the 1st group

8/9/2019 The 1st Group

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INDUSTRIAL ORGANIZATION

I. Introduction

THE DEFINING INDUSTRIAL ORGANIZATION

Industrial organizationis a specialty in economics that helps to explain

why markets are organized as they are and how their organization affects

the way these markets.

Thus, the study of industrial organization attracts those individuals

interested in the way in which industries are organized, what factorsinfluence a firms behavior, and how these factor affect society in general.

The focus of interest in the past, in the present and probably in the future

centers on national economic problem caused by different types of market

organization.

Industrial organization is intricately tied up with serious public policy

questions concerning the desirability of mergers between large firms, anti-

trust action again existing firms, the possibility of unlawful price fixing and

so on.

The study of industrial organization adds to the perfectly competitive model

real-world frictions such as:

limited information

transaction cost

cost of adjusting prices

government actions

barriers to entry by new firms into a market.

It then considers how firms are organized and how they compete. Perhaps a

most appropriate term is the "Economics of Imperfect Competition".
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III. MARKET STRUCTURES

Market or industry structure refers to those attributes of the

market that influence the nature of the competitive process. Market

structure thus include size and size distribution of firms, barriers andconditions of entry, and product differentiation, as well as firm cost

structure and the degree of government regulation.

Market structures is important because such structure determines

the behavior of firms, which then determines the quality of the

industrys performance.

The common market structures studied in this field are the following:

PERFECT COMPETITION

Industrial Organization, from the Fundamentals of Microeconomic

Principles

Perfect Competition

Monopoly

Monopolistic Competition

Oligopoly

1. PERFECT COMPETITION

Perfect competition is a type of market with the number of sellers and

buyers very much and the product sold is homogeneous. Prices are formed

through the market mechanism and the interaction between supply and

demand so that sellers and buyers in this market can not affect the price andonly serves as a recipient of the price (price-taker). Goods and services sold

in this market is homogeneous and can not be distinguished. All the products

look identical.

CHARACTERISTIC OF PERFECT COMPETITION
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Large number of buyers and sellers.

Product homogeneity.

Free entry and exit.

Perfect dissemination Price Taker vs. Price Maker

Price Taker Buyers and sellers whose individual transactions are so

small that they do not affect market prices.Price Maker Buyers and

sellers whose large transactions affect market prices of information.

2.MONOPOLISTIC COMPETITION

A.THE MEANING OF MONOPOLISTIC COMPETITION

Monopolistic market is one of the market where there are many

manufacturers that produce similar goods but have differences in some

aspects. Monopolistic market sellers are not unlimited, but each of the

product must have its own character that distinguishes it from other

products.

Examples include: shampoo, toothpaste, etc.. Though all the shampoo

the same function, namely to clean the hair, but every product produced a

different manufacturer has a special characteristic, such as differences in

aroma, color differences, packaging, and others.In monopolistic markets, producers have the ability to influence

prices, although its influence was not as producers from monopoly or oligopoly

markets. This ability comes from the nature of the goods produced. Because

of the differences and characteristics of an item, consumers will not easily

switch to another brand, and still choose the brand manufacturers to raise

prices though. For example, the motorcycle market in Indonesia. Motorcycle

products are likely to be homogeneous, but each has their own special

characteristics. Call it Honda motorcycle, in which particular traits are fuel

efficient. While Yamaha has the advantage of a stable machine and rarelybroken.

As a result of each brand has a loyal customer of each.In monopolistic

competition, price is not a factor that could boost sales.

How the company's ability to create a good image in the minds of the

people, so that makes them want to buy these products despite the high price

will be very influential on the company's sales. Therefore, companies that are


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in monopolistic markets should actively promote the product while keeping

the company's image.

B.CHARACTERISTIC OF MONOPOLISTIC COMPETITION

Large number of buyers and sellers. Product heterogeneity.

Free entry and exit.

