Organisational Behaviour (OB) is the study of how people interact within groups and

organisations. It’s an interdisciplinary field that draws from psychology, sociology,

management, and anthropology to understand human behaviour in organisational settings.

Key Areas of Organisational Behaviour:

1. Individual Behaviour:
o Personality – How traits influence work behaviour.
o Motivation – Why people work and how to encourage them (e.g., Maslow’s
Hierarchy, Herzberg’s Two-Factor Theory).
o Perception – How individuals interpret their environment.
o Attitudes and Job Satisfaction – What influences employee happiness and
performance.
2. Group Behaviour:
o Team Dynamics – How groups form, function, and perform.
o Leadership – Styles and effectiveness (e.g., transformational, transactional).
o Communication – Flow of information and barriers.
o Conflict and Negotiation – Sources of conflict and how to resolve it.
3. Organisational Structure and Culture:
o Organisational Design – Hierarchies, span of control, centralisation vs.
decentralisation.
o Culture – Shared values and norms that shape behaviour.
o Change Management – How organisations adapt to change (e.g., Lewin’s
Change Model, Kotter’s 8 Steps).
4. Decision Making:
o Individual and Group Decisions – Rational vs. bounded rationality models.
o Ethical Decision Making – Values and corporate responsibility.
5. Power and Politics:
o Power Sources – Legitimate, coercive, expert, etc.
o Organisational Politics – Informal practices that influence outcomes.

Characteristics of Organisational Behaviour

1. Interdisciplinary Approach
o OB draws knowledge from various fields like psychology, sociology,
anthropology, economics, and political science.
2. Human-Centred
o It focuses on people—how they behave as individuals and in groups within an
organisation.
3. Goal-Oriented
o OB aims to improve organisational effectiveness and employee performance
by understanding behaviour.
4. Scientific Method
o OB relies on scientific research methods to study and explain behaviours, not
just assumptions or guesswork.
5. Systematic Study
o It involves systematically studying behaviour patterns using data and
evidence.
 6. Application-Oriented
o OB applies theories and principles to solve real-world organisational
problems.
7. Dynamic Nature
o Human behaviour changes over time, so OB is constantly evolving to keep up
with new trends and challenges.
8. Focus on Both Individual and Group Behaviour
o OB analyses both micro-level (individual behaviour) and macro-level (group
and organisational systems) aspects.
9. Organisational Context
o Behaviour is studied within the structure, culture, and environment of an
organisation.
10. Concerned with Motivation and Performance

• A major goal is to understand what motivates people and how to enhance their
productivity.

The Big Five

Another popular way to assess a

person’s personality is the The Big Five. The Big Five is a psychology based
assessment that focuses on five wide-ranging categories that describe personality.
The acronym used for The Big Five is OCEAN and include openness,
conscientiousness, extraversion, agreeableness, and neuroticism.

Openness
People high in openness are more likely to be creative thinkers and enjoy taking on
new activities and challenges. People low in this trait tend to be less imaginative and
may not do well with change.

Conscientiousness

People high in conscientiousness are good at planning ahead, organizing details,

and meeting deadlines. They are also mindful of others and understand how their
decisions and actions can influence those around them. People who are low in
conscientiousness procrastinate on or fail to complete tasks. They also tend to be
shy away from schedules and live unorganized lives.

Extraversion

People high in extraversion enjoy meeting new people and inserting themselves into
gatherings and conversations. They tend to make friends easily and have a large
group of friends. People low in extraversion, also known as introverts, prefer
seclusion over company. They also try to avoid small talk and being at the center of
attention.

Agreeableness

People high in agreeableness show a genuine concern for others. They are known
for helping others in need and feeling empathy for the struggles of others. On the
other hand, people low in agreeableness tend to act rude and inconsiderate towards
others or even use manipulation to put their own needs above anyone else.

Neuroticism

Someone high in neuroticism tends to be very moody, stressed, and anxious. They
may get stressed and upset easily. People low in neuroticism tend to be emotionally
stable and do not allow stressors to effect their mood.

• Openness: Creativity, adaptability, and willingness to embrace change.

• Conscientiousness: Organization, dependability, and goal orientation.
• Extraversion: Sociability, assertiveness, and energy levels.
• Agreeableness: Cooperativeness, empathy, and teamwork.
• Neuroticism: Emotional stability vs. stress-proneness.
Employees with high conscientiousness often excel in structured roles,
while extraverts thrive in client-facing positions.

The four primary components of personality include:

• Traits: Enduring characteristics that dictate behavioral patterns, such as

extroversion, conscientiousness, or openness.
 • Values: Core beliefs and principles that guide decision-making and ethical
behavior in the workplace.
• Self-Concept: An individual’s perception of themselves, their strengths,
and their professional identity.
• Emotional Patterns: Typical emotional responses to stress, feedback, and
workplace interactions.

