Organizational,Behavior,and,Im business, insurance Organizational Behavior and Organizational Impact


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Organizational behavior is an aspect of doing business within largecompanies that many executives have overlooked. This organizationalbehavior impacts every nook and cranny of a company. Thinking about theorganizational behavior and how people act within a company can fosternew ways of managing people that can have longer-term impacts onprofitability.For example, unionized work forces may have amore negative environment then non-union work environments due to thenatural adversarial relationships between company management and unionofficials. In unionized environments many employees may feel as thoughtheir supervisor is abusing them and therefore they regulate theircontact with that supervisor (Tepper, Moss, Lockhart & Carr, 2007).Thisregulation of contact can affect how efficient the organization becomesbecause workers aren’t motivated by the supervisors they believe areabusing them, they aren’t likely to give any additional effort if theydon’t feel that they will be rewarded, and they may feel the company isusing them instead of respecting them. The low level of employee moralemay have a compounded effect on corporate success.Rudeness bymanagers and supervisors has a large impact on the success rate of thecompany. According to a study it was found that rudeness by a directauthority figure reduced productivity within individual workers andwithin the overall organization (Porath & Erez, 2007). There is adefinite rudeness-performance relationship where “hard feelings” canaffect the successfulness of the company.If the managers of acompany have the mindset that employees are lazy, unmotivated andproblem creators they aren’t likely to respond positively to employeequestions and problems. When they degrade the employee or treat thempoorly there is a good chance the employee will reciprocate by slowingdown his or her work. If management culture is to be rude to employeesthen the problem may become widespread.Imagine for a momentthat the different between profit and not having profit is 5%. If acompany was to make a widespread change of how they treat workers theycould increase or decrease productivity by 20%. This can come out tomillions or even billions of dollars worth of positive relationships.That is the difference between successful companies and ones going outof business.The methods in which employers can change theircorporate culture and organizational behavior for the better can berealized through the human resource departments, additional trainingand more competent leadership. In the same way that companies areconcerned about the impression of their customers they should beconcerned about the impression of workers. There is no such thing ascommon sense when it comes to psychological science.Durkin, D. (2007). How loyalty and employee engagement add up to corporate profits. Chief Learning Officer, 6 (11).Porath,D. & Erez, A. ( 2007). Does rudeness really matter? The effects ofrudeness on task performance and helpfulness. Academy of ManagementJournal, 50 (5). Tepper, B., Moss, S., Lockhart, D. & Carr, J.(2007). Abusive supervision, upward maintenance communication, andsubordinates’ psychological distress. Academy of Management Journal, 50(5).

Organizational,Behavior,and,Im

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