1

Introducing
Organizational
Behavior

Introducing Organizational Behavior

WHAT IS ORGANIZATIONAL BEHAVIOR?
IMPORTANCE OF ORGANIZATIONAL BEHAVIOR

What Is Organizational Behavior?

Ifyoupausetoconsiderthevasteffectsofourrecenteconomicandsocialturmoil,thereshouldn'tbeany
doubtthatorganizationsandtheirmembersfacehugechallenges.Talktofriendsandfollowthenews
headlines.Preferredjobsarestillhardtocomebyfornewcollegegraduates,andunemploymentremainshigh,
especiallyforcandidateswithoutstrongcareerskills.Thosewithjobsoftenstruggletosupportadesired
lifestylewhilebalancingconflictingdemandsofworkandfamilyresponsibilities.Likeitornot,thisisyour
world.It'stheoneyou'llhavetomasterforbothcareerandpersonalsuccess.
Inthischallengingera,thebodyofknowledgewecallorganizationalbehavioroffersmanyinsightsofgreat
value.Organizationalbehavior(OB)isthestudyofhumanbehaviorinorganizations.Itisanacademic
disciplinedevotedtounderstandingindividuals,teams,interpersonalprocesses,andorganizationaldynamics.
LearningaboutOBcanhelpyoubuildsolidjobskillsandexpandyourpotentialforcareersuccessinthe
dynamic,shifting,andcomplexworkplacesoftodayandtomorrow.

Importance of Organizational Behavior

ThinkOBandgreatjobs!ThinkOBandcareersuccess!ThinkOBandoveralllifesatisfaction!Don'tthink
OBandanothercoursecompletedformydegree!
TherealimportanceofOBboilsdowntohowithelpsyoudeveloptheskillsneededforasuccessfulcareerin
oureverchangingworld.Thisisatimeinwhichthenormalcomplexitiesofhumanbehaviorinorganizations
arerampedupbyanenvironmentofconstantchangeandthegrowinginfluenceofsocialtechnology.Takethe
OBrelevancetest.Howpreparedareyoutoexcelinjobswithfashionforwardtitleslikethese? 1
RelationshipchampionLogisticsringmasterInnovationgamechangerCollaborationpioneerMarket
trendsvirtuoso
Ifyoucandescribeinyourownwordswhatthesejobholderswouldbedoing,you'realreadymovinginthe
rightdirection.You'restartingtogetarealsenseofwhatittakestosucceedinthisemergingnewworkplace
andwhyitpaystolearnwhatOBcanteachusabouthumanbehaviorinorganizations.
Behindeachofthepriorjobtitlesisacommonfoundationthatcomestolifeasnetworking,connecting,
ideating,collaborating,helping,linking,supporting,seeking,andperforming.Theseandother
similarbehaviorsdrivewhatcanbecalledasmartworkforce,oneinwhichyoumustbepreparedto
excel.2Smartworkforcesarecommunitiesofactionwhosememberstackleconstantlyshiftingprojectswhile

sharingknowledgeandskillstosolverealandoftencomplexproblems.Smartworkforcesarebuiltthrough
connectionsactivatedbyrelationalskillsandsocialtechnologiesandusedtoforgeapowerfulcollectivebrain
thatkeepsgrowingandadaptingovertime.
ThistexthelpsyoubridgethegapbetweenOBasabodyofknowledgeandOBasapathwaytocareerandlife
success.Ourbookisaboutpeople,everydaypeoplelikeyouandlikeus,whoworkandpursuecareersin
today'sdemandingsettings.It'saboutpeoplewhoseekfulfillmentintheirlivesandjobsinavarietyofways
andinuncertaintimes.It'saboutthechallengesofleadership,ethics,globalization,technology,diversity,
worklifebalance,andmanysocialissues.Anditisabouthowourcomplexeverchangingenvironment
requirespeopleandorganizationstocontinuouslyadaptandimproveinthequestforpromisingfutures.

Collaboration leaders help make the people-to-people connections that give

life to collaborative organizations.

Building Skills to Succeed in a Collaboration Economy

Every time you log onto Facebook or LinkedIn, join a multiplayer online game, or
check Yelp for advice on a good restaurant, you are part of a fast-moving
technology-driven, and very social world. But, are you taking the skills honed in
these everyday experiences and developing them for career success in a new
collaboration economy? It's a setting where work gets done, customers get served,
and ideas and information get shared 24/7.
Dean Sally Blount of Northwestern's Kellogg School says that success is earned in
our collaboration economy by people and companies who connect and collaborate
more effectively. Jacob Morgan, author of The Collaborative Organization (McGrawHill, 2012), says that there is a great opportunity for collaboration leaders who
value and respect others as the most important assets of organizations.
Collaboration leaders aren't figureheads with formal titles. They are everyday
leaders who are exceptionally good at teamwork, information sharing, giving and
receiving feedback, providing peer support, and recognizing the contributions of
others. In other words, collaboration leaders help make the people-to-people
connections that give life to collaborative organizations. They bring social technology
together with face-to-face interactions to harness the powers of knowledge,
creativity, and teamwork.
The collaboration economy presents a pretty stiff career test. It calls for hard
technology skills and real job expertise to be combined with soft people skills and a
genuine personal presence. But that's the great opportunity of your course in
organizational behaviora chance to learn more about yourself and how people
work together in organizations. The question is this: Are you ready to jump in and let
OB help build your skills for success in a collaboration economy?

Information and quotes from Sally Blount, The Collaboration Economy, Kellogg (Fall, 2012), pp. 4-7; and Jacob
Morgan, The New Role of HR in Collaboration, Chess Media Group:
www.slideshare.net/JacobMorgan8(accessed: January 21, 2013). See also Jacob Morgan, The Collaborative
Organization(New York: McGraw-Hill, 2012).

Thereisnodoubtthatsuccesswithourlifeandcareergoalsrequiresongoinglearningandcontinuousattention
tonewtrends,practices,andopportunities.Thefollowingchangesinwhatpeopleexpectandvalueintermsof
humanbehaviorinorganizationsareofspecialinterestinthestudyofOB. 3
Trendswithhumanbehaviorinorganizations
Importanceofconnectionsandnetworks.Workisincreasinglybeingdonethroughpersonalconnections
andnetworks.Inthisenvironment,buildingeffectiverelationshipsfacetofaceandonlineisamusthave
careerskill.
Commitmenttoethicalbehavior.Highlypublicizedscandalsinvolvingunethicalandillegalpractices
promptconcernsforethicalbehaviorintheworkplace;growingintoleranceforbreachesofpublicfaith
byorganizationsandthosewhorunthemaredrawingnewattentiontobusinessethics.
Broaderviewsofleadership.Newpressuresanddemandsmeanorganizationscannolongerrelyonjust
managersforleadership.Leadershipisvaluedfromallmembers,foundatalllevels,andflowsinall
directionsnotjusttopdown.
Emphasisonhumancapitalandteamwork.Successisearnedthroughknowledge,experience,and
commitmentstopeopleasvaluablehumanassets;workisincreasinglyteambasedwithafocusonpeer
contributions.
Demiseofcommandandcontrol.Traditionalhierarchicalstructuresandpracticesarebeingreplacedby
sharedleadership,flexiblestructures,andparticipatoryworksettingsthatengagehumanandsocial
capital.
Influenceofinformationtechnology.Asnewtechnologiesincludingsocialmediapenetratethe
workplace,implicationsforworkarrangements,organizationalsystemsandprocesses,andindividual
behaviorarecontinuouslyevolving.
Respectfornewworkforceexpectations.Thenewgenerationislesstolerantofhierarchy,morehightech,
andlessconcernedaboutstatus.Balanceofworkandnonworkresponsibilitiesisatoppriorityvalue.
Changingconceptofcareers.Neweconomyjobsrequirespecialskillsetsandacontinuous
development.Morepeoplenowworkasindependentcontractorsandfreelancerswhoshiftamong
employersratherthanholdfulltimejobs.
Concernforsustainability.Issuesofsustainabilityaretoppriorities.Decisionmakingandgoalsetting
increasinglygiveattentiontotheenvironment,climatejustice,andpreservationofresourcesforfuture
generations.

