Ch 22

• An organization is a social unit created with a specific purpose
• Viewing an organization as a system helps understand its unique properties and capabilities
• Organizations can be closed or open systems, with modern organizations being more open
• Open systems interact with the environment through a process of input, transformation, and output
• Inputs received from the environment include Human Resource (HR), Capital, Technology, Material, and Information
• Outputs can be intended objectives like high productivity or unintended outcomes like informal relations among group members
• An organization's environment includes suppliers, customers, and other organizations, with feedback influencing the organization's actions
• Key subsystems of an organization include:

  • Goal Subsystem: overall goals and objectives
  • Technical Subsystem: use of knowledge, facilities, equipment, and technology
  • Managerial Subsystem: planning and coordination of activities
  • Structural Subsystem: integrated activities in different units or departments
  • Psychological Subsystem: coordination of work tasks based on rules, regulations, norms, and values
• Organizational climate is the atmosphere of an organization experienced by members and influences their performance
• Organizational climate distinguishes one organization from another and influences behavior and satisfaction
• Factors influencing organizational climate include organizational structure, technology, external environment, and management policies and practices
• Interpersonal relationships at work involve agreements to interact in particular ways and can be influenced by formal roles and organizational hierarchy
• Superior-subordinate relationships depend on the leadership style adopted by the boss
• Relationships with co-workers and peer groups are influenced by common tastes, interdependence, and comparison of beliefs
• Organizational socialization helps establish the context for the development of interpersonal relationships and adopting work roles
• Organizational Socialization:

  • Refers to the process by which an individual employee acquires the knowledge and skills necessary for assuming a place within the organization
  • Before entering any organization, individuals are socialized from early life by parents and others about how to behave in particular ways as members of society
  • Individuals have to get accustomed to changes faced at every stage in life, such as when getting married or having children
  • When an individual joins a work organization, they have to learn to interact, collaborate with others, and build relationships
• • Relationships within the organization help individuals have knowledge about accepted behaviors and attitudes
• Psychological Contract:

  • Not a written document but a shared understanding that aids in fulfilling mutual expectations
• Communication:

  • Communication entails the transfer of meaning between a sender and receiver
  • It establishes a common frame of reference for understanding among individuals
  • Human beings have the unique capacity to transmit information with the help of symbols
  • Symbols could refer to simple objects in the physical world or activities
  • Language represents the most evolved use of symbols
  • Communication may be spoken or written and can take place between individuals, in a group, in the entire organization, or with masses
  • Organizational communication may entail the use of computers
• Factors Influencing Productivity and Excellence:

  • Abilities, aptitudes, and interests largely determine an employee's capacity to contribute to an organization
  • Role clarity is related to increased goal commitment, involvement, and productivity
  • Role ambiguity and role conflict can diminish productivity
  • The performance environment plays a crucial role in increasing productivity at work
• Strategies for Developing Productivity at Work:

  • Employee selection and placement
  • Training and development
  • Task design
  • Performance appraisal and rewards
  • These activities can substantially contribute to improving productivity at work, which is key for organizational excellence