Organizational culture Note: The first strategy that most company
 Formal organization theory and structure would do whenever they are experiencing
 Organizational technology, economic difficulty is to let go some employees to
communications, power and conflict. keep the company’s operation.
 Managing workplace diversity
Note: Sociology is the study of people and their relationship Note: It is challenging to manage different
and effect to the social environment. people in one unit, in terms of age, culture,
Anthropology religion, etc. You must learn how to manage this
diversity.
 Anthropology is the study of societies to learn  Improving customer service
about human beings and their activities Note: It is a challenge because customer
 The contributions of anthropologists to service is heavily reliant on employees. When
OB are the results of their work that employees are highly satisfied in an organization
makes us understand the differences in and their workplace, then they will be more
fundamental values, attitudes and behavior productive. Employees must be motivated to work
between people in different countries and so that you will have quality service to satisfied
within different organizations your customers.
 Organizational culture, organizational  Improving people skills
environments, and differences among Note: People skills is very important and
national cultures crucial to the success of the management. Your
people skills must be good. This is actually your
Valid Predictions
ability to deal and communicate with them. It
 Person X leads to do Y, but only under conditions composed with interpersonal skills, communication
specified in Z – the contingency variables skills, and your ability to predict the behavior of
people when they are exposed in a certain situation.
Note: The person will only do something if they are exposed  Simulating innovation and change
to this certain situation. Example: The salesman will only do Note: If you want your business to be in
something if there is incentive. the business arena, then you have to be innovative,
and continue thinking and improving your
Challenges and Opportunities for Organizational
products, and be able to adapt to change.
Behavior
  Coping with “temporariness” a. OB investigates the impact that individuals, group
Note: A lot of businesses today are hiring and structures have on behavior within an
people with temporary status like part-timers and organization.
temporary workers. Also, your permanent Note: Birds with the same feather flocks
employees that are being pirated by your together. However, when you have a friend that a
competitors, then you will be losing employees. drug addict doesn’t meet that you are also a drug
addict but make sure that you are strong and is not
being pulled.
 Working networked organizations
b. Some generalizations are erroneous (mostly
Note: Nowadays, its really important to
predictions)
widen your network. If you want your business to
c. OB offers specific insights to improve manager’s
stay afloat, then improve and widen your network.
people skills.
 Helping employees balance work-life conflicts
Note: There are time when you want your
employees to over-time, you have to have a loyal
and willing employee to work for the company. Things to remember:
You should also understand that your employees
 OB’s goal is to understand and predict human
have their private life. You should allow your
behavior in organizations.
employee to take off time especially when they
Note: Human behavior is complex. There
have important events.
are instances that the person will behave differently
 Improving ethical behavior
even if the situation is the same, but the moment
Note: Leaders should be ethical and
one variable has changed, in most cases the
responsible to avoid conflicts and wrong doings.
behavior will change.
Note: Because of these challenges, OB is really trying to  Fundamental consistencies underlie behavior
find the answers to help find solutions to these challenges. Note: There are still things that allows us
to be able to predict human behavior given the fact
that humans are complicated.
The three levels of OB analysis:  It is more important than ever to learn OB concepts
 Both managers and employees must learn to cope
1. Individual Level – examines foundations of with temporariness
individual behavior: personality, values, Note: Nurture the strength of your spirit so
perception, decision-making, motivation, emotions, that in case that sudden misfortune will come,
and moods. you’ll be able to cope up with and shield yourself.

Note: How the individual behavior affects

the group and the organization as a whole. This
individual level analysis has help us with the study
of the field of psychology—it helped us in
understanding in individual level.

2. Group Level – group behavior is more than the sum

of the behaviors of the individuals in it;
additionally, individuals act differently when in
groups.

Note: This is helped with the social

psychology, sociology, and anthropology—the
contribution of this study helps us understand the
group and organization.

3. Organization System level – organizational

behavior, while composed of both individual and
group behaviors, is more than the sum of its parts.

Implications for managers

Managers need to develop their interpersonal skills to be

effective in their jobs. How to?