Organizational Behavior as a Science

SCIENTIFIC FOUNDATIONS OF ORGANIZATIONAL BEHAVIOR
HOW WE LEARN ABOUT ORGANIZATIONAL BEHAVIOR
Howdowefindoutwhatanewgenerationofgraduatesreallywantsandneedsfromworkandincareers?
Howdowelearnhowtointegratemultigenerationalworkforcesaroundcommongoalsandhighperformance
expectations?Howdowegainsolidinsightsintohowtheseandotherimportantissuesofhumanbehaviorplay
outindaytodayorganizationalpractice?Theanswerisfoundinoneword:science.

Scientific Foundations of Organizational Behavior

Morethanacenturyago,consultantsandscholarswerealreadygivingattentiontothesystematicstudyof
managementandorganizationalpractices.Althoughtheearlyfocuswasonphysicalworkingconditions,
principlesofadministration,andindustrialengineering,interestsoonbroadenedtoincludethehumanfactor.
Thisledtoresearchdealingwithindividualattitudes,groupdynamics,andtherelationshipsbetweenmanagers
andworkers.Organizationalbehaviorthenemergedasascholarlydisciplinedevotedtoscientific
understandingofindividualsandgroupsinorganizations,andoftheperformanceimplicationsof
organizationalprocesses,systems,andstructures.4

Interdisciplinary Body of Knowledge

Organizationalbehaviorisaninterdisciplinarybodyofknowledgewithstrongtiestothebehavioralsciences
psychology,sociology,andanthropologyaswellastoalliedsocialsciencessuchaseconomicsandpolitical
science.WhatmakesOBuniqueisitsdesiretointegratethediverseinsightsoftheseotherdisciplinesand
applythemtorealworldorganizationalproblemsandopportunities.TheultimategoalofOBistoimprovethe
performanceofpeople,groups,andorganizations,andtoimprovethequalityofworklifeoverall.

Use of Scientific Methods

Thefieldoforganizationalbehaviorusesscientificmethodstodevelopandempiricallytestgeneralizations
aboutbehaviorinorganizations.OBscholarsoftenproposeandtestmodelssimplifiedviewsofrealitythat
attempttoidentifymajorfactorsandforcesunderlyingrealworldphenomena.Thesemodels
linkindependentvariablespresumedcauseswithdependentvariablesoutcomesofpractical
valueandinterest.Forexample,thefollowingmodeldescribesoneofthefindingsofOBresearch:Job
satisfaction(independentvariable)influences,absenteeism(dependentvariable).The+andsigns
indicatethatasjobsatisfactionincreasesabsenteeismisexpectedtogodown,andasjobsatisfactiondecreases,
absenteeismshouldgoup.

Asyoulookattheabovemodel,youmightaskwhatdependentvariablesotherthanabsenteeismarealso
importanttostudyinOBperhapsthingsliketaskperformance,ethicalbehavior,workstress,incivility,team

cohesion,andleadershipeffectiveness.Thinkalsoaboutjobsatisfactionasadependentvariableinitsown
right.Whatindependentvariablesdoyoubelievemightexplainwhethersatisfactionwillbehighorlowfor
someonedoingaservicejob,suchasanairlineflightattendant,oramanagerialjob,suchasaschool
principal?
Figure1.1describesmethodscommonlyusedbyOBresearcherstostudymodelsandtherelationshipsamong
variables.Theseresearchmethodsarebasedonscientificthinking.Thismeans(1)theprocessofdata
collectioniscontrolledandsystematic,(2)proposedexplanationsarecarefullytested,and(3)only
explanationsthatcanberigorouslyverifiedareaccepted.

F I G U R E 1 . 1 Common scientific research methods in organizational behavior.

Something to ReadThe Shift: The Future of Work Is Already Here
As professor of management at the London Business School, Lynda Gratton worries
that students fail to understand the nature, pace, and complexity of forces shaping the
future of work. Her book, The Shift (HarperBusiness UK, 2011) describes five key
forces: technology (helpful but time consuming), globalization (workers from
everywhere compete for the same jobs), demography (more people, less space),
society (traditional communities under threat), and energy resources (too few and
shrinking). So What's the worker to do? she asks. Her answer is that we can default
and accept a bleak future, or craft for ourselves a bright one. To work on the bright
side we have to shift from shallow generalist to serial master of things; from isolated
competitor to innovative connector in vast networks; and from voracious consumer
to impassioned producer more focused on creating things than buying them.
Focus on Application
Thescienceoforganizationalbehaviorfocusesonapplicationsthatcanmakearealdifferenceinhow
organizationsandpeopleinthemperform.Someexamplesofthemanypracticalresearchquestionsaddressed
bythedisciplineofOBandreviewedinthisbookare:
Whatcausesunethicalandsociallyirresponsiblebehaviorbypeopleinorganizations?Howshouldrewards
suchaspayraisesbeallocated?Howcanjobsbedesignedforbothjobsatisfactionandhighperformance?
Whataretheingredientsofsuccessfulteamwork?Howcanamanagerdealwithresistancetochange?
Shouldleadersmakedecisionsbyindividual,consultative,orgroupmethods?Howcanwinwinoutcomesbe
achievedinnegotiations?

Contingency Thinking
Ratherthanassumingthatthereisonebestoruniversalanswertoquestionssuchasthosejustposed,OB
recognizesthatbehaviorandpracticesmustbetailoredtofittheexactnatureofeachsituationthisis
calledcontingencythinking.Infact,oneofthemostacceptedconclusionsofscientificresearchtodateis
thatthereisnosinglebestwaytohandlepeopleandthesituationsthatdevelopastheyworktogetherin
organizations.
Statedabitdifferently,contingencythinkingrecognizesthatcookiecuttersolutionscannotbeuniversally
appliedtosolveorganizationalproblems.Responsesmustbecraftedtobestfitthecircumstancesandpeople
involved.Asyoumightexpect,thisiswheresolidscientificfindingsinorganizationalbehaviorbecomevery
helpful.ManyexamplesareprovidedintheResearchInsightfeaturefoundineachchapter.

Quest for Evidence

Anessentialresponsibilityofanyscienceistocreateandtestmodelsthatofferevidencebasedfoundationsfor
decisionmakingandaction.AbookbyscholarsJeffreyPfefferandRobertSuttondefinesevidencebased
managementasmakingdecisionsonhardfactsthatis,aboutwhatreallyworks,ratherthanon
dangeroushalftruthswhatsoundsgoodbutlacksempiricalsubstantiation. 5Oneofthewaysevidence
basedthinkingmanifestsitselfinOBisthroughacontingencyapproachinwhichresearchersidentifyhow
differentsituationscanbestbeunderstoodandhandled.

