HBO

Course Learning Outcomes

At the end of the course, the developing

Louisian business managers are expected to:
After completing the course, the would-be
HR Specialists are expected to:
1. Describe fundamental concepts,
principles, and perspectives on human
behavior.
2. Explain forces influencing behavior of
people in the context of work and in
relation to diverse workforce
3. Interpret individual behavior
influencing performance and
relationships in the organization
4. Explain group behavior to create
effective teams in organizing work in
contemporary business firms
5. Determine the basic approaches to
determining what makes an effective
Human Behavior leader and what differentiates leaders
from non-leaders
in 6. Explain the concepts and principles of
power and politics used as the means

Organizations by which organizations and individuals

get objectives accomplished in an
organization
7. Demonstrate organizational culture
concepts and principles learned and
practices in the organization
8. Adapt the emerging workplace
realities and critically evaluate the
strategies for organizational change.

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 Environment is the Invisible Hand that shapes
Human Behavior
James Clear

MODULE ONE
Introduction to Organizational Behavior

OVERVIEW:
This module provides an introduction to the field of organizational behavior. Organizational
behavior is important because virtually everyone works with other people in some organized
capacity, whether for monetary gain or voluntarily. An understanding of the principles of
organizational behavior will not only help people to become better employees and managers, but
will also help people become more astute observers of the organizational world, in general, and the
business world, in particular.
The module begins by defining organizational behavior, discussing its scientific foundations, and
identifying contemporary workplace trends that are being reflected in organizational behavior
theories, concepts, and applications. The chapter then describes organizations as work settings. The
meaning of “organization” is examined and put in the context of several important concepts,
including: the organization’s purpose, mission; the environment and stakeholders; organizational
culture and diversity; and organizational effectiveness.
Next, the nature of managerial work is described. Emphasis is placed on the manager’s role in
fostering two key results: task performance and job satisfaction, and how the managerial functions of
planning, organizing, directing, and controlling contribute to achieving these results. The module
concludes with a discussion of individual learning and organizational learning, placing emphasis on
experiential learning within the context of organizational behavior.
LEARNING OBJECTIVES:

1. Define organizational behavior and describe how it impacts both personal and organizational
success.
2. Identify the basic management functions and essential skills that comprise the management
process and relate them to organizational behavior.

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 3. Describe the strategic context of organizational behavior and discuss the relationships
between strategy and organizational behavior.
4. Identify and describe contextual perspectives on organizational behavior.
5. Describe the role of organizational behavior in managing for effectiveness and discuss the
role of research in organizational behavior.

MODULE OUTLINE
INTRODUCING ORGANIZATIONAL BEHAVIOR
Organizational Behavior
Scientific Foundations of Organizational Behavior
Shifting Paradigms of Organizational Behavior

ORGANIZATIONS AS WORK SETTINGS

Organizational Purpose, Mission, and Strategy
Organizational Environments and Stakeholders
Organizational Cultures
Diversity and Multiculturalism

ORGANIZATIONAL BEHAVIOR AND MANAGEMENT

The Management Process
Managerial Activities, Roles, and Networks
Managerial Skills and Competencies
Moral Management

LEARNING ABOUT ORGANIZATIONAL BEHAVIOR

Building Retail Management Skills

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 INTRODUCING ORGANIZATIONAL BEHAVIOR

Organizational behavior
Organizational behavior (OB) is the study of individuals and groups in organizations.
Organizational behavior is a multidisciplinary field devoted to understanding individual and group
behavior, interpersonal processes, and organizational dynamics.

Scientific foundations and organizational behavior

Organizational behavior is an interdisciplinary body of knowledge with strong ties to the behavioral
sciences of psychology, sociology, anthropology, and the allied social sciences such as economics
and political science.
Organizational behavior uses scientific methods to develop and empirically test generalizations
about behavior in organizations.
Models are simplified views of reality that attempt to explain real-world phenomenon.
Independent variables are presumed causes that influence dependent variables.
Dependent variables are outcome of practical value and interest.

