Page 11 - eBOOK ORGANISATIONAL BEHAVIOUR FULL REPORT (eISBN)

CHAPTER 1: INTRODUCTION TO ORGANIZATIONAL BEHAVIOR

1.1 Introduction

An organization is an organized body of people with a particular purpose; for example, the

people in a business, a society or an association that work together as a complex unit. People
are regarded as the most important organization asset. Thus, understanding how humans

behave in organization is imperative. Managers and future managers need to develop their

interpersonal skills to understand their employees better.

1.2 Definition of Organizational Behavior

Organizational behavior (often abbreviated OB) is a field of study that investigates the

impact that individuals, groups and structure have on behavior within organizations for the

purpose of applying such knowledge toward improving an organization’s effectiveness. OB

is the study of what people do in an organization and how their behavior affects the
organization’s performance. OB is concerned specifically with employment-related

situations such as jobs, work, absenteeism, employment turnover, productivity, human

performance, and management. It studies three determinants of behavior in organizations:
individuals, groups and structure. OB applies the knowledge gained about individuals, groups

and the effect of structure on behavior in order to make organizations work more effectively.

1.3 Major Disciplines that Contribute to Organizational Behavior Studies

Organizational behavior is an applied behavioral science built on contributions from a

number of behavioral disciplines, mainly psychology and social psychology, sociology, and

anthropology. As shown in Figure 1.1: Contributing discipline in OB.

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