Organizational Behavior Models

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Congruence Model

• It includes Input, Transformation Process, and Output stages.

Input

• Input includes factors that can affect an organization.
• Key factors are Environment, Resources, and History.

Output

• Output shows the patterns of activities, behaviors, and performance.

Correlation

• Correlation is the association between two variables, showing how much they co-occur.

Third Variable Association

• This occurs when two observed phenomena both result from a single underlying variable.

Illusory Correlation

• This is the perception of a relationship between two variables when no such relationship exists.

Why? Model

• It is used to simplify complex ideas.
• Helps understand underlying causes.
• Aids in prediction and impact analysis of changes.

Formal Organization

• The formal structures, processes, and systems enable individuals to perform tasks.

Informal Organization

• These are emerging arrangements like relationships, processes, and structures.

SAVED Framework

• SAVED stands for Economic Logic, Arenas, Staging, Differentiators, and Vehicles.

Economic Logic

• Economic Logic defines how returns will be obtained.

Arenas

• This specifies where the organization will be active, with as much specificity as possible.

Staging

• Staging determines the speed and sequence of strategic moves undertaken.

Differentiators

• Differentiators outline how the organization will achieve a competitive advantage.

Vehicles

• Vehicles describe how the organization will grow.

Trade-offs

• Limited resources prevent concurrent growth across all dimensions.

Operational Effectiveness

• Pursuing only operational effectiveness isn't an effective strategy because advantages are only temporary.

Porter's Five Forces

• These are:
  • Threat of new entrants
  • Threat of substitutes
  • Bargaining power of buyers
  • Bargaining power of suppliers
  • Current rivalry

Strategic Resource

• A strategic resource is scarce, non-substitutable, competitively superior, and hard to imitate.

Integration - Top Down vs. Bottom Up

• Top-down integration reflects planned integration.
• Bottom-up emerges from industry competition.

Network Effect

• A product's value increases with its user base.

Forward Integration

• Forward Integration involves taking control of processes further along the supply chain.

Backward Integration

• Backward Integration involves taking control of processes earlier in the supply chain.

Organizational Structure

• It is how an organization arranges its people and activities to meet its goals.

Work

• This refers to the basic and inherent tasks to be done by the organization and its parts.

Horizontal Division of Labor

• It involves dividing work into units at the same hierarchical level.

Vertical Division of Work

• Work divided by levels of authority constitutes a vertical division of work.

Integration

• Integration is the coordination across levels and between units.

Holacracy

• This is a structure without bosses, as seen in companies like Zappos and Tomatoes Company.

Dimensions of Structure

• These include:
  • Specialization
  • Chain of command
  • Span of control
  • Centralization
  • Formalization

Specialization of Labor

• It is dividing organizational tasks into specific jobs.

Chain of Command

• Chain of Command is the configuration of reporting relationships within an organization.

Span of Control

• This is the number of employees who report to a single supervisor.

Centralization

• It is te extent to which decision-making authority is concentrated or spread out.

Formalization

• This is the reliance on rules and procedures within an organization.

Functional Structure

• It groups departments by the functions they perform.

Divisional Structure

• It forms departments based on organizational outputs.

Hybrid Structure

• Hybrid Structure combines functional and divisional structures.

Matrix Structure

• In a matrix structure, teams report to multiple leaders.

When to Restructure

• Restructuring may be needed due to:
  • Strategic shifts
  • Mergers and acquisitions
  • Technological changes
  • Cultural and political changes
  • Organizational growth
  • Signs that the current structure is not solving problems

Mechanistic Organization

• It focuses on efficiency over flexibility, with greater routinization.

Organic Organization

• It need to be flexible and adaptive.

Culture

• It encompasses the shared beliefs, customs, and traditions of a group.

Iceberg Model

• Aspects of the Iceberg Model are:
  • Artifacts: visible elements like dress code
  • Espoused values: stated reasons for artifacts, e.g., professionalism
  • Basic assumptions: unsaid beliefs, e.g., seeking purpose
  • Enacted values: values actually prioritized

Strong Culture

• Values, assumptions and beliefs that are widely held.

Weak Culture

• Disagreement or confusion about values, assumptions, and beliefs.

ASA (Attraction-Selection-Attrition)

• Attraction involves individuals being drawn to similar work environments.
• Selection involves organizations choosing individuals who share common traits.
• Attrition suggests employees who fit better tend to stay longer.

Seagull Management

• Criticizing but not finding a solution.

Dominant Leader

• They show little concern for leader-follower relationships.
• They tend to intimidate, instill fear, and directly control followers.

Prestige Leader

• They use their expertise to instill admiration.
• They mentor followers, seek input, and are highly concerned with leader-follower relationships.

Self-Verification Theory

• Individuals prefer feedback that confirms their self-image, even if negative.
• People with low self-esteem anticipate negative feedback.

Why People Resist Change

• Resistance to change stems from motivation, opportunity, change, and feeling left behind.

Leadership

• It directs and influences people towards achieving organizational goals.

First Advocacy Effect

• In groups, those who speak first are most likely to be followed.

80/20 Rule

• 80% of contributions are made by 20% of members.

Three Functions of Leaders

• Their responsibilities include deciding organization missions, generating support, and setting the tone for organizational behavior.

Management

• It involves dealing with and controlling people or things.

Communication Strategies

• Modeling authentic behavior
• Knowing followers' strengths and weaknesses
• Framing: creating tension between current and desired states
• Framing with rhetorical techniques
• Persuasion