Ch. 1

Front 1

ORGANIZATIONS

Back 1

Groups of people who work interdependently toward some purpose; collective entities, collective purpose

Front 2

ORGANIZATIONAL BEHAVIOR (OB)

Back 2

The study of what people think, feel, and do in and around organizations.

Front 3

WHY STUDY OB?

Back 3

1. Satisfy the need to understand and predict human behavior

2. Helps us to test personal theories

3. Influence behavior--get things done

4. It improves an organization's financial health

5. OB is for everyone--everyone must manage themselves to work effectively with others

Front 4

ORGANIZATIONAL EFFECTIVENESS

Back 4

The Ultimate Dependent Variable in OB; the outcome that most OB theories are ultimately trying to achieve.

Front 5

TO MAXIMIZE ORG EFFECTIVENESS IS TO MAXIMIZE...

Back 5

1. Productivity

2. Performance

3. Competitiveness

Front 6

ORGANIZATIONS ARE EFFECTIVE WHEN...

Back 6

1. they have a good fit with their external environment

2. they are learning organizations

3. they have efficient and adaptive internal subsystems (i.e. high performance work practices)

4. they satisfy the needs of key stakeholders

*All 4 perspectives must be considered when assessing effectiveness

Front 7

OLD APPROACH TO ORG EFFECTIVENESS AND THE DOWNFALL OF THIS APPROACH

Back 7

1. Effectiveness was achieved through goal attainment

2. Problem--could set easy goals, or the wrong goals may be achieved

Front 8

4 PERSPECTIVES OF ORG EFFECTIVENESS

Back 8

1. Open Systems Perspective

2. Organizational Learning Perspective

3. High-Performance WP Perspective

4. Stakeholder Perspective

Front 9

OPEN SYSTEMS PERSPECTIVE

Back 9

1. Organizations depend on external environment for resources (raw materials, employees, financial resources, etc.)

2. They affect that environment through their output

3. They consist of internal subsystems that must coordinate to transform inputs to outputs

4. Maintain a good fit with external environment

Front 10

ORGANIZATIONAL-ENVIRONMENT FIT

Back 10

Exists when the organization puts resources where they are most useful, so it can adapt to and align with the needs of the external environment.

Front 11

INTERNAL SUBSYSTEMS EFFECTIVENESS

Back 11

Open systems perspective measures effectiveness by how well a company operates internally, i.e. how well it transforms inputs into outputs

Front 12

ORGANIZATIONAL EFFICIENCY

Back 12

productivity; the ratio of inputs to outputs in the org's transformation process.

Front 13

TRANSFORMATION PROCESSES MUST BE...

Back 13

1. Efficient

2. Adaptive

3. Innovative

Front 14

ORGANIZATIONAL LEARNING PERSPECTIVE

Back 14

States organizational effectiveness depends on the organization's capacity to acquire, share, use, and store valuable knowledge.

*Need to consider both stock and flow of knowledge

Front 15

FLOW OF KNOWLEDGE

Back 15

Organizational learning processes of acquisition, sharing, use, and storage

Front 16

INTELLECTUAL CAPITAL

Back 16

A company's stock of knowledge, including human capital, structural capital, and relationship capital

.

Front 17

HUMAN CAPITAL

Back 17

KSAO's: The stock of knowledge, skills, and abilities and other, among employees that provide economic value to the organization

Front 18

STRUCTURAL CAPITAL

Back 18

Knowledge embedded in an organization's systems and structures; tech systems, data storage, comm systems, etc.

Front 19

RELATIONSHIP CAPITAL

Back 19

Value derived from satisfied customers, reliable suppliers, etc.

Front 20

THE HUMAN CAPITAL ADVANTAGE

Back 20

1. Helps discover opportunities and minimize threats in the external environment

2. Rare and difficult to imitate

3. Nonsubstitutable-- Not easily replaced by technology

Front 21

4 ORGANIZATIONAL LEARNING PROCESSES

Back 21

1. Knowledge Acquisition

2. Knowledge Sharing

3. Knowledge Use

4. Knowledge Storage

Front 22

KNOWLEDGE ACQUISITION

Back 22

Extracting information and ideas from the external environment, as well as through insight

1. Learning

2. Scanning

3. Hiring

4. Grafting

5. Experimenting

Front 23

KNOWLEDGE SHARING

Back 23

Distributing knowledge to others across the organization

1. Communication

2. Training

3. Info Systems

4. Observation

Front 24

KNOWLEDGE USE

Back 24

The competitive advantage from applying knowledge in ways that add value to the organization and its stakeholders

1. Awareness

2. Sensemaking

3. Autonomy

4. Empowerment

Front 25

KNOWLEDGE STORAGE

Back 25

Any means by which knowledge is held for later retrieval

1. Human Memory

2. Documentation

3. Practices/habits

4. Databases

Front 26

ABSORPTIVE CAPACITY

Back 26

The ability to recognize the value of new information, assimilate it, and use it for value-added activities

Front 27

ORGANIZATIONAL MEMORY

Back 27

The storage and preservation of intellectual capital. Successful companies also unlearn.

