ch 1: introduction to the field of organization behavior Flashcards
organizational behavior
the study of what people think, feel and do in and around organizations
what does organizational behavior look at
employee behaviours, decisions, perceptions and emotional responses
o How individuals and teams in organizations relate to one another and to their counterparts in other organizations
o How organizations interact with their external environments
levels of analysis
the individual, team, organization
organizations
groups of people who work interdependently toward some purpose
first organizations
o Have existed for as long as people have worked together – 3500BC
- More than 1000 years ago Chinese factories were producing 125 000 tons of iron each year
characteristics of an organization
o Interdependence + organised relationship – structured communication, task coordination, collaboration
o Collective purpose
when has Harvard changed the name of its MBA human relations course to organizational behavior
1940s
organizational effectiveness
an ideal state in which an organization has a good fit with its external environment, effectively transforms inputs to outputs through human capital, and satisfies the need of key stakeholders
what is organizational effectiveness not
just fulfilling the goals set by organizations – goal level may be set too low, measurement difficulties (public organisations), goals (must) change
open systems
the view that organizations depend on the external environment for resources, affect their environment through their output and consist of internal subsystems that transform inputs to outputs
input and output open systems
o Input – raw materials, HR, information, financial resources, equipment
o Output – products, services, shareholder dividents, community support, waste, pollution
closed systems
operate without dependence on or interaction with an external environment
fit
input, processes and output align with resources, needs and expectations of external environment
human capital
the knowledge, skills, abilities, creative thinking and other valued resources that employees bring to the organization
how can improving human capital enhance organization’s effectiveness
o Developing employee skills and knowledge directly improve individual behaviour and performance
o Companies with superior human capital tend to adapt better to rapidly changing environments – employees can perform diverse tasks
o Developing human capital means the company is investing in the workforce – increases motivatoin
what does effectiveness of the human capital depend on
acquiring (recognising) knowledge, sharing knowledge, using knowledge, storing knowledge, unlearning knowledge
stakeholders
individuals, groups, and other entities that affect, or are affected by, the organization’s objectives and actions
factors that influence the prioritization of stakeholders
stakeholder power, how executives perceive the organization’s environment, the organization’s culture, and the personal values of the corporate board and executive team
values
relatively stable, evaluative beliefs that guide a person’s preferences for outcomes or courses of action in a variety of situations
corporate social responsibility (CSR)
organizational activities intended to benefit society and the environment beyond the firm’s immediate financial interests or legal obligations
triple-bottom line philosophy
companies have a contact with society beyond stockholders and consumers
companies with positive CSR
better financial performance, more loyal employees, better relations with customers, job applicants and other stakeholders