Research Insight

Women Might Make Better Leaders

No one doubts there are good and bad leaders of both genders. But research by
Alice Eagley and her colleagues at Northwestern University suggests that women
are often perceived as more likely than men to use leadership styles that result in
high performance by followers.
In a meta-analysis that statistically compared the results of forty-five research
studies dealing with male and female leadership styles, Eagley and her team
concluded that women are frequently described as leading by inspiring, exciting,
mentoring, and stimulating creativity. They point out that these behaviors have
transformational qualities that build stronger organizations through innovation and
teamwork. Women also score higher on rewarding positive performance, while men
score higher in punishing and correcting mistakes.
Eagley and her colleagues explain the findings in part by the fact that followers are
more accepting of a transformational style when the leader is female, and that the
style comes more naturally to women because of its emphasis on nurturing. They
also suggest that because women may have to work harder than men to succeed,
their leadership skills get tough tests and end up being better developed.

Possible Leadership Strengths of Women

Transformational
Good at mentoring
Very inspiring
Encourage creativity
Show excitement about goals
Reward positive performance

Do the Research
What do you think: Is this study on track? Conduct an interview study of people
working for female and male managers. Ask this question: Do women lead differently
from men? Organize the responses, and prepare an analysis that answers your

research question. Although not scientific, your study could prove quite insightful.
Source: Alice H. Eagley, Mary C. Johannesen-Smith, and Marloes I. van Engen, Transformational,
Transactional and Laissez-Faire Leadership: A Meta-Analysis of Women and Men, Psychological
Bulletin 24.4 (2003), pp. 569-591.

Cross-Cultural Awareness
Inatimeofcomplexglobalization,it'simportantforeveryone,frommanagersandemployeestogovernment
leaders,tounderstandhowOBtheoriesandconceptsapplyindifferentcountries.6Althoughitisrelatively
easytoconcludethatwhatworksinoneculturemaynotworkaswellinanother,itisfarmoredifficultto
describehowspecificculturaldifferencescanaffectsuchthingsasethicalbehavior,motivation,job
satisfaction,leadershipstyle,andnegotiatingtendencies.OBisnowrichwithempiricallybasedinsightsinto
crossculturalissues.

Learning about Organizational Behavior

Today'sknowledgebasedworldandsmartworkforcesplaceagreatpremiumonlearning.Onlythelearners,
sotospeak,willbeabletokeepthepaceandsucceedinaconnected,hightech,global,andconstantly
changingenvironment.Butjustwhatarewetalkingabouthere?
Thinkoflearningasanenduringchangeofbehaviorthatresultsfromexperience.Thinkalsooflifelong
learningasaprocessoflearningcontinuouslyfromdaytodayexperiences.Whenitcomestolearningabout
OB,thisbookandyourcoursearestartingpointsandlaunchplatformstomakeyourexperiencesmore
meaningful.Therealsoisarichandeverexpandingpooloflearningexperiencesavailableintheworkevents
andactivities,conversationswithcolleaguesandfriends,counselingandadviceprovidedbymentors,success
models,trainingseminarsandworkshops,andotherdailyopportunitiesthatconsumeyourtime.Whatis
learnedfromallsuchexperiencesnowandinthefuturewillinmanywaysbethekeytoyourpersonaland
careersuccess.TheBringingOBtoLifefeaturehelpsyoumaketheseconnectionsbetweenOBandour
everydayexperiences.
Figure1.2showshowthecontentandactivitiesofthetypicalOBcoursefittogetherinanexperientiallearning
cycle.7Thelearningsequencebeginswithinitialexperienceandsubsequentreflection.Itgrowsastheory
buildingtakesplacetotrytoexplainwhathashappened.Theoryisthentestedinbehavior.Textbooks,
readings,classdiscussions,andothercourseassignmentsandactivitiesshouldhelpyoupracticethephasesof
thelearningcycle.

F I G U R E 1 . 2 Experiential learning in an OB course.

NoticethatFigure1.2assignstoyouasubstantialresponsibilityforlearning.Alongwithyourinstructor,our
authorteamcanofferexamples,cases,andexercisestoprovideyouwithinitialexperience.Wecaneven
stimulateyourreflectionandtheorybuildingbypresentingconceptsanddiscussingtheirresearchandpractical
implications.Soonerorlater,however,youmustbecomeanactiveparticipantintheprocess;youandonlyyou
candotheworkrequiredtotakefulladvantageofthelearningcycle.
Attheendofthisbookyou'llfindtherichandusefulOBSkillsWorkbook.Itprovidesavarietyofactive
learningopportunitiesthatcanhelpyoubetterunderstandthepracticalapplicationsofOBconcepts,models,
andtheories.Theworkbookcontainscasesforanalysis,teamandexperientialexercises,andaportfolioofself
assessmentsthatincludesthepopularKouzesandPosnerStudentLeadershipPracticesInventory.
Finally,don'tforgetthatopportunitiestolearnmoreaboutOBandyourselfaboundineverydayliving.Every
teamproject,parttimeworkexperience,studentcocurricularactivity,orvisittothestoreisrichinlearning

potential.Evenourleisurepastimesfromsportstosocialinteractionstotelevision,movies,andonlinegames
offerlearninginsightsifwetunein.TheOBinPopularCulturefeatureineachchapterisareminderto
keepyourlearningdialedinallthetime.

OB IN POPULAR CULTURE

Moral Management and John Q

Moral managers try to act with ethical principles while immoral managers make
decisions primarily on self-interest. To be sure, many decisions in organizations are
quite complicated, and their ethical components may be hard to sort out.
The film John Q depicts the story of a desperate father's attempt to save his dying
child. John Archibald (Denzel Washington) learns that his son, Mike, needs a heart
transplant and he does not have sufficient insurance coverage. He decides to take
the heart surgeon hostage in the hospital's emergency room. During a lull, the
hostages and medical staff discuss how managed care insurance practices and
hospital policies result in treatment decisions that are not always in the best interests
of the patient. One hostage questions these practices in light of the medical
profession's Hippocratic Oath.
When Mike's (Daniel Smith) condition worsens, John decides to commit suicide so
that a heart will be available. The heart surgeon initially balks for ethical reasons,
then agrees to do the surgery. In the end, the sacrifice is not necessary. The hospital
gets word that a donor heart is available and on its way.
This movie is worth watching as a study in organizational behavior. It illustrates that
ethical lines can sometimes be blurry. What's right or wrong isn't always clear or
agreed upon. If an insurance company refuses to pay for preventive health
screening, should the doctor order it? If someone can't pay, should doctors and
hospitals still provide medical care? Should a doctor adhere to hospital policies if
they jeopardize the health of a patient?

Get to Know Yourself Better

Take Assessment 5, Personal Values, in the OB Skills Workbook. The values we
hold influence our ethical views. This is a good time to check yours by taking the
assessment and asking yourself these questions: What did I learn about my values?
Are they balanced? Do the results suggest anything about how I might approach
situations with ethical components? Can the emphasis I place on certain values
create pressures to act unethically?
John Q. Dir. Nick Cassavetes. Perf. Denzel Washington, Robert Duvall, Gabriela Oltean, and Daniel Smith. New
Line Cinema, 2002. Film.

