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Introduction to Organizational Behaviour - Lesson Summary

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Behaviour - Response of the organism or system to various stimuli or inputs, whether internal or external, conscious or subconscious, overt or covert, and voluntary or involuntary.

Organizational Behaviour
• Understanding human behaviour at work.
• Systematic study of human behaviour in organizational settings.
• Organizational Behaviour is multidisciplinary in nature.

Basic Assumptions
• Organization consists of people. 

• Motivated people work effectively.

• Disparity between organizational and individual goals.

• Impact of policies and procedures on people are not always predictable.


Fundamental Ideas

• Each individual is different.

• Multiple roles of employees.

• Motivation: the force behind employees.

• Human dignity.


Why study Organizational Behaviour?
• Understand employee behaviour.
• Predict employee reactions.
• Plan for effective interventions.

One important application of Organizational Behaviour is:
• Human Resource Management.

Industrial Psychology

Industrial Psychology helped recruitment during World War One in terms of development of psychological tests, especially intelligence test, that helped in mass recruiting. 

Efforts were made on how to improve industrial efficiency, how to help organizations perform better by choosing the right kind of people using Industrial Psychology. 

Theories on leadership styles and theories on managerial styles emerged from observing the relationship of army personnel and army leaders during World War One.

Scientific Management Movement

A theory by Frederick W. Taylor set to improve industrial efficiency. 
These are the four principals of scientific management. 

1. Scientifically study each part of the job and develop methods. 
2. Select and train workers using scientifically developed methods. 
3. Cooperate with workers to ensure that they use the proper method. 
4. Divide the work and responsibility among management and workers. 


Towards the end of the 1930s, with the Great Depression creating huge gaps in inequality and giving rise to trade unions, the Scientific Management Movement began to be challenged.  Soon managerial scholars began to look at employees as humans, and not as machines. This led to the development of new theories and the Human Relations movement.

Towards the end of the 20th century, these theories gave birth to Organizational Behaviour as a field of study, aimed at understanding human behaviour in the workplace and creating new concerns for managers and employees.