Organizational Behavior Concepts Guide

 To learn about yourself and how to deal with
others
 You are part of an organization now, and will
continue to be a part of various organizations
 Organizations are increasingly expecting
individuals to be able to work in teams, at
least some of the time.
 You would be able to empower yourself and
see companies and its dynamics in a different
light thereby becoming better managers and
future leaders.
I N T R O D U C T I O N

 Organization
 Organization Structure
 Organizational System
 Organizational Culture
 Organizational Behavior
 Organizational Behavior System
 Organizational Climate
I N T R O D U C T I O N

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.
Shared…
 vision?
 mission?
 values?
Concepts of Organization

 Bring together resources to achieve desired
goals and outcomes
 Produce goods and services efficiently
 Facilitate innovation
 Use modern manufacturing and information
technologies
 Adapt to and influence a changing environment
 Create value for owners, customers and
employees
 Accommodate ongoing challenges of diversity,
ethics, and the motivation and coordination of
employees

 System of relations, governing activities of
employees, reliant upon one another to meet
common goals
 Embedded in position descriptions
 Pictured in position relationships shown on organizational
charts
 Revealed in distribution of authority and communication
channels
 Since it is based upon relationships, it changes, even
when it looks fixed
 Varies from the simple to complex
 Can be formal or informal
 May be centralized or decentralized
 Marked by specialization and coordination

 "organizational systems
are stable, influence
everyone's performance
and can be consciously
designed."
 However, prior to planning
an organizational system,
knowledge of the various
types of systems that exist
is required.

 It was developed out of necessity because
populations increased and the need for food and
security became pressing.
 headed by a chief who is followed by a group of
people that may differ in class and leadership
role

 also know as a bureaucratic management,
there is a chief executive officer at the head of
the organization.
 It is simple and easy to understand because of
the well-defined structure, authority and job
responsibilities.

 a business in which the structure has few or no
levels of management between staff members
and managers.
 Also known as horizontal systems.
 functions on the assumption that well-trained
and skilled workers are more productive when
directly involved in the decision-making process,
rather than supervised by many managers.

 combines both the flat and hierarchical
structures.
 a general manager is at the top of the hierarchy
while the rest of the organization is mostly flat.
 allows for a better integration of diverse areas of
expertise.
 allows for wiser decisions because of the wide
range of skills and specialization from team
members applied to the business.

 developed in the 1990s, is an informal structure that
meets immediate demands and provides long-term
flexibility.
 The system allows an executive committee to keep the
control and make important decisions while decentralized
work units are formed around the tasks and projects.
 This model can only work if multiple information
technologies, such as telecommunications, are used and
management principles are understood to allow for the
constant change in teams to be done as efficiently as
possible.

 “…the system of norms, beliefs and assumptions,
and values that determine how people in the
organization act—even when that action may be at
odds with written policies and formal reporting
relationships.”
 Not a model for management but a theory that explains
workplace behavior.
 Often operates unconsciously but guides action and
affects ability to change.
 Exists alongside formal organizational structure, can be
at odds with it.
 Learned responses of an organization in adapting to an
external environment and integrating internally its
experiences.

 a field of study that investigates how individuals, groups
and structure affect and are affected by behavior within
organizations, for the purpose of applying such
knowledge toward improving an organization’s
effectiveness.
 as an applied science is a scientific discipline in which a larch
number of research studies and conceptual developments
constantly add to its knowledge base.
 It provides a useful set of tools at many levels of analysis to
help managers look at the behavior of individuals within the
environment. I
 It also aids their understanding of the complexities which affect
the interpersonal relations of dynamics of relationships within
small groups, both formal and informal.
 The nature of study of organizational behaviour is investigative
to establish cause and effect relationship.
Concepts of Organizational Behavior

ORGANIZATION
BEHAVIOR
Structure
Environment
TechnologyPeople

Elements of an Organizational Behavior System
Management’s
Philosophy Values Vision Mission Goals
Organizational CultureFormal
Organization
Informal
Organization
Social
Environment
Leadership Communication
Group Dynamics
Quality of Work Life (QWL)
Motivation
Outcomes:
Performance
Employee satisfaction
Personal growth and development

 The philosophy (model) of organizational behavior
held by management consists and integrated set of
assumptions and beliefs about the way things are,
the purpose for these activities, and the way they
should be.
 These philosophies are sometimes explicit, and
occasionally implicit, in the minds of manager.
 Five major organizational behavior philosophies
includes autocratic, custodial, supportive, collegial
and system.