Scientific thinking is important to OB researchers and scholars for the following reasons
• The process of data collection is controlled and systematic.
• Proposed explanations are carefully tested.
• Only explanations that can be scientifically verified are accepted.

Organizational behavior focuses on applications that can make a real difference in how organizations
and people in them perform.
Organizational behavior uses contingency thinking in its search for ways to improve organizational
outcomes.
The contingency approach tries to identify how different situations can be best understood and
handled.
Important contingency variables include environment, technology, tasks, structure, and people.

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 Shifting paradigms of organizational behavior
Progressive workplaces today look and act very differently from those of the past.

Trends occurring in modern workplaces include the following:

• Commitment to ethical behavior.
• Importance of human capital.
• Demise of “command and control.”
• Emphasis on teamwork.
• Pervasive influence of information technology.
• Respect for new workforce expectations.
• Changing definition of “jobs” and “career.”

ORGANIZATIONS AS WORK SETTINGS

An organization is a collection of people working together in a division of labor to achieve a

common purpose.

Organizational purpose, mission, and strategy

The core purpose of an organization is the creation of goods and services for customers.
Mission statements focus the attention of organizational members and external constituents on the
core purpose.
Given a sense of purpose and a vision, organizations pursue strategies to accomplish them.
A strategy is a comprehensive plan that guides organizations to operate in ways that allow them to
outperform their competitors.
Knowledge of organizational behavior is essential to effectively implement strategies.

Organizational environments and stakeholders

The complex environment or organizations contains a variety of stakeholders.
Stakeholders are the people, groups, and institutions that are affected by and thus have an interest or
“stake” in an organization’s performance.
Customers, owners, employees, suppliers, regulators, and local communities are the key stakeholders
of most organizations.
The interests of multiple stakeholders are sometimes conflicting.

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 Executive leadership often becomes a task of finding the right balance among multiple stakeholder
expectations.

Organizational cultures
Organizational culture refers to the shared beliefs and values that influence the behavior of
organizational members.
Organizations with positive cultures have a high-performance orientation, emphasize teamwork,
encourage risk taking, and emphasize innovation.
Organizational Culture Inventory, three alternative types of organizational culture can be mapped:
1. Constructive culture: Members are encouraged to work together in ways that meet higher order
human needs
2. Passive/defensive culture: Members tend to act defensively in their working relationships,
seeking to protect their security
3. Aggressive/defensive culture: Members tend to act forcefully in their working relationships to
protect their status and positions.

Diversity and multiculturism

Workforce diversity describes the presence of individual differences based on gender, race and
ethnicity, age, able-bodiedness, and sexual orientation. Positive organizational cultures have an
underlying respect for people and workforce diversity
Multiculturalism refers to pluralism, and to respect for diversity and individual difference
Inclusivity is the degree to which the culture respects and values diversity and is open to anyone who
can perform a job, regardless of their diversity attributes.
Success in the contemporary business world rests in part on valuing diversity, which refers to
managing and working with others in full respect for their individual differences.

ORGANIZATIONAL BEHAVIOR AND MANAGEMENT

Managers are responsible for supporting the work efforts of other people.
An effective manager is one whose organizational unit, group, or team consistently achieves tis goals
while members remain capable, committed, and enthusiastic.
This definition focuses on two key results in a manager’s daily work:

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 • Task performance is the quantity and quality of work produced
• Job satisfaction is a positive feeling about one’s work and work setting.

The management processes

The jobs of managers and team leaders can be described by the four functions of management, as
shown in Figure 1.4 from the textbook. These four functions are as follows:
• Planning ¾ defining goals, setting specific performance objectives, and identifying the actions
needed to achieve them.
• Organizing ¾ creating work structures and systems, and arranging resources to accomplish
goals and objectives.
• Leading ¾ instilling enthusiasm by communicating with others, motivating them to work hard,
and maintaining good interpersonal relations.
• Controlling ¾ ensuring that things go well by monitoring performance and taking corrective
action as necessary.

