MANAGEMENT OF ORGANIZATION BEHAVIOR MBA I semester. Prepared by K.L REVATHI

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1 MANAGEMENT OF ORGANIZATION BEHAVIOR MBA I semester Prepared by K.L REVATHI

2 HISTORY OF MANAGEMENT

3 Mary Parker defines the term management as the art of getting things done through others. Ivancerich, Donnelly and Gibson, defines the term management as the process undertaken by one or more persons to coordinate the activities of other persons to achieve results not attainable by any one person acting alone.

4 Activity Point of View Functional Areas of Management Management is an Inter- Disciplinary Approach Universality of Management Modern Management is an Agent of Change Essential of Management

5 Planning Organizing Staffing Directing Controlling

6 Top level managements Middle level managers. Lower level managers.

7 Division of labor Authority Unity of command Subordination of individual interest to the common goal Remuneration Centralization The hierarchy Order Equity Stability of staff Initiative Esprit de corps

8 Science, but not rule of the thumb Group harmony Cooperation.Maximum output Development of workers

9 As management research continued in the 20th century, questions began to come up regarding the interactions and motivations of the individual within organizations. Management principles developed during the classical period were simply not useful in dealing with many management situations and could not explain the behavior of individual employees. In short, classical theory ignored employee motivation and behavior

10 Physiological needs.. Safety needs. Belonging and love needs. Esteem needs. Self actualization needs.

11 Douglas McGregor was heavily influenced by both the Hawthorne studies and Maslow. He believed that two basic kinds of managers exist. One type, the Theory X manager, has a negative view of employees and assumes that they are lazy, untrustworthy, and incapable of assuming responsibility. On the other hand, the Theory Y manager assumes that employees are not only trustworthy and capable of assuming responsibility, but also have high levels of motivation.

12 Goal programming is a technique for solving multi-criteria rather than single-criteria decision problems, usually within the framework of linear programming. For example, in a location decision a bank would use not just one criterion, but several. The bank would consider cost of construction, land cost, and customer attractiveness, among other factors. Goal programming establishes primary and secondary goals

13 A contingency approach to management is based on the theory that management effectiveness is contingent, or dependent, upon the interplay between the application of management behaviors and specific situations. In other words, the way you manage should change depending on the circumstances.

14 Systems approach is based on the generalization that everything is inter-related and inter dependent. A system is composed of related and dependent element which when in interaction, forms a unitary whole. A system is simply an assemblage or combination of things or parts forming a complex whole. One its most important characteristic is that it is composed of hierarchy of sub-systems. That is the parts forming the major system and so on. For example, the world can be considered-to be a system in which various national economies are sub-systems.

15 Management Science approach makes use of several techniques which are explained below: Linear programming Integer linear programming Waiting line or queuing models Simulation Goal programming Dynamic programming Network models

16 Some of the major limitations of contingency approach are as follows: 1. Inadequate Literature 2. Complex 3. Difficult Empirical Testing 4. Reactive not Proactive.

17 PROBLEM SOLVING, DECISION-MAKING AND PLANNING

18 Decision making is the process of choosing the best among the available alternatives with a purpose under a given set of circumstances

19 Problem Awareness Problem diagnosis Development of alternative solutions Evaluation of alternative solutions Selection of the best solution Implementation of the decision

20 Better Utilization of Resources Facing Problems and Challenges Business Growth Achieving Objectives Increases Efficiency Facilitate innovation Motivates Employees Effective Management

21 Strategic. Tactical. Operational.

22 The word planning incorporates both ideas: It means determining the organization's goals and defining the means for achieving them. Planning allows managers the opportunity to adjust to the environment instead of merely reacting to it. Planning increases the possibility of survival in business by actively anticipating and managing the risks that may occur in the future.

