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Page 1: Copyright 1999 by Brent Smith, Ph.D. Micro-Organizational Behavior: History (cont.) and the Changing Nature of Work

Copyright 1999 by Brent Smith, Ph.D.Copyright 1999 by Brent Smith, Ph.D.

Micro-Organizational Micro-Organizational Behavior:Behavior:

History (cont.) and the History (cont.) and the Changing Nature of WorkChanging Nature of Work

Page 2: Copyright 1999 by Brent Smith, Ph.D. Micro-Organizational Behavior: History (cont.) and the Changing Nature of Work

Copyright 1999 by Brent Smith, Ph.D.Copyright 1999 by Brent Smith, Ph.D.

In ReviewIn Review

• OB is the science of human behavior in OB is the science of human behavior in organizationsorganizations

• OB is a hybrid scienceOB is a hybrid science

• Frederick Taylor—Scientific ManagementFrederick Taylor—Scientific Management

• Henri Fayol—Administrative theoryHenri Fayol—Administrative theory

• Max Weber—Organizational Structure and Max Weber—Organizational Structure and BureaucracyBureaucracy

Page 3: Copyright 1999 by Brent Smith, Ph.D. Micro-Organizational Behavior: History (cont.) and the Changing Nature of Work

Copyright 1999 by Brent Smith, Ph.D.Copyright 1999 by Brent Smith, Ph.D.

The Hawthorne StudiesThe Hawthorne Studies

• Elton Mayo hired to explain the results of a Elton Mayo hired to explain the results of a study of illumination on productivity and study of illumination on productivity and Western ElectricWestern Electric

• Conducted two additional studiesConducted two additional studies– Relay RoomRelay Room– Bank Wiring RoomBank Wiring Room

Page 4: Copyright 1999 by Brent Smith, Ph.D. Micro-Organizational Behavior: History (cont.) and the Changing Nature of Work

Copyright 1999 by Brent Smith, Ph.D.Copyright 1999 by Brent Smith, Ph.D.

7

100

108

116

124

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increased with each changein work conditions

Standard workconditions

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Page 5: Copyright 1999 by Brent Smith, Ph.D. Micro-Organizational Behavior: History (cont.) and the Changing Nature of Work

Copyright 1999 by Brent Smith, Ph.D.Copyright 1999 by Brent Smith, Ph.D.

Bank Wiring RoomBank Wiring Room

• Introduced incentive pay system.Introduced incentive pay system.

• Expected individual worker output to Expected individual worker output to increase.increase.

• Found no change in worker output.Found no change in worker output.

• Workers established informal norms Workers established informal norms because they feared the company would because they feared the company would increase their quota.increase their quota.

Page 6: Copyright 1999 by Brent Smith, Ph.D. Micro-Organizational Behavior: History (cont.) and the Changing Nature of Work

Copyright 1999 by Brent Smith, Ph.D.Copyright 1999 by Brent Smith, Ph.D.

Impact of the Hawthorne StudiesImpact of the Hawthorne Studies

• Elton Mayo is considered the father of the Elton Mayo is considered the father of the Human Relations movementHuman Relations movement

• Human Relations recognizes that there are Human Relations recognizes that there are other factors beyond rational economics other factors beyond rational economics that drive individual behavior.that drive individual behavior.

• Productivity and satisfaction are Productivity and satisfaction are inextricably linked—You cannot forget the inextricably linked—You cannot forget the human side of the equationhuman side of the equation

Page 7: Copyright 1999 by Brent Smith, Ph.D. Micro-Organizational Behavior: History (cont.) and the Changing Nature of Work

Copyright 1999 by Brent Smith, Ph.D.Copyright 1999 by Brent Smith, Ph.D.

4

Distrusting

Basically Lazy

Low (disinterested)

Work when pushed

Accepting, promotesbetterment

Need to achieveand be responsible

High(very interested)

Work whenappropriately trained

and recognized

Theory XTheory X(traditional approach)(traditional approach)

Theory YTheory Y(modern approach)(modern approach)

OrientationOrientationtoward peopletoward people

AssumptionsAssumptionsabout peopleabout people

Interest in workingInterest in working

Conditions underConditions underwhich peoplewhich people

will work hardwill work hard

Theory X versus Theory Y:Theory X versus Theory Y:Douglas MacGregor (1960)Douglas MacGregor (1960)

Page 8: Copyright 1999 by Brent Smith, Ph.D. Micro-Organizational Behavior: History (cont.) and the Changing Nature of Work

Copyright 1999 by Brent Smith, Ph.D.Copyright 1999 by Brent Smith, Ph.D.

Human NatureHuman Nature

• The shift from scientific management to The shift from scientific management to human relations mirrored a similar shift in human relations mirrored a similar shift in Philosophy and Psychology.Philosophy and Psychology.

• In Psychology, the dominant view moved In Psychology, the dominant view moved from behaviorism to humanism.from behaviorism to humanism.

• Those who advanced the human relations Those who advanced the human relations movement were primarily psychologists in movement were primarily psychologists in the humanistic tradition.the humanistic tradition.

Page 9: Copyright 1999 by Brent Smith, Ph.D. Micro-Organizational Behavior: History (cont.) and the Changing Nature of Work

Copyright 1999 by Brent Smith, Ph.D.Copyright 1999 by Brent Smith, Ph.D.

What has changed?What has changed?

• The traditional bureaucratic model is dying The traditional bureaucratic model is dying a slow death.a slow death.

• Our economy is now dominated by the Our economy is now dominated by the “service sector”.“service sector”.

• No one believes they have a “job for life”.No one believes they have a “job for life”.

• New focus on quality.New focus on quality.

• New focus on social responsibility.New focus on social responsibility.

