Contextual Perspective of Organizational Behavior

Table of contents

Contextual Perspective of OB:-

OB is field of studying human conduct which is concerned with relationship between workers and employers of organization. Both employees and management work for achieving organizational goal. Organizational goal is achieved by closed and fruitful coordination of both parties. Various contextual perspective influences on organizational behavior. Contextual perspectives are those basic approaches which influence on our contemporary thought on the topic of organizational behavior. These perspectives help us to know how managers enforce behavioral procedures to meet organizational effectiveness. Contextual perspectives of OB are such as:-

·     1.Human Resource Approach:-

Ø   All employees working in an organization is called Human Resource. Human resources are complete natural person. They are not machine or robotics. They have mind and they can be creative in order to perform tasks. If they are autonomous, they can develop new concepts, opinion, knowledge and systems in working environment. This Approach believes human being is focal point of any organization. Competent and creative employees contribute to lead organization towards the markable success.

Ø  This approach recommends that managers should not have direct control on staff. Instead of direct intervention, managers should play role of active support to employees. Supportive approach of this approach is different from traditional management approach.

Ø   In traditional approach, managers decide what employees should do and monitor employees from so closer and regular basis but managers have only supportive role in human resource approach.

Ø  Human resource approach focuses on employee's growth and development to ensure continuous growth and survival of organization. Manager provides higher priority to human resource development. It means focuses on human resource development.

Ø  This approach motivates employees to be responsible and good workers. Due to which sound working environment is created. Organization gets higher contribution of individuals in organization.

Ø Hence, this approach mostly influences on growth and development of employees. It motivates employees and provides regular support to carry their defined responsibilities.

Contextual Perspective Of Organizational Behavior (OB)

2.Productivity Approach:-

Ø  The ratio of output to input is denoted as productivity. It measures organizational effectiveness which shows the capacity of manager to mobilize resources. Higher productivity ratio shows higher organization efficiency. Productivity Ratio is measured by calculating the economic inputs and outputs. But human and social inputs and outputs also play important role in productivity. For example, sound organizational behavior job satisfaction. Consequently, productivity also gets better. When organization enforces employee development programs, they get converted to better citizens of organization. Consequently, a valuable social output is achieved.

Ø   By thinking all these limitations of productivity ratio, productivity approach focuses on equally human and social inputs and outputs to measure productivity.

Ø  Productivity approach includes human, social and economic issues to calculate productivity. This approach more focuses on performance and result. So, it is called results oriented approach. It always focuses on performance and target. As a result, results are achieved at right time. It compares multiple inputs and productive outputs. It focuses on total quality management. Results of organizational behavior programs are evaluated on the basis of such results. Equation being used in calculating such results is given below:-

  Ability= Knowledge * Skills,
  Performance= Ability* Motivation,
  Results= Performance*Resource*Opportunity

3. Interactionism Approach:-

This approach believes that Individual behavior results from a continuous and multidirectional interaction between characteristics of person and characteristics of situation. Under Interactionalism approach, attempts are done to narrate how people select, interpret and change situations. It means continuous interactions between the person and situation develops individual behavior. For example strong man (personal characteristics) can fight back against any attack if possibility of winning (characteristics of situation) is there. Weak (personal characteristics) man runs away on any attack because he can't fight (characteristics of Situation). It Interaction based psychology. It is completely new approach to understand organizational behavior. It assumes that situation and person interacts continuously.

4.Contigency Approach:-

Ø This approach assumes that different behavior and practices are fit for different situations. Organizational behavior is situational response. It is also called situational approach.

Ø This approach believes different organizational behavior must be used in different conditions. Some specific method or behavior fits for specific situation and may not be fit for another situation.

Ø   So, managers should be able to identify which specific methods can do proper contribution to achieve organizational goal at specific conditions.

Ø   This approach assumes there is no" one best way".

Ø   Before performing tasks, each and every situation must be analyzed properly.

Ø   Solutions of behavioral problems vary with varying situations.

Ø    It focuses on developing managerial tasks for a specific situation.

Ø   This approach is different from universal approach which believes one best way applicable universally. Universal approach believes that there is a direct cause and effects between variables. For example, increase in salary gets employees satisfied. But contingency approach does not accept it. This approach believes many other variables influence on relationships.  The appropriate managerial action or behavior depends upon specific situations and its variables.

5.Systems Approach:-

Approach perceiving that organization is an open system formed of interlinked and inter-relied parts that interact as sub-systems to achieve goals is known as Systems Approach.

So, organization is a single body formed of various sub systems. For instance, a bank is a system formed of sub systems like branch, province office, HR division, marketing division, loan division, general administration, compliance division and IT division etc.

Environment influences the whole system. Internal environment influences as sub units. System is reactive to the external factors of environment.

System or organization gets inputs from environment .They are material, human, financial and information etc.  System transforms it as output on form of product or services, employee behavior, profit and loss and additional information. So, systems or organization consists of elements like inputs, process, outcomes and feedback.

This approach evaluates the effectiveness of whole system than effectiveness of sub- systems. It views performance in organizational level than different divisions.

Organizational achievement and growth relies on following conditions:-

(a).Interaction, Interdependence, synergy between sub-systems,
(b).Interaction between Internal Components,
(c).External components etc.

Organizational performance and Decisions are affected by sub systems. For instance, IT division can't purchase supporting system if account division does not allocate budget for it and overall problems arise in banking system.

This system depends upon environment for required inputs and supplies outputs to environment again.

Frequently Asked Questions

 1.Explain contextual perspective of organizational behavior.
2. Elaborate various approaches of contextual perspectives of OB.
3.What is contextual perspective of OB. Elaborate it.

4.Explain production approach and system approach.