Needs for Understanding Organizational Behavior

Organizational Behavior System

Organizational behavior is now considered as an open and adaptive living system which means that it is in constant interaction with its dynamic or ever changing environment. It receives inputs or resources in the form of raw materials, people’s energy and information from its environment. It transforms these inputs into outputs in the form of products and services that are demanded by its environment to satisfy the needs and desires of the community. The organization is a system with multiple purposes and functions that involve multiple interactions between the organization and its environment.
Organizational Behavior System
1. Inputs
The first element of organizational behavior system is input. It is known as independent variable. Inputs further can be classified as individual inputs, group inputs and organizational inputs. Individual inputs include an individual’s ability, skills, mental condition, age, gender and physical condition. Group inputs include group status, group role, and human relations and similarly, organizational inputs include organizational structure, culture etc.

2. Processing
The second element of organizational behavior system is processing. It is, in a psychological order, also known as organism. In other words, processing is central and major part of OB system. It helps in converting available inputs into the outputs or behavior. Processing further can be classified into three categories as individual process, group process and organizational process. Individual process includes motivation, perception, learning, participation etc. Group process includes communication, group dynamics, leadership, conflict, power and politics etc. Similarly, organizational process includes design of formal organization, human resource policies and practices, intention with external environment etc.

3. Outputs
The third and last basic element of organizational behavior system is output. It is also known as dependent variable. In the psychological term, it is also defined as behavior. Outputs can be classified as individual outputs, group outputs and organizational outputs. Individual outputs include productivity, satisfaction, less turnovers and less absenteeism. Group outputs include group productivity, group satisfaction and co-operation. Similarly, organizational outputs include organizational citizenship, goal achievement and social effectiveness.

Need for Understanding Organizational Behavior

As we know, organizational behavior is the study of people at work in organizations. And we study organizations because we spend our lives interacting with them. If the world is a stage, it is a stage filled with organizations. Regardless of the part we play as a student, employee, manager or customer, we play our roles/parts on an organizational stage. By acting our parts, we influence organizations and organizations also influence us.

The study of OB (Organizational Behavior) benefits us in several ways.
Firstly, the study of OB helps us understand ourselves and others in a better way. This helps greatly in improving our inter-personal relations in the organizations. Friendly and cordial relations between employees and management and also among the employees create a congenial work environment in organizations.

Secondly, the knowledge of OB helps the managers know individual employees better and motivate employees to work for better results. It helps managers apply appropriate motivational techniques in accordance to the nature of individual employees who exhibit glaring differences in many respects.

Thirdly, one of the basic characteristics of OB is that it is human in nature. So to say, OB tackles human problems humanly. It helps understand the cause of the problem predicts its future course of action and controls its evil consequences. Thus, treating employees as human beings enables the managers to maintain cordial industrial relations which, in turn, create peace and harmony in the organization.

Fourthly, the most popular reason for studying OB is to learn how to predict human behavior and, then, apply it is some useful way to make the organization more effective. Thus, knowledge of OB becomes a pre-requirement for a person like the students for a person like the students of MBA/MBS who is going to assume a managerial job and succeed as a manager.

Finally, all organizations are run by man. It is man working in the organizations makes all the difference. Then, it implies that effective utilization of people working in the organization guarantees success of the organization. This is where OB comes into the picture. OB helps managers how to efficiently manage human resources in organization. It enables managers to inspire and motivate employees towards productivity and better results.

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