Organizational Behavior Lecture Notes

This set of flashcards covers key vocabulary and concepts from the Organizational Behavior lecture, focusing on core competencies, observations, and management theories.

Core Competency

A defining capability or advantage that distinguishes an organization from its competitors.

Emotional Intelligence

The ability to recognize and manage one's own emotions, as well as the emotions of others.

Cultural quotient

A measure of a person's ability to function effectively in culturally diverse settings.

Corporate Social Responsibility (CSR)

The commitment of a business to contribute to sustainable economic development while improving the quality of life of the workforce, their families, the local community, and society at large.

Synergy

The creation of a whole that is greater than the sum of its parts, especially in teamwork.

Micro-observation

The study of individual psychology, motivations, values, and stress management.

Meso-observation

The study of team dynamics and interactions between individuals in teams.

Macro-observation

The analysis of entire organizations and their external environment, including competition and supply chain.

Escalation of Commitment

A behavioral tendency where decision makers continue a course of action despite evidence suggesting it is ineffective.

Monetary vs Non-Monetary Compensation

Forms of payment given to employees, where monetary includes salary and bonuses, and non-monetary involves benefits like recognition and job satisfaction.

Equity Theory

A concept in psychology that focuses on individuals' perceptions of fairness in distribution of rewards.

Groupthink

A phenomenon where the desire for harmony in a decision-making group results in irrational or dysfunctional outcomes. There’s no creativity or positive disruptors.

Thermostat Analogy

Slow down to speed up. A metaphor used to illustrate the process of measuring and adjusting organizational performance.

Processes in thermostat analysis

observe current state, define desired state, measure the gap (hire, fire, retrain), and implement change. - *change will never be perfect, cycle must continue

Four Reinforcement types

Extinction, Positive reinforcement, punishment, Negative reinforcement

S + T = R

situation and thoughts = response.

A formula representing the relationship between Stimulus (S), Thought (T), and Response (R) in behavioral psychology. It suggests that the response to a stimulus is influenced by the individual's thoughts about that stimulus.

D^p>R^p=S^d

A stress model showing that stress (distress) occurs when perceived demands exceed perceived resources.

Three ways stress presents

Physiological - rash, migraine, sweaty hands, nauseous

Psychological - anxiety, nervousness

Behavioral - increased agitation, risky behavior

Voluntary vs involuntary change

Happens to you vs a choice you make, humans make change when the pain of the present is greater than the pain of the unknown

What’s a core competency

• Strengths, talents, skills

• Something you're not born with, something you develop

• The most important is emotional intelligence

GNS

Growth needs strength - “a personality trait reflecting a deep desire for personal accomplishment, learning, and development in one's job”

What are the four schools

1. classical traditional

2. Human Relations

3. Human Resources

4. Contingency / Systems

What does classical traditional believe

Productivity is maximized through structure, control, specialization, and efficiency

How does the classical school view workers

Workers must be directed and controlled to perform effectively

Is the classical school humanistic

NOOO - prioritizes efficiency over human needs

Theorists associated with classical traditional

Max Weber (Bureaucracy), Frederick Taylor (Scientific Management Theory)

What is Max Weber’s theory?

Bureaucracy — organizations work best with formal rules, hierarchy, specialization, and centralized authority.

What problem was bureaucracy meant to solve?

Inefficiency and inconsistency in organizations.

What is Frederick Taylor’s theory?

Scientific Management — work should be measured, standardized, and optimized scientifically.

What motivates workers according to Taylor?

Extrinsic rewards (pay and incentives).

What does the Human Relations school believe?

Social and psychological factors strongly influence productivity.

How does this school differ from Classical?

Focuses on people instead of tasks.

What theorists are associated with Human Relations

Elton Mayo (Human relations), Maslow (Hierarchy of needs theory), Douglas McGregor (Theory X and Theory Y)

What is Elton Mayo’s theory?

Human Relations — productivity increases when workers feel valued, recognized, and socially connected.

What did the Hawthorne Studies show?

Attention and social belonging increase productivity (Hawthorne Effect).

What is Maslow’s theory?

Human motivation follows a hierarchy of needs.

What are the five levels of Maslow’s hierarchy?

• Physiological

• Safety

• Belonging

• Esteem

• Self-actualization

What is Dougies McGregor’s contribution?

Theory X and Theory Y — assumptions managers make about workers.

What is Theory X?

The assumption that workers dislike work, lack ambition, and must be controlled or threatened to achieve goals.

What is Theory Y?

The assumption that workers are self-motivated, seek responsibility, and can exercise self-direction when committed to organizational objectives.

What does the Human Resources school believe?

Employees are valuable resources whose participation improves organizational performance.

How is Human Resources different from Human Relations?

It focuses on maximizing employee potential and participation in decision-making, rather than just social satisfaction.

Is there a single founder of the Human Resources school?

No — it evolved from Human Relations ideas.

What practices represent the Human Resources school?

• Participative management

• Quality circles

• Total Quality Management (TQM)

• Codetermination

• Japanese management practices

What does the Contingency school believe?

There is no one best way to manage.

What determines the best management approach?

The situation and environment.

What is situation sensing? (Contingency)

The ability to assess conditions and adapt management style.

What is the organizational iceberg?

Visible structures rest on hidden values, culture, and assumptions.

Three managerial roles

Informational Roles, Interpersonal roles, Decisional Roles

Informational Roles:

• monitor

• disseminator

• spokesperson - sending out information externally

Interpersonal roles

• Figurehead - Elon musk

• Leader - demonstrating doing things correctly (CSR)

• Liaison - Maintaining horizontal relationships

Decisional Roles

• Entrepreneur - turns problems into opportunities

• Disturbance Handler - can you manage conflict

• Resource Allocator - where to assign resources

• Negotiator - can you conduct negotiations between individuals, divisions, and companies

Managerial Activities according to Luthans et al

• routine communications (up, across, and below)

• Traditional management - may be needed in school one and two

• Networks - formal and informal

• Human resources management - systems when it comes to HR, recruit, performance management, compensation scheme, training and development, performance appraisal systems

Managerial Activities according to Kotter

• Agenda setting - set goals, strive towards them, match goals, put in an implementation plan

• Agenda implementation - do you hit the mark

• Networking - again

What does a managerial mind consist of according to Simon and Isenberg

1. Intuition -  Problem identification and solving, built up over time

   1. Situational sensing: adapt responses

   2. Rapid MP: process meaning

   3. Synthesizing: can see the moves that need to be made, pulling multiple pieces together at the same time

   4. Analysis: the ability to use a lot of data, trends, how can the data be organized, make decisions on the data

Trends Managers are facing (consulting areas)

1. Diversity management (local and global)

2. Employee Health and Well being

3. Talent Management and Employee Engagement

4. Focus on Corporate Social Responsibility

Four ways jobs have changed

1. Lifetime job security → Limited Job security

2. Jobs and permanent → Jobs are temporary

3. Company manages career → career self management

4. Low emphasis on skill development → High emphasis on skill development