Theory & Practice Perspective Paper
S.SHARON
mgmt505_lectureslides_ch01_1.pptMGMT 505
Organizational Behavior
Chapter 1
Organizational Behavior
- What is this field?
OB is the synthesis of psychology and behavioral theories, concepts, and research in an organizational context
- Why should we care about OB?
Behaviors impact everything!
Job satisfaction and commitment
Motivation
Performance
Teamwork
Leadership
Decision making
Conflict resolution
Managing changes
Workflow and processes
Influences on Organizational Behavior
- Early 1900s-1920s:
Industrial Revolution: Frederick Taylor & scientific management, Weber & bureaucratic organizations, power hierarchy
- Mid 1920s-1930s:
Human Relations Movement
WW I selection & testing, Hawthorne studies, union formation
McGregor’s Theory X and Theory Y
- Mid 1940s-1960s:
Vietnam War, the Civil Rights movement, equality
- 1970s-2000:
Assessment of individual personality differences, globalization, demographic shifts, diversity, empowerment, dot.com boom
- 2001-Present:
Terrorist attacks/emergency preparedness, technology, ethics/compliance, economic uncertainty, work-life balance
Today’s Human & Social Capital:
Critical to Organizational Success!
Enabling Success Through OB Research
- Organizational Behavior Research
Application of scientific inquiry to enhance organizational effectiveness
- Balance between science and practice is critical
Science without concern for practice = research irrelevant and not useful to organizations
Practice without concern for science = little knowledge acquired, lack of valid findings, no improvement for organizational issues
- Importance of applied organizational research
Findings enable valuable insights leading to organizational development interventions and positive change
Alignment of People – Process – Systems
Encouraging a knowledge sharing community of practitioners, consultants, academics, and researchers
Ethics & Organizational Behavior
- Ethics: Set of principles an individual uses to determine whether an action is good or bad
Ethics and legal compliance are not necessarily the same
- Ethical decision making typically follows the A-B-C sequence
Antecedent – Behavior - Consequence
Good motives and actions may generate bad consequences
Bad motives and actions may generate good consequences
- Ethical behavior in organizations affects every facet of operations:
Investor/Shareholder interaction
Client/customer services
Workforce/employee treatment
Supplier and contractor dealings
Public relations/image
Organizational Ethics
- Organizational ethics is the application of ethical concepts to business decisions and practices
- Goal for the organization is to strive towards a balance of meeting business goals while eliminating negative impact of business actions
- Objectives of ethical business behavior:
To meet demands of stakeholders
expectations of corporate social responsibility
To enhance business performance
financial performance – sales, revenue, competitive strength
attracting and retaining talented employees
positive public image and reputation
consumer loyalty
investor interest and confidence
To comply with legal requirements
legislation, policies, audit systems, disciplinary action
To prevent or minimize harm
To promote personal morality
Ethical Challenges in Organizations
- Common Organizational Problems
Abuse, harassment or intimidation
Dishonesty, theft
Safety violations
Misrepresentation of the organization or individuals
Lack of attention to errors, defects, damage control
- Common causes
Personal gain & selfish interest
Conflict of interest
Following orders/directive from superiors
Pressure to comply with demands, need to conform with majority perspective
Lack of information needed to make more ethical decision
Insufficient time to weigh all alternatives before acting
Creating an Organizational Culture of CSR and Ethical Practices
- Corporate Social Responsibility (CSR) has emerged as a critical concept for organizations to integrate in their business strategy
Impact on society and going beyond doing what is ethical
Setting an example of ethics and responsibility, “walk the talk”
- Establishing and supporting written codes of ethics and conduct
- Developing formal mechanisms for dealing with ethical problems
Policies, Sarbanes-Oxley Act
- Incorporating ethics criteria in the hiring process
- Providing training in ethics and social responsibility to employees, contractors, and suppliers