The Context of Organizational Behavior

ORGANIZATIONS AND THE EXTERNAL ENVIRONMENT
THE INTERNAL ENVIRONMENT OF ORGANIZATIONS
DIVERSITY AND MULTICULTURALISM IN ORGANIZATIONS

Organizations and the External Environment

Inordertounderstandthecomplexforcesthatinfluencehumanbehaviorinorganizations,weneedtobegin
withthenatureoftheorganizationitself.Simplystated,anorganizationisacollectionofpeopleworking
togetherinadivisionoflabortoachieveacommonpurpose.Thisdefinitiondescribeseverythingfromclubs,
voluntaryorganizations,andreligiousbodiestoentitiessuchassmallandlargebusinesses,schools,hospitals,
andgovernmentagencies.
Figure1.3showsthatorganizationsaredynamicopensystems.Theyobtainresourceinputsfromthe
environmentandtransformthemintofinishedgoodsorservicesthatarereturnedtotheenvironmentas
productoutputs.Ifeverythingworksright,suppliersvaluetheorganizationandcontinuetoprovideneeded
resources,employeesinfuseworkactivitieswiththeirenergiesandintellects,andcustomersandclientsvalue
theorganization'soutputsenoughtocreateacontinuingdemandforthem.

F I G U R E 1 . 3 Organizations are open systems that create value while interacting with
their environments.
Organizationsarealsocomplexadaptivesystems.Becausetheenvironmentstheyinteractwithare

constantlyevolvingandchanging,organizationsmustadapttosurvive.Andinaworldthatisincreasingly
complicatedsocially,politically,andeconomicallythisprocessofadaptationisneverending.
Organizationstodayareembeddedinenvironmentswhosecomponentsaresohighlyinterconnectedthat
changesinonehaveconsequencessometimesunpredictableandevenuncontrollableforotherparts.A
recentIBMGlobalChiefExecutiveOfficerStudyidentifiesthisriseofcomplexityasthebiggestchallenge
facingworldleaderstoday.OneCEOsays:Thetimeavailabletocapture,interpretandactoninformationis
gettingshorterandshorter.8

Itcanbeusefultodescribeandanalyzetheexternalenvironmentsoforganizationsinterms
ofstakeholderspeople,groups,andinstitutionsthatareaffectedbyandthushaveaninterestorstakeinan
organization'sperformance.KeystakeholdersfromanOBperspectiveincludeanorganization'scustomers,
owners,employees,suppliers,regulators,andlocalcommunities,aswellasfuturegenerations.
Althoughanorganizationshouldideallyoperateinwaysthatbestserveallstakeholders,therealitiesarethat
conflictinginterestsaddtothecomplexityfacedbydecisionmakers.Considerpossibilitiessuchasthese.
Customerswantvaluepricingandhighqualityproducts,ownerswantprofitsandreturnsoninvestments.
Employeeswantsecurejobswithgoodpayandbenefits,supplierswantreliablecontractsandontime
payments.Regulatorswantcompliancewithlaws,localcommunitieswantgoodorganizationalcitizenshipand
communitysupport.Presentgenerationswantthebenefitsofavailablenaturalresources,futuregenerations
wantpreservedandprotectedforlongtermsustainability.

The Internal Environment of Organizations

Theinternalenvironmentoforganizationsalsocreatesanimportantcontextforhumanbehavior.Thinkabout
it.Doyouactdifferentlywhenyouarewithyourfriends,atschool,oratwork?Inmanycasestheansweris
probablyyes,andthequestionthenbecomesWhy?Theansweristhatthecontextisdifferent.To
understandbehaviorinanysetting,wemustalwaysaskhowcontextualfactorsinfluenceitandinwhatways.
And,wemustalsoconsiderhowweorotherpeopleareaffectingthecontext.Thequestioninthisrespectis:
Howdoourbehaviorscontributetowhatishappeningtousandaroundus,andinbothpositiveandnegative
ways?
Oneofthestrongestcontextualinfluencesonhumanbehaviorisorganizationalculturetheshared
beliefsandvaluesthatinfluencethebehavioroforganizationalmembers.FormereBayCEOMegWhitman
callsitthecharacteroftheorganization.Shesaysorganizationcultureisthesetofvaluesandprinciplesby
whichyourunacompanyandbecomesthemoralcenterthathelpseverymemberunderstandwhatisright
andwrongintermsofpersonalbehavior.9
Organizationalculturesinfluencethewaywefeelandactasmembers.Inmoreauthoritarianandhierarchical
cultures,peoplearehesitanttomakedecisionsandtakeactionontheirown.So,theywithholdinitiativeand
waitforapproval.Incompetitivecultures,peoplecanbeextremelyaggressiveinthequestforrewards.Still
otherculturesareknownfortheiremphasisonspeedandagilityindealingwithmarketsandenvironments,
andingeneratingnewideasandinnovations.
Thereisalsosomethingcalledorganizationalclimatethesharedperceptionsamongmembersregarding
whattheorganizationislikeintermsofmanagementpoliciesandpractices.Youhaveprobablynoticedthat
relationsamongmanagersandemployeesarerelaxedandcommunicationisfreeflowinginsomeclimates.
Butinothers,managersactdistantandcommunicationisrestricted.
Justhowanorganization'scultureandclimateaffectmembersdependsonsomethingcalledfitthematch
ofinternalenvironmentandindividualcharacteristics.Peoplewhofindagoodfittendtoexperience
confidenceandsatisfaction.Thosewithabadfitmaybepronetowithdraw,experiencestress,andeven
becomeangryandaggressiveduetodissatisfaction.Thesidebarsuggestspossiblefitpreferencesfortoday's
graduates.

Today's Grads Take Values to Work

They're called Generation F, short for the Facebook Generation. Management
scholar and consultant Gary Hamel says they are bringing new expectations to the
workplace.

 All ideas deserve a hearing.

Contributions overrule credentials.
Authority is earned, not given.
Leaders are chosen, not assigned.
Power comes from information sharing.
Wisdom lies within the crowd.
Teams are self organizing.
Community grows from shared decision making.
Recognition and joy count along with money as motivators.
Rabble rousing is embraced, not discouraged.
Information from Gary Hamel, The Facebook Generation vs. the Fortune 500,
blogs.wsj.com/management/2009/03/24. Crowdsourcing GradesInformation and quote from Adam
F. Falk, In Defense of the Living, Breathing Professor, Wall Street Journal, Kindle Edition (August 29,
2012). Recommended ReadingLynda Gratton, The Shift: The Future of Work is Already
Here (London: Harper-Business UK, 2011).

