Chapter 1 Notes: Organizational Behaviour and Management

Why You Need This Chapter

  • Explore the relationship between organizations and management.
  • Understand what happens when relationships are positive vs negative.
  • Recognize that organizations and working environments/relationships are complex.
  • Learn to Predict, Explain, and Manage organizational behavior.

What This Chapter Covers

  • Why is OB important?
  • What is management?
  • What managers do?
  • Where is management going?

Team Questions (Common Beliefs about OB)

  • Effective organizational leaders tend to possess identical personality traits. (Question the belief)
  • Nearly all workers prefer stimulating and challenging jobs. (Question generalization)
  • Managers have a very accurate idea about how much their peers and superiors are paid. (Skeptical of transparency assumptions)
  • Workers have a very accurate idea about how often they are absent from work. (Question perception accuracy)
  • Pay is the best way to motivate employees and improve job performance. (Challenge the sole role of pay)
  • Women are just as likely as men to become leaders in organizations. (Promotes gender equality in leadership potential)

What is OB?

  • OB stands for Organizational Behaviour, explored in CH. 1 – PAR (pause-attribute-report? chapter reference)

OB Programs and Management Practices (Examples of Workplace Benefits and Development)

  • Flexible work schedules:
    • flextime, telecommuting, job sharing, compressed workweek
  • Compensation and rewards:
    • Stock options, profit-sharing plans, performance bonuses
  • Training and development:
    • Extensive training and development programs, mentorship programs
  • Work-life and support:
    • Family assistance programs, on-site fitness facilities, daycare, wellness programs, spending accounts
  • Career development:
    • Career development programs, including career days, career plans, tuition subsidies
  • Benefits and options:
    • Flexible or cafeteria-style benefit plans
  • Social and well-being activities:
    • Monthly staff socials, family holiday parties, picnics, stress reduction programs, monthly all-employee meetings
  • Diversity and inclusion:
    • Formal workplace diversity programs to encourage women and members of the Black, Indigenous, and people of colour (BIPOC) community
  • Recognition:
    • Employee recognition and reward programs

OB Management Practices

Why OB? Goals and Foundations

  • Hours spent at work; reflection on time invested in work over a lifetime.
  • Why OB? It’s interesting, important, and makes a difference.
  • Goals of OB:
    • Predicting organizational behavior
    • Explaining organizational behavior
    • Managing organizational behavior
  • Evidence-based management

What is Management?

  • CH. 1 – PAR (chapter reference)

The Evolution of Management (Key Schools)

  • Classic View (1900):
    • High specialization of labour
    • Intense coordination
    • Centralized decision making
  • Scientific Management (Frederick Taylor):
    • Idea: making people work harder is not as efficient as optimizing how work is done
    • Rejected rule-of-thumb job design; relied on research
    • Time and motion studies, optimal degrees of specialization, standardizing work tasks
  • Bureaucracy (Max Weber):
    • Aimed to fix intuition and nepotism through:
    • Strict chain of command (report to one supervisor)
    • Selection criteria focused on technical skills, not nepotism
    • Detailed rules and regulations
    • Centralization of power at the top of the organization
    • Centralization and formalization to ensure predictability and efficiency

Hawthorne Studies and Human Relations Movement

  • Hawthorne Plant of Western Electric, Chicago (1920-1930):
    • Investigated Fatigue, Rest pauses, Lighting, and their effects on productivity
  • Key findings:
    • Psychological and social processes affect and impact work
    • The way work is organized can be dysfunctional
    • Resistance to management via informal group norms

Issues with Bureaucracy

  • Employee alienation
  • Limits on innovation and adaptation
  • Resistance to change
  • Minimum acceptable level of performance
  • Employees lose sight of overall organizational goals

Evolution to the Human Relations Movement

  • Hawthorne studies highlighted psychological and social impact on employees
  • Human relations movement:
    • More people-oriented
    • More participative management styles
    • More responsive to employees’ needs
    • Called for:
    • More flexible management systems
    • More interesting job designs

Covid and Working From Home

  • Case: Klick Health (COVID context)

Klick Health During Covid (Highlights)

  • Employees created a safety measures hub on the company site
  • Sourced and donated 400,000 masks to hospitals
  • Delivered over 1,000 intubation boxes
  • Provided two vans for mobile flu shots to employees’ homes
  • Moved programs online; provided virtual tutoring and story time for employees with families
  • Klick shop provided $500 per employee for home equipment
  • Additional initiatives to support remote work and wellbeing

Contemporary Management

  • Contingency approach: “it depends”
  • Contingencies are dependencies; there is no one best way to manage
  • Management must depend on the demands of the situation

