The Historic Evolution (Ob Theory)

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What is OB
Organizational Behavior’ can be defined as the study of what people think, feel, and do in and around organizations. The study of Organizational Behavior facilitates the process of explaining, understanding, predicting, maintaining, and changing employee behavior in an organizational setting. The value of organizational behavior is that it isolates important aspects of the manager’s job and offers specific perspective on the human side of management :

* people as organizations
* people as resources,
* people as people.
The historical Evolution of OB
1. Early practice- around 1700-1900
2. Classical practice around 1900-1930
3. Behavioral era- around 1930-1950
4. Behabioural science theorist
Early practice- around 1700-1900
Major influence in shaping the direction and boundaries of OB: * Adam Smith
* Charles Babbage
* Robert Owen
Adam Smith is more typically cited by economists for his contributions to classical economic doctrine, but his discussion in The Wealth of Nations, published in 1776, included a brilliant argument on the economic advantages that organizations and society would reap from the division of labor (also called work specialization) .Smith used the pin-manufacturing industry for his examples. He noted that 10 individuals, each doing specialized task, could produce about 48,000 pins a day among them. He proposed, however, that if each were working separately and independently, the 10 workers together would be lucky to make 10 pins in one day .If each had to draw the wire, straighten it, cut it, pound heads for each pin, sharpen the point, and solder the head and pin shaft, it would be quite a feat to produce 10 pins a day! Smith concluded that division of labor raised productivity by increasing each worker’s skill and dexterity, by saving time that is commonly lost in changing tasks, and by encouraging the creation of labor-saving inventions and machinery .The extensive development of assembly-line production processes during the twentieth century was undoubtedly stimulated by the economic advantages of work specialization cited over 2 centuries ago Advantages of division of labour

* Raised productivity by increasing each workers skill and dexterity * Saved time lost in changing tsaks
* Helped in creation of labour saving invention and machinery

Charles Babbage was a British mathematics professor who expanded on the virtues of division of labor first articulated by Adam Smith .In his book On the Economy of Machinery and Manufactures, published in 1832; Babbage added the following to Smith’s list of the advantages that accrue from division of labor. 1.It reduces the time needed for learning a job.

2.It reduces the waste of material during the learning stage. 3.It allows for the attainment of high skill levels.
4.It allows a more careful matching of people’s skills and physical abilities with specific tasks. Moreover, Babbage proposed that the economies from specialization should be as relevant to doing, mental work as physical labor. Today, for example, we take specialization for granted among professionals. When we have a skin rash, we go to a dermatologist .When we buy a home, we consult a lawyer who specializes in real estates tax accounting, entrepreneurship, marketing research, and organization behavior .These applications of division of labor were unheard of in eighteenth century England .But contemporary organizations around the World—in both manufacturing and service industries –make wide use of division of labor ROBERT OWEN

Robert Owen was a Welsh entrepreneur who bought his first factory in 1789, at the age of 18. He is important in the history of OB because he was one of the first industrialists to recognize how that growing factory system was demeaning to workers. Repulsed by the harsh practices he saw in factories—such as the employment of young children (many under the age of 10 with 13- hour...
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