Diversity and Multiculturalism in Organizations

Peopleareanimportantaspectoftheinternalenvironmentofanyorganization.ConsultantR.Roosevelt
Thomasmakesthepointthatpositiveorganizationalculturestapthetalents,ideas,andcreativepotential
ofallmembers.10Thisfocusesattentiononworkforcediversity,thepresenceofindividualdifferences
basedongender,raceandethnicity,age,ablebodiedness,andsexualorientation. 11Italso
highlightsmulticulturalismasanattributeoforganizationsthatemphasizepluralism,andgenuinerespect
fordiversityandindividualdifferences.12AndinrespecttoThomas'spointagain,organizationsbenefitwhen
thevarietyofideasandperspectivesofadiverseworkforcehelpthemdealwithcomplexitythrough
innovationandadaptability.
DemographictrendsdrivingworkforcediversityinAmericansocietyarewellrecognized.Therearemore
womenworkingthaneverbefore.Theyearn60percentofcollegedegreesandfillabitmorethanhalfof
managerialjobs.13TheproportionofAfricanAmericans,Hispanics,andAsiansinthepopulationisnowabove
43percentandincreasing.Bytheyear2060,sixoutofevery10Americanswillbeapersonofcolor,andclose
to30percentofthepopulationoverallwillbeHispanic.14
Akeyissueinanyorganizationisinclusionthedegreetowhichthecultureembracesdiversityandisopen
toanyonewhocanperformajob,regardlessoftheirdiversityattributes.15Inpractice,however,valuing
diversitymuststillbeconsideredaworkinprogress.Womenstillearnonlyabout75centsperdollarearned
bymen;femaleCEOsearn85centsperdollarearnedbymales.AtFortune500companieswomenholdonly
15CEOjobsand6.2percentoftoppayingpositions;womenofcolorholdonly1.7percentofcorporate
officerpositionsand1percentoftoppayingjobs.16Indeed,whenUrsulaBurnswasnamedCEOofXerox,she
becamethefirstAfricanAmericanwomantoheadaFortune500firm.17

Management and Organizational Behavior

EFFECTIVE MANAGERS THE MANAGEMENT PROCESS
ESSENTIAL MANAGERIAL SKILLS ETHICAL MANAGEMENT

Effective Managers
Amanagerissomeonewhosejobitistodirectlysupporttheworkeffortsofothers.Beingamanagerisa
uniquechallengewithresponsibilitiesthatlinkcloselywiththefieldoforganizationalbehavior.Attheheartof
thematter,managershelpotherpeoplegetimportantthingsdoneintimely,highquality,andpersonally
satisfyingways.Andintheworkplacesoftoday,thisisaccomplishedmorethroughhelpingand
supportingthanthroughtraditionalnotionsofdirectingandcontrolling.You'llfindthattheword
managerisincreasinglybeingreplacedinconversationsbysuchtermsascoordinator,coach,orteamleader.

Technology Makes Crowdsourcing Grades Easy, But Is It a Step Too Far?

As colleges and universities face financial and political pressures to increase
productivity in academic programs, online course offerings are proliferating.
Instructors are experimenting with new ways to deliver and grade online content.

One innovation is to take grading away from the instructor and give it to the crowd.
An assignment is graded by averaging scores assigned by the online students
reading each other's work.
It's an attractive option since productivity goes up as instructors can easily handle
more student enrollments. But critics view it as an unfortunate change in the
instructor's role. Professor Adam Falk of Williams College asks if the educational
outcome is the equivalent of a highly trained professor providing thoughtful
evaluation and detailed response?
Whateverthelabelused,someonewhoisaneffectivemanagerhelpsotherpeopleachievebothhigh
performanceandjobsatisfaction.Thisdefinitionfocusesattentionontwokeyoutcomes,ordependent
variables,thatareimportantinOB.Thefirstistaskperformance.Thinkofthisasthequalityandquantity
oftheworkproducedortheservicesprovidedbyanindividual,teamorworkunit,ororganizationasawhole.
Thesecondisjobsatisfaction.Itindicateshowpeoplefeelabouttheirworkandtheworksetting.
OBisquiteclearthatmanagersandteamleadersshouldbeheldaccountableforbothtaskperformanceandjob
satisfaction.Performanceprettymuchspeaksforitself.Satisfactionmightgiveyousomepauseforthought.
Butjustasavaluablemachineshouldnotbeallowedtobreakdownforlackofpropermaintenance,thetalents
andenthusiasmofanorganization'sworkforceshouldneverbelostorcompromisedforlackofpropercare.In
thissense,takingcareofjobsatisfactiontodaycanbeconsideredaninvestmentintomorrow'sperformance
potential.

The Management Process

Anyoneservingasamanagerorteamleaderfacesachallengingandcomplicatedjob.Thenatureof
managerialworkisoftendescribedandtaughtthroughthefourfunctionsshowninFigure1.4planning,
organizing,leading,andcontrolling.Thesefunctionsmakeupthemanagementprocessandinvolvethe
followingresponsibilities.

F I G U R E 1 . 4 The management process of planning, organizing, leading, and

controlling.

Fourfunctionsofmanagement
Planning.Defininggoals,settingspecificperformanceobjectives,andidentifyingtheactionsneededto
achievethem.
Organizing.Creatingworkstructuresandsystems,andarrangingresourcestoaccomplishgoalsand
objectives.
Leading.Instillingenthusiasmbycommunicatingwithothers,motivatingthemtoworkhard,and
maintaininggoodinterpersonalrelations.
Controlling.Ensuringthatthingsgowellbymonitoringperformanceandtakingcorrectiveactionas
necessary.

Inwhathasbecomeaclassicstudy,HenryMintzbergdescribedhowmanagersenactthemanagementprocess
inabusy,hectic,andchallengingworkcontextwheretheyaremoveamongmanytasksandfacemany
interruptions.18Hewentontopointoutthatthefourmanagementfunctionsarefulfilledmoresimultaneously
thanstepbystep.Theyarealsoaccomplishedwhileamanageractsoutthesetoftenmanagerialrolesshown
inFigure1.5.

F I G U R E 1 . 5 Mintzberg's ten roles of effective managers.

Amanager'sinterpersonalrolesinvolveworkingdirectlywithotherpeople,hostingandattendingofficial
ceremonies(figurehead),creatingenthusiasmandservingpeople'sneeds(leader),andmaintainingcontacts
withimportantpeopleandgroups(liaison).Theinformationalrolesinvolvemanagersexchanginginformation
withotherpeople,seekingrelevantinformation(monitor),sharingitwithinsiders(disseminator),andsharing
itwithoutsiders(spokesperson).Amanager'sdecisionalrolesinvolvemakingdecisionsthataffectother
people,seekingproblemstosolveandopportunitiestoexplore(entrepreneur),helpingtoresolveconflicts
(disturbancehandler),allocatingresourcestovarioususes(resourceallocator),andnegotiatingwithother
parties(negotiator).

Essential Managerial Skills

Weallneedskillstodowellinworkandlife.It'snodifferentformanagersandteamleadersittakesskillto
performwell.Formallystated,askillisanabilitytotranslateknowledgeintoactionthatresultsinadesired
performance.RobertKatzdividestheessentialmanagerialskillsintothreecategories:technical,human,and
conceptual.19

Technical Skills
Atechnicalskillisanabilitytoperformspecializedtasksusingknowledgeorexpertisegainedfrom

educationorexperience.Agoodexampleisskillinusingthelatestcommunicationandinformation
technologies.Inthehightechworkplacesoftoday,technicalproficiencyindatabasemanagement,spreadsheet
analysis,presentationsoftware,videochatsandconferencing,andsocialmediaisoftenahiringprerequisite.
It'salsohelpfultothinkskillsinrespecttoyourcollegemajor.Recruiterstodaydon'tjustwanttoknowthat
youareamarketingorfinanceorMISmajorwithhighgrades.Theywanttoknowwhatskillsinthemajoryou
aregoingtobringwithyoutothejob.