Front 28

RETAIN INTELLECTUAL CAPITAL BY:

Back 28

1. Keeping knowledgeable employees

2. Transferring knowledge to others

3. Transferring human capital to structural capital

Front 29

HIGH-PERFORMANCE WORK PRACTICES (HPWP)

Back 29

Workplace practices that leverage the potential of human capital

Front 30

4 HPWPs (likely others)

Back 30

1. Employment involvement

2. Job autonomy

3. Employee competence (training, selection)

4. Performance-based rewards

*These need to be bundled together in order to work the best

Front 31

STAKEHOLDER PERSPECTIVE

Back 31

Requires organizational leaders and employees to understand, manage, and satisfy the interests of their stakeholders

*Personalizes the open systems perspective by identifying specific people and social entities in the external environment

Front 32

STAKEHOLDERS

Back 32

Entities that affect, or are affected by, the organization's objectives and actions

Front 33

CHALLENGES WITH THE STAKEHOLDER PERSPECTIVE

Back 33

1. Stakeholders have conflicting interests

2. Firms have limited resources to satisfy all stakeholder needs

Front 34

KEY STRENGTH OF STAKEHOLDER PERSPECTIVE

Back 34

Incorporates values, ethics, and corporate responsibility. These help to determine which stakeholder's needs to satisfy when there is conflicting needs.

Front 35

VALUES

Back 35

Stable, evaluative beliefs, guide preferences for outcomes or courses of action in various situations

Front 36

ETHICS

Back 36

Moral principles/values, determine whether actions are right/wrong and outcomes are good or bad

Front 37

CORPORATE SOCIAL RESPONSIBILITY (CSR)

Back 37

Recognizing the community as stakeholders; benefit society and environment beyond the firm's immediate financial interests or legal obligations

Front 38

TRIPLE BOTTOM LINE PHILOSOPHY

Back 38

Try to support or "earn positive returns" in the economic, social, and environmental spheres of sustainability; Realizing how the company is affecting the external environment

Front 39

GLOBALIZATION

Back 39

Economic, social and cultural connectivity with people in other parts of the world.

Front 40

EFFECTS OF GLOBALIZATION ON ORGANIZATION

Back 40

1. Cost efficiencies, innovation, knowledge

2. Increasing diversity

3. Increasing competitive pressures, intesification

Front 41

SURFACE-LEVEL DIVERSITY

Back 41

Differences based on demographics; race, color, religion, sex, nationality. Much research available on this level.

Front 42

DEEP-LEVEL DIVERSITY

Back 42

Differences based on values, ethics, personality, culture, etc. Not much research done on this level yet in org behavior.

Front 43

IMPLICATIONS OF MAXIMIZING DIVERSITY

Back 43

1. Better knowledge, decisions, representation, financial returns, etc.

2. Increases levels of conflict

3. Ethical imperative of diversity; companies are encouraged to maximize diversity

Front 44

EMPLOYMENT RELATIONSHIPS

Back 44

1. Work/life Balance

2. Virtual Work

Front 45

WORK/LIFE BALANCE

Back 45

Minimizing the conflict between work and nonwork demands number one indicator of career success

Front 46

VIRTUAL WORK

Back 46

Using information technology to perform one's job away from the traditional physical workplace; telecommuting

Front 47

PROS OF VIRTUAL WORK

Back 47

Increases flexibility and work/life balance

Front 48

CONS OF VIRTUAL WORK

Back 48

Faced with issues of social isolation, emphasis on face time, employee self-leadership

Front 49

ANCHORS OF ORG BEHAVIOR KNOWLEDGE

Back 49

1. Systematic Research Anchor

2. Multidisciplinary Anchor

3. Contingency Anchor

4. Multiple Levels of Analysis Anchor

Front 50

SYSTEMATIC RESEARCH ANCHOR

Back 50

OB knowledge is based on systematic research; evidence-based management

Front 51

EVIDENCE-BASED MANAGEMENT

Back 51

Decisions and actions based on research evidence rather than fads, hype, and untested assumptions

Front 52

MULTIDISCIPLINARY ANCHOR

Back 52

OB concepts adopted from other disciplines; sociology, psychology, history, economics, poli sci, etc.

Front 53

CONTINGENCY ANCHOR

Back 53

A particular action may have different consequences in different situations; Need to diagnose the situation and select the best strategy under those conditions

Front 54

MULTIPLE LEVELS OF ANALYSIS ANCHOR

Back 54

Micro, Meso, and Macro levels of analysis