 We are committed to quality, cost-
effectiveness, and technical excellence.
 People should treat each other with
consideration, trust, and respect.
 Each person is valuable, is unique, and
makes a contribution.
 All employees should be unfailingly
committed to excellent performance.

• Teamwork can, and should, produce far more
that the sum of individual efforts. Team
members must be reliable and committed to
the team.
• Innovation is essential.
• Open communications are important for
attaining success.
• Decision should be reached participatively.

 Fact premise are acquired through direct
and indirect lifelong learning and are very
useful in guiding our behavior.
 Value premise represent our views of the
desirability of certain goals and activities.
Value premises are variable beliefs we hold
and are therefore under our control.
Fact premise
Value premise

 The rules by which we make decisions
about right and wrong, should and
shouldn't, good and bad.
 They also tell us which are more or less
important, which is useful when we have to
trade off meeting one value over another.

Values Statement
We believe in demonstrated competence,
institutional integrity, personal commitment and
deep sense of nationalism.
(TESDA)

OUR VALUES
 INTEGRITY: We are morally upright, honest and sincere in
our private and public lives.
 PROFESSIONALISM: We consistently implement the law,
provide timely and accurate information to investors, and
render efficient and competent service to the public.
 ACCOUNTABILITY: We abide by prescribed ethical and work
standards in government service.
 INDEPENDENCE: We act without fear or favor, and render
sound judgment in the performance of our duties and
responsibilities.
 INITIATIVE: We are strategic and forward-looking in the
fulfillment of our developmental and regulatory functions.
( Securities and Exchange Commission )

http://www.csc.gov.ph/cscweb/value.html
VALUES STATEMENT
The Commission, bound by its advocacy of genuine and ideal
public service, remains committed in the propagation of the
highest standards of integrity and organizational efficiency.
As public servants whose cause is to serve the people …
We recognize the value of gender-responsiveness on sustaining
human development.
We encourage the genesis of new ideas that lead to policies and
growth-enhancing work environments.
We espouse the philosophy of genuine selfless public service as
the true mark of performance and excellence.
WE OFFER OURSELVES TO THE CAUSE OF SERVING THE
PEOPLE, THEY DESERVE NO LESS.
( Civil Service Commission )

 It represents a challenging portrait of the
organization and its members can be – a
possible, and desirable future.
 Leaders need to create exciting projections
about the organization should go and what
major changes lie ahead.
 Once the vision is established, persistent and
enthusiastic communication is required to sell
it throughout the ranks of employees so they
will embrace it with commitment.

 The Tarlac State University (TSU) shall be a comprehensive
institution of excellence in higher education for total human
development.(TSU)
 ABS-CBN is the total information and entertainment
company; a leading player and center of creativity in Asia,
and a major player in the global market. (ABS-CBN)
 To be the Premier Countryside Financial Institution.
(Green Bank, Inc.)
 TESDA is the leading partner in the development of the
Filipino workforce with world-class competence and positive
work values. (TESDA)

 Identifies the business it is in, the market niches it
tries to serve, the types of customer it is likely to
have, and the reasons for its existence.
 It even includes a brief listing of the competitive
advantages, or strengths, that the firm believes it has.
 It is more descriptive and less future-oriented than
vision.
 Need to be converted to goal to become operational
and useful.