Human Skills
Centraltoallaspectsofmanagerialworkandteamleadershiparehumanskills,ortheabilitytoworkwell
withotherpeople.Theyshowupasaspiritoftrust,enthusiasm,andgenuineinvolvementininterpersonal
relationships.Apersonwithgoodhumanskillswillhaveahighdegreeofselfawarenessandacapacityfor
understandingorempathizingwiththefeelingsofothers.Peoplewiththisskillareabletointeractwellwith
others,engageinpersuasivecommunications,anddealsuccessfullywithdisagreementsandconflicts.
Amanagerorteamleader'shumanskillsshouldcontainastrongbaseofemotionalintelligence(EI).As
definedbyDanielGoleman,EIistheabilitytounderstandandmanageemotionswell,bothpersonallyandin
relationshipswithothers.20Thebuildingblocksforemotionalintelligenceare:
Corebuildingblocksofemotionalintelligence
Selfawarenessabilitytounderstandyourownmoodsandemotions

Selfregulationabilitytothinkbeforeactingandtocontrolbadimpulses
Motivationabilitytoworkhardandpersevere
Empathyabilitytounderstandtheemotionsofothers
Socialskillabilitytogainrapportwithothersandbuildgoodrelationships
Humanskillsinemotionalintelligenceandinterpersonalrelationshipsareessentialtosuccessineachofthe
managerialactivitiesandrolespreviouslydiscussed.Ifyoudon'thavethehumanskillsyoucan'tconnectwith
otherpeopleinapositiveway.Managersandteamleadersneedtheseskillstodevelop,maintain,andwork
wellwithawidevarietyofpeople,bothinsideandoutsidetheorganization.21Theseincludetasknetworksof
specificjobrelatedcontacts,careernetworksofcareerguidanceandopportunityresources,andsocial
networksoftrustworthyfriendsandpeers.22Itcanbesaidinthissensethatstronghumanskillsarethe
pathwaystoobtainsocialcapitalintheformofrelationshipsandnetworksthatcanbecalleduponasneeded
togetworkdonethroughotherpeople.

WORTH CONSIDERING OR BEST AVOIDED?

Trouble Balancing Work and Home? Home Working

May Be the Answer
A group of Stanford University researchers wondered if allowing work to be done at
home was really worth it to employers. Seeking real facts upon which to base a
conclusion, they set up a field experiment using call center workers at a large
Chinese travel agency.
Using odd or even birth dates, 255 volunteers were randomly assigned to at home
or in the office work shifts for 9 months. Their performance was monitored and an
overall evaluation made at the end of the research period. Results showed that
telecommuters were online for more minutes, took more calls per hour, and were
less likely to quit. They also reported more positive moods and greater job
satisfaction than did the office workers. working at home also resulted in fewer break
times while on shift and fewer days of sick leave.
When productivity gains, reduced training and hiring costs, and office rentals were
tallied, the company calculated it saved $2,000 for every $3,000 spent on
telecommuter salaries. And when the experiment was over and workers were given
the chance to switch groups if they wished, those that ended up in the telecommuter
group became even more productive.

Do the Analysis
What's your take? Do the findings make sense in terms of your impressions
and experience? Does this study suggest that everyone should be given the
option to work from home at least part of the time? What conditions might you
set on the types of jobs and job holders that qualify for work from home? Is
the evidence from this study good enough to make real-world decisions about
the use of telecommuting?

Information from The Undercover Economist, Home Workers Arent Always Shirkers, Financial Times, Kindle
Edition (September 1, 2012);and, Nicholas Bloom, James Liang, John Roberts and Zhichun Jenny Ying, Does
Working from Home Work? Evidence from a Chinese Experiment,
www.stanford.edu/~nbloom/WFH.pdf(accessed September 14, 2012).

Conceptual Skills
Inadditiontotechnicalandhumanskills,managersshouldbeabletoviewtheorganizationorsituationasa
wholesothatproblemsarealwayssolvedforthebenefitofeveryoneconcerned.Thiscapacitytothink
analyticallyandsolvecomplexandsometimesambiguousproblemsisaconceptualskill.Itinvolvesthe
abilitytoseeandunderstandhowsystemsworkandhowtheirpartsareinterrelated,includinghuman
dynamics.Conceptualskillisusedtoidentifyproblemsandopportunities,gatherandinterpretrelevant
information,andmakegoodproblemsolvingdecisions.
OnefinalpointaboutKatz'smodelofessentialmanagerialskillsisworththinkingabout.Hesuggeststhatthe
relativeimportanceoftheseskillsvariesacrossthedifferentlevelsofmanagement.Technicalskillsare
consideredmoreimportantatentrylevels,wheresupervisorsandteamleadersmustdealwithjobspecific
problems.Seniorexecutivesrequiremoreconceptualskillsastheyfacemorecomplexproblemsanddealwith
strategicissuesrelatedtoorganizationalmissionandfitness.Humanskills,whicharestronglygroundedinthe
foundationsoforganizationalbehavior,areconsistentlyimportantacrossallmanageriallevels.

Ethical Management
Havingmanagerialandleadershipskillsisonething;usingthemcorrectlytogetthingsdoneinorganizations
isquiteanother.Andwhenitcomestoethicsandmorality,scholarArchieB.Carrolldrawsadistinction
betweenimmoralmanagers,amoralmanagers,andmoralmanagers.23
Theimmoralmanageressentiallychoosestobehaveunethically.Sheorhedoesn'tsubscribetoanyethical
principles,makingdecisionsandactingtogainbestpersonaladvantage.Perhapsthebestexamplesare
disgracedexecutivessuchasBernardMadoff,whoseunethicalactsmadenationalandworldheadlines.
Theamoralmanager,bycontrast,actsunethicallyattimesbutdoessounintentionally.Thismanagerfails
toconsidertheethicsofadecisionorbehavior.Unintentionalethicallapsesthatweallmustguardagainst
includeprejudicefromunconsciousstereotypesandattitudes,showingbiasbasedoningroupfavoritism,and
claimingtoomuchpersonalcreditforperformanceaccomplishments. 24Themoralmanagerincorporates
ethicalprinciplesandgoalsintohisorherpersonalbehavior.Ethicalbehaviorisagoal,astandard,andevena
matterofroutine;ethicalreasoningispartofeverydecision,notjustanoccasionalafterthought.

CHECKING ETHICS IN OB

Is Management a Profession?
Does it surprise you that a Harvard Business Review article claims managers are
losing the public trust? To help change things for the better, the authors call for
business schools to address management as a profession that is governed by
codes of conduct that forge an implicit social contract with society. One response to
their call is MBA Oath, a nonprofit organization. Its goal is to create a community of
graduating MBA students from any university that voluntarily sign an oath that

pledges them to create value responsibly and ethically. So far over 250 schools are
represented in the community. A student signing the MBA Oath accepts statements
such as these:
I will manage my enterprise with loyalty and care, and will not advance my personal
interests at the expense of my enterprise or society.
I will refrain from corruption, unfair competition, or business practices harmful to
society.
I will protect the human rights and dignity of all people affected by my enterprise,
and I will oppose discrimination and exploitation.

Make Ethics Personal

What is your position on the MBA Oath? Would you take it, and sincerely try to live
up to it in day-to-day practice? How about the whole concept of management being
a profession like medicine and law? Can professionalizing management really make
a difference in terms of ethical accountability and everyday managerial behavior?
Rakesh Khuran and Nitin Noria, Its Time to Make Management a True Profession, Harvard Business
Review (October 2008), pp. 70-77; and, mbaoath.org.