1. Biological Factors:
• Heredity:
Genetic inheritance plays a significant role in shaping personality traits, such as
temperament and predispositions towards certain behaviors.
• Physical Health:
Overall physical well-being and health conditions can impact personality and
how individuals interact with their environment.
2. Environmental Factors:
• Family and Social Environment:
Early childhood interactions with family, including parenting styles and
dynamics, significantly influence the development of social skills, emotional
regulation, and personality.
• Cultural Background:
Cultural values, beliefs, and norms shape an individual's worldview and
influence their personality traits and behaviors.
• Work Environment:
The organizational culture, job roles, and specific work experiences within the
organization can impact personality expression and how employees interact with
each other and their tasks.
3. Social Factors:
• Socialization:
The process of learning and internalizing social norms and values through
interactions with peers, mentors, and society plays a crucial role in shaping
personality.
• Social Groups:
Individuals belong to various social groups (e.g., workgroups, professional
associations) that can influence their personality development and expression
through shared experiences and social interactions.
4. Situational Factors:
• Specific Work Experiences:
 High-pressure work environments, demanding tasks, or challenging situations
can affect an individual's personality expression and potentially increase stress
or neuroticism.
• Economic Conditions:
Economic downturns or booms can impact organizational strategies and
employee behavior. For example, high unemployment rates may lead to
increased competition and changes in employee motivation.
• Regulatory Landscape:
Laws and regulations can influence organizational behavior and how companies
adapt their operations.
• Market Conditions:
Changes in supply and demand, the entry of new competitors, or shifts in
customer preferences can force organizations to adapt and impact employee
morale.
5. Psychological Factors:
• Cognitive Processes:
Thought patterns, perceptions, attitudes, and cognitive styles influence how
individuals interpret situations and interact with their environment.
• Emotions and Mental Health:
Emotions and mental well-being can significantly affect personality traits and
behaviors in the workplace.

These factors are interconnected and can influence each other,

contributing to the complexity of personality in organizational behavior.

Group behavior in organizational behavior refers to how individuals interact

and behave within groups to achieve common goals, influencing
productivity and decision-making. These groups can be formal, like teams
established by the organization, or informal, arising from social interactions
and shared interests. Understanding group dynamics is crucial for effective
organizational management, as it impacts everything from task completion
to overall morale.

Key Aspects of Group Behavior in Organizations:

• Formal vs. Informal Groups:
 Formal groups are established by the organization (e.g., project teams,
departments), while informal groups emerge naturally based on shared
interests or social connections.
• Group Development:
Groups typically progress through stages: forming (initial interaction),
storming (conflict and disagreement), norming (establishing rules and roles),
performing (achieving goals), and adjourning (dissolving).
• Group Dynamics:
Factors like group size, cohesiveness, norms, roles, and status influence
how a group functions and makes decisions.
• Decision-Making:
Groups can leverage diverse perspectives and knowledge, but potential
drawbacks include groupthink (excessive conformity) and social loafing
(reduced individual effort).
• Impact on Organizations:
Group behavior significantly impacts organizational effectiveness through
productivity, decision quality, and employee morale.
• Examples:
Teams working on a project, departments collaborating on a product launch,
or even informal social gatherings can all be considered examples of group
behavior within an organization.
• Group Processes:
Understanding group processes, such as brainstorming and nominal group
techniques, can help maximize the benefits of group work and minimize
potential downsides.

In essence, group behavior is a fundamental aspect of organizational life,

and effectively managing group dynamics is essential for achieving
organizational goals and fostering a positive work environment.

Organizational structure formation involves creating a framework for how a

company's activities are organized, directed, and coordinated to achieve its
goals. It defines roles, responsibilities, reporting relationships, and the flow
of information within the organization. Several factors influence the
formation of an organizational structure, including the company's size,
goals, industry, and culture.
Here's a breakdown of key aspects of organizational structure formation:
1. Defining Objectives and Activities:
• The first step is to clearly define the organization's objectives and the specific
activities needed to achieve them.
• This involves identifying the tasks, projects, and functions that need to be
performed.
2. Grouping Activities:
• Similar activities are grouped into departments or units.
• This creates a logical flow of work and ensures that related tasks are handled
together.
3. Establishing Hierarchy and Reporting Relationships:
• A hierarchy is established, outlining the levels of authority and responsibility
within the organization.
• This defines who reports to whom and clarifies the chain of command.
4. Choosing the Right Structure:
• Several types of organizational structures exist, each with its own strengths
and weaknesses.
• Common types include functional, divisional, matrix, and flatarchy structures.
• The best structure for a company depends on its specific needs and context.
5. Implementing and Adapting:
• Once a structure is chosen, it needs to be implemented and communicated to
all employees.
• The structure may need to be adapted over time as the company grows and
evolves.
Key Considerations:
• Centralized vs. Decentralized:
Centralized structures concentrate decision-making at the top, while
decentralized structures distribute it throughout the organization.
• Formal vs. Informal:
Formal structures have clearly defined rules and procedures, while informal
structures are more flexible and rely on relationships and communication.
• Span of Control:
This refers to the number of employees a manager supervises.
• Communication and Coordination:
 The structure should facilitate effective communication and coordination
between different departments and individuals.
By carefully considering these factors, organizations can create a structure
that supports their goals, fosters collaboration, and enables them to
operate efficiently.