TESDA provides direction, policies,
programs and standards towards quality
technical education and skill development.
Mission of TESDA
The Tarlac State University (TSU) is committed to
develop, promote, and sustain quality and relevant
programs in higher education for people
empowerment, professional development, and
global competitiveness.
Mission of TSU

To fulfill our pivotal role in shaping the Filipino
people's consciousness through information and
entertainment programs that adhere to world class
standards.
To diversify and expand into new business ventures
which include animation, post-production, theater
operations, theme parks, international movie joint
ventures, audio production, licensing and
merchandising, and other information and
entertainment-related
Mission ABS-CBN

To provide fast customer-driven products and
services that exceeds client expectation
efficiently and effectively;
To care for the highly motivated staff by
constantly seeking better competencies for
them through strategic alliances and through a
competitive compensation and benefits
package.
Mission of Green Bank, Inc.

 Goals are relatively concrete formulations of
achievements the organization is aiming for
within set periods of time, such as one to five
years.
 Goal setting is a complex process, for top
management’s goals need to be merged with
those of employees, who bring their
psychological, social, and economic needs
with them to an organization.

To establish good business relationships with our
clients by the end of 2010.
To keep client complaints down to no more than 5
complaints per month.
To build a professional and effective team that will
support & deliver Service Level Agreements with
clients.
To ensure a 95% uptime service quality level is
maintained for the computing environment for the
entire year of 2006, while staying within budget.

Models of Organizational Behavior

The basis of this model
is power with a
managerial orientation
of authority.
Those who are in
command must have
the power to demand
―you do this – or else‖
http://www.nwlink.com/~donclark/leader/leadob.html

The employees in turn are
oriented towards obedience and
dependence on the boss.
The employee need that is met
is subsistence.
The performance result is
minimal.

Its principal weakness is its high human cost
especially as caused by micromanagement.
Micromanagement – a natural pattern of
autocratic managers – is the immersion of a
manager into controlling the details of daily
operations.
Employees typically detest a micromanager,
with the result being low morale, paralyzed
decision making due to fear of being second-
guessed and high turn-over.

Useful:
Acceptable approach to guide managerial
behavior when there were no well-known
alternatives.
Useful under some extreme conditions
such as organizational crises.

The employees in
turn are oriented
towards security
and benefits and
dependence on the
organization.
The basis of this model is economic
resources with a managerial orientation of
money.

The employee need that is
met is security.
Employee feel with
reasonable contentment.
Most employees are not
producing anywhere near
their capacities.
The performance result is
passive cooperation.

The employees in turn are oriented
towards job performance and
participation.
The basis of
this model is
leadership with
a managerial
orientation of
support.

Psychological result is a feeling of
participation and task involvement in the
organization.
Employees may say ―we‖ instead of
―they‖
Employees are strongly motivated
because their status and recognition
needs are better met, thus they have
awakened drive for work.

The basis of this model is partnership
with a managerial orientation of
teamwork.
The result is that the employees feel
needed and useful.

The employees in turn
are oriented towards
responsible behavior
and self-discipline.
The employee need
that is met is self-
actualization.

Employees normally feel
some degree of fulfillment,
worthwhile contribution, and
self-actualization.
This self-actualization will
lead to moderate enthusiasm
in performance.

 Employees want a work context that is
ethical, infused with integrity and trust and
provide an opportunity to experience a
growing sense of community among co-
workers.
 There is spirituality at work - the desire for
employees to know their deepest selves
better, to grow personally, to make a
meaningful contribution to society, and to
demonstrate integrity in every action taken.

 Managers must increasingly demonstrate a
sense of caring and compassion, being
sensitive to the needs of the diverse
workforce.
 This model reflects the values underlying
positive organizational behavior, where
managers focus their attention on helping
employees develop feelings of hope,
optimism, self-confidence, empathy,
trustworthiness, esteem, courage, and
resiliency.

 Managers at all levels needs to display two
key ingredients:
1. Authenticity – the demonstrated ability
to open themselves up to others by
being transparent, while ―walking the
talk‖ of the underlying values.
2. Social intelligence.