Carrollbelievesthatthemajorityofmanagerstendtoactamorally.Ifthisistrue,andbecausewealsoknow
immoralmanagersarearound,itisveryimportanttounderstandpersonalresponsibilitiesforeverydayethical
behaviorandleadership.Allorganizationmemberscanandshouldbeethicalleaders.Thisincludesalways
actingasethicalrolemodelsandbeingwillingtotakestandsinthefaceofunethicalbehaviorbythoseabove,
below,andaroundthem.
AreviewarticlebyTerryThomasandhiscolleaguesdescribeshowtheethicscenterofgravityshownin
Figure1.6canbemovedpositivelythroughmoralleadershipornegativelythroughamoralleadership. 25Inthis
view,amoralmanagerormoralleaderalwayssetsanethicsexample,communicatesethicsvalues,and
championsethicsmindfulness.Thisisdefinedasanenrichedawarenessthatcausesonetobehavewith
anethicalconsciousnessfromonedecisionorbehavioraleventtoanother.

F I G U R E 1 . 6 Moral leadership, ethics mindfulness, and the virtuous shift.

Source: Developed from Terry Thomas, John R. Schermerhorn Jr., and John W. Dinehart, Strategic
Leadership of Ethical Behavior in Business, Academy of Management Executive 18 (May 2004), pp.
56-66.]
MoralmanagersandmoralleaderscontributetothevirtuousshiftshowninFigure1.6.Theyhelpcreatean
organizationalcultureinwhichpeopleencourageoneanothertoactethicallyasamatterofroutine.Oneofthe
themesofthisbook,asreflectedintheEthicsinOBfeatureineachchapter,isthatethicsisthe
responsibilityofeveryoneintheorganization.

Leadership and Organizational Behavior

THE LEADERSHIP PROCESS EFFECTIVE LEADERS EFFECTIVE
FOLLOWERS

The Leadership Process

Thejobofamanagerorteamleaderhasneverbeenmoredemandingthanitisintoday'sdynamicand
hypercompetitiveworkenvironments.Butthefactis,notallmanagersaregoodleaders.Andevenifthey
were,thechallengesfacingorganizationsaretoocomplexformanagersalonetoresolve.Organizationstoday
requireleadershipatalllevels,notjustfromthoseholdingtheformaltitles.
Leadershipoccurswhenleadersandfollowersworktogethertoadvancechangethatbenefitsthemissionand
visionoftheorganization.Leadershipisaprocess,notjusttheleader'sbehavior.AsshowninFigure1.7,it
requiresleadersandfollowerstopartnerinjointlyproducingleadershipoutcomes.Effectivefollowingisan
essentialperhapsthemostimportantpartoftheleadershipprocess.Withoutfollowerstherecanbeno
leaders.

F I G U R E 1 . 7 The leadership process.

Interestingly,leadershipdoesn'talwayshavetobeintentional.Sometimesothersfollowbecausetheysee
leadershippotentialinsomeone,ortheylikewhatapersonsaysandhowtheysayit.Thismeansthat
leadershipisnotonlydownwardinfluence,italsoinvolvesinfluencingupwardandsidetoside.Youcanbea
leaderbyconvincinghighermanagementtoadoptnewpracticessuggestedfromyourlevel.Youcanbea
leaderamongyourpeersbybecomingthepersonpeopleturntoforadvice,support,ordirection.And,
rememberthenotionofthemanagerascoachandcoordinator?Everytimeyouactinwaysthatfitthese
descriptions,there'snodoubtyou'rebeingaleader.

Effective Leaders
Effectiveleaderscontributetotheleadershipprocessbyusingtheirinfluencetoadvancepositiveoutcomes.
Leadersarethosewhoarewillingtoproactivelyenvisionnewwaysofdoingthingsandtakeinitiativein
promotingneededchangesinorganizations.Organizationsarefullofleaders,managersandnonmanagers
alike.Thesearepeoplewhogetlistenedtobytheirpeers,theirbosses,andpeoplebelowandhigherupinthe
organization.
Leadersknowthatcompetenceandreputation,beinganeffectivecommunicator,anddevelopingrelationships
andinfluencearevitaltotheirsuccess.Thereforetheyworktodeveloptheseskills.Effectiveleaders,for
example,framecommunicationinwaysthatotherswilllisten.Framinginthissettingmeanstailoring
communicationinwaystoencouragecertaininterpretationsanddiscourageothers.Aneffectiveleader
recognizesthatfocusingonorganizationalinterest(e.g.,Wecanincreaseproductivityifwegivepeoplemore
timetorestandrejuvenate)willbeamoreeffectiveframethanfocusingonselfinterest(e.g.,We'vebeen
workingtoohardandwanttimeoff).
Effectiveleadersalsoknowhowtobuildrelationships.Theydowhattheycantobetrustworthy,reliable,and
respectfulinnotsharingorspreadinginformationinappropriately.Theyunderstandthatrelationshipsare
developedthroughsocialexchange,sotheymanageexchangeprocessesandreciprocitytobuild
partnershipsandnetworks.Theyhelpothersoutwhenneededbecausetheyknowthatthelawof
reciprocitywillinvokeasenseofobligationbytheothertoreturnthefavor(ifIdosomethingforyou,you

willdosomethingformelaterifIneedit).Thishelpsthembuildnetworksandrelationshipsthatserveasa
keysourceofleadershipinfluence.
Leaderssucceedwhenpeoplefollowthemnotbecausetheyhaveto,butbecausetheywantto.Theyare
followedbecauseothersseethevalueoftheirideasandsuggestions.Thispositiveinfluenceemergesfrom
leaders'competence,persuasiveness,andhumanskills.Managersandteamleaders,byvirtueoftheirpositions
ofauthority,havetheopportunitytoactasleaders.Buttheydon'talwaysdoso,ordososuccessfully.The
FindingtheLeaderinYoufeatureineachchapterisdesignedtoproviderolemodelsandgetyouthinking
aboutdevelopingyourleadershippotential.

FINDING THE LEADER IN YOU

Michelle Greenfield Leads with a Sustainability Vision
When she was named as a recipient of the Ohio Department of Development's Keys
to Success Award, Michelle Greenfield said, It's exciting. It's kind of nice to be
recognized as a good business owner. The goal is not to have the award, the goal is
to have a good business and do well. She and her husband, Geoff, certainly do
have a good business; it's called Third Sun Solar Wind and Power, Ltd.
The Greenfields began by building a rural home that used no electricity in rural
Athens County, Ohio. Solar power was the replacement, and they have yet to pay an
electric utility bill. As friends became interested, they helped others get into solar
power, and the business kept growing from there. It has been ranked by Inc.
magazine as thirty-second among the fastest-growing energy businesses in the
United States. Third Sun is the largest provider of solar energy systems in the
Midwest and has experienced a 390 percent growth in 3 years. Quite a story for an
idea that began with a sustainable home!
Soon after its birth, Third Sun moved into a business incubator dedicated to helping
local firms grow and prosper. Michelle says that they lived very frugally in their rural
home, and this helped them start the business on a low budget. They have also
benefited from tapping the local workforce in a university town and from having MBA
students work with their firm in consulting capacities.
As their company grew, Geoff focused on technical issues while Michelle spent most
of her time on the business and managerial ones. She's now the CEO and primarily
concerned with strategic issues as the firm grows. I do a lot of marketing, she says,
I do speaking engagements I serve on the Board of Directors of Green Energy
Ohio.

What's the Lesson Here?

Michelle Greenfield is proud of her accomplishments and says, I think it's
nice to be able to point out that there are women in the field that also have
enough brains to be successful. She also points out that the name Third Sun
was chosen to represent a third son for the couple, one requiring lots of
nurturing in order to help it grow big and strong. Michelle's leadership
combines entrepreneurship with vision to help save our planet. Could more
people, even you, follow her path?