Perfect dissemination of information

3. OLIGOPOLY

Oligopoly market is a bidding market where one type of goods

controlled by several companies. Generally the number of the company more

than two but less than ten. In the oligopoly market, each company positioneditself as part of the game tied with the market, where profits they earn

depends on the actions of their competitors. Thus all the promotional

efforts, advertising, new product introductions, price changes, etc.

undertaken with the aim to keep customers from their competitors.

Oligopoly is generally done as an effort to keep potential firms to enter the

market, and some companies do make an oligopoly as one attempt to enjoy a

normal profit below the maximum level by setting the selling price is limited,

resulting in price competition among principals doing business oligopoly

becomes nothing.

Oligopoly market structure is generally formed in the industries that

have high capital intensive, such as, cement industry, automobile industry, and

paper industries.

Characteristics of Oligopoly

1. Few sellers

2. Homogenous or unique product.

3. Barriers to entry and exit.

4. Imperfect dissemination

4.MONOPOLY


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Market monopoly (from Greek: monos, one + polein, selling) is a form of

market where there is only one seller who dominate the market. Determinant

of prices in this market is a seller or often referred to as "monopolists".

As a determinant of price (price-maker), a monopolist can raise or

reduce prices by determining the amount of goods to be produced;the fewer goods produced, the more expensive price of the goods, and

vice versa. However, the seller also has some limitations in pricing. If the

pricing is too expensive, then people will postpone buying or trying to find or

create a substitute (substitute) products or-even worse-looking on the black

market (black market).

Characteristics of Monopoly

1. A single seller.

2. Unique product.

3. Blockaded entry and exit.

4. Imperfect dissemination of information

IV. THE ORGANIZATIONAL STRUCTURE

The organizational structure can be constructed based on specialization and

coordination system that results in the form of functional structure, or

divisional structure, or matrix structure, or network structure.Differentiation itself can be horizontally or vertically.

Functional Structure= horizontal differentiation
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The surplus, the people have the same competencies so that there is transfer

of knowledge for each become more developed. Other benefits, job

specifications more clearly so that it can be more effective in the process of

internal supervision.

This organizational structure is only suitable for:

- Small number of similar products - Production in one or a few locations

- One general type of customer

In the organization functions, there is usually a division of the main functions

(productions or operations) and support functions (marketing, finance, R & D,

etc)

Divisional Structure is functions are grouped

Structural functions are grouped by type of product (product structure),

location (geographic structure), or customer groups (market structure).

Based on its support function, product structure can be:

1. Product division structure

Main functions decentralization, but are supporting Centralized functions.

Changing the structure of the functional product divisional structure to

structure if the amount of product increases. Usually applied to food

manufacturers, furniture, personal care.

2. Multidivisional structure

If a product is more diversified and larger volume, so any support functions

necessary decentralization. This means that each division eventually evolved

to handle more functions. Generally known as the SBU (strategic business

units). Problems that arise are: coordination, communication, cost of "trading"

inter-divisional, Bureaucratic cost.


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3. Product team structure

Specialist from the support functions are combined into product development

teams that specialize in the needs of a particular kind of product. Very useful

to integrate the work teams to increase effectiveness.Centralization / decentralization is determined by the "degrees of freedom"

tactical decision-making operations in the function of each.

Matrix Structure = a type of organic structure

Employees have two bosses, responsible for horizontally and vertically.

The organizational structure should show a hierarchy of authority is

made to control its members. In this regard, apply theory X of the type of

leadership (direct supervision is important).

Authority means power in decision making, could be Centralized (the

authority to make important decisions is retained by managers at the top of

the hirerarchy) or Decentralized (the authority to make important decisions

about organizational resources and to initiate new projects is Delegated to

managers at all levels in the hirerarchy).

Manager is the person responsible for managing the coordination and

motivation. If the organization grew, it also increases the number of
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members in the organization in terms of number and specialty, and also

increases levels of the hierarchy.

