Organisational Behaviour

Lecture 1

Related to individuals and group of people working in teams

OB is concerned with the study of what people do in an organisation and how that behaviour affects the performance of the organisation:

- Individual Behaviour- Individual and group behaviour- Organisational structure

Primary roles, functions and activities of different management levels in an organisation

- Definition of an organisation- Structure of an organisation- Four key Management Functions- Management roles- Management activities- Comparison of the roles, functions and activities within the different levels in the organisation

Definition and structure of an

organisation?

According to Lawler & Hackman, 1975:

- Composed of individuals and groups

- Exist in order to achieve certain goals

- Require control and co-ordination

- Some degree of permanence/existence

Structure

- Organisations are set up to meet values, mission and goals of

organisations

- All organisations have rules and regulations

- No right or wrong structure – depends on what one would favour

- The traditional structure accepted in an organisation is the structure

where authority pass through Top to Bottom level of the organisation

Traditional Structure

Top Management

Middle Management

First-Line Management

Flow of

levels in the

organisations

•This figure / structure is commonly referred as the Line and Staff

Relationship Diagram

• Line Relationship – Describes a situation where someone has a direct authority

over and responsible for the work of subordinates

- It flows from one level of hierarchy to the next level

- Also, called as the Scalar chain – whereby power is shown

•Staff Relationship – Describes a situation where advice may be provided or/and

authority is exercised

- Concerned essentially with achieving organisational goals

Four Key Management FunctionsPLANNING ORGANISING DIRECTING CONTROLLING

• Determines what

needs to be done

for the organisation

in the long-term

•Systematic thought

that precedes

action

•It involves the

following:

- Forecasting

- Goal setting

- Decision-making

• Concerned with

allocation of

resources for both

staff and others

(finance, time,

materials and so

on..)

• Ensuring that

employees are

appropriately

engaged in working

on activities to

meet goals and

plans

•Involves motivating

and supervising staff

for effective

performance

• Process of

monitoring and

regulating

performance to

ensure it conforms

to plans and goals

of organisation

Management Roles

Mintzberg identified 3 main roles:

- Interpersonal – dealing with maintenance of

relationships within and outside the organisation

- Informational – dealing with gathering and provision of

information

- Decisional – dealing with organisational and operational

problems and difficulties

Management Activities

Determining objectives

Defining problems that need to be solved to achieve the objectives

Searching for solutions to problems specified

Determining the best solution to the problem

Securing an agreement on implementation

Preparation and issue of instructions

Execution of agreed solutions

Devising and discharging an audit process

Differences in the main responsibilities

of the 3 management levelsTOP MIDDLE FIRST-LINE

•Responsible for entire

organisation or significant

large parts of it is located

•Also responsible for

middle tier of

management

•Also called as the

‘institutional’ or

‘corporate’ level

•Concerned with the

whole organisation, its

goals and relationship with

the environment

•Also called as the “meat

in the sandwich” –

between senior and first-

line management

•Responsible for the work

of managers at a lower

level

•Some analyses describes

this level as the

‘organisational’ level due

to its concern with the

organisation and

integration of work

processes across a

broader range

• Commonly known as the

‘supervision / supervisor

level’

•Takes place at the lowest

level in the hierarchy

•Directly responsible for

the operation of discrete

tasks and non-managerial

personnel

•Often called as the

‘technical’ Level

•Concerned primarily with

undertaking actual work

processes

Differences in the Functions

PLANNING

ORGANISING

CONTROLLING

SENIOR MIDDLE FIRST-LINE

PLANNING ORGANISING AND

DIRECTING

CONTROLLING

•Overall decisions on goals

and plans for the whole

organisation is made by the

Senior Management

•Senior management works

closely with the middle

management in developing

the operational plans for the

achievement of the goals

planned by the Senior

•At lower level, less

emphasis is put onto the

decision-making – they are

only instructed

•Allocation of resources is

controlled by the highest

level which is the Top

management

•Middle management carries

out the detailed

responsibility for planning

and organising of work on

broad level

•First line management have

a limited scope for

organising in respect of

resource allocation and

operational arrangements

•Much more involved in

directing more responsibility

on this level

•Front line or first line they

are involved in organising

and getting the work done

•This constant is found in all

3 levels

•Each level of management

need to monitor and review

progress towards goals in

relation to their

responsibilities

Differences in the Roles

INTERPERSONAL INFORMATIONAL DECISIONAL

• Role of the figurehead

tends to be more

important at senior

levels

•Greater positional

power and weight often

necessary for duties to

be carried out properly

•Leader role is central

to supervisors reflecting

their greater

involvement in ensuring

smooth operation of

staff relationship

•Spokesperson roles is

more dominant in higher

levels – same reason as

figurehead

•Important to note that

entrepreneur/supervisor

role is as important

throughout the

hierarchy in terms of

disturbance handler

•Middle/Senior

management mainly

deals with the resource

allocator

Differences in the Activities

Highlights the inter-relationships between

activities carried out in different part of the

structure

SENIOR MIDDLE SUPERVISOR

• Concerned with

determination of

objectives & deciding

upon appropriate

courses of action at

highest level

•Securing agreement at

highest level to ensure

the acceptability of

proposed plans

•Issuing of instructions &

development of schemes

of work to be executed

•Specifying problems and

solutions to work on

Overall importance of management

in an organisation In order for an organisation is successful in

achieving its goals. Co-operation at all levels

is important

Senior management is dependant on 1st line

management and vice versa