What Do Managers Do? (CH. 1 – PAR)

Managerial Roles (Mintzberg, 1968)

  • Informational roles:
    • Monitor: scan internal and external performance, identify new ideas and trends
    • Disseminator: convey information (facts or preferences)
    • Spokesperson: send information to the external environment
  • Interpersonal roles:
    • Figurehead: symbolic duties (entertaining clients)
    • Leadership: select, mentor, discipline employees
    • Liaison: maintain horizontal contacts inside and outside the organization
  • Decisional roles:
    • Entrepreneur: turn problems into opportunities
    • Disturbance handler: deal with problems (conflicts or threats)
    • Resource allocator: deploy time and money
    • Negotiator: manage negotiations with other organizations or individuals

Managerial Activities (Luthans, Hodgetts, & Rosenkrantz, 1988)

  • Distribution of time and focus:
    • Managing Conflict: 4\%
    • Exchanging Information: 15\%
    • Motivating/Reinforcing: 5\%
    • Staffing: 5\%
    • Handling Paperwork: 14\%
    • Training/Developing: 6\%
    • Socializing/Politicking: 9\%
    • Interacting with Outsiders: 10\%
    • Planning: 13\%
    • Controlling: 6\%
    • Decision Making: 11\%

Managerial Activities (Summary)

  • Sending and receiving information
  • Routine communication
  • Planning, decision making, controlling
  • Traditional management
  • Networking: interaction with people outside the organization; politicizing with insiders
  • Human Resource Management (HRM):
    • Motivating, reinforcing, disciplining, managing conflict, staffing, training, developing employees

Where Is Management Going? (CH. 1 - PART 4)

  • Focus on future directions and evolving practices in management

Diversity, Equity, and Inclusion (EDI)

  • Diversity focus areas:
    • Minorities, women, Indigenous people, people with disabilities
  • Common issues:
    • Segments not treated fairly
    • Lesbians, gays, bisexuals, transgender, queer, and disabled communities
  • Working internationally:
    • Different cultural norms

Employee Health and Well-Being

  • Mental health at work
  • Mindfulness; awareness of surroundings
  • Workplace spirituality: meaning and purpose in work
  • Organizational care; values centered on employees’ needs
  • Positive organizational behaviour (POB):
    • Study and application of positive HR strengths that can be measured, developed, and managed
  • Psychological capital (positive psychological state):
    • Self-efficacy, Optimism, Hope, and Resilience
  • Thriving at work: a positive state of vitality and learning

Talent Management and Engagement

  • Talent Management:
    • Attracting, developing, retaining, and deploying people with the right skills to meet current and future business needs
  • Workplace Engagement:
    • A work-related state of mind characterized by vigor, dedication, and absorption (opposite of burnout)

Alternative Work Arrangements

  • Precarious work: risky, uncertain, and unpredictable work
  • Gig employment: temporary jobs

Corporate Social Responsibility (CSR)

  • Adapting to new technology
  • Improving workplace health and safety
  • Employment transitions related to environmental policies
  • Promoting EDI
  • Ensuring work-from-home arrangements are safe, fair, and sustainable
  • Providing a voice for self-employed Canadians
  • Improving job stability and working conditions for gig workers
  • Developing stronger and less paternalistic worker voice channels in small businesses
  • Using social media safely and effectively as a tool of workers’ voice
  • Improving Canada’s income security programs with worker input
  • Anticipating upcoming challenges

Moving Forward (PART ONE: AN INTRODUCTION)

  • Chapter 1: Organizational Behaviour and Management
  • PART TWO: INDIVIDUAL BEHAVIOUR
    • Chapter 2: Personality and Learning
    • Chapter 3: Perception, Attribution and Diversity
    • Chapter 4: Values, Attitudes and Work Behaviour
    • Chapter 5: Theories of Work Motivation
    • Chapter 6: Motivation in Practice
  • PART THREE: SOCIAL BEHAVIOUR AND ORGANIZATIONAL PROCESSES
    • Chapter 7: Groups and Teamwork
    • Chapter 8: Social Influence, Socialization and Organizational Culture
    • Chapter 9: Leadership
    • Chapter 10: Communication
    • Chapter 11: Decision Making
    • Chapter 12: Power, Politics and Ethics
    • Chapter 13: Conflict and Stress
  • PART FOUR: THE TOTAL ORGANIZATION
    • Chapter 14: Environment, Strategy and Structure
    • Chapter 15: Organizational Change, Development and Innovation
  • ATTITUDES AND BEHAVIOUR (repeated themes in the outline)

Thank You for Listening!