Problem with tall hierarchy

- Communication problems- Motivation problems

- Bureaucratic costs (because managers cost money)

An organization with a flat structure will experience fewer communication,

motivation, and cost problems than will a tall organization.

Parkinson's the Law problem

"Work Expands so as to fill the time available."The more levels of hierarchy, the more the manager that his main job is to

monitor and supervise the work of subordinate managers. For that, was made

the standardization of work activities.

Standardization reduces the need for managers and extra levels in the

hierarchy because rules and standard operating procedures for the direct

supervision subtitute.

The principles of bureaucracy (max weber)

1. A bureaucracy is founded on the concept of rational-legal authority. The

authority of a person based on his position, rather than personal factors.

2. Organizational roles are held on the basis of technical competence, not

because of social status, Kinship, or Heredity. An increase one's position in

the organizational hierarchy must be based on competence, not because of

"purchased" or corruption, etc..

3. A role's task responsibility and decison-making authority and its

relationship to other roles in the organization should be Clearly specified.

Coordination relationships must be clear to avoid role conflict and roleambiguity.

4. The organization of roles in a bureaucracy is such that each lower office

in the hierarchy is under the control and supervision of a higher office.

5. Rules, standard operating procedures, and norms should be used tocontrol

the behavior and the relationships among roles in an organization.


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V.ORGANIZATION DESIGN

Organization will be successful if its members work together

effectively and efficiently to achieve a common goal. Reminded again, the

organization also go through the "life cycle" that started from BORN, thengrown, and then decline, then DIE. The changes were influenced by external

factors that must be adapted (contingency theory). If the company does not

develop, the new design is needed. Organization design discuss how to divide

the work among people and departments. Hard choices must be faced in

determining the pattern of control and coordination.

The higher the level of someone in the organization, the greater the

responsibility for the more extensive control and coordination of work to be

done. Based on the theory of motivation, the leader of type X will do more

stringent controls.

If the organization grow, meaning more and more people are involved

and the organizational structure becomes more complicated.

Examples of operational Warteg (tegal stalls), one person plays several roles

at once as a waitress, cashier, sometimes also as a cook. This condition is

different from the restaurant division of pastures tougher task: Food is

served by a special officer, the payment is handled by the cashier, food

preparation by the chefs.

BASIC DESIGN DIMENSIONS

Formalization: Rules and procedures must be adhered together.

Centralization: the decision-making method. Family firms are usually

strict in the implementation of centralization to maintain control.

Specialization: Jobs narrowed.

Standardization

Complexity

Hierarchy of authority

STRUCTURAL CONFIGURATIONS OF

ORGANIZATIONS


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1. SIMPLE STRUCTURE: hierarchy slightly so easy centralized,

emphasizing direct supervision.

Machine Bureaucracy: Standardization of work process.

2. PROFESSIONAL Bureaucracy: Operating level, standardization of

skills.3. Divisional FORM: Standardization of process output.

4. ADHOCRACY: Emphasizing the relationship between members of the

organization.

ORGANIZATION DESIGNS

1. Mechanistic organizations external factors are expected to be stable

(remain constant over time).

2. Organic organizations perform better in volatile and unstable

environment (subject to uncertainty and rapid change).

BASIC FORMS OF ORGANIZATION DESIGNS

Functional grouping

Divisional grouping

Matrix design

Hybrid

VI TOPICS IN INDUSTRIAL ORGANIZATION

Job Analysis

Job analysis is often described as the cornerstone of successful

employee selection efforts and performance management initiatives. A job

analysis involves the systematic collection of information about a job. Job-

analytic methods are often described as belonging to one of two approaches,

they are :

1. The task-oriented job analysis, involves an examination of the

duties, tasks, and/or competencies required by a job.

2. Worker-oriented job analysis, involves an examination of the

knowledge, skills, abilities, and other characteristics (KSAOs)

required to successfully perform the work.


