MGT 231 HBO REVIEW

HBO FRAMEWORK
Organizations groups of people who
work interdependently toward some
purpose
Organizational Behavior
study & application of knowledge
about how people (as individual
& groups) act within
organizations
provides useful tools for human
benefit which allow analysis of
individuals within organizations
field of study that investigates
the impact that individuals,
groups, & structure have on
behavior within organizations
for the purpose of applying such
knowledge toward improving
an organizations
effectiveness
concerned with the study of
what people do in an
organization & how that
behavior affects the
performance of the organization
Studies 3 determinants of behavior
in organizations:
Individuals
Groups
Structure
Organization Behavior applies
knowledge gained about individuals,
groups, & effect of structure in order to
have organizations work more
effectively
Organization Behavior
Study of what people think, feel,
and do in and around
organizations
OB researchers systematically
study individual, team, and
structural characteristics that
influence behavior in
organizations

Goals of OB:
Describe how people behave
under a variety of conditions
Understand why people behave
as they do
Predict future employee behavior
Control & develop some human
activity at work
Key Elements in Organizational
Behavior
1. People Individuals, Groups
2. Structure Jobs, Relationships
3. Technology Machinery,
Computer hardware & software;
has an effect on working
relationships
4. Environment Government,
Competition, & Societal
pressures; influences attitudes of
people affects working conditions;
competition
Characteristics of Organizational
Behavior Field:
1. Interdisciplinary
2. Emerging base of research
knowledge & conceptual
frameworks
3. Increasing acceptance of theory &
research
Theory offers explanation of how &
why people think, feel, & act as they do
Research process of gathering &
interpreting relevant evidence that will
either support a behavioral theory or
help change it
Practice conscious application of
conceptual models & research results in
order to improve individual &
organizational performance at work
-----------------------------------------------------------------FUNDAMENTAL CONCEPTS OF
ORGANIZATIONAL BEHAVIOR
The Nature of People
Individual Differences
management can motivate

employees best by treating them

differently
Perception people differ in
terms of their personalities,
needs, demographic factors, &
past experience and tend to act
on the basis of perceptions
A Whole Person organizations
employ a whole person, rather
than certain characteristics and
develop them in terms of growth
& fulfillment
Motivated Behavior people
are motivated not by what we
think they ought to have but by
what they themselves want
Desire for Involvement
o Self-efficacy belief that
one has the necessary
capabilities to perform a
task, fulfill role
expectations, make a
meaningful contribution, &
so on
Value of the person people
should be treated with respect &
dignity

The Nature of Organizations

Social Systems activities are
governed by social and
psychological laws; all parts
are interdependent & subject
to influence by other parts
Mutual Interest people see
organizations as a means to help
them reach their goals while
organizations need people to help
organizational objectives
o Superordinate goal
integrates the efforts of
individuals & groups
Ethics attract & retain valuable
employees & for orgs to succeed
OB use of social sciences helps improve
employee & employer relationships
OB emphasizes human dignity

OB develops employee growth &

fulfillment
Concept of individual differences means
that management must use an
individual, rather than statistical
approach to employees.
Five Anchors of Organizational
Behavior
Multidisciplinary Anchor
other disciplines contribute to the
OB Field
o Psychology
o Sociology
o Social Psychology
o Anthropology
o Political Science
Scientific Method Anchor set
of principles and procedures that
help researchers to systematically
understand previously explained
events and conditions
o systematic, controlled,
empirical, and critical
investigation of
hypothetical propositions
about the presumed
relationships among
natural phenomenon
o Systematic & Controlled
rule out all but one
explanation for a set of
interrelated events
o Empirical use of
objective reality to test
theory
Contingency Anchor idea that
a particular action may have
different consequences in
different situations; that no single
solution is best in all
circumstances
Multiple Levels of Analysis
Anchor
o Organizational Processes
(outer)
o Team Processes (middle)
o Individual Processes (inner)

Open Systems Anchor

organizations consist of
interdependent parts that work
together to continually monitor
and transact with the external
environment
o Organizational system
acquires resources from
external environment and
these resources are inputs
for technology to be
transformed into various
outputs that are exported
back to the external
environment

4 Basic Approaches interwoven in

HBO topics:
1. Human Resources employee
growth & development are
supported; expanded capabilities
& opportunities for people will
lead directly to improvements in
operating effectiveness
2. Contingency different
behaviors are required by
different environments for
effectiveness
3. Productivity/Results-Oriented
ratio that compares units of
output with units of input;
measures how efficiently one
produces whatever output is
desired
4. System managers must look
beyond the immediate situations
in order to determine effects on
the larger system
a. Holistic organizational
behavior interprets
people-organization
relationships in terms of
the whole person, whole
group, whole organization
& the whole social system
-----------------------------------------------------------------MODELS OF ORGANIZATIONAL
BEHAVIOR