Managerial activities, roles, and networks

Anyone who serves as a manager or team leader assumes a position of unique responsibility for
work that is accomplished largely through the efforts of one or more other people.
The managerial job can be described in the following terms:
• Managers work long hours.
• Managers are busy people.
• Managers are often interrupted.
• Managerial work is fragmented and variable.
• Managers work mostly with other people.
• Managers spend a lot of time communicating.
• Based on the work of Henry Mintzberg, Figure 1.5 from the textbook identifies the various
interpersonal, informational, and decisional roles of effective managers.

Interpersonal roles involve working directly with other people and include the roles of figurehead,
leader, and liaison.
Informational roles involve exchanging information with other people and include the roles of
monitor, disseminator, and spokesperson.
Decisional roles involve making decisions that affect other people and include the roles of
entrepreneur, disturbance handler, resource allocator, and negotiator.

Managerial skills and competencies

A skill is an ability to translate knowledge into action that results in a desired performance.

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 Robert Katz divides essential managerial skills in three categories: technical, human, and conceptual.
A technical skill is the ability to perform specialized tasks.

A human skill is the ability to work well with other people.

Emotional intelligence (EI) is the ability to understand and deal with emotions.

OB SAVVY 1.1
Developing Your Emotional Intelligence
• Self-awareness—ability to understand your own moods and emotions
• Self-regulation—ability to think before acting and to control disruptive impulses
• Motivation—ability to work hard and persevere
• Empathy—ability to understand the emotions of others
• Social skill—ability to gain rapport with others and build good relationships

A conceptual skill is the ability to analyze and solve complex and interrelated problems.

Technical skills are more important at entry levels of management and conceptual skills are more
important for senior executives. Human skills, which are strongly grounded in the foundations of
organizational behavior, are important across all managerial levels.

Moral management
Immoral managers do not subscribe to any ethical principles, making decisions and acting in any
situation to simply take best personal advantage.
Amoral managers fail to consider the ethics of a decision or behavior. This manager acts unethically
at times but does so unintentionally.
Moral managers incorporate ethics principles and goals into his or her personal behavior. For this
manager, ethical behavior is a goal, a standard, and even a matter of routine.
Ethics mindfulness is an “enriched awareness” that causes one to behave with an ethical
consciousness from one decision or behavioral event to another.

LEARNING ABOUT ORGANIZATIONAL BEHAVIOR

Learning is an enduring change in behavior that results from experience.

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 Life long learning involves learning continuously from day-to-day work experiences; conversations
with colleagues and friends; counseling and advice provided by mentors, success models, training
seminars, and workshops; and other daily opportunities.

Organizational learning is the process of acquiring knowledge and utilizing information to adapt
successfully to changing circumstances.

Learning and experience

The content and activities of the typical OB course can fit together in an experiential learning cycle.

Learning guide to Organizational Behavior

Part 1: Introduction to the discipline and context of OB
Part 2: Individual behavior and performance
Part 3: Group behavior and teamwork
Part 4: Leadership and the processes of OB
Part 5: Organizational context

MODULE STUDY GUIDE

What is organizational behavior and why is it important?

• Organizational behavior is the study of individuals and groups in organizations. OB is an applied
discipline based on scientific methods and on using a contingency approach, recognizing that
management practices must fit the situation.
• Shifting paradigms of OB derive from forces representing a commitment to ethical behavior,
importance of human capital, emphasis on teams, influence of information technology, new
workforce expectations, and changing careers.

What are organizations like as work settings?

• An organization is a collection of people working together in a division of labor for a common
purpose—to produce goods or services for society.
• As open systems, organizations interact with their environments to obtain resources that are
transformed into outputs returned to the environment for consumption.
• Organizations pursue strategies that facilitate the accomplishment of purpose and mission; the
field of OB is an important foundation for effective strategy implementation.

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 • Key stakeholders in the external environments of organizations include customers, owners,
suppliers, regulators, local communities, and employees.
• The organizational culture is the internal “personality” of the organization, including the beliefs
and values that are shared by members.
• Positive organizational cultures place a high value on workforce diversity and multiculturalism,

What is the nature of managerial work?