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These two approaches are not mutually exclusive. Various adaptations

of job-analytic methods include competency modeling, which examines large

groups of duties and tasks related to a common goal or process, and practice

analysis, which examines the way work is performed in an occupation across

jobs.

Job-analytic data are often collected using a variety of quantitative

and qualitative methods. The information obtained from a job analysis is then

used to create job-relevant selection procedures, performance appraisals and

criteria, or training programs. Additional uses of job-analytic information

include job evaluations for the purpose of determining compensation levels

and job redesign.

Personnel Recruitment and Selection

I-O psychologists typically work with HR specialists to design (a)

recruitment processes and (b) personnel selection systems. Personnel

recruitment is the process of identifying qualified candidates in the

workforce and getting them to apply for jobs within an organization.

Personnel recruitment processes include developing job announcements,

placing ads, defining key qualifications for applicants, and screening out

unqualified applicants.

Personnel selection is the systematic process of hiring and promotingpersonnel. Personnel selection systems employ evidence-based practices to

determine the most qualified candidates. Personnel selection involves both

new hires and individuals who can be promoted from within the organization.

Common selection tools include ability tests (e.g., cognitive, physical, or

psychomotor), knowledge tests, personality tests, structured interviews, the

systematic collection of biographical data, and work samples. I-O

psychologists must evaluate evidence regarding the extent to which selection

tools predict job performance, evidence that bears on the validity of

selection tools.

Personnel selection procedures are usually validated, i.e., shown to be

job relevant, using one or more of the following types of validity: content

validity, construct validity, and/or criterion-related validity. I-O

psychologists adhere to professional standards, such as the Society for

Industrial and Organizational Psychology's (SIOP) Principles for Validation
http://en.wikipedia.org/wiki/Recruitmenthttp://en.wikipedia.org/wiki/Personnel_selectionhttp://en.wikipedia.org/wiki/Personality_testshttp://en.wikipedia.org/wiki/Interviewshttp://en.wikipedia.org/wiki/Content_validityhttp://en.wikipedia.org/wiki/Content_validityhttp://en.wikipedia.org/wiki/Construct_validityhttp://en.wikipedia.org/wiki/Criterion_validityhttp://en.wikipedia.org/wiki/Recruitmenthttp://en.wikipedia.org/wiki/Personnel_selectionhttp://en.wikipedia.org/wiki/Personality_testshttp://en.wikipedia.org/wiki/Interviewshttp://en.wikipedia.org/wiki/Content_validityhttp://en.wikipedia.org/wiki/Content_validityhttp://en.wikipedia.org/wiki/Construct_validityhttp://en.wikipedia.org/wiki/Criterion_validity


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and Use of Personnel Selection Procedures and the Standards for

Educational and Psychological Testing. The Equal Employment Opportunity

Commission's Uniform Guidelines are also influential in guiding personnel

selection although they have been criticized as outdated when compared to

the current state of knowledge in I-O psychology.

Performance Appraisal/Management

Performance appraisal or performance evaluation is the process of

measuring an individual's work behaviors and outcomes against the

expectations of the job. Performance appraisal is frequently used in

promotion and compensation decisions, to help design and validate personnel

selection procedures, and for performance management.

Performance management is the process of providing performancefeedback relative to expectations and improvement information (e.g.,

coaching, mentoring). Performance management may also include documenting

and tracking performance information for organization-level evaluation

purposes.

An I-O psychologist would typically use information from the job

analysis to determine a job's performance dimensions, and then construct a

rating scale to describe each level of performance for the job. Often, the I-

O psychologist would be responsible for training organizational personnel howto use the performance appraisal instrument, including ways to minimize bias

when using the rating scale, and how to provide effective performance

feedback. Additionally, the I-O psychologist may consult with the

organization on ways to use the performance appraisal information for

broader performance management initiatives.

Individual Assessment and Psychometrics

Individual assessment involves the measurement of individual

differences. I-O psychologists perform individual assessments in order toevaluate differences among candidates for employment as well as differences

among employees.

