Environmental Factors and Managerial Competencies in Organizational Behavior: A Framework for Managing People and Organizations

Overview

This document provides an analysis of organizational behavior from a managerial perspective, drawing on Griffin et al. (2017). It examines five critical environmental factors affecting organizations—globalization, diversity, technology, ethics and corporate governance, and new employment relationships—and discusses how managers can develop competencies to effectively lead people and organizations in contemporary business contexts.

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Analysis Instructions

Organizational Behavior: Managing People and Organizations by Griffin et al., (2017) covers organizational behavior (OB) from a managerial perspective in the first chapter, as well as the five critical environmental factors of business (globalization, diversity, technology, ethics and corporate governance, along with new employment relationships) in the second chapter. The field of OB tries to apprehend human behavior in organizational environments, the individual-organization interface, and the organization itself. Understanding how people behave in organizational settings and why they act the way they do is critical to becoming a better employee and manager. From a managerial perspective OB is necessary to: developing a motivated, engaged, and committed workforce; improving bottom lines; gaining a competitive advantage; augmenting hiring practices; and cultivating strong leadership and direction. The functions of management in OB are planning, organizing, leading, and controlling while the critical managerial skills required include technical, interpersonal, conceptual, and diagnostic competencies.

Diversity in all its forms (surface-level, deep-level, separation, variety, and disparity) is a critical source of innovation, creativity, and competitive advantage. Organizations must therefore strive towards cultivating an inclusive atmosphere by controlling barriers to cultural diversity in the workplace. For organizations to realize the benefits of globalization (growth into international markets, greater control of production costs, larger talent pool, etc.), they must learn to navigate the different cultural attitudes and behaviors across countries. Hofstede’s categories are a useful tool to understanding the primary dimensions and differences between cultures.

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