23 Planning is Goal-Oriented Planning is a Primary Function Planning is Persuasive Planning is Flexible Planning is Goal-Oriented Planning is Futuristic Planning is Goal-Oriented Planning is a Mental Exercise

24 Environmental Scanning and Assumptions Goals and Objectives Programmes and Schedules Policies Rules and Regulations Procedures and Methods Standards Budget

25 Controlling is one of the managerial functions like planning, organizing, staffing and directing. It is an important function because it helps to check the errors and to take the corrective action so that deviation from standards are minimized and stated goals of the organization are achieved in a desired manner.

26 Control is a continuous process Control is a management process Control is embedded in each level of organizational hierarchy Control is forward looking Control is closely linked with planning Control is a tool for achieving organizational activities Control is an end process

27 Types of Control Feed Forwarding Control Concurrent Control (Real- time Information and Control) Controlling as a Feedback System

28 Establish standards to measure performance. Compare performance with the standards. Take corrective actions.

29 An organization is a consciously coordinated social unit, composed of two or more people that functions on a relatively continuous basis to achieve a common goal or set of goals.

30 Organizational behavior is a field of study that investigates the impact that individuals, groups, and structure have on behavior within organization, for the purpose of applying such knowledge toward improving an organizations effectiveness.

31 Align departmental objectives to corporate goals Cost- effective operations Specialization Define authority Flow of authority Manage via exceptional cases Ensure one employee, one superior Define responsibility Attain balance

32 Line Organization Line and Staff Organization Functional Organization Committee Organization Matrix Organization

33 Functional departmentation Product organization Geographical, regional organization Customer organization

34 Virtual Organization Cellular Organization Team structure Boundary less Organization. Inverted pyramid

35 Perception (from the Latin perceptio, percipio) is the process of attaining awareness or understanding of the environment by organizing and interpreting sensory information. All perception involves signals in the nervous system which in turn result from physical stimulation of the sense organs.

36 Intellectual Process Cognitive or Psychological Process Subjective Process Socially Co-Created Culturally Influenced Self-Fulfilling

37 Learning is acquiring new or modifying existing knowledge, behaviors, skills,values or preferences and may involve synthesizing different types of information. The ability to learn is possessed by humans, animals and some machines. Progress over time tends to follow learning curves.

38 Learning is Growth Learning is Adjustment Learning is Organizing Experience Learning involves Acquiring of Knowledge and Skills Learning involves Change Learning is Transferable

39 Planning is Goal-Oriented Planning is a Primary Function Planning is Persuasive Planning is Flexible

40 Individual learning in organizations has to be shaped and managed based on behavioural requirements in an organization as. Individual learning is managed with the help of reinforcement and punishment. Law of effect Reinforcement Positive and negative reinforces Punishment

41 The world personality can be traced to the Latin words per sona which are translated as to speak through. According to Gordon Allport, personality is the dynamic organization within the individual of those psychological systems that determine his unique adjustments to his environment.

42 Sensing Managers Intuitive Managers Feeling Managers Thinking Managers Intuitive Thinkers Sensation Feelers Sensation Thinkers Intuitive Feelers

43 According to the International Transactional Analysis Association, TA 'is a theory of personality and a systematic psychotherapy for personal growth and personal change'.

44 ORGANIZATIONAL BEHAVIOR INDIVIDUAL AND GROUP BEHAVIOR

45 A group consists of two or more persons who interact with each other, consciously for the achievement of certain common objectives. The member of the independent and are aware that they are part of a group. Group consists in every organization and they affect the behavior of their members.

46 Two or more persons Collective Identity Interaction Shared goal interest

47 Personal attraction Group activities Group goals Security and social affiliations Status and self-esteem Power

48 Security Empowerment through sharing of resources Becoming a leader Synergy Goal achievement Status Affiliation needs Self-esteem

49 Formal group Informal group Command group Task group Interest group Friendship Primary groups and Secondary group

50

51 Motivation is derived from the word motive. A motive is an inner state that energies, activates or moves and directs or channels behavior towards goals.