The constructs measured pertain to job performance. With

candidates for employment, individual assessment is often part of the

personnel selection process. These assessments can include written tests,
http://en.wikipedia.org/wiki/Standards_for_Educational_and_Psychological_Testinghttp://en.wikipedia.org/wiki/Standards_for_Educational_and_Psychological_Testinghttp://en.wikipedia.org/wiki/Equal_Employment_Opportunity_Commissionhttp://en.wikipedia.org/wiki/Equal_Employment_Opportunity_Commissionhttp://en.wikipedia.org/wiki/Performance_appraisalhttp://en.wikipedia.org/wiki/Performance_evaluationhttp://en.wikipedia.org/wiki/Performance_managementhttp://en.wikipedia.org/wiki/Individual_differenceshttp://en.wikipedia.org/wiki/Individual_differenceshttp://en.wikipedia.org/wiki/Standards_for_Educational_and_Psychological_Testinghttp://en.wikipedia.org/wiki/Standards_for_Educational_and_Psychological_Testinghttp://en.wikipedia.org/wiki/Equal_Employment_Opportunity_Commissionhttp://en.wikipedia.org/wiki/Equal_Employment_Opportunity_Commissionhttp://en.wikipedia.org/wiki/Performance_appraisalhttp://en.wikipedia.org/wiki/Performance_evaluationhttp://en.wikipedia.org/wiki/Performance_managementhttp://en.wikipedia.org/wiki/Individual_differenceshttp://en.wikipedia.org/wiki/Individual_differences


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physical tests, psychomotor tests, personality tests, work samples, and

assessment centers.

Psychometrics is the science of measuring psychological variables, such

as knowledge, skills, and abilities. I-O psychologists are generally well-trained

in psychometric psychology.

Compensation

Compensation includes wages or salary, bonuses, pension/retirement

contributions, and perquisites that can be converted to cash or replace living

expenses. I-O psychologists may be asked to conduct ajob evaluation for the

purpose of determining compensation levels and ranges.

I-O psychologists may also serve as expert witnesses in paydiscrimination cases when disparities in pay for similar work are alleged.

Training and Training Evaluation

Most people hired for a job are not already versed in all the tasks

required to perform the job effectively. Similar to performance management

(see above), an I-O psychologist would employ ajob analysis in concert with

principles of instructional design to create an effective training program.

A training program is likely to include a summative evaluation at itsconclusion in order to ensure that trainees have met the training objectives

and can perform the target work tasks at an acceptable level. Training

programs often include formative evaluations to assess the impact of the

training as the training proceeds. Formative evaluations can be used to locate

problems in training procedures and help I-O psychologist make corrective

adjustments in the while the training is ongoing.

Motivation in the Workplace

Motivation is a positive drive that forces a person to reach the goal. In

a workplace the manager or supervisor has to know the needs or drive of

individual and motivate according to it.

In an organization, when an employee is doing good job or production is

increased by him, he must be rewarded with respect to his needs.
http://en.wikipedia.org/wiki/Psychometricshttp://en.wikipedia.org/wiki/Perquisiteshttp://en.wikipedia.org/wiki/Job_evaluationhttp://en.wikipedia.org/wiki/Job_analysishttp://en.wikipedia.org/wiki/Instructional_designhttp://en.wikipedia.org/wiki/Summative_evaluationhttp://en.wikipedia.org/wiki/Formative_evaluationhttp://en.wikipedia.org/wiki/Psychometricshttp://en.wikipedia.org/wiki/Perquisiteshttp://en.wikipedia.org/wiki/Job_evaluationhttp://en.wikipedia.org/wiki/Job_analysishttp://en.wikipedia.org/wiki/Instructional_designhttp://en.wikipedia.org/wiki/Summative_evaluationhttp://en.wikipedia.org/wiki/Formative_evaluation


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Organizational Culture

Organizational culture can be described as a set of assumptions shared

by the individuals in an organization that directs interpretation and action by

defining appropriate behavior for various situations. There are three levels

of organizational culture: artifacts, shared values, and basic beliefs and

assumptions. Artifacts comprise the physical components of the organization

that relay cultural meaning. Shared values are individuals preferences

regarding certain aspects of the organizations culture (e.g. loyalty, customer

service).