Douglas McGregors Theory X and

Theory Y
managers' action flow directly
from whatever theory of human
behavior that they themselves
hold
Theory X typical person
dislikes work & will avoid it if
possible
o lacks responsibility, has
little ambition, & seeks
security above all
o people must be coerced,
controlled, & threatened
with punishment to get
them to work
o the managerial role is to
coerce & control
Theory Y work is as natural as
play or rest
o people are not inherently
lazy,
o people will exercise selfdirection & self-control in
the service of objectives to
which they are committed
o people have potential
o the managerial role is to
develop the potential in
employees & help them
release that potential
toward common objectives
5 Models of Organizational Behavior
Basis of Model
Autocratic Power
Custodial Economic Resources
Supportive Leadership
Collegial Partnership
System Trust, community,
meaning
Managerial Orientation
Autocratic Authority
Custodial Money
Supportive Support
Collegial Teamwork
System Caring, compassion
Employee Orientation

Autocratic Obedience
Custodial Security & Benefits
Supportive Job performance
Collegial Responsible behavior
System Psychological
ownership

Employee Psychological Result

Autocratic Dependence on
boss
Custodial Dependence on
organization
Supportive Participation
Collegial Self-discipline
System Self-motivation
Employee Needs Met
Autocratic Subsistence
Custodial Security
Supportive Status &
recognition
Collegial Self-actualization
System Wide range
Performance Result
Autocratic Minimum
Custodial Passive Cooperation
Supportive Awakened drives
Collegial Moderate enthusiasm
System Passion & commitment
to organizational goals
When Most Effective/Industries
Style Practiced
Autocratic When dealing with
organizational crises
Custodial In Plantations
Supportive Affluent Nations
Collegial Academe/Where jobs
are unprogrammed & intellectual
System Starbucks
Supportive, Collegial, & System
Models more consistent with
contemporary employee needs &
therefore, will predictably obtain more
effective results in many situations

Managers need to examine the model

they are using, determine whether it is
the most appropriate one, & remain
flexible in their use of alternative &
emerging models
-----------------------------------------------------------------FOUNDATIONS OF INDIVIDUAL
BEHAVIOR
Biographical Characteristics
personal characteristics such as age,
gender, and marital status that are
objective and easily obtained from
personal records
Ability an individuals capacity to
perform the various tasks in a job
Intellectual abilities needed
to perform mental activities
Physical abilities needed to
perform tasks demanding
stamina, dexterity, strength, &
similar characteristics
Dimensions of Intellectual Ability
Number aptitude
Verbal comprehension
Perceptual speed
Inductive reasoning
Deductive reasoning
Spatial visualization
Memory
9 Basic Physical Abilities
Strength factors
o Dynamic strength
o Trunk strength
o Static strength
o Explosive strength
Flexibility factors
o Extent
o Dynamic
Other factors
o Body coordination
o Balance
o Stamina
Learning any relatively permanent
change in behavior that occurs as a
result of experience

Theories of Learning:
Classical Conditioning
individual responds to some
stimulus that would not ordinarily
produce such a response
Operant Conditioning desired
voluntary behavior leads to a
reward or prevents a punishment
Social-Learning Theory
people can learn through
observation and direct experience
Methods of Shaping Behavior
Positive reinforcement
Negative reinforcement
Punishment
Extinction
OB Model application of
reinforcement concepts to individuals in
the work setting
OB Mod program follows a 5-step
problem-solving model:
1. Identifying critical behaviors
2. Developing baseline data
3. Identifying behavioral
consequences
4. Developing and implementing an
intervention strategy
5. Identifying critical behaviors
Values basic convictions that a
specific mode of conduct or end-state of
existence is personally or socially
preferable to an opposite or converse
mode of conduct or end-of-state
existence
lay the foundation for the
understanding of attitudes and
motivation
influence our perception
influence our attitudes & behavior
Value System hierarchy based on a
ranking of an individuals values in
terms of their intensity
Types of Values:

Terminal Values goals that a

person would like to achieve
during his lifetime happiness,
comfortable life
Instrumental Values
preferable modes of behavior or
means of achieving ones
terminal values hardworking,
capable, aspiring

Values Across Cultures

Power Distance
Individualism vs. Collectivism
Quantity of Life vs. Quality of Life
Uncertainty Avoidance
Long-term vs. Short-term
orientation
o former emphasizes future,
thrift, & persistence and
the latter past & present,
respect for tradition
Attitudes evaluative statements or
judgements concerning objects, people,
or events
3 Components of an Attitude
Cognitive component opinion
or belief segment
Affective component
emotional or feeling segment
Behavioral component
intention to behave in a certain
way toward someone or
something
Types of Attitudes
Job Satisfaction individuals
general attitude toward his or her
job
Job Involvement degree to w/c
a person identifies with his or her
job, actively participates in it, &
considers performance important
to self-worth
Organizational Commitment
degree to w/c an employee
identifies with a particular
organization and its goals and

