Organizational Behavior

Introduction

• Early 1920s discovery - Hawthorne Works
• Study on lighting impacts productivity
• Productivity increased due to observation (Hawthorne Effect)

Organizational Behavior (OB)

• Academic discipline studying human behavior in organizations
• Importance to HR:
  • Improves efficiency and productivity
  • Informs organizational strategies

Key Benefits of OB

• Insights into human behavior
• Impact in business areas:
  • Job performance
  • Job satisfaction
  • Innovation
  • Customer service
  • Ethical behavior
  • Organizational culture
• Influences workplace and organizational goals

Levels of Influence in OB

1. Individual Level
   • Autonomy, feedback, interesting assignments, and praise
   • Spillover effect - individual impacts group
   • Enhances personal development and job happiness
2. Group Level
   • Team dynamics and behaviors
   • Effective teams = clear roles, norms, complementary skills
   • Improved performance through familiarity, trust, conflict resolution
3. Organizational Level
   • Interplay between teams & departments
   • Operating model, strategy, tech infrastructure, HR systems, culture
   • Aligning components leads to better performance and stakeholder satisfaction

Application of OB

• Ensuring effectiveness across levels (individual, group, organizational)
• Example: Remote work during COVID-19
  • Individual: Skills and workstations
  • Group: Manager training, team collaboration
  • Organizational: Right technology
• Example: Diversity and Inclusion
  • Individual: Inclusivity training
  • Group: Minority employee resource groups, cross-functional teams
  • Organizational: DEIB commitment, fair practices, pay transparency

Conclusion

• OB helps create better workplace and achieve organizational goals
• Applying OB in HR makes policies more inclusive and effective
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