Topic > Importance of Organizational Behavior - 1169

Importance of Organizational BehaviorOrganizations are involved in every aspect of our lives. Everyone, whether they like it or not, is a member of multiple organizations. Personally, arguing that the study of organizational behavior or proposing a negative response to a structure that is closely involved in our lives is questionable. The reality is that organizations organize our lives. Our programs are almost entirely established by organizations. What happens in the economy, the courts, and technology—all elements of the organizational environment—profoundly affects all of our lives. The reason why most organizations do things the way they do them is largely a function of what can make money, what is legal, and what technology allows. Organizations have a huge impact on our professional lives and organizational structure. Prestige in industrialized nations is determined by occupation and rank within the organization we work for. So bankers (an occupation) have a certain status in society, and bankers who are senior vice presidents (a high rank) are especially blessed. Most people's income comes from their work in organizations, so organizations also largely determine how much money individuals have. Organizations wield considerably more power than individuals, so individuals who control organizations also have considerable power. The discipline of organizational behavior includes three broad areas:1. The behavior of people in organizationsOB uses psychology, anthropology and sociology to obtain information on the behavior of individuals in organizational contexts. Topics studied include: • perception, cognition, learning • personality and motivation • leadership, power, conformity, communication • decision making2. Organizational StructureOrganizations are made up of people organized to achieve organizational goals (such as producing computers). One of the most important strategic elements of an organization is its structure: how people are arranged to produce what the organization produces. Topics include: • task identification and division of labor • departments • coordination and control mechanisms • processes and procedures, such as promotion, hiring policies, compensation • organizational form (e.g., bureaucracy) • size • centralization of decision making • relationships between these variables3. Behavior of OrganizationsJust as we can study the interactions of individuals with the organization and with each other, we can also study the interactions of organizations with their environments, which include individual citizens and other organizations including government. Some of the organizational behaviors we are interested in include:• adoption of new practices such as