Five Dimensions of Social Intelligence
1. EMPATHY – appreciation for and connectedness with
others.
2. PRESENCE – projecting self-worth in one’s bearing.
3. SITUATIONAL RADAR – ability to read social
situations and respond appropriately.
4. CLARITY – using language effectively to explain and
persuade.
5. AUTHENTICITY - being “real” and transparent, while
projecting honesty.
Karl Hans Albrecht
Karl Hans Albrecht is a German entrepreneur who founded the discount
supermarket chain Aldi with his brother Theo. As of October 2012,
Albrecht is listed as one of the richest people in the world with an
estimated net worth of US$22.6 billion.

 Managers try to convey to each workers;

 Support employee commitment to short- and long-
term goals.
 Coach individuals and groups in appropriate skills
and behaviors.
 Model and foster self-esteem.
 Show genuine concern and empathy for people.
 Offer timely and acceptable feedback.

 Influence people to learn continuously and share
that learning with others.
 Help individuals identify and confront issues in
ethical ways.
 Stimulate insights through interviews, questions,
and suggestions.
 Encourage people to feel comfortable with change
and uncertainty.
 Build cohesive, productive work teams

 Employees embrace the goal
of organizational effectiveness
and recognize the mutuality of
company-employee obligation.
 It creates a sense of
psychological ownership for
the organization and its
product services.

 The highest-order needs (e.g.
social, status, esteem, autonomy,
and self-actualization) are met.
 Engender employees’ passion
and commitment to
organizational goals.
 Employees go beyond the self-
discipline and reach a state of self-
motivation.

Autocratic Custodial Supportive Collegial System
Basis of model Power
Economic
resources
Leadership Partnership
Trust,
community,
meaning
Managerial
orientation
Authority Money Support Teamwork
Caring,
compassion
Employee
orientation
Obedience
Security and
benefits
Job
performance
Responsible
behavior
Psychological
ownership
Employee
psychological
result
Dependence on
boss
Dependence on
organization
Participation Self-discipline Self-motivation
Employee
needs met
Subsistence Security
Status and
recognition
Self-
actualization
Wide range
Performance
result
Minimum
Passive
cooperation
Awakened
drives
Moderate
enthusiasm
Passion and
commitment to
organizational
goals

Evolving Usage
 Manager/Organization use the models tends to
evolve over time.
 There is no one permanently “best’ model.
 Primary challenge to management is to identify the
model it is actually using and then assess its
current effectiveness.

Relation of Models to Human Needs
 The five models are closely related to
human needs.
 Each model is build upon the
accomplishments of the other.

Increasing Use of Some Models
 The trend toward the supportive,
collegial and system models will
probably continue.
 Only these newer models can offer the
satisfaction of the employees needs for
esteem, autonomy and self-
actualization.

Contingent Use of All Models
 Though one model may be most used at
any given time, some appropriate uses
will remain for other models.
 The five models will continue to be
used, but the more advanced models
will have growing use as progress is
made and employee expectations rise.

Managerial Flexibility
 Managers need to identify their current
behavioral model and must keep it flexible
and current.
 Managers need to read, to reflect, to
interact with others, and to be receptive to
challenges to their thinking from their
colleagues and employees.

Employees in the organization keep studying the
management philosophy and various actions they take
to deal with organizational factors that are of a routine
nature.
These include the following:
ORGANIZATION CLIMATE

A. Selection Process of the employees.
B. Leadership style and approach to solve problems of the
employees.
C. Wage administration.
D. Attitude to implement change and incorporate latest
technology.
E. Job description.
F. Organizational structure and frequency to modify the
same based on need.
G. Performance evaluation.
H. Promotion policy and its implementation.
I. Efforts involved in promoting creativity and
innovations.
J. Availability of resources for research and development.
K. Organizational values and promotion of culture.