• Managers in the new workplace are expected to act more like “coaches” and “facilitators” than
as “bosses” and “controllers.”
• An effective manager is one whose work unit, team, or group accomplishes high levels of
performance that are sustainable over the long term by enthusiastic workers.
• The four functions of management are planning—to set directions; organizing—to assemble
resources and systems; leading—to create workforce enthusiasm; and controlling—to ensure
desired results.
• Managers fulfill a variety of interpersonal, informational, and decisional roles while working
with networks of people both inside and outside of the organization.
• Managerial performance is based on a combination of essential technical, human, and conceptual
skills.

How do we learn about organizational behavior?

• Learning is an enduring change in behavior that results from experience.
• True learning about organizational behavior involves a commitment to continuous lifelong
learning from one’s work and everyday experiences.
• Organizational learning is the process of acquiring knowledge and utilizing information to adapt
successfully to changing circumstances.
• Most organizational behavior courses use multiple methods and approaches that take advantage
of the experiential learning cycle.

KEY TERMS

Conceptual skill: the ability to analyze and solve complex and interrelated problems.
Contingency approach: an approach to management that tries to identify how different situations
can be best understood and handled.
Controlling: ensuring that things go well by monitoring performance and taking corrective action as
necessary.
Dependent variable: outcomes of practical value and interest.
Effective manager: a manager whose organizational unit, group, or team consistently achieves its
goals while members remain capable, committed, and enthusiastic.
Emotional intelligence: the ability to understand and deal with emotions.

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 Human skill: the ability to work well with other people.
Independent variable: presumed causes that influence dependent variables.
Job satisfaction: how people feel about their work and the work setting.
Leading: instilling enthusiasm by communicating with others, motivating them to work hard, and
maintaining good interpersonal relations.
Learning: an enduring change in behavior that results from experience.
Life-long learning: continuous learning from everyday experiences.
Managerial mind-set: an attitude or frame of mind that opens up new vistas.
Managers: individuals who perform jobs that involve directly supporting the work efforts of other
people.
Model: a simplified view of reality that attempts to explain real-world phenomenon.
Open system: a system that obtains resource inputs from the environment and transforms them into
finished goods or services that are returned to the environment as outputs.
Organizational behavior: the study of human behavior in organizations.
Organizational culture: the shared beliefs and values that influence the behavior of organizational
members.
Organizational learning: the process of acquiring knowledge and utilizing information to adapt
successfully to changing circumstances.
Organizations: collections of people working together in a division of labor to achieve a common
purpose.
Organizing: creating work structures and systems, and arranging resources to accomplish goals and
objectives.
Planning: defining goals, setting specific performance objectives, and identifying the actions needed
to achieve them.
Stakeholders: the people, groups, and institutions that are affected by and thus have an interest or
“stake” in an organization’s performance.
Strategy: a comprehensive plan that guides organizations to operate in ways that allow them to
outperform their competitors.
Task performance: the quality and quantity of the work produced or the services provided by the
work unit as a whole.
Technical skill: the ability to perform specialized tasks.

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 Workforce diversity: the presence of differences based on gender, race and ethnicity, age, able-
bodied ness, and sexual orientation.

Building Management Skills

Engage Explore and Explain Activity

INDIVIDUAL ASSIGNMENT
WRITING AND SPEAKING EXERCISE:
One page Essay
Write a brief self-assessment essay regarding the extent to which you perceive yourself as having
developed each the above components of emotional intelligence.
By random, 10 students will be selected to share their insights during synchronous meeting

References

A. Main Reference/s

1. Griffin, Ricky W., Moorehead Grogory Principles of Organizational Behavior 12th ed

Philippine Edition Philippines: South-Western Cengage Learning.

2. Mcshane, Glinow, Organizational Behavior: Emerging Knowledge, global Reality 7th ed,
Phillipine Edition, Philippines McGraw-Hill Education

3. Schermerhorn, Hunt, & Osborn, Organizational Behavior, 10th ed. International Edition,
John Wiley & Sons, Inc.

B. Journals

C. Electronic Sources

Prepared by:

Prof. Glory I. De La Pena MBA, RME

Email: [email protected]

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