Basic beliefs and assumptions include individuals impressions about the

trustworthiness and supportiveness of an organization, and are often deeply

ingrained within the organizations culture.

In addition to an overall culture, organizations also have subcultures.

Examples of subcultures include corporate culture, departmental culture,

local culture, and issue-related culture. While there is no single type of

organizational culture, some researchers have developed models to describe

different organizational cultures. The Organizational Culture Profile (OCP) is

a self-report measure that distinguishes organizational cultures from one

another based on seven different organizational values. The Denison Model

uses four general dimensions and twelve subdimensions to distinguish

different organizational cultures.

Organizational culture is fostered through several different mediums.

Symbols, artifacts, stories, legends, rites, rituals, language and

communication are all examples of how organizational culture is established

and transmitted among an organizations members. Founding members of

organizations also have an impact on the organizational culture that develops.

The study of organizational culture can be difficult. Two common

methods for researching organizational culture are self-reports and

ethnography. Self-report measures are administered to employees and an

average score is computed for the organization. Ethnographers observe and

record organizational behavior over a period of time in order to decipher an

organizations culture.


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Changing an organizations culture can be difficult and usually cannot

be done quickly. While organizations must adapt over time to survive, the

basic assumptions that shape an organizations culture are difficult to change.

Organizational culture has been shown to have an impact on important

organizational outcomes such as performance, attraction, recruitment,

retention, employee satisfaction, and employee well-being. Also, organizations

with an adaptive culture tend to perform better than organizations with an

unadaptive culture.

Group Behavior

Team Effectiveness

Team effectiveness refers to the system of getting people in acompany or institution to work together effectively. The idea behind team

effectiveness is that a group of people working together can achieve much

more than if the individuals of the team were working on their own.

Job Satisfaction and Commitment

Job satisfaction reflects an employee's overall assessment of their

job particularly their emotions, behaviors, and attitudes about their work

experience. It is one of the most heavily researched topics in

industrial/organizational psychology with several thousand published studies.Job satisfaction has theoretical and practical utility for the field of

psychology and has been linked to important job outcomes including

attitudinal variables, absenteeism, employee turnover, and job performance.

For instance, job satisfaction is strongly correlated with attitudinal

variables such as job involvement, organizational commitment, job tensions,

frustration, and feelings of anxiety. Job satisfaction also has a weak

correlation with employee's absentee behaviors and turnover from an

organization with employees more likely to miss work or find other jobs ifthey are not satisfied. Finally, research has found that although a positive

relationship exists between job satisfaction and performance, it is

moderated by the use of rewards at an organization and the strength of

employee's attitudes about their job.


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There have been three general approaches to researching job

satisfaction including the job characteristics, social information processing,

and dispositional. The job characteristics approach attempts to understand

what characteristics of the employer and employment environment lead to

satisfied employees while the social information processing approach views jobs as a social construction and evaluates how social judgments and

comparisons influence job satisfaction. To illustrate these two approaches,

research has shown that although higher pay leads to higher satisfaction,

employees satisfaction with pay will depend more on how their pay compares

to others at an organization than on an objective numeric amount.

The dispositional approach evaluates the characteristics of employees

that lead to job satisfaction. Research from this approach has found that the

Big 5 personality traits extraversion, conscientiousness, openness to

experience, and agreeableness are positively correlated to job satisfactionafter controlling for job characteristics while a tendency to experience

negative affect is negatively correlated with job satisfaction.