Information and quotes from Joe Higgins, Athens Business Owner Presented State Award, Athens
Messenger (November 18, 2009), p. 3; and Samantha Pirc, A Local Success Story: Q&A with Michelle
Greenfield of Third Sun, OHIO Today (Fall/Winter, 2009), pp. 14, 15.

Effective Followers
Effectivefollowersarethosewhoworkwithleaderstoproducepositiveoutcomes.Theysupportleadersby
beingwillingtocollaborateanddeferwhenneeded,ratherthanworkingagainstleadersortryingtoundermine
theirpower.Atthesametime,effectivefollowersarenotblindlyobedientorsubservientandpassive.Youare
beinganeffectivefollowerwhenyouassumeresponsibilityfortellingleadersinformationtheyneedtoknow,
andnotavoidingresponsibilityforpassingalongthebadnewsaswellasthegoodnews.
Thebestfollowersdonothavetobemicromanaged.Theytakeresponsibilityfortheirownattitudesand
behaviorsandviewthemselvesaspartnerswithleadersintheleadershipprocess.Theyhelpthemanagerby
avoidingengaginginupwarddelegation,orpassingtheirproblemsontomanagersandburdeningthem
withevenmorework.Thebestfollowersbringsolutionsalongwithproblems.Overall,theytrytoidentify
thingsthatcouldcauseproblemsforleadersandthenworktoseeksolutionsbeforetheproblemsescalateinto
bigissues.
Organizationstodayareundergoingmajortransitions.Theyrequiresuccessfulleadershipatalllevels,andthe
needformoreeffectivefollowershipisontherise.Followerstodaycannotgetawaywithshruggingoff
responsibilityorpassingalongblameastheymighthaveinthepast.Theyareexpectedtoquestionand
challengeleaderswhenneeded,andtobringnewideasandcreativitytotheirwork.Buttodosoeffectively
theymustactwithrespect,andkeepthehigherpurposeinmindthefocusisonworkingwithleadersinways
thatadvancethemissionandpurposeoftheorganization.Andwhenleadersandfollowerspartnereffectively
together,theresultisamoremeaningful,engagingandfulfillingworkexperience.

SELF-TEST 1
Multiple Choice
1. Whichofthefollowingissueswouldbemostcentraltothefieldoforganizationalbehavior(OB)?
(a)
(b)
(c)
(d)

Howtoimproveadvertisingforanewproduct.
Howtoincreasejobsatisfactionandperformanceamongmembersofateam.
Makingplansforanewstrategyfororganizationalgrowth.
Designinganewmanagementinformationsystem.

(b) Howtoincreasejobsatisfactionandperformanceamongmembersofateam.
2. Whatisthebestdescriptionofthecontextfororganizationalbehaviortoday?
(a)
(b)
(c)
(d)

Commandandcontrolisin.
Thenewgenerationissimilartotheold.
Empowermentisout.
Worklifebalanceconcernsarein.

(d)
Worklifebalanceconcernsarein.
Thetermworkforcediversitytypicallyreferstodifferencesinrace,age,gender,ethnicity,
3.
and________amongpeopleatwork.
(a)
(b)
(c)
(d)

socialstatus
personalwealth
ablebodiedness
politicalpreference

(c)
ablebodiedness
4. WhichstatementaboutOBismostcorrect?
(a)
(b)
(c)
(d)

OBseeksonebestwaysolutionstomanagementproblems.
OBisauniquesciencethathaslittlerelationshiptootherscientificdisciplines.
OBisfocusedonusingsocialscienceknowledgeforpracticalapplications.
OBissomodernthatithasnohistoricalroots.

(c) OBisfocusedonusingsocialscienceknowledgeforpracticalapplications.
5. Intheopensystemsviewoforganizations,suchthingsastechnology,information,andmoneyare

considered________.
(a)
(b)
(c)
(d)

transformationelements
feedback
inputs
outputs

(c)
inputs
6. Iftheorganizationculturerepresentsthecharacterofanorganizationintermsofsharedvalues,
the________representsthesharedperceptionsofmembersaboutdaytodaymanagementpractices.
(a)
(b)
(c)
(d)

valuechain
organizationclimate
transformationprocess
organizationstrategy

7. Whichofthefollowingisnotagoodmatchoforganizationalstakeholderandtheintereststheyoftenhold
important?
(a)
(b)
(c)
(d)

customershighqualityproducts
ownersreturnsoninvestments
futuregenerationsvaluepricing
regulatorscompliancewithlaws

(c)
futuregenerationsvaluepricing
8. Whichwordbestdescribesanorganizationalculturethatembracesmulticulturalismandinwhich
workforcediversityishighlyvalued?
(a)
(b)
(c)
(d)

inclusion
effectiveness
dynamism
predictability

(a)
inclusion
9. Themanagementfunctionof________isconcernedwithcreatingenthusiasmforhardworkamong
organizationalmembers.
(a)
(b)
(c)
(d)

planning
motivating
controlling
leading

(d)
leading
10. Inthemanagementprocess,________isconcernedwithmeasuringperformanceresultsandtakingaction
toimprovefutureperformance.

(a)
(b)
(c)
(d)

transforming
organizing
leading
controlling

(d)
controlling
11. AmongMintzberg'stenmanagerialroles,actingasafigureheadandliaisonareexamples
of________roles.
(a)
(b)
(c)
(d)

interpersonal
informational
decisional
conceptual

(a)
interpersonal
12. Whenamanagermovesupwardinresponsibility,Katzsuggests________skillsdecreaseinimportance
and________skillsincreaseinimportance.
(a)
(b)
(c)
(d)

human,conceptual
conceptual,emotional
technical,conceptual
emotional,human

(c)
technical,conceptual
13. Apersonwithhighemotionalintelligencewouldbestrongin________,theabilitytothinkbeforeacting
andtocontroldisruptiveimpulses.
(a)
(b)
(c)
(d)

motivation
perseverance
selfregulation
empathy

(c)
selfregulation
14. Whenaperson'shumanskillsaresogoodthatheorshehasrelationshipswithotherpeoplewhocanbe
confidentlyaskedforhelpandassistanceatwork,theseskillshavecreated________socialcapitalforthe
individual.
(a)
(b)
(c)
(d)

analyticalcapacity
ethicsmindfulness
socialcapital
multiculturalism

(c)
socialcapital
15. Classdiscussions,debriefs,andindividualpapersbasedoncasestudies,teamprojects,andinclass

activitiesareallwaysaninstructortriestoengagestudentsinwhichpartoftheexperientiallearning
cycle?
(a)
(b)
(c)
(d)

initialexperience
reflection
theorybuilding
experimentation

(a)

initialexperience

Short Response
16.
17.
18.
19.

WhatarethekeycharacteristicsofOBasascientificdiscipline?
Whatdoesvaluingdiversitymeanintheworkplace?
Whatdoesselfregulationmeaninthecontextofemotionalintelligence?
Whenisamanageraneffectiveleader?

Applications Essay
20. Carla,acollegejunior,isparticipatinginaspecialelementaryeducationoutreachprojectinherlocal
community.Alongwithotherstudentsfromthebusinessschool,sheisgoingtospendthedaywith
fourthandfifthgradestudentsandintroducethemtotheopportunitiesofgoingtocollege.Oneofher
tasksistoleadaclassdiscussionofthequestionHowistheworldofworkchangingtoday?HelpCarla
outbycreatinganoutlineofthemajorpointssheshoulddiscusswiththestudents.