(a) Overt factors
 can be measured and fair
assessment can therefore be
made about the intentions of
the management and efforts
they are putting in to build an
appropriate organizational
climate.
• Hierarchy
• Goals of the organization
• Financial resources
• Skills and abilities of employees
•Technological state of the
organization
• Performance standards adopted
• Efficiency measurement
(b) Covert factors
 can not be quantified being of
subjective nature
• Values
• Attitude
• Norms
• Feelings
• Interaction
• Supportiveness
• Satisfaction
organizational climate is classified into two factors as under:

1) Objectives are widely shared by the members and there is
a strong consistent flow of energy toward those
objectives.
2) People feel free to signal their awareness of difficulties
because they expect the problems to be dealt with and
they are optimistic that these problems can be solved.
3) Problem-solving is highly pragmatic. In attacking
problems, people work informally and are not preoccupied
with status, territory, or second guessing ―what higher
management will think.‖ A great deal of non-conforming
behavior is tolerated.
4) The judgment of people lower down in the organization is
respected.
Characteristics Healthy Organizations

5) Collaboration is freely entered into. People readily
request the help of others and are willing to give in turn.
Ways of helping one another are highly developed.
Individuals and groups compete with one another, but
they do so fairly and in the direction of a shared goal.
6) When there is a crisis, the people quickly band together
in work until crisis departs.
7) Conflicts are considered important to decision-making
and personal growth. They are dealt with effectively, in
the open. People say what they want and expect others to
do the same.

8) There is a great deal of on-the-job learning based on a
willingness to give, seek, and use feedback and advice.
People see themselves and other as capable of
significant personal growth and development.
9) Joint critique of progress is routine.
10) Relationships are honest. People do care about one
another and do not feel alone.
11) People are ―turned on‖ and highly involved by choice.
They are optimistic. The work place is important and fun
(why not?).
12) Leadership is flexible, shifting in style and person to suit
the situation.

13) There is a high degree of trust among people and a sense
of freedom and mutual responsibility. People generally
know what is important to the organization and what isn’t.
14) Risk is accepted as a condition of growth and change.
15) ―What can we learn from each mistake?‖
16) Poor performance is confronted, and a joint resolution
sought.

17) Organizational structure, procedures, and policies are
fashioned to helped people get the job done and to
protect the long-term health of the organization, not to
give each bureaucrat his due. These procedures are also
readily changed.
18) There is a sense of order, and yet a high rate of
innovation. Old methods are questioned and often give
way to new ones.

Characteristics Unhealthy Organizations
1) Little personnel investment in organizational objectives,
except to top levels.
2) People in the organization see things going wrong and do
nothing about it. Nobody volunteers. Mistakes and
problems are habitually hidden or shelved. People treat
each other in a formal and polite manner that masks
issues—especially with the boss. Non-conformity is
frowned upon. People talk about office troubles at home
or in the halls, not with those involved.
3) People at the top try to control as many decisions as
possible. They become bottlenecks, and make decisions
with inadequate information and advice. People complain
about manager’s irrational decisions.

4) Managers feel alone in trying to get things done.
Somehow, orders, policies and procedures do not get
carried out, as intended.
5) The judgment of people lower down in the organization is
not respected outside the marrow limits of their jobs.
6) Personal needs and feelings are side issues.
7) People compete when they need to collaborate. They are
jealous of their area of responsibility. Seeking or
accepting help is unthought of they destruct each other’s
motives and speak poorly of one another, the manager
tolerates this.
8) When there is a crisis, people withdraw or start blaming
one another.

9) Conflict is mostly covert and managed by office politics
and other games, or there are interminable and
irreconcilable arguments
10) Learning is difficult. People don’t approach their peers to
learn from them, but have to learn from their own
mistakes; they reflect the experience of others. They get
little feedback on performance, and much of that is not
helpful.
11) Feedback is avoided.
12) Relationships are contaminated by marksmanship and
image-building. People feel alone and lack concerns for
one another. There is an undercurrent of fear.

13) Conflict is mostly covert and managed by office politics
and other games, or there are interminable and
irreconcilable arguments
14) Learning is difficult. People don’t approach their peers to
learn from them, but have to learn from their own
mistakes; they reflect the experience of others. They get
little feedback on performance, and much of that is not
helpful.
15) Feedback is avoided.
16) Relationships are contaminated by marksmanship and
image-building. People feel alone and lack concerns for
one another. There is an undercurrent of fear.

Organizational Behavior Concepts Guide

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