MN 4062

D.M. Mudalige
Department of Management of
Technology
 Course Content │
• Introduction to Organizational Behavior and
Evolution of Management
• Foundations of Individual Behavior
• Organizational Design, Control and Culture
• Group and Team Behavior
• Leadership theories
• Motivation
• Communication in Organizations
• Change Management and Organizational Conflicts
Introduc on to OB │What is OB?
• Until 1980s business curricular focused on
technical aspects of management
• The importance of understanding the human
behavior was realized later
• Managers with good human skills are likely to
make workplace more pleasant thereby more
effective
• OB is the study of what people think, feel and do
in organizations
• Systematically studying individual, team and
structural characteristics that influence behavior
within organizations
Introduc on to OB │ Contributing fields
• OB integrates knowledge from different fields
and combines and relates these in the
organizational context
Discipline Contribution

Psychology Perception, Attitudes, Motivation,

Stress, Leadership
Sociology Team dynamics, Organizational culture,

Political Science Conflict, Power

Industrial Engineering Job design, Productivity, Scientific

Management
 Introduc on to OB │ Emergence of OB
• The emergence can be traced back to Human
Relations School (See Figure 1)
• Organizations – Groups of people who work
interdependently toward some purpose
• Why study OB?
– OB seems to get more respect from people who have
been in work than students
– No clear career path for OB specialists
– Everybody in the workforce need to UNDERSTAND,
PREDICT and INFLUENCE behavior of our own and
others in the organization
 Evolution of Management Theory
Org. Environment

Figure 1
Management Science

Behavioral Management

Origin of OB Administrative Management

Scientific Management

1890 1940 2000

 Introduc on to OB │ History
• Scientific School
• Developed at a time where mass production was critical and
employees used different techniques to do the same job
• There is an optimum way of doing work
• Bureaucracy
• Weber developed the administrative theories
• A formal system of administration to ensure effectiveness and
efficiency
• Job specialization and formal rules and selection
• Human Relations
• People play an important role in efficiency
• Contingency
• Assumes there is no one best way to manage
• The environment impacts the organization and managers
must be flexible to react to environmental changes
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 Introduc on to OB │ Trends
• Globalization
• Outsourcing
• New technology
• The changing workforce (Primary and
Secondary dimensions)
• Workplace values and ethics (CSR)
– Economic, legal, ethical and discretionary
responsibility
 Social Responsibility
‰Obligation of the organization to make decisions
that will enhance the welfare and interest of the
society
Environment pollution
Product and factory safety
Treating employees equally
Use renewable energy
Non production of socially undesirable goods
Production of degradable packaging and products
Do voluntary service
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Introduc on to OB │ Pros and Cons of OB
Advantages
Sustainable enterprise
Attracts socially conscious consumers and investors
Improves relations with government and society
Reduces stress on management
Disadvantages
Additional costs
Less revenue
Management and staff time
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 Environment responsibility
• Production – Minimizing the amount of materials
and energy
• Environment audit
• Ecological approach – From raw materials to disposal
the impact for the environment is noted
• Quality – Continuous improvement in environment
performance

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