Page 10: Copyright 1999 by Brent Smith, Ph.D. Micro-Organizational Behavior: History (cont.) and the Changing Nature of Work

Copyright 1999 by Brent Smith, Ph.D.Copyright 1999 by Brent Smith, Ph.D.

The Changing Nature of WorkThe Changing Nature of Work

• Workforce DemographyWorkforce Demography– GenderGender

– AgeAge

– Race (50% of CA’s population in 2005 will be people Race (50% of CA’s population in 2005 will be people of color speaking 80 different languages)of color speaking 80 different languages)

– CultureCulture

• Problem: How do you manage such diversity?Problem: How do you manage such diversity?

Page 11: Copyright 1999 by Brent Smith, Ph.D. Micro-Organizational Behavior: History (cont.) and the Changing Nature of Work

Copyright 1999 by Brent Smith, Ph.D.Copyright 1999 by Brent Smith, Ph.D.7

Women in the Workplace: Their Women in the Workplace: Their Numbers are RisingNumbers are Rising

100

90

80

70

60

50

40

30

20

10

0

1950 1960 1970 1980 1990 2005 estimate

Per

cent

age

Per

cent

age

YearYear

Percentage of womenPercentage of womenworking outside the homeworking outside the home

Percentage of women inPercentage of women inthe workforce relative to menthe workforce relative to men

(33.9)

(29.6)

(37.7)(43.3)

(51.5)(57.5)

(63.0)

(33.4)(38.1)

(42.5)(45.3) (47.4)

Both statisticshave been

rising steadily

Page 12: Copyright 1999 by Brent Smith, Ph.D. Micro-Organizational Behavior: History (cont.) and the Changing Nature of Work

Copyright 1999 by Brent Smith, Ph.D.Copyright 1999 by Brent Smith, Ph.D.8

Minorities in the Workplace: Minorities in the Workplace: Their Numbers are RisingTheir Numbers are Rising

0

5

10

15

70

80White, non-HispanicWhite, non-HispanicAfrican American, non-HispanicAfrican American, non-HispanicHispanicHispanicAsian and other non-HispanicAsian and other non-Hispanic

19901990 2005 estimate2005 estimate

The relative percentageof whites in the U.S.population, althoughhighest, is dropping.

The relative percentageof minority groups inthe U.S. population is

on the rise.

(78.5)(78.5)

(73.0)(73.0)

(10.7)(10.7)(11.6)(11.6)

(7.7)(7.7)

(11.1)(11.1)

(3.1)(3.1)(4.3)(4.3)

Per

cent

age

of T

otal

Pop

ulat

ion

Per

cent

age

of T

otal

Pop

ulat

ion

YearYear

Page 13: Copyright 1999 by Brent Smith, Ph.D. Micro-Organizational Behavior: History (cont.) and the Changing Nature of Work

Copyright 1999 by Brent Smith, Ph.D.Copyright 1999 by Brent Smith, Ph.D.

The Changing Nature of WorkThe Changing Nature of Work

• GlobalizationGlobalization– Our national economy is now coupled with the Our national economy is now coupled with the

global economy.global economy.– International trade accounts for 20% of all U.S. International trade accounts for 20% of all U.S.

Jobs.Jobs.– There are 35,000 MNC—the largets 300 There are 35,000 MNC—the largets 300

account for ¼ of the worlds productive assetsaccount for ¼ of the worlds productive assets

• Problem: How do you address cultural Problem: How do you address cultural differences?differences?

Page 14: Copyright 1999 by Brent Smith, Ph.D. Micro-Organizational Behavior: History (cont.) and the Changing Nature of Work

Copyright 1999 by Brent Smith, Ph.D.Copyright 1999 by Brent Smith, Ph.D.

The Changing Nature of WorkThe Changing Nature of Work

• New Working ArrangementsNew Working Arrangements– FlextimeFlextime– Compressed WorkweeksCompressed Workweeks– Job SharingJob Sharing– V-timeV-time– Telecommuting (Currently 25 million)Telecommuting (Currently 25 million)

• Problem: What happens to commitment?Problem: What happens to commitment?

Page 15: Copyright 1999 by Brent Smith, Ph.D. Micro-Organizational Behavior: History (cont.) and the Changing Nature of Work

Copyright 1999 by Brent Smith, Ph.D.Copyright 1999 by Brent Smith, Ph.D.

The Changing Nature of WorkThe Changing Nature of Work

• New Organizational FormsNew Organizational Forms– Virtual OrganizationsVirtual Organizations– AdhocraciesAdhocracies– The Contingent WorkforceThe Contingent Workforce– OutsourcingOutsourcing

• What happens to organizational identity?What happens to organizational identity?

Page 16: Copyright 1999 by Brent Smith, Ph.D. Micro-Organizational Behavior: History (cont.) and the Changing Nature of Work

Copyright 1999 by Brent Smith, Ph.D.Copyright 1999 by Brent Smith, Ph.D.9

Contingent Workers: What Kinds of Jobs Contingent Workers: What Kinds of Jobs Do They Do?Do They Do?

100

90

80

70

60

50

40

30

20

10

0Per

cen

tage

of

Com

pan

ies

Usi

ng

Con

tin

gen

t W

ork

ers

Per

cen

tage

of

Com

pan

ies

Usi

ng

Con

tin

gen

t W

ork

ers

ClericalClerical Professional/Professional/TechnicalTechnical

ProductionProduction ServiceService ManagerialManagerial

(75%)(75%)

(36%)(36%)(34%)(34%)

(30%)(30%)

(1%)(1%)

The greatest percentage of people in the

contingent workforceperform clerical jobs.

About one-third of the people inthe contingent workforce performprofessional/technical, production,

and service jobs.

Very few people inthe contingent

workforce performmanagerial jobs.

Job CategoryJob Category