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BA105-1: Organizational Behavior Spring 2005 Professor Jim Lincoln


Title: B6012 Leading and Managing in Organizations Author: Christina Ahmadjian Last modified by: lincoln Created Date: 1/19/2000 5:39:02 PM Document presentation format – PowerPoint PPT presentation

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Title: BA105-1: Organizational Behavior Spring 2005 Professor Jim Lincoln

BA105-1 Organizational Behavior Spring
2005 Professor Jim Lincoln
Walter A. Haas School of Business University of
California, Berkeley

Class Agenda for Today
  • Introduction to OB
  • Course mechanics
  • 2. Overview of topics

When organizations do well or poorly, what is
the first explanation that comes to mind?
  • The CEO did it.
  • Beware of attribution bias!
  • The tendency to attribute causation to the
    actions of individuals
  • Organizational behavior teaches that the
    effectiveness of people in organizations depends
    on their situation-specific relationships with
    one another

What is Organizational Behavior?
  • The study of (general/people) management
  • More precisely
  • The study of the behavior and attitudes of
    individuals and groups in organizations (micro
  • The study of the structure, culture, and
    leadership of organizations in relation to their
    tasks and their environments (macro OB)

OB draws on all of social behavioral science
  • Psychology
  • Sociology
  • Economics
  • Political Science
  • Anthropology
  • History
  • Even some engineering now and then

Some OB journals
  • Practitioner-oriented
  • Academy of Management Executive
  • Business Horizons
  • California Management Review
  • Harvard Business Review
  • Sloan Management Review
  • Scholar-oriented
  • Academy of Management Journal
  • Administrative Science Quarterly
  • Journal of Applied Psychology
  • Organizational Behavior and Human Decision
  • Organization Science
  • Strategic Management Journal

Some OB Gurus
  • Warren Bennis
  • Peter Drucker
  • Michael Hammer
  • Rosabeth Kanter
  • Raymond Miles
  • Henry Mintzberg
  • Tom Peters
  • Jeffrey Pfeffer

Research methods in OB run the social science
  • Experiments (both lab and field)
  • Surveys
  • Ethnographies
  • Archival Research (documents records)

How does OB differ from other fields of business
  • Finance, economics, accounting
  • Marketing
  • Operations
  • Strategy
  • Human resource management

How does OB differ from HR?
  • OB is a line, not a specialized staff,
  • Much OB management is CEO- or division-head level
  • Vision and culture
  • Re-orgs
  • OB is about principles, policies, strategies
  • HR is more about tools and implementation

Why should business students study OB?
  • Managers
  • How to organize and motivate your employees
  • How to initiate and manage change
  • Entrepreneurs
  • You have the big idea, you have the venture
    capital lined up. How do you organize and
    motivate your team?

Why should business students study OB? (contd)
  • Consultants
  • problem-solving tool
  • useful for case interviews
  • Investors
  • will that merger work?
  • will that reorganization actually add shareholder
  • is that CEO as competent as s/he thinks s/he is?

Why should business students study OB? (contd)
  • Issues critical to managing your career
  • understanding culture and person-job fit
  • Getting and using power and influence
  • implementing your ideas and goals

Some criticisms of OB
  • Isnt it obvious or common-sensical?
  • Many things are obvious after-the-fact.
  • The best form of organization is flat, flexible,
  • The best form of organization depends on the
  • (e.g., tasks, people, competition, technology,
  • Beware of hindsight bias!

Other criticisms
  • OB might be important, but its an art, not a
  • i.e., cant be systematically analyzed or taught
  • Can only be learned by doing
  • Maybe its religion
  • There is an element of preaching in OB
  • Tom Peters as bible-thumping evangelist
  • OB may be important for maintaining an
    organization, but it is not strategic

OB is strategic OB and HR are key to the
development of critical hard-to-imitate
  • Such capabilities refer to an organizations
    core skills and knowledge that give it
    sustainable competitive advantage allow it to
    better serve customers and clients than the
  • Examples
  • Clear vision and strong culture
  • Motivated people
  • Effective teams and networks

There is abundant evidence that people
management is key to competitive strategy and
  • Studies of IPOs among 200 firms showed that
    people-centered practices were associated with
    faster time to IPO and higher survival rates.
  • Watson, Wyatt, an HR consulting firm, concluded
  • that Companies that link employee development
  • to business strategy have 40 higher total
  • holder returns than companies that do not.

  • A Bain study showed that brokerage firms that
  • increased broker retention by 10 increased
  • broker value by 155. Studies in trucking,
  • and hospitality have found similar results.
  • Studies have shown that a one standard
  • deviation improvement in OB and HR management
  • practices produces increases of
  • in stock market value per employee.

