Banking Diploma: Organization & Organizational Behavior

Q: Define Organization. Family unit is an organization.

An organization is a social group which distributes tasks for a collective goal. The word itself is derived from the Greek word org anon, itself derived from the better-known word ergon - as we know `organ` - and it means a compartment for a particular job.
A social unit of people, systematically structured and managed to meet a need or to pursue collective goals on a continuing basis. All organizations have a management structure that determines relationships between functions and positions, and subdivides and delegates roles, responsibilities, and authority to carry out defined tasks. Organizations are open systems in that they affect and are affected by the environment beyond their boundaries.
Family unit is an organization: It is good to remember a family is an organization. In fact, it is the basic organization of society. This is just one of the reasons I am such a proponent of family meetings. You wouldn't think of running a successful business without a plan, goal setting meetings, team building sessions and clear missions and expectations. As such, everyone in the family should have an equivalent of a job description. Each person's job description helps him define his roles and responsibilities in the family. Just like in the workplace, the clearer the job description and the more input is solicited from the participant, the more ownership is established. If you have ever worked in a workplace where no one knew what their job was day to day and rules were arbitrary, you will recall how chaotic and frustrating it was for everyone. The following information on structuring a family council has been compiled in part from information contained in The Parent's Handbook by Dinkmeyer & McKay, as well twenty five years of personal experience.


Q: What are the factors influence organizational behavior?

People: Organizations consist of individuals with very diverse educational backgrounds, values, abilities, and perceptive.
Structure: The formal relationship between and use of the people within the organization. Jobs and relationships make-up the structure of the organization. The present trend is towards a flatter organizational structure consisting of fewer levels.
Technology: The machinery and computer hardware and software that the people of the organization use to effectively accomplish tasks. While technology allows people to accomplish their jobs in a more efficient way there is a delicate balance between technology and the social systems within an organization.
Environment: Organizations have both an internal and external environment. Every organization is part of a larger system that consists of elements such as government, competitors, family, and other organizations. Factors such as globalization, and society’s expectations of the organization influence one another in an intricate, complex system in which all organizations and the effects of their behavior are interrelated.





Q: Distinguhish between formal and informal organization?

Meaning :Formal Organization is formed when two or more persons come together. They have a common objective or goal. They are willing to work together to achieve this similar objective. Formal Organization has its own rules and regulation. These rules must be followed by the members (employees and managers). A formal Organization has a system of co-ordination. It also has a system of authority. It has a clear superior-subordinate relationship. In a formal Organization, the objectives are specific and well-defined. All the members are given specific duties and responsibilities. Examples of formal Organization are:- a company, a school, a college, a bank, etc.
Informal Organization exists within the formal Organization. An informal Organization is a network of personal and social relationships. People working in a formal Organization meet and interact regularly. They work, travel, and eat together. Therefore, they become good friends and companions. There are many groups of friends in a formal Organization. These groups are called informal Organization. An informal Organization does not have its own rules and regulation. It has no system of co-ordination and authority. It doesn't have any superior-subordinate relationship nor any specific and well-defined objectives. Here in informal Organization, communication is done through the grapevine.
Formed by Whom? A formal Organization is formed by the top level management. An informal Organization is formed by social forces within the formal Organization.
Rules and Regulations: The members of a formal Organization have to follow certain rules and regulations. These rules are available in writing (documented). They are made by a formal authority (superiors). If the members follow these rules properly, then they will be rewarded. However, if they do not follow these rules, they will be punished. The members of an informal Organization do not have to follow any rules and regulations.
         Duties and Responsibilities: In a formal Organization, the duties, responsibilities, authority and accountability of each member is well-defined. In an informal Organization, there are no fixed duties, responsibilities, authority, accountability, etc. for the members.
Objectives or Goals: In a formal Organization, the objectives or goals are specific and well-defined. The main objectives of a formal Organization are productivity, growth, and expansion. In an informal Organization, the objectives are not specific and well-defined. The main objectives of an informal Organization are friendship, security, common interest, individual and group satisfaction, etc.
Stability: A formal Organization is stable. An informal Organization is not stable.
Channels of Communication: A formal Organization uses formal channels of communication. An informal Organization uses informal channels of communication (i.e. grapevine)
Superior-Subordinate Relationship: In a formal Organization, there exist a superior-subordinate relationship. In an informal Organization, there is no such superior-subordinate relationship.
Benefits for Members :The members of the formal Organization get financial benefits and perks like wages or salaries, bonus, travelling allowances, health insurance, etc. The members of informal Organization get social and personal benefits like friend circle, community, groups, etc.




Q: Define Organizational Behavior and its key forces?
Organizational behavior is the study and application at knowledge about the how people - as individuals and a groups - act within organization. It strives to identify ways in which people can act more effectively."
- Keith Davis
"Organizational behavior can be defined as the understanding, prediction and management of the human behavior affect the performance of the organizations.

- Luthans
                1. People – Individuals and groups.
                2. Structures – Jobs and relationships.
                3. Technology – Machinery and computers( Hardware and Software).
                4. Social System Environment –Government, societal pressure & competition.




Q: What are the basic approaches of Organizational Behavior?

The four basic approaches of OB are:
Human Resources ( supportive) approach- Employee growth and development toward higher levels of competency, creativity and fulfillment are encouraged and supported because people are the central resource in any organization and society.
Contingency approach-Different managerial behaviors are required by  different environments for effectiveness.
Results-oriented approach-Outcomes of organizational behavior programs are assessed in terms of their efficiency.
Systems approach- All parts of an organization interact in a complex relationship. Systems approach takes an across- the board view of people in organizations and analyses issues in terms of total situations and as many factors as possible that may affect people’s behavior.




Q:  Define Goal. What are the goals of organizational Behavior?

An observable and measurable end result having one or more objectives to be achieved within a more or less fixed timeframe.
There are some goals of organizational behavior which are as follows:
 Describe: The first goal is to describe, systematically how people behave under a variety of conditions. Achieving this goal allows managers to communicate about human behavior at work using a common language.
 Understand: A second goal is to understand any people behave as they do. The managers would be frustrated if they could talk about behavior of their employees, but not understand the reasons behind those actions.
 Predict: The managers would have capacity to predict which employees might be dedicated and productive or which ones might have absent, cause problem. And thus the managers could take preventive actions.
 Control: The final goal of OB is to control and develop some human activity at work. Since managers are held responsible for performance outcome, they are vitally interested in being able to make an impact on employee behavior, skill development, team effort, and productivity. Managers need to be able to improve results through the actions they and their employees take, and organizational behavior can aid them in their pursuit of this goal.

Q. What are the three levels of analysis in a organizational behabior?

Individual level: in individual level organizational behavior involves the study of learning, perception, creativity, motivation, personality, turnover, task performance, cooperative behavior, deviant behavior, ethics, and cognition. At this level of analysis, organizational behavior draws heavily upon psychology, engineering, and medicine.

         Group level: At the group level of analysis, organizational behavior involves the study of group dynamics, intra- and inter group conflict and cohesion, leadership, power, norms, interpersonal communication, networks, and roles. At this level of analysis, organizational behavior draws upon the sociological and socio-psychological sciences

Organizational level: At the organization level of analysis, organizational behavior involves the study of topics such as organizational culture, organizational structure, cultural diversity, inter-organizational cooperation and conflict, change, technology, and external environmental forces. At this level of analysis, organizational behavior draws upon anthropology and political science