Chapter 1 ....Introduction to Organizational Behavior

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>part I:
Chapter 1 ....Introduction to Organizational Behavior


Introduction to Organizational Behavior

After reading this chapter, you should be able to

• Define organizational behavior and give three reasons
for studying this subject.

• Discuss the potential benefits and challenges of an
increasingly diverse workforce.

Google has leveraged the power of organizational behavior to attract talented employees who want to make a difference in the Internet world.

• Identify two ways that employers attempt to increase
workforce flexibility.

• Explain why values have gained importance in

• Define corporate social responsibility and argue for or against its application in organizations.

• Identify the five anchors on which organizational
behavior is based.

• Diagram an organization from an open systems view. • Define intellectual capital and describe the knowledge management process.



Friends were puzzled when Rob Pike decided in 2002 to leave his 20-year career at the prestigious Bell Labs in New Jersey to join a Web search start-up in California with a name that sounded like baby talk. The respected computer scientist’s move had nothing to do with money. “I took a huge pay cut to come here,” says Pike about his decision to join Google. “The reason is, it’s an exciting place to work.” Google, the company behind the ubiquitous search engine, has a freewheeling, geeky culture that attracts Rob Pike and other creative thinkers who want to make a difference in the Internet world. Employees are expected to devote a quarter of their time on new ideas of their choosing, and to get those ideas into practice as quickly as possible. “Here, you can have an idea on Monday and have it on the Web site by the end of the week,” says Pike, citing Google Maps and Gmail as examples of the company’s rapid innovation. Google’s culture has clashed to some extent with its meteoric global growth to 3,000 employees in just six years. In response, the company’s chaotic style has been reined in with a more stable structure

around teams assigned to projects and functions. “It has scaled [up] pretty well,” says Google CEO Eric Schmidt. Meanwhile, Google’s unofficial ethical philosophy—Don’t be evil—is the guideline by which it refuses to favor paid advertisers in its search results (unlike some other search engines) or to allow Web sites that speak against anyone. Along with its culture and ethics, Google attracts talent with the Googleplex, the company’s campuslike headquarters where high-density team clusters, playful décor, and a legendary cafeteria make everyone feel as though they haven’t yet left school. Meetings even start a few minutes after the hour, same as class schedules in a lot of colleges. “That (campus) model is familiar to our programmers,” explains Schmidt. “We know it’s a very productive environment.” Google chief financial officer George Reyes sums up the main reason for the company’s phenomenal success. “We want Google to be the very best place to work for the very best computer scientists in the world,” says Reyes. “Google is truly a learning organization.”1

/////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////// Google has become a powerhouse on the Internet, but its real power comes from applying organizational behavior theories and practices. More than ever, organizations are relying on organizational behavior knowledge to remain competitive. For example, Google has an engaged workforce through exciting work opportunities, supportive team dynamics, and a “cool” workplace. It attracts talented people through its strong culture, ethical values, and an environment that supports creativity and a learning organization. This book is about people working in organizations. Its main objective is to help you understand behavior in organizations and to work more...
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