organizations utilize various types of groups to achieve their

objectives. These groups can be broadly categorized as formal and
informal. Formal groups are deliberately created by the organization to fulfill
specific tasks and have defined structures and roles, while informal groups
emerge naturally from social interactions and shared interests. The type of
group, its structure, and dynamics significantly influence individual and
collective behavior within the organization.
Here's a more detailed look at the types of groups and their influence:

Formal Groups:
• Command Groups:
These are established based on the organizational hierarchy, with a
manager leading their subordinates. They are typically permanent and
directly related to the organization's structure.
• Task Groups:
These are temporary groups formed to complete a specific project or
task. They often involve members from different departments and are
disbanded once the task is completed.
• Functional Groups:
These groups consist of individuals from the same department or function
working towards common departmental goals.
• Cross-Functional Groups:
These groups bring together members from different departments to work on
projects that require diverse expertise.
Informal Groups:
• Interest Groups:
These groups form based on shared interests or activities, like sports or
hobbies. They help foster camaraderie and social connections among
employees.
• Friendship Groups:
 These groups are based on personal relationships and social connections
among employees, often extending beyond work-related activities.
• Reference Groups:
Individuals may use these groups as a benchmark for evaluating their own
behavior and attitudes.
Influence of Groups:
• Behavior and Performance:
Groups can significantly influence individual behavior and
performance. Group norms, roles, and dynamics can either enhance or
hinder individual contributions.
• Decision-Making:
Group decision-making processes can be more comprehensive,
incorporating diverse perspectives, but also may be slower and prone to
groupthink.
• Morale and Motivation:
Both formal and informal groups can positively impact employee morale and
motivation, fostering a sense of belonging and shared purpose.
• Socialization and Learning:
Groups facilitate socialization, allowing individuals to learn organizational
culture, norms, and values.
• Conflict and Cooperation:
Groups can be a source of both conflict and cooperation. Effective group
dynamics, including clear communication and conflict resolution
mechanisms, are crucial for optimal group functioning.

Cognitive Dissonance Simulation

Objective: Show discomfort from inconsistent attitudes/behaviors.

Instructions:

• Present a scenario where someone values punctuality but is always late.

• Ask students how this creates cognitive dissonance.
• Discuss how people might reduce dissonance: change behavior, justify it, or ignore it.

8. Changing Attitudes Case Study

Objective: Learn strategies for attitude change.
Instructions:

• Present a short case: An employee has a negative attitude toward a new boss.
• Ask students to suggest how the manager can change the employee's attitude using:
o Persuasive communication
o Peer influence
o Role modeling
• Link back to OB theories like Learning Theory of Attitude Change or Elaboration
Likelihood Model.

1. Self-Promotion

Purpose: To be seen as competent or capable.

Examples:

• Talking about your achievements or skills in a resume or interview.

• Taking credit for team successes (subtly or explicitly).
• Mentioning awards, degrees, or past successes.

2. Ingratiation

Purpose: To be liked by others.

Examples:

• Complimenting coworkers or superiors.

• Agreeing with someone's opinion to gain favor.
• Doing favors or being helpful to appear cooperative.

3. Exemplification

Purpose: To appear morally worthy, committed, or hardworking.

Examples:

• Staying late at work to be seen as dedicated.

• Volunteering for extra responsibilities.
• Talking about ethical behavior or personal sacrifices for the team.
 4. Supplication

Purpose: To be seen as needy or dependent, often to gain help or sympathy.

Examples:

• Highlighting one’s struggles or lack of resources to avoid a task.

• Saying “I’m not good at this” to lower expectations or get assistance.

5. Intimidation

Purpose: To be seen as powerful or dangerous.

Examples:

• Using authority or aggressive behavior to gain compliance.

• Creating fear to control subordinates.
• Showing toughness or threatening sanctions.

6. Conformity (Aligning Actions with Norms)

Purpose: To fit in or gain acceptance.

Examples:

• Adopting team culture or dress code.

• Supporting popular opinions.
• Mimicking behaviors of respected peers.

7. Alter-Casting

Purpose: To influence how others act by assigning them a role.

Examples:

• “You're such a helpful person—could you assist me with this?”

• “As a professional, I’m sure you’ll understand...”

8. Face-Saving (Defensive Tactics)

Purpose: To protect one’s image after a mistake or criticism.

Examples:

• Making excuses (“It wasn’t my fault”).

• Justifying poor performance (“I wasn’t given enough time”).
• Apologizing to reduce damage to reputation.
Summary Table

Technique Goal Risk if Overused

Self-Promotion Appear competent Arrogance

Ingratiation Be liked Insincerity

Exemplification Show dedication/ethics Perceived as show-off

Supplication Gain help/sympathy Perceived as weak/incompetent

Intimidation Gain control/respect Fear, resentment

Conformity Fit into group norms Loss of identity

Alter-Casting Influence others indirectly Seen as manipulative

Face-Saving Protect reputation Lack of accountability