organizational behavior

Organizational Behavior | Role In Organizational Effectiveness

Introduction To Organizational Behavior:

This Article Covers:

  • What organizational behaviour is?
  • Historical evolution of organizational behaviour
  • Theories related to organizational behaviour
  • Its role in organizational effectiveness
  • Methods of research
  • Organizational behaviour and HRM
  • The role of the external environment in organizational behaviour

Overview Of Organizational Behavior

What Is Organizational Behavior?

Organizational Behavior (OB) can be defined as the behaviours or behavioural patterns of human beings within organizational settings, the organization as a whole itself, and the interface between the organization and the people working in it or for it.

Historical Evolution Of Organizational Behavior:

The industrial revolution brought a significant change among social and cultural environments, shaping the organizations into various new forms. Among these new forms, the sociologist Max Weber put forward a description for the bureaucratic form of organization that was based on rational-legal principles with increased technical efficiency.

With the arrival of Taylorism and scientific management, studies for organizational behaviour began to be considered on an academic level. Later, the failure of scientific management gave rise to the human relations movement that was primarily based on employee morale and employee cooperation.
Decision making and several other important concepts that are the key to study organizational behaviour were shaped by Herbert Simon’s Administrative Behavior. Simon along with Chester Barnard put forward the concept that people are likely to make decisions differently inside and outside of the organizations.
After the field of organizational behaviour became more quantitative within the span of the 1960s to 1970s, it produced theories such as informal organization, contingency theory, institutional theory and organizational ecology. After the 1980s, the cultural theory and aspects regarding organizations became part of the study. Later on, qualitative research was great, in organizational behaviour studies.

Theories Related To Organizational Behavior:

Informal Organization:

As opposed to the formal structure of the organization, it is more of a social structure of the organization. It is that structure of an organization that can work in concurrence with, against of it, or parallel with the formal structure of the organization. It figures out that on what grounds an organisation could function on practical ground.

Institutional Theory Of Organization:

This theory talks about the aspects of the social structure of an organization that is deeper and more resilient. It talks about how a particular structure comprised of rules, routines, schemes, and norms could be derived from authoritative social behavioural guidelines.

Contingency Theory Of Organization:

Contingency theory says that the optimal course of action is dependent upon the situation of the internal and external environment. It does not see any other way to organize or lead a company and to make decisions.

Organizational Culture:

Culture is the name given to certain shared attributes and values, beliefs and customs, that a group of more than one groups of people embrace. Organizational culture is the name given to certain experiences, expectations, and a code of conduct that determines the behaviour and actions of people working in or for the organization.

Role Of OB In Achieving Effectiveness:

Organizational effectiveness is the name given to the ability of organizations to provide goods and services to society that meet or exceed their needs and wants. For this purpose, organizational behaviour serves in the following dimensions.

  • Polishing people’s abilities and skills
  • Working on the productivity and quality
  • Working on Total Quality Management
  • Maintaining a diversity of the workforce
  • Empowering people
  • Shaping responses to globalization
  • Dealing with the short-timed product lifecycle
  • Fueling change and innovation
  • Fueling organizational creativity
  • Shaping ethical standards
  • Fueling E-commerce and E-organization
  • Improving ethical mindset of people
  • Boosting the morale of employees
  • Doing best with customer service
  • Enabling employees to mitigate the conflict of work-life
  • Bringing world closer

Research In Organization Behavior:

The widely used research method in all areas of research is the experimental research method. This method aims to prominent the cause-and-effect relationship, it studies the influence and the degree of influence that some variable is exerting on some other variable.

This type of research could be done in the laboratory (laboratory experiment) as well as on-field (field experiment). The laboratory experiment involves the control of the experimenter who can use it to mitigate the complexity of the experiment by eliminating irrelevant elements. While field experiment provides no control to anyone over irrelevant elements but it provides accuracy regarding behaviours of employees.
Another research methodology is observations of facts and figures. A researcher conducting this type of research may collect information timely that is relevant. The observation could include or not the researcher as a participant. If it includes, the researcher may only see and listen (observe) to the activities being performed by the people whose behaviours are being studied. But when the research includes the researcher, s/he could play a dual role of the researcher as well as observant.

The researcher may directly involve in the research by for example asking questions.
A survey is another way to research the behaviours and their impacts which is quite popular though. It is commonly conducted via asking the respondents to fill a questionnaire that contains relevant questions to collect information that serves the research question, or via interviewing the respondents for that relevant information that serves the research question.

Organizational Behavior And HR Management:

Organizational behaviour when tending to improve areas like empowerment, creativity, innovation, skills and abilities, then it could aid HR management in its functions and operation. The organizational behaviour incorporates the research in areas like leadership, organizational education, performance analytics, and CSR which is a way towards implementing effective HR management. The ever-changing environments are influencing greatly the behavioral pattern of organizations towards people and people towards organizations. To keeping pace with these changed behaviours and to use those for the betterment of the organization, organizational behaviour is sure to study, analyzed, and modify in the desired direction to ease the path of HR instead of their function of people management.

External And Internal Environments:

As we discussed above the ever-changing and dynamic environment of business, and the industrial revolution that is moulding every aspect of business in a new direction; is enough to affect organizational behaviour. It is on its way to modification and change since the day of its birth only due to the effects of environmental factors that guide human behaviour. Moreover, the changing demands or consumer behaviour leads organizations to change their behaviours towards people.
The emergence of technology and technological advances are fueling the changes around the world; these changes are influencing the behaviours or behavioural patterns of people whether inside or outside of the organization.

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