Four of the most popular measures of job satisfaction that have shown

to have good construct validity are the Faces Scale, the Job Descriptive

Index (JDI), the Minnesota Satisfaction Questionnaire (MSQ), and the Job

Satisfaction Survey. The Faces Scale is a simplistic measure that asks

respondents to determine which of a series of faces reflects how they feel

in general about their job. The JDI asks individuals to determine if differentdescriptors such as the word fascinating, or well paid, reflect their

employment, with a reply of yes, no, or unknown for specific job facets. The

MSQ is a 100-item questionnaire designed to measure multiple facets of job

satisfaction by asking respondents determine their level of satisfaction with

various statements related to their employment. Finally, the JSS is a 36-item

questionnaire that asks respondents to determine how much they agree with

various statements about their job.

Organizational commitment can be defined as feelings of loyaltytoward an organization and an employees willingness to stay employed within

the organization. Employees often become committed because they have

positive feelings about the organization (affective commitment), because the

costs of leaving the organization are too great (continuance commitment), or

because they feel morally obligated to stay with the organization (normative


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commitment). Employee profiles developed on each of the different

commitment measures may help to predict employee job performance.

Organizational commitment has been shown to be related to attitudinal

variables. Specifically, affective commitment has been shown to be strongly

linked with turnover and moderately linked with job performance. Normative

and continuance commitment have also been linked to turnover, but not as

strongly.

There are two popular methods used in measuring organizational

commitment. The Organizational Commitment Questionnaire (OCQ) is the

most popular and widely used measure.

However, the OCQ only measures affective commitment. A more

recent measure has been developed by Allen and Meyer (1990) measures allthree types of commitment and will likely become the most widely used

organizational commitment measure in the future.

Job Satisfaction and Commitment overlap considerably as psychological

constructs and have been found to be well correlated. This is because it is

often difficult to tease out distinctions between an employees satisfaction

with their specific job and their relationship with the organization they work

for. It is also argued that these constructs feed into each other via a cyclical

process with higher job satisfaction leading to higher organizationalcommitment and vice-versa.

Counterproductive Behavior

Counterproductive behavior can be defined as employee behavior that

goes against the goals of an organization. These behaviors can be intentional

or unintentional and result from a wide range of underlying causes and

motivations. It has been proposed that a person-by-environment interaction

can be utilized to explain a variety of counter-productive behaviors (Fox and

Spector, 1999). For instance, an employee who steals from the company maydo so because of lax supervision and underlying psychopathology (person) that

work in concert to result in the counterproductive behavior.

The forms of counterproductive behavior with the most empirical

examination are ineffective job performance, absenteeism, job turnover, and

accidents. Less common but potentially more detrimental forms of


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counterproductive behavior have also been investigated including theft,

violence, substance use, and sexual harassment.

Within organizations, ineffective job performance is often difficult to

detect, diagnose the cause of, prevent, or resolve. This is because most

performance measurement systems only assess the impact of various

employee behaviors rather than the behaviors themselves. Performance data

is the most common method of evaluating ineffective job performance and

often includes personnel data, production data, subjective evaluations, and

electronic performance monitoring.

The causes of ineffective job performance have been evaluated from

different theoretical approaches including: attribution theory that links

performance to employee characteristics, selection errors that evaluate

mistakes of hiring the wrong employees, and inadequate socialization/trainingthat evaluate the social environment and structured training employees

receive. Employers need to be careful to avoid the fundamental attribution

error whereby performance is linked to characteristics of the employee

rather than the environment.

Abseenteeism is typically measured by time lost measures and

frequency measures. It is weakly linked to affective predictors such as job

satisfaction and commitment. Research has found that women are more likely

to be absent than men, and that the absence control policies and culture ofan organization will predict absenteeism.

Research on employee turnover has attempted to understand the

causes of individual decisions to leave an organization. It has been found that

lower performance, lack of reward contingencies for performance, and better

external job opportunities.

Accidents are a serious and costly form of counterproductive behavior.