52 Effort Persistence Direction

53 Motivation is a continuous process Motivation is a psychological concept The entire individual is motivated Frustrated individual fails to motivated Goals lead to motivation The self concept as a unifying force

54 Positive motivation or pull mechanism Negative motivation or push mechanism

55 Sizing up Preparing a set of motivating tools Selecting and applying motivators Feedback

56 Physiological needs Security/ Safety needs Social needs [Affiliation or acceptance needs] Esteem needs Self- Actualization needs

57 Douglas McGregor proposed two altogether different views of human beings. One view is basically negative of human beings called X and the other is basically positive of human beings called theory Y.

58 Theory X is a traditional set of assumptions about people. The assumptions held by managers under theory X include The typical person dislikes work and will avoid it, if possible The typical person lacks personality, has little ambition and seeks security about all and Most people must be coerced, controlled and threatened with punishment to get them to work

59 Theory Y implies a more positive, human and supportive approach to managing people. The assumptions of Y includes People view work as being as natural as rest or play People will exercise self- direction and self- control, if they are committed the organizational objectives The average person can learn to accept and/ or seek responsibility People are not inherently lazy. They have become that way as a consequence of their experience and People have potential. Under proper conditions, they learn to accept and seek responsibility

60 Maslow s theory has been modified by Herzberg and he called it two- factor theory of motivation. According to him, the first groups of needs are things such as company policies, administration, and supervision.

61 Need for Achievements Need for Power Need for Affiliation

62 LEADERSHIP,MOTIVATION AND ORGANIZATIONAL STRUCTURE

63 Leadership is defined as the process whereby one individual influences other group members towards the attainment of defined group or organizational goals.

64

65 Sound Physique Responsibility Trustworthy Spirit of Enthusiasm Confidence Must do Things in Systematic manner Significant Level of Tolerance Focused Committed to Excellence

66 Task achievement Development of individuals Building the team Make the vision tangible

67 Reward power Coercive power Legitimate power Expert power Referent power

68 Leadership styles: - leadership is practiced by its styles which may be positive or negative. The style used by the military officers and traditional managers are mostly negatives whereas those of the modern and high technology organizations are positive. 1. Autocratic/ Dictator Leadership style 2. Democratic/ Participative leadership style 3. Bureaucratic leadership style 4. Diplomatic leadership style 5. Laisseze- fair leadership style

69 Trait theories assume that leaders are born not made. The research studies focus on personal traits or characteristics that distinguish the leaders from the followers and a successful leader from an unsuccessful leader.

70 Industrial psychologists Blake and Mounton developed the managerial grid basing on the Ohio State study. The managerial grid identifies a range of management behavior based on the different ways how production/service-oriented and employee-oriented styles interact with each other.

71 Identify themselves as change agents Courageous Believe in people Value-driven Lifelong learners Have the ability to deal with complexity, ambiguity and uncertainty. Visionaries.

72 The term Organizational change implies the creation of imbalance in the existent pattern or situation. Adjustment among people, technology and structural set up is established when an organization operates for a long time.

73 Some of the important reasons for resistance to change are as follows. Economic reasons Fear of reduction in employment Fear to demotion Fear of work load Personal reasons Need for training Boredom and monotony No participation in change Social reasons Need for new social adjustment Taking change as imposed from outside Other considerations

74 Evolutionary Change Revolutionary Change Happened Change Reactive Change Anticipatory Change Planned Change Strategic Change Process-Oriented Change People-Oriented Change Operational Change Directional Change Fundamental Change Total Change

75 According to Joe Kelly, Conflict is defined as opposition or disputes between persons, groups or ideas.

76 Conflicts is finding the Balance Conflicts are Natural Conflicts are not big Conflicts is Multidimensional Conflicts is Universal Conflicts is Disruptive

77 Organizational Change Personality Clashes Different Sets of Values Threats to Status Contrasting Perceptions Lack of Trust Interdepartmental Wrangles Job Related Issues

78 Individual Level Conflict Group Level Conflict Organizational Level Conflict

79

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