Studying Organizational Behavior is crucial because it identifies why people make decisions, motivated and productive by interpreting organizational interactions. Organizational Behavior studies are uniquely useful for succeeding as a leader of a large business (or other organization).
OB teaches you what makes people make decisions, why employees are not motivated to do what you want them to do and why people are productive or not productive.
Making good decisions and creating an environment where people can be creative and motivated is very important for a successful business.
So studying and understanding Organizational Behavior is one of the essential ingredients of business success.
Organizational Behavior studies power and organizational politics. If you don’t understand these topics, you will struggle as an employee, especially in large organizations.
Stanford professor Jeff Pfeffer has summarized the status of the Organizational Behavior approach to real-world management as a “one-eighth” situation and “the knowing-doing gap.”
OB applies the knowledge gained from individuals, groups, and structure on behavior to make organizations work more effectively.
It is concerned with the study of what people do in an organization and how that behavior affects the organization’s performance.
There is increasing agreement as to the components of OB.
But there is still considerable debate about the relative importance of each; motivation, leader behavior, power, interpersonal communication, group structure and processes, learning, attitude development, perception, change processes, conflict, work design, and work stress.
It is also important because it focuses on the following areas. It is also important because it focuses on the following areas.
OB draws heavily from behavioral and social sciences, most importantly from psychology.
It studies the interrelation between an individual and an organization in the following ways:
- OB helps to learn about thyself and how to deal with others
- Organizational Behavior is a way of thinking.
- Organizational Behavior is multidisciplinary, and it helps us in multiple ways.
- There is a distinctly humanistic orientation with OB.
- The field of organizational behavior is performance-oriented.
- Organizational Behavior satisfies the need to understand and predict.
- It helps us to test personal theories.
- OB helps managers understand the basis of motivation and what they should do to motivate their subordinates.
- OB helps to maintain cordial industrial relations, which help to increase the overall productivity of the industry.
- The subject of organizational behavior is useful in the field of marketing.
- This helps greatly in improving bur inter-personal relations in the organizations. Friendly and cordial relations between employees and management and the employees create a congenial work environment in organizations.
- It helps managers apply appropriate motivational techniques by the nature of individual employees who exhibit a glaring difference in many respects.
- One of the basic characteristics of OB is that it is human. So to say, OB tackles human problems humanely. It helps understand the cause of the problem, predicts is the future course of action, and controls its evil consequences.
- Another popular reason for studying OB is to learn how to predict human behavior ‘ and then apply it in some useful way to make the organization more effective.
- OB implies that the effective utilization of people working in the organization guarantees the success of the organization.
- The most popular reason for studying organizational behavior is that the reader is interested in pursuing a career in management and wants to learn how to predict behavior and apply it in some meaningful way to make organizations more effective.
OB has a great impact on individuals and also on organizations that cannot be ignored. To run businesses effectively and efficiently, the study of organizational behavior is essential.