Most research on this topic has attempted to evaluate characteristics of the

work-place environment that lead to accidents and determination of ways to

avoid accidents. There has also been some research on the characteristics of

accident-prone employees has found they are typically younger, more

distractible, and less socially adjusted than other employees.


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Leadership

Leadership is a process of influencing and supporting and motivating

others to work enthusiastically or effectively towards achieving the

objectives or goal.

A leader acts as a catalyst, who identifies the potential of a worker

and tries to put that into reality. A leader can be a positive leader or a

negative leader

PREFACEFirst of all, I am we are from the first group want to say thanks to

ALLAH SWT that had given me occasion to created this paper and also thanks

to my lecturer which had learned us and gave long time for us to finished this

paperand so far thanks to all of my beloved friends that always support me

to finished my paper because they had support and help me to finished my

paper about

THE MEANING OF INDUSTRIAL ORGANIZATION

This paper tell about the study of industrial organization attracts those

individuals interested in the way in which industries are organized, what

factors influence a firms behavior, and how these factor affect society in

general. The focus of interest in the past, in the present and probably in the

future centers on national economic problem caused by different types of

market organization. Hopefully this paper can be useful to whosever read this

but in the other side I consider that this paper is so far from a perfect one

For sure the author need developed critics and suggestions for the author

reports in the future can be better.

Author


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The first group

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www.google.com, organisasi industry, access on February 18,

2010

www.google.com, Topics in Industrial Organizational, access on

February 18, 2010

www.google.com, The Structure, conduct, performance Of

Industrial Organization,access on February 18, 2010
http://www.google.com/http://www.google.com/http://www.google.com/http://www.google.com/http://www.google.com/http://www.google.com/


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CREATED BY THE 1st GROUP:

GITA PRIYANTI (0810514039)

HERANOF AL BASYIR (0810514036)

MUSTIKA MARDATILAH (0810514038)

MULYANIS (0810514026)

RATI KORNIATI (0810514031)

SUCI SABILLY (0810514040)

YOGI ASHARI (0810514025)


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Supervisor :Prof.Dr.H.Firwan Tan, SE, M.Ec,DEA.Ing


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ABSTRACT

Industrial organization as a separate economic field or specialty

is a relatively recent phenomenon. The label industrial organization and the

initial impetus to study it came from Harvard University in the late 19330s.prior to that time, there were descriptive institutional courses in the fields

of corporations, agriculture, marketing, utilities, financial organizations, and

trusts. These courses were generally not integrated with economic theory.

According to Grether, it was the Great Depression couples with the

publication of Berle and Means The Modern Corporation and Private Property

in 1932 that led to a demand for a more basic theoretical/empirical approach

to the use of economics in understanding business institutions. Additionally,

the hearings, studies, and final report of the Temporary National Economic

Committee on the concentration of economic power in the late 1930sprovided further impetus and apparently welcomed empirical materials for

such an approach.

At Harvard, Professors Chamberlin and Mason began the first

truly industrial organization course. As an introduction to a collection of

essays he started writing in 1936, mason characterized the study of business

organizations as electric methodology and as a muddy, but not

uninteresting, field. Empirical studies started to come out Harvard at an

increasing rate. They included Wallaces study on market control in thealuminum industry and numerous others surveyed by Bain in 1948.

In the late 1930s and early 1940s, the primary interest of

investigators in industrial organization was pricing policy or, according to

Mason in a 1938 position paper, the deliberative action of buyers and sellers

to influence price and, in particular, the policies of industrial firms. All these

case studies and empirical work generally focused on theoretical structure

associated with pure monopoly. In this context, markets and market

structures must be defined with the reference of the position of a singleseller or buyer. By 1948 Bain, one of the earliest of Masons Ph.D.s in the

field, had become dissatisfied. He concluded that empirical research until

then had made little definite progress in the establishing an objective

classification of markets, with subcategories which would contain industries

with uniform and distinctive types of competitive behavior.

the 1st group

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