Organizational Behaviour II
Organizational Behaviour II
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Text Book/Case booklet
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Course Outline
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About the Course
• Objective:
– Introduce students to the theory and practice of
organizations
– Generally referred to as the “macro” part of
Organizational Behaviour
– Helping us understand –
• How organizations are structured
• what designs are employed to help organizations
achieve their objectives
• how external environment affects all of the above
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OBII Course: Some Terms
• Organizational Theory: the study of how
organizations function and how they affect and are
affected by the environment in which they operate
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OBII Course: Some Terms
• Organizational Design: the process by which
managers select and manage aspects of structure
and culture so that an organization can control the
activities necessary to achieve its goals
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OBII Course: Some Terms
• Organizational Structure: the formal system of task
and authority relationships that control how
people to coordinate their actions and use
resources to achieve organizational goals
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OBII Course: Some Terms
• Organizational Change: the process by which
organizations move from their present state to
some desired future state to increase their
effectiveness
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Visionaries/Entrepreneurs and Organizations
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Organization
• Organizations are
(1) social entities that
(2) are goal directed;
(3) are designed as deliberately structured and
coordinated systems,
(4) and are linked to the external environment
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Who are all the people your organization
impacts?
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Inducements and Contributions:
Inside Stakeholders
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Inducements and Contributions:
Outside Stakeholders
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Organizations exist to do the following
• Create value for customers, owners, employees
and other stakeholders
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How an Organization Creates Value
• Value creation takes place at three stages: input,
conversion, and output
– Inputs: include human resources, information
and knowledge, raw materials, money and
capital
– Conversion: the way the organization uses
human resources and technology to transform
inputs into outputs
– Output: finished products and services that the
organization releases to its environment
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An Organization’s Environment
• Environment: the set of forces surrounding an
organization that have the potential to affect the
way it operates and its access to scarce resources
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An Organization’s Environment
• Specific Environment: consists of forces from
outside stakeholder groups that directly affects an
organization’s ability to secure resources
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An Organization’s Environment
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Inside and Outside Stakeholders
• Inside
– Shareholders
– Managers
– Non-managerial workforce
• Outside
– Customers
– Suppliers
– Government
– Community
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Measuring an Organization’s Effectiveness
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