wishes to maintain membership

in the org
Cognitive Dissonance Theory
(Attitude influences Behavior)
proposed by Leon Festinger
any incompatibility between two
or more attitudes or between
behavior and attitudes
high rewards accompanying high
dissonance tend to reduce the
tension inherent in the
dissonance
Self-Perception Theory (Behavior
influences Attitudes) attitudes are
used after the fact to make sense out of
an action that has already occurred
Attitude Surveys eliciting responses
from employees through questionnaires
about how they feel about their jobs,
work groups, supervisors, & the
organization
How Employees can Express
Dissatisfaction
Exit
Voice
Loyalty
Neglect
-----------------------------------------------------------------Personality the sum total of ways to
w/c an individual reacts and interacts
with others
Personality Determinants:
Heredity
Environment
Situation
Personality Traits enduring
characteristics that describe an
individuals behavior
Myers-Briggs Type Indicator:
Extrovert or Introvert
Sensing or Intuitive

Thinking or Feeling
Perceiving or Judging
Classifications are then combined into
16 personality types
The Big Five Model:
Extroversion
Agreeableness
Conscientiousness
Emotional Stability
Openness to Experience
Major Personality Attributes
Influencing OB
a. Locus of Control
b. Machiavellianism
c. Self-Esteem
d. Self-Monitoring
e. Risk-Taking
Type A Personality Competitive
Type B Personality Laid-back
Personality-Organization Fit Theory
fit between and individuals
personality characteristics & his or her
occupational environment
argues that satisfaction is highest
& turnover lowest when
personality & occupation are in
agreement
Hollands Typology of Personality &
Congruent Occupations
Realistic prefers physical
activities; shy, genuine,
persistent, stable
o farmers, assembly-line
workers
Investigative thinking,
organizing, & understanding;
analytical, curious
o economists, biologists
Social helping & developing
others; sociable, friendly,
cooperative
o social worker, teacher,
counselor

Conventional rule-regulated,
orderly, & unambiguous activities;
efficient, practical
o accountants, corporate
manager
Enterprising verbal activities
in w/c there are opportunities to
influence others & attain power;
ambitious, energetic
o small business manager,
lawyer
Artistic ambiguous &
unsystematic activities;
imaginative, disorderly
o painter, musician, writer

Emotions intense feelings that are

directed at someone or something
Affect a broad range of feelings that
people experience
Moods feelings that tend to be less
intense than emotions and that lack a
contextual stimulus
Emotional Labor when an employee
expresses organizationally desired
emotions and that lack a contextual
stimulus
Felt Emotions and individuals actual
emotions
Displayed Emotions organizationally
required & considered appropriate in a
given job
Emotional Dimensions
Variety 6 universal emotions
identified:
o anger, fear, sadness,
happiness, disgust,
surprise
Intensity
Frequency & Duration
OB Applications
Emotional Intelligence assortment
of non-cognitive skills, capabilities, &
competencies that influence a persons
ability to succeed in coping with
environmental demands & pressures
5 Dimensions:
Self-awareness

Self-management
Self-motivation
Empathy
Social Skills

Perception - process by w/c individuals

organize and interpret their sensory
impressions in order to give meaning to
their environment
Importance of Perception in the
Study of OB
Peoples behavior is based on
their perception of what reality is,
not on reality itself
The world as it is perceived is the
world that is behaviorally
important
Factors that influence perception:
Factors in the perceiver
o Attitudes
o Motives
o Interests
o Experience
o Expectations
Factors in the target
o Novelty
o Motion
o Sounds
o Size
o Background
o Proximity
Factors in the Situation
o Time
o Work Setting
o Social Setting
Attribution Theory when individuals
observe behavior, they attempt to
determine whether it is internally or
externally caused
Fundamental Attribution Error
tendency to underestimate the influence
of external factors & overestimate the
influence of internal factors when
making judgements about behavior of
others

Self-Serving Bias tendency for

individuals to attribute their own
successes to internal factors while
putting the blame for failures on
external factors
Frequently Used Shortcuts in
Judging Others
Selective Perception
Halo Effect
Contrast Effects
Projection
Stereotyping
Decision-Making Styles

Behavioral concerned with the

achievement of peers & those
working for them; tries to avoid
conflict & seeks acceptance
Conceptual broad in outlook &
considers many alternatives;
focus in long range & they are
very good at finding creative
solutions to problems
Analytical desire for more
information & consideration of
more alternatives than is true for
directives

Directive efficiency concerns

result in decisions made with
minimal information & with few
alternative assessed
-----------------------------------------------------------------INTRODUCTION TO MOTIVATION
Motivation processes that account
for an individuals intensity, direction
and persistence of effort toward
attaining a goal
Intensity concerned with how
hard a person tries
Direction effort is channeled in
a direction that benefits the
organization
Persistence how long a person
can maintain their effort