All organizations now routinely say, People
are our greatest asset. Yet few practice what
they preach, let alone truly believe it
Peter Drucker (1992)
  • You got a problem with the guy in the cubicle
    next to you? I dont care shoot him

Marc Andreessen, Co-founder of Netscape
In the new economy, competition is global,
capital is abundant, ideas are developed quickly
and cheaply, and people are willing to change
jobs often. In that kind of environmentall
that matters is talentsuperior talent will be
tomorrows prime source of competitive
E. Chambers et al. (1998). The War for
Talent. The McKinsey Quarterly, 2-15.
  • The problem, then, is how to get,
  • keep, and utilize talented people
  • It is not just a question of pay
  • Even talented people must be led,
  • organized, and motivated

GE CEO Jack Welch as hands-on manager of talent
The man who spends more than 50 of his time on
people issues considers his greatest achievement
the care and feeding of talent. ''This place
runs by its great people,'' says Welch. ''The
biggest accomplish-ment I've had is to find great
people. An army of them. They are all better than
most CEOs. They are big hitters, and they seem to
thrive here.'' He believes he has to know people
well enough to trust them and their judgments
''I don't know how to build an aircraft
engine,'' he says. ''I don't know what should run
on NBC. We're in the cat-and-dog insurance
business in England. I don't really want to be in
that business, but the guy who brought me that
idea wanted to be in it, and I trust him. He'll
take it and make it work.'' Welch knows by sight
the names and responsibilities of at least the
top 1,000 people at GE.
How Jack Welch runs GE. Business Week, May 29,
And some organizations get excellent results
with merely OK people
See C. A. O'Reilly III and J. Pfeffer Hidden
Value How Great Companies Achieve Extraordinary
Results With Ordinary People. Harvard Business
School Press, 2000.
Only 10 of people are in the top 10. Great
companies not only hire talent, they build it and
unleash the energy and talent of all their people.
Course Website (not on Catalyst) http//courses.ha
(loginugba105 pwjlincoln)
  • Instructor info
  • Syllabus
  • Supplementary readings
  • Useful links
  • Course announcements
  • Powerpoints posted after lecture

Class meetings
  • Tuesday
  • Introduce a new topic
  • Lecture/discussion
  • Exams
  • Thursday
  • Class business
  • Review of lecture and readings
  • Case analysis
  • Videos exercises
  • Team project discussions

  • Electronic course reader on
  • Note if you are currently WAITLISTED for
  • You have temporary access to through
    Catalyst. The access terminates after the second
    week if you are not then enrolled.  
  • 10 hard copies of the first four weeks of
    readings are on reserve in the Long Library
  • Other readings posted on course website or handed
  • Readings on the syllabus are required. Other
    readings are recommended unless otherwise
  • Cases and readings must be prepared prior to the
    class for which they are assigned

Course Requirements
  • Class participation (15)
  • In-class discussions, particularly of cases
  • Oral presentation on team projects
  • Team member ratings
  • Exams in-class midterm and final (50)
  • Essay questions that will involve case analysis
  • Team project (30)
  • You will be assigned to teams of 3-5 persons each
  • You will study OB problems/issues in a real
  • Oral presentation and paper (12-15 pages)
  • In general, all members will receive the same
  • Participation in research experiments (5)

Other course business
  • Enrollment issues
  • Go to the Undergraduate Program Office (S450)
  • Arrival and attendance
  • Email
  • Face cards and name tents
  • see website announcements
  • Seating pick a seat you love and stay there!
  • Readers
  • Keiko Sakarai and Barak Turovsky
  • Class reps
  • Guest instructors Jennifer Kurkoski others

Course overview.
A focus on problem-solving
  • You will learn to diagnose organizational
    problems, and design and implement solutions
  • The congruence model as a framework
  • Getting strategy, tasks, people, formal
    structure, informal structure, etc., to fit

Critical issues
  • The old and new in organizational design
  • How to know if that reorg makes sense
  • What is leadership and how should you do it?
  • So you have a brilliant idea-how do you get
    people to follow you?
  • How to analyze and change organizational culture
  • How to design jobs and incentive systems that
    motivate employees
  • Clue just pay them more is not enough.

More critical issues
  • How to design and lead teams that perform well
    and avoid the pitfalls of teamwork
  • How to maximize your own power and efficacy
  • Building and managing through networks
  • Getting power and using it
  • Leveraging diversity at home and abroad for
    competitive advantage

Schedule of topics
  • Part 1 Introduction (1 week)
  • an introduction to course themes
  • the congruence perspective
  • Part 2 The hard stuff formal structure (3
  • Traditional designs, modern designs, teams
  • Part 3 The soft stuff informal organization I
    (2 weeks)
  • Leadership and culture

Course Topics (continued)
  • Part 4 Informal organization II (2 weeks)
  • Politics and networks
  • Part 5 Soft/hard and micro Decision-making,
    motivation, and incentives (3 weeks)
  • Part 6 Managing diversity at home and
    abroad (2 weeks)

Thursday session
  • Introduction to discussion section
  • Read and prepare to discuss
  • What general managers do
  • Read Kotter article
  • The congruence model as a framework for
    organizational problem-solving
  • Read Nadler and Tushman chapter